Member Info for Pdub

This comment in The NewYorker:

“Denmark would be interested in purchasing the United States in its entirety, with the exception of its government,” the spokesperson added.

A key provision of the purchase offer, the spokesperson said, would be the relocation of Donald Trump to another country “to be determined,” with Russia and North Korea cited as possible destinations."

Very funny

In an idle moment I looked at Ebitda margins for Vametco

Ebitda:

"Demonstrating to buyers and investors its worth.
EBITDA helps you analyze and compare profitability between companies and industries, as it eliminates the effects of financing, government or accounting decisions. This provides a rawer, clearer indication of your earnings."

H1 2019 Vametco
Revenue $74.3 million
Ebitda $48.6 million
From these figures we get an Ebitda margin of 65%. That is a good margin!

Even for Q2 2019 when V price was lower than Q1 Ebitda was still very good.

Q2 2019 Vametco
Revenue $30 million
Ebitda $16.9 million
Ebitda margin 56%

BMN own 74% of Vametco

For comparison in 2018 Full Year Vametco:
Revenue $192.2 million
Ebitda $107.5 million
Ebitda margin 56%

So even Q2 2019 Vametco had same Ebitda margin as the Full Year 2018 which produced a net profit for BMN of $49 million.

Looks like the interims should show that BMN is very profitable even at this V price. One important factor appears to be the drive to keep production costs low thus protecting margins, and a low Rand / Dollar is helping too.

Haha another brilliant post Ophidian. I'm in awe!

That's kind VV.

I only posted as many here showed interest in my welfare (a community sprit that our troll simply wouldn't understand). Didnt expect responses and don't want to clog the bb with my issues.

Would like the focus to remain on this great company BMN.

Regards. Pdub.

FM on Directors Talk 12.06.19 (just the final part focussing on the future)

"That's great news. Now you've said that the structures and documentation is now in place and forms the groundwork for future projects. Is it safe to assume that there's already been discussion about further projects? And I guess what I'm asking is what else should investors be looking out for in the coming months?"

"If we're talking further projects it depends what we are referring to. If we are talking about our primary producing platform I think that it's fair to say with Vametco and Vanchem our priority is to complete the acquisition of Vanchem, post competition approval, and to make sure that we undertake that refurbishment programme as quickly as possible to get Vanchem producing at 4,200 mtV pa level. At Vametco we have a clear priority to increase the production volumes there. Incidentally the increasing production volumes further lower your costs of production which will make our production that much more competitive. So those are the immediate priorities for us for vanadium production point if view.

On the energy front there are a number of initiatives that we have said that we are doing. Certainly we want to grow our plan of the rental product. We also want to grow our plan of VRFB projects. One of the things we do do is try to develop mandates for large scale energy storage which we can solve through VRFBs. Of course we've got the electrolyte plant that we are building up in East London with the IDC. We have a solar / VRFB mini grid that we are busy with at Vametco, which we are quite excited about and which we would like to use to demonstrate the business case for typically what you call your industrial large energy user customers. So that's a lot of stuff that the market can expect from us.

At a corporate level we have announced that we are looking and thinking of listing on the JSE. We think that we have a story that resonates very very well with the capital markets in SA and would like to create a platform for local capital markets to participate in our story. And we continue the work to expand our organisational capacity. We've seen tremendous growth over the last 2 years and it's quite important for us to make sure that our capacity to manage this growth, as well as the growth that yet lies ahead, is strengthened. And in respect of that you will see some news flow in the coming months and years."

Great summary Ophidian.

That's very kind RK. My thoughts are with you. Can be a bit nerve-racking waiting those results. Hope the news is good for you and that you will let us know.

The community spirit and support on this bb is so important. Clearly some posters simply don't get it, but I have been truly touched by the generosity of spirit of contributors to the BMN bb.

Kind regards. Pdub.b

Thanks knuttie. I am more concerned about that than a possible return of cancer. One day at a time though. My best wishes to Liz. I take my inspiration from all those that have dealt with this disease.

