Member Info for Kaiser_B

Sumo, I am not saying that us LTH's aren't awaiting the results, we are. What I am saying it that the vast majority of them aren't shouting the odds at they have to be released right now, because the LTH's aren't too bothered about the share price right now, we are bothered about the share price in a year or 2's time. Yes, there will still be a few who trade the shares along the way hoping for a few extra and to help them lower an already low share price average in the vast majority of cases, but my point still stands what difference does it make to the share price right now, as we STILL won't be judged fairly on the results, because that is the way that it works, but with enough blunt force profit, they will have to let the price loose and we will in all likelihood be trading in multiples of where we currently are.

Nelson the Dog,

And I welcome all investors, but as I said it is the people shouting loudest for the results in the short term, that tend to be the 10%ers. You are in both camps, but I don't recall you saying the results in the short term are required any time soon, for you, me and the vast majority on here, they arrive when they arrive.

I will say that I do stand by my point though, that those generally calling for results are the 10%ers, who make their 10% and move on and that is fair for them to do so, this is a market at the end of the day, but at least they should be honest about their intentions, when calling for the results and no I am not saying that David Blake is a 10%er, I am saying in general, that that type of behaviour is usually from someone chasing 10%.

David Blake, quick question for you? What difference does a few days extra for the 6 monthlies matter? Hell, even a months difference is only 16.667% difference.

The ONLY real difference between those demanding short term news is they are likely to be those that bought in hoping for their 10% profit on the run up to news and sell on news, yes that is an opinion, but I have seen those that buy shares in companies, not just this one, around the time that results are released hoping for quick profit at the expense of others. Being honest here, to the vast majority on this board here, there is no pressure or rush for the results at all, because from what most people put here, they are generally here for the multiples of this share price and all those asking about the quick release of the RNS' or dividends, etc etc are in essence doing is trying to make as much from the company and the loyal shareholders, as they can do as quickly as possible or that is how it looks to me, because once all the operations (Elephants/Cyprus/Eastern Limb, etc etc) are enough to get us to multiples of where we are now and that is without even further expansion, which we suspect will happen, that when we are going at full speed ahead, we won't, in all likelihood, be sat at these share price levels, unless something drastic happens to EVERY metal price.

Finally something we agree fully on. I, too, am here for the exceptionally long term, my average holding in my ISA is something like 2.4p and my average holding in my trading account is 2.67p so like you I could sell up and make a chunk of change, but why settle for thousands, when the opportunity is there for tens of thousands and once we get to the point where we are paying dividends, I will be using them to overpay my mortgage and bring that down ASAP, but yes, we shouldn't be paying dividends just to give a return to investors right now and yes that is my opinion, but I would rather fund all our growth from our OWN balance sheet than borrowing money from banks, unless like I said there is too big AND too good an opportunity to turn down and only then if the funding is actually manageable, because what happens if the metal prices drop by to their historic levels or the recoveries go down to the levels seen by Sylvania due to oxidation. The last thing we want is to lose the company because of a miscalculation or getting ROM/Tails that are not what we thought they were and eventually we might end up with interest payments that we can't afford.

At the end of the day, I would rather have no dividend for a long while and better and quicker sustained growth for the next 10 years and a share potentially price in the pound or 2 pound range and then once there is no more expansion or opportunities, then pay a dividend from there.

We have long term plans with the elephants being a 15-20 year effort each, we have multiple deals for life of mine supplies and lots of tails too.

Dorfan the wise and wonderful, who is never incorrect.

You say attacked? But I have to ask if attacked is this statement then wow!

Any how, I see people calling for dividends and saying that will achieve a different share price level, but I have to ask why will it? If it is a one off payment, why would it affect the share price? And if it was a recurring dividend, surely that is taking money for the expansion that this company wants to achieve.

If you consider a question that I am asking you have to answer about why a dividend is good for the Jubilee image, whilst stating that dividends should be PAID when nothing else can be done with that money is hardly what ANYONE would perceive to call an attack!

Personally I welcome open and honest debate between well researched debators, but you may notice if I voice an opinion I say it is an opinion, if I put research down, I try to include the link, that allows others to look at what I am saying and draw debate from that.

Also I am absolutely sure that people would rather fund everything of the balance sheet unless an opportunity so big comes across the company's bows that will literally send the company in to the FTSE100, then no one begrudge debt, but why do we need debt to fund our expansion when metal prices are in some cases multiples of where they were even 12 months ago?

