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Theo: the offtake information you seek is here:
https://pensana.co.uk/wp-content/uploads/2024/02/Corporate-Presentation-February-2024.pdf
It says "Executed letter of intent for the offtake for up to 100% of stage 1 production. Customer has approved MREC product specifications." Hmm.... ambiguous, even by Pensana standards.
Moving on: LewisW - I don't agree that China will continue to be price controllers and market entry blockers - those days are numbered now. China ha already embarked on a current 5-year plan to hugely ramp up domestic EV production, at the same time as cutting their oil energy dependency through a vast internal wind energy build-out. They recently warned the rest of the world that China has no obligation to be the supplier of first or last resort for rare-earth materials in future, and in 2023 placed an embargo on Chinese companies exporting RE magnet technology, manufacturing equipment and IP.
It seems clear to me that China are simply not interested in selling magnet fabrication materials , from refined oxides to sinter powder, or even finished magnets - what they are really committed to is selling the world the finished goods - EVs, wind turbines, consumer goods, and electronic items. Witness the BYD EV invasion happening in Europe.
Forecasters are saying the the magnet materials market supply-demand balance went negative at the end of 2023, will be 500 to 800 tonnes by end 2024, rising steadily to an unimaginable 1/4 million tonnes by 2040. That's several times China's total production capacity today.
Some info for you: in Apr 2022, Adamas Intelligence produced a report "Rare Earth Magnet Market Outlook to 2035", subsequently updated in May 2023 as a 220 page report "Rare Earth Magnet Market Outlook to 2040" - each paid-for subscription so unavailable for personal reading/research.
However, if you go to:
https://www.listcorp.com/asx/bre/brazilian-rare-earths-limited/news/prospectus-part-1-2973997.html
This Dec 2023 prospectus includes a 21-page client report produced by Adamas Intelligence "Rare Earth Market Outlook - An Independent Analysis for Brazilian Rare Earths (ASX:BRE)", which you can read in full (though it is "Client Confidential").
It makes very interesting reading, from which my conclusion is that the NdPr market is going into a very heated decade ahead, and also that the West has frittered away, through 5 years of inaction, any opportunity it ever had to mitigate the consequences.
Re-cycling will not work in a growing Market, and there are still only a small amount of installed RE motors out there.
What on Earth is non mine production ? I hope you are not referring to RBW, even if they can ever manage to get their process working it is not going to be as profitable as LJ nor be able to produce any sustainable quantity.
If everybody adopted your philosophy that China already has a lay down misere, we may as well give up now and save what money we have to buy Dim sims. The very fact that you continue to comment here indicates that you don't even believe in your own raving's !
Sundrum, when was this letter of intent executed, I must have missed that announcement?
Lewis - The wind turbine manufacturers and auto OEMs (to name but a couple of markets) recognise the RE prices as quoted by the SMM are manipulated. They are also acutely aware a supply crunch is around the corner hence their desire to secure reliable, ESG rated RE from Western suppliers. It's all well and good chancing your arm on the open market at budget prices but if China can't (or won't) supply REs you don't have a business.
As you are no doubt aware, Pensana already has an executed letter of intent in place for the offtake of 100% of stage 1 production from LJ.
Pre and all others then have a problem then, China will control pricing indefinitely making it uneconomical to mine, as is the case today.
Recycling and non-mine projects are surely king.
Remind me, at what basket price does Pre need to be viable?
Lewis, Don't believe what Thomas says, China are not loosing money, they have just moved their profit margins Downstream. China operates as a Co-operative one owner, the CCP who direct everything that goes on in China.
Thanks fellas for your comments.
Tony, is it not counting the 15mill already received?
Let me just light the blue touch paper......
Or it could be the spades in ground incentive bonuses the board had previously pencilled in for themselves.
Lots of ASS U MING all round here.
At least it gives PRE board 10 months breathing room for other finance needed next year as ASS U MING this year will be funded by Angola via the "Advanced" equity portion (80 mill, 15 in hand/spent).
Positive for me is it seems Angola are balls deep and will likely fund the project in entirety if other financing falls through.
Given the risk,uncertainty of this type of project and the hideous price if REE where even China are losing money imho then it seems fairly priced at moment.
Never assume anything, it makes an ASS out of U and ME
Tony, the 220 million includes 20 million contingency, which hasn't been included in the cash spend forecast.
$197M activity costs and $217M budget which I assume takes admin costs into account. What about inflation during the build? Does anyone have the answers or have I missed it somewhere.
All on time then - safe to assume funding will be concluded very soon
Hey Up - the r*cist Foghorn from up north is back!!
Have you actually read the RNS?
