Member Info for moneyhawk

Share price up around 15-20% since the start of the month, that's hardly what I would describe as keeps falling.

On your other point, can you be any more specific on the circumstances around BHP? Have we actively been developing anything for that project? What expenditure has there been so far? What are the likely costs and returns for that project? Is there any on-going dispute regarding the project? Does it have any impact on the projects that are actively being developed and generating earnings? Just wondering, I'm interested to know your thoughts on it and what impact it really has, as you're clearly very knowledgeable about it and BHP given the amount of times you've referred to it.

MVZ seems to have contradicted himself in the space of a few hours today. Appears to be saying now that big talk should result in a share price rise, yet just a few hours ago he was saying "Words don't grow a company. Words don't create shareholder value. ACTIONS DO."

I actually agree with his earlier stance. Actions are more important than words, and the actions that have been taken by JLP over the past few years to focus on low cost achievable tailings projects rather than a monster mine at tjate that won't make a profit and no one will fund are good actions in my view.

Yes you're right of course, we did have dilution for Kabwe indirectly when we bought into bmr. The way this has gone for their shareholders so far I would not be at all surprised to see the remaining assets slowly sold off to pay the chairmans salary and blue square for their 'services' (Jlp shares, 15% of star zinc etc), and once we've got approval to takeover EPL with all the rights to tailings and licences, then bmr will just be wound up. So we'll lose our investment into bmr, but there'll be no one to pay a 12.5% royalty to.

Finally have been able to watch the webcast. All very good, and LC is coming across as very enthusiastic about the direction the company started to take a few years ago and where we're heading.

Something I picked up was the transport costs for platcro tailings, about $3 per tonne. With that we can start to estimate potential earnings from platcro, using the assumption that costs per oz will similar as Hernic.

To briefly summarise, I reckon total revenue in the region of £19m per year, and likely total profits in the region of £8m per year. We're on a profit share arrangement, which we don't know the % other than we get the majority. So assuming we get 60%, that's just under £5m profit per year for the next 3 years, and then a slowdown after that. A £15m+ return for an outlay of £3m with very little risk looks to be a pretty good deal to me and demonstrates positive action taken by LC.

To estimate it, I used the profit margins per oz from Hernic's Q2 figures, mulitpled by the target of 2,800oz, and subtract the extra transport costs of $180,000 per month for 60,000 tonnes. Will of course vary according to PGM prices and exchange rates etc.

Incidentally, if platcro tailings are processed at 60,000 tonnes and achieved the same recovery rates at Hernic, it'd be roughly 2,900oz per month.

So all in all, Platcro looks like it'll be a good earner for the next few years. And by the time the main platcro tailings are exhausted, Kabwe should be in full swing with zinc, lead and vanadium.

Now if £15m return for £3m cost is a good deal, consider that we've paid nothing for Kabwe, and potential returns could run into the 100's millions.

Still haven’t been able to watch the webcast, but sounds very positive from the views put forward. Good to hear a strategy for tjate is in place now, anything we can get for it would be a bonus in my view. May help fund another project or two without any need for financing or dilution. Hopefully they can start giving a few more details on Kabwe over the coming months about processing capacity and likely production rates. But maybe they have learned lessons from hernic about publishing targets, so are being a bit more cautious now.

unfortunately I don't have the time this morning for watching the webcast, will try and catch it later once they put it up on the website.

EricD, yes feel for the BMR shareholders who're losing out as a result of this. Been there before with other aim stocks, and its never pleasant when it happens to you. And as others have said, JLP holders have also been suffering as a result of this, we were progressing quite nicely before any mention of BMR and the whole licence fiasco the day after the JV was announced was quite unbelievable. None of it the fault of shareholders, and the BMR BoD should really be held to account for the damage done to both BMR and JLP, but I doubt that'll ever happen. Its just good to finally see some good news for us coming about as a result of kabwe.