You say that you aren't a spring chicken and have invested for years, but that doesn't mean that you are infallible, does it? At the end of the day, the past operational RNS' have been on these days:

14th Jan 2021 @ 12:00 pm
13th Jul 2020 @ 7:00 am
28th Jan 2020 @ 8:15 am
5th Aug 2019 @ 9:00 am

Before this last date they were quarterlys:

9th May 2019 @ 7:00 am
17th Jan 2019 @ 8:30 am
Etc, etc.

So my point of people trying to tell others here that the date that was given for the 6 month operational update as being gospel was and is wrong.

These 2 points are hardly an attack, except to say that you are wrong for stating a date as gospel and you just won't answer a simple question as to why would a dividend be good for Jubilee? Right now, when it hasn't really helped Sylvania, who had a market cap around ours about 2 months ago, but it has now dropped to 291 million, whereas ours has stabilised at 393 million, the same story is true with Tharisa, so again where is the benefit of paying a dividend? Surely they should be trying to diversify from just PGMs, but they aren't, which again, leads me back to the point where they have nothing else to spend their money on and therefore paying a dividend.

I was a firm believer that the presumption of results on the days previously quoted on here were not really to be believed, but I wasn't going to say that, especially after the last time I said that people quoting what they see as fact based loosely on what they perceive to have been about Jubilee was wrong.

Any how, I see people calling for dividends and saying that will achieve a different share price level, but I have to ask why will it? If it is a one off payment, why would it affect the share price? And if it was a recurring dividend, surely that is taking money for the expansion that this company wants to achieve.

Indeed, by paying a dividend, a company is simply forcing capital onto its shareholders to reinvest themselves. It’s not a free-money give away. In many respects, a dividend payment should be regarded in the same way as an edict that requires shareholders to periodically sell stock back to the company. The cost of the payout to the value of retained shares is reflected in the price fall when a share goes ex dividend; holders may still have the same number of shares, but the forced return of capital means they are worth less.

And this capital would be better spent growing and maturing the company to a mid tier company. Rather than a dividend, I would rather the company do a share buyback and either hold them in treasury or erase them from the register, but I really DON'T want them to do that yet, as paying a dividend means that we have more money than we know what to do with and we don't feel we can use it wisely, so we'll give some of it back to you.

Use the link below to see why the price of Jubes is probably on the slide.

https://uk.finance.yahoo.com/news/growing-uk-companies-could-best-081334839.html

They aren't calling for dividends, but are hailing it as a GROWTH stock and see above for that.

Dorfan,

Again to quote you here: However I do take exception to Kaiser insinuations that there is any problem when deals are done between two companies that have mutual directors .I have been there and there is nothing wrong and is a common happening when deals are announced.
Kaiser then uses Galileo Resources to justify his reason ignoring the close relationship between Jubilee and Galileo.
He then gives the reason why Jubilee would not process the Zinc. HELLO they had the first option.
I also take exception to his words, when he made the statement "So your assertion that a directors get preferential treatment in a deal".I NEVER made that assertion,those words are HIS ALONE. I did say t was a common happening as it is far easier to deal with persons you know(A fact of Life).

I haven't said there is a problem with directors getting deals, I said that Jubilee don't do deals for the sake of deals and yes there is proof of that, as according to Colin Bird himself, companies have approached Jubilee and Jubilee have turned them down because they weren't right for Jubilee and YES, that does include a deal that our own Chairman brought to Jubilee!

You ascertain the following in your last message,

, but previously you said the following:

If you did your homework correctly you have found out that Matthew Phosa serves on both boards Jubilee and Bauba and it is INCONCEIVABLE that Bauba would do a J/V with any one other than JUBILEE.

Why is that? He might get a better offer from Sylvania Platinum, but no, according to you, he will only go with Jubilee. Again, why are you saying this.

You are using the article to put your point across and in doing so you are insinuating that Jubilee will give him a better deal. I say this, as proved above Leon doesn't rush his choices or allow sentiment to get in the way of him making this company be a mid-tier effort. The question that you should be asking yourself is why wouldn't Bauba take it to a processor that IS going to give their company the best deal and that is my point with Galileo too, Colin Bird wanted Jubilee to process the Zinc at Kabwe, as we would get more out in all likelihood than others but we wouldn't move from our goal as the price wasn't there for Zinc, and because of that, he took his product elsewhere, where he now has additional transport costs to meet but what you are basically saying is that as chairman (Colin Bird) or Dr Matthew Phosa (a director in Bauba's case) , we should take the material, even if it isn't a good deal for Jubilee!

