We're in the right sector at the right time. WOF is a bargain at this price and those who are patient enough to see this to production will benefit. The world economy is stalled and the price of tungsten is still creaping up. Just wait until things start to pick up again, the demand for steel will rise and so will the price of tungsten. It is the perfect time to refurbish the mine while things are slow so we can be in production when the global economy improves and things pick up again.
As far as this play being de-risked, I would say it is not. We got great news with IMC comming on board but nothing is de-risked until the due diligence clause is lifted and the financing for construction is in place. I strongly believe the deal between WOF and IMC is the perfect marriage and this play will be totally de-risked very soon.
15 May 2012 by Metal-Pages
APT prices up on higher tungsten concentrate prices
BEIJING (Metal-Pages) 15-May-12. Tungsten APT prices have risen amid higher prices for tungsten concentrates, the main production material, although market activity is subdued.
Prices for tungsten APT grade 88.5% have headed up to RMB196,000-198,000/tonne, higher than prices of RMB194,000-196,000/tonne seen late last week.
“Much higher prices for tungsten concentrates have mainly contributed to the price rise for tungsten APT,” a smelter source in Hunan province confirmed. He said that the tungsten APT prices have are up by RMB1,000-2,000/tonne since the start of this week.
“Some smelters are offering RMB200,000/tonne and expecting higher prices in the days to come,” a Jiangxi-based smelter source said. He thinks that there is still room for tungsten APT prices to go higher in the short term.
The export market has been quiet with prices hovering at $385-390/mtu, with no improvement seen in the spot market.
“Orders from overseas buyers are not active. But the prices in European market keeps going up and will push up export prices in Chinese export market,” a trader in South China said.