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PS

Forgot to add : Big Den has decades of practice playing off one side against the other(s), having AD Ports involved at PN helpfully means he doesn't have to commit to either or any side in particular....

And if the worst happens, AbuDhabi is pretty congenial these days for a well-heeled exile - just ask ex-King Juan Carlos !

;-> / ;-

Hi Jiving,

Interesting thread!

Especially in the context of an accelerating polarisation of camps (US-led vs China-led) as the 2 sides slug it out for influence, resources etc.

The US's Inflation Reduction Act ("IRA", great acronym) is a euphemism for general subsidizing re-shoring or 'ABC' - Anyone/AnywhereButChina - the CHIPS act is specifically about de-risking dependency on Taiwanese semi-conductors.

There's no separate 'fighting fund' - yet - for scarce mineral resources, AFAICS.

Meanwhile, the non-aligned don't want to be drawn into either camp and would rather do business with both.

Commercial enterprises like GLEN (which has its own issues with the US (DoJ) etc) have to steer a line avoiding being drawn unarguably into either side.

I think that accounts for the change in emphasis that you've remarked on.

We know that Chinese earlier direct interest in PN SEZ foundered on sovereignty issues, PN itself is arguably 'strategic' as the premier West African potential deepwater port, AD Ports' quick move to secure the concession might fit in with that thesis: the Gulfies hedging their bets and securing a 'placeholder' negotiating position, so that they benefit whatever the outcome.

And I'd also add India as potential 'strategic investors' AND 'strategic customers' - Essar, Jindal Group, Arcelor Mittal even.

Let's see if the interims give any clues. The clock hasn't stopped.

ATB

Thanks for this.

These major users are encouraging the 'tweaking for further improvement' of the 70% of US steel production that is EAF, using scrap/recycled.

Notable non-participants are the US car sector, which still sources /needs 'primary' steel, produced the old-fashioned, 'dirtier' way : it's upgrading the latter (30%) that will move the dial on emissions.

Which is where DRI, briquettes , 'green ore' as input etc come in...

AFAICS.

Hi Hardboy,

I stand corrected on your point re 'my company'. Maybe/I hope SRT is the exception that proves the rule, but I've found over the 40 years or so I've been investing that it's usually better for my wallet - and peace of mind - not to fall in love with a share ;-<

As regards future business, eagle eye over on advfn has posted his understanding of the situation (with a lot more other good stuff), which reflects my view

.."New System Pipeline.

I will provide a link to the presentation when it becomes available.

Following conversion of £180m (£40m+£140m) contracts over the past 12 months, the near term pipeline now stands at £380m. £260m is expected to be follow on business from existing customers, plus balance of £120m from three new customers. [Ed.: M East and Far East, IIRC].

Kenya is new on the block and it would like the project to commence in 2024.

SRT has pushed this into the £1.02bn medium term pipeline as delivery in such a short-time frame is unlikely."

Buses, eh!

ATB

And some interest in YPF...

https://oilprice.com/Energy/Crude-Oil/Vaca-Muertas-Sweet-Crude-Attracts-Global-Energy-Giants.html

.."There are also the geological formation’s low breakeven costs to consider. Drilling, lifting and other operational costs have fallen considerably in recent years as the Vaca Muerta has been developed. The geological body has a low average breakeven cost of $35 to $40 per barrel, with consultancy McKinsey & Company claiming the Vaca Muerta technically breaks even at $36 per barrel, which is competitive with other drilling locations in Latin America and lower than most U.S. shale basins. This further underscores the attractiveness of investing in the Vaca Muerta for foreign energy companies that are seeking high-quality, low-cost plays that produce light, sweet crude oil with a low carbon footprint.."

Continued...

On the business front, Simon again walked us through the system contract delivery cycle and 'bundling' of multiple interlinked phases. He sounded confident that existing facilities offered enough headroom for the resultant potential 'lumpiness' of cashflows.

In terms of MDA pipeline, there appear to be 3 x liveish prospects aggregating $ 140m (pls correct if I misheard this); as to transceivers, Simon referenced the US market (18m of the 28m leisure craft in the world?) and a newly appointed sales person there.

More generally, the Ukraine conflict and migration towards Europe seem to be moving SRT's product range up the political agenda, even (again, if I understood correctly) the UK was showing more interest than hitherto.

