Member Info for Jammer1

Blue belly, this is AIM where the share price , certainly in the short term, is to a large extent determined by a relatively small number of PIs. There is often a big disconnect to the underlying value. It can be in either direction. At present I personally think Jubilee is undervalued. You have to appreciate .a large proportion of the PIs are very short term investors speculating on news events to move the SP in their favour. So when will the SP reflect the true underlying value? Personally, I think the annual results next month coupled with a number of Leon interviews will help, but in my opinion the rerate will begin next year once the half year results are released especially if the PGM basket price is still strong and the copper growth strategy is on course.

Spot on. No timeframe at all, even with assumptions. Is that a plan? Waiting for the project manager to arrive to pull the plan together?

https://africapresslist.com/ar/pressreleases/the-kalengwa-copper-mine-scandal-07-29-2019-15-48-50

A very interesting article and it mentions Jubilee as well and speculates Leon having the sense not to get Jubilee involved at Kalengwa. This is not good news. It cannot help with our Zambian government relationship . Leon and the rest of the board must be tearing their hair out. The article is factual about historic events and does not present Colin in a good light, even though he may be legally okay. As I have previously questioned. How long can Colin remain chairman of Jubilee with publicity like this rightly questioning his judgement.

Particularly on the back of a very strong rhodium price and high palladium price, I reckon Jubilee's PGM basket price at end of September was an astonishing $500 per PGM 6E oz higher than at the end of June. At this price and assuming 5000 oz per month production, my calculation of monthly earnings from the PGMs alone is around £4.5m per month. Now for the huge assumption. IF the PGM basket price is sustained to end of calendar year, and 5000 PGM ozs are produced each month Jubilee could be reporting in excess of £25m earnings from PGMs alone for the H2 2020 calendar year.

This latest issue involving Colin cannot be good for the company's relationship with the Zambian authorities, especially in trying to obtain their cooperation regarding resolution of the BMR situation, the Star Zinc licencing for the high grade zinc ore supply, and sorting out the Kabwe large scale licence issue, which Jubilee does not want. Is Colin becoming too much of a liability as chairman of the company?

Share Prophets site

My goodness TW has certainly laid into Colin on his website today regarding the Xtract placing. Calamity Bird is his nickname and if TW is correct in everything he has said no wonder. Not a good nickname to have and hardly good that the chairman of the company is being portrayed in such a way. Thank goodness it now seems Leon stands up to CB in this company. I must admit if Jubilee really do want large institutional shareholders on the share register, the board may come under pressure about Colin's position as chairman in the not too distant future.

Share Prophets

TW has certainly gone to town on "Calamity Bird" and his advisors today on the ************* website. And they were mates just two months ago!

If something decent on Tjate happened as well, that really would be icing on the cake.I hadn't appreciated that things might be advanced. It certainly makes little sense for a prospective purchaser of Twickenham not to be interested in Tjate as well.

It is so easy to get wrapped up in the short term issues whilst being blind to the astonishing transformation that has occurred in the last 12 months. I have no doubt that will start to be reflected in the annual figures due in November, but even more so by the time the first half 2021 figures are delivered. Copper was only spoken about as a possibility a year ago, now we have a credible step up production strategy to reach a target of 24k tonnes of copper cathode a year within 4 years.Who would have thought Leon would be publically predicting that earnings in Zambia will be larger than in South Africa within 2 to 3 years. A year ago the Kabwe tailings project was to be the big one. Just imagine what would have happened to the share price if the project had been significantly delayed as it has with COVID related issues. The fact it is now just an inconvenience, and is in relation to the copper projects of little significance, in itself shows how far Jubilee has come. The management must take a huge amount of credit for not only starting to deliver in general what has been promised, but also to be able to continue operating as though COVID is a minor inconvenience. I am amazed that the small company I knew about 4 years ago is now a trusted partner of one of the biggest chrome mining companies in the world, which is prepared to commit over a million tonnes of its ROM ore a year to Jubilee for a minimum of 3 years and probably much longer. One of my major concerns was the relatively short remaining life of the known resource to feed the PGM cash cow side of the business. No longer. Jubilee will be producing over 1m tonnes of chrome concentrate next year, with not too much exposure to the variable chrome price. The huge feed of upgraded PGM material which will result and be made available to its Inyoni and Windsor operations seems to have slipped under the radar. Now what would complete a very good year? Having a commercial strategy to monetise the PGM upgraded tailings at DCM, a definitive timetable to get the Sable tailings processing underway and meet what must be by now some politically demanding targets from the Zambian authorities. and an exit from the link with BMR, which might be well underway now CB is installed as its new boss. I know Jubilee's 30% shareholding in BMR has in effect enabled it to strongly influence BMR since the lost licence fiasco, but it would be nice to actually see if we can get some tangible consideration back for the £2m of BMR shares Jubilee purchased. In general a very pleased long term shareholder. But please Jubilee get the new PR manager to sort the website out.

