RE: JMS22 May 2019 14:05
Well my view was and is that both the Steelmin loan and the Amulet loan should have been RNS'd and preferably not made in the first place.
I have made my opinion clear to AB, face to face on both matters.
Regardless, RRR should confirm receipt of the dividend. I would also like JMS to update on Mt Ida and Mt Mason. The JMS annual report should be out shortly and I expect some comment on them in there.
If something happens on the Yilgarn assets it is a big deal for RRR. We are due two stage payments on the royalty sale and a 0.75% royalty payment on production.
"On the 4 September 2012 an increased resource estimate for Mt Ida of 1.23 billion tonnes at 29.79þ was announced, indicating the potential for a robust, long-life operation, which would underpin the Mount Ida Feasibility Study, which was due for completion by Q3 2013. The Study was based on annual production of 10 million tonnes a year of beneficiated magnetite grading +68 per cent Fe. It was also stated that all work streams on the Mount Ida feasibility study were due for completion by December 2012, with the feasibility study to be delivered by Q2 2013."
They can't do 10 mil tonnes pa but could do around 6.5mil tonnes pa based on the available rail capacity: the royalty to RRR would be around $4.9mil pa at current prices.
If JMS completes a sale, RRR might get: a special dividend from JMS, the two stage payments due under the royalty sale and the actual royalties.
If McArthur can gets its deal done, there is no reason why JMS can't its get deal done. I said this last January/Febuary when the rail and port capacity became available.
Obviously, many a slipt twixt cup and lip etc. Things can take a while but given how quickly the McArthur deal moved I am hopeful.
DYOR
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