We would love to hear your thoughts about our site and services, please take our survey here.
Https://www.miningmx.com/top-story/54535-bushveld-confident-convertible-bond-renegotiation-by-december/
BUSHVELD Minerals was confident it would refinance part of $45m in convertible debt by December. The negotiations are an important element in securing the proposed $69.5m to $77.5m recapitalisation of the vanadium mining business.
“We continue to make progress in respect of the refinancing of the Orion convertible loan note and we are confident that this will be completed before the December 2023 due date,” said Craig Coltman who was appointed Bushveld CEO in June.
Coltman was commenting in Bushveld’s interim results announcement in which it reported a $12.5m net loss, a year-on-year deterioration of $12.2m. There was a cash outflow of $2.7m – less than the $7.1m outflow at the same time last year – but cash had dwindled to $3.7m ($10.9m).
Bushveld’s performance is owing to poor run of production numbers from its Vanchem facilities, near Emalahleni in Mpumalanga province, which formed the lionshare of $24m in impairments for its 2022 financial year, as well as weak vanadium prices. These factors proved the tipping point for Fortune Mojapelo, Bushveld’s founding CEO, who was forced out of the company in June.
Earlier this month, Bushveld announced a wide-ranging recapitalisation, including control of some key assets. Aspects of the recapitalisation – signed with Southern Point Resources, which is described as consisting of “South African mining entrepreneurs and mining finance specialists”, – are linked to a convertible note signed with Bushveld’s seed lender Orion Mine Finance.
Some $4.5m in loan notes, which is part of $45m in convertible debt provided by Orion Mine Finance to Bushveld, was already facing re-negotiation prior to the change in management and recapitalisation. This is because Bushveld’s share price had fallen below the conversion level. (Overall, Orion seeded Bushveld with about $62m in finance).
An equity investment by Southern Point Resources into Bushveld for $12.5m has to be done at the same price of the loan note renegotiation. BNP Pariba analyst Thomas Martin said there was “some risk” the loan note could be revised to 3p/share. It was first priced at 6p/share. Shares in Bushveld are currently trading at 1.8p/share.
The details of the recapitalisation is that, in addition to the equity investment in Bushveld, Southern Point will buy 50% of Vanchem, 64% of Bushveld’s Mokopane project as well as $25m to $35m in trade working capital.
Southern Point takes over the marketing of Bushveld’s vanadium into the bargain and, for important short-term liquidity purposes, provides R150m in working capital, the proceeds of which Coltman said today had landed.
Https://www.voxmarkets.co.uk/rns/announcement/76bf31bd-d06d-4b86-aa37-805dd5ee54c9
Not sure if anyone posted this?
https://www.brrmedia.co.uk/broadcasts-embed/64fec46884cbf5eec802d34c/event/?popup=true#new_tab
Https://polaris.brighterir.com/public/bushveld_minerals/news/rns/story/w173y9w
Https://www.bushveldminerals.com/wp-content/uploads/2023/08/Bushveld-Minerals-Resetting-the-dial.pdf
Https://www.voxmarkets.co.uk/rns/announcement/e384346a-5dfe-41bf-a80c-98d0553cdf9c/
Cindercone, on your return to the bb you gave your excuse that you had forgotten your password, setup a new account, but then got access to cindercone again. That's perfectly believable but what isn't is why on the same day you argued from those two accounts with opposing views. I was there and called you out when you did it, you immediately stopped posting and we didn't hear from you for a year or so. You may have convinced yourself of that particular lie but that's up to you.
Which is why for the last how many months you calling other people out for lying is really funny. Anyway, you're happy with how you conduct yourself on here so no skin off my nose.
So do you prefer the board as it is at the moment V1per? Where any attempt to discuss Bushveld degenerates into personal attacks. I might not have agreed with what some posters would say but I certainly wouldn't attack their character (except cindercone who openly admitted to multiple accounts that were arguing the different sides of a point being made, sorry cindercone I just can't let that one go).
But everyone goes straight from reasonable argument to raging maniac in about 2 posts at the moment which has just made it a horrible bb to post anything on for fear that a group of posters will gang together and pick at you until you stop posting.
I don't filter anyone, well, no current posters anyway, I just ignore their posts, I don't respond and try and glean any relevant info. Those posters may have something useful to say but I'm at the point I assume it's just another attack on another poster.
Shame really.
Https://finance.yahoo.com/news/largo-reports-second-quarter-2023-214900560.html?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAJbTiZLmEnq9jFNoZ0NsK5o-4x66rkL5uBpDNHBValPB_i3E56cXnTxFMGvXfWZQd-W_JY__ZcLYm8biIzcCo9cmuznv7SQgKCxvM0cTah1X-Zp92eMoycy2AizKqjZlg9OgJz4SS_z3xYMqVvZFOhrEwZx1RE2DAj5AjuqO8Gk_
Vanadium Market Update4
The average benchmark price per lb of V2O5 in Europe was $8.46 in Q2 2023, a 19% decrease from the average of $10.39 seen in Q1 2023 and a 24% decrease from the average of $11.08 seen in Q2 2022; The average benchmark price per kg of ferrovanadium in Europe was $33.47 in Q2 2023, a 15% decrease from the average of $39.46 seen in Q1 2023 and a 24% decrease from the average of $43.83 seen in Q2 2022
Lower vanadium prices can be attributed to weaker demand in the Chinese construction market; however, these prices been partially offset by higher VRFB deployments in China and increased aerospace demand
The average European benchmark V2O5 price at June 30, 2023 was approximately $7.98 per lb, compared with approximately $10.13 per lb at March 31, 2023 and $9.15 per lb at June 30, 2022
According to Vanitec, demand in energy storage applications has increased by 141% from Q1 2022 to Q1 2023
Https://www.voxmarkets.co.uk/rns/announcement/bf9c3f10-a437-4d2b-a25c-18c747236d31/
Https://www.elidz.co.za/wp-content/uploads/2023/07/ASIB-Inspection-conducted-19-Sep-2022-Bushveld-Electrolyte-Company-BELCO.pdf
Just found this ASIB (Automatic Sprinkler Inspection Bureau) document from during the factory build. Just found it interesting and I would assume the defects found would have bee corrected.
Note that there were three other companies checked, two of which had the RED NO in all of the main categories.
Https://www.esi-africa.com/news/sa-17-bids-for-dmres-battery-energy-storage-system-bess-project/
The bids include 3 from EDF Development South Africa. A few years ago, so it may have expired or not be relevant, Bushveld signed an agreement with EDF subsidiary Pivot Power through the VERL vehicle it created with Invinity to provide electrolyte.
I've completely lost track on whether VERL is still a thing but wonder if some of the samples being sent out may find their way into one of these bids.
Https://polaris.brighterir.com/public/bushveld_minerals/news/rns/story/w3jmq3x
Bushveld Minerals Limited (AIM: BMN), the AIM quoted, integrated primary vanadium producer and energy storage provider, with ownership of high-grade assets in South Africa, announces that all ordinary resolutions put to shareholders at the Annual General Meeting held earlier today were duly passed.