Asiamet Resources Share Discussion Threads

[adw198] 26/4/2024 12:54

Moaning - it’s called analysis of a PR piece. You yourself expected ALL finance to be in place between October 23 - March 24. When it becomes apparent that’s MILES out it makes not one dent in your analysis does it? Which is pretty ridiculous.

Anyway…You like asking a question more than you like answering one! Copper is flying up at $4.59 which makes the project economics much much better. I don’t know the IRR at these levels or the payback period. It’s quite amusing that you now quote the price of copper - previously you dismissed it and said it was all about the future. I think the current price of copper is really important but at least I’m consistent.

DOID will be loving the copper price, hopefully it prompts them to put us out of our misery because we won’t be rustling up the $230m anytime soon. Which even the PR piece recognised- even if you don’t.

[dorset64] 26/4/2024 12:29

As was a certainty, you seek out whatever you can moan about.A question Andrew, tell me, with the copper price where it is today, what the current pay back period & IRR for BKM alone is?And remember when you get to a figure, factor in this is only the starter project, and one of many in the localised area so, whatever figure you come up with, add a huge percentage to the IRR for all the other projects as the infrastructure will already be built. I look forward to you answering the above.

[rainyrain] 26/4/2024 12:03

The bank obviously want the main contractor signed up.

[adw198] 26/4/2024 11:04

“Over the past few months, the Company has made meaningful headway in laying out the necessary preparations to move forward
with bank financing for the BKM copper project”

Sounds wonderful but they expected first stage credit approval last year, so headway in laying foundations tells me they’ve politely told to come back with some grown ups.

[dorset64] 26/4/2024 09:58

Latest 'paid for' company note makes good reading and confirms where we are in the copper cycle right now. hTTps://mcusercontent.com/a1fb04e53b13f07f4600886ee/files/4312b33a-afed-2f2e-07d6-28668d46d268/Asiamet_Flash_Note_260424.pdf

[adw198] 23/4/2024 14:51

We can indeed only wait and see (or continue to speculate!).

The below is what we were told about DOID when they signed the HOA. The last para in particular is interesting in terms of assessing why they’d decide not to get involved at a project level and then potentially let a competitor take over.

About PT Delta Dunia Makmur Tbk. (DOID)

“DOID is a publicly listed company on the Indonesian Stock Exchange. Through its operating subsidiary PT Bukit Makmur Mandiri Utama better known as "BUMA", DOID is one of the largest mining services company in Indonesia with extensive capability in the following key areas:

· Engineering Design, Procurement and Construction

· Contract mining

· Design and construction of mine infrastructure

· Early works execution

· Material handling solutions and logistics

· Energy and Power

· Safety, as a local contractor working to international standards

· Environmental management and community relations

With a strong balance sheet and a clear strategy to expand its footprint outside contract mining services into copper and other future facing minerals projects, DOID sees the KSK-CoW as a unique opportunity to advance this growth strategy”.

[dorset64] 23/4/2024 13:33

ADW, a JV now would, imo, most likely be with a.n.other comany not particularly Doid on their own.

I also believe apart from those doing their DD for a full or part purchase of Asiamet, there are others also looking at JV's.

We’ll just have to see what pops first but, and it wouldn't surprise me, but the Merdeka Copper Gold compays flagship copper mine in Malaku, is also surface mounted but after decades of production, it is scheduled to close this year. I would had thought someone like that who are already producing in country would had been an ideal fit.

Time will tell.

[rainyrain] 23/4/2024 09:46

Now it could be a good or a bad thing that Bobby Dazzler has gone radio silent, LoL.

[rainyrain] 23/4/2024 09:28

I reckon part of the job of a CEO is to promote the company and let shareholders know WTF is going on. Bobby Dazzler has been awful at this aspect of the job, IMHO.


No interviews or anything since early December I think !

[adw198] 23/4/2024 09:11

Morning

Thanks for the considered reply.
1. I’m not sure how a JV could form part of it for the same reason you and others insisted DOID walked away from a JV…see thru vale. I suppose there could be a more creative solution such as us essentially giving it away for someone who can afford it for a free carry in the profits.
2. Similar to the above selling either asset wouldn’t even touch the sides of the costs of building another site. Based on the last few years they might cover our running costs for several years but not a build.
3. Full sale seems likely, agreed. What price do you think DOID would want? Odd that they wouldn’t bid themselves (obviously we know my belief)
4. This sounds a pivot to a new delay, perhaps because they have been guided that $230m won’t be forthcoming. Wouldn’t this require a new FS?

[dorset64] 23/4/2024 08:52

Actually there is a 4th which I meant to add in that continue with the banks, re-design the site so that there's a smaller footprint and project to start with, get it built & show profits increasing with every $ the copper price goes up, then sell a fully working mine to the highest bidder.

[dorset64] 23/4/2024 08:50

I believe you will find there's 3 options on the table at the minute. 1. Carry on with the ITE/off-take/bank/JV for the cash to build the mine and start to receive the profits in years to come. 2. Continue with those performing their DD for a partial sale and/or sale of a project, be that BKM/BKZ or Beutong and use the proceeds to build & run the remaining projects or,3. Continue with those performing their DD with respect to a full sale of the company and all projects. To me all of the above makes sense and see which one drops first then, when it does, decide whether to take that route or not.

[rainyrain] 19/4/2024 18:05

Apparently these new data centres will use so much power they will need their own nuclear power station LoL

[rainyrain] 19/4/2024 17:11

Anyone else noticed an uptick in talk about AI and the data centres and how much copper they will potentially use?

I've got a hunch this copper rise may be off the back of all this newfangled AI talk.

[rainyrain] 19/4/2024 09:13

I don't get why you're obsessed with a 5 year old study with a pandemic, two wars and inflation in between. Why don't you work out the figures mate, as I really don't care, LoL!

Or you could track down the feasibility studies of the large circa 100 year old Chilean copper mines and pick holes in them.

Have fun, kiddo!

[rainyrain] 19/4/2024 08:40

Please don't call me "it" I am actually a real human being. You two reprobates have made your positions clear on what will happen here, so let's all just sit back and wait, eh? Bye !

[adw198] 19/4/2024 08:13

Fair point, will ignore going forward.

[2lb] 19/4/2024 08:02

Adw - history dictates that if you filter it and ignore it then it gets bored and goes away......just a suggestion.

[adw198] 19/4/2024 08:02

So what I’m hearing is the IRR changes according to the price of copper used / achieved. Good, agreed. So, I’ll try for just 1 more time….which FS has the higher IRR when using todays copper price?

[rainyrain] 19/4/2024 07:27

Pipe down kiddo, I said marching to. I believe with circa $4.50 copper the IRR is circa 27% and NPV 260 million, crucially bringing NPV above capex.

All imho please DYOR!

Now with $5 dollar copper the IRR would be over 30% innit.

Now go and read a book, maybe Roald Dahl is probably your level, kiddo.

[adw198] 18/4/2024 20:41

Brilliant stuff there Rainy aka Bradshaw claiming the IRR is now 30%
Can you explain why please?
And let me know what the IRR on 2019 FS too - the one you claim is worse.

[stockhunters] 18/4/2024 15:33

only needs a bit more volume

[rainyrain] 18/4/2024 13:58

NPV to Capex ratio: apparently one to one is very rare on copper projects, but if it ticks to one to one or over then a much better chance of getting finance, imho, dyor ! Topic just discussed with a copper developer on YouTube Crux investor channel 😀