Ironveld Share Discussion Threads

[reardons] 01/12/2021 08:13

Should the money not have arrived by now

[hedgehog 100] 30/11/2021 11:52

Either way, the fact that the Mail on Sunday is bullish on such a such a South African project is positive for IRON's own South African project, even without the Martin Eales link.

But it was Martin Eales who arranged all-important strategic funding for RBW before he left.

That was a major turning point to assist further progress, and is clearly very relevant for IRON, which is why Giles Clarke recruited him.

28/08/2019 06:00 UK Regulatory (RNS & others) Rainbow Rare Earths Limited Management Change and Trading Update LSE:RBW Rainbow Rare Earths Limited
" ... Martin Eales, who has been CEO since 2014 and under whose oversight the Company was transformed from an early-stage exploration play to Africa's only producing rare earth mine, fully listed on the London Stock Exchange, is stepping down. ..."



As regards RMW's new Phalaborwa project: it's got a lot to prove, and looks quite risky.
Projects to re-process tailings tend to be more vulnerable to changes in metals prices, which is probably why RBW's stake didn't cost that much.

03/11/2020 07:00 UK Regulatory (RNS & others) Rainbow Rare Earths Limited Rare Earths Co-Development Project in South Africa LSE:RBW Rainbow Rare Earths Limited
" ... -- A total consideration of US$750,000, in a combination of cash and shares (priced based on the prevailing Rainbow share price on date of issue), shall be paid by Rainbow to Bosveld in three equal tranches over twelve months, with the first tranche being payable after completion of an initial due diligence process. The due diligence process is expected to last up to 35 days and a further announcement will be made on completion of the due diligence process.
-- On completion of the pre-feasibility study ("PFS"), 70% of the Project will held by Rainbow and 30% by Bosveld, with a mechanism included to allow for Rainbow's Joint Venture ownership to vary from 60% to 85%, dependent on results of the PFS. ..."


In contrast, IRON's huge vanadium-HPI-titanium project looks of more substance, as well as being larger and more advanced.

In addition, IRON own it 100%, and IRON's current market cap. is a fraction of RBW's.

[swanvesta] 30/11/2021 08:57

Can't see that Martin Eales did much for Rainbow. It was the new CEO George Bennett that sorted out the Burundi operation, and also snagged the transformational Phalaborwa project.

[al101uk] 30/11/2021 00:17

"The transaction is expected to close on or around 30 November 2021"

[ladeside] 29/11/2021 20:42

Good volume today and in particular a couple of nice late reported 5 millions gone through. Hopefully we'll get a positive update in the next few days confirming not just the receipt of funds but future funding plans.

Anyway, it's good to see some share price strength especially in the current climate with the dreaded "new variant"......

[hedgehog 100] 29/11/2021 14:13

al101uk 29 Nov '21 - 14:07 - 4641 of 4641 0 0 0
"Draw a tenuous link and extrapolate."


Not just a link: it's LINKS - plural.

What is tenuous is your thinking ability.

And I thought you said you were 'done'?

More like 'dunny':

[al101uk] 29/11/2021 14:07

Draw a tenuous link and extrapolate.

[hedgehog 100] 29/11/2021 12:00

At 14.125p RBW has a market capitalisation of £71.65 million, and has ten-bagged since March of last year.

RBW's South African site is expected to be operational by 2024, which is relatively early, but is still well behind IRON's expectations.

[al101uk] 29/11/2021 11:41

Just... WOW!

DYOR.

[malcolmmm] 29/11/2021 11:01

That is reassuring to have a successful CEO

[hedgehog 100] 29/11/2021 10:43

"Martin Eales
Chief Executive Officer
Martin previously held the position of CEO at London listed Rainbow Rare Earths Limited from 2014 to 2019, where he oversaw the development of the company into the only rare earths producer in Africa. ..."


With thanks to Phuckerty on LSE: interesting to see that the previous company of IRON's CEO, which is also developing an in-demand metals operation in South Africa, was tipped yesterday by the Mail on Sunday -

"MIDAS SHARE TIPS: Rare metals for your earphones? If you want a hit for your investment portfolio, try Chinese mining firm Rainbow Rare Earths
By JOANNE HART, FINANCIAL MAIL ON SUNDAY

PUBLISHED: 21:51, 27 November 2021 | UPDATED: 11:29, 28 November 2021

... Rainbow has two rare earth projects, one in Burundi and the other in South Africa. Today, the Burundi mine is in hibernation, while the South Africa site is in development.

Even so, Rainbow's share price has risen more than 30 per cent to 13p over the past year and analysts believe the stock should triple over the next couple of years.

Investor excitement centres on the South African project in Phalaborwa, just next to the Kruger National Park. ..."

