Ryan Mee, CEO of Fulcrum Metals, reviews FY23 and progress on the Gold Tailings Hub in Canada. Watch the video here.
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We got one less than 2 months ago
Will there be a quarterly brief to update on WK production? I’ve hunted the web but can’t find anything.
Why valuation of PGM Waterberg ($100m mcap of PGM) shldn't be used as a 100% base for EUA:
- High capex: per DFS project capex is over $1bn
- Higher cost: $767 / oz cost vs $300-400 in MT
- Start of production: 2024 - underground pit is harder to build vs open pit MT
- Country risk: South Africa is junk-rated, obtaining capital is hard. Electricity cuts are regular. Security situation is very bad - mine attacks are very common, the murder rate is one of the highest in the world. South Africa has intense affirmative action regulations which are cumbersome. Capital controls, strikes. Not a single one of these factors is an issue in Russia.
- Post tax IRR per DFS of only 20%
- EUA has no need to build own concentrator and can rely on NN's Severonickel facility nearby -- another capex cut
- Covid risk: EUA's mine is open pit easier social distancing. WK has started to produce when South African mines have been shut / semi operational since covid began
Also EUA has WK which is producing + generating CF + low cost open pit
--> EUA should trade at a significant premium vs PGM
Luc - they've already sold
It is great to see when some unknown entity going by the moniker TBTT turns up and pokes the wasp's nest with his authoritative stick to belittle our company's true intrinsic value is then totally shot down in flames with the true figures from the fantastically researched investor base we have on this BB, well done to Alta_Traako, aandi, etc. great work.
Alta_Traako that must be post of the week.
And when I read "you shoved a mouse and keyboard up your backside and started twerking.", I nearly fell off my chair.
Good effort
GLA
N
This board has been an absolute joy the last few days, thanks for you well thought out and researched notes!! It really steels my opinion on whats coming here. Good luck to the little green boxes you do try but I can see the trail of flames as you go down from here... Best wishes all :-)
Nice Alta and aandi! Cheers for the info!
Dark when people come to trash this share day in day out due to not being in it then people will fight back as it’s their investment! Some people have thousands and thousands here so I couldn’t give a crap how they respond to this plum. He’s just a very bitter person. As great as Alta and aandis replies are this plum won’t give a crap.
Tiger you just got served mate!
That's a very thorough and accurate response alta, nice work!
GLA
“15% stake for $30m = Impala (one of the world's biggest PGM miners) value the whole enterprise at $200m.”
“Most would agree that South Africa is a better jurisdiction than Russia. Cheaper, too.”
“15m ounces here is a PROVEN mineable resource, not a "hope" figure generated by some pretend paid for analyst.”
“The basket price of the PGMs here will be HIGHER than the basket price of Monchetundra."
What he does not say is:
On top of the $30m they paid $165m development costs. Close to $200m spent for 15% and I’m pretty sure they will be making a handsome profit on their $200m investment. (link below)
Palladium was at $900 at the time compared to now at over $2000 (link below)
Extraction cost $640/oz compared to EUA $300-325 (link below)
Underground mine as opposed to open pit. Hello COVID rules and high extraction costs (link below)
Over $1billion required to get the mine to production in the first place (link below)
First production not until 2023 with production to be scaled up to 2027 (link below)
Better jurisdiction on what planet? Bureaucracy and reliability issues plaguing the industry for years with no resolution (link below)
15Moz isn’t a hope. It is based on the Russian Reserves & Resources Reporting System (link below)
Were looking at a sale of company/ asset. This is immediate profit. (Do i really need a link?)
There will be higher basket prices = Guess work
I think we should stick to publicly available information and base any valuations on that. Investors and analysts have done this and consistently find conservative valuations in the mid 50s. We have all shared our working too. Anyone that doubts or wants to contest it are also welcome to share their working but I have a sneaky suspicion that they will not be willing to do this
Normally I would say good try but this felt like you shoved a mouse and keyboard up your backside and started twerking.
