Ben Richardson, CEO at SulNOx, confident they can cost-effectively decarbonise commercial shipping. Watch the video here.
It remains to be seen where the market will take palladium prices in 2020, but we reasonably can assume that with stricter emissions standards in highly populated developing countries and without any predicted forecast of increased supply, palladium will continue to sell at a premium.
Key takeaways:
1. Demand for platinum group metals (PGMs) in India and China should offset declining demand from slowing western economies.
2. Palladium is expected to continue selling at a premium to platinum.
3. Autocatalyst recycling is the second largest contributor to PGM world supply.
https://www.recyclingtoday.com/article/platinum-group-metals-commodity-focus/
Thanks builder and stockdale. Amers is on my filter list. I usually find green boxes follow swiftly after the factual posts. No problem, lot's of material out there in EUA's favour. Just need to read the RNS's and check the Rhodium and Palladium prices and forecasts.
Palladium keeps smashing records as regulators chase clean air (#Palladium >$2100) "sky really is the limit according to market sources"
#EUA Flanks are progressing well and on schedule, in line with strategy to be largest alluvial PGM operations globally
https://twitter.com/TrivChannel/status/1216825354758819843?s=20
"With the $2,000/oz hurdle now easily cleared, the sky really is the limit according to market sources. Emissions standards are set to get tougher as global governments step up efforts to avert a climate catastrophe. "
https://blogs.platts.com/2020/01/13/commodity-tracker-european-wind-oil-130120/
#EUA According to the Russian Cadastre, there are potential resources within existing Company licence & the flanks application of c.15M oz;
The Pd to Pt ratio in Monchetundra varies from 1.7-5.8 Pd/Pt ratio, a similar range is observed in the Flanks area. #Palladium at $2119/oz
https://twitter.com/TrivChannel/status/1216441637225758720?s=20
To summarise, according to the Russian Cadastre;
- There are potential resources within the existing Company licence and the flanks application of c.15M oz;
- Additional potential resources within 5km of the Monchetundra Mining license of c.7M oz and;
- Total potential resources within the wider Monchegorsk district, according to the Russian Cadastre, of c.40M oz of PGMs.
The total potential resources in the Russian Cadastre breaks down as:
· c.15M oz of PGM within the Flanks application for which the Company has exclusive rights, and inclusive of the Company's c.2M oz reserve and resource.
· c.4M oz (in addition to the above c.15M oz of PGM also within 5Km) neighbouring the Monchetundra Project and within 5Km.
The total amount potentially controlled by Eurasia and under flanks exclusivity right application is c.15M oz of PGM as per the Russian cadastre of state resources;
· Further potential resources of c. 21Moz in established & unlicensed resources and reserves in the district surrounding the town of Monchegorsk, that is located 8Km from Monchetundra
https://twitter.com/gmf782/status/1216272734482771968?s=21
"West Kytlim (WK), an established PGM mine also owned by #EUA. Sorted out contractor issues, scheduled to start mining this month as per RNS 26.11 - nice cash cow to have alongside MT options. So many reasons to be looking at Eurasia Mining this month" - @GMF782
Yes, based on the sale of MT alone. If we sold for say $2.45bn - then if the special divi was for example 20p, and if they decided to use the 30p equivalent on WK and cash in the bank, then our SP would reflect the 30p (plus WK's current worth).
Although, personally I don't feel they would distribute say £500m to shareholders and keep £1bn in the bank. Considering MT only needs $177 for sinosteel, and the lower costs of exploration & WK development, it wouldn't make much sense.
Especially as the board have a considerable holding and would most likely wish to pursue future projects etc, would make sense to give it all up (I.e selling WK too).
But should EUA keep WK then I don't think we would need more than a couple of hundred million dollars for aggressive expansion or exploration. But as I said, should they still wish to keep the value in the bank - it would reflect in the SP. So although we would not get it in the dividend - our shares would be 30p (allowing us to slice however much we wish. Or almost all of it should we wish to get the 50p, in this instance).
Regardless, the asset sale price here is the most important factor - heavily dependant on the average $/oz negotiated.
Whilst it would be a fantastic result, would it be classified as "dreaming" or "optimistic"?
An asset sale of $2.45bn = 50p/ share (after 5% bank fees, 80% ownership and full dilution).
That is $163/oz. Which is
- the same as half the cost of extraction;
- less than 8% of todays Pd prices;
- cheaper than the recent NAP sale;
- Cheaper than what you would get using Optiva's $188/oz in their previous valuation (when Pd prices were $1000, as opposed to $2100);
- The last non-consolidated palladium play in a bull market, where Palladium is at it's highest prices, large structural deficit set to continue, demand set to rise in the coming decade.
