Jubilee Metals Share Discussion Threads

[robers98] 05/4/2019 17:45

GSG - memory is accurate share buy back wouldn't start until q4'19 from the figures they were working on. When someone asked if it would start in January.

[1madmarky] 05/4/2019 17:43

Prefer share buy backs , would be nice to have an additional buyer in the market place.

[gsg] 05/4/2019 17:24

GFAR.

I disagree re dividends. More likely to be share buy backs. Leon said as much at the AGM and a resolution was passed to that effect. He also said at the AGM, not to expect the resolution to be used until possibly during Q4 (if my memory is correct).

[goingforarun] 05/4/2019 16:56

If this delivers as expected over the next year we’ll soon be talking about dividends!

[joeblogg2] 05/4/2019 16:55

Bought back in again a modest 50k shares as had given up some time ago and just read lost's postings.

[freedom97] 05/4/2019 16:52

Certainly is absurdly undervalued, especially with the Kabwe assets. I remember in the webcast re. the PlatCro placing @5p both Colin & Leon was amazed at how the market wrongly understood the huge potential of the PlatCro deal at the time and couldn't understand why pi's sold, they where expecting share price to go up from 5p not down. Hopefully with all the news since then & ii's and rich pi's onboard, we will start to see a steady rise over the coming months, with extra boost to the share price on the quarterly updates plus future deals.

Those that have recently invested here should do very well indeed over the coming years plus LTH's should do well too.

Have a good w/e All!

[plat hunter] 05/4/2019 16:46

We've all heard 10 bagger but could JLP's MCAP top half a billion?

Let's hear your case

[lostabillion] 05/4/2019 16:29

Thanks Free, hadn’t seen that!

I am still adding as many as I can when funds allow.

Absurdly undervalued but that will change dramatically during this year.

The figures Bullster has kindly provided relating to Kabwe are huge and that’s without anything else!!!

Every £1 I invest here will turn into £10-15 plus in a very short time imo (12-18 months if not sooner) and that’s without stuff that hasn’t been announced yet, incredible.

[freedom97] 05/4/2019 16:24

Some of those that sold this week, might have done so for tax purposes, so next week hopefully will see less selling and the share price continue rising.

[deme1] 05/4/2019 16:20

another TR-1 at the end of play

[freedom97] 05/4/2019 16:16

Don't forget the links in the header here, Undertaker has already added the Shard note link there.

[lostabillion] 05/4/2019 16:06

Shard note summary

Jubilee Metals Group
Putting the pedal to the metal
After years of laying the foundations of its metal recovery business, the pace of project execution is speeding up and Jubilee is delivering on its growth trajectory. Early focus has been on the recovery of chrome and PGMs from mine tailings where production is set to increase significantly over the next 12 months, including the recovery of fine chrome, an industry first. However, JLP has bigger ambitions and Kabwe in Zambia will turn the company into a base metal and vanadium producer. JLP has also been invited into the boardrooms of the major miners to discuss access to the substantial portfolios of mine waste lying at surface. We believe this could be game-changer for Jubilee.
► JLP is the expert. Jubilee is an industry acknowledged leader in the retreatment of tailings, waste, slag slurry and other secondary materials generated from mining operations. This is a wide-reaching metals recovery business and not solely focused on platinum as the company's previous name or legacy suggests. Jubilee has a proven track record of success in the South African PGM and chrome industry, working with some of the industry’s leading companies including Mitsubishi, Northam and Lonmin.
► Robust project pipeline. Hernic PGMs and DCM chrome are in production, the fine chrome plant at DCM has been commissioned (first saleable product Jan 2019), and JLP is preparing to commence PGM production at PlatCro. The recent PlatCro acquisition also secured 80ktpm chrome processing capacity. Near-term projects include implementing fine chrome capability at PlatCro and Hernic, PGM production at DCM and developing the Kabwe Zn-Pb-V project in Zambia. Looking out to FY20, we see PGM and chrome production doubled and maiden production of zinc, lead and vanadium.
► First Mover. JLP is emerging as a world leader in mine waste retreatment with the in-house ability to design, build and execute projects. Jubilee has executed framework agreements with some of the largest mining companies in the industry to access the substantial waste portfolios lying at surface and where remediation is becoming a growing imperative. This has the potential to expand JLP’s production base considerably, whilst diversifying to new metals and giving the company a global reach beyond South Africa. JLP is currently evaluating the huge opportunity presented by mine tailings and slag in Zambia.
► Lower risk profile. JLP sidesteps the high-risk exploration stage of the industry and has no exposure to mining risk. Tonnage and grade variation are known in advance and the company’s processing expertise increases in-situ grades substantially for minimal processing. Furthermore, a typical JLP project has exceptionally low capital intensity and low operating costs ensuring robust margins even in low metal price environments.
► Fine chrome game-changer. JLP has taken a leading position in the recovery of fine chrome with a proven process recovers fine chrome sub 60-40μm where substantial losses occur for the primary chrome processing industry. This opens up enormous potential for the recovery of fine chrome from the millions of tonnes of historical tailings that are produced by primary platinum producers mining the UG2 reef.
► Upcoming key catalysts. First PGMS from PlatCro (Feb). DCM fine chrome full production (March). Decision on Kabwe development plan and potential refinery acquisition (Q1/Q2 2019). Permits and approvals for PGM production at DCM (2019).
► Valuation. Our current indicative valuation for Jubilee Metals is 6p/sh fully-diluted (unrisked 8.2p) which implies that JLP is trading at an undemanding 0.40x discount to NAV, with an implied return of 2.5x to the current share price. We forecast significant ramp up in revenue and earnings generation from FY20 as JLP executes on its ambitious growth programme.
Jubilee is not likely to remain under the radar for much longer. 2019 will be a pivotal year for the company as it beds down several new projects. We see no other company as well positioned with the resources, expertise and connections to take advantage of the compelling opportunities presented by global mine waste and tailings. JLP now has multiple commodity exposure and is expanding into new jurisdictions beyond South Africa.
Market data
Ticker
Price (p/sh)
Shard valuation (p/sh) 12m High (p/sh)
12m Low (p/sh) Shares (m)
Mkt Cap (£m) Markets
7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00
Description
JLP 2.45p 6.00p 3.13p 2.02p 1363.5m 33.1m AIM & JSX
JLP.L
Source: LSE
Jubilee Metals Group plc (“Jubilee or “JLP”) is a Johannesburg and London based mine waste processing and metals recovery company listed on AIM (JLP) and the JSE (JBL). The company has operating assets in South Africa and has recently expanded its footprint to Zambia. www.jubileemetalsgroup.com
Board & key management
Non-Exec Chairman Non-Exec Vice Chair CEO
NED
Technical Director
Analyst
Colin Bird Dr Phosa Leon Coetzer Christopher Molefe Evan Kirby
[e-mail] 020 7186 9008
Phil Swinfen

