Anglo Pacific Share Discussion Threads

[christh] 22/5/2017 07:55

Sterling was quoted at USD1.2989 early Monday, dipping from USD1.3031 at the London equities close on Friday. A weaker pounds tends to boost the FTSE 100, as many of its constituents earn in foreign currencies.

[buywell3] 22/5/2017 07:36

Re solar panels I suggest you look at how PV Crytalox has gone as over supply of the raw material and wafers used in most current solar panels has resulted in a massive price drop of the material and wafers produced which has hit margins hard.

I agree Tesla are set to make massive inroads into both the domestic home market for electricity generation and now also power station generation

My point is that nowadays new technology lasts about 10 years before something better comes along.

Hence if invested in Technology stocks I would recommend getting out before the top eg 4 years through the growth cycle when demand is still there.

Applies to IQE

Re APF I remember Directors selling this at about 100p many years ago

[christh] 22/5/2017 07:31

Price heading to 150p.
Kestrel mine will boost profits,
Vanadium is dearer as demand for steel is growing.

[quepassa] 22/5/2017 07:22

PRICE MOST CERTAINLY IS NOT EVERYTHING. YOU ARE QUITE WRONG.


PRICE IS WHAT YOU PAY BUT VALUE IS WHAT YOU GET.


ALL IMO. DYOR.
QP

[spectoacc] 22/5/2017 06:42

Not my job to educate, but price is everything - would you buy Tesla at a billion dollars a share, and ignore APF at a penny, just because you think "renewables are the future"? Advancing technology could as easily by carbon capture as nuclear & renewables.

[quepassa] 21/5/2017 21:21

Will have a look at IQE. Thanks.


Question for the house - if coal is so great why was the APF share price 300p five years ago and today 115p?

Isn't that telling you something very important about coal as an investment ?


ALL IMO. DYOR.
QP

[lord gnome] 21/5/2017 20:31

Interestingly, I have been led to believe that Tesla is utilising a British technology in its solar roofing tiles. Technology provided by IQE. I have no investment in Tesla, but I do have shares in IQE. I also have other coal investments. One foot in the future and one foot in the past so to speak.

[stevie blunder] 21/5/2017 19:34

I'm right with you on the need for diversification of the royalty portfolio. Of course Lithium royalties will be thin on the ground as there will be lots of capital available to the mining companies.

Different views on renewables it seems.

I found this book by David McKay useful:


Free to download., and well worth reading IMHO.

Well done on Tesla, cant argue with that investment decision!

[quepassa] 21/5/2017 17:34

Yes, uranium and nuclear will become an increasingly important energy fuel. Perhaps the dominant.

But the growth of uranium +solar + wind + hydro electricity will rapidly eclipse coal as the hitherto primary source of energy at exponentially faster rates.

It's not meandering, it is picking up speed with great alacrity - despite Trump. This is why the Tesla solar roof panel and Tesla cars are causing such a massive disruption .

Tesla is just one example of how the new technologies in domestic solar and automotive are advancing by leaps and bounds.


APF need to embrace the new power technologies such as with lithium royalties and uranium royalties if they wish to prosper- not yesteryear's fuel of choice but tomorrow's fuels of necessity.


ALL IMO. DYOR.
QP

[stevie blunder] 21/5/2017 14:43

Yes the world will turn from coal long term.
Anglo's royalty from Kestrel will be gone in 10 years.
Narrabri produces high quality, ie high energy content thermal coal and some PCI coal. It would be well down any list of coal mines one would shut. It had a projected mine life of 30 years when it opened. I am not worried about its market disappearing and being forced to close.

EDIT: Coal projected to be largest source of power in ASEAN by 2030

I don't think renewables will fill the gap though. In the west we use about 1kw per person. If the worlds population grows to say 10 billion and we all achieve a similar lifestyle to that in the west, we need 10,000 GW capacity. If we also electrify transport , industrial processes and heating we will be talking about 50,000 to 70,000 GW global electricity capacity. And it all has to be reliable and work 24/7. If you want to say storage can help, show me some numbers :-)

We face a meandering road around the solar panels and windmills to get to the future, which is of course Nuclear. :)

[quepassa] 21/5/2017 14:20

An inane post from pidro.

"I don't really knows what that means "Anglo's doing great short term"

good post by buywell.

QP

[buywell3] 21/5/2017 13:20

Chartwise it looks like Coking coal dropping back to to $150 within next 3 to 4 months

[piedro] 21/5/2017 12:57

"Anglo's doing great short term"

- right-on.

IMHO. DYOR
P.

[quepassa] 21/5/2017 10:07

I don't really knows what that means "Anglo's doing great short term"


By their very nature, I thought that APF was a LONG-TERM investor in royalties.

Surely we want long-term investments and long term growth in commodities which are in growth mode not in decline like thermal coal.

Not a convincing article in Motley Fool.



But GLA.


