Member Info for Pdub

Thank you for clarifying Paludina. It needed doing!

Thank you Jimbo for bringing sanity back.

Regards. Pdub

Paludina. Please clarify your post and explain which contractual arrangements BMN use.

Definitions of freight charging

* Ex Works (EXW) – The Seller provides a notice for the Buyer as to when the goods are ready. The seller’s only responsibility is to provide the goods for pickup by the Buyer. The Buyer then takes all responsibility for additional charges as well as delivery of the goods.
* Free Alongside Ship (FAS) – This is a term only applied during water transport. The Seller has all responsibility until the goods have reached the port of destination. From here on all responsibility is taken over by the Buyer.
* Cost of Freight (CFR) – This too is only applicable to waterway shipping. Here the Seller pays all necessary costs in order to bring the goods to the agreed upon port. The Buyer then takes over the responsibility of: loading of goods, transportation and import.
* Free Carrier (FCA) – After agreeing on the location on the Seller’s side, the Seller will be responsible for loading the goods. Then the transport, risk of loss and additional freight charges then will shift to the Buyer.
* Cost Insurance and Freight (CIF) – It is very similar to CFR. The main difference is that the Seller must obtain insurance in case of damage or loss of goods.
* Free on Board (FOB) The term is always followed by the name of the port where the goods are transported (f.e.: FOB Boston). This too is only applicable to waterway shipping. The Seller pays for and is responsible for loading the goods onto trucks or other means of transport. Then the responsibility shifts to the Buyer. 
* Carriage Paid To (CPT) – A location is agreed on the Buyer’s side. After which the responsibility of the import is the Buyer’s. The Seller is responsible for transport, freight charges, exporting obligations and risk of loss as well.
* Delivered at Terminal (DAT) – A terminal, or a specific point within a terminal is named by the Buyer and the Seller on the Buyer’s side. Apart from import and unloading responsibilities, everything else falls onto the Seller.
* Carriage and Insurance Paid (CIP) – A place is named on the Buyer’s side. The seller will prepare the freight here. The seller is responsible for every single aspect of the transaction apart from unloading the goods from the final vessel. 
* Delivered at Place (DAP) – A specific place of destination is named by the Buyer. The goods will be delivered here and apart from import and unloading obligations, the Seller carries all other responsibilities.
* Delivered Duty Paid – (DDP) – The parties assign a stipulated location for the Buyer. Here all goods will be delivered. The only responsibility the Buyer has is unloading the goods at the end of the transaction.

Whether or not the figures are accurate there are many different types of contract with regard to shipping costs, some of which have the buyer paying the bulk of the costs. It is important to know which contract BMN uses. I would certainly hope that their contract requires buyer to pay freight.

Still living in the past I see HMHG.

I assume you are a shareholder in BMN?

There are some who think that a strong dollar v SA Rand is not significant. On the other hand the majority of intelligent investors understand the relevance when costs are in Rand and revenue in US$. Does not take much intelligence to work out the benefit to margins of the current exchange rate for BMN.

Similarly it takes not much intelligence to realise that when the price of a commodity like vanadium is high then those producing it make more profit!

Only a matter of time until the wider market finally responds. May be necessary for the improving financial position of BMN to become more visible … but it will.

Just my op8nion

There is a problem with that Daisydog. I don’t focus on the share price. My posts relate to what the company is doing. I use published facts as the basis for my comments. Therefore how can you claim to be more correct than me when I comment on what they are actually doing.

I have no problem with you being in some dark pessimistic place or you wanting to big yourself up on a bb but please don’t compare yourself to me. Worlds apart.

One last point ….. it ain’t over until the f** lady sings. Let’s wait and see who turns out to be correct about this company once vertical integration is complete and profits visible.

One last point. Almost all successful people in most walks of life are by nature positive and driven. Perhaps you are the exception?

The sites I use to track live exchange rates had Dollar Rand at 18.97 earlier today now retraced to 18.78.

Excellent post numpty.

