Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Great as a 960k holder I’d love a pound a share lol.
mac4671
forgive me for being skeptical but what do you8 do for a living ? also DO you work for EUA?
I will get filtered for these questions i think
We may not be in production but we are uniquely fully funded to production, and as such we're in a very strong position in those sale negotiations. The other this is that it's a simple open pit mine, very low cost and very easy for a experienced player like norilsk.
GLA
*Should read 0.45cents/ 0.34p
Dealer, I think this exact thought is the only reason it’s still at 3p. It seems too unrealistic to go up so drastically so ppl don’t believe it can happen, and therefore aren’t piling in and are selling their shares for smallish profits.
But, if you look only at the value of the company rather than the market cap, I don’t think it’s unrealistic at all. Sp seems to have nothing to do with the real value of the company atm, something I believe will change in one minute when they announce the offer.
You all had your clues last week imo. Can you hear it coming in the air tonight, because I certainly can!
https://www.youtube.com/watch?v=IeDMnyQzS88
The for sale figure, and how long it will take for the deal to be done, is all that is left up for debate!
GLA
Hi ginger!
Tonight I’ll look into NAP purchase if I get the chance. Looks as though the grades of Pd are similar but NAP is an operational mine, and has the following advantages, which monchetundra is a bit away from:
1. Record revenue: Based on 56,121 ounces of palladium sold, revenue for the quarter increased to $135.6 million compared to $94.1 million for the same period in 2018. This is the highest quarterly revenue in the Company’s history. Revenue for the first half of the year was $263.9 million based on 112,896 payable ounces of palladium sold.
2. Strong growth in net income: Net income was $36.6 million, or $0.62 per share, compared to $14.2 million or $0.24 per share reported for Q2 2018. Year to date net income was $66.1 million, or $1.12 per share.
3. Substantial cash from operations: Cash provided from operations was $58.8 million, compared to $33.1 million for the same period in 2018. Year to date cash provided from operations was $134.6 million.
4: Strong free cash flow1: Free cash flow for the quarter was $35.4 million, an increase from $16.4 million in Q2 2018; with year to date free cash flow at $90.6 million.
5. Increased EBITDA1: Adjusted EBITDA1 increased to $73.0 million, up from $37.2 million in Q2 2018. For the first half of the year, adjusted EBITDA1 was at $134.6 million.
6. Record production: Underground production averaged just over 7,000 tonnes per day (“tpd”) for the quarter, the highest in the Company’s history. This is a significant increase compared to the 5,856 tpd produced in Q2 2018 and a slight increase over the 6,755 tpd in Q1 2019.
7. Special dividend: The Company’s Board of Directors is pleased to announce that, in addition to the existing $0.10 quarterly dividend, a Special Dividend of $0.35 per share will be issued to all common shareholders of record as of September 1, 2019.(total dividend being 45c, or 34p, or 70% of eurasias share price at the time)
So they’d obviously gone further than we had in terms of production, whereas we have greater reserves.
5-10% of ground value. Not 100% sure on this but how else would you calculate it? Any less is too conservative, and I can’t see someone paying for 15-20% of the market value of something in the ground when so much work has yet to be carried out to extract it?
We would get a much higher price should we go at this ourselves for a year or two. But maybe EUA have other plans
This is no longer a dream, this is really happening -
"As per Russian subsoil licensing legislation, the holder of a mining right is granted an automatic and exclusive right to apply for exploration tenements directly adjacent to approved resources."
GLA
Guys we can barely hold 3p I think the £ level is rather ridiculous even to dream it.
If 15 mill oz is confirmed we could see 1 pound a share but what if the 40 to 50 mill oz are within touching distance? Just a thought. Gla
The market has never seemed to pay the correct attention to eurasia.
What it did though, was to give average people a chance to buy into something worth a fortune at a very low cost.
The years this stayed under a penny, it allowed anyone to buy a decent amount of shares progressively at very low cost, the dip into the 0.2s was an absolute god send.
