Aquarius Platinum Share Discussion Threads

[abryer] 22/4/2014 09:35

I'm with NatWest, I have not received a corporate action note yet.

[hectorp] 22/4/2014 09:34

pm's ist quarter rally which was powerfiul from Christmas onwards has stalled but fundimentals and also PAL and PLAT demand are going places. Russia is probably out of stockpile of Pal and the number of autos in the world continues to grow. The FED seem to knock PAl down along with gold ( witness last week's kicking.

[robseaton] 22/4/2014 09:19

I wanted to purchase new shares but I got a message from Selftrade on 16th April saying"

"You are not required to take any action at this time. If you wish to subscribe for any new shares then please notify us only when you have received a further message from us inviting you to do so"

I've heard nothing from them since.

Does this mean I have lost the chance to buy more shares at the cheap price now?

[buywell2] 22/4/2014 09:15

it will run out quicker than many think due to the myriad of problems now in SA



it pays to do a bit of research methinks




Hectorp
10 Apr'14 - 18:42 - 6052 of 6079 0 0


Still doing business in hell. Probably a good short.
But, PLAT and PAL could be in for a rally this year.












22 APR 2014 - 7:56AM
Platinum and palladium fall

Platinum and palladium fall on the New York Mercantile Exchange after moves to end the South Africa workers strike.
Source AAP UPDATED 10 HOURS AGO

Platinum and palladium prices have posted the steepest losses in months after companies that mine the metals took a step toward ending a worker strike in South Africa.

Platinum for July delivery, the most active contract, on Monday fell two per cent, the biggest one-day percentage loss since the strike began on January 23. The contract ended down $US28 at $US1,400.70 a troy ounce on the New York Mercantile Exchange, the lowest price in nearly a month.

Palladium for June delivery fell 3.6 per cent, its steepest drop since June 26, and settled at a one-week low of $US777.80 an ounce.

Monday was the first day traders could react to the decision by the three biggest platinum producers in South Africa to offer larger pay increases with the aim of ending the 12-week strike. Anglo American Platinum, Impala Platinum Holdings and Lonmin PLC made the announcement Friday, when the metals markets in London and New York were closed.

"The price fall reflects thoughts of supply coming back on line," said Adam Klopfenstein, a senior market strategist with Archer Financial Services, Inc, a futures brokerage in Chicago.

But those supplies will take time to reach the market, Klopfenstein said. It can take weeks or even months for a platinum mine to ramp up to full production after a long break.

"Anyone who thinks supply is going to come on strong again is making a mistake. Platinum is overshooting the news," he said.

About 80,000 workers are on strike in South Africa, which accounts for about 80 per cent of the world's platinum supply and roughly a third of the world's palladium, because the two metals are often found and mined together. While the affected mines have been able to produce the metals by processing ore that was mined before the strike, the ore stockpiles are running low. Friday's offer marked a sign of progress in the negotiations to end the strike.

The market's reaction assumes the union will accept the deal, said Bart Melek, senior commodities strategist with TD Securities in Toronto. It also fails to account for the impact of the protracted production halt on expected mine supply, he said.

Before the strike, demand for platinum and palladium was already expected to exceed the metal produced by mines and by recycling. Platinum and palladium are mainly used in car-exhaust filters, and demand for the metals has been buoyed by a rebound in global auto sales, Melek said.

The strike has reduced production, and now the shortages will be more pronounced. Melek forecasts platinum supply to lag behind demand by one million troy ounces this year, while palladium supply will fall short by 1.6 million troy ounces.

Union leaders are due to resume talks with mining company representatives on Tuesday. The head of the Association of Mineworkers and Construction Union, Jeffrey Mphahlele, told The Wall Street Journal that the latest offer falls short of the original demand for a basic monthly wage of 12,000 South African rand ($A1,225.55).

"It's not an improved offer," Mphahlele said. "It's like a rubber band. You can stretch it, but when you let go, it returns to the same shape," he said.

Some investors expect the rally in platinum and palladium to resume. The price of palladium is up 8.3 per cent this year and platinum has gained 2.1 per cent.

"Over time, the market will respond to the supply and demand dynamics that have shifted as a result of these strikes," said Steven Allen, managing member with the $30 million Greenbriar Partners LP, a hedge fund active in commodities in Chicago.

Allen said he has been buying an industrial form of platinum, known as sponge, from trading houses as he anticipates a shortage of the metal will drive up platinum prices.

"When there's actually a shortage of material, there's going to be a premium placed on the sponge, because that's what the commercial end-users want," Allen said.

Sponge is platinum in the form of grains of metal that look like dust. This can easily be applied to car-exhaust filters during the manufacturing process.

For palladium, the metal has received an added boost from the conflict in Ukraine. Traders are concerned that the US and Europe will impose sanctions against Russia that will affect palladium supplies. Russia accounts for 42 per cent of global palladium production.

