Member Info for Valuation-it-is

https://money.tmx.com/en/quote/CUSN
Shows a short position being run of 2.44m shares.
Given the flow of news that may soon arrive from the two drilling machines that are hard at it at Carnkie and UD area, there is scope for a pop up in the share price. If someone decides to close their short, 2.44 m shares will have to be found from somewhere..............
It may be that someone has sold in Canada and bought in the UK to arbitrage a price differential, if so, the short position will probably disappear fairly quickly, if not, then someone is running a significant risk.

Hi Bubble
Is this the one?
https://money.tmx.com/en/quote/CUSN

Lupi. "Not a problem we will face..."

agreed and was the point I was making. UK and Australian resources are at the safe end of the political spectrum, with grave consequences for miners at the other end. Relative attractions are growing.

https://www.mining.com/web/peru-pm-sparks-controversy-with-mining-sector-by-ruling-out-timeline-extensions/

https://www.mining.com/web/peru-pm-sparks-controversy-with-mining-sector-by-ruling-out-timeline-extensions/

Good morning Bubble.

Do you have a link to the post by RW?

Source https://californianewstimes.com/hochschild-mining-will-fight-illegal-move-to-close-peru-mines/599890/

Hochschild Mining has vowed to fight Peru’s “illegal” plans to close two mines for environmental reasons and deepen the clash between the mining industry and the left-wing government.

Hokusirto’s stake fell 50% in early Monday trading after Peruvian Prime Minister Mirsa Basquez said four mines in southern Ayacucho would be “closed as soon as possible” over the weekend.
South America is the world’s second largest producer of copper and an important source of gold, silver, zinc and tin.Government intervention led by the president Pedro Castillo, Sends cold air to the mining sector.

Alongside London-listed Hocksilt, Anglo American, Newmont, Glencore and Freeport-McMoran, it operates mines domestically, as well as Chinese-dominated companies such as MMG and Chinalco and local producers such as Buenaventura. doing.
Hochschild said in a statement Monday that he “actively defends his position” and that the mine operates under “highest environmental standards.”
Two of the mines of interest, Pallancata and Inmaculada, are owned by Hochschild, who is managed by a Peruvian billionaire. Edoardo Hocksilt, And accounts for more than two-thirds of the London-listed group’s annual gold and silver production.
“This time, I would like to announce about the four mining companies,” Basquez said. statement On weekends, “There is no further expansion for exploitation, exploration, or even mine closure. We will close the mine as soon as possible.”
Hochschild added on Monday that “we have not been officially contacted by the government on this issue.”
The order from the Peruvian government comes from the fact that some right-wing lawmakers, including the defeated presidential candidate Keiko Fujimori, have begun efforts to impeach Castillo.
He came to This year’s power I swear to squeeze more money from Peruvian miners. His government has already proposed a “new tax on profits” and an “end of tax deductions” for mining companies.
Mining accounts for 60% of export revenue Peru.. Hochschild employs 5,000 people in Peru, and says the mine supports an additional 40,000 jobs.
Hochschild shares fell 25% this year. They closed at 164p on Friday, giving the FTSE250 company a market value of just over $ 1.1 billion. The company is targeting up to 372,000 ounces of gold and 32 m of silver this year.
Patrick Jones, an analyst at JP Morgan, said: “Furthermore, we believe that the flagship Quellaveco copper project will be a negative readback for Anglo American in Peru.”
“Our goal is to continue investing in Peru,” said Ignacio Bustamante, Chief Executive Officer of Hocheschild. “But given the illegal nature of the proposed behavior, the company actively defends its right to operate these mines using all available legal means.”
Hochschild Mining will fight ‘illegal’ move to close Peru mines

Source https://californianewstimes.com/hochschild-mining-will-fight-illegal-move-to-close-peru-mines/599890/

Hochschild Mining has vowed to fight Peru’s “illegal” plans to close two mines for environmental reasons and deepen the clash between the mining industry and the left-wing government.

Hokusirto’s stake fell 50% in early Monday trading after Peruvian Prime Minister Mirsa Basquez said four mines in southern Ayacucho would be “closed as soon as possible” over the weekend.
South America is the world’s second largest producer of copper and an important source of gold, silver, zinc and tin.Government intervention led by the president Pedro Castillo, Sends cold air to the mining sector.

