The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Don’t forget all of China including the banks were on holiday all of last week due to Chinese New Year so technically according to the Chinese calender we’ve only had 3 business days! I wouldn’t worry too much though and am very confident it will land soon enough!
Links? can’t seem to access the HNA group website here in the Uk! :/
Fair enough, thanks for the correction Accion however I believe the split would still be the same in that case as KMUK will own 90% Les Mines de Lithium de Bougouni S.A and Mali gov will own the 10%
Mr 008 and his fellow de-rampers = Absolute fuggin clowns!
As far as the the share subscription is concerned I believe it will be as follows:
Hainan subscribing for 2,937,801,971 (approx 2.9 billion) shares at 0.5p per share at a cost of $17.75 million which should bring KOD shares in issue to:
16.9 billion + 2.9 billion = approx 19.8 billion KOD shares in issue post subscription
The split will most likely like this if we follow Leo Lithium:
KMUK:
90% KMUK and 10% Mali
90% will be further split into:
49% KOD = 44.1% of KMUK
51% HAINAN = 45.9 % of KMUK
Love how iLOVElithium has changed his tune as soon as his misinformation is exposed! This kinda crap won’t fly here matey, stop spouting your nonsense here!
#PREM Mcap £120m with no proven resource and ‘planned throughput of 4000 tonnes per month (and no guarantee that is actually present in the ground lol)
#KOD DMS plant 130,000 tonnes SC 5.5 and floation plant will be SC 6 at 220,000 tonnes SC 6 and when they are both running art the same time it will be 350,000 tonnes per annum
#ALL 225ktpa SC6, producing in 20 months, Mcap £235m
What I can see from this is that Kodal pricing is seriously undervalued at 0.39! massive re-rate underway. If I were you I would worry more about what the prem RNS’s state and i might eefer you a rather worrying statement from one of them:
‘If the Supply Commencement Date does not occur by 31 March 2023 or there is a substantive delay in the subsequent supply of SC6, or there is a shortfall in the Minimum Delivered Amount, then Premier will pay interest to Suzhou TA&A at a reasonable interest rate that represents Suzhou TA&A's actual funding cost for the delay or shortfall.
If the Supply Commencement Date does not occur on or before 30 May 2023, then Suzhou TA&A may terminate and seek repayment of the Advance Purchase Amount.’
All these prem floks (Mr008 and Johnnypc etc.) coming on KOD’s board to warn us about such a terrible deal! LOL. This just proves what a great deal Bernard has struck! If you had the conviction that prem is the better stock you won’t have to come on here to talk down KOD but I’m pretty sure deep down you all know that KOD is now definitely the better project so eff off back to your little hole of a pilot project with no proven resource and a ****Roach CEO and stay there!
Gotta love how as soon as the prem sp drops, the posters from prem come onto the KOD board to share their negative opinions regarding KOD. DYOR folks and beware. For me, the above re-inforces my opinion about KOD.
P.S. Sorry to break it to you but both companies can and hopefully will do well!
I, for one love the fact that prem are killing it cos you know what that means, all that money will be flowing into KOD once its multiplied in prem!
I'm happy for PREM to go on a nice run and am pretty confident both will do well given the overall lithium picture however IMO KOD is the better option long term as I foresee all those profits from PREM coming into KOD therefore making KOD the wiser choice for me. You know the tortoise and the hare saying 'slow and steady wins the race' ;P
Here’s a revised calculation for you Mercman!
KOD DMS Plant:
Spot spod 6 price = $7,900
Life of mine (LOM) = 4 years
Expected spod 6 production per anum = 130,000 tonnes
Estimated c1 costs = $436 per tonne
Expected LOM revenue = 7,900 x 130,000 x 4 = 4,108,000,000 (approx $4.1 billion)
Expected revenue per anum = 7,900 x 130,000 = 1,027,000,000 ($1.027 billion)
Estimated c1 costs per anum = 436 x 130,000 = 56,680,000 ($56.68 million)
Estimated profit per anum = 1.027 billion - 56.68 million = $970,320,000 ($970 million approx)
Estimated market cap (assuming PE of 5) = 970,320,000 x 5 = 4,851,600,000 ($4.85 billion approx)
Estimated share price = Market cap / shares in issue = 4,851,600,000 / 16,900,000,000 = $0.29 or £0.25 (25 pence)
https://www.thetimes.co.uk/article/car-sales-crash-but-electric-has-best-month-ever-nl78v6rg0
That’s if everything goes to plan over the long term which isn’t always the case but one can hope lol
At less than half of the current spod 6 price:
Spod 6 price = $2500
Life of mine (LOM) = 8.5 years
Expected spod 6 production per anum = 220,000 tonnes
Estimated c1 costs = $466 per tonne
Expected LOM revenue = 2500 x 220,000 x 8.5 = 4,675,000,000 (approx $4.675 billion)
Expected revenue per anum = 2500 x 220,000 = 550,000,000 ($550 million)
Estimated c1 costs per anum = 466 x 220,000 = 102,520,000 ($102.52 million)
Estimated profit per anum = 550 million - 102.52 million = 447,500,000 or $447.5 million
Estimated market cap (assuming PE of 5) = 447,500,000 x 5 = 2,237,500,000 ($2.23 billion approx)
Estimated share price = Market cap / shares in issue = 2,237,500,000 / 15,832,000,000 = $0.14 or £0.11 (11 pence)
At present prices:
Spod 6 price = $5750
Life of mine (LOM) = 8.5 years
Expected spod 6 production per anum = 220,000 tonnes
Estimated c1 costs = $466 per tonne
Expected LOM revenue = 5750 x 220,000 x 8.5 = 10,752,500,000 (approx $10.75 billion)
Expected revenue per anum = 5750 x 220,000 = 1,265,000,000 ($1.265 billion)
Estimated c1 costs per anum = 466 x 220,000 = 102,520,000 ($102.52 million)
Estimated profit per anum = 1.265 billion - 102.52 million = $1.16 billion approx
Estimated market cap (assuming PE of 5) = 1,162,480,000 x 5 = 5,812,400,000 ($5.8 billion approx)
Estimated share price = Market cap / shares in issue = 5,812,400,000 / 15,832,000,000 = $0.37 or £0.28 (28 pence)
Date Time Trade Prc Volume Buy/Sell Value
17-Mar-22 17:07:39 0.285 26,100,000 Unknown* 74.39k
Date Time Trade Prc Volume Buy/Sell Value
18-Mar-22 15:54:30 0.2815 9,942,805 Unknown* 27.99k
Fastmarkets atricle from 2nd March 2022:
“on a spot basis, spodumene cargoes with prices of as high as $5000/t (6% Li2O basis) ”
https://www.fastmarkets.com/insights/spot-prices-for-lithium-hydroxide-and-carbonate-outpace-spodumene
https://www.mining.com/web/worlds-top-battery-maker-urges-china-to-secure-lithium/