Right on cue, Karen and our Dim sim cook are back again ! both professing doom and gloom but ignoring the FACT that they both got it completely wrong; this same time last year when they were both claiming the imminent demise of PRE and are both now back again ignoring the fact that PRE's management are on the cusp of returning both of the Companies projects to pre 2022 projections.
It is now painfully obvious to anybody who analyses the bigger picture, that the fallout from the last two years of economic contraction is solely down to the Chinese and their mishandling of Covid; Claiming that PRE's and the World's woes are nothing other than a global trend, is a distraction designed to misdirect blame from the true culprit ~ Xi and his Wuhan Laboratory !
Now I can understand why the Theologist got it so wrong, his Messiah has a litany of failures behind him. As for the Opium smoker I suppose if you read enough discarded fortune cookies you are equally bound to get it wrong !
Theo: Answer my question ~ What's happened to Round Top ?
My March to March Prediction proved correct once again!
Last year March, and the March before that, I predicted that nowt would have changed here while the zealots were predicting that the world's greatest would finally come through with the funding. Exactly as I predicted. No funding. I was wrong on 1 thing though. Something has changed from a year a go, the SP is 49.5% lower!
Dare I say it? Come March 2025, nowt will have changed here. No plant, no shipment. Just the world's greatest jetting around going from one bash to the next!
31st August 2021. ABGSC will be initiating their detailed due diligence review shortly and will look to be in a
position to target a bond issuance during Q4 2021 once FEED and site preparation is complete.
21st December 2022. Initial site works are underway at Saltend and Longonjo, and this additional investment will take us
through to main financing and the commencement of main construction at both projects during Q1 of
2023.
3rd April 2023. As reported the Company is at an advanced stage in its financing of both the Saltend rare earth separation
facility in the UK and the Longonjo mine in Angola.
31st October 2023. The Company is in early discussions with the UKIB and with other potential equity
partners for the balance of the funding, namely circa US$100 million equity
requirement
3rd January 2024. Financing for each of the Longonjo and Saltend projects is currently underway.
25th February 2024.The Company, through its 84% owned subsidiary Ozango Minerais SA (Ozango), which owns
100% of the Longonjo project, has concluded a non-binding term sheet.The Facility is condiOonal on obtaining guarantees from the relevant export credit agency for which discussions are well advanced.
The company has never ever announced that it has run into a problem with financing so which if any of the above statements were to be believed? The latest update says they have a non binding term sheet but still do not have either the equity or the export agency guarantee. Hardly encouraging. Meanwhile the directors continue to trouser over $100,000 a month of shareholders' money. So why hurry?!
So why is Paul Atherley talking to him. He is a tea leaf chartist that only encourages traders that leave as fast as they join sucking others along with them.
Stay clear in my view.
What has Zak Mir got to do with the success or failure of Pensana ? I really don’t understand why some of you bother posting at all ?
Zak Mir - Oh dear
Another re-hash of all the stuff we already know and love here:
https://pensana.co.uk/wp-content/uploads/2024/02/Corporate-Presentation-February-2024.pdf
- but they've just missed the 28 Feb US$950 million Polestar financing annoucement here :
https://finance.yahoo.com/news/polestar-secures-usd-1-billion-141800930.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAFnzA_rSixZi53wJOhPgtrs6QzF1UV45qqOw0bxMDle-6ZbdC3NiGzJrFxOgy2tbq5JtTtbvkr8SFOQghPSvW4yBVrnGRn3uNQmnluKn95DrRh5rZJ1jsC46sYUbVxQFyrlAFGN8I3ZbonsSHpiT1jUi98KpSwKCslwkIipI-K
Word is that Polestar will be manufacturing in China and only maybe in USA. No real surprise there because Polestar = Geely since Volvo pulled out.
So much for the PA-touted "Net-Zero by 2030. Responsible sourcing: Ethical and transparent supply chain/Engaged with major OEM’s for partnership to support their magnet supply chains including Polestar"
I'm guessing we can now cross off Polestar as one of the potential offtake customers, which suggests that quite a few other candidates on PA's offtake list also need to be reconsidered in the light of Geely's ever-growing ownership and acquisitions.
Zak Mir = Kiss of death
Theo, What I do with my money is my own business ~ so please don't worry about me or Tony as we have both done very well. Now stop being a Karen as you have lost any credibility in yourself that you thought you may have had. You are be a legend in your own mind but a waste of space to others. You can't even provide advice when its requested ~ what's happened to Round Top ?
I have not changed direction and want to see the mine get funded. I read a work in progress type of RNS and yet others assumed it was all done and dusted because that is what they wanted to read into it.
How come the normally ever reliable Tony seems to have changed direction. ??????
China. I told you to get out of Pre when the sp was 180p. So I guess that makes you one of the village idiots. At least you don't have to worry about your capital gains tax liability.