Member Info for Tracylied

I think the element not to be under estimated is the impact of even a small increase in production as many of the costs are fixed and proportionately reduced when spread over more tons or ozs. I have my workings out and never pick numbers out of the air but they are all dependant on a good technical performance. BIND have made more progress today in Zimbabwe now Market Cap US$105,370,812 or £62m of which £47.6m is directly attributable to MWA as BNC is a subsidiary of MWA. Crazy crazy stuff.

are clearly what ever you want them to be however it appears to me that MWA need to deliver a quarter with few technical problems and decent margins before the market will swallow this story in such a way that we see the kind of share price movement this deserves. In the meantime there is opportunity to buy at these super low values that are well discounted to assets.

All that information is easily accessible from the last quarter update. The figures were disappointing because of the work done at Trojan and FR to refurb the equipment and the power failure on the absorption tanks. However that work will improve the production in the current quarter and the mining performance at FR was good with 100k tons more mined than milled so we now have a large stockpile ready to go reducing the underground technical risk and allowing for maintenance without any impact. The cost increased is simply as a result of the scale of production and both mines will be very profitable at higher production levels; then there is the increase in costs due to the offtake agreement for the Nickel to consider. forecasts for the current quarter? I am not aware that they have ever produced any forecasts. The target this year at Trojan is between 8800 and 10000 tons of nickel in interviews after Q1 Mpinga is confident of achieving that. At FR the baseline target is 65k ozs PA. Mpinga says the Q2 figures will benefit from the investment made in Q1 and we can expect a much better performance technically. Also the average Nickel value should be $18400 not $17745. My expectation is 2200 tons of Nickel with all in costs at $14000 so a $4400 margin on all in costs. It is important to remember that some of the all in costs are accounting functions and not real physical costs; depreciation for example which is based on a notional value on the accounts. I also expect 16000 ozs of gold with all in costs of $11500 oz. The interesting factor is the tailings project. They have 13m tons of tailings at surface and accessible to front loader. The scaled pilot plant is complete, last reported as running pulp which will be in test cycles. Although this is a test rig it has cost money to get this far which has no doubt been reflected in the increased costs at FR. The plant may well contribute to the total this quarter and lead to a resource estimate for the 13m tons which has been stockpiling since the 1960's. I suspect the grade will be less than 1g/t but it will still be extremely commercial given that it is sat very nearby already broken and easily recovered. The Diamond mine is not in production, there is a small recovery project working on the tailings slimes to cover the care and maintenance costs. The underground mine will open again very soon as the clean up is complete now. I suspect we will hear in the next weeks/months.

http://www.newzimbabwe.com/business-17285-Bindura%20Is%20there%20still%20more%20runway/business.aspx#news Awesome work. I have copied the correct link but if LSE won't allow search for New Zimabawe then it's in the business section with Mpinga's picture next to it.

do not just have a resource they are actually producing and making substantial cash profit now. The holding in BIND.ZW is now worth £45m as valued by the Zimbabwe stock exchange but the market cap is just £43m. MWA's biggest challenge is the AIM, the Zimbabwe stock exchange can see it, we can see it so why is the AIM so far behind. MWA is not just at a discount to one asset but a 60 oz a year gold mine, 3m ozs of gold in the ground, a diamond mine and a $25m third party investment actually have a negative value. The market cap should be double the current right now to achieve any reasonable value.

is modest again today but the feature is again the huge weight of buys against sells. 1.9m buys against just 363k sells. Clearly looking at the chart and the fundamentals one would need their head examined to sell right now. I suspect the future will be volatile but apart from the quick profit brigade I see many holders here as mid to long term for the multiple returns. I am currently 100% up and will not be letting any go on a peppercorn profit. The fundamentals now support a re-rating into 5-6p in my opinion and the developments planned will double or triple that. Of course the journey will not be smooth and some will become sellers along the way but MWA will appeal to a new investor as they become more stable and more successful. The planned progress for the next 12 months will be to restart the smelter at Bindura ; this is already well underway now on a 7 month schedule. The restart of underground mining at Klipspringer; the mine is cleaned and rehabbed since the flooding. The scheduling and planning for the refinery to restart at Bindura; hopefully with a deal to fund the works from a third party. Plans to bring the lower grade Shangani and Hunter's Road resource into the smelter and refinery at BNC. The completion of feasibility at ZK and hopefully a deal for a JV with a producer to put the mine into production with 2 years on phase one (50k ozs pa) and phase two (200k ozs pa) in 3 years. The successful development of at least one Copper project in DRC off of the back of the exploration JV where the partners are investing $25m. 12 months may become 18 months as it often does but looking back Mpinga does not hang about when it comes to moving forward and his ambitions are high.