[al101uk] 27/11/2021 14:21

Deleted, not worth it. I'm done.

[hedgehog 100] 27/11/2021 13:38

al101uk 26 Nov '21 - 17:35 - 4634 of 4634
" ... you're just making stuff up ... "


Al101uk,

Would you please stop telling lies about me.

A reasonable suggestion of what MAY POTENTIALLY happen cannot be 'making stuff up'.

If I had said THIS IS WHAT WILL HAPPEN that would be different.

So the one 'making stuff up' is yourself: repeatedly making up lies about what I have said.

Ironveld is looking at different 'exciting funding structures' with Grosvenor to get the remaining funding.

Even if you take out the word 'exciting', that still doesn't sound like a standard equity investment.

You are unable to offer any alternative suggestions to my own of what that might be.

Which I think supports my own suggestions, doesn't it.

But the underlying valuation dynamic is that Grosvenor's £5.6M. strategic investment at 1p has now de-risked Ironveld, thereby increasing its value.

And it's nearly 70% of the funding being sought.

So you would expect the remaining funding to come in at a premium to this, because of project de-risking and funding supply-demand.


From the 22.10.21 Ironveld circular:

"4. Use of Proceeds
The substantial investment in Ironveld by Grosvenor of £5.6 million (approximately US$7.5 million) represents an exciting opportunity for Ironveld to bring on board a credible and serious partner to help drive its strategy. The net proceeds from the Subscription will provide a substantial proportion of the overall project funding required as well as ensuring that all corporate overheads and costs associated with the new Mining Right application for Luge are covered for the foreseeable future.
The Company will look to utilise Grosvenor’s expertise and access to further funding in order to progress the remaining financing required of approximately £2.5 million (approximately US$3.5 million) to bring the Company’s project into development. Both parties are committed to ensuring Ironveld can commence mining and processing of its magnetite ore in the near term.
Taking into account available cash resources and the expected Net Proceeds of the Subscription, the Company expects to have sufficient cash resources to fund operations into the foreseeable future."

[charlesjames1] 26/11/2021 15:25

A nice flurry of buys today. Few punters lining up for news one would assume.

[sapper2476] 26/11/2021 11:03

Mine is also showing as a sell.

[malcolmmm] 26/11/2021 10:59

Showing as a sall by the look of it

[givmesunshine] 26/11/2021 09:30

Added another 600,000 shares at a smidge under 1p

[al101uk] 25/11/2021 18:45

"A convertible loan note (CLN) issue is regarded a bit like a placing"

No it isn't, it's debt and comes with all the advantages of being debt (it's ahead of equity in any liquidation and has a coupon). It also has the advantage of enabling the holder to convert to equity so they get the best of both worlds. The convertable nature of a CLN is a sweetner for the creditor and in return lowers the cost of debt for the company and usually delays the payment of any interest until conversion or the conversion date is reached.

The terms are hugely variable and the conversion price is only one aspect of that variability. Maybe the conversion price comes with terms for forced conversion to equity and so the investor wants a higher conversion price to create an option on the companies success. Maybe a lower price would be in Ironvelds favour because future placings may be unable to reach that conversion threshold and the investor can just decide not to take part.

I was making two points in my previous posts:

1) Just because you've decided CLNs are the perfect solution to funding doesn't make it so. It's so much more complicated than you make out and you're not even in posession of enough of the facts to make a call on if a CLN could be structured in a way that makes sense to both parties.

That doesn't mean it can't happen, just that it's pointless constructing a dream world where issuing CLNs doubles the share price and then pretending it's a realistic possibility. Being fully funded can still push up the share price, but taking on debt and any implied valuation won't be the rationale for the rise.

2) The reason I don't think CLNs will be issued is nothing to do with any of that. I've been following GC for many, many years and I've seen him avoid debt in far better situations than Ironveld finds itself. I don't see why that would change now.

I'm in no position to make a suggestion on funding, like you, I don't have the information and who's going to take a suggestion from me anyway?

Based on what I know of GC, I'd speculate that primarily equity in some form will pay for funding for the foreseeable future.

... and I'm fine with that.

[al101uk] 25/11/2021 13:18

Hedgehog,

Why?

[givmesunshine] 25/11/2021 08:36

IMO - I don't think it will be long until we move to the next range .. quite stable here and I feel once all the placing is complete IRON will be keen to move on ASAP so can expect this to become a real company

[cloud9surfer] 24/11/2021 15:11

A few big buys going through.

[hedgehog 100] 24/11/2021 08:22

al101uk,

I think that if the CLNs had conversion prices far higher than the current share price of 1.1p, people would find that quite exciting.