Berkeley Energia Share Discussion Threads

[tromso1] 01/11/2016 15:44

Price starting to strengthen again.

[tromso1] 01/11/2016 14:44

Proactive Investors - Berkeley Energia can triple in value says broker

[kreature] 01/11/2016 13:18

I just saw the video. I feel sick. When is the placing ? Don't they need 90m to build the mine ?

[herlat1] 01/11/2016 09:45

Deeply discounted long-term cash flowBerkeley'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.

[bcomms] 31/10/2016 11:19

Berkeley Energia (BKY) MD Paul Atherley gives viewers an update on the Salamanca project.

In the latest video update from Berkeley Energia (BKY) Paul Atherley lays out the investment case for the Salamanca project.

The US$100m Salamanca project will be Europe’s only major uranium mine and will supply 10% of the continent’s needs.

The low operating and capital cost nature of this project means it has attracted the attention of a number of potential strategic partners and financiers, several of whom are currently undertaking legal, technical and financial due diligence.

The mine will rejuvenate a community suffering from lack of investment and badly hit by long term unemployment. Over 700 construction jobs will be created next year alone, with an expected 450 direct jobs and nearly 2000 indirect jobs being created over the life of the project.

To watch the full video please go via this link:
hxxp://berkeleyenergia.com/latest-video/

[wiseacre] 31/10/2016 10:38

The latest from Paul Atherley. I have the idea we'll have another off-take agreement in the near future. What may be holding the share price back is the fear of a placing to fund the project but such is the appetite for this project I don't think that will be necessary.

My betting is the share price will be over 60p by Christmas. While PIs, particularly in Australia, have been selling institutions are continuing to add to their holdings.

[snickerdog] 30/10/2016 17:05

New Tweet with link to Video Update from Berkeley MD Paul Atherley:



1st concrete pour for mine infrastructure underway, looks like we should expect regular updates upon progress as they get the mine further towards construction.

[herlat1] 30/10/2016 12:32

Gosh that's a bit harsh Lango!

[langostino] 30/10/2016 12:16

Selecting one of Spain's leading infrastructure companies to upgrade and redirect power lines (Ibderola) has always been a bit of a red herring. It is the company that owns the grid and no one else could have done the job. It is disingenuous claims such as this that flash up red lights on this project, but at least they have politics on their side for a while. Remains a good investment while momentum is behind it, but needs careful watching. Lots of tying up to be done before uranium is (possibly) produced.

[herlat1] 30/10/2016 11:48

Donk From recently published Annual Report: Commencement of development at Salamanca mineInitial infrastructure work has commenced at the Salamanca mine signalling the Company's move into the development phase.The Company has selected some of Spain's largest infrastructure contractors to initiate works, which include the upgrading of the main electrical power line to service the project and a four kilometre realignment of an existing road, following which mining is expected to start at the Retortillo pit.With all major approvals in place and with the continued strong support and backing of the local authorities, the award of these contracts has enabled the Company to progress with equipment ordering, contractual permitting and with work on the ground, which commenced recently.

[herlat1] 30/10/2016 11:42

Donk It has been in all BKY's presentations and many of its rns's.

[donk4] 30/10/2016 08:25

Then it is a little odd that I can find no evidence that the ceo has not stated so and the RNSs only refer to initial infrastructure works. Perhaps it might be wise to check the point; ask the ceo?

I have never shorted a stock in my life but I am looking for an opening into BKY.

[herlat1] 30/10/2016 00:17

My understanding is that they have all the major approvals for the mine to be brought into production.By the way -are you still short this stock?

[donk4] 29/10/2016 21:18

herlat1 thank you but have the permits been granted locally and at National level for the actual mine to be built so that production can follow?

[herlat1] 29/10/2016 19:53

FULL STORY: Mariano Rajoy Wins Confidence Vote In Parliament To Be Reappointed Prime Minister Of Spain.

[herlat1] 29/10/2016 19:52

Donk they lapsed - there was never any case to be heard.

[donk4] 29/10/2016 18:28

Piedro - what is the position with regard to the court proceedings and the grant of the local and national permits to build the mine (not just the initial works)?

[herlat1] 29/10/2016 17:50

"..the City of Retortillo declared a couple of members from the Stop Uranium Platform as personas non gratas, due to their activities against the mine."

[herlat1] 29/10/2016 17:49

The word is that the counter demonstration by the villagers who have declared the Stop Uranino interlopers as "Persona non grata" will be out there to tell the tax payer funded students to go home to mummy and daddy. Spaniards want jobs.

[piedro] 29/10/2016 11:30

The word has finally got out ...

Spaniards to protest against Berkeley’s Retortillo-Santidad uranium mine

[ukgeorge] 24/10/2016 13:23

The drop in uranium prices is likely not helping down to just $21/lb

I personally would like to see these pull back to around 30p , then I can add a few more and yes a placing may be tempting at this level.

[herlat1] 24/10/2016 12:00

La Gaceta, Salamanca's main newspaper, heralds Berkeley Energia's (BKY) commitment to the community and environmentLast week La Gaceta, Salamanca's most reputable newspaper, recognised Berkeley Energia's (BKY) continued commitment to the community as development work continues at the Salamanca mine. The piece includes an interview with Francisco Bellon, General Manager of Operations, in which he talks in detail about the project and the overwhelming support for it among those living in the area. He describes how the Salamanca mine will "revitalise the industrial fabric of the region". The development phase at the Salamanca mine is now well underway and the community are already feeling the benefits. The road diversion being carried out has generated new jobs and is creating pedestrianised footpaths, giving citizens safer access to the local spa. The article notes that mining activities at Retortillo alone, just one of the three deposits at the project, will initially create over 200 direct jobs, 1,000 indirect jobs and will involve an investment of close to €500 million in the area. The project is heralded for the substantial national and local tax revenue it will generate for public administration, estimated at €2.3 million a year. The piece goes on to highlight that Berkeley's commitment to the rejuvenation of the area goes beyond those working in the mining industry, Berkeley is praised for its "high level of respect for public health and the environment". The Company has committed to planting 30,000 oaks in the area as part of its promise to return the land to its original state following its activities. Not only is this a six-fold increase in the number of trees currently in the area but it will also improve the diversity of the ecosystem and the ecological value of the area. La Gaceta outlines that extensive research by independent bodies such as the Nuclear Safety Council has concluded that a person working on the plant will be exposed to no more radiation than the equivalent of one x ray a year. To read the full article please click here. To read the translated version in English please click here.

[piedro] 24/10/2016 11:54

A translation:

[piedro] 24/10/2016 11:45

Berkeley news ...

La Gaceta, Salamanca’s main newspaper, heralds Berkeley Energia’s (BKY) commitment to the community and environment