Member Info for thelearner

Fira - yes - but it's very important only 1 party is in breach of the contract terms - if it ever goes to court, and it's only worth going to court if the other party has enough assets to settle any damages, and the chances of winning and getting the money + legal costs is very high.

Slurm - feel free to educate me - I know we have the rights at the Cobre mine in New Mexico to sell on the magnetite tailings. I did try to do some research - it was hard and I'd not post anything as it was so unreliable.

My only guess on confidentiality is that the client is buying the product and selling it on to someone else - without wanting their customer to know where they are getting it from, they may even have mines themselves. If this was the case - the customer - who is in trouble of some sort - may want to cut out the middle man.

That is an absolute wild guess. There could be many other reasons - maybe does not want it known they are buying material from USA, who knows. Only the BOD and if confidentiality is part of the signed contract - thank goodness they are holding to their side of the contract.

I am tempted to top up again, but remain cautious - that we possibly have not seen the bottom. I am still holding steady here.

Thanks Blacksheep15

Blacksheep15, would not mind following Peter Wale or any of the directors on twitter - searched but cannot find him - I do follow SML. And clues you can give me would be great. Surprised he could tweet that though!

I think the main things for the board to focus on just now are
1. Cobre - the income from here was what put this company in such a strong position to fund the other projects - and it is largely the loss of this steady income and the major client contract that has caused the current problems. I guess it was easy to take the major client at their word, and the board and shareholders have been let down badly by the major client. I think the BOD have to get this resolved, and concentrate on getting the product sold - and reinstating this income stream.
2. LCCM - which should be providing a second income stream next year, we need to know how much has been spent, how much still requires to be spent, and on what, and what are the projected income and profit streams and their timelines.

Redmoor - this is likely to be a JV to get this project up and running and providing income.
HC - very early days - lets hope there is some positive news.

I am still holding for the LT, bought 450,000 at current price to trade if we get a spike. But saying that - time to trade is what I find scarce, and happy to leave these ones for LT as well.

I think many PI's have possibly sold up here - as many are not interested in long term, looking to make their money work well generating quick profits - risky - but it can be done.

Trout - if you click the link above the chat you can see the directors deals. the 1.4p placing, Jeffery Harrison, Peter Wale and John Peters all bought shares.

I have not looked at anything in details, but for them to be able to get more share incentives/options - the share price needs to rise a lot - so they have incentives to make a success of this company. I am sure they are all doing everything they can to make this happen.

Getting Cobre sales back on track with a secure future would be a great step forward for SML.

RothRock - I have had one delve into TSX - to date it has not proven fruitful at all NSUP - Northern Superior - I have a friend who told me about the good prospects he thinks they have and I took a punt. When they did a 10 for 1 - they changed UK brokers - and my share vertificates have been frozen since Feb or March - with no firm date when I can trade my shares again, and unable to buy any more through my broker HL, although others been managing to trade on ii. I was also investing there because Mr Sprott has - but share price has tumbled, on what I thought were reasonable results from last drilling campaign.

So definitely avoiding TSX now - although I would have purchased more NSUP when they dropped to about 10 cents to bring down my average.

I have a fill order in for a little bit lower than current ask - the market - and miners are currently dropping due to the US - China trade war - I thought CNR would drop a little but seems to be holding firm.

Lack of clarity on way forward is what is holding this back - but until there is a firm way forward - might as well say nothing.
Would appear either toll mining or finance raise to build mine - the former would be the easiest, but the B2Gold sale might have held up this option.

Just my opinion. The BOD has to completely focus on getting the best for all shareholders, there are 1.5 billion shares in circulation, and the BOD while they hopefully read this message board, will never provide a running commentary on what they are doing - to maybe 20 regular posters - whose shareholding might be a very small % of total shares in circulation. Directors have to be very careful about what they say or post, giving out good news or hinting at good news on a forum, could be judged as insider trading. Hence they either use RNS or interviews in which the message will be carefully thought out in advance.

Should they have been more wary of the Major Client, in hindsight, possibly as the shutdown for Env permit came quickly with not much notice, but from there until recently the major client seemed to be communicating well with SML - with no real indication or clue of what was to come.

If you look at the amount of shares held by directors, in addition to their salaries - they have plenty incentive to take this company in the correct direction.

Markets in general also taking a bit of a pounding just now due to US - China trade war. I tried to research the major client - don't know if others have done the same - think possibly the Cobre magnetite is shipped out of the USA for sale - but this was not clear - so not sure also if this trade war could be impacting this. Depends where the magnetite goes.

Just have to hang tight. The mid August RNS will be interesting.

the 450,000 was mine - I did not expect it to be filled so quickly.

sorry £890K. During the raise.

Yes - hope we have a good week. I have decided to test it a little - placed a fill order a little below current price. Couple of largish sells this morning so have tested to see if anyone wants to dispose of 450,000.
Only a few weeks ago, some people with much more information than we have decided they could invest £190K at 1.4p and thought this was a good investment.

Reading the boards - and the suggestion that what is said on boards influences the share price - surely it can only have influence if it persuades people to buy or sell - then the share price is supposed to move, +ve if buys outnumber sells? But I would guess it depends on how much stock the Market Makers have on their hands , what they are willing to sell it at - and how much buyers are willing to pay.