Click the link to read all 42 pages.....

[brucie5] 05/4/2019 15:53

Gosh that sounds depressing. Though I kind of like your sense of humour. I had an uncle, now departed, who was a senior consultant in a London hospital. He suffered from chronic hypochondria and melancholy, as if he saw everything that could wrong with him, going wrong.

Lived well into his nineties!

Sometimes I'm grateful for things I don't know; though they have a tendency to creep up behind you. The most dangerous, however, are those you don't know you don't know. And who doesn't suffer from that?

[lostabillion] 05/4/2019 15:52

Anyone got a link to the Shard note?

[nelson01] 05/4/2019 15:42

Yes just read that myself....good news!

[brucie5] 05/4/2019 15:41

Adejuk, ah yes, I hold some of that for an income folio.
But if you're a medic looking for positive explosive power, may I suggest you take a gander at AOR if you haven't already. You'd be well positioned to judge the potential, I would have thought. Heart valves, breasts and meshes... I dare say you see a lot of those.

[plat hunter] 05/4/2019 15:39

Interesting post from Jammer on LSE

"When I first read the recent Shard Capital broker note I was disappointed to see Jubilee will only get a 15% share of the earnings once the total earnings exceed Jubilee’s capital investment plus 30%. I am sure like others I read that as just a simple extra 30% on the capital used to build the plant, so that by early next year the 15% reduced
earnings would cut in. But the note went on to say that “ based on planned throughput and financial forecasts, Jubilee estimates that 3rd party earnings will only kick in during 2022 and be fully applied in 2023.” That looks like at least an extra 2 years of receiving 100% of the earnings, which will equate to some £15m extra cash flow in 2020 and 2021, certainly a lot more than I was expecting. Based on the information from Jubilee it seems that a 30%p.a. compound rate of interest is being applied to all capital used in the project plus the accumulated interest not repaid through the earnings.

An interesting way of looking at this is any earnings delay through power blackouts and Hernic’s inability to deliver the target tonnage to the plant, will be earning 30%p.a. compound, and the point when the reduced 15% earnings share cuts in is pushed back further. So whilst the delay in producing the targeted earnings may create a short term cash flow problem, it can be argued that the project’s overall profitability will be improved due to the high 30%p.a. compound interest rate on unpaid capital and accumulated interest. Happy days."

[adejuk] 05/4/2019 15:39

i see 30 patients a week for consultation. the hard stuff i refer.

[brucie5] 05/4/2019 15:39

Today's unmentionable?

[adejuk] 05/4/2019 15:38

the security is in insurance cos. aviva, l and g and today's unmentionable.

[brucie5] 05/4/2019 15:37

Ok. So you manage to fit this in between patients? I feel we shouldn't be distracting you from your real work...

[adejuk] 05/4/2019 15:37

and, for my sins, 400k in iqe and vrs