Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Thanks Mud. I guess the wise in owl was irony 😂
The Chinese are renowned for building and developing projects quick and on budget. They can flood projects with labour and work 24/7. They use a lot of prefabricated equipment and although it is sometimes deplorable, they do, and will cut corners. I believe that one of the main factors to get this project approved will be time scale. There is a big difference between getting coal out in 5 years and getting it out in 2 1/2 years.
https://www.linkedin.com/pulse/why-does-stuff-happen-so-fast-china-andrew-methven/
RESOURCES
GCM Resources plc has identified a world class coal resource of 572 million tonnes (JORC 2004 compliant) near the town of Phulbari in North West Bangladesh. The resource is made up of 60% high quality thermal coal, with low ash metallurgical coal, also known as semi-soft coking coal, making up about 20%. The remaining thermal coal is also good quality and will have applications in industry and power generation. The coal seam thickness varies between 20 and 65 metres at depths between 165 and 270 metres and 90% of the open cut mining reserve is contained in two thick coal seams separated by a stone band that is typically 1-2 metres thick. The average strip ratio of 7.5 bcm per recoverable coal tonne is highly competitive. The drilling and gravity surveys suggest the basin remains open and extends further southward. Additional drilling will confirm the southern extent of the coal basin.
The coal will be extracted by the open cut mining method using trucks and hydraulic excavators as this is the safest and most efficient approach for the thick Phulbari coal seams and general geological conditions. Open cut mining is an established mining method and will enable maximum extraction of the coal seams along with progressive land rehabilitation and restoration of agricultural activities. In addition to coal, a variety of valuable industrial mineral co-products will be recovered from the overburden which is removed to expose the coal prior to excavation.
The coal will be used in domestic power generation (mine mouth and elsewhere) and in domestic industries such as clay brick and coal briquette production. Coal for the domestic market can also be transported from Phulbari by rail.
PROJECT STATUS
GCM has invested over £55 million in the Project to 30 June 2020 preparing the Feasibility Study, Scheme of Development, Environmental and Social Impact Assessment, Management Action Plans and more recently extensively refining and updating the work carried out in the Feasibility Study. Explaining the Project to a wide range of stakeholders in Bangladesh also continues.
The Department of Environment approved the Project's Environmental Impact Assessment in September 2005. The Project's Feasibility Study and Scheme of Development report was submitted to the Government on 2 October 2005 for approval.
Although a Scheme of Development for mine development was submitted to the Government of Bangladesh in 2005 and still awaits approval, this document did not portray the mine as “captive” with an ultimate deliverable to the Government being 6,000MW of reliable, low-cost power. To this end, the Company’s business model has developed significantly over time and the Project is now considered to comprise four integrated “Business Units”, being the captive coal mine and the three 2,000MW power projects that will be commissioned in-line with the ramp-up to the nameplate 15Mtpa coal production. It is envisaged that the coal mine’s viability will be underpinned by coal supply agreements with each of the three power projects and, in turn, the power projects’ viability will be underpinned by the supply of reliable, competitively priced coal extracted from the Phulbari coal mine.
All the info requested and more is in depth details are on the GCM website, …..
ECONOMICS
The Phulbari deposit is conducive to a long life, low cost open pit mining operation. The production costs will be in the lowest quartile of industry cost curves for both seaborne traded thermal coal and semi-soft coking coal. Substantial initial investment relating to equipment costs, site preparation, box cut development, and initial resettlement and other community programmes, will take place over a three year period leading up to the commencement of commercial coal production. The ramp up to saleable coal production of 15 million tonnes per annum will take a further five years. The coal will be used in domestic power generation and domestic industries such as clay brick and coal briquette production. Options regarding the semi-soft coking coal extraction and marketing remain under consideration.
The combination of high quality coal, a large coal resource, thick seams, highly competitive average stripping ratio, low operating costs, a project life of over 30 years and easy access to domestic markets make Phulbari a world class coal project.
https://www.gcmplc.com/phulbari-coal-project/project-description/economics
I have read, it will take 2 years and that gcm’s coal is the easiest to reach within any mine in Bangla, with some of the best coal globally or better than that which is currently imported. Will try to post a link tomorrow
Hi mankiniparty ( I have an image now 🤢!)
I believe it will take three years to get up and running from the green light.
