JLP, I think presented with the opportunity it would have been very difficult for Slater to resist. However, in the long run it is a fantastic testimony to the belief in Jubilee. If there is any smoke there, I think we will now see a very quick reversal in the share price as a consequence. Maybe Slater gave us all a chance to load up!
NTD- I’m still buzzing- only days before cobalt starts becoming reality! Would love a broker note now to put all this in perspective. What is fair value now? What are their forecasts? I can only imagine they are a world apart from the current share price!
Yes a great read, I have a copy too. Whilst he will have an eye for the short term, he’s all about long term investing. I’ve seen him force a management change when he wasn’t happy, rather than selling the company!
In my view, that is a resounding vote of confidence for Jubes. Slater have probably had a good chance to get quite close to the board and proceedings at Jubilee since taking their initial position.So much so they have roughly doubled their holding. Mark Slater is one of the top fund pickers of the current era, with an exemplary record. He doesn’t make mistakes!
https://www.google.co.uk/amp/s/www.gizchina.com/2021/09/20/semiconductor-shortage-will-end-by-mid-2022-according-to-analysts/amp/ I am reading the chip shortage is starting to ease and normality predicted for mid 22. At what point will markets price back in the resumed demand for PGMs. Jubes has been absorbing good news on the home front in lieu of a depressing macro! Is this about to change - I am hearing car orders are stacking up for the new year coupled with a considerable copper ramp up programme could make the first half of next year very exciting! It’s just a question of when the market start to price this in? Will the smart money be ahead of the curve? Or behind the curve?
Dorf, I completely agree! If I remember rightly with previous placings the share price always remained around the placing price until the shares went into circulation. Sometimes went down from there and more recently has gone up. I think they go into circulation tomorrow.
Morning Kaiser, Yes we can definitely agree the Zambian assets are very like to propel Jubilee into the Ftse . Thus I feel making this a game changer. But being able to compare Tjate to the above ground tailings we will remain at odds. As a stand alone asset I do not feel Tjate will propel us to the ftse in our current position. It may one day provide a large dividend or lots of investment capital helping support a 250 position, but as you say the Zambian tailings could take us straight there. Sorry for quite short answers, but got back late yesterday and have a very busy working schedule. I have re read your posts again this morning and can see where you are coming from, but will always disagree on this point.
I think we are going to have to agree to disagree Kaiser! An asset deep underground is at an obvious disadvantage to an asset above ground! Beyond that I’m not really sure what you are trying to say. It may cost $46,000 to process, but you think it’s a game changer! Let’s just agree to disagree.
Evening Kaiser, thank you for your post and yes it is unlikely 100%, will be retrieved. I was trying to highlight what a game changer Cobalt has become and is possibly more important at present even than the copper! I am very encouraged by the following statement in the RNS “Jubilee's process development centre has confirmed very promising results from the cobalt recovery strategy which holds the potential to significantly increase the overall project economics. “ From this I hope we will be able to recover a large percentage of the Cobalt, but even in the most pessimistic outlooks the cobalt is clearly now going to be a game changer and there is there is a lot of it! Your comments regarding Tjate cannot be compared. One resource is above ground and one is buried deep underground!! I feel this is what sets Jubilee apart and the quicker the market twigs this, Jubilee will be placed on a pedestal.
To say Cobalt is changing everything is the understatement of the year. I have just reviewed the RNS dated the 5th November. This states an additional 115 tonnes have been secured. So around a quarter of the total copper and cobalt tailings accumulated. It further states the average copper grade to be 0.3% and cobalt to be 0.05%. So copper after production costs gives you around $1.725 B ( 115Mx0.3 x 5k) but this is where it all changes! Cobalt after allowing a further $4k production costs gives you $2.7B ! ( 115M x0.05x 47,000). So $4.425B in processed value on roughly a quarter of the assets secured in Zambia!! £30M raised in equity is a mere fraction in comparison, a pimple on the moon! So £17M on securing the assets and £13M to clear up a few bits and pieces, bring the time line forward dramatically, double the sable capacity and leave the balance sheet in good order. We start producing meaningful copper in about 6 weeks! Then the ramp up begins. Full production at sable first quarter next year! Cobalt is a slam dunk. Once the market cottons on to the asset Jubes has accumulated, a serious re rate has to be on the cards. This is simple maths, no more! We haven’t even got to dig it up! Priceless and the starting gun goes off in 6 weeks!
Sumo- when it’s written in an RNS, you have to believe it and there seems to be lots of third party info turning up that would certainly support the RNS. Yes quarterly reporting would be a dream, firstly to highlight the efficiencies of the new expanded Inyoni and new chrome plants. Secondly to observe the ramp up in copper and cobalt production. At present I think there is very little over expectation with a share price of 16p! This share is so unloved there is plenty of room for growth. To support this, we have a blue chip or blue chips willing to invest £30M at the drop of a hat at this price!! I believe now more than ever Jubilee is going to be a giant and reward patient shareholders way beyond what they could ever have ever imagined a couple of years ago!
Tobin, that’s a great find, very informative, but what’s impressing me is we have circa 400M tonnes and that’s only 17.72M of them. Admittedly they are not of that grade, but collectively it’s a monumental number well in the tens of billions of pounds of operational profit. Above ground value even higher!
Yes definitely NTD, when people realise the value, or if we could work out a rough value, it’s going to be staggering, tens of billions! A vast number, beyond my wildest dreams. This is the biggest coup Africa has ever seen!! Well done Jubes. When Colin said it’s going gang busters over there, I didn’t realise he was being conservative!!!!!
NTD, what’s making me so excited is that just a small proportion of the overall holding! Nort even taking the copper into account. Beyond my wildest dreams. When the market cottons on to this - re rate big time!!
Crikey HG, cobalt grade of 0.43% is unbelievably good!! On a dump of just 25M ( guess) tonnes equates to 107,500 tonnes @ $47,000 ( allowing $4k costs) is $5Billion in operating profits. That’s 5 billion on a relatively small proportion and not even taking into account copper OMG!! Cobalt is re writing everything!!