Moreover, unlike other sales of companies or assets, Eurasia mining do not need to sell this asset for anything less than they deem it to be worth. Therefore, the ball is technically in their court. Sinosteel is in place in order to get us up & running.
Then you have the location of the mine MT:
- Quite literally beside the giant Norilsk Nickel's processing facilities
- Lowest operational costs globally
- NN have recently invested just under $4bn in the Artic tundra project - where it's not really feasible to produce cheap palladium in the near future
- They have been open about investing up to $12bn in the next 5 years
- NN removing divi payments for investments
- In the past they have paid 50% above a competitors bid to secure something they've wanted - for $6bn. Is it so outrageous for them to spend under $3bn on this mine in their backyard - in order to keep it out of the hands of the MULTIPLE interested parties that EUA are speaking to, in their on-going negotiations/ talks (as per recent RNS')?
Just looking at it logically, not trying to ramp or whisper promises in anybody's ears either. I would personally be happy with anything above 25-30p+. But $167/oz to yield 50p/share works out well for shareholders and the buyer alike (cheap for them, assuming they already nearby facilities in place - saving hundreds of millions of $).
Additionally; Since negotiations began - the in-situ value went from approximately $27bn to over $30bn for the 15mOz alone.
An asset sale of $2.45bn (50p or so) is cheaper than the in ground value increase ($3bn!) over the last few months.
This doesn't include the 4moz in our licence area. It doesn't include the 21moz palladium (more than double!) in the nearby areas, which EUA/the buyer will have a strong chance of achieving licences for. $2.24bn isn't very expensive at all for 15 million ounces of Pd. This also doesn't even include a potential disposal of WK.
I would be happy with using 10% of averages of Q3/Q4 prices of Pd. A sale of $3bn+ would be even better. But just throwing it out there, this is a world class asset. It doesn't take much research on Palladium & its deficit, and Monchetundra and benchmarking against other Palladium mines in production to know that this is clearly very valuable.
Naturally invites numerous botflies with incorrect facts. our 13moz resource which will add significant value to our asset at Monchetundra once the flanks are officially awarded.
Loads of green boxes so thought I'd share my "filter list" again, for those users who wanted a cleaner read.
JAdam robjprofit bunsenburner123 TrickyDickyTwo Sam12345 Siborg76 BullSTOP jimjam (and all forms of JimJam) JezTheFez Simonthezealot Elenor jimjamuk dimsum3 newtothisgame2 nennyb Dodge100 jarosg Juxtaposition LB29 trafffc Amers fflintdenby69 okfornow Blackadder1 erifles mtmind lamtree
Looking good :) Been a good day (& week) so far for EUA
Cheers to all you holders!!
Great night! Hope you had one too!!!!!!!!!
Special shout out to LTH’s and EUA, bring on 2020
With great love
Xx
Ah I can see it in sight. It’s so close and things are progressing well, sp is doing better than holding up and big buyers getting, what appears to be, the last call in.
Yeah, a few sewer rats here and there but the light is shining bright at the end of the tunnel.
Look forward to the asset sale(s), & Russian Xmas and NYE :)
Now, I’d better get a life, go back to sleep before I start a power trip and buy another 500k tomorrow.
Keep up the good posts stockdale & others (you Know who you are!)
But Ian.. we’re at risk of becoming rich!
Please list these mining projects: if they have the same/similar basket (PGM mine) otherwise that’s irrelevant.
10-20p / year dividend is not what people are saying? A one off asset sale for a fair amount in $/oz
Considering the 19 million ounces Eurasia have- almost 15moz of which we will have licence for.
I hope a deal is almost at completion stage; but if it means getting a special dividend for under 30p, I expect EUA will have kept a large sum of the asset sale to themselves, which raises mcap considerably and will still make our share price rocket.
I should think using 10% Q3 or Q4 prices of Pd, for the 15moz gives a fairer valuation. ($140-175/Oz)
“I am calling it up ten times from here and 50 times from earlier this year”
Not a deramping comment. But how did you calculate that? Just by saying it will be 10x current levels, or 50 bag from earlier this year?
“Just pointing out the utter nonsense from the escapees from the looney bin”
These ‘escapees’ mainly provide in depth and logical valuations on what and how they come to a speculative asset sale.
For example; you assume $75/oz of Pd to be sold: this is LESS THAN HALF of what NAP sold for: they had fewer ounces, higher costs and lower Pd price and demand.
