1 00:00:00,040 --> 00:00:02,880 Friday running miners. The quarterly season's heating 2 00:00:02,880 --> 00:00:05,560 up, and I'm yet to see an exploration company report 3 00:00:05,560 --> 00:00:09,760 they've switched supplies to Axis Mining Technology, if they 4 00:00:09,760 --> 00:00:12,520 weren't already. So I look forward to seeing at 5 00:00:12,520 --> 00:00:17,480 least one talking about gyros and Corey's before the end of 6 00:00:17,480 --> 00:00:19,640 the quarterly's boys. Low hanging fruit, isn't it? 7 00:00:19,880 --> 00:00:22,680 Yeah, Jesus Christ, what more do we need to do here? 8 00:00:22,800 --> 00:00:26,720 Axis Mining Tech, the trusted. You just trust them. 9 00:00:26,720 --> 00:00:28,320 That's all you need to know, boys. 10 00:00:30,400 --> 00:00:35,120 Director's special, mate. She's flying and the bloody, 11 00:00:35,120 --> 00:00:37,880 even the ads are bloody. The banner ads are full up as 12 00:00:37,880 --> 00:00:40,640 well for the next month or so, so get in quick if you want to 13 00:00:40,640 --> 00:00:42,520 get in line. Is that how I was supposed to 14 00:00:42,520 --> 00:00:44,240 say it? Yeah, it is supposed to sound a 15 00:00:44,240 --> 00:00:47,360 lot too much like a dickhead, but like, fuck, you want to get 16 00:00:47,360 --> 00:00:48,640 in? You better get in there. 17 00:00:49,400 --> 00:00:51,120 She's going off. Yes. 18 00:00:51,120 --> 00:00:54,160 And I think, I think that we're learning all this stuff about 19 00:00:54,160 --> 00:00:58,120 email marketing, but just to, to make sure it guarantees it in 20 00:00:58,120 --> 00:00:59,600 your inbox and it helps us as well. 21 00:00:59,600 --> 00:01:02,240 If you just add, when you get the director special in your 22 00:01:02,240 --> 00:01:05,560 inbox, search it and add it as a contact that tells whoever your 23 00:01:05,560 --> 00:01:07,920 email server is that it's a safe thing. 24 00:01:07,920 --> 00:01:09,640 And it maximises our deliverability, everyone. 25 00:01:10,120 --> 00:01:14,560 Just reply and if you reply as well, just reply and say JD, I 26 00:01:14,560 --> 00:01:16,280 like your haircut or something like that. 27 00:01:16,760 --> 00:01:19,200 Then they're just the, it all just flies from there. 28 00:01:19,200 --> 00:01:20,960 JD welcome back in the flesh, mate. 29 00:01:21,080 --> 00:01:22,760 Thank you very much mate, happy to be here. 30 00:01:22,760 --> 00:01:25,320 Good to see you mate. What have we got today, boys? 31 00:01:25,440 --> 00:01:28,000 There's only one place to start, and that's uranium. 32 00:01:28,120 --> 00:01:30,640 Of course, yeah. Going out to Namibia, aren't we? 33 00:01:31,200 --> 00:01:36,320 God's country, Yes, what a what? A bit out of the bloody Trav's 34 00:01:36,760 --> 00:01:40,200 bet that he didn't take might have actually come to fruition. 35 00:01:40,200 --> 00:01:42,720 Sounds surprised. Well, no, it's it's separate to 36 00:01:42,720 --> 00:01:45,200 the podcast. It was on Twitter, but I'm not 37 00:01:45,200 --> 00:01:47,320 sure everything you do on Twitter is associated with the 38 00:01:47,360 --> 00:01:50,520 podcast. But was it? 39 00:01:50,520 --> 00:01:52,440 Would it? How long did it have to stay 40 00:01:52,440 --> 00:01:55,880 below $3? No, no, it was six months from 41 00:01:55,880 --> 00:01:58,520 then, so it's basically in 2 1/2 months time would have been the 42 00:01:58,520 --> 00:02:01,960 the measurement date awesome there was below below three yeah 43 00:02:01,960 --> 00:02:03,760 six months time. So it was basically that was the 44 00:02:04,120 --> 00:02:05,240 the bet. Don't know if it'd happened, but 45 00:02:05,240 --> 00:02:08,960 the the it's a huge story, mate. S 32 is a fucking $15 billion 46 00:02:08,960 --> 00:02:12,080 company and it's down 13 odd percent today in today, which is 47 00:02:12,080 --> 00:02:15,120 just like dosh. That's a that's a lot of a lot 48 00:02:15,120 --> 00:02:17,600 of money. A lot of money vaporised, gone, 49 00:02:17,680 --> 00:02:19,840 poof. Yeah, it's like a bloody gold 50 00:02:19,840 --> 00:02:23,800 developer, fucking gold producer wiped out off the market cap. 51 00:02:23,800 --> 00:02:26,440 Bloody unbelievable. Speaking of gold producers, ah 52 00:02:26,840 --> 00:02:29,920 yes, outrageous. Yeah, DFS for Mcfillimy's kind 53 00:02:29,920 --> 00:02:35,280 of have a chat about that one too and try to get a couple 33 54 00:02:35,280 --> 00:02:37,840 strugglers. Maybe strugglers, Maybe, maybe. 55 00:02:37,880 --> 00:02:39,240 Maybe survivors. Well, yeah. 56 00:02:39,240 --> 00:02:41,040 But just three interesting stories I'm going to tell at the 57 00:02:41,040 --> 00:02:42,640 end. Let's do it, Maddie all. 58 00:02:42,640 --> 00:02:45,960 Right, I good old Paladin, you'd say. 59 00:02:45,960 --> 00:02:49,800 What? One of the two producers on the 60 00:02:49,800 --> 00:02:54,800 ISX, is that right? Yeah, yeah, yeah. 61 00:02:55,160 --> 00:02:58,280 Yeah, it's only them and Boss producing pounds effectively. 62 00:02:58,440 --> 00:03:02,000 BHP. Oh, BHP, of course, yes, but 63 00:03:02,240 --> 00:03:04,800 they're, they're always on ATF flows, ATF flows. 64 00:03:04,800 --> 00:03:09,960 So they've produced a bit over half, £1,000,000 up until 30th 65 00:03:09,960 --> 00:03:11,960 of June. So they've got the the good old 66 00:03:11,960 --> 00:03:16,800 langar Heinrich Mine in Namibia from the great fame of Johnny 67 00:03:16,800 --> 00:03:19,200 Borshov back in the day. That's what this is. 68 00:03:19,200 --> 00:03:22,600 This was what, Yeah, they're, they're living off the coat 69 00:03:22,600 --> 00:03:26,480 tails of the great Johnny B. So there's only men I've seen 70 00:03:26,480 --> 00:03:31,240 with people's Twitter handles, like with his photo and like one 71 00:03:31,240 --> 00:03:34,320 guy, J BS long lost son. So you know you've made it if 72 00:03:34,320 --> 00:03:35,960 you got Twitter profiles about you. 73 00:03:36,400 --> 00:03:41,080 So first shipment 320,000. Sorry OP as well. 74 00:03:41,360 --> 00:03:46,880 Paladin, I own 775% of this. It's 25% CNNC, the Chinese 75 00:03:46,880 --> 00:03:50,320 nuclear company. So it's not 100% of this 1st. 76 00:03:50,320 --> 00:03:55,520 So these are all 100% basis 1st shipment 320,000 lbs of yellow 77 00:03:55,520 --> 00:03:58,880 cake is on the boat as of 12th of July. 78 00:03:58,880 --> 00:04:01,560 So not included in these numbers for sale. 79 00:04:01,560 --> 00:04:07,880 So they received a cash receipt of US Biplow 25 bucks as a 80 00:04:07,880 --> 00:04:11,600 partial advance payment for the offtake in relation to this 81 00:04:11,600 --> 00:04:14,680 shipment. So this assuming that payment 82 00:04:14,680 --> 00:04:17,959 was for all of that shipment, that implies a uranium contract 83 00:04:17,959 --> 00:04:24,200 price of around $77.68 a pound. So that's sort of spot sitting 84 00:04:24,200 --> 00:04:27,840 around at 84. So that's sort of where that 85 00:04:27,840 --> 00:04:31,960 term pricing is if you back out that I assume that's right. 86 00:04:32,080 --> 00:04:38,480 So they're they're guiding for £4.25 million for FY25, going to 87 00:04:38,480 --> 00:04:41,040 ramp up to £6 million eventually. 88 00:04:41,040 --> 00:04:43,160 And that's the 100% boss. That's 100. 89 00:04:43,160 --> 00:04:46,760 Percent basis, yeah. So they've they're guiding cost 90 00:04:46,760 --> 00:04:48,600 of production, these are the midpoints. 91 00:04:48,840 --> 00:04:52,800 So cost of production 29 bucks, 50 a pound for next year. 92 00:04:52,800 --> 00:04:54,840 That's that's, that's they're only producing from the 93 00:04:54,840 --> 00:04:56,320 stockpiles. Yeah, right. 