TA. Management has created from absolutely nothing a miner and producer with 2 of the 4 primary vanadium production plants outside of China and about to go into production of electrolyte. They have established a number of partnerships including the IDC. People who know him far better than clever old you and have a very different opinion. Yet you think management is poor. Good grief.

They have made huge progress in so many aspects of their operations. They have a weak spot re PR no one denies that but you need to loose your blindness to the big picture. There is no way this company could have achieved all this in such a short period of time without excellent management. They are not perfect of course but they have placed the company in a very strong position going into 2023. Yet you think management is poor. Good grief.

Share price of any company is going to vary over time. This company has been hit hard by the market during its growth phase. Let’s see how the market responds once the significant profits become visible.

Now you question my motives. Haha classic troll. Mine are simple. I have invested in what I regard as a very well managed company (PR excepted) with a very talented CEO. I like what they are doing and as a long term investor I remain positive as long as they continue to deliver on their target. As I am invested here I have the absolute right to defend my investment against those that spout shallow negative nonsense in an effort to damage my investment. Much to the disgust of the trolls I don’t roll over and let you lot get away with your nonsense. I can see why you don’t like that but hey … get used to it.

Once again a troll (you) have tried to invent nonsense about my motives. It’s funny that that is the best you can do. An anonymous troll with no money in the game that wastes their time trolling this bb. I think it is your motive that folks here need to question. Very very dodgy.

I note that once again you fail to post ANYTHING substantial about BMN despite invitations to do so. Yet you think you are smart enough to judge the competency of the management. I beg to differ.

Lose your downer on Fortune.

As always just my very well researched opinion.

Bless ARCM. Weekend is coming. Relax and enjoy.

Regards. Pdub

Well finally TA you have been forced to admit BMN can be very profitable. Why it has taken you so long to work that one out frankly astonishes me given the known facts (v price, dollar rand, production totals and costs etc) but at least you are showing a glimmer of understanding.

The rest of your post I am afraid is more of the same unsubstantiated … stuff.

If Fortune is running a good business (ie sustainable production and highly profitable) then that will be revealed to the market in good time and the share price will respond.

Your comment about the CEO being in it for himself is meaningless. The share price will reflect business success whatever motivates the CEO. But who are you to judge the motivation of the CEO? Some anonymous poster? And what is that suggestion based upon? NOTHING. Absolutely NOTHING. Not one shred of evidence. Just classic social media rumour mongering.

Those who have met Fortune (including myself on a number of accordions) will tell you exactly the opposite. He is an intelligent and driven man that is absolutely dedicated to building this company. The success he and the management of the various plants have achieved in upgrading and expanding the production plants is going to be the key to the company’s successful future. That is what they have invested time and money in and now the company is beginning to benefit from that, and with average V prices well into the $40s kgV and AISC forecast at $35 kgV even the most pessimistic would have to acknowledge that is a large margin.

That is why I have no time for those that look backwards. Investors need to focus on the future. And 2023 looks very good for BMN. Strong global demand from steel industry, a rapidly expanding VRFB industry (at long last!) and a new electrolyte plant soon to open. What is not to like?

You mentioned dividends. I trust you are aware that these are paid from profit so not possible over the last few years. However that high capital investment is now done, production has risen, costs are falling and higher V prices are generating profit. If the management get the business right, and that is exactly what they are doing, then profits will be generated and the company valuation will strengthen. That is how it works! It is the management led by Fortune Mojopelo that have modernised production and placed BMN in a position to benefit from rising demand for vanadium over the coming years.

If you don’t think this is a good investment then fine. Go and chase the next big dream. But first open your eyes to what BMN are achieving NOW and the potential for big returns down the road.

However if you want guarantees then you shouldn’t be investing in AIM and especially the mining sector. Stick with the FTSE. Here it is high risk for potential high reward. Your choice.

Just my opinion.

Cindercone only those that participated in share issues. Not the likes of you and me that buy and sell on the market. Not that difficult to understand is it?