Alongside London-listed Hocksilt, Anglo American, Newmont, Glencore and Freeport-McMoran, it operates mines domestically, as well as Chinese-dominated companies such as MMG and Chinalco and local producers such as Buenaventura. doing.
Hochschild said in a statement Monday that he “actively defends his position” and that the mine operates under “highest environmental standards.”
Two of the mines of interest, Pallancata and Inmaculada, are owned by Hochschild, who is managed by a Peruvian billionaire. Edoardo Hocksilt, And accounts for more than two-thirds of the London-listed group’s annual gold and silver production.
“This time, I would like to announce about the four mining companies,” Basquez said. statement On weekends, “There is no further expansion for exploitation, exploration, or even mine closure. We will close the mine as soon as possible.”
Hochschild added on Monday that “we have not been officially contacted by the government on this issue.”
The order from the Peruvian government comes from the fact that some right-wing lawmakers, including the defeated presidential candidate Keiko Fujimori, have begun efforts to impeach Castillo.
He came to This year’s power I swear to squeeze more money from Peruvian miners. His government has already proposed a “new tax on profits” and an “end of tax deductions” for mining companies.
Mining accounts for 60% of export revenue Peru.. Hochschild employs 5,000 people in Peru, and says the mine supports an additional 40,000 jobs.
Hochschild shares fell 25% this year. They closed at 164p on Friday, giving the FTSE250 company a market value of just over $ 1.1 billion. The company is targeting up to 372,000 ounces of gold and 32 m of silver this year.
Patrick Jones, an analyst at JP Morgan, said: “Furthermore, we believe that the flagship Quellaveco copper project will be a negative readback for Anglo American in Peru.”
“Our goal is to continue investing in Peru,” said Ignacio Bustamante, Chief Executive Officer of Hocheschild. “But given the illegal nature of the proposed behavior, the company actively defends its right to operate these mines using all available legal means.”
Hochschild Mining will fight ‘illegal’ move to close Peru mines

Source https://californianewstimes.com/hochschild-mining-will-fight-illegal-move-to-close-peru-mines/599890/

Hochschild Mining has vowed to fight Peru’s “illegal” plans to close two mines for environmental reasons and deepen the clash between the mining industry and the left-wing government.

Hokusirto’s stake fell 50% in early Monday trading after Peruvian Prime Minister Mirsa Basquez said four mines in southern Ayacucho would be “closed as soon as possible” over the weekend.
South America is the world’s second largest producer of copper and an important source of gold, silver, zinc and tin.Government intervention led by the president Pedro Castillo, Sends cold air to the mining sector.

Alongside London-listed Hocksilt, Anglo American, Newmont, Glencore and Freeport-McMoran, it operates mines domestically, as well as Chinese-dominated companies such as MMG and Chinalco and local producers such as Buenaventura. doing.
Hochschild said in a statement Monday that he “actively defends his position” and that the mine operates under “highest environmental standards.”
Two of the mines of interest, Pallancata and Inmaculada, are owned by Hochschild, who is managed by a Peruvian billionaire. Edoardo Hocksilt, And accounts for more than two-thirds of the London-listed group’s annual gold and silver production.
“This time, I would like to announce about the four mining companies,” Basquez said. statement On weekends, “There is no further expansion for exploitation, exploration, or even mine closure. We will close the mine as soon as possible.”
Hochschild added on Monday that “we have not been officially contacted by the government on this issue.”
The order from the Peruvian government comes from the fact that some right-wing lawmakers, including the defeated presidential candidate Keiko Fujimori, have begun efforts to impeach Castillo.
He came to This year’s power I swear to squeeze more money from Peruvian miners. His government has already proposed a “new tax on profits” and an “end of tax deductions” for mining companies.
Mining accounts for 60% of export revenue Peru.. Hochschild employs 5,000 people in Peru, and says the mine supports an additional 40,000 jobs.
Hochschild shares fell 25% this year. They closed at 164p on Friday, giving the FTSE250 company a market value of just over $ 1.1 billion. The company is targeting up to 372,000 ounces of gold and 32 m of silver this year.
Patrick Jones, an analyst at JP Morgan, said: “Furthermore, we believe that the flagship Quellaveco copper project will be a negative readback for Anglo American in Peru.”
“Our goal is to continue investing in Peru,” said Ignacio Bustamante, Chief Executive Officer of Hocheschild. “But given the illegal nature of the proposed behavior, the company actively defends its right to operate these mines using all available legal means.”
Hochschild Mining will fight ‘illegal’ move to close Peru mines Source link Hochschild Mining will fight ‘illegal’ move to close

Thisisdaft London price vs Canadian price
Looking at the hour by hour charts, it looks to me as if the shares rose C$2 in Canada, AFTER the London close................. Encouraging for the London Monday opening perhaps.

