Tharisa Share Discussion Threads

[ntv] 23/1/2023 18:14

Chrome $280

[tonytyke2] 23/1/2023 10:43

News on SharePad this morning indicates Berenberg have upped their price target to 270p from 250p 'buy'.

[lennonsalive] 23/1/2023 09:52

All those buyers and it ticks up just a little.

[ntv] 20/1/2023 08:28

Chrome rates look to be over $275 at the moment with freight rates falling considerably
Got to be helping margins and cash generation

[tigerbythetail] 18/1/2023 09:59

Well, my speculation is that the former BEE partner in Tharisa mine is selling off at least some of the shares in Tharisa parent company that they were granted in the corporate reorganisation last year.
I've got no hard evidence to back this up. It's just a hunch.

[sotolo] 17/1/2023 17:05

Yes more people selling than buying makes prices fall. The question is why there are?

[nakedmolerat] 17/1/2023 14:13

must be a seller who is keeping this down?

[ntv] 16/1/2023 17:27

Chrome $270
Pgm's $2333

[nigelpm] 16/1/2023 13:46

It's the Zimbabwe concern - I have no doubt about that.

[themadstork] 16/1/2023 13:44

Not sure who else could be selling such a large cumulative amount; 10m+ shares over the last few months by my count. Fundamentals look very solid here, despite my concerns over investing in Zimbabwe vs returning cash to shareholders, so I've upped my holding considerably over the last week or so.

[tigerbythetail] 16/1/2023 10:05

SLP market cap has just risen above Tharisa's again. Which, with all respect to SLP, is crazy.
Question: does anybody think that it is Tharisa's former BEE partner who are the seller here? Was the point of giving them shares in the parent company to enable them to reduce their holding?

[tigerbythetail] 11/1/2023 09:38

SLP is a good company, and it has been good to me. But I agree that it is not a particularly interesting investment at its current price and with its current prospects.
(BTW, SLP does of course produce a lot of chrome. It just gives it away for free to its "host miner" partner).
THS is objectively a much bigger company - about twice the production of PGMs plus large volumes of chrome + the Karo build.
That SLP currently has a similar market cap to THS is objectively bonkers. And I write this as an SLP admirer.
I have to agree about JLP - too much Colin Bird (still). (And don't think Leon Coetzer hasn't learnt many lessons from the old master of AIM!).

[1jbrisky] 11/1/2023 08:51

Sotolo,
I agree entirely. The fact that the SLP share price is even within 20% of ours, let alone in front, is short term crazy.
I posted similar a few months ago. I have until recently, always been invested in both companies (but never, by the way JLP, I have a Colin Bird aversion) but I now view SLP as a mature business and I'm no longer invested. Karo gives us the opportunity to pretty much double the size and profit of THS within the next 2 years and in my view is very much a growth company.
Chrome sales and the margin of error given the share price mitigate any Zim geographical risk. The short term reduced Divi is what many are clearly steering clear of but over 5%, and very safe, is decent.

[sotolo] 11/1/2023 08:33

Not a silly question.
A. We are very roughly around half profit chrome now, with the rising chrome price SLP is all PGM
B. Their basket is worth about 15% more as 60% rh while we are 50%
C. We only give 17% of profit dividend while they give far more hence higher value
D. BUT we are a potential growth company as we are using the rest of the profit to the build the new Karo mine in Zimbabwe, which will dramatically increase PGM output
E. So we are diversified in PGM and Chrome with a very long lif mine and Karo coming along while SLP is a wasting asset
Overall I would say while SLP is jam today we should be a lot of jam tomorrow if all goes right, a growth company with greater share potential of behind SLP temporarily in this time of very high and risky investment.
Anyone else do say me wrong

[robizm] 11/1/2023 07:40

Silly comparison as slp does not produce chrome.

[farrugia] 11/1/2023 07:36

how does this company compare in production compared to Sylvania Platinum?

[ntv] 10/1/2023 12:15

According to their twitter feed it appears that the current chrome price is $260.
That is a significant increase in the last week or so

[mfhmfh] 09/1/2023 18:17

Q1 production report on 11.01.23.

[tigerbythetail] 03/1/2023 12:04

Hi Nimrod!
Lots of issues with deep mining in South Africa. Eskom performance still woeful.

[nimrod22] 02/1/2023 23:54

Platinum price up 24% in three months

[tigerbythetail] 31/12/2022 12:42

Hi 5teadyEddie!
And yet mining companies do operate successfully in Zimbabwe. Take a look at CMCL (FWIW, I've been a small shareholder there for years). By and large, my attitude is that Zimbabwe has had its nightmare, and nobody but nobody wants to go back to those dark days.
There is also another question which needs to be asked...
Let us assume that the Karo project in Zimbabwe is an utter disaster. It is built at a cost of $400m and then the whole thing is nationalised / destroyed by an asteroid from space on its first day of operation.
Obviously, that would wipe out Tharisa's existing cash and its expected cash flows for the next two years. But Tharisa would still be left with the Tharisa mine with its long life. Wouldn't the shares still be worth 100p (or perhaps more), even in that most extreme case?!?

[tigerbythetail] 31/12/2022 12:33

Hi Sotolo!
Sorry for the slow reply - Santa brought me Covid for Christmas, an unwelcome present but all well now.
2022 not bad for me, up about 20%, mainly thanks to selling out of certain positions in time! As far as I can tell, not to lose money in 2022 counts as some kind of achievement. Yes, I've noticed Centamin recovering, but I missed out as I'm still cold on gold. Frankly, apart from a few specific local opportunities, I don't know where to invest. I think 2023 will be a tough year on the markets as well.
BTW, there's an interesting post on the LSE board where Visitor works out whether THS can finance Caro from existing cash, the already announced bond, and expected cashflow. The answer - with some caveats - is yes.