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Power = vots x amps. If the volts are increased from 12 to 48, for the same power the current falls by 75% to a quarter of what it was on a 12V system. This does not mean, of course, that only 25% of the copper would now be needed if the operating voltage quadrupled, as sizing of conductors is based not only on current carrying capacity but on mechanical strength of the conductors, but there would be a significant saving on the heavily loaded circuits. In short, a 48V system will result in a significant reduction in the copper needed in an electric vehicle, compared with a 12V equivalent machine.
The 12v system probably uses very little Copper in an electric car.
Interesting. A bit of a mixed message there, it says the switch to 48v systems 'could' reduce the copper required per car. It then states that the first approximation is that it will reduce to just 25% of the current requirement. So I would have thought the initial statement would have been more confident in saying it 'will'. That may be a bit pedantic but as he plans to increase production from 1.37 million cars p.a. to 20 million it still equates, overall, to a huge growth in his demand for copper. There are many other factors that will increase the demand for copper over the coming years. I am more than happy for TRR to increase expose to copper based deals.
New Tesla low-voltage system a ‘big deal’ for copper, says Musk
https://www.mining.com/new-tesla-low-voltage-system-a-big-deal-for-copper-says-musk/
Still not sure any TDTRF shares have been traded on OTC, looking at TRADE DATA it says not available.
Hopefully this will pick up.
https://www.otcmarkets.com/stock/TDTRF/overview
Just a reminder that TRR are doing an investor presentation today at 1pm through the 'Investor meet company' platform.
https://www.investormeetcompany.com/
It's a good platform which usually allows viewers to pose questions during the presentation to be answered at the end.
Registration is free.
OVERNIGHT NEWS
(+) LITHIUM AMERICAS: US Interior Department finds that nearly all of the Thacker Pass site contains lithium, removing another hurdle. Dept to also modernize / clarify rules to simplify permitting process going forwards
- As a reminder, the recent favourable District Court ruling included a remand to the BLM relating to the determination of mining claim rights for tailings.
o LAC was to work closely with the BLM to complete the required assessment, which includes demonstrating mineralization extending to tailings area
- The Interior Department concluding that nearly all of Thacker Pass site contains lithium removes another key hurdle for the project, where construction has already started
o Officials analyzed ~107 of the nearly 500 individual claims, and found only 8 don’t have evidence of enough mineralization to justify siting the waste rock dump there
o As a further positive to US mining, the Interior Department said it will clarify mineral rights under the 1872 law to reflect the “realities of the 21st century.”
- +ve read to TRIDENT, which owns owns a net 1.05% royalty on Thacker Pass – assuming LAC exercises the partial royalty buyback
Lithium prices tipped to surge by 40pc this year
https://www.afr.com/markets/commodities/lithium-prices-tipped-to-surge-by-40pc-this-year-20230517-p5d8yd
La Preciosa is a development stage mineral property, hosting one of the largest undeveloped primary silver resources in Mexico.
Avino Silver & Gold Mines, the current owner of the Project, intends to begin processing stockpiled material from La Preciosa in late H2 2023 before commencing production from fresh ore in 2024. Long-life asset that will start generating cash for Trident in the near-term. https://avino.com/operations/lapreciosa/
Trident Royalties Plc (AIM: TRR, OTCQX: TDTRF), the diversified mining royalty company, is pleased to announce that it has entered into a binding sale and purchase agreement ("SPA") with Coeur Mining, Inc. ("Coeur", NYSE: CDE) to acquire royalties and a milestone payment (the "Royalty Assets", and the acquisition thereof, the "Transaction") over the La Preciosa Silver Project ("La Preciosa" or the "Project"), owned by Avino Silver & Gold Mines Ltd. ("Avino", TSX: ASM, NYSEAMERICAN: ASM), in Mexico.
The Royalty Assets comprise:
· 1.25% net smelter return royalty (the "NSR Royalty") covering the Gloria and Abundancia veins;
· 2.00% gross value return royalty (the "GVR Royalty") covering all other areas of La Preciosa; and
· US$8.75 million milestone payment (the "Milestone Payment"), payable within 12 months of first silver production at La Preciosa.
In consideration, Trident shall pay US$7 million in cash on closing, and a further US$1 million, in cash or shares at Trident's election, upon receipt of the Milestone Payment or other circumstances as set out in the SPA.
HIGHLIGHTS
Near term cash flow over an attractive asset & new commodity exposure
· La Preciosa is one of the largest undeveloped primary silver resources in Mexico, originally acquired by Coeur in 2013 for approximately C$350 million. In March 2022, Coeur sold the asset to Avino for cash, shares, and the Royalty Assets.