94 00:04:56,320 --> 00:04:59,960 So that that's basically cost of processing, not including cost 95 00:04:59,960 --> 00:05:01,280 of mining because they're not doing. 96 00:05:01,280 --> 00:05:04,200 That but what's going to happen is I like and they've also said 97 00:05:04,200 --> 00:05:07,440 CapEx of 26 bucks. So if you add the that cost of 98 00:05:07,440 --> 00:05:11,920 production, that CapEx together that comes out at around 3560 a 99 00:05:11,920 --> 00:05:14,520 pound for next year if they hit the midpoint. 100 00:05:14,880 --> 00:05:19,680 But then once they ramp up to looking at their from their 101 00:05:19,680 --> 00:05:22,960 initial study and everything, once they ramp up to £6 million, 102 00:05:23,320 --> 00:05:25,920 obviously your processing costs comes down. 103 00:05:25,920 --> 00:05:29,640 You will add a mining cost in which looks around about, I 104 00:05:30,080 --> 00:05:31,480 don't know, maybe 10 bucks a pound. 105 00:05:31,480 --> 00:05:34,240 There's still stock stockpile reclamation and stuff at the 106 00:05:34,240 --> 00:05:36,160 moment. So there is a cost attributed to 107 00:05:36,160 --> 00:05:39,400 it. So it'll look like it'll go up. 108 00:05:40,440 --> 00:05:43,640 No, it won't go up like shit loads because the processing 109 00:05:43,640 --> 00:05:46,320 cost will come down a bit per pound because they are lifting 110 00:05:46,320 --> 00:05:49,600 up to 6,000,000. So they will add a mining cost 111 00:05:49,640 --> 00:05:52,240 on top of that when they actually start mining, which is 112 00:05:52,240 --> 00:05:57,440 scheduled for pretty much start around the start of FY20 6. 113 00:05:57,840 --> 00:06:03,880 And they're looking to reach that 6,000,000 LB mark at end of 114 00:06:03,880 --> 00:06:09,080 calendar year 26th. They've indicated so pretty much 115 00:06:09,080 --> 00:06:12,200 once that even once that mining cost gets added on, processing 116 00:06:12,200 --> 00:06:14,000 come down a bit. If you're looking at they're 117 00:06:14,000 --> 00:06:20,040 selling it at 78 bucks a pound, pretty much 50% margin on what 118 00:06:20,040 --> 00:06:21,800 it's costing for them to get them out. 119 00:06:22,320 --> 00:06:26,680 So when you look at 50% margin, this is where the great uranium 120 00:06:26,680 --> 00:06:30,680 debate is at the moment, the Super Bowls verse the rest. 121 00:06:31,520 --> 00:06:36,000 Best of Bulls. The Super Bowls verse, yeah. 122 00:06:36,240 --> 00:06:39,840 And it was funny to like Warren Irwin was the I guess probably 123 00:06:39,840 --> 00:06:42,680 the first one we've talked to that's actually said look of 124 00:06:43,240 --> 00:06:46,240 sort of on the other end of it, other end of the narrative at 125 00:06:46,240 --> 00:06:50,680 the moment. But remember the Super Bowls all 126 00:06:50,800 --> 00:06:55,320 own uranium stocks and probably physical. 127 00:06:55,960 --> 00:06:58,360 The people that aren't the Super Bowls have probably made their 128 00:06:58,360 --> 00:07:02,360 money already and are out of it. So just keep that in mind when 129 00:07:02,360 --> 00:07:04,080 we go through all these reasonings. 130 00:07:04,080 --> 00:07:08,880 So if you talk about what's incentive pricing for uranium, 131 00:07:08,880 --> 00:07:12,640 like if they're say like a hot like Namibia is not the highest 132 00:07:12,640 --> 00:07:15,800 grade, highest quality more uranium mines in the world, like 133 00:07:15,800 --> 00:07:19,680 they're no, not a they're not an Adabaska Basin thing to reach 134 00:07:19,800 --> 00:07:22,360 much simpler open pit and it's existing infrastructure. 135 00:07:22,360 --> 00:07:24,320 And everything. But they're not a tier one. 136 00:07:24,360 --> 00:07:25,840 It's not a tier one thing. And they're to. 137 00:07:25,840 --> 00:07:27,400 Restart project for a reason, yeah. 138 00:07:27,440 --> 00:07:29,360 Exactly. They're making, they're looking, 139 00:07:29,360 --> 00:07:31,720 they're like they're going to make 50% margin. 140 00:07:31,720 --> 00:07:37,480 So same as a gold producer producing not all in but close 141 00:07:37,480 --> 00:07:40,400 to all in of 1800 bucks an ounce at these prices. 142 00:07:40,400 --> 00:07:45,560 So like you'd say the price of uranium right now is what it 143 00:07:45,560 --> 00:07:48,680 needs to be to incentivize new mines to come on. 144 00:07:48,680 --> 00:07:52,440 I think we, I don't say the idea that uranium must going to go to 145 00:07:52,440 --> 00:07:56,280 bloody 130 or whatever. Lot more, lot more things at 146 00:07:56,280 --> 00:07:58,120 play. So we'll go through, I'll go, 147 00:07:58,120 --> 00:08:01,880 I'll go through what I've interpreted it as both sides of 148 00:08:01,880 --> 00:08:05,560 the argument. So even though, OK, the uranium 149 00:08:05,560 --> 00:08:07,920 term price right now that they're selling for that's an 150 00:08:07,920 --> 00:08:12,680 incentive price. But does that mean that all 151 00:08:12,680 --> 00:08:18,120 these uranium mines are going to come on like that function of as 152 00:08:18,160 --> 00:08:21,600 great Mike Olken says, function of getting permitted and 153 00:08:21,600 --> 00:08:23,640 developed. Is that going to be quick enough 154 00:08:24,040 --> 00:08:28,240 to bloody negate this bloody so called supply shortage? 155 00:08:28,240 --> 00:08:31,640 So will will they? Will they come online faster 156 00:08:31,960 --> 00:08:36,600 than these new reactor builds? So remember, A1 GW reactor can 157 00:08:36,600 --> 00:08:40,400 take six to 10 plus years to build, depending on who builds a 158 00:08:40,400 --> 00:08:42,720 China pump amount six years or less. 159 00:08:42,720 --> 00:08:48,200 So there's currently 62 reactors under construction around the 160 00:08:48,200 --> 00:08:50,480 world. As of now, 28 of them are in 161 00:08:50,480 --> 00:08:53,040 China. So China's bloody flying, but on 162 00:08:53,040 --> 00:08:58,240 the other side, will there be some of the later life reactors 163 00:08:58,240 --> 00:09:01,440 that are currently in operation start shutting down while those 164 00:09:01,440 --> 00:09:04,960 new ones are getting built. So it doesn't mean that there's 165 00:09:04,960 --> 00:09:08,680 going to be a bit bit more requirement for supply, but a 166 00:09:08,680 --> 00:09:11,400 bit of drop in demand as well with those shutting down. 167 00:09:11,400 --> 00:09:14,160 So that's there's a big bloody balance and act there. 168 00:09:14,200 --> 00:09:16,400 And it makes, it makes perfect sense that the first cab off the 169 00:09:16,400 --> 00:09:18,200 rank is all the restart projects. 170 00:09:18,240 --> 00:09:23,040 So Honeymoon, Lange, Heinrich, Alta Mesa, all these, all these 171 00:09:23,040 --> 00:09:25,080 projects that have been in operation in the past, they just 172 00:09:25,080 --> 00:09:26,480 come on naturally much quicker, don't they? 173 00:09:26,600 --> 00:09:31,040 Yeah, and God, I'd hate to say fucking global uranium supply 174 00:09:31,040 --> 00:09:35,560 chain model, because there is so many moving parts between these, 175 00:09:35,840 --> 00:09:38,880 all these reactor builds, the conversion, the enrichment and 176 00:09:38,880 --> 00:09:41,880 the builds of all those facilities plus the supply. 177 00:09:42,320 --> 00:09:45,560 Jesus Christ, that'd be like like old mate, that picture that 178 00:09:45,560 --> 00:09:48,920 keeps coming up with the fucking, the beautiful boy and 179 00:09:48,920 --> 00:09:50,800 the bloody off. What was that off? 180 00:09:51,960 --> 00:09:54,600 Just the one with how every company in Australia. 