Member Info for Valuation-it-is

Bubble2021
I think it is worth re-visiting the PEA and updating for Increased resource, and increased price of tin and copper. I guess that will show a massive increase in the NAV per share looking at SC alone.

There was the publication of HMG's hydrogen strategy, from which we concluded there would be a minimum support price offered for hydrogen produced by DMG's. Published 17 August 2021
Link
https://www.gov.uk/government/publications/uk-hydrogen-strategy

Clearly one major positive for PHE at the moment is the impact of the surge in price of energy.
One wonders how the price of syngas has moved. If that is up in line with gas prices - which seems likely - the value of outputs from a DMG - syngas/hydrogen/electricity/ heat are going to be up many times. Justifying the investment in a DMG is going to be a lot easier. Perhaps the licence fee of £500k per unit should be raised? In fact giving notice of raising the fee in the future, might just push a few potential customers into action.

Piltick, sensetalka Good points thanks for your replies giving some re-assurance.

Dr A 12.14 Many thanks for your reply. It feels to me as if PHE is being hollowed out, and left vulnerable.
First the move away from buying/building its own DMG's - ostensibly to avoid big capital outlay, seemed attractive until development came to a grinding halt as Peel -who took on the role given up - took stock for a year+
Second, PHE now is giving up its role in...."business development, deployment of the technology" so it will have less control of its destiny, and potentially be at the mercy of whoever takes that role. Suppose HUI develops an improvement to the tech or finds another gasification provider, where would PHE be then? If PHE becomes dependent will PHE have to buy out HUI, just as it did W2T?
Having seen the shenanigans over W2T, I think we are heading into the unknown. Hope I am proved wrong.

Great article, thx for posting.

natnrg
My understanding of the situation is that the next financing round will be the IPO. Do you have a different understanding?

https://uk.investing.com/commodities/tin-streaming-chart

Fira
I have little doubt we will get into production. There are billions of £ worth of tin underground at S Crofty and it will cost a fraction to get it out. I suspect finance will be raised easily for de-watering, and then project finance will take us to production. (Watch TW for a guide)
Smelting. I agree that will be a challenge. Perhaps TW and CUSN and others will team up, and Government(s) US/UK will assist? I understand there are two smelters in N Europe, which could be adapted for the task, but it would be better still to have our own, on-shore. Plymouth freeport, with main gas pipeline link, ferry services to N Spain (ore producing area) and rail link to Camborne/Redruth is the best bet I can think of, but I suspect UK energy and labour costs would outweigh shipping costs to China and back. Given Cornwall produces a surplus of wind and solar power which cannot be exported (cabling is inadequate) there is perhaps the possibility to use the surpluses here for smelting - but that is a long shot. What are your thoughts?

From a Telegraph report at 2.05:-

"Gas supplies are facing even more pressure after a fire ripped through a major plant in Russia.
Gazprom's Amur gas processing plant in the country's Far East has halted operations after a fire early on Friday, a spokesperson confirmed.
The plant plays a key role in Russian gas exports to China, which has been hit by electricity shortages that have led to power rationing across the country."

Smelting will become even more difficult. Metal supply will be constrained.

Telegraph:
Gas supplies are facing even more pressure after a fire ripped through a major plant in Russia.

Gazprom's Amur gas processing plant in the country's Far East has halted operations after a fire early on Friday, a spokesperson confirmed.

The plant plays a key role in Russian gas exports to China, which has been hit by electricity shortages that have led to power rationing across the country.

Southwesterner "If they can get a $10m loan for LCCM, why on earth would they want to list on the ASX, incurring the costs associated with that?"
My guess is that the provider of the loan wishes to have a share of the upside as well. The granting of the loan adds hugely to the value of the project as the chance of it happening rises sharply with finance being offered. The loan provider doesn't want to leave all of that benefit in the shareholder's hands. I think that we will be diluted as the LCCM listing on the ASX, may provide shares to the loan provider at a discount.
The only way for SML to minimise the dilution shareholders will suffer is if they talk to more than one loan provider and let that fact be known. We should be asking what incentive the BoD has to do this and are they doing it? It is hard work talking to loan providers.
Are the directors also shareholders, did they pay for their shares either through their bank accounts or through hard work, or were their shareholding garnered by just turning up to the office?
The loan provider is probably very canny. By carving out the project with a separate listing on ASX, their possible proposed equity holding would not be encumbered with the costs of developing Redmoor for example - it would be a pure exposure to LCCM upside.
Whilst we should be alive to possible dilution, I think that the discussions must be serious and advanced if an ASX listing has been proposed.
Lets hope the BoD have more than one iron in the fire.

Dr A Thurs19.13
What do HUI bring to the party that PHE cannot provide?

The Special1

"my audience" not here, lol filter on

With smelting setbacks in China tin is on its way again.

A good time to be bringing on a new supply of gas....................

https://uk.investing.com/commodities/tin-streaming-chart

It is a change that is beneficial to CUSN shareholders and removed an impediment in raising capital for the re-start of mining.
The vendors are also likely to benefit as they will now receive something rather than possibly nothing.

Sorry that should have read UD results to come through

The FB showed drilling gigs working on the site at Trenares Lode. So they are getting on fast with the exploration work.
With UK results to come through, Trenares underway, and Carnkie with permission given, that suggest we will have quite a bit of newsflow over the next few weeks. Then there is the potential at Gwinear .....
There are two conferences coming up at which CUSN is appearing - the Cornish mining conference and one in London in November.
https://cornishmetals.com/investors/events/upcoming-events/