GLA
mac - I don't think the market has cottoned on to the enormity of this yet. We often used to say MT was a monster. Now they are confirming it using old (but reliable) data as if to say 'oops, sorry I forgot to mention this before'.
I also make the metal in the ground worth $22.5Bn ($1800 per oz less $300 direct costs). Let’s take a conservative 10% discount factor to get present value. Anyone remember what the life of the mine is expected to be to finish this calculation off?
Brotherjoey, re your message at 14:09, where do you get a sale at 5%-10%?
Impala bought 2.32 million oz for about £600 M, so 15 million oz should go for about £3.8 B, of which EUA would get about £3.1B. That’s £1.22 per share
Where the dotted areas pass over the flanks area, must be the extra bits they were on about applying for.
Handy little graphic - https://www.eurasiamining.co.uk/images/keith/MT2019/flanks_application_graphic.jpg
GLA
These things have happened before on AIM but far and few between
Thanks for confirming that brotherjoey.
Tbh i couldn't believe my eyes when i read the RNS, i had to go over it a few times to make sure i was reading what i thought i was reading. I then remembered and thought about the JV with anglo days and went through all the stuff i went through before making my initial buy in some years ago.
It's what has made me even more confident about that figure and also the ones slipped out in fairly recent interviews.
I honestly don't think you'll see anything like this on AIM again. I feel a little sorry for anglo, as realistically we have so much to thank them for!
GLA
Hi chris, it will be multiple times current SP but unlikely in the £’s.
My rationale and calculations are:
2moz + flanks 13moz = 15 moz total (15 is the total value with flanks included).
If you take a rough estimate of today’s Pd at $1800/oz then 15moz = $27billion.
This is the worth of the palladium in the ground. The operational costs are low- maybe $400/oz but I have not included any of this.
If we have $27 billion worth in the ground then it’s my understanding that we would sell for about 5% - 10% of that value. (5% conservative and 10% generous).
So if we take 5% of ground value - that’s an offer of $1.35 billion or £1.04bn
We own 80% of the mine- so payout is £832m between all shareholders and directors.
Since there will be 2.9billion shares in circulation by then, the value per share is (832/2900) = 28.7p per share.
IMO the most likely offer is in the 30p range.
A very very conservative one is 15p
A very very generous one is 60p
Thanks for that Jaykeeboy
appreciated
Brotherjoey
Thanks for that info, if that's the case then this is prob going to sell for £'s per share I should imagine, what would be your estimation of the 2m oz plus 15 ?
Thanks
CO
Yes Mac you’re right in taking the 15moz as I have contacted the company myself and they have mentioned that the 15moz will be taken into consideration during the negotiations. So it’s safe to assume any offers will take into account 15moz reserves (and potential additional licensing for nearby deposits)
I quite like people talking down a share constructively as it’s give me a balanced view.
Allows you to compare and contrast your own research on the company with someone else’s opinion.
Then I can make my own decision,.
If I am wrong I am wrong, I will learn, so even if I financially lose I win, won’t make the same mistake again, made some classic ones already, however wont invest what I can’t afford to lose.
So I get to fight another day.
In my opinion on probability , for me , I am willing to invest.
Good Luck All.
I would take 15Moz as the figure they are using with the banks. It would not have been dropped in the bank RNS otherwise -
Christian Schaffalitzky, the Chairman of Eurasia commented: "The board is pleased that major banks such as CITIC and VTB Capital, the largest investment banks in China and Russia respectively, are interested in Eurasia's PGM deposits including the ones in Kola which are much improved in size following the addition of the new 'Flanks' areas (see announcement dated 26 September 2019). Our total resource with the account of areas within the flanks contours is about 15 Moz of PGM (mostly palladium) that we believe puts us in a completely different league of major palladium companies already in production stage."
GLA
Regarding the OP, it's the internet and some people just love to troll. I don't mind them, it's the one's with agendas that I don't like but I think it's best just to accept it all as part of the ecology of the internet.