Member Info for ragnarlothbrok

Jubilee reports its PGM production and costs on a 6E basis. If SLP reported on the same basis its costs would be $425/oz for 2018, falling to below $400 for 2019, fully loaded, no funny business.

There is some longer term potential in JLP but without getting the full picture I wouldn't touch it, or anything else the Birdman is involved with.

I also attended the presentation last night (can't turn down a free beer). A few points/impressions I noted:

The reception was frosty, particularly from TW. He feels let down by the failure of FLX to expect deliver a profit in 2019. FLXs response was he shouldn't rely on analyst estimates in coming up with an opinion.

The reason why they didn't hit break even sooner was an investment in management capability and building capacity in the Birmingham ops centre and management. They have incurred further costs in advance of generating revenue. Not sure this the right thing to do but they claim that the growth in the cyber market has meant that its extremely hard to find resource.

Mike was very clear about the capital raising, based on business as usual they don't need funds. But have no doubt if the Solar Wind revenue picks up there will be a raising.

I didn't get the chance to ask about the pipeline that never seemed to materialise but my impression is that the deal flow dried up with end customers, which is why they are now pursuing the managed service arrangement. The potential is huge but they won't really find out if the new strategy is viable until early next year. Mike said that early indications of attendance at the MSP conferences has been positive.

I believe he said they would be issuing interims within a few weeks



Mike Read has taken a huge hit himself after tipping in around 500k so far.

Now you can't buy a bean, even at 19p. Where did all the stock go from the sub 15p fire sale?

I found this very interesting presentation from Sibanye from a couple of weeks ago. Not surprisingly very bullish but some really good stuff (and always good to see SLP tucked into the left hand side of the cost curve of slide 31)

https://thevault.exchange/?get_group_doc=245/1538015337-No1Sibanye-StillwaterCorporateFINAL.pdf

i'm still wondering if platinum is a precious metal

Platinum 844 you say?! Wow that sounds like a 2 month high to me...

Cine has had a good run lately, hang in there, buy a few more and enjoy that dividend.

I topped up 3x between 15.88 and 17. I think I might be officially 'overweight'

Wise words utrecht, good post. Despite the pop in precious metals and their miners today, SLP has gone completely the other way. Maybe this is explained by SLP being a small company tucked away in a pocket of a relatively unloved sector and is seen as something disposable or too risky in times of uncertainty. Maybe I'm biased or even slightly delusional but I like to think that cash flow and asset quality eventually speaks for itself.

Seems like squealing squeaking panic setting in here, the SP is in freefall...

SLP shares being thrown away like the lowest quality junk AIM stock. It seems like that the shares that have increased the most are getting sold off the hardest.

Must be on a P/E of 3.5 by now, just about to start paying a dividend with the yield rising to 15% in the future on my estimate and 2/3 of market cap covered by cash and net working capital. Business valued at less than the plant and equipment. Remarkable...

That's a pretty good assessment Shareminator. There's nowhere to hide. I wonder if and when gold is going to pop.

It appears so Visitor. Looks like some share changing hands between instos, maybe Fideilty stepping in again?

Good timing too.. with Crystal amber trimming and the market weakness looks like Blackrock have been mopping up the market sells

I'm sure you've seen a few dips in SLP, nothing to worry about. AIM stocks had their worst day in 2 years the other day, can't think of anywhere better to park some cash right now with the impending 10%+ yield

Basket is holding up very well, Pd has run hard recently esp in the context of the other metal falls, hopefully the Russians keep up their strategic stockpiling. As Pd moves higher it will support both Pt and Rh with the threat of substitution rising with the spread. Pd v Pt is now $260/oz

Its been pretty brutal over the last couple of weeks across the small cap sector, a lot of indiscriminate, desperate selling at any price to rotate into cash or larger caps. If you are brave like Shareminator says this is an opportunity, especially if you can look ahead to the next year or two.

Should be a stonking quarter, production close to last month of 20koz will give confidence for the upper end of target production to be hit with flow on to lower unit costs.

I'm shooting for at least $7m EBITDA and a closing cash balance of $18m before FX.

I reckon we will start seeing half yearly dividends Visitor, especially with current prices which are starting to look a little buoyant.

Confident and pleasing results with divi ahead of expectations and current year trading continue to show growth.

Increase in earnings was supported by 0.8m lower marketing cost, with higher gross margin from improved sales offset by higher admin personnel costs. With the collapse of several competitors it makes sense to rethink marketing spend and we may see a further reduction this year with the impending increase in business rates.

Juicy 8% dividend yield which looks pretty sustainable going forward, they have managed to maintain and increase it through this point in the cycle. Cash balance looks very healthy as always.

HoF not doing well as expected but no mention of one off impact that I could see from my relatively brief scan.

The divi will be in your bank account 30th November, one week after the meeting, with ex divi on 18th October.

Should be the start of a flood of cash heading in our direction every 6 months

It looks like the reason for the unexplained decline yesterday was due to a sell recommendation from the IC. I read the article and its concern centred around the 2018 results: high levels of debt, the dividend being suspended and costs. There was also worry about SA potentially raising interest rates later this year.

Debt is the concern and it will be until Q1 when the cash from Elikhulu will start rolling. There is a time lag between production and cash receipts from sales as part of the refining process so it will take some to get net debt down.

I agree with the opinions; based on historic levels of cash flow you can't deny that gearing is high. But I think they are too backward looking. I've seen many times in the past companies with 'temporary' high levels of gearing supported by future cash flows perform very well. Given the history they aren't willing to take that risk.

I'm fully loaded now with my last purchase sub 8p, and I will eat my words if there is a capital raising in the next 6 months. I'm reasonably certain that would cost Cobus his job, so fingers crossed for everyone he delivers.

Evander is in the Wit watersrand basin.

The sector is up, Sibanye and Impala both doing well.