Member Info for faramog

Thanks BBN ... 64% ... oh well .. it is 64% of a heck of a lot !

And I agree, a few more probing questions would have been good - I wonder if they did not want too much put out as both Peel & SPA are privy to other info

The other point is that unless I am mistaken, Mokopane is 100% owned - processing through Vametco garners an internal cost as its only 74% owned.

So higher margin and lower distance .... but as I said, not totally sure of the Mokopane licence and ownership

@BBN - great summaries by the way. I must admit, hard not to conclude as you have given the numbers. I certainly felt Kiln 3 was rather more 'into' H2 in emphasis, but I guess that may be the smokescreen to allow over-delivery and build in a level of conservative estimation.

I thought overall, it was a good conference call

Oh I am not complaining - very shrewd profit that has been used in BE very nicely .... sound business.

The partnerships now and those to come will be about delivering long terms revenue streams that are partially independent of vanadium spot price ... I just point out that right now it is pretty much vanadium sales. Those of us that really get this see the inherent built in upside .... all good with me. Just anyone looking in thinking vast VFRB box revenues are now they are not ... they are in African time 'imminent'

DFN - a fire station will be of no use in a Lithium Battery fire - they cannot be put out !

Yes they have ... a chunk of the shares have been sold (as detailed yesterday)

There is of course the right of first refusal, but that does time out and a certain % of stock is needed to maintain it (as I understand it) - although at a practical level, there will be few places they can go

What I meant by 'dropped' is reduced ownership (I should have been clearer)

Or build a big concentrator and ship concentrate to China or the USA - a lot less risk, a lot less time and a lot of easy revenue

anyone who pays attention to Musk really .. the guy has been smoke & mirrors for years.

He basically runs a pyramid cult. All those funds that look they have done great have huge exposure to Tesla and Apple ... if the bubbles pop then the knock on will tumble through markets even though it was all on paper only in the first place

If you want to think that Sanchez then I ain't arguing, but the real margin for Bushveld is in Vanadium and a higher one for electrolyte ... there is a bit of a delusion that Bushveld provides much else of absolute value.

Happy if this gets proven wrong ultimately, but right now - we mine Vanadium and that is it. The Ties with Invinity have dropped and we don't yet know the tie up with Enerox.

We do know we sell a lot more into china and there is good reason to see Rongke Power as a good strategic partner ... but yet to be seen.

Not casting gloom as I am extremely bullish - just lets keep a sense of perspective for at least this year

Considering the china ties have been quietly increasing both with bushy and SA in general... Would not be surprised.

Just remember, all bushy supplies is vanadium.. in time electrolyte (vanadium with value add)

Ha ha.... You crack on... Be like herding cats

2nd RNs... A lot of share options... Hate to ageist but hardly a long term appointment

Price of the expertise and wider contacts O suppose

Not really happened yet... But interesting

welcome ... woodworm !

Thanks Sanchez .. interesting listen ... a few notes I made

Q about the 35 day shutdown - is this going to be regular ? FM said it could produce more, but wanted to priorotise reliability. Underestimated the constraints around the Salt Roast element and need to upgrade. Also in the Leech element there has been some variability (mostly all of this is downstream from the Kiln is where the bottlenecks are)

Q There was a question I thouoght a bit vague. I took it to be about future Capex costs identified, and FM sort of answered but couched with 'well there may be debottlenecking' type activities.

Meyer asked about the growing disconnect between production & sales .... asked about the inter-site transfers. A bit of a waffly answer really: just spoke and taking materials and processing at different sites, but I am guessing this is not what Meyer was really asking about. Did say it is not about obscuring anything, just about efficient operations. Tania did go into more detail about internal sales processes, but really nothing of note

*** I wonder if this optimises the costs by selling internally at a lower value (lower level of processing at a site only 74% owned) so a higher margin on Vanchem (100% basis) is achieved ?

He asked about the BE Electrolyte plant & pipeline + lease financing. Not a lot said really, all future news although the Mini-grid will involve electrolyte that is leased - serves as an example for future investors. More news to come in due course

Question on run-rates and balance between H1/H2. Basically, expect more back end loaded. Did mention and emphasise a lot of heavy current rainfalls and alluded to management issues of some dam they have. This and the 35 day shut, expect H2 numbers in production to be rather better than H1
Vanchem gets better numbers and cost base from 2nd half of year and better next year

Picked up on a comment made about some chemicals/flake that could be conversed to other products post period - I felt this was really about clarification and nothing hidden in the RNS

Made the point he wants to 'improve' on cost transparency. Mentioned Largo and its single product from a signle operation. At Bushveld, there are two sites and multiple products. So has been tricky to be consistent and transparent on costs. Interesting he said happy to speak with the brokers on how best to do this

A sort of waffly question about elevated cost guidance and is the expectation that the 3rd kiln operations leading into 2022 will bring it down. Answer was really about optimisation and stuff in the future. Also spoke of Mokopane being closer to Vanchem. Expects 2022 will have an improved cost basis

FM Summed up by saying the focus 2021 is improving Vametco reliability and improving operations at Vanchem. Then went on to paint the picture of a lot going on at BE and implied quite a bit of news coming regarding Invinity, Enerox and general BE operations.

newsflash .. neither do we ....

What we (those of us that bother to look and analyse in depth) know is that value wins in the end ... after all... if it did not, Buffett would not be a multi-billionaire

@PJ .. just read your 25 posts .. nothing sensible but inane tosh and 'what-ifs' .. perhaps go read some of the ample PI generated research and figure it out ... and here is a clue: investing carries risk ..

Until otherwise demonstrated you are starting to look and smell like a troll

Overall, on the positive side, the company has maintained profitability, expanded production options and kept the workforce safe in the midst of a pandemic. The world rather paused and took breath so a bit harsh to be very critical - many companies are loosing money and many miners in real distress. I suspect the main gripe from investors is the expectation of making rather more than 2020 provided.

Margins this year will be higher as the Vanadium Price is going up (but if it did not, would clearly drop considerably with the costs increase - this dependency on commodity price is still there at the moment)

Production cash cost has gone from $18.1 in Q3 to $21 in Q4 witha 12m av of around $18.3 (in Q3 reported as 9m av of $17.5) - higher maintenance costs, raw materials costs and intriguingly statutory electricity increase. In 2019 av margin was over 100%, now it is circa 20% (but rising) - a symptom of commodity price dependency

- in the Indaba yesterday there was talk of 16% electricity increase for 2 consecutive years being proposed so expect costs to increase

Good news is that Vanadium pricing is now being squeezed up by a constrained supply side vs the demand ... so margins are sure to rise considerably

Nothing on Lemur .. but really that is to be expected right now - all depends on closing the big funding deal. Then it can be disposed of and who knows (a wee special div !)

nice one Clarky

Todays volume is the lowest in over 2 months ....

ha ha @pd940 .... its a mumsnet forum LOL