RE:RE:RE:Cobalt SwapHey Fiendo,
What is your point ? Moa JV is a joint venture between Sherritt and GNC. GNC now owes Sherritt the Power Account Receivable. And will repay it via the cobalt distributed as dividend by the JV. As mentioned on the conference call, if the value of cobalt is less that 57 mm USD on a yearly basis, the balance will be paid in cash.
As to your doomsday scenario where the JV will not pay any cobalt dividend (and cash for that matter), it is a possibility. Then figure its probability and assess the share value. Hey, they can be nationalized tomorrow morning and the stock is worth zero. What about a tsunami ? Earthquake ? Asteroid ? American invasion to liberate the island?
I will take the other side of this bet as I believe the nickel price will enable the JV to keep on paying dividends, either in cobalt or cash.
GLTA