TA when are you going to demonstrate even the tiniest bit of understanding about what this company has been doing? You are now just spouting verbal garbage. In effect you are saying that no matter how much profit the company is making and once that is appreciated by the market it will make no difference to the share price. Good grief man do you understand anything? Anything at all?

Cindercone you keep leaving out the most relevant point. They have spent 2 years investing in refurbishment and growth. And they have been very successful. That will underpin the future prosperity of the company. Without that success no amount of floppy floppy RNSs will generate SUSTAINABLE share price growth.

You are correct that a CEO needs to deliver shareholder value but that time scale is not defined. It has taken a lot of time and effort to get BMN to where it sits today. After 2 years of losses during tat growth period no amount of flannel could cover that up.

I am amazed that someone as wise and experienced as yourself does not understand this and what it means for potential future share price growth.

If you wish to argue over PR and Comms please don’t waste my time. It’s agreed. Try spreading the good news about the operational side of the business

Oh come on TC not the tired old policeman cliche to cover up your inability to counter my fact based analysis.

I’m still waiting

Cindercone for the umpteenth time we all agree about PR and Comms. What is your point?

Any intelligent investor that has bothered to properly reach what the company has achieved over the last two years would also have to agree that operational progress has been very significant. CEO has to be congratulated for that. It has been quite a challenge and he delivered.

Has ARCM sold? If so his decision. If not then he has not lost anything.

TC I am still waiting for sensible detailed justification of the Troll’s negativity.

If that is beyond your capability just say so but don’t waste everyone’s time with your waffle.

Both of these factors working very much in BMNs favour.

vanadiumprice.com showing China (Asia) FeV at $44 kgV and Europe $41 kgV. US prices are reportedly in $44 - $45 kgV range.
Recent Analyst forecast predicted AISC to be $35 kgV. If those numbers hold for 2023 that is a large profit margin for the 4500 to 5000 mtV expected production in 2023.

The high Dollar Rand rate (18.38 at time of writing) is a big help in maintains and growing profit margins. At some point those improved financials will become visible to the less well researched wider market. That is the point at which a sensible conversation about share price is likely to happen.

Just my opinion.

BMN has been valued far higher in the past. Location is no doubt part of the story but other factors must be considered.

The current valuation seems to be ridiculously cheap to those that know and understand the company and I am sure that the market will eventually wake up.

As to why the sp is where it is? Well I know they are many here that think they know THE reason. However in reality there are most likely a number of factors:

Lazy investing … can’t be bothered to research a complex operation like BMN?
Concerns over debt repayment?
Location?
Recent past losses (ignoring the fact that during this period much investment was needed to stabilise production and grow the business?
Disappointment at length of time to get Bushveld Energy driving revenue?
Shorting / trading taking advantage of poor communications?
Duferco sell off?
Concerns over load shedding at Vanchem (though measures are now in place to reduce the impact)

I am sure that there will be other factors too.

However that is looking backwards. I don’t spend much time doing that. BMN is now in a very strong position going forward based upon current circumstances:

Record group vanadium production in 2022 likely to be exceeded in 2023.
Costs falling as production has risen.
New revenue source in H1 with opening of the electrolyte plant.
Vanadium prices rising recently to a level that makes BMN very profitable.
Almost daily it seems that new VRFB projects are being announced which will increase demand for Vanadium and electrolyte.
A VERY favourable US Dollar / Rand rate and increasing. This effectively is widening the margin between revenue (in US$) and costs (in Rand).

Again there other positive factors beyond this list.

Whilst competitors seek funding and permissions for mining / processing BMN is already doing both and expecting a year with few new capital requirements.

IN MY OPINION 2023 looks very promising for BMN and its shareholders. I have been invested for nearly 10 years and as far as I am concerned the company is in such a strong position now that it’s prospects seem better than at any time in the past.

Some might think that the current share price is ridiculously low and may recognise this as an excellent entry point if they perceive the potential for substantial share price growth. That would be an opinion that I would not argue against!