Member Info for johnpwh

You sending that out of concern for the environment and safety or because you are invested in Bushveld and want to make money?

Agree CJ, hadn't realised Seeking Alpha was considered on a par with Motley Fool. On these boards I have expressed my dismay in the past when MF recommends something I hold shares in - to me its the kiss of death! Like you i feel that this article was written by the office junior out for a headline, its so lacking in reasoning

Just read it. What a lightweight article. Ok he may have done analysis in the background not reproduced here, but on the face of it no substantial reasons to be reaching the conclusion he has. So vague that 5 minutes after reading nothing memorable stands out apart from trying to justify his opinion based on the SP performance since his last damning article - doesn't relate that to the fact that there is the inevitable hangover from a large (but necessary) fund raise or that the market as a whole had maybe got ahead of itself - most of not all Lithium miners are off

Play nicely!

Hi Slift
Some don't seem aware that the company can't just demand to buy back as many bonds as they like at the current discounted price (50%?). I presume HUR could buy back any bonds available in the market, but as soon as they do starte buying they will force that market price of the bonds up. So they will only be able to reduce exposure by a few %.
With a 50% discount and a coupon of 7.5% then a (very) rough guess is that the market expects bondholders to eventually get back, say, about 55p in the £ nominal. That is what the bond price is saying with only a year to go. Anything less than 100% of the contracted maturity bond payment should sound alarm bells to equityholders because, to put it bluntly, they will get shafted.

Nice surprise, just having tea and biccies and thought 'wonder how Parkmead are doing'?.
Assume this a reaction to the IC article as no RNS?

Well balance post Fozdog

This isn't the first time this has happened, Lets hope its not going to be a regular occurrence

'r', Mc C and Foz.
I'm more than happy each time I see any of you posting with your thoughts, I've filtered a fair few in my time but no one here. Lets not squabble, all thoughts help as far as I am concerned, this is a good board..
None of us are here for short term geewhiz gains that were so prevalent amongst several green leaning companies earlier in 2021.
It matters little what the daily movements are (though we will still look and get dismayed), the important thing is how successful this company is eventually likely to become. If you believe it will succeed then invest, but take a long term view, because someday the SP will have no option than to reflect it (assuming it does). Nothing is certain on life, I don't anyone should confuse this with a share for widows and orphans - though what is theses days?
Having bought on the way down from 68p my 30p average has become 40p, so just about above water at the mo. For me it is more about newsflow, something the sadly BCN is apparently poor at - they may not need to release RNS' every week but with the like of Twitter they can post pictures and non regulatory news regularly and cheaply, spreading the message. I think it is possible that there will be a kick up when Ganfengs increase in its shareholding to 28.8% is authorised. Not only will that provide a 'safety blanket' in the bank account against development costs but also will demonstrate confidence - the opposite being true if not authorised. If anything I am planning to buy on opportunity, having sold a few the other day and watched it retreat few pence.

I'm frustrated but I think to call this share a dog is a bit unfair Mr C

Good article but it doesn't seem to be having much of an effect!

Don't forget another years coupon at 7.5% on $230m, plus any already paid but not yet accounted for.
Borrow off a bank to pay off bondholders while interest rates are low? Look at the interest rates that pay day loans charge for poor risk borrowers even in these low interest rate times. What % would a bank demand for a loan to an failing enterprise like HUR when they have no clue if either the repayments will be honoured let alone whether the capital will be repaid?

Slift
Its worse than that mate. Equityholders are the bottom of the pile. There are all sorts of peeps that come above equityholders, not just bondholders.
if the company fails (or put into administration of whatever) the equityholders get what is left over after everyone else has gnawed on the bones to their full legal entitlement. Administrators, the taxman, employees (quite rightly), banks, the boat owner (is that a fixed contract if the wells are uneconomic if watered out ?), the bondholders, making the site environmentally clean, the people who supply the haggis, etc etc etc. Finally the equityholders get any dregs in the unlikely event there are any. There's plenty of precedents of bigger companies than this. Carillion, Sirrius, Debenhams etc etc. Don't think the equityholders got anything there, they didnt.
I will get shot down here, probably unpleasantly, but to you enthusiastic rampers who frequent this board and think you are going to make a fortune because the shareprice is a shadow of its former self then please think. Ask yourself why it it is less than 3p, not when it will go back to near 70p. Arguably the SP should be nearer 0p than it is.
Good luck all, you might not believe it but I mean that