"Even the perceived threat of having 50,000 Russian troops on the Ukrainian border is enough to keep the palladium price elevated," said Claudio Oliveira, head of trading with hedge fund Castlestone Management LLC based in Jersey City, New Jersey. The firm manages about $US70 million in assets, including a fund that buys platinum and palladium.

Gold prices also moved lower on Monday, with futures closing at the lowest level in more than two weeks as some investors worried that progress in diplomatic talks between Russia and the West would erode demand for the haven asset.

Gold for June delivery fell $US5.40, or 0.4 per cent, to settle at $US1,288.50 a troy ounce on the Comex division of the Nymex.

[forwood] 22/4/2014 09:13

Mmm - so with a rights issue, they are STILL strapped for cash?

[buywell2] 22/4/2014 09:09

The point is AQP are strapped for cash

And things are NOT getting better in SA

Staple food prices are rising and drought is a problem getting worse still with climate change

Continues strikes look like being the norm

Higher wages will also be the norm

They could double within circa 3 years

OVER 50% of PLAT miners are now operating at a LOSS

[forwood] 22/4/2014 09:04

Fairly simple to work out ex rights price. 2 for 1 at 14p, last price was 40 so add 40+14+14 and divide by 3 - you get 22.66.

[buywell2] 22/4/2014 08:56

buywell2
10 Apr'14 - 16:59 - 6049 of 6075 0 0 edit


SA is in a mess for sure

Strikes look set to continue and weather patterns mean staple food prices look set to soar so more strikes and higher wage claims to go on

China going AWOL not going to help world demand for commodities either

[bad robot] 22/4/2014 08:53

Their holding is increased then avergage at RI issue price.

Basically their new Holding is aggregated at RI price.

[scoble2] 22/4/2014 08:51

I am with TD WATER HOUSE they did not send me any notification for right issues that means I lost the buying opportunity. Please help!!!

[hectorp] 22/4/2014 08:48

What happens to the position of anyone short on a spread bet in the 40's. I am not, just curious.

[bad robot] 22/4/2014 08:47

here comes the spike up

[bad robot] 22/4/2014 08:45

I bought rock bottomed

[bad robot] 22/4/2014 08:45

should go 27p I think

[simon templar qc] 22/4/2014 08:35

bean, the recovery may have been because some gained through the rights, its complex.

If anyone doesn't take up the rights and the price stays above the rights they will get the difference in rights they haven't taken up.

In effect holders who don't take up their rights get some kind of a payout.

[simon templar qc] 22/4/2014 08:33

It is the rights check the announcement on the 15th...

"The Rights Issue is conditional, inter alia, upon:

UK Admission becoming effective by not later than 8.00 a.m. (London time) on 22
April 2014 (or such later time and/or date as the Company and the Managers may
agree);"

I think the discount was something like 60%, not worked yet what the rights were placed at.

[bean02] 22/4/2014 08:32

14p by looks of it and 67% increased shares in issue. Have just scanned it. Odd that it had recovered knowing this

[hiddendepths] 22/4/2014 08:30

It's now quoted ex the 2 for 1 rights issue at 14p. In other words anyone buying a share today can't buy two extra shares for 14p. The shares previously contained what is known as a "bonus element" and now they don't.

It's possible (and simple enough) to calculate a theoretical ex rights price but I don't have the time at present.

I haven't checked to see exactly what happens to those who don't take up their rights here. Usually, the rights shares are placed with underwriters and the proceeds distributed to original shareholders. But there are other possibilities. Worth reading the prospectus if you're a holder because maybe you need to sell your rights in the market if you're not intending to take them up.

[johncraven] 22/4/2014 08:24

what price is the rights issue??

[simon templar qc] 22/4/2014 08:20

Share price has fallen. Been watching for a while I am also confuse. Is it rights issue?

[gekks] 22/4/2014 08:13

So what happens to those who didn't subscribe to the rights issue? Are we suddenly down 43% ?

[bean02] 22/4/2014 08:06

What is going on here?

[abryer] 16/4/2014 08:42

Thanks for taking the trouble to reply Jenty, I found it was a great help, appreciated.

It does leave me wondering if someone does not have the cash to purchase all their qualified shares why don't they sell before the record date and buy back in the morning at the diluted price. I cannot work out the benefit of Tail Swallowing where you sell your NPD's on the open market instead of selling before the record date.

In my case I have 116,000 shares in a ISA, so I would need (116,000 x 2) x 14p which is 32k, the yearly subscription into ISA is 11k so I don't know how I could possible fund the new shares. So it seems I either sell today and buy back tomorrow at diluted price or tail swallow.

[robseaton] 16/4/2014 02:14

I've never taken part in a rights issue before but I've done the reading - what are other long term holders here planning?