Kind regards. Pdub.

I guess the good news is that doctors have decided to restart the chemotherapy from today. But with a reduced dose. Just two 3 week cycles to go! Can't wait.

The bad news is that the side effects, particularly concerning my feet, have not eased at all despite the two week break. There is a small risk that the nerve damage could be permanent. Obviously I hope not!

More good news. Today I completed a 20 mile bike ride on the folding bike with no additional soreness or fatigue. Nothing compared to what I used to do, but a very large step in terms of rehab!

Sorry for o/t. Some have kindly shown interest in my health so I hope folks don't mind me posting this info.

Regards. Pdub.

I notice questions today about why the market isn't recognising what BMN has achieved, putting aside the fact that 3 years ago the sp was less than 2p. It's interesting that in the recent interview Fortune referred to this and hinted that the market will awaken as the various projects start to deliver.

Some may remember that on a number of occasions I have given my opinion, which is that we are currently in a phase in the company's history where the early growth from explorer to mining and processing company has been completed. BMN are now putting in place all of the building blocks that will enable the next very significant expansion of the production of vanadium and diversification of both products and production sites.

This has not yet been completed and the market is not very excited by this. But it should be! However we have a lot of very savvy investors here that see where this is going and have sufficient knowledge and understanding of BMN to recognise the enormous potential of their investment. That after all is the trick ... being ahead of the game.

It is my opinion that throughout the remainder of 2019 and 2020 we will see the company begin to deliver on the various projects, starting with the Vanchem acquisition, and the market will awaken to what we have.

I believe that the shareholders are in for a very interesting time.

There will always be the trolls, derampers, impatient pi's, etc. There were in 2016, 2017 and 2018. But they were completely wrong in the long term. We are seeing the same things being posted today. I expect they will be wrong again.

I trust Fortune to deliver these projects. I trust Fortune to do this with minimal if any dilution. I trust Fortune to give further great returns for shareholders. And I trust Fortune to know how to achieve all this without needing advice from us!

All just my opinion.

Regards. Pdub.

The dividend Policy has been clearly stated by the company. Don't wish for what you can't have.that way you can manage your expectations and perhaps not mislead other shareholders into hoping for something that won't happen.

Divi possibly in 2020 if free cash flows allow it. End of story.

I want this company to grow and give longterm value to its shareholders. As to who to trust to have the clearest vision as to how to deliver? Well certainly not impatient pi's that have only partial knowledge of the financial needs of the company. Given his track record of delivering long term share value to genuine patient long term holders I trust CEO Fortune Mojapelo.

Let him get on with it.

I am sure the BoD will have considered the argument for a share buy back to protect the sp v the need for all available cash to purchase Vanchem.i am not going to try to second guess them. However short term the buy back may seem to be a good idea, but would that be preferable in the long term? Vanchem will be a cash generating asset that should bolster the share price into the future, both with the immediate cash flow and as a result of significant increases in production and diversification of product.

I will leave it to other LTHs to debate which is the better strategy.

Well we've been discussing hostile takeovers for years. In fact on every share bb I have participated in those ideas regularly appear. Yet here we are and not a sign of it happening!

Fortune knows the value of this company going forward. And so do the more astute pi and institutional shareholders This company is not going to be sold for a song! Just my opinion of course.

Apologies a correction on the % increase. Court version:

Nobody can say with any degree of precision exactly how an AIM share will react to a major strategic move in the development of a company that increases significantly sales, revenue and profit.

However here is an interesting timeline of the month before the original purchase of 26% of Vametco. It might give an indicator of things to come, despite what the naysayers want you to believe!