On 2nd August the share price dropped 4.26%. According to this site - shares sold was 3,647,898, shares bought 10,892,421 - so a net buy of shares of 7,244,523. Appx 1% of the total shares in SML traded on this day - seems there was plenty buying demand and support.

Given the above - unless there is hugely heavy selling tomorrow - I'd not expect the price to fall lower?

"DVH, how do you trade this in a falling market?" I am thinking of doing the same - buy an amount with no intention of LTH - if the SP rises - say by 25% - sell and take the profit. Then next time it drops - buy again. Have a volume on LTH and a trading volume - hard bit is knowing at what point to buy/sell!

I keep watching with interest - I read there are 1,467,630,000 shares in circulation. I hold 0.2%. Very tempted to increase at this price. I am not a day trader or really a trader either - LTH for this share. Might top up on Monday if price is continuing to fall. Been here since March 18, and yes, it's been disappointing since then - but I had my eyes open - investing in AIM mining companies is very risk, and I have really had no success yet - hence my caution about getting in deeper.

Investors have choices - and I can see how traders want short term gains - and I imagine good ones can make plenty money on AIM companies - I do not have the time to trade - too busy working!

Last week I was trying to research with no real joy the Cobre main client. Is it possible the main client is selling the magnetite on to another company - and has also been let down? Any from what I have read about Magnetite - if the main client does not want it - it should be easy to sell on in the market should it not?

Disappointing to see the share price slipping further. I am very tempted to add - but at the same time being ultra cautious.
Some posters quote we have 2 revenue streams - but I certainly do not count LC as a revenue stream yet.

1. LC - yes we sold some product - a tiny quantity - but we are spending much more on development than we are receiving in revenue from sales. Does anyone have a clear plan showing how much more money we require to spend on development, what production and sales/profit figures are expected and timelines? I do not think so. We have decent estimates of what's in the ground, and the BOD did a good job of increasing this. Do we need a JV partner on board to help us finance this?

2. Cobre - revenue generating, but situation is very unclear with the main client and the contract. From all I've read Cobre sales were expected to fund LC into production, but even this is not clear now.

3. Redmoor - I could be wrong - but do not blame the BOD for their opportunistic purchase of the other 50% from NAE - they thought they had secured funding for this - and it fell through. Again, depending on Cobre/LC - a JV will probably be needed to get this into production.

I am holding tight, like many I hoped to be well in profit by this time, but I am not. Mining - and AIM is a funny old game which I am pretty new to. But I knew if I invest here - there is risk - and hopefully reward. Only time will tell.

Calls for RNS - a muddled message with no real firm way forward would be very damaging. I am happy to wait.

Toze, article is from 11th June - and factually correct. However, I think there is still uncertainty - and obviously so does the market.
We have went from having a clear timeline and money to fund Redmoor - to having done a small placing for £890K, with no real clarity if this gives us the total funds needed to complete the Redmoor purchase - or if more of this placing is required to fund LC.
There is also plent uncertainty over Cobre, the main client and the ongoing contract dispute - but I think we have to let the BOD get on with resolving this in the best way they can - litigation can be hugely expensive in the US, and if the main client is as large an organisation as many speculate, they are much better equipped for this than SML.
LC - we have processed the heaps, and still have no real clarity on how we move to mining and full production - the costs or timescales for this - we apparently have spent an additional £1m, but is it clear what this was for and what it will give us going forward - LC failed before and we have placed huge trust in the BOD's promises that this will be a very profitable operation - only time will tell - but I think shareholders need a little more info on what is happening here.

HC could be another jewel in the crown, but largely on hold due to lack of cash flow.

I am still heavily invested, and have belief in the BOD, but recent event have shaken this belief a little, and I am more worried about the future now than I was 2 months ago. But I am going nowhere - like others sitting waiting on developments - but it's clear some are bailing out - possibly those invested for the short term quick gain.

He will not give anything away. I invested in a very Junior Canadian TSX Gold Explorer - which Sprott is invested in (Northern Superior). Unfortunately they did a 10:1 to increase the share price, and when they did this changed their UK dealing house - which meant all my shares with HL have been frozen for 2 - 3 months now, while they sort out the share certs. They completed some exploratory drilling, results to me looked positive, and to experts as far as I could tell, but share price bombed - as they need to do more drilling to prove reserves, and I suspect the short term investors moved their money elsewhere. As far as I know Sprott and directors staying invested - don't know if increasing their stake, I might have averaged down, but not until I can trade. II can trade apparently - just not HL, which bemuses me a little.

I am also frozen out of the NW Income fund - so some bad luck recently. Hoping for some good news here!

Good points about large shareholders losing value on the rest of their holding - but not really a factor as they are the ones most confident by buying more there is more profit to come.

I get an opportunity every year to buy discounted shares in my employers company - the discount is usually around 20%, but this discount is a taxable benefit and comes with a tax bill which can eat into the discount - especially if you pay tax at higher rates - are directors liable to the same taxation rules as normal employees?

I think it was a good and effective way of raising funds at low cost - when the company needed funds quickly t complete the purchase of NAE.

The late posted huge buy has a time stamp of just after 9am this morning?

I hope you are correct Wondergoals - I added another 25000 this morning. In for a penny (not sound financial investing sense!). My average now down to 28p though.