· Avino operates the Avino silver mine and mill 19km from La Preciosa, producing concentrates which are sold to Samsung C&T U.K. Ltd. Avino intends to begin processing stockpiled material from La Preciosa in late H2 2023 at its mill, before commencing production from fresh ore in 2024.1
· Avino intends to ramp annual silver production from La Preciosa to circa 3 million ounces ("Moz") by 2027, increasing to 3.5Moz in 2028.2 With a current total Mineral Resource estimate of 120Moz of silver and 224,000 ounces of gold3, La Preciosa is expected to be a long-life asset with further expansion potential.
· The Transaction introduces a new commodity to Trident's portfolio, which currently contains exposure to gold, lithium, copper, iron ore, and mineral sands. In addition to being a tangible store of value and an inflation hedge, with over 50% of silver use for industrial purposes, it is increasingly important due to its conductivity and corrosion resistance, making it a critical component of both solar panels and electric vehicles.
Adam Davidson, Chief Executive Officer of Trident commented:
"This transaction with Coeur again demonstrates our ability to add value for shareholders. The generation of cash earlier this year from the highly profitable disposal of several exploration stage gold royalties has enabled us to complete a speedy and efficient transaction that provides Coeur with a meaningful cash consideration while delivering an attractive return for our investors.
"The Trident portfolio is developing and maturing. La Preciosa is expected to start generating cash for Trident in the near-term, further adding to the rising cash profile that we see over the coming years. La Preciosa is a highly attractive, long-life asset. We are delighted to add silver to our portfolio, combining aspects of precious metals along with significant potential within electrification and transition materials."
..whoops, accidently pressed post!
I was saying that the reporting requirements for a listed company are much more stringent, so SSR will provide regular updates - whereas Lydia didn't have those obligations. I was slightly disappointed the timeframe to production was pushed back even further, but the resource is there, and it's a world class deposit - so it's not really an issue. Plenty of growth to come from the Sandstorm portfolio over the next 5 years..
Hi MS. Yes, caught that news yesterday re Sandstorm. I'm pleased SSR have operational involvement at Hod Maden now. As a listed co the re
Nolan Watson. Don't know if you have seen this news regarding Hod Maden. https://www.kitco.com/news/2023-05-09/SSR-Mining-to-acquire-operating-interest-in-Hod-Maden.html
Thanks for the replies much appreciated.
I’ve decided to get small positions in both as I’m looking to diversify my portfolio. As you’ve said WPM is on a much greater scale so is more of a big dependable play in the current environment whilst TRR being very small and early in its development has more potential to surprise
Excellent summary. I’d emphasise that the biggest difference other than the commodity mix is scale. WPM is at a scale now where it has a very low cost of capital (ie premium valuation multiple, which it maintains) and so likely to trade primarily in line with precious metals prices. Trident is at the start of its journey to achieve scale and so alongside the exposure to different metal prices and the inflation thematic you’re looking for it to trade up on deal execution and for the multiple to re rate as scale is added and the cost of capital decreases.
I hold both (and many other royalty & streamers).
You're comparing apples and pears when putting TRR against WPM. As you say, Wheaton is predominantly precious metals focused - with some exposure to the PGM complex and also to cobalt (same stream as ECOR). Trident are pursuing a balanced portfolio across the entire mining sector - so eventually approx 1/3 will be precious metals focused. The other difference is that Wheaton specialise in streams, whereas TRR are royalties (and offtakes) up to now. So you'd hold these for different reasons. Trident are trying to fill a gap that is currently vacant. There isn't another royalty and streamer that has such a broad mandate as TRR. It gives them great leverage to go chasing deals when nobody else wants them. In comparison, Wheaton look primarily at precious metals, so face stiff competition from peers for those deals. That said, WPM are a juggernaut in this space, and only really Franco and Royal Gold can go toe to toe on spending power. Trident, in comparison, is very very small. The other interesting thing about Wheaton is that a good number of their streams are on the precious metal by-product from some of the biggest copper deposits globally. I expect the big precious metals players to be right at the forefront of financing the drive for more copper - which the world will undoubtedly need.
Hi all,
Any views here as to the merits of TRR vs WPM. TRR has a broader selection of material it gets royalties from whereas WPM seems to be more concentrated into the precious metals space. But what are thoughts on how that will pan out with the US looking like it will be going into recession later this year and the knock on effect that would have on world markets.
Well predicted!
Copper mine flashes warning of ‘huge crisis’ for world supply
https://www.mining.com/web/copper-mine-flashes-warning-of-huge-crisis-for-world-supply/
Must be a positive indicator