That’s a sale of $1.125bn
Or £865m
And eurasias 80% will be £692m
= 24p
1. You honestly think that we would sell $75/oz
When previous deals went for $100 (2016) and $214 (2019)
2. This is excluding the rest of our basket
3. This is excluding the 4moz we have within our radius that is exclusive to EUA
4. This is excluding the rights MT owners would have on the surrounding 21moz in the kola region: effectively double what we have in our licensed area
5. This is excluding the Pd demand and forecast which have seen it breach $2000 recently
6. This is excluding MT being lower in price to extract than any of the previous mines. Only open pit one.
7. We have the advantage of being in the back yard of the largest producer of Palladium in the world, with their facilities already in place, saving particular suitors millions and millions of dollars (& time)
$75/oz ? That’s a bit of a cheap give away and most shareholders will likely opt to mine it ourselves
So before you accuse the board of being spouting utter nonsense and accusing their sanity, perhaps provide a calculation to back up your 24p prediction and why double that outrageous in your eyes.
Yes 24p is a result to some. Then again so is 5p. It doesn’t mean we give away one of the most precious assets in the world today, for peanuts.
Hello Boyce,
A brief answer to some of your questions:
1. Genuine opportunity or quick way for huge loss?
- imo an opportunity, logically looking at it there isn’t a possibility of making a huge loss as this share has started to rerate. Yes, in the short term of up to a few weeks or months before mining season is in full swing, there may be some volatility. But holding a share for such a time is short-term. We have two main mines that make this company a great success:
[A] WEST KYTLIM (predominately Platinum)
Worth: circ 2.8p+
- WK is an open pit alluvial mine- with very low extraction costs
- The basket of metals: Platinum, Rhodium, Palladium & Iridium
- WK as of this year is 100% owned by Eurasia
- An aggressive drilling programme along with potentially more washplants and equipment will allow further expansion & upgrade to C1 category
- awaiting Tipil licence: will be in addition to our already vast area
- WK will be the largest alluvial producer of Platinum, an important asset in the PGM sector
- BOTH mines WK & MT are at the global cost curve, more stable than other countries dealing with PGM’s
- Surplus cash hence no req. for dilution or placements
[B] MONCHETUNDRA (predominantly Palladium)
Worth: circ 6-8p for 1.9moz
- Company making mine with 1.9moz approved reserves
- MoD authorised application for a further 13moz, awaiting SevNapZedra regional approval to increase our ounces from 1.9moz to 15moz (7.9 fold increase)
- Palladium prices, forecast & demand can be easily researched. The most precious metal on earth in a structural deficit, consistently high prices with an increased demand for 2020+. The most valuable metal on Earth
- Far into discussions of an assert sale: two of the largest banks in China & Russia working (for months) for free, for a success fee basis, to stimulate healthy competition and produce the best deal
- strategic advisors and new directors hired to expand the already capable team
- some directors paid through shares: incentivise for them get the best outcome as they are large shareholders
- basket of MT also contains nickel and copper
- MT asset sale will command multi billion dollars, assuming it went for the lowest $/oz from previous Pd sale deals
- MT have a further 4moz in their licence area which could be sold for a discounted price
- Failure of an asset sale means Sinosteel contract will be triggered: EUA would mine and will become exponentially richer year after year
2. New accounts hardly any effort to back up claims?
- mainly the negative ones. Please search through links, posts & RNS to confirm this
- numerous posts & RNS will confirm fundamentals
3. However all the 'chat' has seen the share price jump from 0.4/0.5 upto 3.5
- share price partly up via speculation but mainly due to above factors & realisation of value (+flanks)
4. main subject being on an offer that would 12-29.0?
- Optiva broker target is 12.75p. Based on WK & 1.9moz Pd
- at 15moz thi
Just a link to the proactive transcript (along with some dated RNSs, Article and End of year report) -
#EUA
https://www.dropbox.com/sh/ak8rewy0pkvqgzz/AAAKnn_EoKwjcLiDrFTCIhMka?dl=0
https:// www.dropbox.com/sh/ak8rewy0pkvqgzz/AAAKnn_EoKwjcLiDrFTCIhMka?dl=0
As we prepare for the festive holidays, it's important to remember those who continue to perform tirelessly and diligently at their at their top level in order to help achieve the best success for us, the shareholders. To name a few:
1. CHRISTIAN SCHAFFALITZKY [CS]
- Our Executive Chairman & Managing Director EurGeol,FIMMM,Pgeo,CEng.
- With 40 years experience in mineral exploration, the founder of CSA international has NUMEROUS discovery credits & is also chairman at Kibo Mining Plc.
2. DMITRY SUSCHOV [DS]
- Non-Executive Director [NED] & our largest shareholder.