Links to the supporting documentation:
http://www.platinumgroupmetals.net/investor-relations/news/press-releases/press-releases-details/2019/Platinum-Group-Metals-Ltd-Announces-Positive-Independent-Definitive-Feasibility-Study-for-the-Waterberg-Palladium-Mine-093f81be2/default.aspx
http://www.platinumgroupmetals.net/waterberg/default.aspx
http://www.platinumgroupmetals.net/investor-relations/news/press-releases/press-releases-details/2020/Platinum-Group-Metals-Ltd-Reports-Impalas-Waterberg-Amended-Purchase-and-Development-Option-Agreement-Completed-Work-Program-in-Progress/default.aspx
https://www.intercontinentalmining.com/russian-reserves-resources-reporting-system/
https://www.gold.co.uk/palladium-price/palladium-price-chart/
https://www.aljazeera.com/ajimpact/record-blackouts-halt-operations-south-african-mines-191210163210115.html#:~:text=Mines%20across%20South%20Africa%20are,the%20country's%20already%20slowing%20economy.
https://www.reuters.com/article/us-safrica-eskom-mining-explainer/explainer-how-south-african-mines-c
Flanks and whole 40moz I mean* Takes us to near 600Mt,
Indicated plus inferred at your place is only 300Mt, the grade is twice as good but its twice the cost to extract.
So eua is twice as good on best case economics before you add in strikes and power cuts
http://www.platinumgroupmetals.net/investor-relations/technical-reports/2019/default.aspx
Tiger by the tail, its an 8.4year pay back time for initial mine cost at October's spot metal prices. 11years if you use the trailing 3 year prices.
Rhodium is only 1.5% of the metal.
I take it droughts or electricity disruptions aren't a worry?
The project has a cut off of 2g/t. Metal grades of 4g/t of the pgm's so there is plenty down there.
Its over a kilometer deep.
Eua will be profitable year 3. With the flanks, MT is potentially larger than this south African mine. Eua have no debt.
A1ex, haha, that made me laugh, have you tested it yet to give me your verdict?
HigJW, asked me the other day what it was and called it 'Ian's celebratory fizz' .. I'm awaiting his verdict also, haha
"TigerByTheTail" where do people get these avatar names from...
Also South African miners have a history of strikes which is understandable given the conditions, this doesn’t seem to apply in Russia
'South Africa better than Russia' - that's absolutely ridiculous
Russia is a much much better place to do business + safe and secure
Also huge cost advantage in Russia - at least 2x cheaper to mine + open pit - not covid-prone
Hence a floor of several hundred $mln for MT even ex flanks
$50m to $100m Value for MT....
It's only 11am!!!? Gin, Ale, Prosecco or maybe even Ians personally endorsed Veuve Monsigny Champagne Brut?
Go check the whole project out.
There are others out there as well, similarly valued. Do some research. It's not hard.
Your valuation of MT is the thing that is ridiculous. The talk of billions on here is laughable.
Anyway, I won't bother you any more. You'll find out the truth in due course.
And, yes, South Africa (for all its problems) is a whole lot safer investment destination than Russia. Again, do some research.
Why oh why do they bother, that post is laughable. The intent obvious.
Utterly pathetic drivel not worthy of a response.
Hmm mines in South Africa are undervalued for one huge reason! They’re in South Africa! Why can you not get your head round this! Your biggest problem is the shares you own are not valued at the level they should be so you go round moaning about other stocks!
Anyway you said we’d be delisted so keep the good predictions up!
You’re halarious
I think this might help some of the more optimistic posters here to put a more accurate valuation on Monchetundra:
https://www.kitco.com/leadgen/companies/PlatinumGroupMetals/
Notes:
1. 15% stake for $30m = Impala (one of the world's biggest PGM miners) value the whole enterprise at $200m.
2. The mine project is FAR more advanced than EUA's project, with a DFS complete and all permissions obtained. 15m ounces here is a PROVEN mineable resource, not a "hope" figure generated by some pretend paid for analyst.
3. The basket price of the PGMs here will be HIGHER than the basket price of Monchetundra. This is thanks to the presence of around 10% of super-expensive rhodium.
4. Most would agree that South Africa is a better jurisdiction than Russia. Cheaper, too.
In short, Monchetundra, on a good day might sell for around 1/4 to 1/2 of this project's value (IMO). That is $50m to $100m.
Can you see now see how grossly overvalued this company was before its suspension?