181 00:09:54,600 --> 00:09:57,720 The the meme I'll get keep getting my head put on for the 182 00:09:57,720 --> 00:10:00,680 thumbnail. That's that's Pepe Sylvia. 183 00:10:00,680 --> 00:10:03,960 It's a meme from from It's Always Sunny in Philadelphia. 184 00:10:03,960 --> 00:10:05,280 That's the one. Yeah, yeah, yeah. 185 00:10:05,280 --> 00:10:09,720 It's one of those one of those sort of setups then look then 186 00:10:09,720 --> 00:10:12,760 the then the political. So then the political side. 187 00:10:12,760 --> 00:10:15,080 Big Trump looking to be back in power soon. 188 00:10:15,080 --> 00:10:17,440 It'd be interesting to see what effect that'll have on uranium 189 00:10:17,440 --> 00:10:21,080 because you can predict that he'll want to make America great 190 00:10:21,080 --> 00:10:24,480 again. So he could really enforce hard 191 00:10:24,480 --> 00:10:28,000 the detachment from Russia and make it difficult for utilities 192 00:10:28,000 --> 00:10:31,800 to get these waivers. But we did say last week that US 193 00:10:31,800 --> 00:10:36,720 utility centrist, they were granted away before low enriched 194 00:10:36,720 --> 00:10:40,880 uranium from Russia for the remainder of this year in 2025. 195 00:10:41,040 --> 00:10:44,280 I think I think one of the most compelling arguments on the the 196 00:10:44,440 --> 00:10:48,120 US political side of things is that he'd be supportive of, you 197 00:10:48,120 --> 00:10:51,280 know, a lot of energy and that just getting energy from every 198 00:10:51,280 --> 00:10:54,720 source possible, whether that be oil and gas, nuclear, just so 199 00:10:54,720 --> 00:10:57,160 that US manufacturing, one of the things that is caught in his 200 00:10:57,160 --> 00:10:59,920 heart, you know, can be done at a cheaper rate. 201 00:10:59,920 --> 00:11:02,000 You lower the cost of energy across the country. 202 00:11:02,360 --> 00:11:04,680 It benefits next to everything. Yeah. 203 00:11:04,720 --> 00:11:10,000 And I think for how much nuclear that US uses, it's build has 204 00:11:10,000 --> 00:11:13,840 obviously been very it's growth of the nuclear industry has been 205 00:11:13,840 --> 00:11:17,640 very small in race at times. It's a lot of it's like existing 206 00:11:17,640 --> 00:11:20,960 from a lot of years ago. So there's, but it could, it 207 00:11:21,000 --> 00:11:24,520 could ramp up renewables there as well and like natural like 208 00:11:24,600 --> 00:11:28,760 LNG and as well, as you said as part of a holistic power energy 209 00:11:28,760 --> 00:11:33,360 solution. So who who knows the, the whole 210 00:11:33,360 --> 00:11:36,040 Kazakhstan thing. That's another very interesting 211 00:11:36,040 --> 00:11:40,360 thing as we've seen with the increased Takra tax rates, what 212 00:11:40,360 --> 00:11:43,880 news will we see out of chemical because that a prom which is due 213 00:11:43,880 --> 00:11:47,000 to start in August. So will this increased tax for 214 00:11:47,000 --> 00:11:50,960 the Kazakhstan JVS take some pounds out of the market because 215 00:11:52,440 --> 00:11:55,360 they've essentially taken away the incentive to expand and hit 216 00:11:55,360 --> 00:12:00,000 the high end of subsoil use agreements to sort of play a bit 217 00:12:00,000 --> 00:12:02,760 of creative accounting with these tax brackets. 218 00:12:02,760 --> 00:12:06,200 So that's we're yet to see what the effect of that's going to 219 00:12:06,200 --> 00:12:08,840 be. Will Chemico, will cigar like a 220 00:12:08,840 --> 00:12:11,560 MacArthur River actually bring in the chocolates? 221 00:12:11,560 --> 00:12:15,120 Will they be be producing at these 18,000,000 LB rates? 222 00:12:15,440 --> 00:12:19,400 Then the big WNI conference at the start of September where all 223 00:12:19,400 --> 00:12:22,680 the bigwigs get together to talk uranium and contracting and 224 00:12:23,000 --> 00:12:25,960 everything else because they've attributed that the uncertainty 225 00:12:25,960 --> 00:12:29,920 around these waivers. He is sort of one factor why 226 00:12:29,920 --> 00:12:31,320 everything's a bit quiet at the moment. 227 00:12:31,320 --> 00:12:33,240 There's not much going on in spot there. 228 00:12:33,760 --> 00:12:36,200 There's not much colour on what's going on about new 229 00:12:36,200 --> 00:12:39,520 contracts getting done at the moment. 230 00:12:39,520 --> 00:12:41,160 Surely you'll be given the keynote, mate. 231 00:12:41,480 --> 00:12:43,960 Oh yeah, surprise. Where's me fucking plane ticket? 232 00:12:43,960 --> 00:12:48,240 Anyone that wants me over there. But if the likes of the great 233 00:12:48,240 --> 00:12:52,320 Mike Hulkin are correct and he's like as he, he's a uranium bull, 234 00:12:52,320 --> 00:12:58,360 he's bloody entrenched in it. So he's saying that real deficit 235 00:12:58,360 --> 00:13:02,560 will come around that 2030 and and in as he said, uranium 236 00:13:02,560 --> 00:13:05,920 contracting world pounds contractor today could be four, 237 00:13:05,920 --> 00:13:10,080 5-6 years down the road. So it's like the question is, 238 00:13:10,080 --> 00:13:13,360 will, will utility start loading up on the pounds to secure 239 00:13:13,360 --> 00:13:20,240 supply for that 2030 period now or yeah, why haven't they 240 00:13:20,240 --> 00:13:22,120 already that? And that's the thing, like 241 00:13:22,120 --> 00:13:25,960 everyone's like, there's all this big thesis developing for 242 00:13:25,960 --> 00:13:29,400 this to take off, but it hasn't. And you always think is that for 243 00:13:29,400 --> 00:13:32,120 a reason. So there's the questions you 244 00:13:32,120 --> 00:13:33,600 need to ask. And it's, it's one of those 245 00:13:33,600 --> 00:13:38,200 things you've, I end up in this spot where I have no answers, 246 00:13:38,480 --> 00:13:41,400 but there's a lot of questions. But there's two, there's just 247 00:13:41,400 --> 00:13:42,920 two, there's obviously two sides. 248 00:13:42,920 --> 00:13:46,680 There's one side that doesn't see it as going any other way 249 00:13:47,240 --> 00:13:51,360 but up and ballistic, but it hasn't yet and you always have 250 00:13:51,360 --> 00:13:54,520 to be cautious as an investor to not to get bloody sucked into 251 00:13:54,520 --> 00:13:56,040 that. Totally, Yeah. 252 00:13:56,040 --> 00:13:59,000 And in simple terms, I think the way you started out of segments 253 00:13:59,080 --> 00:14:02,480 like spot on, it's like the most simplistic way to view commodity 254 00:14:02,480 --> 00:14:06,800 markets is at some price, you have incentive for new supply to 255 00:14:06,800 --> 00:14:10,320 come online and new supply is the cure for high prices. 256 00:14:11,560 --> 00:14:13,200 Yeah, that's it. I think watching that supply 257 00:14:13,200 --> 00:14:15,920 dynamic is, is is like, you know, the most meaningful thing 258 00:14:15,920 --> 00:14:18,600 you can you can do then, then you've got the whole, the whole 259 00:14:18,600 --> 00:14:21,440 contracting landscape. And yeah, maybe that's the bit 260 00:14:21,440 --> 00:14:23,440 that hasn't matched expectations at the moment. 