UMC 0.00% $1.30 united minerals corporation nl

on a positive note

  1. 2,250 Posts.
    I am glad that UMC was 1-2yrs too late in the boom
    coz if it was on time like MGX, AGO & FMG then
    we may have the following issues:
    1) selling ore at 1/3rd spot just to stay solvent;
    2) Our chairman could have been thrown out by a Chinese coy;
    3) We could have sold our coy cheaply to the chinese
    without a t/o being forced just to force an offtake; or
    4) Be in huge amounts of debt and held hostage by chinese buyers to sell our ore TOO cheap to survive.

    Its great to see UMC with NO DEBT & $16m in the bank.
    IF the mkt rebounds in next 6months-18months, then we will
    be set for production at good Fe prices & making negotiations on OUR OWN TERMS.

    To me, UMC has less long term risk than AGO, MGX & FMG,
    ONLY for the reasons above. Coz at the end of the day,
    if Fe doesn't get a shot of adrenaline in the arm in the next few years, then all Fe coys in Australia (outside of BHP & RIO) will become $2 shells ready for a steinpreisis reconstruction!
 
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