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Big multi-billion dollar companies like Roche can invest and scale up instantly to fulfil large order with no need to raise additional funds.
Read the Bloomberg article again - Investors can make up their own minds on how specific the Roche test.
https://www.bloomberg.com/news/articles/2020-01-30/roche-s-new-virus-test-could-speed-up-screening-of-patients
Lots of other players in this market.
https://www.bloomberg.com/news/articles/2020-01-30/roche-s-new-virus-test-could-speed-up-screening-of-patients
https://timesofindia.indiatimes.com/world/pakistan/pakistan-acquires-testing-kits-from-china-for-coronavirus-diagnosis/articleshow/73875464.cms
https://www.ptcommunity.com/wire/two-new-rapid-coronavirus-tests-could-play-key-role-efforts-contain-growing-epidemic
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Cooper and Gold assets are good with commodity prices looking particularly good. IF (Big if) they get the license through this re-rates very quickly and the company can raise money at a Premium.
High risk ,High reward play imho.
Buy low sell high and that only happens in a short time-frame when there is an element of risk involved.
The CPR modelling...
"The fine layering at the Upper part of reservoir was to provide sufficient definition in the oil zone as the oil column interval in the Liberator field is thin, varying from 20ft to 60ft in the Phase 1 area (Figure 7-1)."
https://i3.energy/wp-content/uploads/2017/03/20171103-Liberator-CPR-2017-Phase-1-vF-1.pdf
https://twitter.com/GaryNTrader
Sh4re prophets seems to be a bad word and gets replaced with stars. There is a link to the article on Gary's twitter feed
Even the normally bearish Gary Newman sees value in SML at the current SP. SML is gaining interest.
https://twitter.com/*************/status/1197891912763445250
There are a number of other positives here
SML Operates in some great jurisdiction - US, AUD , US
BODs have plenty of skin in the game
Huge upside if Macro Economic change. (US China Trade deal, Brexit, Electric Vehicles)
Chart show we are very oversold so any positive news could see a decent rise.
Cobre alone is probably worth more than £5 - £10M imho. Cobre even now generates c.1m USD Free cash flow per year. This is based on current figures since the Loss of SMLs biggest Customer. You only need to scan the last 4 quarterly reports to deduce this much. And there is plenty more to shovel if SML can increase the customer base.
There may also be some legal redress in SMLs favour for breach of contract. Any predictions on this outcome would be highly speculative so it's best to just to layout the text from the RNS...
The claim consists of three elements, namely:
1) in excess of $2,300,000 in relation to payments outstanding to date;
2) in excess of $19,000,000 in relation to lost profits for the balance of the contract; and
3) punitive damages as permitted by law.
Leigh Creek update on 30th Sept RNS
"In 2020, the Company expects cash flow and profitability to improve dramatically, as full scale production commences at Leigh Creek Copper Mine."
This could generate c.$5 USD free cash flow per year if the figures in the presentations and Podcasts are any indication. That's a huge upside for such a small mcap. And if they reach the phase 1 target the operation will expand further.
Redmoor - Its all in the scoping study
The recently completed mining study, while still based on an Inferred Mineral Resource, provides SML confidence that a major portion of the recently announced resource of 11.7Mt at 1.17% SnEq can potentially be economically mined.
"Using the results of this study, SML believes it has confirmed its view that Redmoor has the potential to be a world class tin and tungsten mine which will deliver attractive returns on investment."
Probably about £2B in situ metal NPV c£100m - Valuation here will move with Market Sentiment and commodities but it has great potential.
$0.76m USD in the bank on 30th Sept
I'll assume this includes the R&D grants in totalling 0.8M AUD (0.55MUSD)
Early Redmoor Payment of 0.3M AUD (0.2USD) and will draw on Q4 cash position
Thats the weird thing about the Market. People sell when the stock is cheap and then pile in after it has gone up 100%
Most people can't value stock so they are swept along by sentiment. People trust strangers on a BBs more than their own judgment. And sentiment is a massive thing as well as Macro economics. Sentiment on these small stock causes all kinds of weird anomalies. You then get some stocks valued at less than the cash in bank value.
Best to slowly scale in around these levels. There might be a few inexperienced distressed sellers giving away their stock later. A lot of small resource stocks have been hammered in this Market, but none more than SML
Macro-Economics are affecting SML as much as anything else. This is buying season now imho.
I think this will be much higher in 2020