Post by
ZincDink on Apr 29, 2022 4:49pm
Please tell me my math is wrong
They left behind about 3 percent of the zinc in the concentrate. they processed 128,852 tonnes which 3 percent is 3856 tonnes. Multiply by 2200 to convert to pounds to get 8,504,232 pounds lost which multiplied by $ 1,7 and they left 14.5 M$ in the waste.
Can you say shockingly bad performance? Maybe 3 % is a tad high, but its over 10 M$. The production drop was bad, but sending good zinc down the drain...
Luv how they soft pedal the increase in TC as being upto $ 170. Benchmark is 230 and now China TC are above bench mark.
https://www.metalbulletin.com/Article/5096281/Search-results/Negative-arbitrage-Covid-19-send-zinc-low-silver-lead-TCs-to-highest-levels-since-Feb-2020.html
Maybe China has figured out giving discounted electricity in perpituity dosen't make a business more efficient.
Man when I first saw these numbers, I was thinking management is deliberately sabotaging the plant or fudging numbers. Now feeling a bit more charitable and calling it gross incompetence.
I mean if we are trying to operate a plant full out, and Europe plants are operating at half capacity, how are we doing so badly when we have the gift of low cost clean energy?
You have won GC, I am beaten down and will surrender my shares at $ 6.
Comment by
ZincDink on Apr 29, 2022 4:53pm
My math was wrong. closer to half that number. 7 M$, heck, I can spend that on a weekend of debauchery.
Comment by
JCW on Apr 29, 2022 5:23pm
ZD.... Maybe you'd take me along on your next weekend of debauchery !!!....lol Gotta wonder about the competence of management ....isn't anyone held accountable?? Interested in seeing what Qwest might have to say about their recent investment in NIF........ tomorrow and tomorrow .....JC
Comment by
rjb1954 on May 01, 2022 10:39am
I have a nagging feeling that GC is sucking equity out of NIF through the hedging strategy. I don't have any proof, only the numbers reported by NIF. GC could be making a lot of money on the deal if it is counterparty to NIF's losing hedges. Like you said, NIF should be minting money if it wasnt for these huge hedging loses.