Member Info for Mumbles2021

ReeTech, the question is, How long will they keep up increasing supply to exceed demand. There is no point in squandering your resources in the long term. Even a slight over supply has a devastating effect on the achievable price, as the price of future supplies take the price of the last ton sold, until such time as the supply/demand balance changes.

One thing the Chinese are not is stupid. If you were them, would you exhaust tour own supplies at 1/2 or less that from a achievable price of a carefully managed extraction as a long term policy. Then be at the mercy of the external supplies to maintain your own industry.

The Export Credit Agency is the South African company ECIC. If a project's value is 70% or more African content. And at least 50% of South African, political and/or commercial risks can be insured against. This can reduce interest rates considerably on project finance.

https://www.ecic.co.za.

Never assume anything, it makes an ASS out of U and ME

Tony, the 220 million includes 20 million contingency, which hasn't been included in the cash spend forecast.

Lewis, it was £2.07, still a huge drop. i also think touting a 50% increase from a month ago is disingenuous. What I will say is that the structure seems to have turned from a sustained depression in the SP over time, to a seeming increase in it

The guidance given in the RNS is Q1 2024, although there were aspirations for Indaba conference. Which unfortunately didt come off

At a risk of severe abuse from the usual suspects.

Based on a very recent discussion, it seems that the heavy lifting for the project has been completed, and the term sheet required for the rest of the financing to proceed has been agreed upon and signed off. However, multiple stakeholders are involved, and each has their lawyers. These stakeholders include Pensana, FSDEA, ABSA, the Pan African Infrastructure Development Bank, and the South African Export Credit Insurance Company. The agreements and contracts are currently in the markup stage and circulating among the stakeholders.

As a result, the project is not being driven solely by Pensana, as the financiers and lawyers are now performing their final functions independently. An exact date when Pensana will complete and announce the financing cannot be accurately forecasted since it depends on all the stakeholders agreeing and signing off on the whole finance structure. It could be a matter of days, but if any lawyer raises a query, it has to go around all the stakeholders for comments and signatures, which can delay the process. This isn’t unusual in a relatively complex structured finance arrangement such as this one. Patience is required, but everything seems to be on track, as previously advised.

GL, I'm begging you. Please do not take Theo's bait. He's bored!!! As far as Dar is concerned, if the preferred destination is East, or north through Suez (unlikely at the moment). Otherwise 2 and 1/2 weeks to Northern Europe or the states works fine. Trafigura are involved not through any altruistic motive but to get the cost of their logistics from the DR Congo copper projects to export points covered by other parties.

You are meant to be buying a card, and a present, plus making a dinner reservation for your better half tomorrow

Contrarian , I was trying to formulate a response . But can't get passed thinking that you really are an Ar*e with some kind of warped ulterior motive . And that any comment other than this one would be a waste of time effort

The reason is that no trading of shares would be able to occur before trading commences at 0800 on Monday, after the obligatory RNS at 0700 on Monday morning. I have no opinion one way or the other whether an RNS will be out on Monday, as I don't have any for any other day of the week. The guidance says Q1. That's all we have for now.

Pre pay or pre export finance is an option, but it will be Junior to the bank debt repayment, consequently there needs to be sufficient cash flow generated to cover bank debt repayment and opex costs. Ie they can’t take the first year production in totality. Pre export finance is debt paid for in product instead of cash.

SP, Assuming both you and Reetech are proven correct, I'm assuming that the CAPEX involves a sulphuric acid regeneration plant to ensure that the acid used for production meets the purity requirements for MREC production. At $8/MT, it's still dirt cheap and ends up as a win/win for both supplier and consumer. Does the FEED include an H2SO4 plant.?

I suspect FOMO, just hope it's not unfounded

100 posts in 9 days....... It was worthy of comment, if not a celebration of hitting the century on nine overs!!!!!

I do..... whoops

That's because one of MP Materials' biggest shareholders is Shenghe with 13%, majority of MP product goes to US for processing

Even better,

Because I'm interested, and may well take a punt on this stock. Regarding manufacturing, the logistics costs are paramount; every dollar saved is a dollar on the bottom line. SP's suggestion of $8 / MT is unrealistic; however, the location of the RBW plant adjacent to the Phalabora Mining Company sulfuric acid plant and the potential for piping presents huge savings compared to trucking. If RBW were to include the capex for a short pipeline, probably 6" stainless steel, to transfer 1500 mts a week to a couple of 1500 m3 storage tanks (probably only a 12-hour transfer once a week), they would almost definitely get the H2SO4 for Ex-works price rather than deliver by truck, a significant saving which would justify the extra capex in a very short time. The US Producer price index indicates a price of $188/MT (Compared to $215 MTs 10 months ago), and REEtecs R1570/MT was $84/MT is considerably less; the Rand is in the same region as the dollar as REETechs backup date of May 2023, so that doesn't factor into any price disparity. My own view is that the plant is located next to a source of reagent that is priced at below world market rates with potential substantial savings in logistics costs compared to truck delivery. It's a big plus for the OPEX, but not $8 a ton, I'm afraid.

Publican, every one knows your view, you've spouted it often enough.