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China certainly controls the price of V. I had hoped that we could have progressed on the various fronts the company is developing but it seems that for now it is not in a position to report these to the market. We need the price of V higher and the costs to be lower as this will impact the bottom line. The H1 figures are out in the next week, I hope these can be released before the 30th as the sp needs something to lift it from this downwards drift.
The short position is unchanged at 0.6% which as things go is fairly small. Complete lack of any buying pressure, its been like this for a long time. Yes there could be shorts opened below the 0.5% figure but as far as I know the stock on loan figure was not showing any great increase. As I have said before this needs an urgent injection of good news on multiple fronts, not holding my breath though.
The buying pressure is zilch and has been for most of this year. With very little new news to report to the market sentiment has drifted. The only thing the company have direct control of is the costs which need to come down, they have no control over the V price which the Chinese have a solid grip on. At some point the company will need to inform the market of a reduction in costs.
He isn’t going to though, he has been gifted millions of shares over the years as have other directors. I know he bought 500,000 around 2015 for about 3p but that was his only purchase. I think another director also bought just after that. The director/ managements shares bonus should be linked to sp performance but there is not a cat in hells chance of that.
I do not think the sp is of any priority or even importance to the company/bod. The plants operate regardless and staff get paid. I know fm has a considerable number but he cannot exactly start.selling them aside from a small number for tax reasons.
That equates to just over a million shares. I agree that it looks like they have increased today, similar patterns. Think the initial short was at 13 , this at 11. Absolutely no buying pressure making this very easy for them. They may be looking at the V price and its impact.
Asianmetals do report prices buts its only available to subscribers. . You can see the headline but will not have access to the article or price. They have been reporting drops in the price of V in China for a number of days.
Don’t believe this is directly to do with the short, in the scheme of things that is relatively small at 0.5%. They could be increasing it, in which case we will find out soon but there will be other short positions under the radar.
There is the question of what the profitability currently is, we need to make a good net profit to cover future obligations but what it is remains unclear. We will only find that out when the financials are produced. I have alsoseen that the large selling could be Duferco pre-selling but again that will not come out (officially) until a later date..
I would certainly like to see any improvements in the reduced costs highlighted for Q3 , thats is in the hands of the company. Price of V has taken a bit of a knock the last couple of weeks and we could do with that stabilising and going back up. Not sure though if the company is in a position to confirm reduced costs and its going to be Q4 or even Q1 2022.
Not unreadable points but ultimately what drives the sp, and by association the mc, is buying pressure which to be brutally honest has been practically non-existent for a very long time. The operational updates have not helped - higher production costs, missed targets - and the nature of AIM with a limited amount of cash to go round at any time means we are given a wide berth.
I agree that we need to see confirmation of improvements in black and white from the company, whether its lower costs, improved production, associated profits, other outstanding and hopefully good news.
Just checking GSAs shorting record and how long they tend to keep shorts running. In this case they only opened the short less than two weeks ago. They seem to keep these running for a few weeks at least , sometimes adding as they go along. Saw an example of them keeping a short open more than a year and another where it was open and closed in a day.
They have been very active over many years shorting but Bushveld is the first short they have taken out since last year after shorting dozens of companys. Everything else was closed, at least below the reporting threshold last year
RNS from May 2019. FM certainly stated structural deficit to the market when the price of V was $45ish and falling.
https://www.lse.co.uk/rns/BMN/comment-on-share-price-movement-g5sngcn9qin1his.html
We were promised a separate update for BE which has yet to appear. This was on the back of a drought of BE news. Also unclear what is going on with MUST/Enerox apart from the litigation. Is the litigation going to stall this action? My understanding is that this has to complete in a limited amount of time, no prospectus has yet been issued by MUST. Do the company have a plan B if this should fail, and what exactly would it mean for the company if it did fail?
I can see why the bonus cannot be directly linked to the share price performance, there are many factors which can affect it which are completely out of control of the company/BoD. These factors could send the sp up or down.
That said I have tried to find out what the bonus scheme is and drawn a blank. You would expect it to be linked to production in some way , that largely does come under the companys direct control but in that case they clearly would not have managed to secure the bonus.
I do agree that this is unlikely to have any noticeable impact on the sp, but it will be seen as impacting sentiment amongst existing shareholders. The pressure will be on the company to deliver increased production and lowering costs, as well as ensuring other targets ( e.g. electrolyte plant ) are kept on target. How or if this could be linked to bonus incentives is unclear, but no bonus scheme should just be an ad nauseum process.