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I suspect the market is overly focused on the Songwe MDA where the perception is we're still some months away. Similarly the refining and recycling side remains under-appreciated despite strong progress imo.
8p could well be recycled the question then is would it become a buyer magnet 🧲...id take some more
We*
Will be see 8 again?
I think that webinar was a missed opportunity the 6ix guy clearly was clueless about HyproMag and had done zero research he thought they used magnets to extract rare earths pft.....
Julian is good at answering questions but he is not good at giving unless you ask the questions! Seems only GLR asked a worthy question ...I would have liked to have known potential international rollout plans... Julian is off to Rhiad next month for example ...
Positives for Mkango are Cotec is well into and on this and is getting the message out and getting the investment interest too Mkango won't be owing Cotec anything until there is already significant value in the joint venture and the chances of grant funding are strong with US Gov and US DoD wanting and needing and funding such projects/plants and the magnet producers stateside are also already interested.....
Pretty much comes down to nailing the feedstock supply that is where Mkangos relationship with the likes of EMR is massive....
And yeah the Tyelsely commercial plant does look to be waiting on some more equipment before it is up and running but the Piolt plant has proven up the commercial viability which is of course why EMR has chosen HyproMag to recycle the wind turbine magnets that they will already be getting from Scotland, EMR has been working with HyPtpMag since at least 2020 so obviously have great confidence in the tech.
At least 5 supers! 'super green' is my fave :)
Here it is!
https://www.youtube.com/watch?v=335635FjLmY&list=PLtaY2C7EDECt8DOL2W_IelRenAhQhkKcl&index=18
Aha thanks, GLR ... I too presumed the 'commercial' plant needed to be fully functioning first to prove up to potential investors/partners but can see how the pilot can do that already...Those pics of the products etc
Super Excited! :) .... just need that bit to translate into the SP
Is someone able to advise (@GLR perhaps you know?) on the below:
- The DFS RNS on 5 July 2022 has a table showing pricing assumptions for first 5 years. From this am I right in thinking the DFS assumes an Nd oxide price of $210/kg ? The text before the table references pricing of $156.8/kg in 2022 increasing to $215.5/kg in 2025 and $266.0/kg in 2035.
- Does this compare to current pricing of $88/kg per Trading Economics and $75/kg per Metal.com?
- Hopefully I've got the above wrong, but if not does this not make Songwe uneconomical in current pricing?
It was interesting hearing JT (in today's Cotec talk) say he thought the JV already has a value which dwarfs the market cap of Cotec (c.£26m?) and he expects to make 100s of millions of dollars (albeit not sure if he was also referring to future JVs they are planning in iron ore & copper space).
He mentioned key part of Cotec role was managing [third party] funding which will involve continued marketing. Also mentioned seeing increased interest from investors. Eventually you'd have thought this will lead to increased interest in Mkango & share price going up
Yep so we currently have two planes in the UK
A small scale ‘pilot’ plant which works 100% as expected
A currently being built larger plant that will produce a minimum of 100t/pa est. for Q423
I thought the pilot plant was the larger plant, but not the case, that is being built now and should hopefully be commissioned
Everything works so I don’t see much risk here with the tech, that must be hugely valuable, JT said any investor who wants to equity fund the US JV can go to the UK and see for themselves
And yes, he was super excited :-)
Thanks, GLR... I missed it:( was having fun working in the rain so will have to wait for the video to be posted...Can you explain this though:
' the 'crucial' component of having a commissioned plant in the UK doesn't appear to be as critical now, as JT said that he personally visited the plant and any US investor can visit the plant, and see it working in all its glory, so the tech is now completely proven, which is fantastic news.'
Does this mean the Tyseley plant is up and running and operational already?
Another good call
One caveat I will get out of the way early, as to come across balanced, is that the lead times on the equipment needed to build and scale the plants, could cause a delay (Julian hinted this was an issue, albeit the only issue) so Q4 2023 IMHO is now a slight risk without clarification
With that out of the way, it's clear this technology is truly advanced, with over £100m USD already spent on it, the investor interest across the pond is enormous, with governments, OEMS and even magnet manufacturing companies very interested and eager to get a slice of the pie
I think by Y/E we might actually see some equity investment, from third parties (hinted) grants from the US govt et. al, looks like progress will now accelerate that the JV has been formed, the 'crucial' component of having a commissioned plant in the UK doesn't appear to be as critical now, as JT said that he personally visited the plant and any US investor can visit the plant, and see it working in all its glory, so the tech is now completely proven, which is fantastic news.
