Kenmare Resources Share Discussion Threads

[donkey40] 11/1/2020 21:53

Mike had to work hard during that interview. She was clueless about the company.

[murraybasin] 10/1/2020 17:22

Linked video:

[bill hickman] 10/1/2020 11:12

How many twitter handles are using to post lies now buystock as well as smallcappick ?

[bill hickman] 10/1/2020 11:12

Buystock still posting links to your twitter ramping handle.

How many twitter ramping handles have you got buystock ?

[donkey40] 09/1/2020 12:11

China know how to substitute better than any other nation on earth. Company shareholder registers are littered with names as a result.

[murraybasin] 09/1/2020 09:55

China ilmenite output has increased but it is mainly not suitable for Chloride process, which is now taking the lead as the predominant process going forward. Lack of imports clearly down to lack of external supply, not internal substitution. Go back and have another read.

[donkey40] 09/1/2020 09:33

Written in a way that they want us to focus on future performance when spitting out 1.2m tonnes ilmenite per annum. Sure not much can go wrong before that .... Move a bit of big kit down the road, unload and switch on... Suspect they will produce like crazy in H1 then - hope the grid supply is stable (coz Eskom sure isn’t).

Is potential substitution in China resurfacing, given imports 24% down in 2019. Is KMR ilmenite grade today any more high grade than it was before last debacle?

Back to sleep I fear.

[spectoacc] 09/1/2020 08:15

All sounded pretty positive.

[borromini1] 09/1/2020 01:57

The business update figures due Friday are going to be impaired as hinted at by the last RNS ... Implementation of this project has been more challenging than expected, resulting in unplanned production downtime, and tipping the balance of Kenmare’s FY 2019 ilmenite production below 900,000 tonnes.

Where will the share price go? I suspect level or down a bit this time round, with more good news and less risk needed later in 2020 to get the share price permanently rising.

[donkey40] 08/1/2020 14:47

I assume you know what you are talking about - coz I sure can’t help you.

[borromini1] 08/1/2020 13:48

The issue is what has been the extended implementation cost for the problematic automated dredging and what kind of dent that makes to the figures that would otherwise be expected to be moving in the right direction.

[murraybasin] 03/1/2020 20:04

Before, if someone can unlock the keys to EIB's cupboard.

[donkey40] 03/1/2020 19:16

No - but volume didn’t drive it down to well below 200p, so logically we don’t need volume drive it back up above 250p?!

This has 350p look all over it - by March/April time.

[murraybasin] 03/1/2020 18:20

Volume's not there, yet.

[donkey40] 03/1/2020 01:57

Looks like lift off momentum is building

[datahead] 02/1/2020 13:46

I sold 2250 today for 235p and the price goes up ! Go figure ! Hny

[spectoacc] 02/1/2020 09:44

Higher prices help lower margins..

[donkey40] 02/1/2020 09:38

Isn’t the low product margin the problem that undid the old KMR ....

[murraybasin] 02/1/2020 08:48

Don't get caught up in the 'low value' product argument. It starts to get lost when you look at ILU's Q3 unit cost of A$ 866/t. Their margin is ~ 48%. Kenmare's is ~ 42%.

Given the relative complexity of ILU's operations, all of that extra complexity isn't justified for that extra 6%.

[donkey40] 01/1/2020 11:53

Conventional wisdom is something is a good buy if bought cheaply. And bad if bought at a high price. But accounting policy and depreciation can help massage expensive buy into a clever buy.

Next we had ILU due dilly on KMR. Long life mine was not good enough to overcome acquiring a low value product that needed capex to fix for mine relocation, dredge equipment Capex and opex, more capex to boost overall production, concerns over power supplies. I imagine many of same problems were spotted in SR due dilly so why did ILU proceed anyways?

Coz rutile sells for 5-8 times price of ilmenite and then costs to fix SR we’re reckoned to be much less.

But what is clear is that ILU management had a big need to do a transaction to Ensure revenue growth was maintained (high value/ margin product strategy in zircon and rutile; not a desire to play in the Low value end of the product market.

Dressed up another way, management say strategy is designed to iron out the boom bust cyclical nature of the feedstocks markets. Time will tell on that one.

[donkey40] 31/12/2019 18:03

HNY greetings and all that. I am still poor thanks to KMR, so really I ain’t much in the mood to big it up.

I have long held the view that KMR share price is stage managed to suit others particular outcome. The share price jumped from the 210 range to 230 range last week, on thin volume. That got me thinking. That got me thinking either Oman or M&G wanted it higher at year end - why?

Why is easy - gaited funds and all that so pressure elsewhere within M&G to show good year end liquidity and valuations (within reason). Take the ‘look after the pennies’ approach - and year end valuations etc look better than they otherwise might.

Then I decided to test the market yday and today. Sold a few shares yday at 235p but there was no appetite for buyers to drive it higher. So today I stuck shares to sell at 234p, 235p, 236, 237p, 237.5p and 238p.

234 went immediately. 235 went after about 40 mins. 1 share of mine (on to sell at 236) went last trade of the day.

Year end close 236. That is the level they wanted (235-236). Now I expect it to trade backward quite quickly in first 2-3 weeks January - between 210-220 range. I personally don’t think the exact year end numbers matter - everyone reasonably knows these are within the guidance range. Shipments will dictate the final Revenue figure for 2019 and if this is less than expected, we can expect great attention piled onto outlook for ilmenite in 2020 (started with a bang).

Reality here - one mine and a set suit of products to produce and sell. Dominant position in the market. Tough place to do business but they should, by now, know how to co-exist there reasonably successfully. The problems are what management are paid to manage through...

It’s all quite boring really !!!

HNY

[kemismelt] 26/12/2019 23:47

murraybasin 17Dec19-982:

The global 87%TiO2 slag market is picking up with constraints at RioTinto smelters throttling the supply lines. LON:KMR can easily reach the 1m target by FY2021.