Ferro-alloy Resources Share Discussion Threads

[jailbird] 17/5/2022 14:55

Cyber It says the group is already operating profitably , then why the loss for the full year Loss before tax of US$ 2.83m (2020: loss before tax of US$ 3.94m)Are we saying the increase in output from 3rd roasting oven will mean no losses in H1? And cash-flow positivé Nothing about this and continued funding of FS in results .

[cyberbub] 17/5/2022 14:47

NB stated clearly in his interview that the small plant is expected to finance the rest of the feasibility study. So it must be profitable and throwing off a level of cash. I would certainly hope so by now... Perhaps not the $10M p.a. yet, but they don't need anything like that to finance the rest of the FS.

[jailbird] 17/5/2022 14:21

Few know my stance here , regardless of the asset and potential , resource studies take time , longer than planned always . Then the study is improved to make it feasible , but should not be a problem here .But when it takes longer it eats into cash . Now VBR have done their bit Upto now , snd this cash was supposed to take to DFS completion So now where does the cash from ?If the pilot plant was profitable then a debt option is the way to go

[ttlance] 17/5/2022 13:19

With so much optimism 12 months ago, things seemed to have gone in reverse. I can see a cash call coming based on FAR having $2.81m cash YE 2021. Assuming another circa $2.7m year loss for 2022, current cash is circa $1.4m, this will only last until YE. There was so much promise with increasing output but this hasn't materialised.

[driver101] 07/5/2022 14:30

Cyber

I agree its a mix of old and new stuff, best to refer to the lattest Proative vid below.


Ferro-Alloy Resources Limited on its flagship project



Also this one from last year from VSA for any newbeis thinking of investing.

[jailbird] 06/5/2022 07:16

You maybe right Cyber

[cyberbub] 06/5/2022 00:00

That's an odd Directors Talk interview. The page suggests it was published a couple of days ago on May 3 2022, but a few of the snippets in the interview could be almost talking about 6-8 months ago. Eg he mentions the vanadium price as $8-9 but it's been well above that for several months.It's not feasible IMO that the HV power link still hasn't been turned on. They're operating 3 furnaces now, which use a huge amount of power!I wonder if the D.Talk company has uploaded the wrong video??

[gb904150] 05/5/2022 12:19

I thought that was a really good interview by Nick Bridgen.

Plenty of detail and outlines the outstanding long term fundamentals here even if the short term performance isn't quite there yet.

Using more vanadium means using less steel, so it has green credentials and is an 'economic no-brainer' as NB puts it.

Bala is high grade, at surface, open pit, sedimentary style rather than TVM (magnetite). Again, less energy, lower op costs, greener.

Vanadium redox flow batteries could double demand again....energy storage play. Bala's low, steady costs can support that....rather than the price spikes we've seen before.

Plenty of progress at the small plant.....however, one thing that is a negative is the power line. NB says it hasn't switched on yet.....but that it will 'soon'.

Would be nice if we get to hear when that happens.

[driver101] 03/5/2022 22:29

Ferro-Alloy Resources well funded and demand for Vanadium extremely exciting.

[thomas11] 29/4/2022 11:29

Proactive interview today with NB

[driver101] 29/4/2022 11:15

Down on very small volume I’m happy to hold and add when funds allow.

[cyberbub] 29/4/2022 11:00

I don't see the results as too bad.The critical thing for me is the statement that "the existing plant is already operating profitably" and "will finance the remainder of the BFS".So no need for further cash-raising/dilution in the next 12 months until the BFS is published. If they really need a couple of mill for something then I expect that they can raise it though debt, now that they're profitable.The 6-month delay in the BFS is undoubtedly disappointing. But anyone who is a proper investor in miners knows that they always take longer than expected to get into production... Likely first production late 2025/early 2026 now... I'm still holding...GLA

[gah123] 29/4/2022 10:34

How long will it take and what dilution. It's 3-4 years away bare minimum. Compare this to BMN who are already producing 4,400mtv, growing to between 5,000-5,400mtv by the end of the year. At current prices BMN is generating $6m PBT per month. BMN also have Mokopane to develop which is one of the largest lowest cost deposits in the world. This will likely be cash and debt funded in the future when there is sufficient demand to support a mine of this scale, all for limited dilution. BMN are also rebranding to Green Energy soon, such businesses can be valued as high as 30-60 times earnings. ITM for instance have a current valuation of £2 Billion.

[jailbird] 29/4/2022 10:31

Yea delays eat up cash is my point here If they can use debt then do not see a problem . Cannot see vision blue diluting themselves Expect them to support here again

[thomas11] 29/4/2022 10:19

Wow, with additional rare earths credits of up to 1/3rd revenues then FAR could be producing $500m free cash flow p.a from phase 2. Unbelievable numbers.

Also they are trying to minimise the delay through more rigs.

Overall the prize looks bigger but further away !

[jailbird] 29/4/2022 08:21

Look at the cash burn on the study They will have to raise again or get something debt borrowing

[gah123] 29/4/2022 08:13

Not great results. Loss making compared to BMN which is generating atleast $6m PBT per month.

[jailbird] 29/4/2022 07:51

Cyber Well I did warn you , these studies take longer than forecast Where has all the cash gone ?

[driver101] 29/3/2022 15:53

Nice bit of volume today.

[livewireplus] 17/3/2022 08:15

Slow & steady buying continues this morning .... so look forward to progressive increase in share price ....

[cyberbub] 16/3/2022 16:31

I'm quite surprised to be honest. If true then it will be a positive move and help restore international investor confidence in the country after the riots etc. He clearly seems to want to keep moving slowly away from Moscow's orbit - let's hope Putin doesn't see that as a red rag to a tyrannical bull!

[cyberbub] 16/3/2022 07:29

The current market cap only really reflects the small plant IMO - the massive Bala project is thrown in for free.NAI

[cyberbub] 11/3/2022 08:33

But V price is on the up too :-)