Jubilee Metals Share Discussion Threads

[pshevlin] 13/4/2021 09:44

more than compensated....not forgetting Copper of course!

[alpal2] 13/4/2021 09:34

Can't understand why MM quotes now have such a large spread. 16.2 / 17.0

[bullster] 13/4/2021 09:04

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Jubilees chrome strategy will complete its evolution by mid 2021.
Earnings from chrome have become second fiddle to the need to boost earnings from the pgm circuit.
Unlike Tharisa, who mine their own ore from their own pit, Jubilee is seeking more and more 3rd party processing deals on fixed price contracts.
In my estimation, Jubilee are earning well below 10% of the $155 per tonne that Tharisa earned in Q1-21.
The model has changed from supplementing our own dump tailings with 3rd party ore tailings, to go vice-versa.
Although the earnings from chrome falls, by using this model, it is more than compensated for at the pgm circuit which benefits from a higher grade feedstock 3rd party ore tailings provide.

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[gsg] 13/4/2021 07:48

From Tharisa's latest quarterlies.



Metal Pricing

-- Average PGM basket price for the quarter increased by 37.1% to US$3 290/oz (ZAR49 273/oz) in Q2 FY2021 vs Q1 FY2021 and up 80.5% vs Q2 FY2020

-- Following continued strength in PGM prices post-quarter end, current spot basket price for Tharisa's prill split is US$4 011/oz with spot prices for the major PGMs as follows:

o Platinum US$1 239
o Palladium US$2 630
o Rhodium US$27 823

-- The PGM markets remains tightly balanced, with a bias towards supply deficits, particularly given production constraints at some of the larger producers. Demand for all PGMs remains globally robust

-- Average metallurgical grade chrome price for Q2 FY2021 up 14% to US$155/t (ZAR2 304/t), vs Q1 FY2021 of US$136/t (ZAR2 114/t) and up 20.1% vs. Q2 FY2020 of US$129/t (ZAR1 965/t). The current market price for metallurgical grade chrome is US$155/t to US$160/t

-- Demand for chrome ore remains healthy and Tharisa, despite the logistical bottlenecks experienced in South Africa, has been able to deliver its products. Prices are expected to remain elevated, in part to compensate for the increase in freight costs

[davr0s] 12/4/2021 19:54

I don't need a reason - just a slow day where spreads tend to widen a bit in any stocks. The only thing that pays is price and if you stand back you can't see this wide spread on any meaningful timeframe. I'd go crazy trying to micro analyse all my positions and for little or no benefit. If it goes up I hold and if it goes too far south I'll exit. That's all I really need to do

[frogkid] 12/4/2021 19:04

I have no idea

[sb] 12/4/2021 18:43

Why would the MMs want to do that? The more volatility the better for them.

[frogkid] 12/4/2021 18:37

Normally done to take the heat out the market

[sb] 12/4/2021 18:23

What..? So what is your reason for the advertised spread being so wide but the actual spread being so narrow.? Hardly normal... Especially with all of the MMs sitting at the same high ask..?

[aceshi] 12/4/2021 17:47

MMs manipulating sentiment? Something doesn't feel on point......... Any opinions or merely powers facilitating continued II changing of the guard. Serious share price doldrum since the interims.

[davr0s] 12/4/2021 17:37

Not really - think you are just looking for conspiracies behind the scenes. Not a lot to see here IMO today unless you are trying to say trade this ?

[sb] 12/4/2021 17:09

Almost all of the trades today have been buys at or above 16.45 but because the ask is set so high they are showing as sells compared to the spread. With all of the MMs acting in concert you must suppose there is not much stock around and they are trying to shake some out because dropping the price doesn't work, so making it appear like there is selling might.... Certainly a wider spread normally shows a lack of liquidity ...but something odd about todays price action.

[deme1] 12/4/2021 16:25

17p will be a tough one to break but when it does then BOOM time

[pshevlin] 12/4/2021 16:18

Somebody is either still dumping or the trades are completely haywire. What is a buy and what a sell?

[sb] 12/4/2021 12:30

17p paid...

[gsg] 12/4/2021 11:59

The strong upward movement in spot markets for chrome materials during early 2021 is now being replicated in the market for contract purchases. South African ferro-chrome smelters achieved a 32% increase in charge chrome contract sales to European buyers for Q2 2021. The increase is the largest quarterly movement in prices since Q3 2017. The previous movement should be considered as instructive, however, given that it was a large pullback after a similarly-sharp increase just six months prior in Q4 2016. Increased availability of chrome materials and increasing inventory levels could see contract prices downward correct later this year despite the short-term outlook for spot prices remaining upbeat.

[alpal2] 12/4/2021 11:56

IG quoting 16.44 / 17.00

[mrsingh1] 12/4/2021 11:52

Quoted 16.515 to sell on HL, not selling a penny though!

[adejuk] 12/4/2021 11:33

just sold 100k at 16.376
quoted trades are useless
they want stock

[sb] 12/4/2021 11:17

So everything at around 16.35 are sells, everything around 16.5 are buys ... quite why the ask is so high compared to reality...no idea ...but the REAL spread is as I have said.

[gsg] 12/4/2021 11:16

Since Cantors left as am mm on JLP, the spread has widened and L2 has become useless most of the time. Current spread of 4.94% with trades well within that spread. All done on purpose to bring the cloak down imo. The only thing that currently creates L2 transparency is volume.

Currently L2 3 v 5, however there is better visibility from dummy trades checking the online limits.

[mount teide] 12/4/2021 11:09

L2: 3 v 5 / 16.2p v 17.0p

[pshevlin] 12/4/2021 11:02

All seems a bit chaotic this a.m. with a 17P UT deal just gone through.What is the state of level 2 anyone please?

[alpal2] 12/4/2021 10:51

Why all these Trade Flag 'P' deals. Any significance?