The point is that you are wrong, as I stated Jubilee CAN'T release an RNS that announces a deal is signed, sealed and delivered if the other company involved, in this case Bauba which by JLP Positive has been speculatively linked with Jubilee, has released an RNS and mining world have released an article on it, saying that they are in the process of making a deal. The ONLY way that happens is if the RNS from Jubilee, isn't the one that

Dorfan,

I would also like to respectfully disagree that Jubilee would do a deal just because a director of Jubilee is a director of ANOTHER company. The proof here is Colin Bird (Our Chairman) and Galileo Resources.

Galileo Resources had the right to process their Zinc from Ka****u, which is right next door to the Kabwe refinery and Leon said that they weren't building the Zinc circuit as the price wasn't right, so Colin Bird took the ROM and sold it elsewhere.

So your assertion that a director gets preferential treatment in a deal is categorically wrong where Jubilee ARE concerned.

Hi Dorfan,

With reference to the RNS that you claim to use as back up to the article as proof for you being right, let's compare the 2.

RNS.

The Company is PLEASED TO ANNOUNCE IT HAS ENTERED into a further long-term, 10+ years of mine life, PGM feed supply AGREEMENT with a chrome mining customer, thereby expanding its PGM Operations to the EASTERN Limb of the PGM-rich Bushveld Complex (the "PGM Supply Agreements").

Article:

Nuco has started site establishment of the opencast upper group two (UG2) reef and expects a monthly steady-state production of 30 000 metric tonnes, with build-up starting in October.

Further, Bauba is also in the process of CONCLUDING an offtake transaction with a NEARBY platinum-group metals (PGMs) concentrator, which, if successfully CONCLUDED, will allow Bauba to capitalise on current strong PGM prices, which are anticipated to generate considerable cash flows.

So like I said you have put 2 and 2 together and you have got 7 at the moment. I say this as the RNS states the deal is done and agreed. The article/RNS about/from Bauba states a deal is in progress.

Now, I know that you will read these 2 very differently, but I am inclined to say that without further evidence to support it, the article AND the RNS ARE discussing two DIFFERENT DEALS. GRANTED, yes they COULD be the same companies involved, but is it likely that Jubilee will announce that a deal is done with a legally required RNS, only for the other company to them release it's own RNS, (https://www.baubaresources.co.za/wp-content/uploads/2021/07/BAU-Nuco-Chrome-finalisation-announcement-v6-050721-clean.pdf) to say a deal is in progress. If it WAS Jubilee, they would have to have held off on the release of the RNS that you use as proof or they would have to issue a retraction, to say a deal is still being made and with NO retraction at the moment from Jubilee, it should be clear to those reading this, that these likely to be 2 different deals.

I would like to RE-ITERATE, that I am NOT saying that Jubilee isn't doing a deal with Bauba Resources, but I am saying that the probability of evidence that you and others ARE using as proof to link the article and the RNS, is minimal at best.

Nelson the Dog

It is misleading, because people use the boards to generate information for their purchases and a respectable poster then says that we are the only company that can process fine chrome and that an article stating nothing to do with Jubilee, is all about Jubilee. If that isn't misleading, I don't know what is, there wasn't even the old adage of DYOR and it was treated as gospel with only me stating otherwise.

I am happy for constructive criticism and feedback to be directed at me, but to resort to name calling is a joke and I know that an apology will probably not be forthcoming, as the poster took the time to write the post and then clicked to post the message, without even thinking perhaps that is a bit too far.

I will continue correcting where I see incorrect information, so if you post incorrect information, expect to be corrected and I hope that you take the correction with the good grace the correction was sent with and that they don't have to resort to name calling.

Wow! So you lot put 2 and 2 together and get 7, but I am the helmet, so to speak, thanks HighlyGeared.

I haven't said that we WON'T do business with Bauba at all, all I stated and very factually is that the article posted DOESN'T specify Jubilee and that anyone stating that it was about Jubilee is pure speculation at VERY best. I am an investor here, and my average is 2.76p so I have been here when many people weren't, but I factual in what I post and I back what I post up with actual research and facts.

This being the case, JLP Positive, I was correcting you on the fact that you state it is for the EASTERN limb, when the Kookfontein mine is on the WESTERN limb. If you had meant that Bauba was looking at doing business with Jubilee on the WESTERN limb, then yep, that is speculation, but believable speculation, as we have processing capability in that area.

