Griffin Mining Share Discussion Threads

[ukgeorge] 06/3/2018 15:34

This is what share price Angel had to say this morning


Zinc – US$687m worth of zinc delivered to LME shocks market

Zinc US$ 3,287/t vs US$3,343/t yesterday
• Zinc’s rally through 2017 is unwinding with prices retreating 8% since peaking in mid-February. London Metal Exchange data raises concerns as inventory levels showed the biggest increase in almost three decades. Rising stockpiles reverse the broad trend over the last five years, as the zinc price climbed more than 60% as LME inventories shrunk more than 80%.
• The zinc market has been extremely tight in recent months, creating competition for suppliers to access the metal, however signs of a loosening market caused zinc prices to fall 2.3% to $3,277/t. On Monday, the LME’s report showed stockpiles jumping 59% to 209,050 tonnes.
• However, the metal is expected to find some support as global inventories remain at severely depressed levels, with LME warehouses across Asia and Europe almost out of metal. New Orleans now holds more than 99% of all zinc in the exchange’s warehouse network, but high shipping costs will restrict movement outside of domestic US markets.

[crooky1967] 06/3/2018 14:23

We last saw those stock levels at the beginning of December, so we could be back we we are within the next 3-4 months or sooner if demand increases and no new large stocks are dumped in to the market again. A small zinc price recovery just before H1 2018 interim in August would be welcome.

[rmjones] 06/3/2018 13:33

So Kitco is lagging behind on stocks - LME shows just over 209,000 tonnes.



We have seen rises in LME stocks before but they have not been sustained. Just another bump in the graph I suspect.

[bubloo] 06/3/2018 12:24

Tree shake before results. Mm manipulating. Agree with you polaris. Chance to top up

[polaris] 06/3/2018 12:06

GFM off 10 and Zn price up 20c...i only look at the IG quoted price, assume that is spot. Storm in a teacup for me and will be looking whether this is another opportunity to top up. All Zn produced goes to local market and so any impact of tariffs is an indirect impact caused by Zn price and stock movements.

[busterdog2] 06/3/2018 11:34

Posted elsewhere and thanks to Nora Bone....

Zinc is down 8% from multi year highs last month now and everyone's suddenly a bit cautious with Trump going off on one regarding steel tariffs (note China only supplies 3% of US steel imports) Anyway re Zinc stock rise - apparently some Zinc traders got tired of Zinc being in backwardation (spot price higher than forward price) and didn't want to bear the cost of their hedges any longer so instead they physically delivered Zinc into a LME warehouse in New Orleans. Asian and European LME warehouses still bone-dry of zinc. A persistent move below $3000 for zinc and I'll change my spots but for now a modest correction, pause for breath etc. Roll on the results. GLTA

[dgellissnr] 06/3/2018 10:53

Stock up 78,950

[trawl] 06/3/2018 10:50

the kitco metals site is currently showing
lme zinc stock
of 131775

[crooky1967] 06/3/2018 10:21

LME stocks up to over 200,000 this morning, were around 131,000 yesterday

[up just a little bit] 06/3/2018 08:25

Some junior hack put a one liner out yesterday on Bloomberg saying that there was a massive increase in zinc stocks. No reference given at all not attributed to a publication or name

[return_of_the_apeman] 05/3/2018 07:53

Lme zinc down 40k in the last 30 days, with only 3 months stock of zinc left poz is due a massive spike

Gla

[rose_by_another_name] 05/3/2018 07:31

I seem to remember that China prohibited
the export of zinc some years back. Is that
still in force? Or not?

[up just a little bit] 03/3/2018 00:37

To be fair you are all over cooking this. GFM is a small producer selling into the local market and as far as I can see the demand for zinc locally is set to increase. BMW have signed an agreement with a Chinese company to produce an electric mini and that's just the start.

[mad foetus] 02/3/2018 21:59

I'm not sure it matters too much really. If there are tariffs then the US won't be able to export its concentrate competitively and I am sure it must be cheaper, particularly when the price is set globally, to use local production. So GFM can sell their zinc in Asia without difficulty. In the end, tariffs will make the market less competitive, which should support prices for producers and increase costs for consumers. Or is that simplistic? This, of course, assumes Trump follows through in his words, which to date, hasn't often been the case.

[malcolmmm] 02/3/2018 21:51

So I suppose the steel tariffs may mean that the US needs more refined zinc if they are to produce more of their own steel.

[malcolmmm] 02/3/2018 21:48

The United States has been the leading world consumer of zinc since the early 1900's and currently consumes about one- seventh of world output. As a result of the substantial decline in domestic zinc smelter capacity, reliance on metal imports remains high. Ironically, the United States has become a major world exporter of zinc concentrate, but continues to be the world's largest importer of refined zinc.

[rose_by_another_name] 02/3/2018 11:38

I think you have strayed from the issue
of possible steel tariffs affecting Griffin.

[rose_by_another_name] 02/3/2018 11:18

According to commentators, Trump's
on-the-fly policy announcements often
do not result in any action. He has been
conducting these sessions live with TV
reporters present and runs it like his
old TV show, with accent on drama.

[crooky1967] 02/3/2018 07:16

Could Donald Trumps tariffs on steel be good for GFM? If more Zinc is required in the US for local use then that could be less available for export to China, if the Chinese do import zinc from the US of course. Even tighter supply in China may speed up the issuance of Zone II licence possibly.

[mikesnr2] 01/3/2018 23:37

polaris:(see Bubloo 27394) - you are surely a man whose opinion he'll appreciate...

Pullbacks are getting manifestly higher/rarer: seems to me adding around present levels should be efficacious, all relevant aspects considered (except the much vaunted global crash some anticipate); but GFM seems singularly to scoff at market downturns anyway!

[polaris] 01/3/2018 18:26

I know that mining companies tend to do a lot for the communities surrounding the mines - you need to keep the locals onside and it is well worth the investment. It's just not so often it has such an obvious plug on the company website. Cows! ;-) Schools, infrastructure, housing etc are normal. Cows? LOL!

Don't get me wrong, GFM is currently my largest holding. Most of my others are high dividend yield stocks where i can pocket a regular cash boost to my trading pot. This i am in because i have followed on and off since the early 2000s and the December announcement was just too juicy a fruit not to pick. I've added on each pullback to the bottom of the channel and still think GFM is significantly undervalued. It's just a shame i am not the cavalier margin trader i was 10+ years ago, as i would have built up a 1-2k per point position by now. I'm only trading about 10% of my available cash at the moment. I've become moderate in my older age! :-D