261 00:14:23,480 --> 00:14:28,120 Yeah, and I'll think and as you got to and you with all this 262 00:14:28,120 --> 00:14:32,040 bloody looking into it so much, you just you got to figure out 263 00:14:32,040 --> 00:14:34,360 if it is it going up, down or staying the same? 264 00:14:34,440 --> 00:14:40,440 Who bloody knows? But yeah, I, I, I'd like to know 265 00:14:40,440 --> 00:14:44,560 an example of a commodity in terms of looking at the vertical 266 00:14:44,560 --> 00:14:49,720 integration of it that would be so complicated in the supply 267 00:14:49,720 --> 00:14:53,280 demand dynamics. I would like to know if there's 268 00:14:53,280 --> 00:14:57,680 one more with as much moving parts as this and as much 269 00:14:57,680 --> 00:15:00,160 variation. Whereas when when you talk about 270 00:15:00,160 --> 00:15:04,720 difference in tile assay that they use through the centrifuges 271 00:15:04,720 --> 00:15:08,040 to then change how much uranium goes in and the enrichment 272 00:15:08,040 --> 00:15:12,320 supply new site like as I said, the the amount of reactor builds 273 00:15:12,320 --> 00:15:18,440 going around globally plus and with such concentrated areas of 274 00:15:18,760 --> 00:15:21,880 enrichment and conversion. It's it. 275 00:15:22,240 --> 00:15:25,480 It just fascinates me, as you said, Jada. 276 00:15:25,760 --> 00:15:28,600 It's one of the reasons you get funds with a specific mandate 277 00:15:28,640 --> 00:15:30,760 just to to study this part of the world. 278 00:15:30,960 --> 00:15:33,280 You know, there's not many other commodities where we see a fund. 279 00:15:33,560 --> 00:15:36,520 You know, you don't see pure copper funds. 280 00:15:36,720 --> 00:15:38,360 Yeah, and that's one of the reasons. 281 00:15:38,360 --> 00:15:40,880 Obviously there's a couple of other reasons as well, but. 282 00:15:41,240 --> 00:15:43,720 Yeah, we're actually copper would have to be easier to model 283 00:15:43,720 --> 00:15:46,840 than this side, I reckon. I'll be interested to know. 284 00:15:46,840 --> 00:15:50,400 I think alum, the aluminium complex complex, which is one 285 00:15:50,400 --> 00:15:55,560 we're going to talk about next, is nowhere near as complex as 286 00:15:56,040 --> 00:15:59,560 uranium and the the whole nuclear chain, but it has some 287 00:15:59,560 --> 00:16:02,520 complexities with the various stages of of integration along 288 00:16:02,520 --> 00:16:03,560 the way. In some ways, at least the 289 00:16:03,560 --> 00:16:06,960 demand for uranium, everyone knows what the only reason you 290 00:16:07,080 --> 00:16:08,840 use it for. Yeah, it's not like there's 291 00:16:08,840 --> 00:16:11,280 multiple use cases from that. So you can work backwards from, 292 00:16:11,640 --> 00:16:14,280 from energy modelling, which is some way simpler than other 293 00:16:14,520 --> 00:16:17,080 other commodities. But the it's the processing 294 00:16:17,080 --> 00:16:18,800 stages, which is, you know, a bit more complex. 295 00:16:18,800 --> 00:16:21,160 And figuring out what those bottlenecks are is like a an 296 00:16:21,160 --> 00:16:23,600 interesting thing. And and with the contracting as 297 00:16:23,600 --> 00:16:26,080 well, knowing that, I suppose whether that takes some 298 00:16:26,080 --> 00:16:28,680 complexity out of it because everything's contracted so far 299 00:16:28,680 --> 00:16:32,880 down the line. It's hasn't got as, it's not as 300 00:16:32,880 --> 00:16:36,440 I don't know if it's as sensitive to fluctuations 301 00:16:36,440 --> 00:16:38,960 because it's all planned out 5-6 years ahead. 302 00:16:39,160 --> 00:16:42,200 I'm not sure. I'd love a bit of feedback from 303 00:16:42,200 --> 00:16:45,560 the gurus from a very coming from a very simplistic base 304 00:16:45,560 --> 00:16:47,680 here. So it's bloody interesting 305 00:16:47,680 --> 00:16:49,360 stuff. I had a fucking migraine early, 306 00:16:49,360 --> 00:16:52,360 so I probably cocked up the whole thing, but I was going to 307 00:16:52,360 --> 00:16:54,200 do the Ray Charles with me son. He's on. 308 00:16:55,720 --> 00:16:57,040 I'm doing it for the team anyway. 309 00:16:57,160 --> 00:17:00,560 That's what's called bloody, say, just turning something very 310 00:17:00,560 --> 00:17:03,400 basic into a bloody filler uranium filibuster. 311 00:17:03,400 --> 00:17:07,079 So, but it's just it's coming. It's coming to an interesting 312 00:17:07,079 --> 00:17:08,839 time. The fall. 313 00:17:08,920 --> 00:17:11,000 Once we go into the fall, the fall. 314 00:17:11,000 --> 00:17:12,560 We'll see what comes out WNA mate. 315 00:17:12,839 --> 00:17:17,760 Yeah, what's right, editors are buddy, S 32. 316 00:17:17,760 --> 00:17:24,119 Well, they're S 12 today, but it could be S 32 tomorrow, so. 317 00:17:24,760 --> 00:17:27,280 Yeah, yeah, just about for the on the way. 318 00:17:27,280 --> 00:17:30,200 They're making good progress for the month to be S 32 mate. 319 00:17:30,880 --> 00:17:34,720 So they had the quarterly come out as well as an update from 320 00:17:34,720 --> 00:17:37,320 Worsley Illumina. So let's get started with 321 00:17:37,680 --> 00:17:40,440 Worsley because I think that's the the focus of the market. 322 00:17:40,440 --> 00:17:46,640 They're they're writing down Worsley by US $554,000,000. 323 00:17:46,640 --> 00:17:49,200 So that's naturally the, the headline that grabs people's 324 00:17:49,520 --> 00:17:51,040 attention. And I think we should just get 325 00:17:51,040 --> 00:17:54,240 everyone on the on the same page to start with Worsley Illumina 326 00:17:54,240 --> 00:17:56,120 accounts for that. The bauxite operations out near 327 00:17:56,120 --> 00:18:01,280 Boddington and then the the Illumina refinery near Collie 328 00:18:01,640 --> 00:18:05,480 that is 86% owned by South 32 with a couple Japanese partners. 329 00:18:05,920 --> 00:18:08,640 So they started their environmental approvals process. 330 00:18:08,640 --> 00:18:11,400 This has obviously been in operation for many, many decades 331 00:18:11,680 --> 00:18:16,680 now, but environmental approvals processes to essentially start 332 00:18:16,680 --> 00:18:19,720 start the next stage and continue what they're doing with 333 00:18:19,720 --> 00:18:22,880 their operations down there. But they've sort of felt that 334 00:18:22,880 --> 00:18:26,360 the approval that they got given by the WA Government was so 335 00:18:26,360 --> 00:18:28,640 restrictive that it would challenge the long term 336 00:18:28,640 --> 00:18:31,920 viability of the operations. That was, that was an approval, 337 00:18:32,280 --> 00:18:34,840 a conditional approval given to them on the 8th of July. 338 00:18:34,960 --> 00:18:35,840 That's right, earlier this month. 339 00:18:35,920 --> 00:18:38,240 That was pretty onerous in, in, in one of them. 340 00:18:38,240 --> 00:18:41,400 They've come out with something today saying long term viability 341 00:18:41,400 --> 00:18:42,800 is challenged. Yeah. 342 00:18:42,800 --> 00:18:45,880 And I think that that particular wording is what the markets kind 343 00:18:45,960 --> 00:18:49,120 of grabbed onto. So the reason behind the write 344 00:18:49,120 --> 00:18:53,000 down is essentially increased uncertainty ultimately around 345 00:18:53,000 --> 00:18:55,840 the the future cash flows of that part of the business and 346 00:18:55,840 --> 00:18:59,800 the sort of associated challenges in operating down 347 00:18:59,800 --> 00:19:02,240 there. So obviously an impairment, a 348 00:19:02,240 --> 00:19:06,200 non cash expense, it'll show up in the the full year results 349 00:19:06,200 --> 00:19:10,200 that we see in August and should see a tax benefit given the the 350 00:19:10,200 --> 00:19:13,160 higher deductible expenses on the back of that. 351 00:19:13,240 --> 00:19:15,880 But this, this operation is pretty, pretty crucial to a lot 352 00:19:15,880 --> 00:19:17,320 of different parts of the business, right? 353 00:19:17,320 --> 00:19:20,160 Like it's not, it's not like a stand alone and doesn't feed 354 00:19:20,360 --> 00:19:22,520 everything else. There's there's layers to this, 355 00:19:22,960 --> 00:19:24,960 this operation. Yeah, absolutely. 