Jonah, I agree that yours was speculative, but you agree with me that it is unlikely that Jubilee will truck concentrate from the Western Limb where we have processing capacity just to open a new refinery on the EASTERN side of the Bushveld.

The other bits from myself are actually accurate and non-speculative and I don't mind idle speculation at all, but some of that speculation was downright misleading, as We AREN'T the only company that can process fine chrome, but you all haven't addressed that, have you?

Thanks one and all.

That article about Bauba, DOES NOT validate anything to do with Jubilee at all and is pure speculation until cleared up by the company.

I highlight this point on the article too, because JLPPositive, you state the following:

The announcement / article just validates my speculation regarding Bauba as being the chrome provider on the Eastern Limb.

However, the article CLEARLY states the following:

Kookfontein mine, located in South Africa’s NORTH WEST province, not the EAST, not even NORTH EAST, but NORTH WEST, so unless we are driving vast tons of concentrate across the country just to refine it, then it is unlikely to be us.

Additionally, JLPPositive you state the following:

PPGM concentrator and fine chrome tailings (currently JLP are the only ones using this technology.

Actually and factually not true. An RNS from SLP dated 30th of April 2021 entitled 3rd Quarter Results states the following:

The Mooinooi chrome proprietary processing modifications and optimisation project to improve fines classification and fine chrome recovery efficiency.

So NO, Jubilee isn't the only company with fine chrome processing ability.

Can we please keep the speculation to a minimum, because all three points are absolute speculation at best and clearly haven't been researched fully.

To those complaining about the lack of full details in today's RNS, Colin has said that we have turned down alot of deals that don't fit into the Jubilee deal plan. So I trust that with this transaction that both Leon & Colin know what they are doing.

Plus why would you give transactions details to other companies in the area, if this first one is 40% for the other company, that means other companies would expect that amount as a minimum, so why give details out?

The good news is it is a long contract and whilst the volumes are going to fill the facility, the tailings containing both Chrome & PGM's, especially with the higher Rhodium levels means a very good PGM basket price.

Again, I see this company as just beginning really, there is SO much potential out there and YES, bigger companies will start selling off their tailings as a part of JV's or outright, probably with first refusal to buy back at a discounted rate too.

I mean look at the Kabwe Refinery, it was too small for Glencore, but for us, it is perfect, plus we produce 'A' Class copper cathode, which should get us a premium.

Once people wake up to the fact that we are literally getting projects off the ground, with minimal or no dilution and all the trains start reaching the station, we won't be a 400 million quid company anymore, in all likelihood, we will be nearer a Billion quid company and heading towards the FTSE 250, especially as the IP is repeatable across multiple metals and multiple jurisdictions.

Personally, I don't think that we will be allowed to get any bigger than FTSE 250, but I can hope.

https://roskill .com /market-report/chromium/

An interesting read about fine chrome and the changes that it is bringing to the market.

Chromite and ferrochrome markets have closely followed developments in China, where increasing ferrochrome capacity (requiring imported feed) has outpaced other producing regions. South Africa hosts over 75% of the world’s chromite reserves and resources and accounts for approximately 60% of annual global chromium ore production. Underpinning the growth in supply from South Africa has been by-product fine-grained chromite tailings from platinum group metal (PGM) UG2 ores. Since 2019, nearly all the UG2 ore mined for PGMs is being reprocessed to recover contained chromite and with a bullish PGM market expected to extend into 2021, additional UG2 ore is expected to come on to the market. The growing volumes of UG2 chromite is reshaping the industry and its cost structure, as Chinese ferrochrome smelters and, in turn stainless steel mills, focus flow sheets on this lower grade (lower Cr:Fe ratio) product.

UG2 chromite sits firmly in the lowest quartile of global chromite supply and has supported the cost competitiveness of Chinese ferrochrome production. More specifically, South Africa’s ferrochrome smelters now operate at cost-parity with the most efficient plants in China. South African supply now faces the tipping point of furnace closures as electricity tariffs continue to increase. Considering this, the South African government is looking at implementing an export tax on ores, which would shift the cost of Chinese plants, reliant on South African ores, back out of favour.

The rest of the world is closely following the developments in South Africa and China, as an export tax only acts to favour both chromite and ferrochrome supply outside of these two countries. Kazakhstan, India, Turkey, Finland and Zimbabwe together account for over 30% of global chromite supply, making up the rest of the key producers. These represent the main supply sources that could replace South African production in the event of an export tax.

