Roundtable Discussion; The Future of Mineral Sands. 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.
Only if the luck virus wears off!!!
Given we sell a product has non transparent pricing ( not on an exchange) and also the composition of what we sell is not defined ( large flake/jumbo flake). Why is it irrelevant?.
We have a basket price quoted in npv and it is good to know how Conservative it is, especially because we are pre production and cannot track via earnings.
It is like saying you sell something but you are not interested exactly in what you sell or what price you get?
Night Vision you will find that Mr Flibbles is a muppet, and I'll get you ironically with my hex vision!!!!
If offtake is soon to follow ML and a precursor to financing though surely the commodity price is highly relevant? Yes we won't be producing it for 18 months or whatever but my understanding is it does actually matter to secure offtake (and establish a price that lenders will lend against).
Why do Muppets insist on posting commodity prices constantly!!
The fluctuation has little impact on sentiment here especially when he long awaited rubber stamping of license has not yet taken place. Kind of like looking at the weather on google 3 months from now.
MB and AK have worked together and still do on projects. One won’t undermine the other, whatever goes on I can’t see it not been discussed beforehand.
My hope is newsflow is currently stalled on two counts:
- ML first, then newsflow
- Kabungas position. Is he fully out yet? If he isn't out they might not want to run the news for him to sell into. In any case you want the ML first anyway.
With a bit of luck ML lands, and Kabunga is 'sufficiently out' (even though from the last warrants RNS presumably still has warrants left?) that he can't completely tank any share price appreciation on licence. You just don't want him to pull the price back down ahead of the equity component of the financing and MB will be well aware of this IMO. It is always tricky where you have a significant entity selling down.
Anyway hopefully not long to find out on both fronts. If Kabunga wants out and the licence is close I would hope the company could look to place his shares. I have a sufficient holding here (now >1% of co) that I'd really like good news to be followed by rerate thank you very much :)
I do hope they do some basic things like include the basket of graphite and provide price graphs for each element.
Bit strange not to do this. Other companies do it and I am sure they have the data
Yeah, he could do with going on a sales course. Some CEOs wax lyrical about their companies whereas MB gives one or two word answers.
Won’t matter when the ML drops
Thanks for the link.
Not the chattiest CEO, but it answered the ML question which is great.
Do you have link for podcast?
Yes of course it was tongue in cheek. But the point is even 60kt/annum (the initial production) with a mixture of flake sizes is likely to fetch very good money. FWIW I suspect the DFS numbers are on the conservative side on sale price and of course - because the baskets etc. are negotiated it is very difficult to come up with a figure rather than my other investments where an ounce of gold is priced at an ounce of gold. From the podcast Matt Bull also confirmed the graphite market has hotted up in the last year so prices are likely to be above DFS numbers anyway, reading between the lines. Just hope we get ML soon and those offtakes nailed.
But always good to do the topend calc if for nothing more than giggles I love to see 100:1 disparities on gross earnings to mcap you know you are invested in something with quite a lot of upside!
@wasarunner only a proportion of the total offtake is suitable for batteries though, isn't it?
Last time I looked the large flake sizes are actually far more valuable than the smaller particles used in batteries, although that price different will no doubt change as the EV revolution progresses.
from February RNS ..."We recently announced positive confirmation from Australia's Commonwealth Scientific and Industrial Research Organisation that Armadale's natural flake graphite from our Mahenge graphite project is suitable for use in lithium-ion batteries ". ....let me just check the price chart...
Haha it's laughable 25M mcap, price action on mining licence will be interesting, funding will be a piece of cake hopefully executed well. I did predict new all time high last week but need some news, Hopefully this week :)
blimey. 120kt/annum of the battery grade would fetch up to $2.4bn(/annum). What's our mcap again? Oh yeah £25m....
There is not a single commodity prices chart for graphite that I find so I can track historic prices. Is this still the case?
I do have the current prices:
Type of Natural Graphite Average Price ($/tonne January 2013
Small Flake (95% – 98%) $900 – $1,200
Medium Flake (95% – 98%) $1,050 – $1,400
Large Flake (95% – 98%) $1,400 – $1,800
Jumbo Flake (95% – 98%) >$1,600
Battery Grade Flake (99.9%) $5,000 – $20,000
https://www.focusgraphite.com/technology/
Does anyone have then for say 1-5 years ago?