Chromex Share Discussion Threads

[waleriuszwatrobka] 04/8/2009 21:43

...what personally puzzle me the fact that there is plenty of stock to buy @ 16.2p ad this is just above bid price !?!

[seible] 04/8/2009 21:16

I am watching this one - as chrome price rises there are more and more reasons to be in this one. But there is understandable lack of action at the moment as you can multi-bag in established miners. Who would have thought that KAZ or ENRC could rise 5-fold in a space of six months - unbelievable.

So this one will have to wait for its turn, hopefully the company starts realising its huge potential.

[waleriuszwatrobka] 03/8/2009 18:54

...if you like jnr miners, have a look at FML ;-)

[jonny flame] 03/8/2009 15:51

P Bear - have a look at these companies, BAO, WTI, MARL, FND, PPN and WCC. Would like to hear your views as I value your opinion.

[waleriuszwatrobka] 30/7/2009 11:58

...pity that I have no funds available :-(

[p bear] 30/7/2009 11:14

> ...so why share price is so depressed - is this all down to legal issues ?!

No due to being an unknown micro cap AIM Jr miner. The most unloved of the unloved.

At least for now...

16.20 to buy now. Real bargain..

[waleriuszwatrobka] 30/7/2009 09:45

...so why share price is so depressed - is this all down to legal issues ?!

[jonny flame] 30/7/2009 08:27

Good post P Bear.

[p bear] 29/7/2009 09:01

Problems with South Africa, there is something new, but it does have c65% of the world's Cr ore!

Alternative supplies to a country like China would be Kazakhstan (controlled by two companies not sure how much is sold as ore as both companies Mechel and ENRC have own production), Zimbabwe!, Turkey/Finland (high cost) and India. Like Fe ore China does not have domestic resources and seems determined (like steel and Alu) to have domestic production of Chrome to serve internal SS requirment.

Pans out well for a company like CHX, IF - demand stays okay, Chrome prices stay up, costs (shipping, FX) stay down and legal issues are sorted with CHX/Samancor.

Plus there is mountains of FeCr smelting capacity in South Africa than from time to time need extra ore (but can also compete for external sales of Cr ore).

[jonny flame] 28/7/2009 08:31

Nice one P Bear :) I asked Metal Man over on the PPN bb if he would be so kind as to have a look at CHX and give me his thoughts. Below is what he had to say;

"It would be wrong for me to pass an opinion on a company that I know nothing about so I have taken a very brief look. They are a small company by mkt cap with 2 projects and a £2m cash reserve. The chrome/ferrochrome market is struggling at present although they have offtake agreements and are making a profit running at 25% capacity, which is a rare thing. I have no idea what their costs are and have not taken the time to crunch the numbers or, look at their balance sheet".

"There are issues with the Mecklenburg project but, their mkt cap and share price is well supported by the Stellite project. The fact that Tata of India are a client is interesting. It would appear that ferrochrome users in China are also purchasing chrome direct in order to produce their own ferrochrome. If that is so, then this company could be a little gem but, like many small companies, difficult to trade in volume. At current levels it looks cheap and safe, worth tucking away. Only a revival in the chrome price with further offtake agreements to support maximum output and/or a resolution over Mecklenburg with Samancor, would create serious gains in the share price IMHO".

[p bear] 28/7/2009 06:23

It's elephants with long memory not bears (or in this case bulls). No worries.

Cost pressures are an issue here with USD/ZAR rate, but the real cost pressure in South Africa is power cost which just got hiked 33%. This in turn insured a price increase in FeCr to which the Cr ore price is linked to. CHX should benefit from this strongly without too many problems from power increase.

Cr price is on the up with good demand after such a while and the real turning point will be legal case with Samancor.

[jonny flame] 27/7/2009 18:12

Hi P Bear,
Hope your not still upset with me in regards what was said on the LKI bb a few weeks back. Lets move on, what was in the past was in the past, agreed?
Warm regards,
JF

[p bear] 27/7/2009 18:07

Good for you.

[jonny flame] 27/7/2009 15:00

I'm in at 16.65p.

[seible] 25/7/2009 18:45

P Bear, thanks

have you seen any news on whether they started producing the concentrate at end of june, like they said?

thanks

[p bear] 21/7/2009 08:00

> Did anyone do calculations of what their 41 mln tonnes of chrome in Stellite might be worth in terms of share price.

It all depends on the market price of ore you use and cost of production which is not clear.

If you want to make the calculation 1mt of ore ROM sells for about $150 FOB SA today. It would cost you about $20-30 to get there. However value in the ground means nothing if costs prohibit extraction. Costs I have no clue on and would vary based on strip ratio required.

Correct the lawsuit is the big issue now, but the controlling stake in Samancor just changed (could this affect things?).

Price of Chrome will and is rising, but also so are costs in South Africa based on strong Rand and 30+% power hike cost.

Am long and remain positive, bargain at this level and target for takeover if mainholders agree.

[seible] 20/7/2009 21:18

This one looks quite interesting. Did anyone do calculations of what their 41 mln tonnes of chrome in Stellite might be worth in terms of share price. The lawsuit is an issue, but they say in the interims Mecklenburg is totally discounted. I see the price of chrome is rising. Have they started selling the concentrate, they said it would be in end June 2009? There seems to be a considerable potential upside here.

[p bear] 06/7/2009 10:58

I would have thought all the acquisitions on the Bushveld of late would give it a spotlight.

About 75% of shares held my just 9 holder would make a take over difficult, but everyone has their price. Huge increase in ZAR costs are worry, also there have been major changes at Samancor (controlling parties) which might alter court case or push them to try and get the asset back.

Demand in China not looking too bad all things considered, but still as with all commodities pretty shaky ground.

Company not going to go bust and have proved they can make money even in this climate. With permitting for both assets (court case), the company seems a little too cheap.

[chattochris] 05/7/2009 15:56

I know - the lack of interest means I hardly ever bother to check this BB. Great company - great prospects...just needs a little spotlight. Hopefully someone won't try for a cheap takeover....

[p bear] 22/6/2009 11:59

Zero interest here.

Cash in bank
Cash flow
Acquisitions and rumours abound on the Bushveld
Plenty of competitors with cash
Cheap Jr with good resource
Chrome price up almost 30% for Q3

and still zero interest????

[bo doodak] 23/4/2009 14:59

Long dated warrants as well.............