Bluejay Mining Share Discussion Threads

[uggy100] 04/4/2020 10:46

FWIW I think RM has been overpaid for quite some time now. Dundas is so far behind where it was supposed to be. He has proved completely unable to meetany timeframe over the years. Disgracefil really.

[rampair] 03/4/2020 12:11

Morning, not posted much - but still holding shares despite the appalling fall in the currently traded price. Obviously most explorers Worldwide are unloved.Excellent posts recently -thanks to you.

Clearly, we have had the added problems of the much awaited off take and the speed at which things progress. The C19 virus will, no doubt be affecting us. Yet another slowdown.

Speaking of money, I must second Snowyflakes post7512 (and LWHL’s too !)
it is time that we heard that
the senior management looked at their rewards from this company, a full salary and consulting fees will not go down well when we have put up with missed deadlines - I would love to know the reason why we have not processed our ilmenite in Canada, as it looks to be very slow work.

Still though we remain in an enviable position when it comes to more normal
Times, our projects are still excellent.

Stay healthy,
R.

[lovewinshatelosses] 03/4/2020 08:16

Well, Snowy and others, if RM and the rest are going to make satisfactory (sizeable) reductions to their own packages, I suspect it will only happen if a lot of pressure is brought to bear by the key shareholders. I am not hopeful, as I think specifics on this front would have already been forthcoming, but maybe it will be worth the wait :) FWIW, I am anticipating a derisory cut being made, in a fluff-filled RNS, at one point or another. As always, would love to be proved wrong but we shall see.

[bigboyblue] 03/4/2020 07:53

Indeed Snowy, I expected an RNS this morning.....

Two further points worth noting:
In the unlikely event that we are able to do any exploration work later this year, the costs we incur will count toward our obligations for next year (or for 2019 if we didn't spend enough then).

Secondly, if the Government confirm the other issues under consideration:
There are presumably administrative costs that we have already incurred this year in respect of the exploitation application and there may be further such costs later in the year. We shall no longer be liable to pay these.

[snowyflake] 03/4/2020 07:43

Thank you BBB for that information.

You have done what should have been the job of the board in making that disclosure; for the recent RNS disclosed that matters were under consideration.

It is now a matter for management, and especially the ceo, to make sacrifices.

The best interests of the company and its overall stakeholders are fundamental.

[bigboyblue] 02/4/2020 23:08

At least this is good news:
This seems to be implicit recognition that exploration is unlikely to be possible this year, but at least we get to keep the money we would have spent. As PC and Snowy have said, let's hope the Board don't decide that means they can afford to pay themselves megabucks.

[snowyflake] 02/4/2020 18:53

Perfect Choice - I refer to your post 7507 and in particular management costs.

The management of various companies, both listed and private, have made it known that in order to preserve their business and to care for their workforce, they have or will cut their wages.

That aspect was strikingly absent from the contents of the recent RNS. Those who are invested or have been invested are very aware of a history since 2017 of over promise and under delivery on the part of Rod McIllree. I need not particularise various examples. They are well known to those who follow Bluejay.

With that backdrop in mind there is no justification for the salaries and consultancy fees of management, last reported in the 2018 accounts and I estimate were repeated in the 2019 half way report when administration costs if anything exceeded those in the 2018 full year's accounts on a year to year basis.

It would be very wrong if reductions are not made in the best interests of the company and its stakeholders.

[lovewinshatelosses] 31/3/2020 08:29

Agree - perfectly put PC. Crucial how they manage, and are seen to manage, costs until we can get the show back on the road. What crazy times these are! GLA.

[dhb368] 30/3/2020 21:41

Nice summary PC. Not sure who downvoted it!

[perfect choice] 30/3/2020 21:11

Fact is with the lockdown due to the coronavirus pandemic, JAY has very little room to progress anything. It is not at all surprising there are no declared timescales now and a full financial and strategic review is now required, as basically they will have a year lost now with little or no activity. The situation is too uncertain right now to say anything of significance.

On Dundas, as I read it even if the public 8 week public consultantation is started, doesn't that require public F2F meetings so they are not going to happen until the "restrictions on public gatherings" are removed to quote the last RNS. So effectively Dundas is stopped until public gatherings are permitted again. At best that means that could happen later this year with exploitation licence by end of this year as a reasonable guess, but real construction work could not be until spring 2021 now.

On Disko and Kangerluarsuk, they were about to sign up a contractor for the summer drilling programme of both targets to prove the attractiveness of both prospects to bring in a partner for further drilling and development. Well no chance at all now for any drilling to commence, unless some small chance of relaxation of movements to allow some initial drilling of some targets in the summer but personally I really doubt it and the 2020 drilling programme will now be in 2021.

Likewise with the pilot plant for Dundas, whatever stage that reached, it's stopped dead now and no progress for the near term for sure. If you look at slide 19 of the Q1 2020 presentation from JAYs web site, you will see there is a 'tick" at "Product at Bluejay Pilot Processing Plant – awaiting separation of heavy mineral concentrate" but not at the next stage of "5000t of heavy mineral concentrate delivered to Rio Tinto Iron & Titanium". So it looks like as of the start of March, delivery had not yet been made to RTIT, probably due to JAY waiting for RTIT to say when they wanted it for their test smelter, be it all that stopped now.

So that brings me onto cost management. Now this is where I do expect RM to be diligent as he has always been on the cautious side which is especially the requirement now. So expecting a full care and maintenance cost lock down and Director remuneration cut back, be it nowhere near as high as other AIM stock Director packages. 2018 full year accounts state £278K for total Director remuneration, plus £900K other staff and total expenses of £1.8M (see notes 18,19,24 of annual report). Now that was back in 2018 but I would guess they will run JAY at £1.5Mpa max and maybe even less for now to get things back on track in 2021, hopefully by then with the Dundas exploitation licence in place.

