Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
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Armadale has issues, so you can't blame its sloppy action on PIs.
Bres will not attract the trading crowd (yet) because it is quite a long way off material production (2025...). Yes, they should start trial production next year, to pre-qualify their graphite for continuous high TGC with low impurities, with commercial end-buyers, but until then, we wait on a revised JORC and a PFS, which no doubt some here will sell into.
Not quite sure when an offtake deal will fit into this likely timetable.
But at least Bres doesn't have an ongoing large seller, with millions of in the money warrants to chew through. Our landowner seller at the outset was cleared last week. Armadale is living proof that you can have a mining licence, and robust DFS, but still no financing to production. Bres management is taking a more gradualist approach that requires staged funding, more manageable. I like that very much.
I am a shareholder here and happy to be so. The market is dire so not worried about the current SP as frustrating as it is.
Wiseinvestor you might like to look at AFP, a small copper miner close to production and two big partners in other projects.
No dum dum its the terrible quality of AIM investors they did this to armadale too
You obviously want it to stay lower for a while for you
Can anyone name a stock with a bigger gap better NPV and mcap? A key technical indicator to finding value
Will accumulate while so disconnected with the company behind it
The Jorc is based on less than one percent of the total asset and expanding “imminently” ( taken from yesterday’s rns )
Rise already gone,not bad for just 24 hours!!!
Yes common sense but it'll still lose its rise anyway!!!
Disagree - this company should be worth more than 7million considering the 317mil NPV is based of less than 1% of the total asset - what could the sell it for today? No where near the current valuation
For now a few days and rise will be lost as normal it will take some time for a sustained rise similar to armadale had in the last few months
Agree this looks to be massively undervalued at the current market cap. I keep thinking that this will catch the attention of the wider market at some point but it never seems to do that. If it continues to stay undervalued, as we get closer to first production, this will be gobbled up, I wouldimagine at multiple times the current SP. Happyto continue to accumulate at these prices.
The DFS shows that Armadale can be a significant low-cost supplier to the graphite industry with the potential to generate pre-tax cashflows of US$985m over an initial 15 year mine-life and scope for further improvement as this utilises just 25% of the current resource, which remains open in multiple directions. Armadale
Blencowe notes that less than half of one percent of the overall deposit has been drilled to date, therefore the opportunity exists to substantially increase both production tonnes and life of mine via further drilling ahead once the market starts the exponential growth as forecast, to deliver considerably more tonnes of graphite for lithium-ion batteries than is currently demanded worldwide.
After resource expansion - we should have a similar NPV while they are valued 3x+ higher
That being based on 25% of their resource but our being less than 1%
The current Jorc is 16mts while there’s 2-3 billion tones across the asset
Fundamentally so undervalued - will keep adding while nearly the Mcap is nearly 50X less than the NPV
I got a comment back from the company about that Armadale comparator, on the capex size they quote. I won't repeat exactly their words, but let's say they don't believe it.
Thanks Bluray.
Armadale Capital (ACP) is a good comparator to BRES, especially as it's in the neighbouring country of Tanzania :
29th Sep 2021 7:00 am RNS Half-year Report
"... The focus of the Company throughout the interim reporting period was to obtain all required permits to commence development of the high-grade long life Mahenge Liandu Graphite project.
... Estimated pre-tax NPV of US$430m and IRR of 91% ..."
https://www.lse.co.uk/rns/ACP/half-year-report-4jollsi0x34l7cs.html
29th Sep 2021 7:00 am RNS Orom Cross PEA
" ... Net Present Value (NPV8) of US$317M / IRR 49% over 13-year life of mine from 2025. ..."
https://www.lse.co.uk/rns/BRES/orom-cross-pea-w6ekn5qj7z07rmp.html
Current ACP market capitalisation: £24.51 million at 4.55p.
Current BRES market capitalisation: £7.21 million at 4.55p.
Coincidentally both ACP and BRES are at the same s.p., which will make it easy to gauge which performs better from this point!
If it dosent go up they sell regardless of losses, this happened to armadale sold down to .08 p which then went to 6p so dont think there's any logic to it!
Can't believe we are still only 7m market cap with 2m cash, crazy valuation for a world class Graphite deposit with high grades and tonnage. There must still be a small overhang from the placing at the end of last yr. One of the few in my portfolio that has genuine 10 bagger potential.