It will take 5 years to get to full ramp up when Phulbari will be able to produce 15 million tonnes a year.
I think all the power stations in Bangladesh will need 16.425million per year (45,000 tonnes per day) so it shows just how much Phulbari needs to happen for the country.
👍
I did pull back from posting on this & my other main investment.
There are posters here who share top quality, current research - do your own also as i do and make uo own mind!
🦉
Mr Mankiniparty
I think this are operational questions which Management will be in better position to answer after dud yssiins with partners after go ahead given.
We know Foreign currency / Energy situation critical but Govt will be in stronger bargaining position with Country level financial institutions once it is known domestic production given go ahead.
Sometime people miss this when they look at timeframe for Phulbari production to make impact - permission itself ease borrowing mechanism.
What we look for here BEFORE Production and main price catalyst is the Permission itself.
I think ALL intel have to be look at and then picture becoming very clear indeed.
GL
With all your intel can you answer my earlier question i put to you regarding timescales please? Appreciate you may be really busy with your main holding I believe you have somewhere else, so whenever you have time.
Thanks in advance 😁
Well done & thank you for sharing mr Ripley lol
BUT with all intel we have and global energy price situation, Govt Foreign currency crisis, Discussions between company representatives & Gov, public intel on New Energy Plan to be unveil - do we really think situation is same as last time yiu traded.
We also have (very) near term news on New NEDs and think they will be very strategic backgrounds.
I did buy at lower price then any of trades yiu say BUT I have not sold even 1 share & will not.
Maybe Header explain something & with most staggering potential upside anywhere - no thank you!
Well done again but not for me & many other well research ones who see trend continuing as we wait New Plan also & more intel come out of Bangladesh!
🦉
Yep double to 3 days
Nice 👍
Sold two past top ups today for 4p.
They were 14/6/23 bought for 2.5p & 17/2/23 bought for 3.8p .
My last sale was 6/6/23 for 3.9p bought 25/4/23 for 2.9p
Holding back to 11/11/22 level .
I Was glad I sold last time with hindsight .
So that's over 7 million traded today, with another 350K delayed trade
UT for the day was at 4.15, so we have finished the day on i high, which obviously bodes well for tomorrow I would think ...
Nm
I made 3 buys but on the lse trades only 2 show so maybe some late reporting today.
I wonder if the buyer of all those shares at 2p, is now flipping them for 4p for a quick 100 percent?
Is it easier to control the price if the vast majority of trades are from one seller/ buyer? 🤷🏼♂️🤷🏼♂️
To add, I would suggest that all this trading is not all coming from just PI's ??
Wow!!
So that's over 6 million that has been traded today and all at around the 4p mark... that takes some controlling by the MM's to do that, and it also would not surprise me if we see some delayed trades ...
That's some accumulating of shares by someone...
would love to hear others thoughts on this ??
Correct Redeyes. Also interesting that Clean Capital spun the £500k shares at around 2.1p and despite near 100% rise those buyers are not selling. They must have been given a nod and a wink to buy and are happy holding for much bigger profits. Big things are coming for GCM.
I think it’s clear that the players are hoovering up surplus stock. Bearing in mind the trading activity & the developments over the last few weeks.
The rise is certainly being controlled well
Some great traction building here now and it's starting to get the bit between it's teeth... There doesn't seem to be any reason for the sentiment to change, and as soon as conformation that the NED and CHAIR has been finalised, we should take a solid next step up.
. Remember all the buying that went on for the whole of Feb, as 25 mil shares changed hands around the 210 level.... Well I think there is still a buyer tucking away an ever increasing holding.
.
. Follow the money
You seem to be well researched & in the know Mr Owl.
Do you know what the timescale to first commercial coal is following a successful SoD approval please?
Likewise whats the timescale to full ramp up?
Thanks in advance
Looking good ! Did you manage to get your top up ? You were trying into the close Friday !
Header say it all!
NED RNSs very soon
GoB New Energy Plan to be unveil in coming weeks.
Any price dip sees aggressive Buying with such HIGH DEMAND / LOW SUPPLY
I see price development with natural stages but understanding HAZARDOUS to trade because of liquidity situation. I am investor anyway so this situation suit me well.
I expect move into double figure price range shortly and base on my research / understanding of the investment - others may have own views - NO PROBLEM!
Very comfortable with my GCM holding here! 🦉