356 00:19:24,960 --> 00:19:28,080 So as a quick reminder, you know bulk site to alumina to 357 00:19:28,120 --> 00:19:31,840 aluminium, they mine the bulk site and in the southwest here 358 00:19:31,840 --> 00:19:36,720 they turn it in a quite energy intensive process into alumina, 359 00:19:36,920 --> 00:19:40,080 which from that particular operation they send part to the 360 00:19:40,080 --> 00:19:43,640 market and part to their smelters in Southern Africa. 361 00:19:43,640 --> 00:19:48,760 So Hillside and Mozel in South Africa and Mozambique, one of 362 00:19:48,760 --> 00:19:53,000 them being 100% owned and the other 64% owned. 363 00:19:53,000 --> 00:19:54,280 Yeah, right. You know, you know why they 364 00:19:54,280 --> 00:19:56,680 build them over there. JD Mozel and that. 365 00:19:57,160 --> 00:19:58,120 Energy, mate. Power. 366 00:19:58,120 --> 00:20:03,040 Cheap hydropower, so bloody and well, you see you, you see more 367 00:20:03,040 --> 00:20:05,880 of them getting more stuff like this about to be built in 368 00:20:05,880 --> 00:20:07,360 Australia. And you know why? 369 00:20:07,360 --> 00:20:11,240 That is why things have changed. I've got a guess there's there's 370 00:20:11,240 --> 00:20:12,880 one company I think of with Power Mate. 371 00:20:13,040 --> 00:20:16,920 If you they wait offset hydro power costs, is Silverstone 372 00:20:16,920 --> 00:20:21,240 installing it for you to give 110% long term reliability? 373 00:20:21,280 --> 00:20:23,640 I'm surprised that power that isn't hydro. 374 00:20:23,640 --> 00:20:26,040 Surprised S 32 didn't mention that they're going to get in 375 00:20:26,040 --> 00:20:28,280 touch with Silverstone adjustment today. 376 00:20:28,520 --> 00:20:31,560 Cross don't they after dropping like that they need some 377 00:20:31,560 --> 00:20:35,640 Silverstone in their life. So mate they could probably 378 00:20:35,640 --> 00:20:38,200 bloody those S. Well, South Africa, the ones 379 00:20:38,200 --> 00:20:40,760 there, they pretty much live on blackouts, so God, they need 380 00:20:40,760 --> 00:20:42,760 some friggin Silverstone in their life too. 381 00:20:43,080 --> 00:20:44,400 They do. Jeez, they could go bloody. 382 00:20:44,400 --> 00:20:46,600 Have a field day over there. Get rid of escom. 383 00:20:46,600 --> 00:20:48,560 Get and. Mate, get them in. 384 00:20:48,560 --> 00:20:50,240 There, Silverstone. They'll even serve over the 385 00:20:50,240 --> 00:20:52,760 ground where the power's going on do they'll even sort the 386 00:20:52,760 --> 00:20:57,280 water out to feed the bloody the plant once the power's powering 387 00:20:57,280 --> 00:21:01,040 it like fucking that is what a bloody turnkey of a mining mob 388 00:21:01,680 --> 00:21:03,960 guys. Silverstone thank you very much. 389 00:21:03,960 --> 00:21:07,960 Anyway, we bloody back to. That's why they need Silverstone 390 00:21:07,960 --> 00:21:08,880 continue. Yeah. 391 00:21:08,880 --> 00:21:11,920 So, so just putting the importance of the aluminium 392 00:21:11,920 --> 00:21:14,600 complex for South 32 front and centre. 393 00:21:14,600 --> 00:21:17,840 This makes up looking at a few broker reports about 10 billion 394 00:21:17,840 --> 00:21:21,040 plus, you know 11 billion on some broker reports of the NAV 395 00:21:21,040 --> 00:21:24,400 of the whole business of a company that these guys put in 396 00:21:24,400 --> 00:21:27,280 the in the mid 20s. So about half the business 397 00:21:27,280 --> 00:21:29,400 pretty substantial. Now of course I. 398 00:21:29,440 --> 00:21:31,920 Would not have known that until you said that. 399 00:21:32,000 --> 00:21:35,920 Now they've got an aluminium huge complex like an integrated 400 00:21:37,160 --> 00:21:41,440 set up in Brazil as well, mines alumina aluminium. 401 00:21:41,440 --> 00:21:43,480 So there's kind of two parts to it. 402 00:21:43,920 --> 00:21:47,760 But yeah, it makes up a very substantial amount of of their 403 00:21:47,760 --> 00:21:50,000 business. And like we sort of said that 404 00:21:50,360 --> 00:21:53,760 long term viability I think is what's kind of spooked investors 405 00:21:53,760 --> 00:21:55,920 today. And hence like you said at the 406 00:21:55,920 --> 00:21:59,880 top of the show, Maddie, a 12 or 13% off is very substantial. 407 00:21:59,880 --> 00:22:02,080 But I think you got to take it with a bit of a pinch of salt 408 00:22:02,080 --> 00:22:05,360 because there is the the political aspect to this as 409 00:22:05,360 --> 00:22:06,760 well. They're a big employer. 410 00:22:07,280 --> 00:22:10,480 They want to, you know, get off on the right foot with these 411 00:22:10,480 --> 00:22:12,200 negotiations. And this is kind of part and 412 00:22:12,200 --> 00:22:15,480 parcel of throwing their weight around and letting the state 413 00:22:15,480 --> 00:22:18,080 government know that, yes, they are a big employer. 414 00:22:18,440 --> 00:22:20,000 They want this operation to go ahead. 415 00:22:20,000 --> 00:22:22,760 They've been employing people and doing work in the state for 416 00:22:22,760 --> 00:22:24,840 decades and they want to keep it going that way. 417 00:22:25,160 --> 00:22:27,440 And they don't want to be threatened and they don't want 418 00:22:27,440 --> 00:22:29,280 to have the profitability, profitability of their 419 00:22:29,280 --> 00:22:32,240 operations put under too much pressure. 420 00:22:32,240 --> 00:22:34,840 So it's a bit of that going on at the moment. 421 00:22:34,840 --> 00:22:37,480 And this, like they said, it sort of started in 2019. 422 00:22:37,480 --> 00:22:39,920 This particular process, it takes a while to play out. 423 00:22:40,320 --> 00:22:43,680 And this is one step in that in that sort of journey. 424 00:22:43,800 --> 00:22:47,000 Is the read through that that some of the conditions put on 425 00:22:47,040 --> 00:22:50,880 put on them in the conditional approval would mean, you know, 426 00:22:51,000 --> 00:22:53,760 basically mining from lower grade areas and then the their 427 00:22:53,760 --> 00:22:56,560 base case and and effectively that's that's kind of like, you 428 00:22:56,560 --> 00:22:59,360 know. Yeah, whether it's, I mean at 429 00:22:59,360 --> 00:23:02,120 the end of the day just higher costs or whether that's mining 430 00:23:02,120 --> 00:23:03,560 from lower is I mean it's pretty light on. 431 00:23:03,560 --> 00:23:06,400 It's a 11 sort of page announcement, whether that's 432 00:23:06,400 --> 00:23:10,800 mining from lower grade parts or you know, everything else that 433 00:23:10,800 --> 00:23:13,040 can make the your sort of costs higher. 434 00:23:13,360 --> 00:23:16,160 I've just just read the the commentary from JPM. 435 00:23:16,160 --> 00:23:19,680 They go there is no detail yet, but we assume at this stage that 436 00:23:19,680 --> 00:23:22,440 these conditions impact the mine plan further limiting access to 437 00:23:22,440 --> 00:23:25,680 high grade ore which increases costs, lowers production as 438 00:23:25,680 --> 00:23:28,640 experienced by AWAC. There may be CapEx involved to 439 00:23:28,640 --> 00:23:31,360 move to new areas. The impairment is large relative 440 00:23:31,360 --> 00:23:33,920 to the remaining carrying value of 2 billion highlighting the 441 00:23:33,920 --> 00:23:36,800 impact. So, yeah, but like you say, and 442 00:23:36,800 --> 00:23:40,600 sometimes you kind of you put this kind of bearish outlook to 443 00:23:40,600 --> 00:23:44,280 the market as leverage in order to get the, you know, reduced 444 00:23:44,280 --> 00:23:47,120 conditionality from the from the regulator and and maybe that 445 00:23:47,120 --> 00:23:48,560 that's the way to resolve things too. 446 00:23:48,800 --> 00:23:51,440 Yeah, I think that's part and parcel of how bigger, bigger 447 00:23:51,440 --> 00:23:54,040 companies operate. You know, they they see what 448 00:23:54,040 --> 00:23:57,760 they can extract from state and federal governments. 