Member Info for chaotic_calmness

Wile, I am comfortable with paper losses, been investing in aim mining sector since it went to depression circa 2011/12...... This would rise - it's time has not come...

I disagree, the management are moving on the right direction, it would take another 3-4 to stabilise the operations....

Director participating heavily in the placement again - the wind would turn here....

Dilution - yes, administration - 50%/50%
Funding via placements are like oxygen for AIM tiddlers just as it happens for startup funding via venture capital sector. The valuation would rise when BRD can self sustain the operations through their cashflow.

As quick as they go down, they do the reverse as well on turning points, which could be six months away. The last few placements could not add value to unreliable equipment plus they were still stripping the waste from near surface.....BRD is about to enter the richer ore body on the lower levels, where the cash flow equations changes to positive territory due to superior CPHT mined.

I think the new management team have enough skin in the game to reassure me that they know what they are doing. That said, this still has high probability to go down in the near term before it sees the uptrend possibly from mid 19.....

Investing in AIM is volatile enough, and junior aim miners are even more volatile. It's not for the faint hearted..... I would be adding more, but just not now.

Agree, there would be lot more shares in the near term, but also means BRD would be one step closer to being self sustaining through its own cash flow. I am waiting on the sideline to lower my average here. I got my timing wrong here, but it's part of the game.

Correction: The cost base is same, but the revenue increases as the cpth increases.

In about 6 months if they manage to run increased production target as per their last rns, then the shares would be many multiples of today's price.

It's the cost of removing waste from upper surface that has impacted the existing cash flow negatively through lower grade diamonds.

The probability of improved cash flow is much greater when they increase the production target on the lower depth level. The cost base is same, but the revenue increases as the cost increases.

Let's see.....

They have raised £3.5M since last 2.5 years (Since April 2016) half of which is probably the running cost of running a listed company, and although the volume of production have risen substantially since last three years but the production has not been reliable enough to deliver value.

The planned upgrade of the mine along with the new mine plan, and the KV1 & KV2 joint mining has high probability to turn the corner here finally. It would all depend how soon they finance, and complete the execution of the latest objectives without much disruption to the existing production.

A market cap of at least £3-£5m seems reasonable considering that BRD is nearing 200k tonne annual production which would deliver annual revenue of over £1.5M but £850k market cap just does not make sense here. Lets see.

A junior miner with three billion dollar each mining resources and yet valued at £20m....

sooner or later, they would be takenover $1b valuation either as whole or sum of parts. we are sitting on the cusp of EV revolution and also the copper demand would heat up from emerging markets of Africa and South Asia, and the gold reserve at DRC and Slovakia are additional bonuses.

From a high of 34p in August 2015 to 0.4p in October 2018....that's a value destruction of 99% in little over three years....wonder how much lower would it go now......well its time to surf chaos here.....Chaotic_Calmness

well the professional traders here can short in merry considering that BRD need a placement now as well as may require in future which would be enough to cover their shorts....they got to be self sustaining and until they are able to do that, this would hang around sub .5p......but you never know....diamond market is still in recovery mode..

.https://economictimes.indiatimes.com/markets/commodities/news/de-beers-expects-indias-diamond-demand-to-pick-up/articleshow/66409216.cms

A sub 1m market cap producing junior miner which also ranks ranks in the top ten in the world in terms of average value per carat is intriguing.. I wonder what the placement price would be considering it's so undervalued here already......a little details over how much they would need to replace legacy equipments with the new ones as well as the admin cost of additional HR and the targeted timeframe to achieve new production targets would help. They would surely be in firmer footing next year, i only hope that it does not come over the cost of overdilution of existing shareholders who have been here for longer than I have been here.

0.9m market cap - that's clearly an oversold territory. Current market cap is 150% cheaper than 2018 annual revenue under revised production guidance of 200k tonnes.

The probability of an strong production year in 2019 with new equipment in kv1 & kv2 pipes remains high.

It did be interesting to know the exact application of the placement fund, and the timeline for upgrading the existing equipments, and updated production guidance. If they can get the production facilities upgraded over the Christmas break, we are looking at a strong 2019 as indicated by the management team on the last rns.
Things never go smoothly for these junior miners, but you have to recognise the turning points.....

Don't forget Circum, the bears are pounding about the status Zulu and RHA, when the fact is just the stake of Circum is enough to cover the current market cap. The execution of the company's plan has been messy to the point of incompetence, but that does not takeaway the fact that the current market cap is way too low in compare to the underlying assets.

the faster BRD get into higher grade depth levels with reliable and efficient machineries and mining extraction plan, the better it would be for them to execute the planned production target. They have come a long way since last three years, probably another 12m-24m away to becoming a profitable junior diamond mining company and there aren't many junior miners like BRD in AIM diamond mining sector....

The market cap is so tiny (£1m), they might just extract the the entire market cap from the sale of some lucky big discoveries. (considering the inferred value of the resource is over $100m, BRD may just get lucky this year while entering the richer depth levels of KV1 pipe....

Zaf also holds a significant amount of IBS, no wonder LEG got involved in the bullshit valuation of £10M for IBS. But as they say in the investing business its that one home run you are looking at.....The BoDs has invested in so many bullshits that the stake in VirtualStock can be their saving grace or should I say save their a*s in this business of finding ASSymmetric opportunities with potential for high return....