I would hope there is an operational update in the first half of October before the annual report and accounts up to 30 June which are expected in the first half of November. A number of new developments have recently been announced plus a number of operational targets have been publicly stated. Two of the most important are the progress towards achieving 55K PGM ozs in the 2020 calendar year, and the progress towards meeting the 400 tones of copper cathode per month by the end of September. A couple of chrome plants should now also be commissioning, one at Windsor 8 and the other the teultra fine chrome plant transferred to Inyoni.

Pasofino Gold has confirmed it has completed its all share takeover of ARX, who has a 49% earn in agreement to the Dugbe project with Hummingbird. Pasofino also confirmed their technical team has now officially commenced the work to meet all of the earn in conditions, and as such the feasibility study for the Dugbe project is targeted to be completed by the end of September 2021.

I agree with the sentiment. One of the best lines at the end of 2018was "it's in the bank folks" when referring to the value of the upgraded PGM material at DCM. Well here we are nearly 2 years later and so far no clear strategy has been announced on how to monetise the value in the tailings. This is becoming a serious company now and we do not need the loveable rogue type sales pitches anymore. Leon doesn't tend to overpromise, doesn't waffle and presents far more effectively, and is more believable. And overall the track record of delivery over the last 2 to 3 years is impressive, and gives Leon as credibility.

Welloil he is still the chairman! So he might just have something to do with Jubilee!

I think I would rather rely on the audited figures Bring, but would be delighted if the paper you saw was right. With near enough 90% of the project, as olddrongo indicated value to Jubilee substantial, but then too expensive for Jubilee to take out the company! Any way last comment from me on this issue as we will I believe soon see what is actually on the table for BMR's future and jubilee's holding in BMR, without further speculation.

If Jubilee think that buying BMR's remaining share in the Kabwe tailings project makes commercial sense, then on the face of it as Bring has said buying the company might be the best way to achieve this. That is if the full liabilities sitting within BMR are fully known and properly valued. The value estimated by an independent third party for BMRs share of the Kabwe tailings project in their accounts at the end of 2018 was £9.6m. But I believe there would be deferred tax liabilities to be taken into account and no doubt a number of either liabilities like paying off the existing management. I wonder what sits in their contracts? BMR would not appear to have much negotiating power seeing Jubilee now run the whole show as well as have a near 30% shareholding in BMR. So a significant discount to the 9.6m asset valuation I am sure would be offered, should any offer be made at all. Could that be 1 jubilee share for 3 BMR shares, or a cash equivalent, or something of both. Having a share overhang may not be welcomed by Jubilee shareholders though. I await the shock horror of some of the BMR shareholders, who have always thought their company is worth far more than it really is, and before being slated declare for my folly. I was sucked into a speculative investment in BMR just before the delisting, reassured Jubilee had done due diligence on the company. To a large extent I had written off this folly so if it makes commercial sense for Jubilee to make an offer of something like that outlined above, personally I would be delighted.

I had expected something about the upgraded PGM tailings at DCM by now. In the Q&A after the mineprophets presentation, Leon indicated he was very close to concluding a deal.If it included transporting the tails to Inyoni, maybe Leon is waiting for approval of the Expanded PGM facility from the board before announcing anything. This new facility could be fed these tails and those from the recommissioned chrome plant across the road? Perhaps the next operational update will clarify?

It would not surprise me if we hear something about the Kabwe tailings and hence zinc processing next. The small scale licence is due for renewal very soon. There is also a number of issues to be resolved with BMR which is also linked into the Zambian authorities, as well as Galileo regarding their desire to have the large scale licence. BMR are already about two months late reporting to their shareholders for the financial year 2019, and about what is going on with the royalty. BMRs future is really determined by what Jubilee decide to to do both with the tailings and their 30% shareholding.

According to latest presentation on website, the expanded ultra fine chrome facility is supposed to be commissioning in September. I assume this is the transferred DCM plant. If it is, it will be based at Inyoni. What expanded actually means in terms of capacity is not explained and what tails it precisely will be processing we do not know either. Maybe the next chrome operational update, probably in the first part of October will explain. I also found the term ultra interesting. Seems to suggest some level of fine chrome is already being recovered, probably in the Wiindsor plant and possibly in the new Windsor 8 plant and the Inyoni chrome plant owned by Samancor, once these plants have been upgraded by Jubilee. Could be a factor in why they will be so efficient and Samancor has contracted for substantial amounts oF ROM chrome ore to be passed through these plants.