Member Info for Rickylfc5

Sold the majority of my holding as the Ebola crisis was worsening. I am now looking to buy back as (thank goodness) Ebola looks to be subsiding. Selling prices appear to be holding / firming and the new project will improve results - are they looking to rebuild for a sale next year? - looks like it in my view. One thing I couldn't understand was how the payback on the Gangama project has been calculated - so I sent the following email to JS 'I am confused as to how the payback and NPV figures are collated - I can see that cost of production are $295 and you have used an $800 selling price giving a contribution of $505 per ton. Using your production projection of 21,000 tons - this gives a contribution of $10.6m per year. The project cost is $43.6 m - how do you get a payback of 1.1 years???? Any clarification would be greatly appreciated.' Will let you know when I get a response

HGM has a habit of showing a SP decline all day and then recovering right at the end of play - lets hope that happens again today

They will make a trading loss based upon a market price for Rutile of $777 and costs of about $650 before overheads - so when you factor in overheads and finance charges, I believe that SRX will show a loss for the financial year 2014

Just read the Iluka production / sales update for 2014 - sales revenue for Rutile was $777 pt - which means that we will be making a loss for 14 - I think I will sell my remaining SRX until the pricing outlook improves (possibly later this year as the Chinese convert to Chloride pigment production) and there could well be an opportunity to buy back at a lower price. I don't see Pala selling SRX while Ebola is still around. - Any thoughts??

See the link below to a presentation on the Iluka site about pigment production in China. I am not an expert but my summary is as follows. China historically has produced the vast majority of its pigment using the Sulphate process (which doesn't use high grade Rutile) - the Sulphate process is low on Capital costs, low tech but is environmentally messy and doesn't produce the highest quality pigment. China are increasing their capacity (quite dramatically) of pigment production using the Chloride process (which does use high grade Rutile) - Obviously this will increase China's demand for high grade Rutile and (provided the Chloride process is replacing Sulphate production) the demand for Rutile will also rise - hopefully this will increase prices. http://www.iluka.com/docs/default-source/mineral-sands-briefing-papers/emerging-trends-in-china-pigment-(15-dec-2014).pdf?sfvrsn=8

The loans are at fixed rates (4 or 5 percent) and fall due at different dates - they are with Russian banks and may prove hard to renegotiate at current rates ( due to the crisis) You would like to think that Abramovich would consider soft loans ( as he and his pals control over 40%) and its only about £150m compared to the £700m he has lent Chelsea (to kick a ball around!!!)

Don't know - 3p (on a 30p rights issue) would be possible

Indianna - 5% to banks is cheaper than paying 10% (or more) to shareholders!!

Gold booming and it only takes about 80 dollars to pay the annual divi

Gib - It wont be the big holders mopping up as they would have to declare a change in their interest. (its probably Jan Castro) - I think its a legitimate strategy to sell while the Ebola thing plays out - as soon as this is under control I will buy back and maybe I will be able to hold more than originally sold!! GLA

Sold half my holding over last week or so at around 30p - I just think we will get some more negative news re the impact of Ebola on operations - which will depress the price further. Will buy back in once the Ebola nightmare is under control and should see a rise next year. Any thoughts??

It seems a lifetime ago (earlier this year) that we were discussing whether Pala would push for £2 plus for each SR share in the takeover discussions.i think we will have to be patient until the spring of next year before we could see some positive developments - lets hope Directors keep buying

This may be off the mark but a thought crossed my mind. The Directors got free shares on their options that expired on 3rd March this year. The amount of free shares depended upon the market price of Srx on March :3rd versus the option price of 20p ie the higher the market price the more free shares. Was the business sale engineered to boost the share price and hence increase the number of free shares. The business sale talks were called off in April and Jan Castro left in June!!! I am not saying the business sale was totally bogus but Jan could have approached a company like Iluka and said are you interested in Srx and if so what would you pay - if they said they were interested then he could announce to the market that talks are under way that may or may not lead to an offer - just me musing - any thoughts???

Personally I am hoping for an exit 12 months - hopefully the Ebola crisis will be sorted in the next 6 months then we can look to higher production next year and maybe even slightky better pricing - here's hoping

No idea - have googled him but nothing to report - he must have a great insight into the Pala exit strategy - I wonder if he fell out with Pala over the failure to sell Srx earlier this year (or perhaps over all the free stock options given to Srx Directors)

Don't think Jan is a Director any longer

Most likely will be Jan who bought the 120k - the Directors can't buy in the 'Close' period - would be interesting to have a chat with Jan!!!

200,000 of buys - is Mr Castro still buying - he no longer has to declare his interest ??

I have nearly 700k of SRX at an average in the 50's and have some conflicting views On the one hand production costs are lowering, market conditions improving, profitability will improve and Pala will be looking for an exit which could well be at a significant multiple to todays price. On the other hand - the share price could continue an ongoing decline (Directors can't buy in the current 'Close' period) and who would buy a Com[any whilst SL is going through an Ebola crisis. Any views out there? - Gib - what are your thoughts - I know you have a significant holding??

Latest Quarterly update from Iluka http://www.iluka.com/docs/default-source/quarterly-production-reports/june-2014-quarterly-production-report-(16-jul-2014).pdf?sfvrsn=4 interesting that they are predicting that demand for Rutile will exceed supply next year