Zincox Share Discussion Threads

[bouncingbean] 08/4/2015 13:44

Just for info I have picked up 1/4 of a Mil today but it hasn't shown up so I guess they are trading on other platforms

[rivaldo] 08/4/2015 13:42

Good to see small sells achieving 9.5p, well above the 9.25p bid price. Hopefully a sign of decent demand for the shares.

[cashpo1nt] 08/4/2015 09:42

My post was too brief, Giant Steps. I meant that it is hard to see any downside in this morning's RNS. Often Zincox RNS start on a positive note and the bad news (eg another breakdown) is buried later in the text. This time it is all positive and it also looks as if the reliability issues may be on the way to being resolved. And the Zinc price is up again!

[rivaldo] 08/4/2015 08:41

From Finncap this morning:

"ZincOx Resources*: Record quarterly production (CORP)

The company has announced a record quarterly trading update for Q1, with continuous operation of KRP for 93 days until 21 March. The first quarter saw 37,714 tonnes of EAFD treated in Q1 (31,379t in Q4 and 28,031t in Q3), with zinc in concentrate production at 8,674 tonnes in Q1 (7,568t in Q4 and 6,563t in Q3). Korean steel mills generated less EAFD in February, partly due to industry closure over the lunar New Year, but also due to the general reduction in steel demand; however, daily throughput in March has recovered.

Daily throughput at KRP therefore recovered from 404tpd in February to 476tpd in the 21 operating days in March. A planned maintenance shut down occurred from 21 March for 14 days and revealed nothing unexpected. Our forecast and price target remain under review until the company can demonstrate consistent positive EBITDA for three months.

Today’s announcement must be seen as encouraging and we think the group must be close to achieving this benchmark. Achieving target levels of production on a consistent basis coupled with the rescheduling of debt announced recently should be taken well by the shares."

[giant steps] 08/4/2015 08:35

Easy to see downside for ZOX given track record of reliability issues imo

Looks an interesting business model, however over the last few years
they have demonstrated how fragile and marginal the exercise has been.

[cashpo1nt] 08/4/2015 08:31

Agreed Rivaldo. Hard to see any downside.

[rivaldo] 08/4/2015 08:18

Bought some of these on the bell this morning (trade not reported yet).

Very encouraging report today imho. With the consistency of production, the high and rising zinc prices, and the debt rescheduling, things seem to be finally coming together here.

It would help if the thread header post had charts, m/cap and news info etc.

[loganair] 04/4/2015 14:33

Zinc prices are expected to rise in the second half as depleting mines close and zinc stocks dwindle at global commodities exchanges, said Mark Cruise.

The closure this year of MMG's Century mine in Australia and Vedanta's Lisheen mine in Ireland will take 170,000t zinc off the market.

"If you look at year-to-date zinc, it's the only base metal that is down warehouse-wise. We're down about 20% and that would suggest that short-term, we're going to see continued declines in warehousing," Cruise said. "We anticipate significantly strengthened zinc prices in the second half of the year."

[boonkoh] 31/3/2015 17:57

Wow... Who was in a rush to dump so many shares on the market in the afternoon???

[rathkum] 18/3/2015 15:49

Is that what the share price weakness indicating - yet another wobble at the plant.

[loganair] 16/3/2015 10:43

The global market will be in a deficit of as much as 250,000 metric tons this year, Thomas said. The International Lead and Zinc Study Group reported a 296,000-ton deficit in 2014, the largest since at least 2007. The shortage could widen to 1.98 million tons by 2017, Bloomberg Intelligence estimates.

Zinc for delivery in three months on the LME dropped 7.3 percent this year and was at $2,019 a ton.

Refined metal prices will start to recover once MMG Ltd.’s Century mine, which accounts for 4 percent of global mined supply, closes during the third quarter, Andrew Michelmore, the company’s chief executive officer, said March 11. About 215,000 tons of new mine capacity has been canceled since October and a further 700,000 tons delayed until 2019.

Goldman Sachs lowered its zinc forecast Jan. 23 to $2,138 a ton from $2,425 for 2015, while raising its 2016 outlook to $2,500 from $2,400.

[billbyrne] 01/3/2015 20:15

Warehouse levels at almost 5 year lows as well

[loganair] 28/2/2015 14:05

Zinc market was in deficit by 296,000t for 2014.

[cashpo1nt] 13/2/2015 15:26

I don't think there are any competitors other than dumping. Anyone know anything different? Of course firms might be tied into dumping contracts which might restrict the availability of EAFD.

[gepetto] 13/2/2015 07:11

I seem to remember that they cancelled an offtake contract to save on disposal costs when they could not deliver capacity. This would have gone to a competitor by now.

[rapier686] 12/2/2015 10:39

I find the feedstock issues bizarre. We can't be anywhere near local EAFD generation - as there had been plans for KRP phase 2.

So steel mills are paying up to dump this toxic waste. Why doesn't KRP get on the phone and offer those mills the chance to get shot of a few truck loads for free? Wouldn't they jump at the chance?

At least running out of feedstock means KRP isn't paying to dump it themselves.

[cyfran101] 11/2/2015 23:34

The doubling of the share price over the last few days shows the good news had leaked out already, it was so low any good news would have sent it up. Profit taking has kicked in.

As mentioned already it is good news but they need to show that they can have consistent production for at least 3 consecutive months.

On the downside it's the first time they have mentioned feedstock supply issues, that casts some doubt on the expansion plans on the same site and possibly other countries.

[cashpo1nt] 11/2/2015 23:24

Disappointing drop after what appears to be good news - continuous operation for nearly 2 months and only routine maintenance planned.The central issue, to my mind, is "can the system be made to work?" Evidence that perhaps it can should improve chances of finding backers for the Thailand project. One cloud I can see, I think, is that it is unlikely that they will amass enough cash to repay the Korean Zinc loan by February '16. But presumably that could be re-renegotiated.
Any thoughts?

[rathkum] 09/2/2015 12:37

I guess Zincox must benefit hugely from from lower energy costs at their Korean plant

[allotment] 09/2/2015 09:17

take a look at 30 day and 6 month and 1 year and 5 year warehouse levels of zinc...seems to be in free fall..hence the price of Zinc is recovering and holding up vs other commodities...price seems strong due to reduction of levels

[blue59] 04/2/2015 13:48

smarm 1684 - 'No idea'..........True!

[quilarvium] 04/2/2015 13:37

Looks promising today!

[smarm] 04/2/2015 12:39

No idea, assume a tip.

S

[cashpo1nt] 04/2/2015 12:00

Encouraging buying and upwards move this morning. Anyone know why? Zinc price up but not spectacular.