European Metals Share Discussion Threads

[bookwormrobert] 18/2/2017 07:53

Hi Jamonit! Bacanora (BCN) are currently producing a Definitive Feasibility Study, so they are currently ahead of EMH. However, I believe EMH to be a superior investment proposition.
Some reasons:
a. Bacanora's management have taken too much money out of the company
b. Location - they're in a bad part of Mexico
c. The economics of their production are not so good as EMH
d. They had - and then lost - an off-take deal with Tesla
e. They seem to be in a state of drift. Reading between the lines, there also seems to be a problem with major investor REM.
To be honest, I think Bacanora will make it into production and make a profit for all involved, and I have some money invested in it. But, for me, EMH is better.

[dssloan] 18/2/2017 02:27

Hmm, not long after I bailed out.

[banshee] 17/2/2017 22:26

You must have slept through it.

[dssloan] 17/2/2017 22:23

I am not aware that REM made an opportunistic bid for the WHOLE of BCN.

Could you elucidate (with links).
It owns part of BCN overall and various proportions of the Sonora lithium.

[banshee] 17/2/2017 21:30

Why would anyone pay a billion for EMH when they could get Bacanora for a tiny fraction of that, or REM for that matter. There may well be a bid at some stage but a billion is a ludicrous figure imo, unless the mine is up and producing.

Remember when REM themselves put an opportunistic bid in a few months back (which got rejected) it was for BCN not EMH, and that was when the BCN share price was much the same as now, but the EMH share price was much lower.

[dozey3] 17/2/2017 19:27

Traditionally the IC makes a few howlers, though rather fewer than I do, so I found it bullish that it's below the radar as far as they are concerned. It's not producing but is still a mining share surely.
I am happily long EMH for the long haul.

[bookwormrobert] 17/2/2017 15:38

Dozey3 - probably because EMH is not producing (yet!).

EMH (Cinovec) is however the 4th largest lithium deposit in the world, situated in the heart of Europe, and with a unique low cost of production.

I wish you luck exiting your short at not too big a loss.

[weller130] 17/2/2017 15:33

What's the reason that it'd be the kiss of death?

[ahbroad] 17/2/2017 15:32

that'd be the kiss of death!

[dozey3] 17/2/2017 15:17

Latest IC names and profiles the top 25 mines. Guess what, EMH doesn't make the cut. Phew! That was a close call.

[banshee] 17/2/2017 14:12

Lighten up everyone, EV's will soon be powered by soft contact lenses.



Just make sure you don't blink when your overtaking.

[myst1] 17/2/2017 11:50

News on potential offtakers in the next few weeks before PFS!

[wassapper] 17/2/2017 11:47

Lithium mining must expand over 20 x current capacity for the next 20 years. There is no overcapacity as countries move to electric vehicles eg Germany all electric by 2030

[bookwormrobert] 17/2/2017 11:44

Hi runthejoules! Remember the sheer amount of lithium that the EV / battery revolution is going to require...
EMH is a huge low-cost deposit - the largest in Europe and the 4th largest non-brine deposit in the world (and brine deposits come with lots of problems).
But that doesn't mean that there isn't plenty of space for other producers to make money. I prefer EMH, but my take is still that Bacanora is a good investment.

[bookwormrobert] 17/2/2017 11:41

Keith Coughlan interview on Directors' Talk:

hxxps://www.directorstalkinterviews.com/interview-european-metals-holdings-ltd-cinovec-globally-significant-lithium-deposit/412724014

Very solid and positive. He confirms PFS at end of March, with a fair amount of other news (metallurgy, industry reaction to product etc.) before then.

[runthejoules] 17/2/2017 11:33

Even if everyone switched to liquid hydrogen tomorrow this'd still be great for phone batteries, bipolar sufferers, Wizard of Oz costumes etc... I've added nothing but a few white hairs in this recent dip but it's best just to hold till sold, I reckon. Just a bit cheesed off I invested so much in Bacanora & Kodal too but they will come good just when you least expect it - overproduction or not, they're still good enough to bring in a profit. Or maybe that's the lithium kicking in ;-)

[weller130] 17/2/2017 10:25

Passions are flying. I love this chat! Stay positive folks

[wassapper] 17/2/2017 09:37

Don't reply to him - we know why he is here. Just block him.

[bookwormrobert] 17/2/2017 09:05

Bandflex - in which case you have to ignore almost every statement ever put out by any miner or oiler.

The facts remain: this is a very large surface lithium resource in a medium cost stable jurisdiction near the car-making heart of Europe, and the costs of its extraction are almost 100% covered by the coextant tin and tungsten. In other words, it's paydirt.

[bookwormrobert] 17/2/2017 08:37

Hi Bandflex! That's a standard legal disclaimer - no more.

If you've shorted this share, my strong advice would be to cut your losses and GET OUT NOW!