<< No one anywhere has this on the radar to <take it out>. >>
I bet Anglo American has MMG on the radar. They bought out the similar sized Skorpion oxide zinc project (valuing it at more than MMG's current market cap) 8 years ago upon completion of their feasibility study. Zinc was much lower then, and Skorpion had much less infrastructure and more complex metallurgy than MMG, plus was using a technology that had never been applied to zinc before. MMG also could have enough silver to more than justify the current market cap, so it's an obvious value.
GTI, the same team that put Skorpion into production for Anglo American at historic low zinc prices, is doing MMG's feasibility study, and Anglo is very familiar with them. Given their success with the world-class, extremely low-cost and profitable Skorpion, it's a very low risk project.
MMG may not be on the radar for many others yet, but if the feasibility study shows production anywhere near the level of Skorpion's (and we may know the production rate from the mine plan in the next couple of months), it should be the biggest proven feasible pre-production zinc project in the world. That would put MMG on the radar of many potential buyers.
The current low price and apparent lack of interest reflects the lack of definitive information about the project, but that should change soon. Also, if they can prove up a significant amount of silver, that will also put them on many radars, especially if silver can recover from this correction and continue to break out. |