Thisisdaft. Thank you for your appreciative comment, but I merely cut and pasted an extremely thought provoking article. I did not write it. We should be thanking
Guy Thiran, who is director-general of Europe’s metals association, Eurometaux..........

Re the price differential. I expect that will be abitraged away on Monday, when both UK and Canadian exchanges are open. It is a bit odd that both exchanges did not experience the selling as it seems to have been motivated by the uncertainty caused amongst DLE companies by the Blue Orca report.
The Lithium situation in Cornwall is different to that in Arkansas, where the brine is very salty so a different process is needed - with of course different prospects. I do not think much of the market cap of CUSN can be attributed to the potential from Cornish Lithium, so I do not think the fall in price can be justified for Lithium worries. But there may be another factor of which I am not aware.
My understanding is that CL's pilot plant is going well. When finished and running we will then be able to assess the prospects.
But for CUSN, it will be UD, Trenares, and Carnkie drilling results and financing of SC that will likely determine the share price progression.

Fort William is a long way from Cornwall, even allowing for future rail improvements. If when you get there the smelter has closed, you have to look abroad it seems.

The UK and EU are likely to have a shocking awakening to the strategic implications of not securing a critical materials supply chain. Imagine if Magnesium (see previous posts this morning) becomes hard to source in a few weeks time. If the Chinese are not producing enough for themselves then chances are there will be many industries in the West getting none.
What is coming, will not just involve Magnesium, but be across a broad spectrum of minerals/metals.

Fira "Hope no one followed your lead on that one...!"

Lets look in 6 months and decide who was right. 20/5/22 Noted in diary.
Above 0.48p Bitcoinbuyer wins, below 0.48p, Fira2011 wins, at 0.48 the ball falls into the "house" slot.

Europe’s third metals challenge is the risk of new dependencies by the end of this decade. Take aluminium. According to the World Bank, the energy transition will need more tonnes of aluminium than any other strategic metal — for lightweight vehicles, electrifying the grid and solar panels.

Yet, alarmingly, over the same period, Europe has lost one-third of its primary aluminium production. Today, European producers are battling Chinese overcapacity, high-carbon dumping, and high power prices while at the same time investing heavily in decarbonisation.

This May, Brussels introduced anti-dumping duties for semi-finished aluminium products in a belated attempt to equalise the playing field with Chinese competitors. Then, in September, these very same anti-dumping duties were suspended for nine months despite clear evidence of significant injury.

Short-term decisions such as this risk repeating past mistakes that have been made at the expense of the region’s upstream industries. Aluminium cannot become Europe’s next magnesium.

Nothing less than a massive shift in industrial policy is needed to solve Europe’s growing metals problems, across three areas of action.

First, Europe needs to accept that more mining and refining of strategic metals is urgently needed under the right environmental and social conditions. This must be backed up with a clear strategy for sourcing and financing sustainable minerals both at home and abroad.

Second, the continent needs to confront its dependence on Chinese monopolies and evaluate alternative paths forward — from supply diversification to reshoring of production — while keeping strong, consistent trade defence instruments to prevent further production leakage.

Third, Brussels needs to recognise that the energy transition will massively challenge power-intensive metals producers as they themselves decarbonise. The EU must safeguard its industries from debilitating energy price rises, while delivering affordable carbon-free electricity in the massive volumes required for producing the sustainable metals of Europe’s future.

The metals industry is a willing, enabling partner in Europe’s ambitious plans to decarbonise its economy. We now need Brussels to deliver an effective industrial policy that will help us realise that ambition.

Guy Thiran is director-general of Europe’s metals association, Eurometaux

The Commodities Note is an online commentary on the industry from the Financial Times

Do we have the will in Government to do this?
Article below sourced from :-
https://countryask.com/banking/trump-endorsed-rep-gosar-for-reelection-one-day-after-the-house-censures-him-for-sharing-an-anime-edit-portraying-him-killing-rep-ocasio-cortez/
-----------------------------------------------------------------------------------------------
The EU has long looked to take a global lead on climate, and its 2030 goal to reduce net greenhouse gas emissions by 55 per is a benchmark for decisive global action.

But Brussels has not shown the same boldness in its industrial policy for securing the sustainable upstream metals supply needed to deliver that target. Its ever-growing metals dependencies threaten to derail the development of new clean energy value chains.

The International Energy Agency this year warned of a “looming mismatch” between climate ambition and minerals availability. Europe has a long list of serious metal supply challenges on its radar over the next decade unless it quickly and radically changes course.