So that is my take of the current situation and the strategic/financial review will clearly conform their intentions. Its lock down for now until 2021, a lost year with just maybe the exploitation licence finally gained if they can arrange public meetings again.

Also I note the latest presentation had barely any indication for forecasts so the history of putting out forecasts, which in reality they didn't actually control and were over ambitious anyway, has been replaced by no forecast at all and just progress to date statements now. So you could say RM has learned his lesson on that! Bit of a shame really since across 2019 with the work done on Dundas they were actually more consistent on timescales, no doubt in my view because they could control that!

So onto 2021, at a price near 4p JAY almost seems one of those great exploration punts now with some great "potential" finds pending drilling results. Only difference though is Dundas and if they did get the exploitation licence that would look very different to the typical explorer prospect. Here's hoping for 2021 then!

[bigboyblue] 30/3/2020 17:34

dhb: I too think he was talking about another licence, but that wouldn't really count as good news in the current circumstances.
The pilot plant has been 'successfully commissioned and operated'. I should hope so too, 6 months after the material was delivered! I wonder how much of the 40,000 tons has been processed.
SF: yes.

[summerfield1] 30/3/2020 16:35

The fact is that the investor relations/newsflow from
Bluejay has been abject throughout.

[summerfield1] 30/3/2020 16:35

The fact is that the investor relations/newsflow from
Bluejay has been abject throughout.

[dhb368] 30/3/2020 16:18

The really disappointing thing here is that CV19 has knocked almost everyone of JAYs balls into 2021.

The only likely 2020 news now is something positive re Dundas exploitation licence and 'maybe' something from RTIT 'if' they had some results pre closure, and I am not convinced that the Disko licence extension was what RM was talking about when he mention 5 prospects, so maybe something new?

[bigboyblue] 30/3/2020 15:25

I felt the RNS yesterday was rather scant on detail. Do they mean they are doing a financial and strategic review or are they claiming to have done it? Perhaps it was intended as a 'holding' update, pending more complete details.
At this time of year I guess most of the work would normally be logistical planning for the coming field season, but it looks like that won't happen now. Like you, I would hope they will be looking to save money, including on their own pay. The objective, I would suggest, should be to have sufficient left to see us through the 2021 field season.
Edit: A few weeks back I calculated the annual cost of our licences (fees and spending commitments) as just over £3m. That money should be saved if the Govt decide to play ball. It would be a bit perverse if they expected us to spend money on exploration when no-one is allowed into the country to do it.

[lovewinshatelosses] 30/3/2020 13:49

Do we know if they have enough work to be getting on with for now, to not need to look at headcount and other potential cost savings during this time? Will they be making use of the government initiatives (as a UK listed business, assuming this would be available to them)?
So many companies, and their directors, are currently taking temporary pay cuts to help shore up balance sheets. It would be nice to know if the JAY management have any such plans themselves.

[davroc] 27/3/2020 16:01

dhb June 2021

[dhb368] 27/3/2020 15:25

Looks like put these to bed and come back in June.

[mirandaj] 27/3/2020 14:47

The Mineral Resources Authority did update on 19th March:

[bigboyblue] 27/3/2020 14:08

All to be expected I suppose. If the Government do suspend obligations and fees that will at least preserve most of the cash, apart from payroll, directors' remuneration etc. But I'm still puzzled why we've heard no more about progress toward the permit. The Minerals Authority is still working and updating the licensing portal. I can see that they might delay consultation because this might involve public meetings, but we still haven't been told that our documentation has been accepted in all 3 languages. Surely this should have happened by now?

[lovewinshatelosses] 25/3/2020 17:49

Probably a smart move Albany; I am stubbornly staying put, but cannot fault anything you have cited. Agree too about the blue chips, although I am personally drip-feeding there, as I suspect more savage swings are ahead of the markets. Good luck to you, as well as fellow (foolish?) JAY holders.

[dhb368] 24/3/2020 23:11

Good luck to you AlbanyLad.

As you say plenty of great blue chip stocks going for a song now and some real money to be made over a 2-3 year period.

[albanylad] 24/3/2020 20:53

Well managed to sell my holding over the last couple of days with a loss of approx 60% for me that's a loss of just under £10k small fry to some of you but a lot to me, but I will sleep better knowing I won't lose any more. I'm afraid this share is going nowhere in the next year with a lot of really bad news to come both here and over the pond even announcing the licence now won't have much impact, nothing will happen till next year at earliest plus I'm not purchasing anymore share from AIM there will be some very attractive blue-chip companies going very cheap when this all starts to turn around I've already wasted 3 years on this share, so I'm not bitter just disappointed but wish all you others in for the long haul the best of luck, I will check back from time to time to see if there's any progress been too long to just turn my back though that's probably the wise thing to do.
Good luck all and stay safe.
Albanylad

[snowyflake] 24/3/2020 17:54

Agreed Rampair cash preservation is essential.

[rampair] 24/3/2020 08:26

Well, the action taken by RIO to idle furnaces is going to impact any test run of our material. It would be useful to know what is going on regarding any test so that shareholders know what is happening with our company. I agree with
other holders that we are not exactly
overwhelmed by information at this crucial time - therefore we could possibly conclude that all that is happening is waiting for a licence and that other work is on hold?
Hard work being a shareholder sometimes.
Cash preservation is number 1 priority if this is the case.