Jubilee Metals Share Discussion Threads

[1madmarky] 05/8/2019 07:53

Good point

[goldibucks] 05/8/2019 07:45

BMR want to reduce the nominal value of their shares so they can do a placing below the current nominal value of 1p. To do that they need to pass a special resolution which requires 75% support, i.e. the support of JLP. Why would JLP vote for that without a revised deal on the Kabwe royalty?

[robers98] 04/8/2019 14:32

I thought BMR had no more JLP shares, so whatever cash they now have is it.

[1madmarky] 04/8/2019 11:05

Bag of chips.. :-)

Would be nice to draw a line under the whole saga though, especially if it means we keep 100%

[deme1] 04/8/2019 10:34

WHY are you all talking about JLP buying out BMR's royalty?

BMR would not see any royalty for a long while. Let BMR get ever more desperate and they will give us their royalty in exchange for a bag of chips.

[goldibucks] 04/8/2019 00:19

BMR’s current shareholders are in a difficult position. JLP are going to get a chunk of the Kabwe royalty cancelled in return for supporting a heavily dilutive placing with their 29.01% shareholding. Somebody else will put their cash in and get what’s left of the royalty and Montezuma.

The problem BMR have is the JLP shares are running out and it could be 2-3 years before they see a penny from the Kabwe royalty but they need cash now so they need JLP to change the terms so they get something earlier.

I don’t see BMR going bust. That’s not in anybody’s interests. A deal will get done. JLP are in a much stronger position financially so they will come out of it OK.

The placing share subscribers will want a new CEO, Alex Borrelli will want a payoff, and JLP will want a lower royalty. It’s got heavy dilution written all over it.

Saying JLP will need a placing to pay for the royalty reduction is laughable given the situation BMR are in. You don’t need to be an expert in game theory to predict how this one will play out. Kryton’s investment in BMR is deader than a doornail on the entrance to a disco.

[plat hunter] 03/8/2019 23:27

BMR'so proposed placing is equal to 20 new shares for each new share in issue.

You have the current deal and an AIM suspension because they failed in the last placing attempt.

Say's it all and to top it off. It looks like BMR watch want to force a resolution to stop it all. "Oh look a gun, I wonder what happens if I point it at my foot"

[kryptonsnake] 03/8/2019 20:23

you're not that stupid are you plats? You know that BMR has cash and access to a royalty worth millions of dollars

How would BMR go into administration? In the worst event they will just become a dormant company and live off the royalty from Jubilee

Or maybe you are that stupid


LOLsss

[1madmarky] 03/8/2019 14:59

GSG - it's the difference between being in control of your destiny (JLP) and being at the mercy of others (most of the AIM) companies

[plat hunter] 03/8/2019 14:41

JLP won't buy the royalty until BMR enters administration. Why would they pay a premium, prior to the inevitable?

They certainly won't be completing on anything that gets aired by some random forum Walter, before updating their own shareholders.

[kryptonsnake] 03/8/2019 13:32

Jubilee buying the royalty?

Placing ahoy!!


LOLsss

[plat hunter] 03/8/2019 13:23

Only four days until we hear Glencore's big copper plan.

[gsg] 03/8/2019 11:52

The consensus from BMR shareholders is that the new round of proposed dilution will wipe them out, as well as the Kabwe royalty being sold to JLP.

BMR shareholders do seem to have been completely fleeced for a second time. Will this be down to Leon's negotiating skills for Jubilee's benefit, or are we all pawns in Colin's master plan?

[plat hunter] 02/8/2019 22:06

Not many companies are more exposed to the potential hydrogen boom than JLP.

As well as platinum for fuel cells, there's vanadium for grid storage and servicing too.

[plat hunter] 02/8/2019 21:27

Tim

Just add a government decree, for DCM to ramp up local processing and we'll double that pgm again.

[gsg] 02/8/2019 20:31

From BringMyReward on the BMR LSE thread.

"Make no mistake, terms of the Royalty are being thrashed out as we speak, that's why JLP haven't acquired EML yet. They will do so when a deal has been finalised for the conditions of the Royalty."

