Member Info for rgbuk

Just noticed someone’s had my post removed, everything in there was correct so perhaps it was because I used the naughty word incompetent! Perhaps AV is reading these messages after all……

Thanks Bothercom, I forgot about that 5t sale, I take it all back, lithium sales are going great guns as AV would say!

I’ve been invested in andrada since 2020 and seen so much cash raised with very poor rates of return of projects for that cash. It’s frustrating as like everyone here they can see the huge potential (that’s what keeps me here!) but they just keep falling over themselves, I don’t know if it’s lack of planning, incompetence, lack of skilled manpower or what but it’s almost constant in its disappointment. Every RNS you’re thinking, have they got it right this time and almost every time it’s a fluff. Forgive me if I’m a touch negative but after so many failures it gets to you.

I mean just look at the 5 year growth strategy they released April 2022, ‘2.8kt tin concentrate, 60kt lithium concentrate and 45t tantalum concentrate. Ore sorters will be installed in 2023.’ Still waiting for ore sorters in 2026 and it’s probably going to be closer to 2027, as for the other figures, ha!

Regarding the lithium, it’s petalite at UIS, not spodumene and wasn’t affected to the same degree in price. Andrada did look at one point for a process to convert this to battery grade lithium but we never heard any more about that either.

The pilot lithium circuit was installed late 2023 and was expected to ramp up to 250t per month Q1 2024, that never happened. It was then listed as increasing to 100t per month at the end of march 2024 in the march 2024 operational update released on 27th march 2024! I kid you not, with only 4 days left in the month they still got it wrong and as far as I can tell they’ve produced next to nothing in 2+ years since then. I mean the kit was in there, bought and paid for (7.7m)! There should be several thousand tones sitting there by now for sale?

Anyway, I live in hope that at some point someone gets a project right, by the law of averages it has to happen surely?

The problem I think is that investors are very cautious of a company that seems to evaporate any funds they raise with minimal effect. Until people see it in and working I think this will continue to drift unless SQM get interested.

The ore sorters are now on their 3rd round of cash raised, the petalite circuit was talked about many years ago but still nothing, the 2nd jig circuit is only being used as a pre feed option rather than full blown doubling of tin.

Show us the tin and then investors will arrive, until then…..

And that’s with tin around $55k still, never seems to take much volume unless there’s a significant delayed sell we haven’t seen yet. Disappointing as always that it just can’t seem to hang on to any gains even though the tin price should be moving it north not south!

To be honest I don’t expect there to be any real uptick in the share price until the results show we are making a decent profit, people have been burnt too often with this share, myself included. The fact that they dropped quarterly financial reporting doesn’t help their case at this point either. I bought in many years ago when the promise of petalite or tin being produced for free that was AVs mantra, I’m still waiting for that to happen……

Obviously if SQM put in a bid or the Goantagab situation is resolved in a positive way then all bets are off but BW looks like it’s going to be some time before any kind of resource profile is available.

It was good that AV finally decided to talk to us but it does frustrate me with all this talk of being a polly metallic supplier, we simply aren’t. We produce tin and a very small amount of tantalum, that’s it. Lithium (petalite or spodumene), copper and tungsten are years away from production. Let’s just concentrate on the stuff that makes money and get that right and show investors that you are getting it right!

Don’t forget though the Orion convertible loan notes ($10m) are also due to be repaid September 2027, so that’s a lot of dosh they need to come up with between now and then. Obviously to me it looks like when we get to that point there will be further large dilution on the cards unfortunately, which is very frustrating!

They have been very successful in raising cash but the projects they were to use it on just haven’t materialised, or in the case of the new jig circuit which is the one bright spark, still being massively under utilised.

I’m also staggered they raised further funds recently for additional crusher capacity and stripping, I’m presuming this is because they don’t have enough to feed the new jig? Even if Goantagab had happened (and they’ve known for a very long time now this project is on hold) then UIS would still have needed to supply the circuit with 20kt per month. It just feels like no one has a hold on planning and project management here and it’s just constant knee jerks reactions, and us shareholders are just getting punched in the gut time after time because of the poor management of these funds and projects.

Not cancelled just time changed.

The fact that AV is finally going to talk to shareholders after the better part of 3 years (although I think the questions will be very well vetted to remove any ‘uncomfortable topics’) probably means there is something else going to drop in terms of good news, especially the way the market is reacting to another pretty poor dilution.

I’d happily take the cash and use it to:

A) Get those ore sorters in, finally!

B) integrate the lithium circuit so the proposed “get lithium (petalite) for free” proposed many, many years ago would finally happen. 30-40k per year at $1-2k per ton makes a huge difference.

C) pay off some of the large debt that has been built up.

