Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
And just a little salt in the wound, I read comment about reduced opex being strictly related to the opex of the processing only and not an overall decrease in the projects opex.
It'll still cost the same to get the stuff out the ground.
Such is the nature of being invested in a mineral exploration company during its feasibility stage, Skelly.
News as been slow and so has progress, but everything is based on potential until we reach DFS, then FID and hopefully production where potential is realised.
Still, share your frustrations.
Blonde - Agree with your point about the language used here. Why would he say "long-term" unless he's got something more or less locked in? Language there kind of eliminates any discussions surrounding short-term agreements. Time will tell.
People concerned about the fact that they're shipping samples Q1 next year to off-takers should consider that the samples being shipped may go to OEMs in market for our new products (sulphate & phosphate) as I imagine we would have not produced any previously. This development in processing has made us more agile by allowing us to deliver whatever lithium products OEMs need and at significant quantities given resource size. Not only that, but concerns around grade/quality are moot now, IMO.
What's this? Some material, operations-related, positive news? On the EMH board?! I must be dreaming...
Jokes aside, this is a solid RNS. Let's see if KC keeps to his word with regards to now being able to provide some more frequent updates on DFS completion...
"[...] formally support the Cinovec Project and the supply of lithium products from the Cinovec Project into Germany and use its best endeavours to assist the Cinovec Project in permitting and funding, apart from other factors."
Does this not strongly suggest that we would be selling at least some of our product to a Germany-based OEM? I'm worried too much Lith will go to Skoda at a heavily discounted price. Perhaps the reason there's no news on off-takes is because German support is a pre-requisite.
"next few weeks".
The video was published on 21st Sept - Can't speak for how quick the creator publishes his content once filmed, so I wouldn't say it'll be too farfetched to say that we might see some news next week.
Fingers crossed for EC funding/grant.
Ghana Vs Central Europe... Bit apples Vs oranges, in my opinion.
Open pit will not float well anywhere in Europe, but far easier to get away with in the sparsely populated Ghana.
Yes, less profits, but that's the price a lot of shareholders are willing to pay for positive ESG and favourable nods from the EU, not to mention the locals.
Ultimately, I think the positive ESG from being brownfield and underground adds more value than improved opex/capex from being open pit.
In a roundabout way, it's good that he's not only acknowledged the suffering share price, but attributed it to the lack of newsflow directly.
Next 3 months could be the come-back quarter, and dare I say, maybe new heights.
Best of luck all
All very positive, but I'm not expecting any announcements or acknowledgements of Cinovec specifically anytime soon - As much as I don't mind the EU, there's no denying that they're bogged down by bureaucracy...
Watch this space I suppose
Also, on the subject of M&As, I've always thought the name "European Metals" implies endeavours to own more than one project in Europe while producing more than one metal (I know Cinovec has tin, but it's primarily a Lith project).
Really silly thing to get hung up on, just I thought I had a while ago.
Same mica/deposit, just the other side of the fence... Maybe that's not true so happy to be corrected.
M&A are probably one of the most NDA'd discussions across any sector, but still not an excuse for not providing an operational update.
Sincerely,
A frustrated EMH AND ZNWD holder (foolish me).
JFYI ZWND Investor presentation on 15th, if anyone is interested.
I was just reading the same speech and thought the below quotes were interesting:
"[...] if all 11 potentially viable lithium projects in the EU become operational, they could produce some 38% of the expected lithium demand by 2030." With the size of our deposit, and likelihood of all 11 projects going into production, it's hard to understate how much of a key player Cinovec would be in the solution to the problem of domestic EU supply of lithium IF the green-light is given.
"These projects, often developed in former coal mining regions would also help us deliver on the social agenda by creating green growth and clean long-term jobs." This description fits Cinovec very well.
"We should recognise and increase the visibility of these deposits by creating a concept of the Strategic European Projects (SEPs), laying down a new set of rules to govern and accelerate their development in line with the environmental acquis and standards for public consultation." Two of EMH/Cinovec's weak points: Speed and publicity.
Offtakes are great for some instant SP action, but you're really not going to have an issue selling what would be one of the hottest commodities in the most desperate continents this decade.
I'd like to see funding by way of soft loans or grants from the EU or more institutional investment, but there's certainly room for both.
I wouldn't have the words if we've waited this long for an offtake and it's an MoU, but I'll apologise in advance for my colourful language if it comes to be true...