So we really are now at the the funding and scale up stage, what equity we will be left with once the JV is fully funded, we will see, but to start with an overall indirect 40% interest via Maginito is very valuable, especially should the US JV reach highs of $100m+ that would be almost 2 bags on our current cap just from the JV holdings (excluding our UK and GER plants, and any other ventures in the future such as Canada or Japan)
JT also said that there is competition but we are leading the recycling space, with the attractiveness being that our refining / production is extremely green
So ultimately, at £24m cap, we may be cheaper than ever, but the market will be the judge of that over the coming years.
Julians "Super Excited" sweepstake - I will go for 3.
Seems like only MDA news will unclog this stock. Come on Malawi, pull your finger out!
That the Cotec US HyproMag webinar is timed for Toronto stock exchange opening... possible news included? Dunno but we should get a clearer picture
Well my MKA shares are definitely an investment. The current investment objective is growth. In time this will move more towards income with progress of the various exploration mining refining and recycling projects.
This is an investment play once the business is generating cash and has no further need of raising capital.
This is AIM, where the mention of a casino is a good simile.
The MDA and then hopefully sale of Songwe at an attractive price will then make this an investment, as far as I am concerned.
I am clearly still long here, and I know how AIM shares rocket and plummet, sometimes on thin air. So I have no issue with that aspect. Anyway, it remains a waiting game for now. GLA.
Good we got about the same amount as Pensana from Innovate UK - and we are a company 1/5 of the MCAP! Bodes well for the future, as well as the JV which the market has also ignored.
Am I missing something somewhere?
I'd imagine the BoD are just as frustrated as us about getting this over the line. Definitely back in the buy zone. We are the same company as at 12p only with what appears fully funded, nailed on recycling entrance to the states and some massive partners to get an unlimited amount of used turbines through the doors. What's not to like?? (Other than the share price)
Julian is sure to be 'Super Excited' :)
Mkango Subsidiary, Maginito, and CoTec Form US Joint Venture
Webinar hosted by Cotec on 6ix media today at 2.30pm ought to be worth viewing
https://events.6ix.com/preview/6508426ce85a920a7509e0cb
'Join Julian Treger, President & CEO of CoTec Holdings Corp., as he discusses last week's press release and what it means for the company. The live event is followed by a Q&A session.'
Now you can ask about likely US Gov funding etc ;)
Yep. Still here, but regret not dumping one tranche when it was briefly over 12p a few weeks ago. Was about to go on holiday and decided to leave it be.
The recycling stuff is very interesting and I have made my opinions clear on that a while ago, but Songwe needs closure now. For cash flow and for BOD credibility IMO.
It is also more likely to keep me here as an investor, rather than just a trader...although I have probably been a shareholder here for too long now to count as a trader!
The old saying about an investor being a trade that went wrong comes to mind :)
'Rare earth permanent magnets are essential components in the F-35, Unmanned Aerial Vehicles, and numerous other defense systems. These national security related uses, represent a small part of the US commercial need for rare earth element magnets. As a result, MCEIP is dedicated to using its resources to help stimulate private capital as evidenced by the E-VAC investment.
"We're building on previous DoD awards, that augment or complement other Agency investments for rare earth minerals to help establish an integrated, domestic rare earth supply chain from mine to magnet," said Dr. Laura Taylor-Kale, Assistant Secretary of Defense for Industrial Base Policy. "IBP is reinforcing the Administration's goal to build a rare earth industrial base fully capable of meeting our national defense requirements."
Invests in RE magnet supply...
'The Office of the Assistant Secretary of Defense for Industrial Base Policy, through its Manufacturing Capability Expansion and Investment Prioritization (MCEIP) office, issued an award to E-VAC Magnetics, LLC (E-VAC) to establish a domestic rare earth permanent magnet manufacturing capability. E-VAC is part of VAC Group, a manufacturer of rare earth permanent magnets
The agreement will provide $94.1 million to E-VAC to acquire and install manufacturing equipment, operationalize technical infrastructure, and engineer production lines. E-VAC will perform this work to establish high volume rare earth permanent magnet production by 2025.'
https://www.defense.gov/News/Releases/Release/Article/3529874/department-of-defense-enters-an-agreement-to-expand-domestic-manufacturing-to-s/
Come on MKA, put us all out of our misery!!! Tough seeing sub 10p again after last weeks great news. Hopefully news this month as another "save the share price" presentation won't wash.
Dr. Lazarus Chakwera
@LAZARUSCHAKWERA
·
9h
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