First up is magnesium, of which Europe risks completely running out of supply later this month, leading to an imminent stop to aluminium alloy production. This means Europe will not be able to make its lightweight cars, aerospace components and so much more.

The back-story is one of avoidable dependency. Despite Europe having a big magnesium industry until the early 2000s, past industrial policy decisions meant production was lost to more polluting Chinese imports.

Fast-forward to today: China has a near-monopoly on global magnesium production, providing 95 per cent of Europe’s supply. Its recent production curbs have led to a rapid halving of magnesium output, creating a global supply crunch.

Europe today faces a similar dependence on China for other energy transition metals, such as the rare earths used in electric cars and wind turbines, and the germanium, gallium and indium needed for a restart of solar panel production. It is also powerless to address the major environmental and social impacts from their production.

The second metals challenge is looming five years from now, after which Europe risks a supply deficit for lithium and other battery materials.

According to Wood Mackenzie, the world in 2030 will need eight times more lithium than today to supply electric vehicle batteries. Yet currently announced global extraction projects only cover about a third of this massive demand.

There is no quick fix, because it can take up to 10 years to open a new mine. Unsurprisingly, today’s lithium market is already experiencing shortages, and electric vehicle batteries have become more expensive after years of decline.

Europe woke up to this danger last year with the launch of its European Raw Materials Alliance to spark domestic investment and global partnerships. China, however, is at least a decade ahead, holding 80 per cent of the world’s refining capacity for battery metals, and investing more than any other country into securing supply from the world’s mines.

Blue Orca states "........To the best of our ability and belief, all information contained herein is accurate and reliable................"
Standard Lithium states under Points of Clarity
"Blue Orca Capital has opportunistically issued this report with partial and incomplete information and without consultation or clarification by the Company."

I think a good indicator as to whether or not Blu Orca is right or wrong is to ask the following question.
Did Blu Orca pick up the phone and discuss their points with the company before they published?
If they did, then they are using one of their abilities to confirm or deny their suspicions i.e. they are doing what they stated they have done. If they did not ring Standard Lithium, then they are not using their abilities to their best, and the Blue Orca statement is incorrect.
Standard Lithium appear to state that Blue Orca did not discuss the report before publication.

The answer to this question might be a strong indicator (but not the only indicator) of which side to believe. Good luck Major Oak.

Not that it has anything to do with CUSN or Cornish Lithium but what do you make of Standard Lithium's response to the short sellers report?
Vii

Major Oak

Thank you for the link. I have read the Motley fool comment. I suggest:-
1. Look at the regulatory filings to corroborate whether the shorter report is true.
2. Dig out the auditor's report re going concern. Look carefully at the wording. Most of the companies that are trialling a new process etc have funding in place for the trial and not much more. Thereafter they need to raise more money. Everyone knows that. If the trial doesn't work the company comes to an end. The auditors may only be stating the obvious, but well worth having a reminder - as these are risky businesses.
3. Contact the company and ask them for a response to the allegations. If they cannot or will not put your mind to rest, then there is a cause for concern.

My understanding is that Cornish Lithium had scores of DLE processes offered to it to trial and CL narrowed the field down to two or three. So if Standard Lithium fail to get their pilot plant to work, it may be possible for them to try a different DLE process out. So all may not be lost.
A question to ask SL, is whether they have spent all their money on a pilot plant which cannot be adapted for another process. Another question for SL is how much cash they have left vs how much they raised. Also what are they paying their executives.
I hope you get encouraging responses and the shorters are proven wrong. But bear in mind that it would not be surprising if there are a few casualties amongst those who are trying to commercialise a new DLE process, and it may be that the shorters have just discovered one of those. I hope not.
Cornish Lithium has several irons in the fire. It has
1.the DLE from brine pilot plant being built at United Downs, with 2 or 3 different processes to trial there, it is
2.building the hard rock lithium extraction pilot scheme at Trelavour, which will use the Lepidico process,
3. a joint venture with Imerys, and
4.a jv with Geothermal engineering "Geocubed" looking at Lithium extraction from very deep holes using geothermal heat.

Having a number of "irons in the fire" in my view reduces the risks. Good luck

Major Oak
Many thanks for the information. The response by Standard Lithium refers to a report, which I guess is behind the attack. Do you have a link to that report? It would be interesting to see what the basis of the attack is. If unfounded, it may have caused a buying opportunity.
As regards the Cornish Lithium news release, the latest news release was 4/11/21 about J Wrathall's appointment to the UK’s Critical Minerals Expert Committee. I expect further important information from the company in Q1 2022. Is there something else you are expecting/have seen?