449 00:23:58,560 --> 00:24:00,400 Yeah, it's all right. So should we? 450 00:24:00,760 --> 00:24:05,360 Is there any coincidence that it's been timed for this 451 00:24:05,360 --> 00:24:06,720 quarterly? No way man. 452 00:24:06,720 --> 00:24:09,000 This announcement. Do you remember? 453 00:24:09,000 --> 00:24:10,280 I don't. Believe in coincidence? 454 00:24:10,720 --> 00:24:13,080 I don't know well, they didn't get their conditional approval 455 00:24:13,080 --> 00:24:16,480 until until 8th of July, but I, I was always just thinking that 456 00:24:16,480 --> 00:24:19,960 there might be some negative surprises to come out this, this 457 00:24:20,160 --> 00:24:22,240 period of reporting for South 32 because you remember the 458 00:24:22,240 --> 00:24:25,440 measurement date for Grand Casbury payday, big payday was 459 00:24:25,440 --> 00:24:28,040 the 30th of June 2024. On this chart. 460 00:24:28,320 --> 00:24:31,760 I've I've marked the date clearly that S 32 kind of they 461 00:24:31,760 --> 00:24:34,000 got there pretty easily in the end out performing both the MSEI 462 00:24:34,080 --> 00:24:37,440 World Index and Ms and be metals and mining index over the prior 463 00:24:37,440 --> 00:24:41,120 four year period, which would mean care got the full LTR 464 00:24:41,120 --> 00:24:43,360 bonus, which at the time was, you know, nearly $10 million in 465 00:24:43,360 --> 00:24:45,680 South 32 shares. And but since then, since 30 466 00:24:45,680 --> 00:24:49,680 June they've they've sold off, you know, nearly 20%, about 18% 467 00:24:50,800 --> 00:24:52,840 in particular today, like you said, 12% alone. 468 00:24:52,840 --> 00:24:55,800 So things would be touch and go now if it was kind of measured 469 00:24:55,800 --> 00:24:58,320 over the next few days, but yeah. 470 00:24:58,480 --> 00:25:00,520 I think, I think it was my understanding that this thing 471 00:25:00,600 --> 00:25:06,240 goes to this ten, 10 million bucks goes to the the board in 472 00:25:06,240 --> 00:25:10,880 charge of R.E.M. And they've still got a decision 473 00:25:10,880 --> 00:25:14,680 to make and they might not give him every portion or every every 474 00:25:14,680 --> 00:25:17,000 dollar of that. Well get how about bloody go 475 00:25:17,080 --> 00:25:21,280 from again my low base JD, why don't you educate me on the the 476 00:25:21,280 --> 00:25:24,800 bauxite and aluminium market broadly mate? 477 00:25:24,800 --> 00:25:28,240 Mr Money Mine Macro. It's, it's getting pretty 478 00:25:28,480 --> 00:25:31,160 interesting. We saw a couple little flies in 479 00:25:31,160 --> 00:25:34,360 and around the, the ASX metro mining and the, the bauxite end 480 00:25:34,360 --> 00:25:36,800 of things doing well. They're they're coming back 481 00:25:36,800 --> 00:25:40,520 online, expanding and they've got a tailwind of the bauxite 482 00:25:40,520 --> 00:25:43,600 price doing quite well. But Long story short, you've got 483 00:25:43,840 --> 00:25:48,040 China having mind the the best sources of bauxite for a long 484 00:25:48,040 --> 00:25:50,280 time. They're getting now to the the 485 00:25:50,280 --> 00:25:54,280 lower quality sources, which are sort of higher silica, higher, 486 00:25:54,480 --> 00:25:56,160 higher cost at the end of the day. 487 00:25:56,520 --> 00:25:59,960 And on the back of that, their imports are rising. 488 00:25:59,960 --> 00:26:01,440 You've also got Indonesia playing games. 489 00:26:01,440 --> 00:26:03,200 They're trying to do something similar to what they did with 490 00:26:03,200 --> 00:26:06,280 nickel, copper and these sorts of things that they banned from 491 00:26:06,280 --> 00:26:10,200 sort of mid to late 2023. The export of bauxite ores. 492 00:26:10,920 --> 00:26:12,720 That obviously has pressure on the price as well. 493 00:26:12,720 --> 00:26:16,720 And then you've got Guinea, a big exporter of bauxite as well. 494 00:26:16,720 --> 00:26:18,400 They were sort of plateauing a bit. 495 00:26:18,400 --> 00:26:21,760 They also had some strikes a few months back as well, which all, 496 00:26:22,160 --> 00:26:25,760 you know, plays a role on. On the prices now given the 497 00:26:25,880 --> 00:26:28,600 logistics involved, there are sort of it's not just one price 498 00:26:28,600 --> 00:26:31,280 across the world. Obviously you've got prices 499 00:26:31,280 --> 00:26:33,840 depending on where where the oil is coming from and what the 500 00:26:33,840 --> 00:26:36,880 shipping rates are included in all of that. 501 00:26:36,880 --> 00:26:39,600 But ultimately you've got the the whole sort of complex book 502 00:26:39,600 --> 00:26:43,480 site, alumina and aluminium moving upward through the first 503 00:26:43,520 --> 00:26:49,120 half of the year. So aluminium hit roughly 2700 504 00:26:49,240 --> 00:26:51,720 U.S. dollars a tonne a couple months back. 505 00:26:52,400 --> 00:26:55,320 It's peeled right off. So it's sort of in and around 506 00:26:55,320 --> 00:26:59,280 2300 dollars per tonne these days. 507 00:26:59,280 --> 00:27:02,160 So that's since the the end of May it's it's peeled back. 508 00:27:02,160 --> 00:27:05,200 But this is all kind of reflective in South 32's 509 00:27:05,280 --> 00:27:06,520 earnings. So if you look at the prices 510 00:27:06,520 --> 00:27:09,720 received comparing the first half of the financial year to 511 00:27:09,720 --> 00:27:13,040 the second half, you know Worsley and Brazil Illumina was 512 00:27:13,040 --> 00:27:17,840 up 9% and Brazil Moselle and Hillside aluminium was all up 513 00:27:17,880 --> 00:27:21,320 six to 10%. So the, the, the tailwinds in 514 00:27:21,320 --> 00:27:23,280 the space sort of served them quite well. 515 00:27:23,600 --> 00:27:25,680 And a couple of the commentators out there have kind of been 516 00:27:25,680 --> 00:27:29,040 saying maybe they see a bit more support around a price level 517 00:27:29,040 --> 00:27:32,560 where aluminium struggled to breakthrough for a long time 518 00:27:32,560 --> 00:27:35,360 through 2023. And now that might be the the 519 00:27:35,360 --> 00:27:38,120 sort of lower end of support. But again, like we're going to 520 00:27:38,120 --> 00:27:40,800 say with these macro outlooks and these commodity price 521 00:27:40,800 --> 00:27:43,160 assumptions, you can take them with a pinch of salt because 522 00:27:43,160 --> 00:27:47,400 they're quite hard to actually, you know, see eventuate. 523 00:27:47,400 --> 00:27:49,480 But I mean, one of the big things you have to look for is 524 00:27:49,600 --> 00:27:53,040 Indonesia, whether they actually do on reviewing that ban decide 525 00:27:53,040 --> 00:27:54,680 that they're not going to put it in place or they are going to 526 00:27:54,680 --> 00:27:57,960 put it in place, that is going to have a big impact on price. 527 00:27:57,960 --> 00:28:00,920 And then like we talked about with pretty much every metal out 528 00:28:00,920 --> 00:28:03,720 there, Chinese construction, what they end up doing will have 529 00:28:03,840 --> 00:28:07,680 a big sort of ramifications on aluminium pricing, so. 530 00:28:08,200 --> 00:28:11,640 Is that that spot price you quote there, JD? 531 00:28:11,640 --> 00:28:15,040 Is that what they sell it at? Does it operate in similar to 532 00:28:15,040 --> 00:28:20,640 gold or are they contracted? Or how does aluminium sales work 533 00:28:20,640 --> 00:28:22,560 do you know? That's a that's a great 534 00:28:22,560 --> 00:28:24,960 question. I'd I'd imagine they have off 535 00:28:24,960 --> 00:28:28,560 takes with with partners in in in China. 