Member Info for Sharegar

Hi Mikiesunday,
Thanks for your feedback. I agree with you about how quickly JLP have been getting projects up an running.
I think Leon was highlighting the significant difference between our cash generation timescale when compared to the long hard slog of traditional mining companies. I think Leon was probably including time from the inception of an idea.
The way I am thinking about JLP is a bit like a company who are able to bring a "mine" (tailings) into cash flow in a very short time and have minimal risk due the fact we are not having to carry out all of the risky steps (often ongoing) a mining company has to go through.
The JLP research centre is also a big part in reducing risk, because this important work gives a great understanding of any given process before it is taken to a commercial scale.

Hi Bamps21,
I'm sure large scale projects like the Newcrest one you describe are the types of projects that JLP would love to be involved in. Their reputation is growing and that makes it more likely the top companies will want to approach us.
Leon also pointed out that tailings are actually a liability for mining companies (e.g. environmental risk) and that is one of the main reasons they would actually approach JLP and not necessarily the other way about.
So apart from JLP doing very well from these sorts of relationships, our customer is also turning a liability into a potential asset.

This 0.63% Copper grade is certainly above economical grades in many mining projects, and do not forget to add on credits for Au, Ag and Zn meaning our Cu equivalent will be higher still.
Take this example of a Cu mining company recently interviewed on Crux investor.
Taseko Mines (Gibraltar).
The resource as stated on their Website:
Large Proven and Probable Reserve of 667 M tons grading 0.26% Cu and 0.008% Mo with 3.0 billion lbs of recoverable copper and 53 million lbs of molybdenum.
The Crux Interview:
https://www.youtube.com/watch?v=d_6C34eus8M
@7:20 he talks about the low grade at the Gibraltar mine.

So I conclude, that if we explore more and build up the size of our resource at Magellan I think it would be fair to assume that there will be an economical mine sometime in the future.

GLA Sharegar.

Bamps21,
Looking further afield is something that Leon has alluded to.
I watched the three Crux Investor interviews that Leon has taken part in.
He talks about how the expertise that Jubilee have is easily transferrable, and in these interviews the following jurisdictions are specifically mentioned by Leon: Namibia, Chile, Australia and if I remember correctly one or two more.
However the important thing to take away from those interviews is that the world is our oyster and Jubilee are the type of company governments like to deal with.
This is a story that is making money from cleaning up what other companies regard as waste and that is because these companies do not have the technical expertise to economically extract from tailings that Jubilee have grown over the years.
The sky is the limit for this company, and what makes it even more compelling is that is might only take 2 years to get one of their projects to cash flow, but if you are a mining company the same end point takes normally 10 years or more.
We have a situation now that can really have a snowball effect if we use our cash flow wisely, and I suspect we have the management that will do just that.
In summary, as time goes on we could go anywhere in the world and make money from tailings and at the same time clean up the environment, pleasing Governments who are all under pressure to make the world a greener place.
Instead of Jubilee exploring for a mine, the explorers final task is to bring the mine (tailings) to us!
The Crux Interviews:
https://www.youtube.com/watch?v=6ZMNrNAfBc0
https://www.youtube.com/watch?v=Zmw3wyPVKE4&t=4s
https://www.youtube.com/watch?v=HXi5xrWx3qA

GLA Sharegar.

There has been some discussion about Rowka, over the last day or two.
I think some people believed that he sold all his shares and some others were being mischievous by claiming that one of the most Bullish EUA holders was deserting after "ramping" the stock.
However, the main points from his last post on this board, I can remember him saying that he was leaving for good (and was going to arrange for his username and posts to be removed) but he still believed that the sale price that he forecast of £3.50 or more would be attained and he clearly stated that he was not going to sell his shares.
Does anyone else remember it the way I do?

Do you guys still see. M/c. In billions. One day?
Personally I do not think that is an impossible target. The Resource is world class and if as I suspect we are in the cusp of a Metals super cycle with all the money printing going on then why not.
Any rises in Metal prices from this point onwards would go into our bottom line and this is the reason why companies like Ironveld can have meteoric SP rises.
Ironveld has to secure funding and then slowly get into a cash flow positive and when dilution is not going to be a requirement then the dream scenario could come true. After all, there is then the potential for years of production and further resource increases.
Hundreds of examples are out there. Our day can come!
Patience and good timing are very important requirements that investors should have.
GLA Sharegar.

A question for someone with more knowledge than me!
Very often Resource companies are never allowed to go bust (Placings etc). What is the reason?
Is it because all those tax losses would be gone for ever more?
I am asking this because I was wondering if this financial loss that Ironveld must have built up over the years could be a very large asset to a company that may take us over.
So if I am correct about that aspect, does that not mean that Ironveld are very undervalued on that basis alone?
An insight to this would be most welcomed because I have often wondered why very few companies in this sector go bust even when they have no prospect of near term cash flow.
Regards Sharegar.

Just for a bit of clarity to Boom123 post.
The placing stands at 0.3p, however the following important change was outlined in an RNS after market on 27 Nov 2020.

Following the announcement on 26 November 2020 the Board has engaged with its major shareholders in respect of the proposed capitalisation of accrued Director salary / fees. The Board acknowledges that a substantial proportion of these salary / fees relate to periods when the Company's share price was higher than the proposed Placing Price and has therefore agreed that a settlement based on the volume weighted average price of the Company's shares during the periods in which salary / fees were deferred would be more appropriate.