Last observation : very informative and enjoyable, meeting both the SRT 'team' - Directors and staff - and my fellow investors.

It's a shame only 20 -30 turned up...and the absence of 'suits' (representatives of the City) was a bit disappointing : SRT still seems to be under the radar, if things go to plan, I'd expect to see more institutional presence at the next AGM!

E & OE, NAI, DYOR, AIUI etc etc

ATB

My first AGM and visit to the 'command centre' in Midsomer Norton.

Overall impressions positive. My observations :

- informative walk-through the premises. All staff 'primed' and 'on message'.

- connectivity issues (Q w/Cardiff?) meant no interactive display took place. Unfortunate, but- if this can happen here- it's a salutary reminder of the technical and logistical challenges there must be in less developed environments;

- Nexus display v impressive, esp. the 'Apple-like' focus on quality, not just technical (H/C tolerance and functionality) but also 'personal' stuff like clarity of visuals and the 'feel' of button operation. Latency is critical to the experience. Unit retail price ($ 1,500) seems high but - in context of the target market - immaterial. It will also allow good margins ('blended ca. 40%' we were told later).

The unit can handle - if I got this right - up to 30 connections (a mix of interactive communicating devices anywhere on board and passive trackers like AirTags ), with commercial or leisure applications.

One feature in particular - a 'man overboard' instant alert (and location) when a device drops out of the pre-determined base unit perimeter - seems a compelling argument to convince even the die-hard traditionalist VHF user ('this is your Captain speaking') to switch over to Nexus- whether it helps save a deckhand of a fishing crew or a child (or tipsy adult) on a leisure boat.

There'll be a soft launch at an upcoming exhibition, with 50 or so units provided to a representative 'target market', with a mid 2024 target general roll-out.

For ATONs, there's a similar Japanese-like policy of 'continuous improvement', tweaking the offering with incremental features/add-ons, eg allowing some remote maintenance diagnostics.

The software team were conspicuous by their absence - a couple of rows of empty PC banks as 'place-holders' for staff all working from home.

The hardware /R + D area looked OK to this layman (and my more techie son) and I liked the investment in an owned testing unit to reduce/mitigate somewhat dependency on Flextronic.

The AGM business was handled well and the presentation + Q and A and conversations throughout the day gave me a more nuanced understanding of the business, in particular the 'soft' info re potential interdepartmental 'turf wars' (Navy vs Coast Guard vs Fisheries, for instance; 19 fiefdoms in Indonesia) and the domestic politics - in Philippines - of commercial vs 'artesanal' fishermen.

There's a lot at stake (fish both as food / livelihood and for export potential : a possible doubling of exports (USD 1 Billion+) if fish are 'EU compliant' . Pres.Marcos seems to be taking a 'hands-on' approach to sorting this out, with the current legal wrangle hopefully resolved in the next few months.

Customers often want a snazzy Head Office for their command centre, there may be a bit of 'mission creep' - certainly time invested - by SRT in massaging egos.

Contin

Hat tip to galatea99 :

.."This recent signing of a direct investment agreement between Saudi Arabia and Argentina might be of interest. Only six weeks ago, how opportune?

"Saudi Minister of Investment Eng. Khalid Al-Falih and Argentinian Minister of Foreign Affairs International Trade and Worship Santiago Andres Cafiero have signed a memorandum of understanding concerning cooperation to encourage direct investment between Saudi Arabia and Argentina.

The memorandum was reached during the Saudi delegation's visit to Latin American countries.

The ministers held a meeting in the attendance of several representatives from the private sector and Saudi and Argentinian companies.

Al-Falih and Cafiero discussed strengthening relations and boosting investment in the two countries through important projects in vital sectors and fields of joint interest.

The Saudi minister reviewed the Ministry's role in attracting investments, enabling sectors to grow, setting up regulations and policies, improving access to services through public-private sector partnerships, as well as carrying out the social and economic transformation envisaged in the Saudi Vision 2030."

https://www.ksa.com/saudi-arabia-argentina-sign-memorandum-of-understanding-encouraging-investment

followed by this, today :

https://www.batimes.com.ar/news/economy/argentina-secures-us500-million-saudi-investment-on-food-energy.phtml

The current Saudi Minister for Industry and Mineral Resources (formerly part of the Ministry of Energy), Bandar AlKhorayef, has a family and personal interest in agriculture...

https://en.wikipedia.org/wiki/Bandar_Alkhorayef

First signs of closer cooperation, following recent accession of both countries to the BRICS organisation ?