- Sir Suschov is a commodities trading veteran who has successfully built a major Pulverized Coal Injection franchise throughout Asia, Europe & America with an annual turnover of up to $100 million, therby accumulating ~2.5% of the global PCI market share!
- He is ALSO an investment banker with extensive experience in the Russian resources industry; previously worked with IG Capital, MDM Bank, PricewaterhouseCoopers & Ernst&Young as mining&metals leader
3. GARY FITZGERALD
- NED with 30 years experience in investment management, prior director of Framlington Investment Management
4. JAMES NIEUWENHUYS [AJN]
- Our most recently appointed NED
- James has held senior positions including Chief Operating Officer at Polyus Gold- Russias largest gold miner
- He is currently CEO at South African LESEGO PLATINUM Mining Limited.
- AJN would have been appointed if a Lesego asset sale of Monchetundra would have occured, but an interesting change in strategy has led to him valuable to expand Eurasia's team, to include industry professionals with relevant contacts.
- AJN has an engineering background and has also held senior positions at a number of EPC organisations.
5. ALEXEI CHURAKOV [AC]
- Strategic advisor to the board
- Mr. Churakov is a former Goldman Sachs and Morgan Stanley senior investment banker specialized in the mining sector.
- With a background in cross-border M&A transactions operating from Moscow, London and NY - Alexei brings his extensive experience in mining M&A as well as maintaining a hands on approach at operational level.
6. ALEXANDER SUSHCHEV [AS]
- Strategic advisor to the board
- AS is a metallurgist by background and a former CEO of SMCM (molybdenum & rhenium metals producer)
- Interestlingly, was also a former manager at Norilsk Nickel.
- AS will NOT receive a salary for his role - but has success orientated motivation through indirect shares in Eurasia.
- Been an advisor to EUA for 10 years & made the task of licencing projects easier
- His contacts & experience on the top levels of PGM's are important for on-going discussions
Additionally, Mr Keith Byrne PGeo,EurGeol & resource geologist has working tirelessly responding to queries amongst his other significant roles in the company. Alexei Boucher for his key roles in the company & PR, as well as ALL of EUA staff on ground&office - during these exciting times, THANK YOU & BEST OF
Blue? The sax posts were a welcome addition and are still there.. what’s going on?
With regards to Monchetundra Project:
- two predominately palladium open pit deposits
- located 3km away from Severonickel
- Severonickel is one of the largest NORILSK Nickel's base metals AND PGM processing facility
- near the town of Monchegorsk on the Kola Peninsula.
- The Russian Ministry of Defence (MoD) HAS APPROVED the Monchetundra Flanks application!
- Now awaiting final approval from SevZapNedra [the regional licensing body]
- The approval from the Russian Ministry of Defence is an IMPORTANT STEP in obtaining the Flanks licence.
- Eurasia is happy to confirm the Flanks application process is progressing as planned.
- EUA expect to receive the respective licence in due course. (Further updates will be provided)
The ever anticipated note from chairman: Christian Schaffalitzky:
- “The Directors are pleased that all our applications including the Monchetundra Flanks are progressing well and on schedule.
- We look forward to the formal license issue (which is in line with our strategy to become one of the largest alluvial PGM operations globally
- We believe we are now established as an important player in the PGM space in both the Urals and Kola regions
- look forward to scaling up operations at West Kytlim perhaps the lowest cost PGM operation that is potentially sustainable over several decades.
- Our:
1. cash cushion
2. our zero debt
3. the progress on the Monchetundra Flanks and
4. the favourable price environment for PGM (particularly for palladium and rhodium)
are helping us in our ongoing talks and discussions, and we believe this strengthens our negotiating position as we continue to explore options for our assets.”
I read this is we are progressing very well towards officially obtaining the Flanks licence. Hurling our 1.9moz ownership towards a whopping 15moz of the most valuable metal on Earth, which has breached $2000 and will certainly continue to perform well in the near and medium future.
A positive message to shareholders demonstrating they continue to perform well, as clearly there is much in Eurasia’s favour.
Very exciting times and I am much looking forward to the conclusion. Overall great RNS update that has further strengthened spirit
Please refer to my earlier mathematical calculations to see how this number is achievable.
Please avoid cultist members who spam this board with little to no knowledge of how much of montechundra is even worth, let alone the dividend payment. 55p seems like a lot to some people considering they only get paid 5p for a deramp
I’m proud of the company and the shareholders who have held throughout the times.
The rewards are potentially around the corner. Or they will be several fold in the coming years.
An amazing investment to set you and yours up nicely.