This will result in the number of Director Settlement Shares being issued in satisfaction of the £780,900 of deferred fees decreasing from 260,299,999 to 52,774,570, at an effective issue price per share of 1.48 pence. Any deferred sums remaining due to Chief Executive Martin Eales and settled in equity at a later date will be similarly calculated.
To summarise, after dipping their hands in the PI back pockets the directors had their collar felt and quite rightly did not get their fees at a knockdown price of 0.3p and as a result this made a significant change to the dilution to shareholders.
At current prices I am holding and probably add more once funds are freed up.

GLA.

Stonk, just a tad harsh!
I for one have been reading GeckoLovesGreed posts with interest.
One of the many on this board that have given great insights to this company while we have been waiting for the big news.
GLA Sharegar

What an end to the week that was, all that Russian about if you know what I mean.
Anyways, seen it with my very own eyes. Dmitry was very happy to say the least, he shook hands on it and put pen to paper with the Lawyers by his side.
To make sure I did not get the final price wrong, I edged closer to have a cheeky look, but disaster struck. The table wobbled and the Crystal ball fell and smashed into a thousand pieces!
Ah well, not long now!
GLA.
Sharegar.

There is no way to be sure if todays RNS is negative or not and there is certainly the chance that if funding is arranged with an alternative source it could be for the better.
While the talks have been ongoing the price of Iron has came back strongly and consequently there could be better funding options now available that do not involve the same extent of dilution at 0.42p.
So, yes we are still in the dark and the market does not like todays uncertainty but it should not be forgotten that the company have been in discussions with multiple interested parties for close to a year now (probably longer). Since these discussions are confidential we might be pleasantly surprised with a bolt out of the blue.
It is hard to believe that the company will not arrange funding for what many believe is a world class JORC resource that has metals worth multi $Billions in ground.
1.6 Billion lbs Vanadium, 32 Million tons high purity Iron and 9 Million tons of Titanium.
Sure there is risk, but fortune favours the brave.
GLA Sharegar.

CGT changes?
All the more reason to put your hard earned cash into EUA.
Even the most sceptical PI would probably agree that the FSP will be done and dusted before Christmas, never mind the end of the current tax year, especially now that we know DLA piper have already been working with us for some time on the end game.
Any CGT changes would likely be for gains on the next tax year onwards, so if anything this might actually be a positive for quick return shares like EUA.
Anyway, I am not so sure that the Government will follow the advice given, as there probably will not be the political will for massive tax hikes in any areas. The easy way out for the Gov is already being employed. That is easy money from the magic tree and Zero interest rates.
Inflation is the way forward and that can only be good for commodities, once the consumer starts to see the value of their paper money lose purchasing power and the population are allowed to start living normal life again on things such as entertainment/Holidays and social events.
The supply of currently banned goodies will have either been depleted and at best be stagnant due to the self inflicted economic shocks experienced
As soon as cash starts chasing these luxuries again, people will finally realise that they have to get out of currencies/Bonds and other IOU's before it is too late.
EUA is where I want to be. DLA Piper and UBS is the perfect combo to make the sale happen.
It could happen at the drop of an RNS. It is not a share for trading IMO.
Go on Go on go on!
GLA Sharegar.

On 22 July there was an RNS at 18:30 regarding holdings.
So it is possible.

Bacefook
Many tins of beans and friends?

Fundsforfuture
Its Ironic that your post is pure fiction then. Lol.

Crabby,
Yes 30 Sep 2020 or earlier for DLA Piper starting work.
The Board was rearranged on 18 Sep 2020 to focus on the sale process which was again mentioned on 30 Sep 2020 in the Interim report.
Quote from 18 Sep RNS:Christian Schaffalitzky, Eurasia's Executive Chairman commented: "This reorganization is designed to optimise our execution team.
What are they going to "execute"? I know what my guess would be.
It is possible DLA Piper were onboard on 18 Sep 2020.
Land ahoy!
GLA.

Placings almost always have a short term hit on the SP but even the very best companies do this when they are cash generative. (Just look at Wheaton Precious Metals and Franko Nevada for proof).
Looking ahead, this does not seem to be a bad move. If the management did not have our interests at heart there was plenty of opportunities to make such a move when SP was as low as 5p in March.
However, management have significant skin in the game and as far as I can tell there are no Warrants coming on top of the raise, so no future overhang.
The raise will accelerate future cash generation and this will more than pay for the short term discount (no pain no gain!).
We have very exciting plans at both Singida and West Kenya that can take Shanta to a different level.
This company will make good use of the cash and I am still very pleased with the direction Eric and the team are going.
GLA.

A correction.
HG annual production should be 290-300Koz production.

Jobbytouch
https://www.investorschronicle.co.uk/shares/2020/09/02/highland-gold-defers-payout-amid-takeover/
Highland Gold annual production estimated 200-300Koz. Eua plan is for 1M Oz PGM/p.a. and our costs will be approx $400/Oz with a higher average basket price. Pd/PT 3:1.
HG has debt, but not too bad since it has positive EBITA. EUA, no debt rapidly increasing production at WK and sale imminent with DLA Piper (involved in example below) and UBS. My conclusion is that EUA can easily be sold for $3B plus.
A couple of other recent takeover/M&A examples:
Eastmain 6.5c March 2020. Recent takeover 42c (137% premium or 650% YTD)
https://www.miningstockdaily.com/episodes/auryn-to-acquire-eastmain-at-a-137-premium
DLA Piper like big deals and they like EUA!
https://www.dlapiper.com/en/australia/news/2020/10/dla-piper-advising-saracen-mineral-holdings-on-$16-billion-merger-with-northern-star/

The only thing that might go up in price as much as Rhodium is Rum!
Not to worry, Capt'n TillyWhiz thought of that before the boat set sail, drinks all round land in sight.