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Seis, I listen to the presentation again for the 5th time and he says Inyoni is affected when SA goes to Stage 6 and above. I live in SA and a large part of 2023 has been at stage 6. We at stage 6 now.
No great surprises which given recent history is a good thing! Costs per unit coming down and earnings per unit going up so we are going in the right direction. I don’t really understand why they have stopped cobalt production altogether if they can still produce at a profit. Maybe they are happy to stockpile the concentrate until they can get a better margin from it.
One thing I’d like a bit more clarity on is the PGM production. The stated capacity of Inyoni is 44,000 PGM ounces / year or 11,000 PGM ounces / quarter. Why are we only achieving just over 9,000 PGM ounces this quarter? Is it down to the grade of feed material or were there any effects from load shedding this quarter? We know they have sufficient feedstock because some of the stockpile was sent to Windsor for processing.
I’ve wondered before why they stopped taking advantage of the JV to add extra PGM ounces but now I think about it the answer is obvious, all of the available feed was going to Inyoni. Now they have upped chrome production there is extra feed available to send out to Windsor. Hopefully they continue to do this, I’d rather have 60% revenue from those extra ounces than nothing, at least until the copper operation gets into full swing.
Maybe problems early on which we have already been told about and which have partially caused the fall in the sp.
Do we know why the expectation for the year is 38000 oz when capacity of the plant is 44000?
PGM processing progressing at the expected rate. Only extra processing might be affected by power supply and that is over and above projections so should have absolutely no effect on the sp. Perhaps Leon should take a little more care over his wording as there are plenty of investors who will not understand.
Didn't see anything negative in that RNS so bit confused why this is red but I guess this is AIM so logic doesn't necessarily apply. I presume the amount of PGM we process from our own feed is currently being limited by power supply to process it is it?
Well the market wanted an update and it got one. Good to see everything on track. Just need the Cobalt price to start ticking up.
Great RNS full stop. Ship completely steadied before next growth phase. Particularly excited about the current quarter with the basket price rising, copper production rising, chrome prices holding strong. Strong hints PGM production likely to surprise to the upside of guidance. Could be a good finale to the year. One figure stood out head and shoulders over the first six months was the earnings per PGM ounce of $902, opposed to $845. The cash in the bank should be building nicely now, with a blue print for the northern project expected in June. Feeling very happy now with the extra shares accumulated in the 7p region. Thank you Leon for listening and providing a quarterly update. Very important indeed, helping close out the doom mongers preying on the silence and unkown. Great RNS, setting up the current quarter nicely.
More or less as expected. Nice to see the increase in chrome credits mitigating the reduction in PGM basket price. Eastern limb on course. Cobalt on hold. News on Northern strategy costs and timeline at end of June.
If you had left the last paragraph out and avoided criticising them they might actually have printed it and we might have got some free advertising.
@9.1p
GL holders
Great idea Telly, you never know it might plant a seed and generate a bit more coverage for the industry and Jubilee in particular!
Good point Seis. In light of that, I DMd Mining Weekly and had a moan. It's ludicrous that this metal extraction method is not even in the conversation about future copper shortfall from Mining Weekly. I just pointed out the following to them:
Good morning. I saw your article via Reuters regarding the projected shortfall of copper in the coming years, despite the increase in recycling. I was surprised to notice the failure to even mention reprocessing tailings dumps, in the process of being perfected by companies like Jubilee Metals. You imply that the only ways we can meet our demand is by increasing copper mines or switching to aluminium. There are billions of tonnes of tailings dumps all over the world, considered waste and pollution. Jubilee takes this 'waste' and profitably extracts the remaining copper from them. I thought you had your finger on the pulse of African mining and all things related. So, clearing and reprocessing these vast polluting dumps whilst producing thousands of tonnes of A grade copper cathode without further mining doesn't even warrant a mention? Oh dear. A bit more due diligence maybe?
Well, it made me feel better anyway....
https://www.miningweekly.com/article/copper-industry-warns-of-looming-supply-gap-without-more-mines-2023-04-21
Just reiterating what’s been said many times already but it’s interesting that in all of these articles they talk about increased mining and increased recycling but re-processing of waste never seems to get a mention. It feels like this industry is still very much under the radar at the moment, hopefully this will be the year to start changing that.
Fair enough but the tax thing is completely out of his control.
What to expect next week in terms of an update.
1. Roan upgrade to start early April.
2. Expecting the TAX issues to be sorted out in April.
As CEO you can't say things with no follow through, your share price is gonna take another beating if you stay quiet.
Thanks SeisNav for your thoughts, it's appreciated.
ICMAX the trades seem to be in matched pairs if you look at the times and volumes. If you look at the London Stock Exchange listing for JLP you can see more information, they seem to be some kind of transfer between EU/UK? Maybe someone with more knowledge of the trading system will be able to offer more.
Does anyone with more knowledge than me have any thoughts on the 9m shares sold today at approx 3:13.
Surprisingly it doesn't seem to have affected the share price but I'm a bit puzzled with these transactions.
Any thoughts would be appreciated
Also in US dollars platinum is at a near 2 year high today. Palladium also still on an upward trajectory… long may it continue! Hopefully we will see rhodium follow suit in the coming weeks.
Cobalt might remain a bit more depressed though, I saw that the Chinese reached an agreement with DRC government over the export of copper and cobalt which has been blocked since last year over royalty disputes. There is a big stockpile there waiting to be released to the markets. Of course we have the bonus of ESG friendly cobalt so that might be a plus in securing a better price than LME rate.
Exactly Dorfan.
Seis, thank you.
I still feel there could be a production update for PGMs. Everyone knows by now that Leon is very enthusiastic with giving predictions. All I'm saying is give us and update with some figures. After all there should already be a huge improvement Let's keep this momentum going that Jubilee so dearly needs.
Otherwise we know what happens... share price fizzles out..
We already know they wont be at full capacity at Roan this quarter. I posted about that the other day:
“ I suspect many shareholders are as confused as I was over the expected timeline for Roan, so I have gone through the RNS and the presentations to try and get a clearer picture. This is what I got:
From the RNS:
“The final phase of the Roan project ramp-up is scheduled for early April 2023 to complete the commercialisation of the Southern Copper Refining project expected during May 2023. Upon reaching commercial production, the Roan copper concentrator is expected to contribute 550 tonnes of copper per month to the production of Sable Refinery with a further 130 tonnes per month of copper from third party supplies.”
Commercialisation is when the budgeted throughput of copper (550 Tonnes / month) is reached. This isn’t the same as reaching name-plate capacity.
From the presentation:
Roan expected to reach 800+ Tonnes / month capacity “post the current period”
“We have a conservative number on Roan’s production profile to allow for some downtime during the upgrade.”
Upgrade of front end expected to be done within an 8 week period once it commences.
So what we might expect to hear next, during May, is that we have reached commercialisation. Because of the upgrade to the front end (an 8 week period approximately) there will be some reduction in capacity. I guess that’s why they are not expecting to reach full capacity during the current period. Leon said that there is some downtime already built in to the numbers.”
Happydays
I agree with you. In South Africa we need to know if load shedding (stage 6) is having any impact on production. We have been told that the company has been able to deal with the problem but some reassurance would make a huge difference to sentiment and as you mentioned reassurance of progress in Zambia would see the share price fly.
I live in hope that we will hear some good news pretty soon
Platinum hits all time highs in Rands
Well well well.
This needs a major re-rate now.
LEON, can you please give us the quarterly for PGMs and chrome!! Why miss an opportunity like this when we had a decent rally!
And are running at 100% at Roan?
Thank you in advance.