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Well I picked some up at 1.629 which I thought was a great price but I see others have managed to undercut that. Always difficult to try and pick the bottom. But the way I see it is that with the income and potential they currently have, the current price is somewhat silly. All down to sentiment - me thinks.
Thanks Cygnus7 - we are probably not that far apart in our views, but are just placing different emphasis on point 3.
Good luck with your investments too!
Steve, I don't want to get into a '*** for tat' arguement so this will be my last message on the matter.
It seems that the first two points you make are solved by your own arguement that copper prices are on their way up (if one assumes that the big miners believe likewise). With the way the world is changing it's difficult to imagine that the big miners are not of the same opinion.
On your third point, yes, there are better grades/prospects around the world. No body is argueing that BR is a world beater. But it's already (and will grow) a reasonable amount of Cu without the hassle experienced in other parts of the world. Would seem strange if it get left alone because ... well, can't think of a reason to finish the sentence.
In reality, it looks bad to many because it did not live entirely up to the hype. But that does not mean it's not valuable.
Ultimately we all vote with our wallets.
I hope your strategy works for you.
>> I repeat, there is no way they are agoing to leave 1.3MT+ of copper in the ground in a convenient location in Auss.
Yes, I used to believe that too. However, I eventually came to three conclusions:
1) Unless the copper price is high enough, it isn't economic due to the grades and (as the RNS admits) inferred isn't good enough to effectively plan a mine so more in-fill drilling is needed to raise that to a reserve (exactly what other companies are doing). That needs money from somewhere.
2) Even if the money is available from FB and the drilling is done to raise the JORC status and the copper price hits $5. the majors will still need to be confident that higher price is the 'new normal'. Otherwise, potential price volatility is too much risk for a large investment that requires a high copper price
3) Even if the copper price goes to $5 or $6 (which I think it will ) and looks like staying there (which I also think is true), the majors still have to choose where to invest and XTR is going to be further down the list than potential mines that break even at lower prices.
I decided to invest in options that are potentially higher on that list and also in more general copper stocks.
Any educated guesses on Africa's production income at the moment? I know it is hard with all the crumbs of info we've been fed with but still... Thanks
"Do you seriously think that if the model came back as non-viable, XTR would just release a clear RNS to that effect? Instead, they would prevaricate and obfuscate, like they and many other AIM companies do all the time. Eventually the project will just quietly disappear like Kalengwa, Eureka, etc.. Why do you think there is a new distraction in Zambia?"
Steve: That conclusion does net explain why there's a plan to continue with the modelling and to return to drilling.
I repeat, there is no way they are agoing to leave 1.3MT+ of copper in the ground in a convenient location in Auss.
Thanks 3Card.
Dyslexia rules KO...
Question is, why did LSE pick up on my spelling mistake. Normally it just uses the writers error... unless it thought I was being rude!
Cygnus. Try typing farce
Pre concetration scoping seems fair and reasonable path to now take to me.
Generally, I rate Africa Gold at minimum 2p and maximum 5p per share value.. so for this to be 1.65 p as I type is an extremely squared harsh overall company valuation here imho
eg The market is saying that a bunch more money is going to be spent on Bushranger and in the end Bushranger wil be worth zero.. I do not buy that .. and , again, offer a very bad sell on value for bushranger is £10 to £15 m gbp range in my mind.. eg approx 1 p to 1.5 p per share value range .. and with Africa Gold at 2p minimum .. that makes the current share price FAR too low now in my mind.. so I'm happy to just stay patient here.. and/ or top up if this goes under 1.5p..
>> Those who think this is an admission that the prospect is non viable then you need to ask why continue with the f****?
Do you seriously think that if the model came back as non-viable, XTR would just release a clear RNS to that effect? Instead, they would prevaricate and obfuscate, like they and many other AIM companies do all the time. Eventually the project will just quietly disappear like Kalengwa, Eureka, etc.. Why do you think there is a new distraction in Zambia?
At some point, you have to take off the rose-coloured classes and realise what is actually being said in the RNS.
Or alternatively, consider that if you were not currently invested in XTR, is this where you would invest right now? When I asked myself that question last year, I sold and put the money elsewhere. Still very much weighted to copper BTW - I believe that part.
The reason the price is falling is due to the increased delay that this development introduces.
However, for LTH that want to build a position, this is good news. The RNS suggests that this is economically viable but you'll have to wait for your money.
LSE clearly doesn't like the word f a r s e .
MaBaker... we have to acknowledge what the market thinks... unless you think Optimum will be buying Bushranger !
f*** should read f****.
Don't know where that came from...
I think we all knew that the grades were towards the bottom of the global range. However, in recent decades the way to solve this problem is to use a concentrator. Why it took around 3 months for the modellers to reach this conclusion is beyond me, just hope they're not changing top dollar for this stuff. Anyway, the concentrator is the obvious way to go.
Those who think this is an admission that the prospect is non viable then you need to ask why continue with the f****? That doesn't make sense to me. The modellers have to find the most economic way forward and the concentrator is that solution. In the mean time more drilling will take place. Sounds good to me. Nobody is going to leave 1.3M+ T of copper in the ground in a convenient location in Auss. It's just going to take longer than we planned. The question for me is whether the cost of the drilling will come from dilution or be financed from Africa? See attached link on concentrators.
https://www.mogroup.com/insights/blog/mining-and-metals/the-environmental-and-economic-benefits-of-pre-concentration/
Xtract the Urine resources?
Market doesn't seem to have taken too well to Colin polishing the turd
It's inevitable.
Ore sorting could significantly improve the significant cashflows identified from 1.3mt of copper. Ore sorting will need capex. Capex needs justification. Ore sorting justification study has been announced today.
In layman's terms he is saying if we throw a shed load of copper piping in the machine it will look like we have found more copper.
@ZaksTradersCafe talk to Colin Bird, Executive Chairman @ResourcesXtract about today's market announcement #XTR Update on Open Pit Mining Study for Bushranger Copper-Gold Project in central New South Wales, Australia
https://twitter.com/Share_Talk/status/1633032173686083584?s=20
Zak Mir talks to Colin Bird, Executive Chairman, Xtract Resources, in the wake of the mining study by independent consultants Optimal Mining Solutions (Pty) Ltd to examine the economics of a 20Mpta and 25Mpta open pit operation on the Bushranger Copper-Gold Project in central New South Wales, Australia.
https://www.share-talk.com/zakstraderscafe-interview-colin-bird-executive-chairman-xtract-resources-interview/
>> What on earth does that mean?
It means that if someone provides a billion dollars worth of processing plant, transport networks, power systems, mining equipment and other infrastructure for free, it looks like a good project.
I don't think I have even seen a mining study before that excludes capital costs to make it seem economic. Very innovative.
I am sure if there were any versions of the study that were even close to economic, they would have been front and centre in that RNS. Instead, more drilling, more studies and no end in sight.
Apologies accepted.
More like Non-Extract Resources or Nothing to Extract anytime soon Resources... such a shame.
Such big ideas that unfortunately don't come to fruition imo.
DYOR
What company this is a scheme.
I bet Dani is happy. Keep loading up Dani, you'll be able to buy the whole company soon.
I hope I'm reading the part wrong where it say all 16 scenarios are economical excluding the capex?
What on earth does that mean?