The statement: 'no exports since December...with no cash flow from operation.' is inaccurate. They are running the mine inline with domestic (smelter) capacity which is about 115k tons/day or 50% capacity. Not ideal but definitely a far cry from none. They've also shifted some capacity to Congo (probably).
I am not certain many are looking ahead. No deal yet is no deal yet. When the "no" comes off that statement is anyone's guess. Regardless, there are the option years to consider. Indonesia is looking toward some "concessions" i.e. ownership. That needs be factored in for the out years. If all goes well here, the company easily tops 50 in two years assuming copper stays above 3 and change. I hope it happens as I have some shares but much less then I held before it broke 36 on the down side. If anything goes wrong i.e. no deal, decrease in dividend or missed projections, this could see sub 30 quickly. I feel this stock has become the equal of pushing the accelerator and having a foot on the brakes.
FCX is planning a lng export facility with United LNG in a 50/50 partnership. The plan is to convert their old sulphur/oil production platforms at Main Pass 299 offshore Louisiana. They have been approved by the USMARAD to export 24 mtpa of LNG to FTA nations and have applied for non-FTA nations. Google MPEH (main pass energy hub) to learn more.
With the possibility of less cash flow from both the Congo and Indonesia, what are the odds that the dividend will be cut?
I also saw that corporate officers all took a salary cut.
I am hoping for some good news coming from Indonesia, but the 1st quarter's numbers are not going to be good because we are not shipping copper at full capacity from Indonesia. This needs to be resolved sooner than later or we are going to take another hit
stock market looking ahead to next quarter earnings without grasberg contribution. the ore is still in the ground and has not disappeared, like a bad retail christmas season. a smelter was not in the program but potentially could have a small profit and deflect any export taxes
that would be better than giving the government the finger and pulling out like some have advocated. if and when this dives on this quarter results, back up the truck for longs with with a1year horizon or more. just my humble opinion. 1600 shares and building.GLTA
my penny jar is full again. time to go get some more penny wrappers and head down to the bank. one of my most unfavorite things to do. thank you for reminding me though.
Davy J. was supposed to be BIG NEWS 3 years ago!!!!! Did they ever get the bigger bore (wider diameter) tube inserted at D.J. ?? Whatever happened to Lineham Creek I think it was ????. This was supposedly a real big deal too.
All I notice is that gultu has been very strong of late. Could be either a completion is going well (no pun intended) or a completion is getting close. Info is very tight to us mortals.
Seems like an over reaction to me - short term operations will continue and longer term expansion plans being slowed down is not a big deal - expansion projects are dependent on all sorts of things including the world supply demand balance and copper prices.
Concentrate exports have been halted. 50% of mine output is refined in Indonesia before export and is not affected. Not saying that this isn't a problem but the operation is still running. I expect the deal on the new smelting capacity to be concluded soon and full production will resume shortly.
Check out GTLS (gastoliquids) LNG makers...little ones(like 35 tons)...can travel around.
Chart Industries--they are into other things too!
Incorrect, FCX is planning a LNG export facility with United LNG in a 50/50 partnership. They are planning to convert their old sulphur/oil production facility at Main Pass 299. They have been authorized by USMARAD to export 24 mtpa of LNG to FTA nations and have applied for non-FTA exports. Google MPEH (Main Pass Energy Hub) to learn more.