Jubilee Metals Share Discussion Threads

[goingforarun] 06/9/2019 15:55

I think Kabwe will change this. Good income for a number of years. Just need to get it up and running!

[meanreverter] 06/9/2019 15:03

Leon Coetzer's present strategy isn't about maximizing distributable profits from existing operations. Rather, it is to grow the company by deals and acquisitions in the current environment where capital assets in southern Africa can be picked up at car-boot-sale prices. Jubilee Metals is itself not immune from this pricing environment, and the low share price is a consequence.

Of course, South Africa is a tough place in which to operate, and a risk discount is warranted. It is up to investors to decide whether the discount is overdone. (For the record, I remain a holder.)

[sleveen] 06/9/2019 15:03

"I was a believer in JLP's potential, when I first invested, around a decade ago."

Says it all really.

[aceshi] 06/9/2019 12:41

RobertI was a believer in JLP's potential, when I first invested, around a decade ago. We have heard so mush BS, over sold project hype, failed project delivery timelines and general lack of transparency, over that time, that I must admit to having become far more sceptical regarding their ability to deliver shareholder value. I am convinced that CB is a liability and past his prime. As I've previously stated, LC entered the fray, touted as the prodigal son. Shareholders were positive and had renued faith at this point. I don't care if he is the nicest guy walking the planet and the industry's leading metallurgist. If he can't turn his knowledge and expertise into a upward trending SP, he is also useless to me. Which up until this point seems the reality. That is the reason I sold off 3/4 of my holding, on the spikes, at the back end of 2018 and earlier this year. I no longer believe all the hype and BS and am convinced that if we ever see any serious profits from this company, it will be many years from now.

[deme1] 06/9/2019 12:31

I wonder if we are eyeing up some cheap assets in SA

PS this guy may be a little delusional if he thinks he can be cash positive in 6 months!

Just look at JLP

[deme1] 06/9/2019 12:29

www.proactiveinvestors.co.uk/companies/news/902036/critical-metals-eyes-up-discounts-in-sa-902036.html

[timhigginson] 06/9/2019 12:02

Plat,

I asked this question at the AGM and Leon stated that the buybacks would be more than sufficient to cover all bonus shares committed to be issued hence I assume they will be held in treasury until required. This fixes the charge to the P & L of the bonuses to the bought in price of the shares.

[bullster] 06/9/2019 11:55

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Lets say for easy reckoning that Kabwe cost JLP £10M.

Rather than have BMR waiting for JLP to recoup £10M + 20%, £12M, which could be a year or more, BMR get 5% royalty from the first £1 of profit and not just 11% of the £12M 'th + £1.

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[bullster] 06/9/2019 11:34

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Why would JLP offer to buy 100% of the BMR subsidiaries shares for the privilege of knocking BMR's royalty down by 1% ?

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[plat hunter] 06/9/2019 11:32

Bullster...Yes, the party being the JV company of which JLP was appointed contractor and executor.

Deme.. that's because you're a moron who can't read properly

[bullster] 06/9/2019 11:29

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The Kabwe tailings dump was what the BMR subsidiary brought to the party.

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[deme1] 06/9/2019 11:24

Who is selling these large chunks.

Still believe a placing is coming to buy copper tailings

[plat hunter] 06/9/2019 11:21

That was my point Bullster... The project profit is revenue minus costs. The costs of which are attributable to project (JV company) and underwritten by JLP

[deme1] 06/9/2019 11:05

www.mining-technology.com/news/jubilee-metals-completes-pgm-plant/

[bullster] 06/9/2019 10:56

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Royalty is a percentage of project profit.

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[plat hunter] 06/9/2019 10:52

Bullster, I may be missing something with the nature of the agreement and royalty but, 5% of what exactly?

5% of the total value of Kabwe surface material using forward pricing, perhaps?
unlikely!

[bullster] 06/9/2019 10:16

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JLP did BMR a big favour, by updating the Kabwe agreement.

Rather than having BMR to wait and wait, for who knows how long for JLP to recoup their capex plus 20%, before BMR got their 11% royalty, BMR get an initial 5% royalty from the beginning.

JLP doesn't want BMR going bust for the sake of waiting for the 11% royalty to kick in. Paying BMR the initial 5% royalty to keep BMR afloat makes sense because we own 29.1% of them.

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[deme1] 06/9/2019 09:55

I know he will have to let it go for peanuts soon.

They have no way of raising funds via placing.
They will not get finance when you consider their history.
The only way to keep BMR going is to sell assets and they have already sold their crown jewel for next to nothing compaired to its value. Borelli would not think twice about selling the royalty if it is his only option to keep BMR going and to keep himself on a high salary ;)

Your feelings count for nowt krypton.


PS the bmr talk mentions an update to the website saying all resolutions passed at the last AGM, yet the ones who attended said most were voted down. Sketchy at best

[kryptonsnake] 06/9/2019 09:41

borrelli already has platinum membership at the caravan park so no deal there LOLsss


You lot are clueless with Jubilee, so you know nothing about BMRs royalty

Keep guessing


LOLsss

[plat hunter] 06/9/2019 09:36

Is that the offer, the free access to the caravan park?

[deme1] 06/9/2019 09:31

he has been told he can have unlimited access to the caravan park, but he will have to pay for the VIP section because plats boyfriend does not do freebies

[deme1] 06/9/2019 09:30

an offer has been put to Borelli for the royalty

[goldibucks] 06/9/2019 09:27

“Buying infrastructure against earnings is not a project operation loss.” DCM capitalise any plant built per historical announcements so they legally own it. If JLP contribute to that cost via a deduction in total earnings before the remaining earnings get split 50/50 between JLP and DCM, that deduction, or £2.5m per what you said, will get deducted gradually from total earnings before they get split over the life of the project. There is therefore no reason why the capex contribution would drop out and the earnings to be split 50/50 would jump. Start up opex would work differently, that would drop out of the earnings to be split 50/50, but I doubt there is much of that.

[plat hunter] 06/9/2019 09:23

Not saying it would happen but the JV company could theoretically produce 20 million squids worth of earnings and JLP charge charge the JV company 20 million for the costs.

This is why I don't think JLP will ever buy out EML or whatever it's called. BMR still meet the terms of the licence by agreeing to clean up Kabwe, they just won't earn anything for it.