Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
I was going to add that, if most holders have log term vie and refuse to sell then that will change the dynamics.
The key holders, institutions, are not here for an uplift of a few pence. Their exit strategy will probably be via a trade sale once then potential of the company has been realised.
Like most shares you will have some PI traders who are quite happy with 10-20% uplift so they are really interested to the end story, just what they could make today or next week. I suppose everything depends on your investment time frame. [ If you are in your mid 80's then I suppose you are not interested in a company that may 100 bag in two years .. unless you are thinking about grand kids inheritance or such.]
Rock,
I believe there is enough free float for liquidity. Even though PI only hold abut 26% of the shares, this still equates to about 850Mil shares.
Mind you if no one wants to
Volume definitely picking up. A few hefty buys coming through now.
My key reasons for being invested in this as opposed to other mining options are as follows:
1. Most of the shares are held by institutions , only about 26% of the shares are in PI hands, ( still a lot of shares numerically when you consider the amount of shares outstanding, so there is still liquidity).
2. The proposed funding option for the mine: [In most mining companies the PI is diluted to oblivion when it comes to financing the mine. [ Imagine if they had to issue shares for the approx $1.7Billion required for mine construction?]. With the proposed financing option, (debt and royalty), we are keeping 90% of the company.
3. The size and grading of the resource.
4. The economics of the mine.
5. The quality and connections of the companies involved in the consortium.
For those doing research or that have not seen this before or need a reminder on why I am here for the long term.
https://www.youtube.com/watch?v=OXRR0cCvDxA
Remember, this is o allow you to do your own research. I DO NOT GIVE INVESTMENT advice. Listen and make your mind up based on your personal investment outlook.
Anyone else notice that Kore website if offline today?
Reasons on a postcard:
They are revamping it, something in there that they do not want us to see yet or just coincidence?
Possibly reading too much into a coincident occurrence.
Nonetheless not long to go before we get the expected EPC contract proposal. If management have been having twice weekly meetings with the consortium as they stated, then I do not envisage much in the EPC contract proposal that KORE won't agree with.
Mitch,
Not really sure how your logic works but each to their own.
Only 26.3% of the shares of the company is owned by PI. The rest is owned by Institutions and Sovereign Wealth Fund, but I suppose they probable do not know what they are doing.
Not to say that will be one of the lowest cost production potash mine, add in the fact that even after the Russia- Ukraine war, relations between the West and Russian block countries will be frosty for decades, hence limiting one of the key sources of Potash.
Anyway I don't come here to give people advice on how to spend their money, they do not pay me for investment advice. each to their own. Stock market is big boys play ground, make up your on mind and place your bet.
It just grates me when people make seeping generalist statements without even doing the least of research.
I believe the emphasis right no is the Kola Project, for which we have an offer by third party to arrange the full project funding.
DX deposit is still in play but as we ourselves to think of funding options, it comes second in the list of priorities. Once the funding and everything for Kola is resolved we can let the third part get on with construction, while the company starts exploring development pathway for DX.
at least that is how I read it, which may be totally wrong.
Now the following is pure guess work on my part.
If I was management and wanted to align the stars then these will be my plan:
1. I would expect the EPC proposals to be delivered next week or at latest early the following week. that will afford management about 2 weeks to review prior to the June AGM.
2. RNS releasing the summary of the Optimisation proposals next week.
With these two events , the conversation at the AGM will be fairly easy for management.
In other words I am expecting 2 RNS before the June 7th AGM, ( 1. Summary of the Optimisation Report. 2. Announcement of receipt of the EPC proposal, with potential timeline for Financial proposal).
Looks like I called it. Wish I had more money to put where my mouth was.
Mustn't be greedy I suppose, I have plenty of these and willing to wait a few years for multiple returns.
People seem to be taking a position in expectation of news flow. I would not be surprised if the price starts trending upwards from here.
Will take my £30 in cash if you don't mind. Vivendi not bad but I have no faith in both AAA and Aaqua BV.
Rather take my money and go and invest elsewhere of my choice. Bottom line is that even though the current Global events is causing a lot of market turbulence, BOOM will be acquired the only question is when.
Mitch,
Being invested for 5 years already I can imagine why you would think that this is going at snails pace. I however think that we are close to take off. Not many projects of this kind have a consortium who are prepared to get the financing at debt and royalty. Normally the shareholders are diluted to oblivion.
Secondly this is a win win for both parties so a bit of incentive to get this over the line for each party. The Financing is only a proposal because Kore reserves the right not to accept the terms. I would imagine that if Kore decides not to accept , that it will be because they believe that they could source the money cheaper somewhere else. They are not going to reject the proposal just to sit on their hands for another 5 years wondering how to get the Potash out of the ground.
All in all, I am quite optimistic and will be accumulating as fund permits.
LT,
I am just being conservative in share price as if we do get to production I expect significantly more than that.
I am just covering all eventualities even if the Financing group takes 50% royalty.
Disclaimer:
Forgot to add this to my post, so that everyone should do their own research and base investment decision on any thing I say.
I have a fair few of these and will be sitting on them for the next 4 years. My hope is that I will get at least 20X my money.
I do not think financing will be an issue with the consortium. (I expect a lot of the money to come from China. ). The only haggling bit is if Kore management will accept the terms of their financial package.
Financing is to be based on debt and royalty, so if it cost them more to get the money from the banks then they will build in more royalty percentage.
Not really sure why people are either surprised or over excited about this news. I suppose with fallin share price some people needs some emotional support to keep the faith.
PM did state that due to the expanded demands by the OEM in the current RFQ, SEE will need to licence in some of the functionalities which they currently do not have. I am actually surprised that it took this long to licence in the first one and I expect more.
Instead of SEE going it alone, PM has decided that SEE will go through the route of ecosystem, licence in what they do not have and integrate it into our offering.
I do have a small concern with the statement below in the announcement and hope that it is just a red herring:
"....At this time, the details of the optical technology cannot be revealed due to multi-year development timeframes...."
If these functionalities are part of the current RFQ requirements, then I am not sure if a multi-year timeframe for integration is fast enough to cut the mustard. Unless of course the current set of RFQ is for vehicles with start of production 2025 onwards.
In summary, this RNS is nothing to get over excited about, but do give assurance that, true to his word, PM is closing any perceived gap between our offering and what the customer , (OEM), wants.
DusterMan,
I thought I was the only one that was wondering if he is coming or going.