Specialty-grade chromite for the niche chemical, foundry and refractory sectors are also poised to shift with the trends in metallurgical-grade chromite. As these sectors only account for around 4% of global demand, the availability and cost of supply is closely linked to the requirements of the steel sector. Moreover, low-cost UG2 chromite has also been shown to be suitable for consumption in these industries.

After several years of 5-10%py growth in demand, prior to 2020 driven by stainless steel production, the chromium market is forecast to quickly rebound back above 2019 levels and move into a period of more modest demand growth of 2-3%py from 2022.

Yep, that would have been my thoughts too mate, but if we are producing 5-6k ounces a month of PGM's, utilising additional capacity for Ferro-chrome producta and cleaning up and creating potential value in a waste product then like the chrome being a trigger for the PGM side of the business, it may be worth it.

I only state this as when LC bought the chrome rights for Hernic for 17 million pounds, everyone bar me and a few people said, what's he doing? Me and a few others said, we are processing that anyway, so we may as well get the benefit from it and now look at it, those rights are worth something like a million pounds a month to Jubilee and we won't be far off breakeven as we bought the rights on the 5th of November 2019 and that purchase allowed us to expand Inyoni to where it will be an enormous money spinner for us.

All my suggestion does is keep it all in house and helps even further with the ESG for the company AND if it shows that even a small ConRoast smelter can take care of a vast chunk of smelting and be more efficient and environmentally friendly when compared to a 6 in line smelter setup, then we may finally see ConRoast smelters, take off.

Frog,

No idea at all, which is why I was asking the group.

RFA? Not sure about that, but I do work for a place that is a variation of those 3 letters. Ha ha ha ha ha ha ha ha ha ha ha ha.

Doing abit more research and re-reading stuff on the Jubilee website and wondered if anyone else had seen these 2 paragraphs below.

Apart from the economic and technical advantages of ConRoast over conventional six-in-line smelters, the process has a significant environmental advantage in that virtually all of the sulphur in the concentrate is converted in one stage into sulphur dioxide in the roasting plant and immediately converted into sulphuric acid. As a result, there is little risk of fugitive gas escaping into the atmosphere, as can be the case with conventional multi-stage processes. ConRoast is not restricted to processing low-sulphur ores as some of the conventional smelters.

Another significant environmental advantage is that all of the chrome-rich UG2 and nickel-rich Platreef ores can be mined without the need to blend them with low-chrome sulphide rich Merensky reef ore. The waste products from this can lead to acid drainage, a condition which arises from the generation of acid left in un-mined or un-processed underground sulphidic rocks on surface dumps. These products, together with the waste dumped from processing of the ores, can leach and generate acid run-off potentially polluting ground water.

So to me, that reads that if we built a conroast smelter to smelt our own pgm material, we could use the waste product of the conroast process, which is sulphuric acid, which we could then use at Sable to help refine the copper there. Yes, it would involve trucking the acid to Sable and storing it once it gets there, but surely that would again help out with our own ESG efforts, as we are using a waste product to help make another product and then we aren't reliant as much on other companies and technically we could toll smelt other pgm material or make our own ferro-chrome products again.

What do you guys think? Is it worth it?

My favourite bit of the entire broker note is this bit:

Chrome production up to 320kt for the half (up 66% over the preceding half). Attributable earnings of £1m. Renegotiated contracts for a guaranteed margin, plus expansions at Inyoni and the addition of Windsor 8 will see the importance of chrome rise to Jubilee. Remember the removal of chrome is a necessary first step in upgrading the resulting tails for recovery of PGMs – that Jubilee is making a profit on what is essentially a pre-concentration step is exceptional.

This profit was made at a time when the price of Chrome has been too low for too long and according to Leon on that webcast, not all the chrome was sold in the reported period, plus as Leon has previously stated we don't pay any chrome penalty for smelting our PGM effort.

This chrome effort unlocks EVERYTHING else and makes sure our costs are as low as possible, which means that make maximum profit and means that we can unlock Zambia.

I do get the feeling that we will be asked by the Zambian government to process the ROM effort from Mopani, both to maximise the amount produced there and to minimise the costs for them and with the DRC not supplying Copper to the refineries of Zambia like they used to, the refineries will be crying out for copper to refine.

I asked if Leon was looking at re-instating the transaction for copper in Australia. I hope that I get an answer on it.