Member Info for TalygarnTom

Excellent reply eshaitan - thanks.

I think next year could be all about China. It could be the year that Tencent brings it's influence to bear on Frontiers business.
https://twitter.com/talygarntom/status/1123928272289587202

https://africanminingmarket.com/acacia-market-capitalisation-slips-by-sh700-billion-in-april/3856/

Eshaitan - if you has to take a guess what would you say the margins are on block marble sales v cut and polished sales?

An so it begins.

https://seekingalpha.com/article/4258922-ocean-freight-rates-set-rise-shippers-scramble-install-scrubber-equipment

Excellent post.

You do have to ask where our "Northern Powerhouse" proclaiming politicians are in all this.

And this from 2.55 https://www.youtube.com/watch?v=51J10dUZGuI&t=376s

Watch from 6.00. https://www.youtube.com/watch?v=rjDFutN7TJg&t=509s

https://uk.advfn.com/stock-market/london/xlmedia-XLM/share-chat

Don't invest in Africa. Not ever.

Mr. Weihs is getting a lesson about how to deal with institutional investors. Let's hope he's a fast learner.

Looking at the details of the "Open offer" it doesn't look like private investors will be offered any of the discounted stock. Am I reading this correctly?

1. Key Highlights and additional details of Stage 2 Financing

Underwritten Firm Placing and Placing and Open Offer to raise gross proceeds of approximately US$400 million (£310 million) at a price between 15 and 18 pence per New Ordinary Share to be determined by the Bookbuild.

The Issue Price represents a discount of between approximately 18 and 32 per cent. to the closing price on 29 April 2019 (being the last Business Day prior to this announcement).

The Company intends to raise approximately 90 per cent. of the gross proceeds of the Firm Placing and Placing and Open Offer through the Firm Placing at the Issue Price to certain institutional investors.

Approximately 10 per cent. of the underwritten Firm Placing and Placing and Open Offer will be through the conditional Placing, pursuant to which the Joint Bookrunners and the Lead Manager intend to conditionally place the Open Offer Shares with certain institutional investors at the Issue Price, subject to clawback to satisfy valid applications by Qualifying Shareholders under the Open Offer.

Maybe he should get them to ask their own Australian born analyst. https://uk.linkedin.com/in/luke-nelson-17696441

https://www.proactiveinvestors.co.uk/companies/news/172854

"Yuen Low, analyst at Shore Capital, in a note, said: “If all goes to plan, Sirius’s US$3.4bn to US$3.6bn Stage 2 financing will be successfully completed over the coming weeks.
“We expect this seminal achievement to catalyse a major re-rating of the shares, as it is effectively the key to unlocking Sirius’s vast value potential.”
Specifically, the Shore Capital analyst gives Sirius a 50p per share valuation (risked net present value) post-financing, versus a current share price just below 20p."

https://www.proactiveinvestors.co.uk/companies/news/216376/sirius-minerals-tipped-to-more-than-double-in-value-as-financing-nears-216376.html?fbclid=IwAR0h0Uv9EPBqn9j-GBHql3bRh5VmetX1tkXXt-n49XW-XGwv5KirT37grQg

"Moreover, he asserts: “In other words, we see c.13.5x upside to the current market cap over the next few years."

Yuen was ranked No.3 by Mining Companies in the 2017 Extel survey, reflecting how Shore Capital punches above it weight against integrated banking competition"

https://www.shorecap.co.uk/posts/view/shore-capitals-yuen-low-shortlisted-for-this-years-city-am-analyst-of-the-year-award?fbclid=IwAR1R00LwumlpqS-ROkUV9ZJ5WPMGkAZ6RjG27Toc6_KIdbCNpaXFRW1p50c

https://www.miningmx.com/news/gold/36763-acacia-sees-proposal-ending-tanzania-dispute-this-quarter-as-pressure-points-on-govt-mount/

And this is the last project Chris Fraser (CEO) and Russel Scrimshaw (non-executive Chairman) were involved in. https://www.youtube.com/watch?v=8HCYurojx6Q

https://www.proactiveinvestors.co.uk/companies/news/216376/sirius-minerals-tipped-to-more-than-double-in-value-as-financing-nears-216376.html

Ahead of results in June just having a quick recap as I've learned to boil down Chris Gilbert's commentary over the years.

"Revenue from the sale of marble products for the six months to 30 June 2018 increased 26 % to €615k (H1 2017: €330k)."

"Loss for the six months to 30 June 2018 of €816k (six months to 30 June 2017: €1,427k)"

"Unaudited sales for the year ended 31 December 2018 of c. €1.4 million, (2017 - c. €1.2million)." +16.6%

"Block order book from existing customers for the year ended 31 December 2019 of around €3 million."

(in 2017 they forecast €4.1m and the year end result was €1.2m - the missing sales clearly didn't show up in H1 18 which came as a bit of a shock to me - so I'll believe it when I see it) "In light of this new agreement, the Company has increased its estimate of its order book in 2017 to 4.1m." RNS dated 7th February, 2017.

"We have seen encouraging signs in the development of our customer base, with a core of recurring block sale customers, with steady and regular demand for our material. We expect these customers to form the backbone of expected revenues in 2019."

Q. What about the cut & polished revenue from the machinery we invested money in?

Revenue of 1.4m euro and a market cap of £18.5m puts us on approx. 14.5 x sales with a slight adjustment for exchange rates. P/e - no earnings and no divi.

For comparison, Mermeren Kombinat AD Prilep is currently trading on 7.6 x sales, a p/e of 14.83 and pays a divi of 6.74%. https://www.bloomberg.com/quote/MERKO:GA

You can read their 2018 year end report here:

http://www.mermeren.com/investor_relations/2019/en/Annual%20Report%202018.pdf

Q. What happened to the US Sales & Distribution agreement referred to in the RNS dated 10th August, 2017?

"In consideration, and subject to achieving minimum sales volumes of US$1.5 million over the three years as determined by the Company,

a) Pristine Stone will be granted priority rights to sell Fox Marble material in the United States.

b) Pristine Stone will be granted 750,000 warrants issued in equal installments over three years at an exercise price of 2p over market price on the day of issue."

Hi Truro, I posted the same link a while back when I was looking at potential competitors of Fox Marble. At the time I didn't envisage them as a potential customer/partner.

From what I can see FHL was de-listed from the Athens exchange and sold to management in 2016/17 with a revenue of around 66m euros. I have seen a figure for current revenue which stated that it was currently in excess of 100m but I am not able to validate it. Why they would want to use Fox is open to speculation. My only concern would be with regard to the margins on selling block in this way but at this point anything that helps to develop their ability to extract and develop their sales network has got to be a positive. Very speculatively, I would also have one eye on the future possibilities for Stone Alliance.

I was just looking at the communication of 5th March part of which stated as follows: "In February Fox Marble sold, and received payment for, 400 tonnes of Alexandrian White blocks to a new customer. The customer is shipping these blocks to their facility in Drama in Northern Greece for processing. This customer was responsible for supplying similar material to the Sheik Zayed Grand Mosque in Abu Dhabi and has indicated their intention to purchase additional quantities of this marble on a regular basis throughout the year." This led me to a blog which lists the key suppliers to the Sheikh Zayed Grand Mosque. The only Greek one listed is FHL who are part of Kiriakidis Group who are based in Drama, Greece. Remember these guys https://www.youtube.com/watch?v=55F0lDmKR8U