The next focusIR Investor Webinar takes places on 14th May with guest speakers from WS Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
stinkrat, booger n fn damnation, thats me on a loss of £55k, I curse the day etc
I am holding and will continue to do so long after the short term gamers are gone!
I expect £10+ minimum!
DYOR
Interesting history of Clive Sinclair Poulton (CSP)
Experience
CEO merchant adventurers company ltd
Dates EmployedJan 2008 – Present
Employment Duration11 yrs 4 mos
LocationCork
Consultancy firm
Beowulf Mining plc
Executive Chairman Beowulf Mining plc
Dates EmployedJun 2008 – Nov 2014
Employment Duration 6 yrs 6 mos . MILKING HAD TO STOP
LocationCork, London, Stockholm and Jokkmok
KAZAHK Resources Limited
chairman
2010 – 2012
Bezant Resources plc
CEO
Jan 2005 – Jan 2008
Employment Duration3 yrs 1 mo
Founder shareholder and CEO of Tanzania Gold plc which listed on the AIM market in London.
On acquiring a copper project in the Philippines the company changed it's name to Bezant Resources plc
... See more AND WENT DOWN THE PAN .~ HUGE LOSSES of shareholders money
Simon & Coates
Investment analyst
1978 – 1979
???
Little wonder AIMCEO's / DIRECTORS are scrutinised
This investment in Kosovo is almost as obtuse as CSP's Loan to Agricola Resources (CSP's daughter involved, w/ no repayment terms) do we start to step onto another grey path here? (Inconguous)
The Swedish governments completely unethical treatment of BEM should be a scandal, mind the antics of UK govt./politicians right now are a worse deception of an entire population ~ not just a group of hopeful shareholders.
Sorry to mention CSP.
But this is going to hell in a handcart, after all this time I am appalled, angered and not good to talk to.
I do pray (to Budda ffs) that we do see some SWEDISH light in the summer.
I
Rhodi & izstar, I am similarly challenged by having thought I did the best research I could and find myself VERY seriously under water on quite a number of AIM shares (mostly from circa 2009-2012).
I don't see any of those Board members /CEO's etc with similar problems.
How they can seriously admit to their names in a public forum defies all definitions of real conscience.
They should be publicly forced to justify their repeated theft by rewarding themselves with shareholders money while blowing smoke up everyones fannies.
Then pilloried for their feeble excuses.
WHAT A FANTASTIC WHOLESALE CON OF SHAREHOLDERS ~ VOTE NO
More bad news.
The over paid management of a steadily under performing share reward themselves without justification.
It stinks ~ just typical AIM behaviour I guess?
Part2.
Valuation of Kallak and Beowulf's share based on LKAB's earnings. In the calculation we ignore the total volume of ore in Kallak. However, we expect the lifetime of the mine to be> 25 years. Furthermore, we assume that the broken crude ore is about 10 million tonnes per year (Mton / year).
We are based on LKAB's earnings in 2017, which we round out to SEK 6.7 billion, which is based on a total broken 49.6 million tonnes of crude ore with average price of 67USD / ton. This gives results per million tonnes of crude ore:
                                            6700 / 49.6 = 135 SEK / ton of raw ore
 Which corresponds to about 10% of LKAB's annual turnover.
 We assume that Kallak has the same quality as LKAB's producing ore field. An estimated result for Kallak would be SEK 135 / ton of raw ore
                                           135x10 = SEK 1350 million.
Let us further assume that Beowulf releases 50% of its share to partner (perhaps LKAB or Rio Tinto) against the partner taking all costs, even the initial ones. With 500 million Beowulf shares and PE figures 12, we get a reasonable value for the share
Valuation share 0.5x12x1350 / 500 = SEK 16.2 per share at full production
Which is in line with our previous post. It is about 18 times the daily rate, 0.87 SEK. The assets in Finland and Vardar must also be added to the value.
The current value of the share with assumed alternative return p = 5.5% and that it takes about t = 10 years to full production and achieved value of PF = 16.2 SEK per share will be
Present value share = PF / (1 + p) ^ t = 16.2 / (1 + 0.055) ^ 10 = 9.3 SEK per share, present value immediately after granted processing concession.
Disclaimer. We own shares in the company. The analysis should only be considered as information and not as a purchase recommendation. We are not responsible for the data being accurate. Before any investment, the council is given the opportunity to obtain its own information. All trading in shares entails risk, decisions are made at their own risk.
Appendix: We have used the same valuation model for NIO with the assumptions of 2 million raw ore per year, loan 2000 MSEK and straight depreciation 8 years and then receive the present value of 4 SEK per share. At the time of writing, the share is traded around SEK 3.50.
Beowulf's value with LKAB's result as a basis. We maintain previous valuation. The potential impresses.
2019-02-18 09:11
Views: 1663
After feedback from our previous calculation, we explain the model from another angle. The model we use for the Beowulf share is based on LKAB's annual report 2017. We assume that Kallak simply has at least the same profitability conditions as LKAB's now producing ore field. We have chosen not to rely on other economic models because they are extremely sensitive to project-specific parameters such as borrowing cost and yield requirements. Small adjustments give a big impact on the result.
Summary of the valuation. According to our model, the Beowulf share can be valued directly after the granted processing concession to approximately 9.3 SEK. In order to gradually trade up to SEK 16.2.
The valuation is based on the following essential assumptions and data:
Kallak has at least the same profitability as LKAB's current ore field.
Kallak has comparable ore quality with LKAB's ore.
LKAB's operating profit for 2017 is SEK 6.7 billion
LKAB outlet 2017 is 49.6 Mton crude ore.
LKAB's result for 2017 per tonne of raw ore is SEK 135.
Calligraphy at full production gives 10Mton of raw ore per year.
Beowulf releases 50% to partner against it taking all costs, no borrowing costs for Beowulf.
PE number 12 at full production.
Alternative placement 5.5% for 10 years.
Simple present value calculation.
The valuation in detail of Beowulf's assets in Kallak. We assume that Beowulf is authorized to establish the mine in Kallak. Most of it speaks for it, we believe. The prerequisites for entering into partnerships / acquisitions are very good. Beowulf's management, infrastructure for transport, the quality of the ore and low initial investments, because it is a quarry, means that we see Kallak as a very good deal. We also assume that the time to production calculated from today is less than five years. As we pointed out at the previous valuation, there are alternative models that take into account, inter alia, borrowing costs and yield requirements. The models are extremely sensitive to project-specific parameters. Which is also highlighted by those who use the models, as a consequence, comparisons via simple measurement numbers with other design companies are virtually impossible and thus meaningless.
In our estimation of the reasoned share price for Beowulf, we expect what the mine can generate at full break, about 10 million tonnes of raw ore per year. Furthermore, we ignore the fact that the ore is of extra good quality. Average P / E figures 12 based on known Swedish mining companies are reasonable to assume and in light of this valuation, we price Beowulf's share. The number of shares is approximately 500 million.