Certainly lots of scope for 'win-win', I should imagine.

Interesting times...

Two points re AlKhorayef :

- He's Minister of Mines, but his personal and family background is agriculture (Saudi's Achilles heel);

- one of his other family businesses has a presence in Pointe Noire.

https://www.alkhorayefpetroleum.com/About-us.aspx

So he can probably get -and if asked, give - an 'informed opinion' about conditions on the ground 'in-country'.

Thanks for this summary/reminder of why we're invested, MM .

The 'causes and conditions' are right, time to get something sorted out.

Fortescue shows what can be done, despite the recent political hiccup next door .

Capital Drilling CAPD gives an update re its Ivindo/Belinga contract in today's RNS :

.."Gabon Drilling & Mining Services Contract Update

-- Ramp up of operations at our load & haul, crushing and drilling contract with Ivindo Iron SA proceeding well: Operations continue to ramp up successfully at the Ivindo project. We have now commenced drilling operations to assist in further defining this world class deposit. The majority of the mining equipment is now in country with operations also already underway, and crushing due to commence later in the year..."

May still achieve first ore shipment this year, as per this plan

https://www.reuters.com/article/fortescue-ironore-gabon-idUSKBN2YD03X

Get a move on, ZIOC !

CAPD gives an update re its Ivindo/Belinga contract (Fortescue) :

.."Gabon Drilling & Mining Services Contract Update

-- Ramp up of operations at our load & haul, crushing and drilling contract with Ivindo Iron SA proceeding well: Operations continue to ramp up successfully at the Ivindo project. We have now commenced drilling operations to assist in further defining this world class deposit. The majority of the mining equipment is now in country with operations also already underway, and crushing due to commence later in the year..."

May still achieve first ore shipment this year, as per this plan

https://www.reuters.com/article/fortescue-ironore-gabon-idUSKBN2YD03X

Get a move on, ZIOC !

History doesn’t repeat, but it quite often rhymes.

ATB

Google Shard Capital and its connections with Hans Windhorst…and various FT articles.

OTOH, joint brokership is shared with Peel Hunt and it’s the latter that’s the Nomad.

ATB

Just a snippet, from across the water (Congo-Brazzaville) :

..""Congo Terminal, a subsidiary of AGL (Africa Global Logistics) and operator of the container terminal at the autonomous port of Pointe-Noire, announced on 13 September that it had renewed its ISO 9001 certification for its activities in the following areas : loading, unloading, storage of containers, transhipment and delivery of containers for import and export."

Renewal is for a 3 year period. PN is arguably the best natural deepwater port in (southern) West Africa.

This company is part of the MSC logistics empire that recently took over Bollore Logistics Africa and is supposedly separately in acquisition talks with Ocean Wilsons (OCN) in Brazil.

The new concessionaire for Pointe Noire (and a possible build-out) is AbuDhabi Ports, which is expanding its footprint beyond the M East , into Africa and Europe (most recently with the acquisition of Spain's Noatum group).

https://www.adportsgroup.com/en/news-and-media/2022/11/18/acquisition-of-noatum-propels-ad-ports-group-to-become-a-global-logistics-platform

If you look at the pie-chart of ADPorts revenue, Latin America is the obvious next stop on the way to being 'global'.

Abu Dhabi has just joined the BRICS South-south alliance (alongside Argentina).

Let's see if 'the trend is our friend' - Wilson Sons would be a very synergistic bolt-on, IMO.

NAI, DYOR etc etc

Today's depeches reports that Congo Terminal renews its ISO 9001 certification.

"Congo Terminal, a subsidiary of AGL (Africa Global Logistics) and operator of the container terminal at the autonomous port of Pointe-Noire, announced on 13 September that it had renewed its ISO 9001 certification for its activities in the following areas : loading, unloading, storage of containers, transhipment and delivery of containers for import and export."

Renewal is for a 3 year period.

This company is part of the MSC logistics empire that recently took over Bollore Logistics Africa and is supposedly separately in acquisition talks with Ocean Wilsons (OCN) in Brazil.

It'll be interesting to see how its scope of work at PN meshes with new concessionaire AD Ports' plans for the area.

