Member Info for Nickderby

Rand/$ is currently 13.535. Production cost guidance is ZAR205 per kg, giving production costs of $15.15 per kg. Nitrovan is now at around $90 per kg and production is now at 3,750 tonnes pa, giving Vametco potential Gross Profits of $280m going forwards. Quite incredible! Our share is currently 59.1%, but after the Sojitz buy out and the new BEE rules could be as high as 70%. Huge amounts of cash are being generated by Vametco. FeV is in a structural supply deficit, demand is increasing further and the FeV price is rising strongly again. Profits are going from strength to strength. Bushveld has 3 world class vanadium resources. Roll on an FeV price of $100 per kg, it’s definitely coming... :)

Fortune - ‘and the story is not yet half told’. Blue chip institutional investors are now on board. Experienced mining entrepreneurs are now on board. Atlas convertible loan notes settled early. 59% of Vametco currently owned. Our Vametco share will be increasing to around 70%/74% with the acquisition of the Sojitz minority holding. Vametco 2018 profits are looking enormous at the current FeV prices and production levels. Our share of Vametco profits after tax are over £1m per week at current production guidance and FeV prices of $75/kg. There is a world vanadium supply deficit and this will remain for the next 3-5 years. The new Chinese rebar standards will increase their vanadium demand by a further 30%. The Chinese are banning the import of vanadium s l a g. China’s environmental crackdown is ‘fueling an already potent price rally’. Vanadium prices have reached multi year highs already. China, one of the largest vanadium producers in the world, is expected to become a net importer of ferro-vanadium in the future. Vametco annual vanadium production has increased to 3,750 tonnes in July this year and we are targeting production levels of 5,000 tonnes pa by the end of next year. All production increases paid for through operating cash flows. Guidance for 2018 is 3,680 tonnes of production (Nitrovan/FeV). We are on the lookout for more brownfield vanadium production facilities to increase our capacity to 10,000 tonnes pa. Our Mokopane mining licence is due any time. Mokopane early revenue generation is coming. The current V2O5 price is making our Mokopane vanadium project hugely profitable. Brits vanadium, very high grades expected, thereby reducing Vametco production costs even further. Bushveld Energy is in the very exciting VRFB sector. BE has agreements with UET and IDC. Plus an agreement with Eskom, the SA national power utility, for the installation of a VRFB with peak power of 120kW and peak energy of 450kWh. Electrolyte production is moving forward for production in 2019. Imaloto coal has a MOU with Sinohydro. Imaloto coal BFS on its way. Lemur has signed a binding 30 year power purchasing agreement with the Madagascar state-owned utility JIRAMA. Potential coal platform sale/spin off. Investment in Afritin Mining. Other resources, iron ore, titanium, phosphate. South Africa politics have improved significantly. Zuma and his corrupt cronies have been removed. Cyril Ramaphosa, the new president, has a business friendly approach. Ramaphosa’s South Africa is becoming investor friendly and encouraging foreign investment. All very positive for business and mining in South Africa. IMO 2018 is going to get better and better. DYOR of course :)

An update of Mokopane economics based on the current V2O5 price. Forecast annual production 9,525 tonnes V2O5. OPEX $7,200 per tonne. V2O5 price today is just under $20 per lb, which is $44,000 per tonne. Therefore gross profits of $36,800 per tonne. That gives around $350m pa potential gross profits. Say $285m net profits, after royalties, depreciation and admin costs. Our share is 64%. As I said earlier, these figures are for a small proportion of the Mokopane resource (about 1/6). Incredible figures and an incredible resource. Exciting times ahead!

An excellent period coming up! Quarterly report showing production increasing and higher vanadium prices. Half yearly report - profitability significantly improving as the vanadium supply shortage keeps growing. The acquisition of the Sojitz minority holding in Vametco increasing our share to 70%/74%. Mokopane mining licence. Mokopane news of early revenue generation. Brits vanadium drilling news, very high grades expected, thereby reducing Vametco production costs even further. Brits vanadium JORC. Bushveld Energy business model cash flow capabilities and valuation details. Bushveld Energy contracts. Eskom VRFB news. Electrolyte production news. FeV prices rising and production increasing further. Brownfield acquisition (Vanchem?) to increase our production capacity further. Imaloto coal BFS. Imaloto coal platform sale/spin off. Dividend policy information H2. Johannesburg listing. Etc! There’s so much happening.... :) DYOR of course.

