Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Perhaps BRES should look to trade on the OTC markets like HE1 has just done. I can see them getting much support from US investors and it will open up alternative options to raise money.
The CEO of their main broker buying stock on the open market says a lot to me. I would guess he sees the SP being higher from here. So long as the SP rises, any dilution means Absolutely zero to existing shareholders. Yes your %holding will drop but unless they are providing dividends it really does not make a difference. I can’t see them doing any capital raise for less than the current SP and quite possibly could raise money at a premium to the SP. Only way for this is up in my view.
GLA
I think this will wake up once the purity is confirmed in the next two months.
What was good to hear is that people have been approaching them Interested about the graphite. That’s great for a company that’s just starting off.
I like the CEO Mike Ralston. He’s been open, honest and confident. Other than the delays with Covid they have beat expectations with this project so far.
I own a significant stake and added to it after the JORC RNS. Not worried about dilution because I believe the SP will be much higher when they come to that point and I don’t feel they will need to raise money at a discount either.
This is going to be one of the hottest markets going forward. The demand for graphite will go through the roof.
And If this project is as big and as good as we hope for, you never know.....some major player could walk in and snatch them up before the market makers even get a sniff at doing a capital raising!
Buy, hold, sell or wait. Who’s right...only time will tell. Very Exciting!
GLA,
DYOR
The Align research report gave a 19p target based on 25000t/pa of concentrate from 800000t/pa of raw material.
That’s a GC of 3.1% so very conservative.
Given they have realised a GC of 6% doesn’t that mean they get 50000T/pa from the same 800000T of material. I.e the plant will produce twice as much graphite For the same capital cost and plant capacity!
When (and it is when) they include the camp lode and get to 8% then the production will be 250% the original estimate. So given the report based on 25ktpa was 19p. To me that means the new figure at 6%gc is 32p and 47.5p at 8%gc
Or have I missed something here?
Time for a re-rating and new research paper...
Holding tight as I think this half hearted MM driven drop is just to let people in cheap.
GLA
Amazing results. Absolutely smashed expectations with double the resource estimates.
And at a great TGC average of 6% using a cut off of 4%.
Compare to Tirupati - TGR. Their average grade is 3-4%!!!!!!! That’s below our cut off lol.
What’s their MCAP...only £76m
What’s ours.....just under £10m
Time for some serious SP booster rockets
Great video on CNBC
Puts it all into perspective
Huge opportunity in front of us.
https://www.cnbc.com/2021/04/08/the-us-is-facing-a-lithium-ion-battery-shortage-with-ev-growth.html
GLA
Great video on CNBC
Puts it all in to perspective
Huge opportunity infringement of us.
https://www.cnbc.com/2021/04/08/the-us-is-facing-a-lithium-ion-battery-shortage-with-ev-growth.html
GLA
http://www.ottoenergy.com/site/projects/exploration-and-appraisal/alaska
JORC could come at anytime now. The last interview was on the 1st and Mike stated a week or two.
19p target post JORC/pre feasibility makes this a very attractive speculative buy for me.
They are going to be looking for take off partner so this could be very interesting with Regards to financing in the feasibility study.
The risk is mainly “play” risk. I.e hitting helium deposits. They seem confident that the helium is there.
If well 1 hits the target it substantial derisks all three wells.
analysts have put a £1/share target on its back if well1 hits the money!
Oh I get it, your being sarcastic because you don’t get time to get your isa in.
Hahaha
Be careful, given 88E have just had horrific news people will take your words a bit different to how you intend.
Gas flaring is great news.
Been waiting 6months myself but it’s given me a chance to accumulate 1.96m shares so I’m happy.
MMs holding this back on recent good news flow has only made the risk lower and the free float smaller! Very sticky stock. Just my opinion
Exciting times ahead.
GLA
NIO:
"The company had ramped up production capacity in February to 10,000 vehicles a month, an increase from 7,500 previously, founder William Li said in a quarterly earnings call Tuesday. But a shortage in chips and batteries means Nio will need to fall back to the 7,500 level in the second quarter"
https://www.cnbc.com/2021/03/02/chinese-tesla-rival-nio-chip-shortage-will-hit-electric-car-production.html
800,000tpa would be 64,000t/pa of concentrate
Sale price $1250/t = $80m pa
Operating cost $350/t = $23m pa
Operating Profit = $57m pa - (would pays back the capex in less than 1 year)
They plan to start at 25,000t of concentrate and ramp up. (so starting with OP of $23m+)
For 10 years this plant would be fed by less than 1% of the total play.
GLA,
DYOR...
"An 800,000tpa plant and all associated infrastructure to complete a working
mine of this initial size have been estimated at a ballpark capex figure of US$30 million. "
in my view, they could have many options for financing such a small amount once the JORC is out. I'm sure a EV producer or two would welcome a contract to guarantee their critical mineral needs.
Capex is a drop in the ocean given the potential. No more than a couple of fracted oil wells and a whole lot less risky. Only 1m of top soil until you hit high TGC material, that's fantastic.
https://blencoweresourcesplc.com/wp-content/uploads/sites/23/2020/11/Blencowe-Update-5-Nov-2020.pdf