D) survey some of the outstanding 180 pegmatites that haven’t been looked at yet, who knows what they might have, higher tin grades, more spodumene, BW type mineralisation’s?

Don’t forget it’s a 60/40 split unless we buy them out.

Disappointing to see the 2nd jig circuit is only being used as a pre-concentrator, as we were told it was processing ore at the UIS site I’d assumed this was additional ore and therefore this meant that when fully commissioned we’d see a 50% increase, not 7%. Let’s hope the Goantagab ore is approved and deliveries start soon, otherwise it’s another very large white elephant in AV’s long list of bad investments.

A big watch for me is the costs, I appreciate the Orion royalty went up but there was also a very significant increase in inflationary prices it seems. This is from the previous 6 month returns:

Gross profit

Gross profit decreased by 27% to £1.9 million (H1 FY2025: £2.6 million) because of a 25% increase in the cost of sales, driven by inflationary increases in production costs including mining and processing. These cost movements are consistent with an asset undergoing expansion and optimisation, and they are expected to improve as the Jig Plant and Uis Mine operational improvements contribute incremental efficiency gains.

As well as increased throughput due to the new jig I also hope to see these costs are very much more under control in the upcoming results.

You’re right bother, my apologies it’s 2027 due, the other debt is more manageable, hopefully by 2027 they will have the share price well over 10p.

The only slight concern then is the amount they have to raise for projects, ore sorters probably around 5m, lithium integration circuit (petalite) I’ve heard anything up to 30m. I don’t know any of the costs of uis phase 2 as I don’t think ATM have published anything yet?

Problem with ATM and especially AV is that we all know the resources are there but until he proves that they are capable of making decent profits and sound future investing decisions then the market struggles to believe it. They’ve been burnt far too many times.

No real detail of the debt they have and when/how they are going to repay it and as I understand it about $15m is due in July to Orion unless they can get the share price over 9.65p in which case they can convert it to shares on a 2 to 1 ratio.

Hopefully if they can get the 2nd jig fully up and running soon then the results will help to re-assure investors that they are now on the right track.

Unfortunately another very soft interview, probably paid for by the company. It’s a good method of getting new news out but frustrating they don’t ask any decent questions and the answers very all very fluffy, even if he’d said the new jig is weeks, or even a couple of months away it would have been something timeline wise!

He has got this right brothercom, it’s a definite plus in the win column for him.

However in my opinion that doesn’t let him off the hook for getting the company into large amounts of debt with numerous failed initiatives, promises of production targets that never get met and for completely ignoring shareholders.

So yes a win today, let’s hope he can now get the 2nd jig up and running asap as that’s much more of a key element to me.

So, let me get this mess of a situation straight, in Feb 2025 they borrowed $2.5m to fund a second jig plant, ok, that sounds like a good plan.

However in June 2025 they raised another $2.5m to ‘accelerate’ the jig plant, seriously double the money only a few months later?! They also at the same time raised $3.5m for the failed ore sorters (which we know now the funds were diverted elsewhere to keep the operation running).

It’s a screw up of monumental proportions added to the fact the 2nd jig still isn’t up and running even after 5 months of commissioning and an injection of $2.5m dollars to ‘accelerate’ it.

The sad fact is AV’s constant screw ups are swept under the carpet by raise after raise and now this conversion dilutes us even further. Someone needs to hold his feet to the fire and get some answers but he’s a slimy worm who never bothers holding his hand up and saying, yep we got that wrong but this is what we’re doing to put it right and making sure we don’t screw up again.

Sorry if I sounds angry, but I am. I invested in Andrada because I could see the huge potential they have but AV has messed up time and time again, the only thing that’s saved his sorry arse so far is the tin price. Personally I want a change at the top, someone in who’s competent and honest with shareholders would be a refreshing start, but unfortunately I suspect we won’t get that anytime soon.

Let’s hope that SQM find decent spodumene resources and save this sorry excuse of an outfit from further embarrassment.

The issues with Andrada are that they’ve racked up quite large debts with failed initiatives, even to the point that the $3.5m they raised last year for the ore sorters got diverted to help keep the operation running.

Yes, they are making a profit at these levels which is great to see, but they need to raise a lot to get the ore sorters installed and a vast amount more to get the lithium (Petalite) circuit integrated. They’ve been a hugely frustrating company, massive potential but some very poor management decisions.

This is the point that announcing the 2nd jig circuit is commissioned would be good to take full advantage of these tin prices, but the sad fact is we should already have been here a year ago.

A company with huge potential but a mess of missed opportunities and bad investments, let’s hope they’ve learned from their mistakes?

I think AV means the continual improvement program rather than the new jig being commissioned. He does like to exaggerate a touch as we’ve noticed through the years.