Emmerson Share Discussion Threads

[parob] 08/10/2020 10:01

Yes you're absolutely right. And of course they'll be revised upwards as each milestone in the future gets passed.

[sportbilly1976] 08/10/2020 09:51

Parob,

For accuracy - both those need a 6% revision down due to the recent placing, although both are 200%+ from the current share price

I thought our new broker Shore Cap did one too, but am struggling to find it..

[parob] 08/10/2020 09:18

A reminder of the most recent share price targets based on current developments:Shard: 17.7pAlign Research: 24.9phTTps://www.emmersonplc.com/wp-content/uploads/2020/06/Shard-Capital-EML-1-6-2020-Feasibility.pdfhTTp://www.alignresearch.co.uk/wp-content/uploads/2020/06/Emmerson_Align_Update_June_2020.pdf

[novicetrade68] 07/10/2020 17:22

(added to top header for fast-click)

[the chairman elect] 07/10/2020 16:45

EML ARE WORTH THEIR WEIGHT IN SALT

[the chairman elect] 07/10/2020 16:17

Thanks SB76

[sportbilly1976] 07/10/2020 13:08

Zak Mir chart comment - above resistance at 4.5p....brings in trend target at 7p now

hxxps://www.share-talk.com/share-talk-bulletin-board-heroes-wednesday-7th-october-2020/#gs.i3nyhr

[sportbilly1976] 07/10/2020 12:34

spread on 250k is 4.8 - 5.09p

as always when there is a shortage, a few traders oblige and gift the MM some stock

[qazwsxedc69] 07/10/2020 12:12

Buying seems pretty relentless at the moment, 5p going to break soon.

[apfindley] 07/10/2020 11:54

Its a by product of the process.Salt is naturally mixed in with the potassium carbonate over millions of years. When producing the potash they need to extract the salt and leave the carbonate. There obviously more to it than my brief chemistry lesson, but I'm sure Google will have plenty of indepth info which will be interesting.

[mad foetus] 07/10/2020 11:52

Thanks Billy, makes sense!

[sportbilly1976] 07/10/2020 11:45

DP,

From the Align note in June I am suggesting it is mixed in with potash:

Salt by product - Metallurgical test results showed that a salt by product from the potash operations at Khemisset was of sufficient grade to be sold as de-icing salt into the East Coast US market, which is estimated to be more than 10Mtpa.

Operating cost item US$/t NaCl

Process plant 5.8
Labour and materials handling 1.1
Compacting 1.7
Total cash cost to mine gate 8.6
Trucking to Port of Casablanca and port charges 14.1
All-Sustaining cash cost (FOB Casablanca) 22.7
Freight to East Coast USA 10.0
All-in-Sustaining cash cost to East Coast USA 32.7

Salt operating costs summary. Source: Emmerson FS June 2020


Edit: Google search



Given potash comes from evaporated seabeds, it would make sense to have it (salt/evaporated brine) to be a mixed component

[cyberbub] 07/10/2020 11:41

Excellance they wouldn't have *wanted* to raise the 'gap' finance (= equity) at the farcical 4p and I very much support them in that - it would be ruinous.Get the share price well over 10p and then raise the equity.Alternatively a staged buy-in (= a JV) at increasing share prices is also perfectly reasonable IMO.All that matters is how much money the company makes per share, once in full production.Route 1: issue 500-600M shares at 10-12p, and get the rest of the money from debt. We keep the whole project but at the cost of some dilution. This is the standard route and would be the most beneficial for shareholders. Possible eventual share price of 100p+.Route 2: get a JV partner on board, get them to spend the whole $400m capex on a staged basis in return for giving them say 60-65% of the project. We end up with 35-40% so lower EPS eventually, but also lower risk. And even in this scenario it's a 10-15 bagger from 4.5p.NAI DYOR etc

[1airbag] 07/10/2020 11:41

I know nothing about the salt sorry DP.
Nice to see this on the move.

[excellance] 07/10/2020 11:39

13% up now

[excellance] 07/10/2020 11:35

Loads of 5p buys coming in, what is going on?

Nothing much happens for weeks then for no reason a 10% boom!

[donald pond] 07/10/2020 11:35

Does anyone know where the salt is? Is it mingled with the potash or in a big layer on top? I'm wondering why EML is suddenly pushing this angle, are they thinking the salt exports can (initially at least) be got at cheaply and quickly and could pay for the whole mine?

[sportbilly1976] 07/10/2020 11:33

got a regular 200k, 250k buyer around

[excellance] 07/10/2020 11:33

£36m mkt cap, permits expected in spring of 2021, finance options being explored now, possibly opting for a phased low capital model, and a partner.

[lendmeafiver] 07/10/2020 11:32

It’s more of a question of what’s the most efficient method of financing and build that maximises shareholder value, that is what they are doing in the current process.

[excellance] 07/10/2020 11:26

These are now on about a phased development plan, to reduce up front capital, and that sounds great as it will minimise dilution, but presumably it will also take longer, and begs ths question of whether they had no option to phase it because they couldn't raise the finance?

[parob] 07/10/2020 10:40

Some big buys coming in now. Should start climbing again soon.

[sportbilly1976] 07/10/2020 09:52

clearly one MM had stock to shift, the other keen to get some

now 4.6-4.8p on 50k

[the chairman elect] 07/10/2020 09:50

Backwardation?

[sportbilly1976] 07/10/2020 09:26

current spread: buy at 4.7p, sell at 4.76p for 50k