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BMR Mining PLC Share Chat (BMR)

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Share Price: 2.875Bid: 2.75Ask: 3.00Change: 0.00 (0.00%)No Movement on Bmr Mining
Spread: 0.25Spread as %: 9.09%Open: 3.00High: 3.00Low: 2.875Yesterday’s Close: 2.875


Share Discussion for BMR Mining PLC


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DShox
Posts: 176
Off Topic
Opinion:No Opinion
Price:2.875
RE: J99
Mon 17:16
J99 I think more simplistically, we are in the innovative processing space rather than mining, which is a) where the larger companies want to be and b) one reason BMR Mining may possibly get renamed to hammer home the point to the market.

If Glencore want to buy BMR once its up and running, please feel free to table an offer!
 
Jeremiah99
Posts: 3,451
Off Topic
Opinion:No Opinion
Price:2.875
RE: J99
Mon 16:46
Some comprehensive sector information there, DShox - thanks. I wonder if there can be any value addition for our own products? Someone already mentioned a zinc compound suitable to use as fertiliser..

Changing the subject, I notice that Lexinta are based in Zug, Switzerland, as are Glencore, I believe. And wasn't Mark Veitch linked to GC? The guy who led us up the garden path at the AGM with talk of 12p (£1-20 in new money) Was MA just the fall guy to bring us to our knees prior to us getting gobbled up on the cheap by GC until their own problems took centre stage? Maybe I'm being too suspicious, but we are just minnows swimming with some potentially ruthless sharks out there...
DShox
Posts: 176
Off Topic
Opinion:No Opinion
Price:2.875
RE: J99
Mon 15:51
Vedanta made a bet on zinc year's ago when it acquired Anglo's assets in Africa and Ireland, the latter location now dormant. It's Skorpion mine is sub 3 years life and needs the Gamsberg expansion in SA to keep the refinery running, which is hold due to zinc prices. Vedanta's main zinc assets are in India, which are integrated mines and refineries in a low cost jurisdiction. Vedanta does suffer from power shortages - you will note is Alumium smelters are desperate for coal and some operations have been suspended.

If you take Nyrstar, the world's largest integrated zinc miner, about a quarter of its 18 mines are suspended and the board has put all of them up for sale. It is now focussing on the refining business from where it once came. Alcoa is doing the same. Corporates appear to be re-focussing on value add and high tech refining, whereas once upon a time the mining segment was where the margin was.
MS67
Posts: 40
Off Topic
Opinion:No Opinion
Price:2.875
open offer
Mon 14:53
Well since Lloyds only give me until 11th Feb to make my mind up , I've decided to over subscribe by just over double my entitlement (I must be mad XD) although this didn't amount to too much in the scheme of things , I did have a bit of spare capital. Will this finally make me money ? only time will tell.
Jeremiah99
Posts: 3,451
Off Topic
Opinion:No Opinion
Price:2.875
RE: J99
Mon 14:42
Well, I didn't come up with anything encouraging, quite the opposite - Vedanta's costs are only something like $800/tonne, and this article suggests that other producers have simply increased production to offset Glencore's production cuts, thus keeping prices soft :
http://uk.reuters.com/article/zinc-glencore-idUKL8N12U4AE20151103

Well, I hope we too can keep costs down - no more leaning on a sweeping brush smoking fags at Kabwe!
Jeremiah99
Posts: 3,451
Off Topic
Opinion:No Opinion
Price:2.875
RE: J99
Mon 14:11
I agree with all of that and would even dare hope that it may be well over the $100m mark one day. But that all depends upon operating margins, the metals prices and not least, the global economy which is currently fairly comatose. So, as much as I keep an ear to the ground regarding our own progress, I also watch for signs of central banks' efforts to get things moving again, and especially the effect their actions have on the USD, as that will directly affect all commodity prices.

All that said, if many suppliers can only produce zinc at $2300/tonne, surely it is only a matter of time before enough of them wind down uneconomic operations, creating a shortage that will bring the price back up? Mind you, that $2300 figure is a year or two old - has it perhaps been revised down lately in the light of vastly lower oil prices and the paring of other input costs? I'll have a dig around and see if I can come up with some more recent figures.
DShox
Posts: 176
Off Topic
Opinion:No Opinion
Price:3.00
View Thread (5)
RE: J99
Mon 10:53
Picking up on the Market Cap discussion, its an interesting one. The MC of the company was steady at around GBP 20 million for a period under MA's leadership, as we awaited first ZEMA approval, >4x current. This was based on processing only the WPT and a belief we had a near term low revenue/margin copper cement plant poised for activation, as well as a monthly cash burn of over GBP 250,000 vs today's c. GBP 65,000. Fast forward and consider the many additional positives, and we are simply now adjusted to trade at a level commensurate with the pain of the past.

If one considers PE ratios when the Pilot Plant runs - let's assume annual run rate of USD 7-8 million revenue and profit of USD 3 million, it doesn't take much of a multiple to get the MC up to USD 20 million. If the Pilot Plant works, and investors take a 6 month view of the Main Plant, which will operate at 10x the Pilot, it doesn't take a huge amount more effort to get this MC up to USD 100 million.
Jeremiah99
Posts: 3,451
Off Topic
Opinion:No Opinion
Price:3.00
AGM
Mon 10:49
If those going would be kind enough, there will no doubt be a few questions to pose on behalf of those unable to attend. My own would be :

Assuming successful ZEMA outcome and comissioning of the pilot plant, what is the likely yield of concentrate from 5 tonnes/hour, how much revenue would that achieve at present prices, and what minimum metal price is likely to support the break even cost of production?
DShox
Posts: 176
Off Topic
Opinion:No Opinion
Price:3.00
RE: Morning all
Mon 10:38
Yes I can't believe we're almost half way through Feb already! Let's get the capital raise done, more cash in the bank, and ZEMA approval done and dusted in this next 2 weeks. Happy days if all that happens by month end!
NatCoalKing
Posts: 2,579
Off Topic
Opinion:No Opinion
Price:3.00
Morning all
Mon 08:47
Looking forward to an interesting couple of weeks ahead. First of all, it's the AGM on Wednesday. Maybe some news will be released before then, maybe not, but at least we will be able to get a general update on progress with what the company are doing at present. Then, next week, the Open Offer closes. We will find out if some entity (maybe Lexinta again) is expressing an interest in the company and wants to be involved. Then it's full steam ahead for Zema approval after that. Once we get that, we can finalise things for production and then things can really take off.




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