focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
Angel - just ignore Fira.
He’s made some money here at SML, but he appears intent on running the share down at every single opportunity. He’s either got a massive ‘short’ in place and / or he gets a kick out of running the share down and making a fool out of us all. Additionally, his constant negativity is extremely tiresome for all LTH’s (many of whom are underwater) to endure. I wish he would move on to another board.
Very undervalued here.
Aym shareholders are ****er hoop at the moment . They’re very content with their £15m Mcap and a PEA on one of their assets valuing the metals in the ground at just over 1 billion.
Redmoor has £2.5 billion of metals in the ground and another operation (Cobre), which keeps the lights on. All for a Mcap of 50% less - £10m Mcap.
In regards to TWIS, you’ll hear no stupid SP predictions from me, but I would expect a re-rate to 1p once sentiment has completely returned and then hopefully an SP range between 1p and 2p as news flows. Multiple RNS’s over the coming weeks. It’s a definite hold for the next few months.
IMO. Good luck all. I can understand traders making 20%, but doubtful any LTH’s will be selling just yet (even those that have brought their averages right down).
The brilliant news is that Redmoor has £2.5 billion worth of metals in the ground.
But the ‘game changer’ news is that if we don’t build a processing plant and juggernaut our ore to be processed over the Tamar Bridge, the Capex costs associated with the Redmoor mine are reduced by circa 60% to 70%. Wow.
This will be boom very soon. IMO. Good luck all.
Very strong resistance at 0.50p
I promised that I would give SW at least this morning to build a decent position below 0.50p
Re: Tungsten West
Callington to Drakelands is only 20 miles. Why would you build your own processing plant at a cost of circa £40m when there’s a Tungsten processing plant just down the road? IMO
The future for SML is looking much brighter and I think sentiment is returning. People reading this may have a different view, but it is not beyond the realms of possibilities to:
- Now retain 100% ownership at LCCM if that’s deemed to be the best way forward;
- Reinvest profits from years 1&2 to build an additional new plant at Lynda/Lorna Doone ($5m);
Also, Redmoor probably needs a circa £5m investment over the next couple of years to fund a final drilling programme and a feasibility study. This could be partially funded through a JV, but it doesn’t need to be all done at once. Ultimately though, if the Capex costs are significantly reduced and don’t include the need for a processing plant to be constructed then there’s much more likelihood that the mine will go ahead.
SW - Do you do requests?
Can you please dissect / comment upon the following:
‘A project with a circa $100m NPV that only requires a $30m capital injection at the start with a payback period of less than 2 years must surely look extremely positive to the market’
SW - I’ll give you until tomorrow lunchtime to build your position here before I ramp up any further - lol. GLA, IMO
The way ahead as I see it in layman’s terms:
LCCM - Get PEPR approval asap and then raise funds asap for operations to commence asap.
SW made a very valid point that the £2m required is only circa 20% of the current Mcap, so a fund raise at 1p or above may well be the best option? Why give up to 50% of the project away now as part of a JV when the startup costs are relatively low? The actual operational elements of the mining operations can then still subsequently be contracted out to share the risk etc.
Redmoor TUNGSTEN mine - change the focus / marketing strategy. SW compared Redmoor as a Tungsten resource with only two other peers, so in that context it is a world class mine for the Tungsten.
Also, the possibility of utilising a nearby processing plant could reduce the Capex costs from around $100m to $30m - a massive reduction (and also the payback period is halved). This could be a game changer.
Next part to follow....
SW has brought much clarity to this BB. For me, I’m now much more enlightened as I can see light at the end of the tunnel. We’re not out of the woods yet, but some positive words were evident from SW..... continued on the next post.
Southwesterner - very many thanks for coming over, your expertise here is extremely valuable and much appreciated.
