Bushveld Minerals Share Discussion Threads

[nickderby] 01/8/2018 16:06

Vametco only produces FeV and Nitrovan.
It's all high price vanadium at a current selling price of between $80,000 and $90,000 per tonne.

Nitrovan is a premium FeV product. It sells at FeV price plus 5% minimum.

Good times!:)

[aussieb3] 01/8/2018 16:03

if u all read above on the link above they only produced 630 fe v . everyone predicting there going produce 3750 at the highest price when they might get the lowest price of 20 per pound instead of 80 per pound, for some of that 3750 . that all I am saying that so revenue hard to say.

[aussieb3] 01/8/2018 15:59

convert as much as they can to FE V for higher price but how much is the question

[aussieb3] 01/8/2018 15:57

I think the company is a good one for a 3 year period but the revenue are hard to predict and the mcap is fair high . as it's hard to say how much the company will generate the info they have released doesn't really specify how much high quailty vandium they will produce . I know they plan to ?

[jc2706] 01/8/2018 15:25

aussieb3,

You need to consider when they bought Vametco, when they increased their share, their year end, the Vanadium price movement over the time period, their current production rate, their costs, the exchange movements, etc.

nickderby is correct - Nitrovan commands a premium to FeV rather than a discount.

Nobody is predicting $225m profit for BMN this year (I did indicate current prices and production rates). BMN own 59.1% of the producing asset and the current rate of production has only recently been achieved. In addition the FeV price averaged the low $60s in the first half despite the fact that it is now $80+. H1 will be good and fully justify the current price. H2 is shaping up to be phenomenal.

[nickderby] 01/8/2018 15:24

Aussie, the 2017 accounts were expected to show a loss.

BMN didn't acquire Vametco until April 2017 and then we only owned around 26%.
As ownership was under 50%, Vametco could not be classed as a subsidiary company and so couldn't be consolidated into the group accounts (revenues/costs etc).

Vametco was accounted for under the 'equity method of accounting'.

Late December 2017, BMN acquired the controlling interest in Vametco and so the Vametco figures can now be consolidated from that point onwards.
The H1 accounts will therefore be transformational.

Bear in mind that FeV prices are now above $80,000 per tonne.
Production cost guidance is around $16,000 per tonne.
Production guidance for 2018 is 3,680 tonnes pa, increasing to 5,000 tonnes pa by the end of next year.

Even the CEO stated that at FeV prices of $60,000 per tonne, current production costs and 2018 production guidance, Vametco was 'a mine that is capable of generating US $150m in Ebitda'.

Investors need to look beyond the historical figures and see what is actually happening now.

DYOR.

[nickderby] 01/8/2018 15:00

Aussie, sorry but that is incorrect.

The 630 mtv is at the FeV price and the 3,050 tonnes is at the FeV price plus 5%!
Nitrovan is a premium product.

All at huge margins.

[aussieb3] 01/8/2018 14:23

if u read further down bmn are only producing 630 tons at the high vandium price so the other 3100 is at the lower price so revenues wont be as high as everyone thinks . this off the bushveld website . http://www.bushveldminerals.com/bushveld-vametco/Vametco is fed ore from the co-located Vametco mine.The Vametco mine is an open pit mine along a 3.5km strike running west to east and dipping at between 14° and 20° in a northerly direction. The mineral resource is estimated to be 142Mt (JORC) with average grades of 1.96% V2O5 in magnetite. This includes ore reserves of 26Mt (JORC) which have been shown to have some of the highest in-magnetite vanadium pentoxide (V2O5) grades in the world, averaging 1.96% V2O5 in magnetite. Vanadium production of approximately 3,680 mtV consisting of 3,050 mtV Nitrovan® and 630 mtV Ferrovanadium (FeV) (converting modified vanadium oxide (MVO) to FeV) is expected in the 2018 calendar year. Nitrovan® Vametco's trademark vanadium nitride product, is sold globally to steel mills where it is used as a micro-alloying additive to strengthen steel.

[aussieb3] 01/8/2018 13:42

just been watching a video CEO says production was 2800 increasing to 5000 .

[aussieb3] 01/8/2018 13:20

The figures seem very good if they true what u are stating , the margins 60,000 per ton are very high, but reading through everything, the financial statement it's not 100 percent clear. Production figure state they only produced 35 percent more in q 1 2018 then q 4 of 2017 , price have increased for vanadium since then. Just can't see how there going to make 225, million when last year they made a loss, 3500 x 60,000 is 225 million , to me margins are very high . Where did u get this figure from and do u have last year total production for vanadium , can't find it

[jc2706] 01/8/2018 12:39

As a hint, they are currently producing at a rate of 3750mtv per annum. The current margin is around $60-65k per tonne. They own 59.1% of the asset that produces this. They have a high grade asset next door and a bigger one on the northern limb of the Bushveld. They are targeting a production rate of 5000mtv by the end of 2019 and 10000mtv in the longer term. They could keep this production level up for decades.

Vanadium is in a net deficit with demand anticipated to outstrip supply for the medium term on the back of Chinese rebar regulation changes kicking in this November and VRFB adoption.

[jc2706] 01/8/2018 12:33

You are not missing something. You are missing everything. I suggest that you dig a little deeper than looking at last year's accounts!

[aussieb3] 01/8/2018 12:11

I'm hearing from a lot of people this should be worth 35 p or more . am I missing something the company has Mcap worth 230 million . it made a loss last year . I've seen company worth 23 million making a profit at least 1 million a year.it's going be a while before bmn make any real profit in relation to the size of the company mcap way over priced at min, maybe 2 years down track worth this much not now

[kevkan] 31/7/2018 11:09

Cracking presentation
hxxps://www.africaoutlookmag.com/outlook-features/bushveld-minerals

[dmitribollokov] 31/7/2018 10:01

Really should be re-rating to 35p in fairrly short order...

[coldspring] 31/7/2018 09:47

Nice steady blue day again. If only my other shares were this good.

[croasdalelfc] 30/7/2018 16:30

A great close, high volume on an all time high and pushing full ask

[dmitribollokov] 30/7/2018 15:48

Can genuinely see it nearing £1 here in not too long; one of the few companies on AIM with genuinely exciting story and solid management.

[luffness] 30/7/2018 14:54

from April so maybe 2+2 together wrongly but...

"During [the quarter], we progressed and remained on track with our two immediate priorities – preparing for the construction of our electrolyte plant in South Africa and the delivery of our first energy storage system to State-owned power utlility Eskom,” Bushveld Minerals CEO Fortune Mojapelo said in a statement issued on Wednesday."

[abbotslynn] 30/7/2018 14:31

Welcome Brucie

[brucie5] 30/7/2018 13:54

Come to join you with a modest punt. But this looks interesting, especially as I'm involved in RED, and this is a significant miner of vanadium. Any guesses as to whose technology is going to be used for this 'battery' project? It would seem odd if they go with lithium batteries, when what they do is vanadium. But do we know?

[ileeman] 30/7/2018 09:50

Cup and handle pattern, all time high breakout coming.

35p-40p+ target.


free stock charts from uk.advfn.com

[abbotslynn] 30/7/2018 09:11

Van on the rise too :))

[croasdalelfc] 30/7/2018 08:20

https://www.esi-africa.com/eskom-ditches-csp-project-for-battery-storage-development/Transformational!