536 00:28:28,560 --> 00:28:32,240 Like I said, the guys will send some of their alumina to their 537 00:28:32,240 --> 00:28:36,200 smelters in South 82's case to southern Africa and some they'll 538 00:28:36,560 --> 00:28:40,000 sell straight up to smelters in China I imagine. 539 00:28:40,000 --> 00:28:42,640 There'd be a treatment charge on the stuff they send to China, 540 00:28:42,640 --> 00:28:45,320 but their stuff that'd be, yeah, probably getting. 541 00:28:45,760 --> 00:28:47,840 Close to the buck for the spot. Yeah, yeah. 542 00:28:48,480 --> 00:28:51,080 Yeah, interesting. Yeah, I really want to do a deep 543 00:28:51,080 --> 00:28:53,200 dive on this whole complex in the market dynamics. 544 00:28:53,200 --> 00:28:56,040 And I've kind of heard that, yeah, sort of some, some 545 00:28:56,040 --> 00:28:57,880 inventories are are really, really low. 546 00:28:57,880 --> 00:28:59,960 The whole kind of complex is pretty fragile to supply 547 00:28:59,960 --> 00:29:02,360 disruptions. Chinese production, which they 548 00:29:02,360 --> 00:29:06,120 brought on domestically kind of in the late 2000s, is depleting 549 00:29:06,120 --> 00:29:08,480 and that's why they can't bring it on stuff from Guinea and even 550 00:29:08,480 --> 00:29:09,760 that's kind of tape it off now, so. 551 00:29:09,960 --> 00:29:12,440 And you can see that quarter and quarter, the imports, yeah, have 552 00:29:12,440 --> 00:29:14,480 been rising in, in recent times in China. 553 00:29:14,600 --> 00:29:18,280 Yeah, so I, I think it's, it's, it's a, it's an area we should 554 00:29:18,280 --> 00:29:21,480 we should, yeah, go deep on and take some expertise for a future 555 00:29:21,480 --> 00:29:22,520 episode, I reckon. What's? 556 00:29:22,600 --> 00:29:25,040 The what was the bloody? Was there mania? 557 00:29:25,040 --> 00:29:28,960 Was it around 2010 or something? The whole Rio Alcan thing like 558 00:29:29,040 --> 00:29:30,520 was that when? 2008 bit. 559 00:29:30,520 --> 00:29:34,720 Of an aluminium bull market. There there was in some ways 560 00:29:35,040 --> 00:29:37,200 unlike it depends what you talk to about that, because obviously 561 00:29:37,240 --> 00:29:40,880 the value of Alcan kind of all got written off in in the end, 562 00:29:40,880 --> 00:29:45,000 but you know, BHP had interest in Alcan, Rio ended up with it. 563 00:29:46,080 --> 00:29:49,320 Depending who you, who you talk to, some people even reckon 564 00:29:49,320 --> 00:29:54,640 that, you know, Rio acquired acquired Alcan has a bit of a 565 00:29:54,640 --> 00:29:58,240 poison pill to prevent, you know, BHP from actually taking 566 00:29:58,240 --> 00:30:00,600 out Rio back then because it, you know, was filled with a 567 00:30:00,600 --> 00:30:03,920 bunch of liabilities and it was a, was a, was a price tag BHP 568 00:30:03,920 --> 00:30:04,920 could never get comfortable with. 569 00:30:04,920 --> 00:30:07,880 But yeah, one day we one day we'll, we'll, we'll go deep on 570 00:30:07,880 --> 00:30:10,520 that story, ID and JD. Hell of a poison hell. 571 00:30:10,520 --> 00:30:14,840 Never thought I'd be so all these commodities of would never 572 00:30:14,840 --> 00:30:17,040 have been interested in. They're all. 573 00:30:17,040 --> 00:30:19,960 Every commodity has an interesting place in the world. 574 00:30:19,960 --> 00:30:25,400 They do even aluminium God love it right Regis the mcfilmies DFS 575 00:30:25,480 --> 00:30:27,400 the growth story. That's it. 576 00:30:27,400 --> 00:30:28,280 Well. Future growth. 577 00:30:28,680 --> 00:30:31,320 The the sort of you know, too long didn't read of this one is 578 00:30:31,320 --> 00:30:33,280 that nothing is really happening, but let's have a chat 579 00:30:33,280 --> 00:30:36,320 about it anyway, so. That what TLDR is. 580 00:30:36,680 --> 00:30:41,160 Is yeah. So a couple of the details, 1.89 581 00:30:41,240 --> 00:30:44,640 million ounces, they're going to mine at 1.1 grammes to tonnes, 7 582 00:30:44,640 --> 00:30:49,600 million tonnes per annum plant, 9.4 year operation averaging 583 00:30:49,600 --> 00:30:56,120 187,000 oz, all in sustaining cost a bit above 1500 an ounce 584 00:30:56,760 --> 00:31:01,360 NPV using a 5.5% discount rate of $850 million. 585 00:31:01,680 --> 00:31:04,280 And here's the big one, which was sort of seen in the past 586 00:31:04,280 --> 00:31:07,800 already, $1 billion CapEx. So guys, thoughts? 587 00:31:08,680 --> 00:31:13,520 Yeah, just look at odd, you just go straight to the 1.1 is, you 588 00:31:13,520 --> 00:31:16,560 know, obviously low, but just looking at the Met, like once I 589 00:31:16,560 --> 00:31:19,880 get into the fresh rock like it's, you know, average gold 590 00:31:19,880 --> 00:31:24,640 recovery of 85 to 89% looks bloody hard. 591 00:31:25,000 --> 00:31:31,200 Look at that bomb ball work index of like 15 to 18. 592 00:31:32,160 --> 00:31:35,960 So yeah, so a bomb ball 12 to 16. 593 00:31:35,960 --> 00:31:39,240 So that's like 16 that's like up at Bellevue levels. 594 00:31:39,240 --> 00:31:44,040 So I don't know if it's bloody hard if it's if there's like a a 595 00:31:44,080 --> 00:31:47,160 semi refractory nature. I couldn't really find anything. 596 00:31:47,160 --> 00:31:51,280 I'll just, I, I did look back at the the Newmont Mcfillimy's 597 00:31:51,280 --> 00:31:55,840 flotation test work back from like 2010 and it shows here like 598 00:31:55,840 --> 00:31:59,480 the presence of copper in couldn't couldn't find any 599 00:31:59,480 --> 00:32:02,440 mention of copper or anything in the Regis one today. 600 00:32:02,440 --> 00:32:07,320 But just looking it, it looks like it's there is copper there. 601 00:32:07,320 --> 00:32:10,520 And I don't know if there's a semi refractory bit of copper. 602 00:32:12,120 --> 00:32:18,680 And I just think why would you build a 7 million tonne plant 603 00:32:18,680 --> 00:32:22,920 and spend a billion dollar billion isn't all the plant when 604 00:32:22,920 --> 00:32:27,840 why would you build all that for 10 year project when Katie is 40 605 00:32:27,840 --> 00:32:32,600 KS away, which treats semi refractory copper sort of 606 00:32:32,680 --> 00:32:36,080 mineralisation. Don't I can't say it, can't say 607 00:32:36,080 --> 00:32:37,760 it. Yeah, getting over the lawn and 608 00:32:37,760 --> 00:32:41,560 happening when there'd be a bloody when you just truck up 40 609 00:32:41,560 --> 00:32:44,480 guys. And I don't know how amenable 610 00:32:44,480 --> 00:32:47,280 new monitor be to that. Does it even displace Katia like 611 00:32:47,280 --> 00:32:51,120 there or is it high grade and? Well, Katie is like crazy. 612 00:32:51,320 --> 00:32:53,680 Yeah, I think. I think Katie is pretty light. 613 00:32:53,680 --> 00:32:57,120 It's a yeah. It's a big fucking porphyry gold 614 00:32:57,120 --> 00:33:00,680 copper mine, so I'm not sure how it all blends in, but it's not a 615 00:33:00,960 --> 00:33:03,480 yeah, Katie is not a high grade bloody mine. 616 00:33:03,480 --> 00:33:05,640 It's just bucket huge. I think it's like 30 million 617 00:33:05,640 --> 00:33:08,080 tonnes something they pump through it, so I don't know I. 618 00:33:08,560 --> 00:33:12,320 Don't think the company in next steps have kind of said 619 00:33:12,320 --> 00:33:13,440 everything that needs to be said. 620 00:33:13,440 --> 00:33:17,760 The board will consider, you know, FID in FY20 6. 621 00:33:18,000 --> 00:33:19,560 Yeah, it's. An expensive option. 