dflynch
52p, obviously 52 cents. Either way the SP is way off.
However you argue it the Bondholders are not going to be settling the debt they are owed by buying HUR shares at 52 cent
when the SP is currently about 3.5 cents. Do a reasonableness check - if that were the case how on earth could the bonds be worth 50p in the £ now? At a rough guess they would be worth around 5p.
You don't understand this type of financing. As suggested google CBs. You are walking blindfold over a cliff at the moment along with everyone else who shares the 'truth' that you erroneously believe. Its your money. You write well, but if I was you I'd forget what you (understandably) believe and research. You've got it wrong, if you were right then I would probably be buying HUR at the opening bell tomorrow. But you aren't, believe me.

Yep Joe, I agree. The 'convertible' part of a convertible bond is added at issue as an inducement for institutions etc to buy the bonds. The conversion option is essentially at the bondholders behest. The only time 52p would come into proceedings to the advantage of equityholders is, I think, if the SP exceeds 52p when the company has the option to buy the bonds back at face value on certain dates. Otherwise the bondholders could convert their debt into equity at 52p at maturity if they want to but they are not compelled to. In other words, with the SP sub 3p and no realistic prospect of ever sniffing at 52p again, then just forget the 52p and conversion to new shares. Its simply not going to happen. As I said in an earlier post the Bond price of 50p in the £ implies the market doesn't think HUR has an icebergs hope of repaying the debt - else who in their right mind wouldn't buy the debt in the market at the moment? Double your money plus 7.5% Interest in 12 months, certainly beats the Nationwide. So unless the bondholders are the nicest people in the world (which they wont be) they will claim asset they can to the extent of their legal rights - all paid for by the current equity holder who stand little chance of avoiding being wiped out. The bondholders stand way above equityholders in terms of their rights. There are plenty of articles on the internet about debt holders, how the debt works, and the relative rights of debt holders and equity. Be a pretty good idea for anybody who still thinks HUR is a good bet to read them

a) Nope, there are better opportunities
b) Nope totally discredited. Trice has, not deliberately I will concede, lead to massive losses to PIs who believed in him. People who trusted their pensions to him. He should at least have apologised for misleading people - don't forget he was almost certainly paid off handsomely to go away and keep his mouth shut, so he's ok. Turned out he saw what he wanted to see, interpreted things with his fingers crossed, unchecked by a yes man Board of Directors who trousered their fees with a smile on their faces. Trice was convincing. And totally, expensively, completely wrong.
c)Doubt it. To get there hands on the cash which is already more than spoken for with the bond issue? After the Bond Issue matures i cant see anything for shareholders here.
Good luck with the upside potential, the future really isn't good here. Production in decline, nothing concrete to replace it without expenditure and even then questionable. The BOD are, imo, here for an orderly rundown and liquidation. At the end of the process all the subsea kit has to be decommissioned and made safe (environmentally) - is the cost of that funded or is that also a cost to be paid for from the bank balance?

Think some of the action today is due to the ISA season, but as we saw before Christmas once there is proper confidence that the bottom has passed there should be a steady climb. Nice that us regular posters remain supporters here!
Well done Dave....one last thing, could you repeat your post every morning!

Hmmmm.... sure I've heard that before Dave!
Still confident here, I'm looking forward to resolution of the court case (either way, the doubt doesn't help), the further share subscription by Ganfeng and plenty of photos of progress at the site.

hi jam
Priced in I think. In fact the only effect would occur in the event of a confirmed lack Chinese authorisation to allow as questions would be raised as to why that is.
Conversely success in the court case would give a small lift imo as, as BCN has stated, presentation figures have conservatively assumed that the royalties remain payable

'Obviously the wrong word to use for someone so wrapped up in their own grandeur'
I didn't personally attack you, so why on earth attack me? Yet another keyboard warrior.
I wish these boards were more pleasant and welcoming.