Member Info for nberzins

So strange old SDX starting to rise on a whiff of nothing. Long may it continue so some of us can see some light!

Can't believe they would have made this announcement if the BFS was going to be anything but solid. While I suspect a small retrace before the BFS is announced that should launch it well past the £1 mark unless Paul Atherley pulls further rabbits out of his hat!

I think you find that the Chairman is more than adept at synchronising the announcements to the best effect

I did indeed read the RNS, brief as it was. This move was not signposted to my knowledge ( I stand to corrected), and it is as much of what was not said that is interesting. You are obviously savvy enough to read between the lines. In any event it is clear the market has no concerns I guess because the main men are still in place.

The COO leaving abruptly does not look good this close to the BFS. However, the market does not appear phased by the announcement, and I guess we will get the full story in due course.

I don’t know whether any of you recall the pre-video mechanical arcade horse racing game where you bet on one of the horses and they jerked along the track one surging forward then falling back as others took up the lead. It was only at the end did the winner spurt forward did you knew whether you had won or lost.

I see that in two shares that I have bought recently, and they have both enjoyed quite an advance over the last two months each vying with the other to take the lead in percentage gains. One is Thor, the other which you may have heard of is a different sort of miner, Pensana Rare Earths (PRE). I feel both have the legs to make significant further gains which is why I tend to invest long term.

For those who don’t know PRE there are some excellent interviews with their chairman, Paul Atherley, who sets out the market and their proposition. They have 95% funding agreed and their bankable feasibility study due this month is likely to give them a further boost.

I am going back to the races!

In an interview a few months back PA said that they have commercial financing lined up and only needed a further 30 million of investment. Does the new investment of about 8m mean that 22 would need to be sought now. If this is the case and the BFS is as expected which should boost the shares then 22m would represent a very modest dilution to get us to a fully funded project.
If this is incorrect I am sure that someone more expert than I will put me straight

I was under the impression that they have finance agreed except for £30m in additional equity.

I agree the major shareholders are key but there may be a price that is sufficiently attractive to divest of a profitable but largely moribund investment.
Hopefully there are some opportunities to employ the cash and cash flow which could fund something useful.

Cash is probably still building as the Capex was front-loaded this year. Could potentially be $15m by year end . Definitely a bid target for someone looking for easy pickings.

Pretty underwhelmed on this RNS. I hope they have taken a hit on write downs etc as a tactical move so they can show a strong second half. However, if there are more write-downs, additional costs or other erosion and we end up at the end of the year with little more cash then what is the point?

I was going to top up if we hit 16p but I am now questioning whether we have reached to bottom. With O&G so unloved I would not put further falls beyond the realms of possibility.
It is almost like the cash the company is generating and the share price are converging - crazy.

I think there is little doubt the the motors and the magnets that drive them are going to be in huge demand for the foreseeable future.
The only question is who are going to be the preeminent companies in the supply chain. If demand increases as expected then all established players should do well until supply catches up with demand.
For me PRE is a decent medium term play with strong upside, but I am only a simple PI doing my own thing.

Their cash pile must have been growing at a decent rate already with a lot of the CapEx taken care of plus a steady income stream from SD. It will be interesting to see the position at the end of the quarter.

Hi Shakey, I tend to agree with the issue of SDX visibility. I do have a very comfortable box to settle in during these strange times.

Sound's Lazarus moment has propelled it's value as much as £10m above SDX. Even with their deal I think they have a mountain to climb but maybe it will focus some interest in the region generally and SDX specifically.

That's ridiculous, but I think there must be some order filling going on as the price does not start ticking up on the trades published here today. You, me and pretty well everyone else is sitting on big paper losses; all waiting for some value to be recognised in the share price.
While I keep my core holding I am starting to trade on the volatility; whilst not a lot of gains it does gradually add up.

But with the CapEx mainly signposted and front-loaded in the year the benefit to cash in the whole year should be beneficial although, as you say, it may not show in the second quarter.

Looks like you are right, not really competent enough to comment on the figures in detail. But in general terms very cheap, and this seems to be reflected in the last few days with some buying activity. Actually sufficient buying to firm up the price - whether this is the start of a share buy back or a more general improved visibility of the actual value here who cares.

More like a belly-flop at the moment !!