[timhigginson] 02/8/2019 13:59

Using SLP as a guide to JLP's share price is quite reasonable. At present SLP is producing 20,000 ozs pgms per quarter and its market cap is 97m. JLP should be producing 5to6,000 ozs pgms per month or 15 to 18,000ozs per quarter. SLP cost of production exceeds JLP by maybe $80 per oz.JLP has the chrome which SLP say they are just getting into. We don't yet know about DCM's pgms. Kabwe is and Tjate are two other areas SLP do not have.
SLP has about $20m in the bank.
So I look at the two as level pegging at the moment except that SLP M Cap is 97m and JLP's is 58m which being the case JLP's share price could increase by 50% within the near term in the absence of some bad news and a reasonable report on the nearby future.

[robers98] 02/8/2019 13:21

Electric ambition: BHP eyes EV market with speciality chemicals

BHP Group will face a test of its ability to move beyond bulk mining over the coming year with a foray into specialty chemicals for the battery industry at its once struggling Nickel West division.

The global miner said on Friday it plans to start production of nickel sulphate in the second quarter of next year, a higher value, higher purity product for sale to customers throughout the electric vehicle (EV) supply chain.

The move by the world's biggest bulk miner - best known for iron ore and coal - underscores its efforts to position itself for a decarbonised world, which already relies on copper, another of its core commodities.

Nickel West, which comprises mines, a smelter and a refinery producing nickel as powder or briquettes, is building what BHP expects will be the world's largest nickel sulphate facility to provide material for lithium-ion batteries

Having tried for years to sell the business, its turnaround under the stewardship of Eddie Haegel has made it something of a poster child for efficiency within the company, according to one investor. It was elevated to "core" for growth in May.

But analysts and industry experts say it faces challenges, not least moving BHP from a high volume, low cost producer of bulk commodities to a producer of top quality chemicals demanded by battery makers, and worries about short-term demand.

ALL ABOARD THE NICKEL TRAIN

Nickel's medium term outlook is bright, driven by an expected boom in electric vehicle sales and a move towards nickel-rich batteries that can store more energy, giving a longer drive between charges.

Demand for nickel from the battery supply chain is expected to double to 400 000 t by 2025 from 200 000 t this year, according to Wood Mackenzie, which is around 8 percent of the current global nickel market.

In the short-term, however, an end to some of China's EV subsidies in June has dampened demand throughout the EV battery supply chain, particularly for lithium.

BHP's new production, which is equivalent to 22,000 tonnes of nickel or 100,000 tonnes of sulphate, will add around 11 percent to the market just as other sulphate producers also start or raise output, including Indonesia's QMB New Energy Materials, Papua New Guinea's Ramu and Finland's Terrafirme.

First Quantum said this week it would restart its Western Australian Ravensthorpe nickel operations by the first quarter of 2020 to produce a mixed hydroxide product (MHP) that is cheaper to turn into battery chemicals.

BHP's Haegel, says the miner will aim to match supply with demand and would flexible in what was "a very new, a very young market".

The miner was also confident it tap into its expertise in bulk products.

"We think that integration is a competitive advantage, we think scale is a competitive advantage," Haegel told a briefing at the plant on Friday.

QUALITY QUESTIONS

As battery makers move towards higher nickel-content cathodes, they look for extremely high purity metal. One seller of nickel sulphate, based in Asia, said that BHP's existing metal products were not first choice for his customers because they took longer to process.

"BHP Nickel briquette or powder is not a first purchase option for the nickel sulphate producer in Northeast Asia... It takes more time to solvent (which leads to) less productivity and higher cost," he said.

Haegel acknowledged that BHP had received similar feedback that may be related to the density of BHP's briquettes.

"That hasn't stopped people buying briquettes – sales continue to grow," he said.

"All I can point to is that we have had pretty exponential growth in our sales and our customers keep buying our product."

Nickel West currently contributes just a fraction to BHP's profits, accounting for just $42 million of underlying earnings in the December half year, compared with $3.5 billion from iron ore.

Analysts and investors said given its size and focus, the division could be a better fit for another owner if BHP chooses to revisit a sale.

[sleveen] 02/8/2019 10:52

Tempest in a teacup.

[gsg] 01/8/2019 19:09

Tharissa has nothing to do with JLP's fine chrome set up. Tharissa have been running their fine chrome pilot plant for the last year.

[deme1] 01/8/2019 18:59

That confused me at the time.

WHY would Leon let the big boys look around the fine chrome! did he really think they would not take notes

[gsg] 01/8/2019 18:57

PH, IMO they are also looking at putting a big fine chrome plant into Northam.

[bullster] 01/8/2019 18:33

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$54 million for pgm's and chrome ? ....... for both.

Vision 2020 is targeting annual production of 200 koz of PGMs and 2.0 Mt of chrome concentrate.

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