ALL IMO. DYOR.
QP

[ruethewhirl] 21/5/2017 09:23

There may be a long term decline in place, but there will be plenty of short term ups and downs on the way, and Anglo's doing great short term:



This guy's maths is even more ambitious than what I set out in 8187.

[quepassa] 21/5/2017 08:21

Not weird.
Very pertinent as APF derives royalties from power generating commodities.
Yes metallurgical needed for steel. Correct.

But APF recently invested heavily in thermal coal through the Narrabri acquisition.

Re India. See para 3

hXXp://www.world-nuclear-news.org/NN-Indian-units-to-boost-domestic-nuclear-industry-1805177.html


China. They turned off the last coal-burner supplying electricity to Beijing a few weeks ago. That's telling you something.


The trend of declining coal vs growth in renewables would seem hard to deny by anyone.

Do you want to invest in a growth industry or a declining industry?


ALL IMO. DYOR.
QP

[ruethewhirl] 21/5/2017 07:44

Weird discussion. Coal isn't going away in our lifetimes. India, China and the rest will be burning coal in massive quantities for a long time to come. They need met coal to make steel. Even Elon Musk can't stop that.

[illiswilgig] 19/5/2017 23:16

I don't think Elon Musk suckers too many people - we all do it to ourselves. Whether it's the dividend or the pull of the technology story.

Right about Mars though. He was mad about going to Mars way back when I remember sitting in board meetings with him. Thats 12 years ago now. That's his real vision and everything else is just a step on the way. Interesting times.

cheers

[quepassa] 19/5/2017 22:40

SpectoAcc speaks rubbish.

Look at the gigafactory here.

www.electrek.co

and search the term gigafactory

I guess SpectoAcc hasn't seen a Tesla on the road either or heard about the hundreds of thousands of pre-orders for Tesla Model 3

And if anyone thinks that the need for cheap commercial space flight is fantasy, they are clearly the sort of luddite who thinks that coal is the way forward.

ALL IMO. DYOR.
QP

[ruethewhirl] 19/5/2017 20:16

There's a better than average chance Anglo will increase the div to 8p at interims given the positive news flow. That's nearing a 7% yield. This share will rerate, just wait and see. To stay at a 5% yield (as at present), the share price would have to rise to 160 minimum.

[spectoacc] 19/5/2017 20:08

Tesla - hilariously overpriced, pure "greater fool". SpaceX (Mars colony anyone?) sums up Musk perfectly. But hats off to him for suckering so many.

[quepassa] 19/5/2017 18:23

Thanks LG.

Heavily into Tesla already .

The Tesla story with the build-out of their gigafactory in Nevada (the BIGGEST factory in the world) dedicated uniquely to the mass scale production of lithium recharge batteries is awe-inspiring. - And points the way further to the greening of energy.

The problem with APF is that they say they want to diversify but don't do it in any meaningful way - as they spend nearly all their income/royalties on dividends rather than investment in diversification.

Coal prices have back-tracked again.

But thanks for the link. The Tesla story is fascinating. The Tesla share price was $30 in 2013 and it has more than ten-bagged by adopting and focusing on NEW AGE energy sources. Elon Musk is a visionary and stands every chance of turning Tesla into the global dominant player of lithium recharge batteries, battery powered cars and innovative solar panels/tiles. That's apart from his amazing space flight venture, SpaceX.

Tesla's "invisible" solar panels which look like regular roofing tiles are amazing and so much better than unsightly solar panels. Won't be long before a greater percentage of households generate meaningful amounts of their own energy and this will further depress the future demand for coal energy.

I am sorry but investing in coal is yesterday's game that is why APF must change,evolve, move on and diversify if it wishes to prosper in my opinion.

It is fascinating to compare the share price of Tesla since 2013 with that of APF over the same time frame. This is telling you something vitally important about coal vs. New Age power sources.

ALL IMO. DYOR.
QP

[lord gnome] 19/5/2017 17:53

You're not wrong there QP. But until that happens, APF will continue to deliver increasing dividends whilst it diversifies it's royalty streams away from coal. I am looking to buy back in at an advantageous level, I won't live long enough to worry about the end of fossil fuels.

If you are in to green energy, take a look at this. It might not be the immediate future, but it is certainly pointing the way.

hxxps://techcrunch.com/2017/03/24/teslas-solar-roof-tiles-will-be-available-to-order-starting-in-april/?sr_share=twitter

[quepassa] 19/5/2017 12:17

Why APF is , in my opinion, going nowhere fast.

Read today's edition of the FT from page 10,"The FT BIG READ. ENERGY"

Two page feature titled:

"The FT BIG READ. ENERGY"

"THE BIG GREEN BANG - After years of hype and false starts, the shift to cleaner power is beginning to send a wave of disruption across entire industries. Even leaders in the oil and gas sector have been forced to confront an existential question:will the 21st century be the last one for fossil fuels?"

A truly fascinating feature written by Pilita Clark.



The death knell for coal rings ever louder.

ALL IMO. DYOR.
QP

[rrr] 13/5/2017 14:42

Thanks from me too SB, a very positive take.