Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video here.
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Great find Teaye72. Perhaps we are now closer to concluding the acquisition.
I believe PK chairs the MLC.
And according to the latest MLC Statement...
Ministerial approval is now required. Indications are that it will be received, but naturally no guarantees.
Kabwe will be a major undertaking, but with the details given in the last RNS, you know the size of the resource and with AUO funding available I suspect, it will have been well worth waiting for.
I suspect that there will be a copper acquisition as well as Kabwe. QGC and JB never just do one project at a time as they take advantage of near term production assets which need AUO capital to finance them.
Https://twitter.com/Shukaminerals_/status/1800820535536070819
Are we moving into copper?
So illiquid this one, just one or two trades can move the price 5-10% in either direction. I've just added 30k more at 8.44p on the weakness, think that is lowest I have ever seen, with the recent convertable raise done at 15p it's a half price sale almost
Sorry too late at night. I meant Kabwe not Rukwa.
From their website
Shuka Minerals is embarking on an exciting journey of discovery and development in Tanzania, Zambia, South Africa, and other African countries rich in copper, lead, and zinc deposits. Our projects are carefully chosen based on extensive geological surveys and thorough feasibility studies, ensuring that we target high-potential areas that align with our sustainable mining principles.
The latest RNS gave us detail of the first acquisition fulfilling the above objective.
We can identify it as being Rukwa zinc, lead and silver mine in Zambia.
According to the Shuka Minerals website Edenville are still operating the coal mine and secondly the 10,000 tonnes guff has been taken out of the write up.
P.S. to that post, I've been patient for about 14yrs lol .
St P7, March 18th RNS states that the mining staff had returned to start a new production cycle due to the robust demand for coal, no mention of the order book though. We shall see what the results and update say.
I'm not holding my breath.
Results still around another 3 weeks away, also 605k share sell delayed isn't great. We've all been very paitence but that sell doesn't fill me with confidence and is a red flag ffs
Hi Esquimo
They are not producing any coal as far as I am aware. That is a dead resource for the company.
I expect the long awaited RNS announcing the acquisition of the Kabwe Zinc and Lead licence will be with us in the next two weeks. Also, it wouldn't surprise me to find that QGC through their subsidiary AUO will provide the capital for the equipment needed to open up the mine, dewater it and get it ready to produce again.
As has been seen from the last RNS, this mine has a huge value.
The mine's historical non-JORC compliant resources have been independently verified by the Company's retained technical experts and which have an in-situ value of approx. US$1.98 billion based on current London Metal Exchange prices, and where preliminary economic analyses has estimated pre-tax cashflow of US$1.84 billion, NPV10 US$0.56 billion and an IRR of 112% based on the development of two of the five existing non-JORC compliant historical resources.
Just a little more patience and your investment could easily bag from here.
With luck a positive forward looking statement will be included.
We might have some coal out of the gates to satisfy the stated robust demand something they have yet to achieve since clearing the first layer of overburden, a lifetime ago.
“Once again, great to see the Fujax relationship is going well at #MARU, it’s only logical that Fujax will be eyeing up activities at #SKA, this bodes very well for future lead & zinc offtake agreements in my opinion.
@JB_MiningAfrica @Shukaminerals_
lse.co.uk/rns/MARU.PL/of…”
https://x.com/redditdeluxe/status/1796435577241501895?s=46&t=IHEn1TE0c7FNFBktt6H8XQ
"What’s a $5m share issue going to do to the price of a £6m mcap with £2m convertible loan notes in the background?"
Eh? You're trying to complain that a £2M CLN at very favourable terms, to buy a $1.8BN resource, will do bad things to the market cap? That's a cracker than one! :) I suspect a $1,800,000,000 resource might increase the MCap a tad from £6M a tad, don't you?
Only 2 reasons for such a post, Bridgedogg1:
a. You didn’t understand the RNS within the context of the company’s current state (let alone the change from EDL)
b. You want to manipulate the price.
Won’t state my guess, but it isn’t “a.”
Only 2 reasons for such a post, Bridgedogg1:
a. You didn’t understand the RNS within the context of the company’s current state (let alone the change from EDL)
b. You want to manipulate the price.
Won’t state my guess, but it isn’t “a.”
Bridgedogg1 your remark on the convertible loan notes is misleading. The company has effectively borrowed £2m which will be converted at 15p in due course and at the cheap rate of 3% per annum; as simple as that, not your typical loan note disaster. This was done to avoid the need for an RTO.
The acquisition cost is not $5m in shares either - it is to be a mixture of shares and cash.
The value of the asset being acquired is far in excess of the amount that is being paid for it. So no dilution for shareholders, just a great deal and a multibagger in the making.
What’s a $5m share issue going to do to the price of a £6m mcap with £2m convertible loan notes in the background?
Re MM tricks, they are playing every trick in the book these days to try and STOP investors buying into the small caps, the reason is I suspect they are, on the whole, short on the book, the average sector drop is around 85% since Q1 2021 when the last bull run ended.
In the vast majority of cases the large drops have occurred on relatively low volumes, some companies have been forced to raise cash at heavily dilutive levels as a result of these mark downs but not Shuka, this company has no legacy discounted placing stock to churn so no wonder they (the MM'ers) do not want new buyers piling into a totally illiquid situation.
The best avenue is to force them to trade by placing limit orders, the current market value here (circa £6m) when you consider the value ahead, not many companies can acquire a NPV $560m project backed by a billionaire, the stock is dirt cheap as a result.
Also remember the shares traded around 18p last October !
I see the MMs were up to their tricks again to make it seem that there was little of an increase in the SP by arranging a UT trade printed after hours at 10.3p, when in reality the SP ended up 10% higher at 11p mid-price.
Once the acquisition is fully detailed, the mcap should end up a lot higher than today. We have had to be extremely patient for this deal to be announced as fully completed and I expect those with the patience of a saint will be handsomely rewarded.
Hold for ZINC.
From another bb.
Lots of due diligence from the NOMAD before allowing that RNS to include the $1.9 billion value in the ground.
Significant value coming here and an easy hold.
Plus the largest shareholder willing to pay 15p/share for funds versus 11p current price.
No doubt he can see where Shuka is headed.
Looking at the trades today I find it hard to believe that the magnitude of Fridays post has had so little effect.
I'm sure Jason will have an interview lined up,he doesn't like wasting good news. That usually sts the price flying.