After the initial flurry of activity, things have gone rather quiet, AFAICS

Today's depeches reports that Congo Terminal renews its ISO 9001 certification.

"Congo Terminal, a subsidiary of AGL (Africa Global Logistics) and operator of the container terminal at the autonomous port of Pointe-Noire, announced on 13 September that it had renewed its ISO 9001 certification for its activities in the following areas : loading, unloading, storage of containers, transhipment and delivery of containers for import and export."

Renewal is for a 3 year period.

This company is part of the MSC logistics empire that recently took over Bollore Logistics Africa and is supposedly separately in acquisition talks with Ocean Wilsons (OCN) in Brazil.

It'll be interesting to see how its scope of work at PN meshes with new concessionaire AD Ports' plans for the area.

After the initial flurry of activity, things have gone rather quiet, AFAICS

Today's Depeches de Brazzaville reports on the Minister of Mines Boya's visit to KP2's proposed plant site at Yanga.

Boya and his entourage of about 12, looking at some billboard pin-ups.

According to Warren Thompson, the project's financial manager, the overall cost of this project is estimated at

1.8 billion dollars. "We've really come to the the end of everything that had to be done and the actual start-up of the project is planned for 2024. The construction work will take four years...."

The minister's take ? For his part, the Minister pointed out that this visit was an important milestone. It represents

the culmination of a process during which there have been many twists and turns and tussles between the government

and its partners to the point where the government wanted to take the licence from this company. We issued formal notices, summonses, this company approched the minister, finally to ask for our clemency.

Our agreement was based on the various economic difficulties currently facing the world, so to raise the funds for a project of this scale, a world-class project, requires a lot of funds to develop it.

"Today, is a milestone that augurs a happy future for this project. We're very satisfied , because after

fifteen years, this company has just achieved a great deal with the support of other partner companies. The project is taking shape.

So I'm optimistic, while remaining vigilant," concluded the Minister.

Maybe not out of the woods yet...

.."It's a bit funny when people who haven't read about the company and filings are trying to talk sh*t.."

Have you read the filing of RTOP's £ 60 million valuation?

Go to https://find-and-update.company-information.service.gov.uk/company/14721885/filing-history

Then go to

24 Aug 2023 Statement of capital following an allotment of shares on 14 August 2023

GBP 12,000,000.00 PDF 5 pages

Then go to page 5.

This is the basis of valuation by MadTax :

It agrees the methodology of a valuation done by the Directors (ie AZ), when acquiring the assets and business of a company being sold by AZ.

It's a bit funny, alright, but not in the way you mean.

AFAICS

Thanks for clarifying !

It was the suggested direct link to Duqm (which is way down in the southwest) that 'derailed' me. Hence my comment that the Omanis should logically look at a link Sohar > Duqm, since Sohar is the first port of call.

Even more steel needed for that dog-leg, though !

ATB

Thanks, MM.

Good to see that there's more talk of investment in green ore.

Shame, though, to see more suggestions of wasteful duplication on (competing) infrastructure. MBS really doesn't get on with MBZ, does he ?

AD is going ahead with its new/upgraded rail link to Sohar, Oman, see

https://timesofoman.com/article/128066-3-billion-oman-uae-rail-project-gathers-steam.

The rational thing for the 'Gulf CO-OPERATION Council' to do would be for Kuwait to link to Ra's Al Kheir , Saudi to complete a link from Ras AlKhair to Mafraq , thence to Abu Dhabi (with spurs linking Bahrain and Qatar along the way); Abu Dhabi to Sohar; and Oman to run a link from Sohar along the coast to Duqm, ie catching all the population and business en-route.

It's called the Empty Quarter for a reason.

PS And the logistics are appalling- you're building , literally, on shifting sands : the Saudi then Min of Transportation lost a bundle on trying to build roads in SW Saudi (the Yemen-bordering air bases, Najran, Sharourah etc) because they initially followed US Corps of Engineers 'straight line' approach : the roads quickly became impassable and had to be cleared regularly.

They eventually learned to consult the local Bedu and subsequent roads in the interior tend to follow the (meandering) camel routes along exposed/swept clear areas....

Not too practical with a railway line.

On the bright side, though, such a rail link WOULD use a lot of steel...

Meanwhile, the clock's ticking for the various project leadtimes and /or public events to force somebody's hand.

ATB

ATB