The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
With an NPV project of circa $30m and an initial working capital requirements of circa $5m, the project at LCCM isn’t that lucrative and the second ‘copy and paste’ PEPR is essential in my view to attract any investors / suitors. So until we get the 2nd PEPR my view is that nothing will happen. The fact that there are other large tenements / land with drilling potential could provide additional leverage to help fund the project.
8 months since our second LCCM PEPR was submitted and no update?
2 months since our Redmoor Soil samples were completed and no update?
Multiple organisations have been in our ‘data room’ for the last 18 months and yet we still stand alone.
The SP has fallen by over 90% in the last five years.
Tough times here at SML - bottom draw for another 5 to 10 years maybe?? GLA
Update from Must within the next 7 days???
Haven’t seen it yet!
DVH - I bet that you’re kicking yourself that you didn’t bail out at 0.30p
Does the world not know that we have the best undeveloped Tin Tungsten project in the world and that we have a ‘Shovel ready’ copper project in Western Australia??
Loved the latest excuse regarding the PEPR ‘copy and paste’ submission. “Oh sorry SML even though you submitted it 7 months ago, it’s still at the bottom of the pile, because we’ve been busy and we didn’t think you needed it yet as you have an existing PEPR approved to keep your mining operation going for the next 12 months”
Three things to note from this:
No financier / suitor will touch us without the 2nd PEPR which releases the whole project.
Secondly, wouldn’t you think that the DoM have an obligation / service standards to work to regarding turn around time for Submitted PEPR’s
And finally, wouldn’t you have thought that someone at SML might have chased the PEPR up sometime in the Spring, especially when shareholders were given assurances from the board that this PEPR would not take as long as the last one!
This fiasco would be funny if we weren’t 95% down from our 3p SP a few years back. Fundraise below 0.10p maybe to keep the lights on!
Not seen PW on our screens for a year or two. Mind you the significant shareholders are apparently happy and yet the martyrs soldier on into the gloom.
Something is not right here.
Our Chairman tells us that we have the largest undeveloped Tin Tungsten mine in the world and the US are moving away from sourcing these critical minerals from China in the future and are looking for more politically stable countries longer term to source these metals from. We also have a huge geographical footprint of land in Copper Rich (and other materials) South Australia and a shovel ready mine. And yet the market is only valuing the company on the Cobre operation alone.
Why is this? Maybe LCCM and Redmoor don’t stack up financially and are cost prohibitive? Anyway something isn’t right, because we’re being told that we have two world class projects and yet the market and numerous suitors / financiers have seemingly walked away! Thoughts / comments please.
GLA All In my own opinion
Apparently we’ve been told that the major shareholders are all happy and the rest of us are all heretics.
We were also told……..Juggernaut, Tsunami of Cash and Nickel Laterite with fries, but we’ve had none of it. And no free bar again this year at the Rutland Arms!!
According to the RNS, the first PEPR in relation to LCCM took approximately seven months to approve.
In respect of the second PEPR, the RNS states that “Accordingly, it is not expected that approval of this PEPR will be as protracted”. This remark does not make sense really, because we’re already seven months in with this second PEPR.
Overall though, a decent RNS.
BHP expects the world to need twice the amount of copper presently produced by 2030, and four times the current supply of nickel.
At the pace investment in exploration and juniors has been growing in the past decade, Scarcelli says, supply of those key metals won’t be enough.
Experts have long warned that the world needs to invest a gigantic amount, so far estimated at more than $100 billion, to build mines able to close an annual supply deficit of roughly 5 million tonnes of copper by 2030.
My £60k investment is 90% down and my shares are currently worth circa £6k. All the talk & bluster from the BOD with options at 5.5p, 7.5p and 10p and We’re now at 0.15p with over 2 billion shares in issue!
A defining silence as the tumbleweed blows through. Explain yourselves please BOD!!!!! Are we down at Hammersmith for the AGM??
Spare a thought for the LTH’s who are massively underwater here. Mind you, even those recent investors from Christmas time at circa 0.35p now find themselves 50% down. Presumably as me move towards the base value of this share 0.10p things will become very worrying?? Good luck all.
Given what JP said on Friday, it wouldn’t appear as though approval of the second PEPR was a big deal for any potential investor. However, increased mining costs clearly is and an investor might still be possible, but they will want to share the risk. They might not put in say $8m to fund LCCM, but might for example go 50/50. However, for us to raise say $4m is impossible given our current Mcap. Stalemate I reckon or maybe LCCM might be put up for sale?? Any comments?
AIMO
Tbh it wouldn’t surprise me if the second PEPR was approved and LCCM was sold off to the highest bidder. Don’t think that we would get much for it? Maybe between $2m and $5m?? It might just about wipe its feet given what we spent on it and then we can put the angst of the last 5 years behind us.
If we did sell LCCM then that money could be used to match fund any money from the UK government in relation to Redmoor. Further drilling and a pre-feasibility could then possibly be achieved without further dilution. We know that there’s at least 11.7m tonnes at over 1% and there’s strong evidence to suggest that the resource could be at least double that. Now, a project with an NPV of say $200+ million would have legs.
All the best AIMO
Bottom draw for a few more years I reckon.
Multiple promises over the last few years and very little delivered!! Those are the facts, not opinion.
LCCM 2019 start up, then 2020, then 2021 etc.
2024 Anyone?? This ‘copy and paste’ is taking a while. Doubt that we’ll be down by the river again for the AGM.
2024 anyone? Bottom draw for another year or two I think? Data rooms and ‘copy and paste’ you have to laugh.
Think DVH May have left the building? I know he got his average down to just below 0.30p - lucky devil. Some of us are stranded at over 1p!
Our BOD have been quiet for a while! By the way - I would be so pleased if my negativity is all proved wrong. Maybe some rare earths or Nickel Laterite incoming 2p + anyone?
130 weeks is a long time!
So, we submitted the first PEPR two and a half years ago and it was subsequently approved at the end of June 2022. We’re now on the second PEPR - how long might this take do we think?
I’m currently 85% down on my sizeable investment. Comms and updates from our BOD has been minimal in recent months! Nice to see an aeroplane flying over Redmoor.