Tbtt, I am wondering if it’s a typo in the RNS, and they actually mean commissioning of the lead circuit in mid 2019. Finalising the lead circuit designs this quarter and then commissioning mid next year would give a build time of around 9 months, which sounds about right. Worth asking for clarification on it.

Reading through it again, we’re actually acquiring 100% of Kabwe and enviro mining ltd, who own the tailings and licences. And paying nothing for it, except royalties of 12.5% once all expenditure is recovered plus interest. Acquiring enviro mining is subject to Zam government approval, and we’ve 24 months to get it.

I should imagine that CB is going to be very pleased with himself in the webcast tomorrow.

From the RNS:
In terms of the Updated Agreements Jubilee is further granted, for a period of 24 months from the effective date of the Updated Agreements, an irrevocable free option to acquire 100% of the issued Shares in EML (the "Acquisition"). Following the Acquisition Jubilee's equity interest in Kabwe Operations and EML will increase to 100%.



The implementation of the Acquisition following such option being exercised by Jubilee will be subject to the following key conditions:



(a) receipt of all regulatory consents required in Zambia for the change of control of the Project;

(b) payment by Jubilee of all relevant taxes in Zambia in relation to the Acquisition

Over the weekend we had this insightful comment from our favourite comedian: “Let's talk again next week and see where the share price is going” Well, it’s now next week.

That's a bigger % than even the most optimistic views put forward! Very good indeed, finally the risk taken in BMR and kabwe looks to have paid off.

Where have you seen that? There doesn't appear to be an RNS from BMR, and not on their website either. Also looks like the BMR ticker is now removed from the London stock exchange.

How long will it be before MVZ tries telling us again that it’s a fact the SP falls every time there’s an RNS?

We are getting a profit margin of much better than 40% from PGMs at hernic. Different metals, processes and costs at Kabwe, which are unknown at the moment, so impossible to really say what kind of profit margin we can expect to see. All we've got to go on is that Jlp have proved their ability to develop and deliver cost effective processes PGMs, and now the question is whether they can replicate that achievement for other metals. If they can get anywhere near the profit margins at hernic, it'll be very good.

Hi bring, good to see your enthusiasm for the company is still there! I would say your best bet is for all the pi's to try and work together to remove borelli. I very much doubt that AIM are in the habit of removing companies for no reason. Listing on nex won't help matters in my view.

I can understand why the possibility of listing on the NEX exchange would be appealing for current holders in BMR. It gives an easier route to get something back for their shares. But, big doubts in my mind about the wisdom of letting Borrelli list BMR on an even more lightly regulated exchange than AIM. It wasn't a voluntary delisting after all, it was a forced removal because BMR couldn't comply with the requirements of AIM.

I think the reason for the approach is that the existing bmr plans weren’t worth developing, so they’re building only part of the project solely to comply with the licence conditions. Not ideal, but at least it’s forced some progress quicker than may have happened otherwise.

Yes that’s what appears to be the case. Construction has started on the zinc circuit, and looking like it’s progressing according to the licence conditions. Lead and vanadium to follow. I’m not sure if it’s certain bmr actually have the necessary approvals in place to process vanadium, and if that’s the case at least that part can’t have been included in the conditions. But will now be included as part of the planning and gov discussions for development of the project. Also looking back on it, Jlp were clear at the start that vanadium would follow after zinc and lead.

Klueloss/Itsaduster, yes quite unbelievable what the BoD at BMR have been able to get away with over the years. Part of me wonders whether CB/LC have had a hand in engineering the current situation to our favour, but considering the history at BMR it's probably more likely that they just watched from the side lines and have been getting ready to pick up the pieces. It doesn't seem to me that Borrelli needs any help in creating a problem.

A quick scan through BMRs RNS history will reveal why no one would invest a couple of million into bmr. They had already raised funds to build the plant several years ago, and according to their RNSs a plant was built and was almost operational, until it vanished into thin air.