Bradda Head Lithium Share Discussion Threads

[apfindley] 03/8/2021 14:19

Being heavily pumped by the usual people.Beware of weakness as those people sell to manipulate the price.

[andyview] 03/8/2021 13:48

Yep thread is full of them ;-))

[andyview] 03/8/2021 13:40

Looking really strong today and would be great to see this back up to test its recent highs. Remember:

Successfully raised GBP6.2 million by way of an oversubscribed placing of 112,727,273 ordinary shares with institutional and other investors at a price of 5.5 pence per Ordinary Share.

gla

[andyview] 03/8/2021 09:11

Thanks Assagai, I think I got it all.

[andyview] 03/8/2021 09:09

When London's newest lithium company listed on 19th July its shares were much in demand, as those who were unable to get in on the initial raise scrambled for a piece of the action in early trading.

Three factors underpin this high interest level.

The first is the people. Chief executive Charlie FitzRoy was a significant figure inside China Molybdenum, and recently participated in deals worth around $1.1billion.

Chairman Ian Stalker is a well-known industry figure who has had several significant mining successes in the past, some of them in conjunction with fellow non-exec and Sunday Times Rich List alum Jim Mellon.

It's a formidable combination, capable in itself of bringing in significant funding if required, and capable in turn of attracting other investors.

Prior to listing, indeed, the company set out to raise £4million but after at least £9million was offered, ended up taking in £6.2million.

The second reason for the high level of interest is the market backdrop against which Bradda Head has listed.

Overall lithium demand is set to grow exponentially in the coming years, as the world's vehicle fleets increasingly transition towards electricity and batteries constructed to a large degree around lithium.

And the third, and perhaps most fundamental reason is the quality of the company's suite of assets.

These are spread across two US states, Nevada and Arizona, and come in three types: sedimentary, pegmatite and brines.

All are proximate to relevant infrastructure such as road, rail and electricity, and all look highly prospective.

What's more, work is already underway on the ground. Senior management from Bradda Head based out in the US have already initiated a drill programme at the company's Burro Creek East project in Arizona.


This programme will twin five reverse circulation holes that were sunk in 2018, as well as drilling five new holes to test for potential extensions to the existing 42.6million tonne resource.

That in turn means that newsflow is likely to be coming in thick and fast from the get-go, another factor that always plays well with potential investors.

Indeed, now at 6.6p, the company has barely been listed for two weeks and already it's updated on one project and announced an increase to its landholding in Arizona. For good measure, there was also a company newsletter released on 30 July.

Burro Creek East was the focus of the first update, since drilling is already underway here.

This project already has plenty going for it, and it's perhaps not surprising that this will be the company's initial focus.

As it stands, the rings in at 818 parts per million lithium to give a total of 185,000 tonnes of lithium carbonate equivalent, with an additional 1.4million tonnes of potassium.

But the key point is that there's also additional exploration potential for extensions that could add anything between a further 50,000 and 300,000 tonnes of lithium carbonate equivalent.

Across the wider sedimentary portfolio, the upside is even greater.

There's the Burro Creek East Extension project and Burro Creek West, which is currently the subject of permitting, as well as Wikieup, a project adjacent to discoveries on claims held by Hawkstone Mining.

'On the clays, we've only drilled about 4 per cent of the surface area,' says chief executive Charlie FitzRoy, and it's clear he's hoping for significant gains to the portfolio in the months and years ahead, particularly from Wikieup, where a 30 hole programme will get underway in due course.

Drilling is also lined up for the Wilsons Flats brine project, but it's the pegmatites at San Domingo in Arizona, which really look like whetting investors' appetites.

San Domingo looks to have certain similarities to well-known Australian deposits and is, says FitzRoy, 'very exciting.' It's here, he reckons, that the company offers its biggest upside.

'The area at San Domingo is nine kilometres long,' he says. 'If we find a pegmatite at depth it could be huge.'

All told, Bradda Head is covering an awful lot of bases here.

It's not often you see three types of lithium deposit inside the same company, but it's certainly one way of offsetting exploration and execution risk.

More to the point, taken together it amounts to a sizeable portfolio, and could end up making a serious contribution to domestic lithium production inside the USA.

As it stands, there's only one operating lithium mine in the whole of the USA, Albemarle's Silver Peak mine.

Silver Peak produces around 5,000 tonnes of lithium carbonate equivalent per year, which is all very well – until you consider that some estimates reckon that the requirement for domestically produced lithium in the US could rise to as high as 210,000 tonnes by as soon as 2025.

Certain hypotheticals are involved here, of course, but the overall economic environment is pretty clear.

Demand for lithium is almost certain to increase, while policy and prudence will dictate that the US increasingly look to within its own borders rather than to China for security of supply.

That's where Bradda Head comes in, with its upside apparent from many angles.

Hardly surprising, then, that so many investors have been keen to get in on the act.

[assagai] 03/8/2021 09:01

Tipped in "This is Money" yesterday evening.
Very good write up

[andyview] 03/8/2021 08:21

Looking sprightly this morning, lots of buys coming in

Gla

[abbynat] 02/8/2021 15:54

hey bigtoes whatever you call yourself! 15-20p is achievable and beyond. the lithium story is real, you better believe it! just have to be patient, obviously something thats not in your remit!

[andyview] 30/7/2021 10:41

I've added a few more here today and yesterday, cant deny the lithium story in the near future..

gla

[12toes] 30/7/2021 08:24

The shares can?t even hit 7p and some idiot is predicting 15-20p

[knigel] 29/7/2021 07:48

Another positive RNS - I have a feeling this company will provide regular updates high you don’t always get with some mining companies GLA

[assagai] 28/7/2021 17:45

Err actually it's called "investing".
I tend not to watch my investments minute by minute.

[12toes] 28/7/2021 16:54

The shares can't even hit 7p and some idiot is predicting 15-20p Absolute bellend

[12toes] 28/7/2021 16:51

*Shove it in the drawer* are the words of a sore loser

[assagai] 28/7/2021 10:06

Been building 100k a day. Friday last one then shove it in a drawer for a year or so.

[12toes] 26/7/2021 21:07

Might be tempted for a punt at 2p but no higher

[andyview] 26/7/2021 10:52

Might not get as low as 6p, just in case I've taken a few now with more available should we see anything lower ...

gla

[knigel] 26/7/2021 10:41

Seems like the short term pumpers have sold out with their 25% profits. Fair enough but 6p s/b the floor here

[andyview] 26/7/2021 09:27

Time to start adding a few more is fast approaching....

gla

[abbynat] 23/7/2021 21:04

nothing to see here. ok i'll move on.

[dubai123] 23/7/2021 10:02

Live investor presentation on investor meet company

[apfindley] 23/7/2021 07:26

Arizona, Nevada, utah, form an area which is a graveyard for exploration.Recent uk companies with drilling history in these areas, all with so much promise yet came to nothing.....imc exploration, us oil&gas, great western mining, tertiary minerals....and several others.Just because its 'supposed' to be there, doesn't mean the drill will find it, or even find what was previously 'claimed' to have been found. An open mind is worth having.