Sp before 3.81p
17 March 2017. BMN announces good progress in fulfilling terms of agreement and financing.
Sp 4.29p

Sp before 4.29p
20 March 2017. BMN announces sales and marketing agreement with Wogen.
Sp 5.08p

Sp before 7.57p
30 March 2017. BMN announces financing agreement complete.
Sp 7.54p

Sp before 8.00p
06 April 2017. BMN announces that Bushveld Vametco acquisition of Evraz 78.8 % holding in Strategic Minerals Corporation complete. Bushveld Vametco is 45% BMN 55% Yellow Dragon. Gives BMN around 26% of Vametco. Profits not attributable to BMN.
Sp 8.17p

So in the month leading up to completion of the acquisition the sp went from 3.81p to 8.17p. That's an increase of 114%. This was driven by announcements of fulfilling terms, marketing agreement, finances in place and final acquisition.

It is my hope that BMN run a similar sequence of RNSs leading to acquisition, with hopefully a similar response from the market. It would be a brave person or a fool that tried to pretend there would be no market reaction to this excellent acquisition.

Just my opinion, but September / October might be a very positive period for BMN shareholders. And that is why people invest in the high risk AIM market. It is the potential for very large rewards.

Nobody can say with any degree of precision exactly how an AIM share will react to a major strategic move in the development of a company that increases significantly sales, revenue and profit.

However here is an interesting timeline of the month before the original purchase of 26% of Vametco. It might give an indicator of things to come, despite what the naysayers want you to believe!

Sp before 3.81p
17 March 2017. BMN announces good progress in fulfilling terms of agreement and financing.
Sp 4.29p

Sp before 4.29p
20 March 2017. BMN announces sales and marketing agreement with Wogen.
Sp 5.08p

Sp before 7.57p
30 March 2017. BMN announces financing agreement complete.
Sp 7.54p

Sp before 8.00p
06 April 2017. BMN announces that Bushveld Vametco acquisition of Evraz 78.8 % holding in Strategic Minerals Corporation complete. Bushveld Vametco is 45% BMN 55% Yellow Dragon. Gives BMN around 26% of Vametco. Profits not attributable to BMN.
Sp 8.17p

So in the month leading up to completion of the acquisition the sp went from 3.81p to 8.17p. That's an increase of 144%. This was driven by announcements of fulfilling terms, marketing agreement, finances in place and final acquisition.

It is my hope that BMN run a similar sequence of RNSs leading to acquisition, with hopefully a similar response from the market. It would be a brave person or a fool that tried to pretend there would be no market reaction to this excellent acquisition.

Just my opinion, but September / October might be a very positive period for BMN shareholders. And that is why people invest in the high risk AIM market. It is the potential for very large rewards.

Beechcomber please don't be a stranger here. It is very important that new genuine shareholders join the party. Hope to hear more from you.

Regards. Pdub.

Spot on Beechcomber.

Regards. Pdub.

I liked the final part RK:

Chairman of Vanitec’s ESC, Mikhail Nikomarov comments:

“As markets and industries develop, the role of safety starts to play a larger role. This trend is now happening in storage where larger quantities of deployments have resulted in increasing incidence of large-scale battery fires, spanning from South Korea to Europe to the United States.

"Safety is becoming more important for companies deploying large batteries. The intrinsic non-flammability of the water-based chemistry of vanadium redox flow batteries makes them ideal for this growing trend, especially in densely populated areas where the safety risk from fire and smoke is greatest.

"VRFBs thus provide storage solutions in any environment without risking injury to employees and fire fighters or damaging surrounding property and equipment.”

Robmac it all depends on how much patience you have.

Three years ago the share price was about 1.7p. Look at the huge increase in the value of an investment taken out at that time ... in just three years, and even at today's price. In proper investment terms ... the kind that can pay off your mortgage, allow you to retire early, etc .... that's no time at all.

I believe the prospects for BMN into the future are far better now than they were back in 2016. Never mind three years, I think the next 18 months look very exciting. I can't guarantee anything about the future share price but I do believe there is the potential for some very large returns here for those with patience. You may disagree but on AIM a get rich quick mentality can cost you a lot of money!

All just my opinion.

Thanks Daisan. Even as I wrote that post the mid price rose to 21p (+5%)