Jubilee Metals Share Discussion Threads

[kryptonsnake] 31/3/2019 11:05

Platts,

Which one is your favourite? thick cut or bitter and twisted?


LOLsss

[kryptonsnake] 31/3/2019 11:02

A mate of mine went to the investor show yesterday and sent me a picture of the Jubilee Metals stand

[bedsidemanner] 31/3/2019 10:11

Dear Plat Hunter I work as a GP in secure forensic environment ..... in my experience you do have a potential problem Why don't you set your self some goals ......Refrain from contributing for 2 weeks and reflect If wish to contribute draft a message and don't send it for 24 hrs till you have re read it twice Go out today and 'breath the fresh air' try to do a good deed and enhance some one else's life by a kind action each day

[kryptonsnake] 31/3/2019 10:01

Aces is on the money. Plat Hunter must be one of the biggest losers here and it's extra painful for him this morning hence the vitriol

There is no need for that kind of language and threats of violence

I have recorded this horrible post and will consider reporting it

[aceshi] 31/3/2019 05:49

Who's that, Platt and yourself. Almost everyone here will be nursing losses and most likely, for a while to come. However, if you don't need your cash, for a couple of years and management don't f....ck it up, we may all be rewarded, for our patience in the end.

[plat hunter] 30/3/2019 20:04

More than likely nothing in it but if you check out KMR, you can see that Miten have been selling KMR whilst buying JLP.KMR has very healthy balance sheet also.Not ramp as i dont hold KMR, but learned this from it being on my watch list.

[spazzeighties] 30/3/2019 14:25

I was going to say I don't hold any of those but having logged in to my portfolio I can see I hold almost 9000 shares. I genuinely thought I had sold all shares before they suspended the company, I have written these off now. You don’t have to be so rude about it.

[sleveen] 30/3/2019 12:01

Bullster

The £4m gross profit is the E in EBIDAG&A

The £4m operational costs represent costs of the projects in H1, so if you assume that the new projects in H2 will not have significant impact on revenue and earnings in H2 then you could conclude that £8m in cost of sales for the full year is reasonable. Then deduct IDAG&A to get an idea of a net profit.

[goldibucks] 30/3/2019 11:57

“Could i roughly use that figure to deduct from all project earnings to estimate overall group profit?” Project earnings reported by Jubilee are roughly gross profits in the P&L. So about £4m for H1. To get net profit you deduct operating and finance costs. H1 operating and financing costs were about £3.3m. Project earnings for Jan-Feb were £2m. X3 for H2 is £6m. Minus H1 op and financing costs = £2.7m profit. Then you need to deduct PlatCro chrome interest so say another £0.5m. £2.7m - £0.5m = £2.2m H2 profit + £0.8m H1 profit is £3m full year profit. Then we may have some DCM fine chrome and PlatCro PGM profit to add to that. I’m wondering why Shard were forecasting no profit for the current financial year in their March note. It’s looks like several million at least to me. I assume they are planning to write off certain Kabwe operating costs in H2 which will presumably ramp up sharply now the funding has been agreed, hence why they have guided Shard to forecast breakeven for the current full year.

[spazzeighties] 30/3/2019 10:36

There are hundreds of compamies listed on AIM am I supposed to know about every single one? I am only invested in a few AIM listed comps, JLP being one of them and my average is quite high. I haven’t looked at the exact figure for a long time as I first bought around 9 years ago.

[bullster] 30/3/2019 10:31

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Goldibucks,

Thanks.

You seem to be clued up on financial reports, have you had any professional involvement in the subject.

Before i sign off for the weekend, the six monthly cost of sales was just over £4m.

Could i roughly use that figure to deduct from all project earnings to estimate overall group profit ?

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[plat hunter] 30/3/2019 10:17

Course you don't lol

[spazzeighties] 30/3/2019 10:13

Thank you Plat Hunter. That's very low, most resource stocks are closer to 50%. I don't know anything about WRES but that sounds high.

[plat hunter] 30/3/2019 10:01

About 11% which is pretty good when you compare it to other companies like WRES whose DEBT to NAV ratio is 143%

[spazzeighties] 30/3/2019 10:00

Does anyone know what the debt to NAV ratio is now?

[plat hunter] 30/3/2019 09:41

Not withstanding the terms of the Tjate licence there is some, albeit very limited CAPEX being deployed for Tjate. This stretches to community and social projects in the immediate vicinity, like developing water and electricity supply for the locals etc etc..

All very hearts and minds stuff, which is great because it's cheap to do, improves peoples lives, and builds fantastic goodwill, with the locals and local politicians. Come the time that JLP want to do something with Tjate, the hard work of convincing a local population that JLP are the right ones for the job would have already been done.

[goldibucks] 30/3/2019 09:29

The carrying value of Tjate at 30 June 2018 in the Balance Sheet was £43.9m, it's the bit described as "PGE Exploration" in Note 9 Intangible Assets. That will be a combination of what it cost to buy and what they have spent on it to date. They say underneath the note that an independent review calculated an NPV for Tjate of 1399m Rand which is about £74m GBP. Provided the £74m exceeds the £43.4m and there is a realistic chance of accessing that value at some point, they can continue to hold the intangible asset on the Balance Sheet. If their auditors didn't think there was at least £43.9m of value in Tjate at the annual impairment review, they would make them reduce the carrying value of the asset in their Balance Sheet and resulting the impairment loss would go through the P&L under operating profit. This is what happened in the year ended 30 June 2017. They took an £18.6m impairment loss on a nickel tailings project. I view Tjate as a nice-to-have asset that you don't have to pay for in the current market price. The house broker, Shard, didn't include Tjate in their valuation of Jubilee in March. If the price of platinum doubles or somebody considers it to be a useful asset to own strategically, there is potential upside. The downside of continuing to hold it seems fairly limited. I'd like to see them continue to hold Tjate or enter into a partnership with a miner to extract the ore with Jubilee processing and refining at surface. Longer term, robotics might make projects like Tjate more commercially viable.

[bullster] 30/3/2019 08:42

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alimo,

I would say that Tjate is an intangible asset, consisting mainly of good will contained in the mining license plus the potential minerals.

£44,304,000 is the figure given in the unaudited results, my guess is that a large proportion of this is for Tjate,

Putting a value on this type of asset is a dark art, you could email the broker if you are desperate to narrow the figure down.

In the end, you won't know it's true value until it's in operation or someone makes an offer for it. Don't forget, JLP's interest in Tjate is around 63%.

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[nelson01] 30/3/2019 05:45

Interesting how the two posters that have lost the most troll the most.

[alimo] 30/3/2019 00:30

I didn't see the Tjate Platinum Project (South Africa) even mentioned in the recent Interim Statement, and yet the website speaks of something huge:

"The Project is independently judged to contain arguably the world’s largest undeveloped defined block of platinum ore. The property covers 5,140 hectares on three farms and the area has been independently appraised to contain a potential net 65 million ounces of platinum group elements (PGEs) and gold. This represents the resource targeted for future exploratory drilling.

This targeted estimate, which derives from the extrapolation of current drilling results is approximately three times greater than the currently indicated and inferred SAMREC-compliant resource estimate shown below. The resource estimate was derived from exploratory drilling completed in May 2009.

The Project’s Reefs extend to depths greater than 1,600 meters, offering significant potential to extend or expand production in future."

Does this have no accounting value at all, and if not can somebody explain why?