Ecora Resources Share Discussion Threads

[the deacon] 02/7/2024 08:55

Well, it's good enough for Techmet and the US Gov QP. Besides, ECOR holds a small royalty as part of a much larger portfolio. We carry no operator risk here.

[quepassa] 02/7/2024 08:49

Share price has now dipped into the 60's and likely to fall further.

Many investors do not like the perceived heightened geo-political risk associated with RoSA since the weakened position of hitherto long-time dominant ANC after recent elections.

ALL IMO. DYOR.
QP

[the deacon] 01/7/2024 23:42

I note Los Andes are now guiding 2030 rather than 2029 as a potential start of commercial production at Vizcachitas. That would mean ECOR's royalty would step up due to a delay in production commencing post 31/06/30

[sword77] 01/7/2024 16:10

And not forget taxes, they also need to be paid

[swanvesta] 01/7/2024 14:27

"28.8M return for an outlay of 8.5M"

Please at least do a DCF. Otherwise you're totally inflating the real value. And what would be the appropriate discount rate? The 5% example I gave is far too low. And THEN factor in the various risks mentioned here, and the management overhead.

[1knocker] 01/7/2024 14:05

When were governments ever deterred from going for a quick buck by fear that they will kill the golden goose?

The UK is generally considered a 'safe jurisdiction', but wait for Friday morning (and the following 5 years)to see the attractiveness to the electorate of even a safe jurisdiction of promises to grab other folks' [ill gotten of course] money, and the unshakeable belief of governments that they can run industries better than those who have devoted their whole working lives to those industries.

[laurence llewelyn binliner] 01/7/2024 14:04

Using the 3 year average commodity price for the basket and 1830 tonnes, this gives us USD1.8M for 16 years, or 28.8M return for an outlay of 8.5M, plus any CG on the Rainbow shares..

Each royalty adds up over time.. :o)

[quepassa] 01/7/2024 14:00

yawn, yawn, yawn...

LLB would try and convince you that his three-legged donkey was the sure-fire favourite to win the Grand National

[quepassa] 01/7/2024 14:00

yawn, yawn, yawn...

LLB would try and convince you that his three-legged donkey was the sure-fire favourite to win the Grand National

[the deacon] 01/7/2024 13:32

Yes, sounding positive on VB and Santo Domingo. Fingers crossed for BHP to press on at WM. All three of those eventually hitting nameplate will transform the fortunes here

[the deacon] 01/7/2024 13:30

We've seen that movie many times before though. The threat of asset nationalisation as governments feel they should be benefitting more from international mining expertise. The usual outcome tends to be a more generous government royalty. Often governments think they can do a better job but it's usually the case they soon realise they don't have those sorts of skills. I suspect Mexico will soon realise that with their lithium nationalisation plan.

[laurence llewelyn binliner] 01/7/2024 13:08

#The Deacon, interesting to hear we have already seen an increase in deliveries from VB in H1 as their ramp up accelerates underground.. :o)

July 24th for the Q2/H1 update..

[1knocker] 01/7/2024 12:57

the deacon, I see jurisdictional risk only increasing over the next few years. Every government seems to be broke, and the world is getting more polarised. the problem is that once you have put in the capital and built the mine, all that the locals see is foreigners profiting from their resources. When the government is scouting around for a bit of easy money, the mine looks a very attractive target.

Mind you, even in 'safe' jurisdictions we see 'windfall' taxes, and any extractive industry is especially vulnerable because not only cannot it not pack up is mine or well and take it elsewhere, but those taxes can be dressed up as efforts to save the planet.

I think the moral is that if any profit looks too good to be true, it won't be true for very long, anywhere.

[the deacon] 01/7/2024 11:42

MBL video interview re today's newshttps://www.proactiveinvestors.co.uk/companies/news/1050919/ecora-resources-ceo-marc-bishop-lafleche-on-ecora-s-first-rare-earths-deal-1050919.html

[stevie blunder] 01/7/2024 10:32

At current rates from the announcement:

1750 tons/yr, = 1,750,000kg @ 64$ x.0085 = $952k

Double that at 3 year average prices

PEA is a long read, but the headline figures look OK:

[sword77] 01/7/2024 09:19

Somebody has a guess how high the yearly revenues would be at current rates?

As I am not a rare earth fan, I don't even wanna look...

[the deacon] 01/7/2024 08:56

You've got to go to where these world class large scale deposits are QP. Just ask Robert Friedland.. As you're well aware, he's operated in these so called 'less than favourable' jurisdictions for decades now. His huge Platreef PGM project is due to produce in SA next year for example. He's always said that trying permit, finance and build a mine in Canada/US for example is a lot more lengthy and challenging. Good operators who know and respect the landscape in country can get on absolutely fine.

[quepassa] 01/7/2024 08:34

the question is why they always shunned that hugely mineral-rich and vast Continent in the past.

[laurence llewelyn binliner] 01/7/2024 07:41

#The Deacon, I like it too, non cash generative until 27/28 but DFS 1st and go from there on the ESIA..See what else the company can come up with in H2 to address the Kestrel income run off in 26, but the BHP-WM decision is getting closer now (August)..

[quepassa] 01/7/2024 07:38

South Africa....

....hmmm





hXXps://www.ecora-resources.com/our-portfolio/portfolio-overview/

[the deacon] 01/7/2024 07:30

Interesting acquisition. Techmet (and US Gov) having fingers in the pie here gives credibility to the project. Probably isn't coincidental that they're heavily involved at Piaui too. Similarly, Mosaic with the offtake agreement is a good sign. Still needs environmental permitting - which always makes me a little nervous of earlier stage projects, but I don't think it should be too much of a problem. Of course, ECOR would be paying a heck of a lot more if this was fully permitted. All in all, a good addition to the portfolio....but no help in alleviating the more immediate cashflow concerns

[laurence llewelyn binliner] 01/7/2024 07:11

Now dipping our toes into a rare earth metals project I see, next stop their DFS..