Ferro-alloy Resources Share Discussion Threads

[ttlance] 17/7/2023 10:53

Based on the last quarter production, with the vanadium price drop in the last 6 months I reckon free cash flow generated for Q2 is £0.5m

[jailbird] 17/7/2023 09:00

Exactly Mes, no comment usually means not cash flow positive yet Positive is Successful conversion of ammonium metavanadate to vanadium pentoxide in new drying oven, dependent on customer requirementsBut not selling any yet , but this was the whole point of pilot plant

[mesb48] 17/7/2023 08:39

Nice, but no mention of what this means for profits in terms of production run rate - frustrating!

[thomas11] 17/7/2023 08:39

That’s a decent amount of Vanadium Pentoxide, I calculate that alone is worth about $9.4 m per year at the current run rate, although it’s states they aren’t actually producing Vanadium Pentoxide but a lower value product.

A couple of q’s of increasing production should now be material to the company.

[ttlance] 06/7/2023 20:45

Yep, Bridgen has a habit of over promising and not delivering.

Will be interesting to see if they are finally making a profit, wouldn’t surprise me if they weren’t. Especially with what has happened with Caspian Sunrise.

I’m predicting another fund raise in 3 months

[knowing] 06/7/2023 15:10

Hasn't it always been the same with this stock ie Jam tomorrow

[pugugly] 29/5/2023 09:54

Potentially interesting after share price fall but forward vision very obscure - Too many unknowns (imo)

[t_headder] 21/5/2023 17:18

Way I see it is phase 1 is likely to be constructed in phases of possible to lower costs. Can't see the carbon floatation needing much capex but am wondering whether maybe a 2.5kt vanadium setup could be constructed first. Anyhow, as Bridgen has just invested might as well sit it out until the feasibility and see then.

[jailbird] 20/5/2023 21:07

The economics of mining projects has dramatically changed now.

Costs are alot higher then previous forecasts and like you say debt costs will also be alot higher.

i just cannot see VBR to investing at previous prices now.

I am sure this will be re-negotiated

[ttlance] 20/5/2023 21:00

Managed to listen to the investor meet presentation.

One thing which was telling was that previously they had mentioned funding of phase 1 will be through borrowing and cash flow from the current plant.

Now they are saying funding will be via bank loans and equity raise. With phase 1 needing circa $150m I wonder how many shares will be issued as part of the funding. We are also in a difficult economic downturn where lending has been tightened due to interest rate hikes.

[ttlance] 11/5/2023 07:06

You have to be careful what you read into with NBs comments. I’ve noticed this time and time again, continually over promising but carefully worded so it appears that he hasn’t missed the target.

Stating H2 will be profitable gives NB room for time frames to slide back, as starting to generate a profit in December of 2023 still means a profit in H2.

[smackeraim] 10/5/2023 22:15

"I expect Mick Davis told him to put his hands in his pockets to stop the relentless drop in the share price"Whatever way it was done.. If capital was on the horizon.. would it not be best he supported 600k of a raise? This way he is putting funds into the co and helping his money. Buying off market or on market, the company didn't benefit. I can't see a raise in very near term personally. Or not at this level.

[jailbird] 10/5/2023 21:38

"Ceo just bought around £640k at 10.15p"

I have read , was it here or on LSE, that he bought this off-market from another holder.

[ttlance] 10/5/2023 20:28

NB mentioned in one of his interviews that since March, materials have been arriving on new contracts. The problem is, the vanadium price has been dropping since March of this year so this will definitely have an impact on profitability.

Trouble is it’s difficult to believe anything he says

[ttlance] 10/5/2023 20:23

I expect Mick Davis told him to put his hands in his pockets to stop the relentless drop in the share price

[mesb48] 10/5/2023 20:23

I don’t personally think there will be a fundraise but that’s just intuition based on recent events. Who knows though. That said I’m not hearing lots of compelling reasons to yet rebuild a full position. Was hoping for a bit more info on the current run rate of existing plant profitability today to be honest, mainly to keep things interesting until the big reveal on the FS.

[smackeraim] 10/5/2023 18:44

If there is, then at what price? Ceo just bought around £640k at 10.15pSurely he would have been better off supporting a raise where the money would go directly back into the company, then buy from the market and support the price?Is he going to dilute himself immediately after throwing that much in?Questions to think about ...

[ttlance] 10/5/2023 18:00

If H1 is loss making, then there will be another fundraise

[ttlance] 10/5/2023 17:59

Why does NB keep lying about the profitability of the plant. He’s making himself look like a complete fool and the market doesn't believe anything he says.

[t_headder] 10/5/2023 16:59

Ditto mesb, also 2027 before construction is started for phase 2 if they keep to timeline. That's a long way off. Fingers crossed for the feasibility in q4, I hope funding requirements haven't shot up along with the recycling plant making less money.

[thomas11] 10/5/2023 15:42

The CFO gave the presentation, I wonder why they want to increase his profile.

[jailbird] 10/5/2023 15:33

TypoH1 will be still in loss making

[jailbird] 10/5/2023 15:03

That is a good point .Looks like the next results should state H2 will be cash-flow positive But H1 will not be still in loss