V2O5 is almost touching $20 per lb. Mokopane Post tax NPV at $20/lb is $1.693 billion. Our share 64%. Bear in mind these figures are for a small proportion of the Mokopane resource (about 1/6). Incredible figures and an incredible resource. Bring on the mining licence.

Thanks LS.

The US FeV price is looking very strong - a new high.
$38.6/$39.50 per lb is a beautiful $84.92/$86.9 per kg.

Add on our 5% Nitrovan premium and we get to a selling price of between $89.2/$91.25 per kg.

More than 50% of our revenues are generated from the US.

Supplies remain very short, demand is increasing and so the FeV price is only going to end up going one way. Higher!

With Q2 figures expected this week and who knows what other news, I predict a good week ahead :)

DYOR

Surely 30p next week! :)

After 7 days of 500k after hours sells, none today. Wogen cleared :)

I've had another 200,000 shares today.
I feel that today's buys have cleared out Wogen and the coiled spring is ready to be released! :)

MMs finally running out of Wogen shares?
Max buy with II at 22.3p is now down to 60,000 shares.

The first 500,000 trade was disclosed after hours on 11th July. Today’s would make it 7 x 500k trades so far (3.5m). If it is Wogen and they are selling the last batch of warrants converted (4m), they have 500k left. If those were pre-sold as is usually the case, they are now pre-selling the last batch of warrants (3.598m) and they should have finished! :)

I can still sell 500k shares, that has been impossible over the last few days.
Maybe Wogen have finished? :)

Buys 385k
Sells 185k

Max sell 500k
Max buy 150k

Apart from the 3.5% drop it seems quite positive.

FeV now stabilising at hugely profitable levels.

'On July 18, European ferrovanadium prices stabilized in a range of 81-83 $/kg V; and European vanadium pentoxide prices were unchanged at 18.9-19.85 $/lb V2O5. American ferrovanadium prices also sat in the same range of 37.5-38.5 $/lb V.

Meanwhile, Chinese ferrovanadium 78% min export prices remained stable at 78-82 $/kg V, fob China, and Chinese V2O5 98% min prices stabilized at 18.5-19 $/lb V2O5, fob China.'

Excellent prices.
Dreamland :)

https://www.vanadiumprice.com/global-vanadium-prices-remained-flat/

Metalbulletin - more confirmation today that vanadium prices are still increasing nicely.

18/7/18.
'Global vanadium prices continued their ascent over the past week, with strength in the Chinese market setting the tone for the rest of the world.'

https://www.metalbulletin.com/Article/3821475/3821521/Channel/3821453/Channel/207044/ASIAN-MORNING-BRIEF-1807-LME-zinc-climbs-Lundin-submits-new-offer-for-Nevsun-Lehner-resigns-as.html

I can’t get the whole article, but it sounds good. 17th July - ‘GLOBAL VANADIUM WRAP: Strengthening Chinese market continues to boost global vanadium prices Global vanadium prices continued their ascent over the past week, with strength in the Chinese market setting the tone for the rest of the world.’ https://www.metalbulletin.com/Article/3821162/Vanadium/GLOBAL-VANADIUM-WRAP-Strengthening-Chinese-market-continues-to-boost-global-vanadium-prices.html

Thanks Knuttie.

There were a lot of round figure sells today. 13 x 50k, 4 x 100k, 1 x 200k and 1 x 500k. That’s 1.75m. Let’s hope they were all Wogen warrants.

@YTSS Yes, sales in $, translated into Rand at the rate prevailing at that time. Year end balances translated at the year end rate. Costs are mainly in Rand. All items translated to £ for accounting purposes.

YTSS - The foreign exchange accounting policy is explained in the annual report, page 65.

'Foreign currencies.
Functional and presentational currency.
The individual financial statements of each group company are prepared in the currency of the primary economic environment in which they operate (its functional currency). For the purpose of the consolidated financial statements, the results and financial position of each group company are expressed in Pound Sterling, which is the functional currency of the Company, and the presentation currency for the consolidated financial statements.'

'Transactions and balances.
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions or valuation where items are re-measured. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the income statement.'