Picks & shovels
Supplying miners with the equipment they need to repair their infrastructure is now big business. In his Value.able Stocks column for Money magazine, Roger Montgomery reveals three businesses in the sector that have recently received or confirmed their A1 Montgomery Quality Rating (MQR). Read Roger’s article.
Roger Montgomery is the Founder and Chairman of Montgomery Investment Management. Roger has over three decades of experience in funds management and related activities, including equities analysis, equity and derivatives strategy, trading and stockbroking. Prior to establishing Montgomery, Roger held positions at Ord Minnett Jardine Fleming, BT (Australia) Limited and Merrill Lynch.
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Michael Minns
:
Hi Roger,
What impact on the MCE 2011 result do you think the high $AUD will have, taking in to account 80% of their products are sold overseas?
Obviously it makes it more difficult for the company to increase product prices in the short term.
Also do you have a timeframe in mind when we may see a capital raising to help fund stage 2 of the Henderson facility?
Below is an exert from a recent article published which is very positive for Matrix going forward if it comes to fruition.
“The National Energy Board is considering forcing oil companies to drill a secondary relief well in any deepwater Arctic exploration project, as part of a review of its regulations following the BP Gulf of Mexico blowout.”
This would lead to more oil rigs in the field and more demand for buoyancy equipment.
Roger Montgomery
:
Hi Michael,
Both are questions that I could only give you estimates on. I will forward the two questions to the company. Keep in mind that any change to profit expectations of more than 15% is usually a continuous disclosure issue. I note the announcement today that deepwater drilling in the gulf will recommence now.