I noted in a couple of your posts that you stated ‘we’, so I hope that you’re invested here; if not, hope that you will get in early on Monday. Some extremely positive information from you and many clear pointers on certain elements including the importance of the Tungsten (and associated marketing drivers). Also utilising the Haemerdon processing plant could be a game changer in terms of the significantly reduced payback period and overall economics of the project.
SW - I think that you’d better send your CV over to SML!
Good luck all.
PW might need to get his smart Shirt, Tie and Waistcoat out again very soon. In November 2016 PW presented the Redmoor project to the House of Commons in London. I’m not sure in what context this presentation was undertaken e.g. to raise awareness and or seek funding etc.
However, in this new post Brexit era (and with the G7 summit in June), I would expect the current Government to be very receptive towards rekindling legacy industries like mining to create important jobs and a boost to the economy. Cornwall has some complex issues in relation to high unemployment and deprivation in some areas. Investment and new jobs would be a very welcome boost to the economy. GLA
Apologies for hijacking the AYM board, but I will keep my post brief.
Southwestener - would you be able to visit the SML board to give some advice support on the Redmoor resource in Cornwall?
For anyone else on here, SML might be worth a look as it has a similar profile to AYM. Once again many apologies for disrupting your board and all the best for the future and hopefully double figures for AYM and a mine at Parys Mountain in Amlwch. GLA
Imagine if the resource could be increased to 20MT?
That would give an in situ value of above $4 billion (assuming the same 1.17% grade)
Cornish - do I remember (from last year), that you said that an infill drilling programme to convert some of the resource from inferred to indicated would not be that costly?
We also need to consider the cost of a full feasibility study which would likely exceed £2m, but one step at a time. The resource is clearly massive!
I think we could see some significant new investors next week. DYOR
I will try and entice South Westerner onto here from off the Aym board. He plays a straight bat / no hype but he knows his stuff. He’ll give us some clarity on the important elements for Redmoor e.g. The need to get the payback period to circa 3 years; the importance of getting a NPV of above $100m and an IRR well above 30%. Leave it with me!
Fira - we’ve all had a ‘moan’ on here over the past couple of years, but your constant negativity is annoying me now.
You’ve made money out of SML and sold the majority of your holding at a decent profit a few years ago. Many LTH’s on here are still significantly under water and your negative comments are not helping.
I’m of the opinion that we will get the PEPR this quarter.
Good luck with your future investments, but I’m afraid you’re filtered.
I assume that there will have to be an RNS next week, not least to state their updated Corporate Strategy position in terms of the 31/1/21 acquisition deadline. I would suspect that the date will be extended unless a RTO or acquisition is very close. Exciting times here. If an RTO is announced then the multi bag could be significant with a suspension in trading probable until the details are finalised. Today could be the last chance to top up. IMO. DYOR
No problem with Bitcoin selling. His handle might have been a clue that he was perhaps not a long term investor. Anyone who had managed to secure 20m in the low 0.40’s would always consider a 50% gain to sell at circa 0.60p. Can’t blame him. We all have our strategies and a buy and sell price in our minds. The best strategy - works every time is ‘buy low, sell high’ - lol. Problem is no one knows where the current low and high is, but surely there is more upside due here for a while yet, not least with the PEPR news pending. I bet DVH hasn’t sold yet; and I bet he’ll be retaining a few 1p trading shares further down the line. GLA
Trouts post yesterday was very astute and gets my backing:
‘We still have just over 400m shares that are authorised to be allotted towards any fundraising, if there is a spike in demand for SML shares then the BoD should think about placing them?’
A brilliant solution I think. How about this:
Wait for the Pepr approval and a possible SP surge above 1p and then raise say £3m (£2.8m after costs) by issuing 300m new shares at 1p. The SP may retrace slightly, but unlikely. The outcome would be that we have the funds for LCCM and retain 100% ownership. The day to day operational activities to run the mine can still be contracted out, but 100% of ownership and profits are held. Also the Lynda / Lorna Doone project could be brought forward. IMO. DYOR