Yes decent buying with 90% plus on the buy side here and on the secondary platform. Still stupid cheap, I am very happy with 5% a day progress.

Projected costs are often based on the perfect technical scenarios; as we have seen perfection is difficult to achieve.

There are various figures quoted in various places, 76.3% was consistent for a while but there are several others within the same range. I wonder if funding of the smelter restart may alter that figure. As I understand it BIND.ZW is listed and has a market cap in USD; I believe it is right and proper to directly draw the percentage across in value and as you state it makes little sense to me either. The percentage of the market cap is more than the entire market cap of MWA which has some assets and cash income which should be quite simple to value. I believe that a cap of £75m+ would not look unreasonable given the poor sentiment.

I suspect if it were that poor they would not bother. $200 a oz is the margin at FR that will achieved with 15000 ozs a quarter. I would like to think the costs per oz at ZK would be more like 7 or 800 USD an oz. We have to wait and see when the Feasibility study is published.

You are asking for several different things there. The cost per oz will be determined by the feasibility study. However we know the grades are strong. The recovery is high across all methods tested. I suspect we will get a deal soon with a production partner, hopefully including all the financing required. We will get a new resource model announced soon which will include high confidence resource and some reserves. The 3mozs is icing on a very tasty cake and soon will attract a valuation.

I doubt it would take much buying weight to send the SP up 10%. MWA is so ridiculously undervalued. It may well take a technically successful quarter for others to take notice, I hope we are half way through that now.

No real surprise to see MWA bottom out and lift a very small margin. Volume is very low but we saw a 300k, 500k and a 600k buy which tipped the SP up. Just a matter of time with MWA.

I would not worry too much about the short term movement. I am still buying and looking for a 3m holding in total. Zani Kodo is very exciting and it holds huge potential; there are shares that are valued in the millions with half the resource. MWA now need to push ZK up the value change. I suspect we will hear in the near term of a JV with a defined timeline to production. The location is not remote for Africa, the grades are very good and the recovery is simple and high. As a comparison ZK is a much better resource than KEFI's Tula Kapi. The DRC factor is what needs to be resolved; MWA do function well in DRC and Zimbabwe with no delays through administrative processes. Klipspringer; The review of the underground mining potential is complete, the mine has been cleaned and rehabbed since the flooding. I suspect we will see a triggering of the underground work in the near term. The smelter restart is well underway with six or seven months until test cycles then a gradual ramp up. The smelter will contribute to FY2016 accounts.

Quite simply their is a 3m oz gold resource but much of it is at low confidence because the holes will be too far apart. There is a feasibility study underway that will require the low confidence resource to become a higher confidence resource and/or a reserve. The in-fill drilling is complete and the result of the desk top resource/reserve assessment will be released soon.

News is not a driver here and as far as I can see never has been. There is however lots going on right now that will produce news over the near term. The resource conversion at DRC and feasibility study will produce news as will the production JV when they get that far. Klipspringer will produce news when they announce the restart of underground mining. The smelter restart has been going a couple of months now and I dare say there will be some information from there soon. The driver is the commodity prices and the production performance. MWA is valued at less that their share in BIND.ZW. FR is valued at nothing, Klipspringer is valued at nothing, 3m ozs of gold is valued at nothing, cash is valued at nothing, the $25m JV for Copper is valued at nothing. The Nickel price is very commercial and the gold price is still producing profit with real opportunity. The mid term results should produce good reading for those prepared to wait. My shares are a hold and I will buy up to 3m if the SP stays down

This drop is just about done now. MM's seem happy to take as many shares as they can. Sells on LSE and buys on ISDX where some don't monitor. The next move will be up. In my opinion of course

That will be second quarter or first half results for MWA. BIND.ZW Notice is hereby given that the forty-eighth Annual General Meeting of members of Bindura Nickel Corporation Limited will be held at Chapman Golf Club, Samora Machel Avenue East, Harare on Thursday, 28 August 2014 at 09:30 hours

It is on care and maintenance and the point of the slimes project was to fund the care and maintenance. Following the flooding incidents the mine was closed but that has all been dealt with now. The mine produced gem quality diamonds with one very special stone of 31,25 carats valued at US$ 8,200 per carat. The slimes project simply extracts industrial diamonds at $20 a carat; the underground mine has a very different target. Mpinga has spoken of a restart at that point I suspect we can expect some value.

Klipspringer has a valuation of zero. The Mwa share of BIND equals the cap of Mwa so it stands to reason everything else including cash must be worth zero. Crazy but TRUE.