Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
" Hardware is A$2000 unit
Monitoring A$60 month
Installation by Distributor is $500 on top of $2000 "
terry,
These figures are demonstrably incorrect - they may have been correct some years ago.
In 2020 Driver monitoring Revenue was A$9.8m. (Note 6 - Financial Report)
They started the year with 16,000 units installed, finished with 23,415 - so a rough average of 20,000 units over the year.
Monitoring revenue per unit per month - 9.8m / 20,000 / 12 = A$40.8 per unit per month.
Hardware / installations revenue was A$12.13m. (Same note).
The number installed during the year was 7415.
Hardware Revenue per unit - 12.13m / 7415 = A$1,636 per unit.
However they also had 3371 sold, not installed at year end....
So revised Hardware/Installation revenue per unit - A$12.13m / (7,415 + 3,371 units) = A$1,125 per unit.
I'm sure my numbers could be tweaked a little one way or another but they are essentially correct and have not significantly changed since we last had this discussion a year or so ago.
From the accounts the monitoring cost per unit per month seems to be about A$ 38 per month.
Hardware Revenue per unit approx A$1,200 per unit (there would be minimal profit in this as it is a pass through of the hardware cost from the supplier plus installation costs))
It would be nice if the radio silence was broken.
Last coal comment 25 Aug - in discussions - update in "near term" whatever that means.
Prior to that - 14 May - Coking coal bulk samples being extracted for testing by potential customer - no update on extraction or testing since.
Great potential but lets see some real movement.
Ditto for gold project.
Agreed sajy, getting the grafts and patches approved will validate the company hugely and bring it to a far wider audience as well as opening up revenue streams. The heart valves will be the icing in a couple of year's time all going well.
Cheers, luckyorange.
There is no official denomination of "potential Resource" so I think this 1.2bn mt should not be included when discussing the resource.
They may not know exactly what is there until it is is dug up but it can be moved through "measured resources" to "economic reserves" through further drilling and sampling.
I guess they are happy to move directly to offtakes and mining without this further investigation.
Just for factual info....... (As far as I can see from website and RNS's).
Happy to be corrected.
Lubu Coal estimate is as follows - (70% of this is owned by CGO.....)
" In situ NI43-101 Resource of 702Mt (Indicated) and 510Mt (Inferred)....."
Mineral reserves (or ore reserves) are resources known to be economically feasible for extraction.
There are no official "Coal Reserves" here yet.
A 'Mineral Resource' is a concentration or occurrence of material of intrinsic economic interest in or on the earth's crust in such form, quality and quantity that there are reasonable prospects for eventual economic extraction. Mineral Resources are further sub-divided, in order of increasing geological confidence, into inferred, indicated and measured as categories.
"Inferred Mineral Resource" is the part of a mineral resource for which quantity, grade (or quality) and mineral content can be estimated with a low level of confidence. It is inferred from geological evidence and assumed but not verified geological or grade continuity. It is based on information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes which may be of limited or uncertain quality and it is also reliability.
"Indicated resources" are simply economic mineral occurrences that have been sampled (from locations such as outcrops, trenches, pits and drill holes) to a point where an estimate has been made, at a reasonable level of confidence, of their contained metal, grade, tonnage, shape, densities, physical characteristics.
"Measured resources" are indicated resources that have undergone enough further sampling that a 'competent person' (defined by the norms of the relevant mining code; usually a geologist) has declared them to be an acceptable estimate, at a high degree of confidence, of the grade (or quality), quantity, shape, densities, physical characteristics of the mineral occurrence
There are no official "Measured Coal Resources" here yet....
As a new investor I understand and share Bridgedogg's queries over the offtakes but am more sanguine on eventual outcome.
Timing for mining companies in negotiations with much bigger potential customers is always an issue - especially as things are in somewhat of a state of flux for both the gold and coal opportunities.
The o/s warrants and the convertible loan however I see as a support to the SP and investors.
The loan is convertible at 6p in January and all o/s warrants (following the recent exercise) are at 8p.
It is a mining company in Africa.
Could be a great result, worst case it folds. My bet is the former.
Here's hoping it all comes good.
I've always wondered how they could wait up to 2 quarters to decide on their strategy in relation to the RFQ's already received.
Reading that transcript perhaps they can cope with the current 900m RFQ's but adding next year's on top wil be the breaker.
Not sure how to read it.