Berkeley Energia Share Discussion Threads

[herlat1] 07/11/2016 16:31

Kreature the new Minister appears to have little time for your green friends."The new Minister has publicly declared that "people should not be coming here to cry, they should cry at home"."

[kreature] 07/11/2016 14:31

Anyone know what's happening here? Some request to stall the project for several years ?

[csjcsl2] 05/11/2016 18:14

re yumyum,so i did, i meant production.

[yumyum] 05/11/2016 09:23

csjcsl2.......you said profits ;-)

[tromso1] 04/11/2016 18:46

Proactive Investors - Risers and fallers: Berkeley Energia stars as investors lap up placing

[csjcsl2] 04/11/2016 17:26

re yumyum..in the rns it states production to start in 2018

[yumyum] 04/11/2016 16:02

more like 2019-20. But that is not far off. Company will need yearly funding 2017 and 2018 but hopefully with a strategic partner or debt (i.e. we may have seen the last equity raising. This will support the share price going forwards). Being based in EU is a good thing. Commodity is based in USD so sterling weakness will translate to bigger sterling profits.

[csjcsl2] 04/11/2016 15:18

ok yumyum 2018 just over a year, i said 1 year because directors have said in todays rns that the money raised today will accelerate the project in to production

[yumyum] 04/11/2016 15:14

within one year? No.

[csjcsl2] 04/11/2016 15:04

£1 here we come, within 1 year bky will be starting to make profits after tax of $116, i would say £1 by then will look be very cheap, we could be looking at a share price of over £3 good luck all

[yumyum] 04/11/2016 15:03

There are serious boots on the ground. The mine will be built. Will it make money? Hopefully. No obvious reason why not. Pretty basic mine and not very expensive either.
Uranium prices stay crushed like now, well then hardly profits. If price can hoik up to 30s then looks like a winner. £2 not unrealistic by 2020.

[tromso1] 04/11/2016 14:59

Buying actually having an impact for a change and starting to drive price up.

Before the placing and there was no upward momentum on buying at all. Things look to have changed.

[yumyum] 04/11/2016 14:45

All sellers now cleared. 60p next week?

[csjcsl2] 04/11/2016 14:21

great news over subscribed, onwards and upwards

[tsmith2] 04/11/2016 11:49

Peep hunt now doing book build - nothing changes in the city

[kreature] 04/11/2016 09:52

nothing to do with forward selling then ?

[csjcsl2] 04/11/2016 09:32

Re kreature, they are having a book build at 45p. once the money has been raised, the bookbuild will end, then the market will be informed, it will take as long as needed to raise funds. The build could end by mid day if not before, depends on the interest,.great confidence the directors have to book build at 45p, bodes well for the share price

[kreature] 04/11/2016 08:43

do they have to find 16m quid by 3pm today at 45p, a premium to the sp? down from 54p over the last month

[sideshowbull] 04/11/2016 07:21

"including construction of the crushing circuit and other infrastructure items"

Why would they need a crushing circuit if this deposit is to be mined using the insitu recovery model?

[snowyflake] 04/11/2016 07:15

kreature - you read it right. No news on the national and local permits to build the mine itself and not just the initial infrastructure?

[kreature] 04/11/2016 01:04

Like I said a couple of days ago :

"I feel sick. When is the placing ?"

Good luck with that.

17% dilution ?

A lucky £101k sell there, accidentally hidden until now...who would have thought

[wiseacre] 02/11/2016 13:54

Peel Hunt initiates coverage with initial target price of 93p

Deeply discounted long-term cash flow

Berkeley’s development plans show a high IRR due to the low capital requirements, high margins and attractive cash generation. The location in Spain provides a strategic advantage in geopolitical security which is sought-after by off-takers. We therefore initiate coverage with a Buy rating and a 93p R-NAV, our short-term target. As the company progresses through permitting, financing and development milestones, we would expect the shares to trend towards our 159p NAV.

Strong margins. This is the lowest cost (opex and capital intensity) uranium development project currently advancing towards production. We believe that the costs are similar to the in-situ leach production in Kazakhstan (widely known to be the lowest cost production in the world). Such strength of margin in an OECD country makes this an attractive partner for the major utility companies that look for security of continued supply through the current low in the uranium price. These margins point to steady state free cash flow of +$150m/year (more than the current market cap) and an average EBITDA margin of 58% in the first five years of the mine life.

Trading cycles. It is only with the highest quality assets that you can consider development of a mine through a decade-long low in the commodity price. Salamanca offers that counter-cyclical opportunity due the low opex and contracted pricing. Once in production in 2018, the cash generation will fund further exploration through the licence area to scope out what we see as considerable potential to upsize the resource.

Valuation & recommendation. Early in the mine life our assumptions are based on contracted pricing, beyond that the spot uranium price is expected to rise (however, it is important to note that the project can generate returns without this uplift). We expect that the US utilities will be looking to negotiate new contracts on offtake through the next 2-3 years, in competition with a significant number of Chinese reactors coming online, precipitating rising prices. With a strong asset, a very capable technical team and local support, we would expect Berkeley to bring the Salamanca project to first production in 2018. Therefore, we initiate coverage with a Buy rating and a 93p risked target price, with upside to 159p on progression through development milestones

[kreature] 01/11/2016 21:13

Next stop vox markets podcast?