Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Mr P.... I'm talking how much profit per barrel. Not our percentage of revenue. If a barrel of oil is currently circa $70 lets be honest. We will not be walking away with $35 profit on each one. We cannot spend all the money we take on future projects. Only the money we keep.
Ninesandytoes,
You will find MATD cut is closer to 50%.
In one of the presentations few years back MB mentioned Mongolia has one of the best PSC terms on offer. Also i believe that kicks in after we have recovered our investment first. Huge Tax breaks in place also as we Carry forward our trading losses from past years and offset them against profits first.
So our share probably even higher than 50%.
It will re rate soon Master and you can add a zero to the 2!
Manipulation at its best. Sp was 9p without EL last year. Sp was 7p before the LP.
Each time progress is made Sp keeps going lower.
Might end up at 2p if heron is put online.
Not surprised at this SP, if I had another sofa to check down the back of for any spare change I'd be piling in again.
Buys still rolling in
Love it Cj.. dont forget in San Francisco or some other lefty progressive state in la la land..if you mis pronoun someone its a $10,000 fine... the world has gone mad.. hilarious.
Anyway back to the multibagger in hand here... when the £1 party??
Stability of a business is all about guaranteed income. It is not about speculation and hope. Survivability is about having cash flow and not debt in this day and age. So stop with the wildcat drilling and focus on income. Everything else will come from that.
Agree Ninesandtoes, this is what will propel the company forward. MB if you are in dire need for cash, do it the right way. Reward us with warrants for being holders. Do not sell us out
Lets be honest about revenue and profit. What really matters is how much profit we make per barrel not how much income we generate. £1m per month is not ours but 10% of it might be. That's why the important thing is to develop the field asap. If we can go into the winter with three wells producing 1000bpd between them then add that revenue to a good deal with DQE regarding deferred drilling costs we are in business. This can be done comfortably from funds we have and I hope this is now the focus. No time for exploration just development until we get to ten wells now in my view.
GB!, there's being cautious and there's being a prophet of doom!!
Ok appreciate your honesty Cj! I’m relatively new here so can’t complain about the last raise being a blow! What I would say is I have been on the receiving end plenty times before and it is right to be cautious.
"MB being dishonest or are you trying to spook people..?"
Perhaps my sentiments are something to do with the sucker punch cash raise, out of nowhere, last time, at a pitiful low price, which I recall was in the exact same backdrop and climate from you lot - "oh everything's wonderful, soon 50p, soon 85p, LP next news, it's going to be sunny tomorrow"
And also something to do with the down right dodgy price action from the last week and yesterday. So no, I'm not trying to spook anyone. I merely have a brain in my skull.
I AM invested. Average 5.8p, I want nothing more than to see this at £1. I'd be in heaven. Just fed up of being burned and don't want to sit back in silence with people talking utter rubbish about the blissful universe we live in. It's people like that who don't see the problem with uncontrolled illegal mass migration into the UK that we are paying for, who couldn't see the issue with "lockdown" or "vaccine mandates", who can't see the issue with these clowns who argue there aren't two sexes, there are in fact 875,472.12 sexes.. and 7 years old are fine being brainwashed with it in schools. Honestly, the world has gone insane.
Is it cos the MB dude did a sneaky raise last time he said were fully funded? Market don't trust him.
Why's the share price so low? Thought I'd was supposed to be 15p after LP news!
On what basis do you think a raise is coming?
We know the cash balance is strong and the drill costs of Heron are fairly small. Do you envisage MB has lied about costs or are you simply trying to spook people? I know which one I think...
Why any talk about dilution. Once first Heron well is producing it should bring in at least $1m per month in revenue.
"If you do a raise and keep 100% then 26p NAV remains intact.."
No, no, no. No it doesn't. The 26p is based on current shares in issue, any raise puts more shares in issue and so dilutes the NAV - DOWN. Valuation will reduce accordingly to the % of shares raised
A JV is a dilution but depending on what they can bring to the table I'd expect them to nudge everything along and enhance the rate of return. I'd much prefer a dilution by bringing in expertise than a placing and trying to do everything ourselves. Look what GGP did when they brought in a partner.
Agree on farm out back dated cost will be paid and often account also for future capes percentage.
That would mean they have enough cash. Do not need equity raise But the 26p NPV will be lot lower ( depends on % guve away but typically between 25% and 50%)
If you do a raise and keep 100%. 26p stays in tact but in short term sp goes down and will take longer to reach target ( if all else goes well ...)
In short: ewuity raise best for LTH if they have confidence management can deliver. Farmout best for traders and low conviction LTH. So i woukd like the Farmout:)
Yep just seen that.... nice buys indeed! be nice to see blue later.
On the point of FARM OUT...they will need to pay MATD all back dated costs if an approach was made.
OR
We might even get a Buyout approach from a bigger player other than Petrochina.
Anything is possible. SOCO must be regretting selling their Block 19 and 21 for $100m around 20 years ago to Petrochina if they knew there are 2 Billion barrels there when Oil price was low.
At today's Oil price SOCO would have achieved close to $400m - $500m price tag.
SP drops quickly and then big buys come in at 4.10 ?
Master... a JV is aslo dilution. We will have to give away x% of the asset. Normally financially less favourable than equity raise but you do get a partner ( hopefully with expertise) on board
And for the record. My view: MM do not steal your money. You let them take it. Always own responsibility.
We know MM try to make money just like us but they can even do it with very little risk. If you know this try to trade with them.... imho