622 00:33:20,360 --> 00:33:24,360 Like you think of in these beautiful farm regions near 623 00:33:24,360 --> 00:33:27,280 Blaney where it is, which is sort of, you know, South of 624 00:33:27,280 --> 00:33:31,960 Orange Shield on the map there. You'd think that the easiest way 625 00:33:31,960 --> 00:33:34,840 to get this mining would be processing it somewhere else and 626 00:33:34,840 --> 00:33:39,520 not putting a TSF in and not having to get permits to use 627 00:33:39,520 --> 00:33:43,280 Bloody Sign or just blow the thing up and track it somewhere 628 00:33:43,280 --> 00:33:45,920 else. The lowest barrier to entry for 629 00:33:45,920 --> 00:33:48,280 something like this. They they they ran a scenario 630 00:33:48,280 --> 00:33:51,640 with with gold at spot sort of 3500 and obviously the economics 631 00:33:51,640 --> 00:33:53,640 would like way better. So there's like talk there great 632 00:33:53,640 --> 00:33:57,480 option value if gold really just like like roars, but you don't 633 00:33:57,480 --> 00:33:59,840 see it kind of getting built unless you have just, you know, 634 00:33:59,880 --> 00:34:03,320 the whole kind of gold market sort of just sustainably stay 635 00:34:03,320 --> 00:34:06,120 super elevated and keep growing. I think not for a while. 636 00:34:06,120 --> 00:34:08,719 It'll get bit one day. It's just like, you know, is it, 637 00:34:08,719 --> 00:34:11,239 is it meaningful today from an MPV perspective? 638 00:34:11,760 --> 00:34:13,800 Not really. Probably not, no. 639 00:34:13,920 --> 00:34:17,880 But and it looks like there's potential for a lot of potential 640 00:34:17,880 --> 00:34:20,320 for it to go beyond that. That's the initial case, the 641 00:34:20,320 --> 00:34:22,960 initial pit and everything. I'm sure there's underground 642 00:34:22,960 --> 00:34:25,400 potential. Be great for, you know, great 643 00:34:25,400 --> 00:34:28,440 for the communities there. More mines, more money, but 644 00:34:29,199 --> 00:34:33,000 yeah, not sure. Can't, yeah. 645 00:34:33,000 --> 00:34:35,679 Don't know if it'll land somewhere else. 646 00:34:36,920 --> 00:34:41,000 Sure, they'll be exploring other, other, other options. 647 00:34:41,000 --> 00:34:44,120 I mean, they've got a growth, a growth issue now because it's, 648 00:34:44,120 --> 00:34:46,080 it's going to be hard to persuade shareholders to say 649 00:34:46,080 --> 00:34:48,239 that, yeah, we want to allocate a billion bucks to this. 650 00:34:48,239 --> 00:34:52,159 And but yeah, I think that's why they're they're a prime 651 00:34:52,159 --> 00:34:56,120 candidate for for for a deal announcement in the in the not 652 00:34:56,120 --> 00:34:58,320 too distant future. Yeah, yeah, I'm not. 653 00:34:58,320 --> 00:35:03,160 And I'm not sure if something like this like you can't see 654 00:35:03,160 --> 00:35:07,000 like a new monitor all about the their tier one projects, what 655 00:35:07,000 --> 00:35:10,160 they class as tier one projects and having just that in the 656 00:35:10,160 --> 00:35:12,160 portfolio. So you can't see them being 657 00:35:12,400 --> 00:35:16,000 interested in a project like this and trucking at 40 KS. 658 00:35:16,000 --> 00:35:18,040 Like that's just not a new month thing to do. 659 00:35:18,320 --> 00:35:22,360 And God, I don't know if they do bloody toll trading arrangements 660 00:35:22,360 --> 00:35:25,160 or something on a big friggin operation like that. 661 00:35:25,680 --> 00:35:29,760 I think maybe not, I'm not sure. So yeah. 662 00:35:30,760 --> 00:35:31,720 And you'll be on hold for a while now. 663 00:35:32,040 --> 00:35:34,320 Yeah, she's looking tight. Oh God. 664 00:35:34,320 --> 00:35:36,840 Especially considering how long it took for him to get through 665 00:35:36,840 --> 00:35:40,720 that native title part of the project. 666 00:35:40,720 --> 00:35:45,160 Imagine then going to full permit environmental approvals 667 00:35:45,160 --> 00:35:48,280 for like the whole thing. Still waiting on something for 668 00:35:48,280 --> 00:35:50,600 the approval for the 90 kilometre pipeline, I think at 669 00:35:50,600 --> 00:35:51,560 the moment. So yeah. 670 00:35:51,840 --> 00:35:53,680 Yeah, yeah. Well, God, if you were going to 671 00:35:53,680 --> 00:35:59,000 pick here's a guy, if you were going to pick one of our bloody 672 00:35:59,000 --> 00:36:02,680 great friends that needs to go out there, who would you pick? 673 00:36:03,960 --> 00:36:08,040 Question without notice. Who is most needed out there? 674 00:36:09,320 --> 00:36:11,640 Big, big operation like that, you need a lot of water. 675 00:36:12,000 --> 00:36:15,360 I'm thinking that 90 kilometre pipeline. 676 00:36:16,960 --> 00:36:20,360 Why don't you negate that by finding some closer? 677 00:36:21,520 --> 00:36:23,880 Very interesting, Matthew. Or reckon Gerard James will be 678 00:36:23,880 --> 00:36:26,320 Blaney James. He'll bloody he'll. 679 00:36:26,320 --> 00:36:30,960 He'll have enough work to go there and it'll be Wan NSW water 680 00:36:30,960 --> 00:36:34,360 boars 'cause he could, he could have a bloody, he could probably 681 00:36:34,800 --> 00:36:38,800 put 10% on that IRR. Gerald James with some water 682 00:36:38,800 --> 00:36:40,600 exploration out near Mcphillimy's. 683 00:36:40,600 --> 00:36:42,760 Drop a WAV Australia waterboards. 684 00:36:42,760 --> 00:36:46,880 Australian waterboards. What a bloody put a trademark on 685 00:36:46,880 --> 00:36:51,000 that ISIPJD. Gerald James is going Australia 686 00:36:51,000 --> 00:36:52,080 wide. Right. 687 00:36:52,520 --> 00:36:55,840 I, I think so 'cause like there's only so much work he can 688 00:36:55,840 --> 00:37:00,560 get in WA and with us catapulting him to the top of W 689 00:37:00,840 --> 00:37:05,640 of water exploration in Australia, that's what's going 690 00:37:05,640 --> 00:37:08,240 to happen. 7 million tonnes per annum, that's a big operation. 691 00:37:09,120 --> 00:37:12,480 Ray, just get in touch ISIP before he starts. 692 00:37:12,720 --> 00:37:15,880 Obviously the uranium paleo channels are going to take a bit 693 00:37:15,880 --> 00:37:18,560 of his time up. As I said, he's a man in demand. 694 00:37:18,560 --> 00:37:21,000 He's he's he's in more demand than a batter out on the 695 00:37:21,000 --> 00:37:24,800 director's special look to his schedule's filling up way 696 00:37:24,800 --> 00:37:27,440 longer, way more out than. Us you need water. 697 00:37:27,440 --> 00:37:31,000 Get in touch. Love your work, Gerard, right? 698 00:37:31,000 --> 00:37:35,680 What's trap? Three companies under the 699 00:37:35,680 --> 00:37:38,000 microscope. Sort of, yeah, one of them. 700 00:37:38,080 --> 00:37:39,960 It could be lights out. In the pressure cooker. 701 00:37:39,960 --> 00:37:42,840 For another one, it seems they avoided lights out earlier in 702 00:37:42,840 --> 00:37:45,840 the year and it's all systems go and the last one it was lights 703 00:37:45,840 --> 00:37:47,800 out a while ago but they're stuck in purgatory. 704 00:37:49,480 --> 00:37:51,680 You know, I've just seen the first one and we're trying to 705 00:37:51,680 --> 00:37:54,120 guess the other two. So the one that is it is it 706 00:37:54,120 --> 00:37:56,760 lights out is Javoir the cobalt catastrophe. 707 00:37:57,320 --> 00:37:59,760 The company is in trading halt pending an announcement in 708 00:37:59,760 --> 00:38:03,480 relation to their they got these ICO bonds for their ICO project. 709 00:38:03,480 --> 00:38:06,680 It was like a Nordic Nordic bonds to the tune of USA $100 710 00:38:06,680 --> 00:38:11,640 million in relation to the yeah, to the ICO asset guaranteed by 711 00:38:11,640 --> 00:38:13,760 the head company Javoir. But there's a bit of a 712 00:38:13,760 --> 00:38:17,920 predicament for Javoir because they got a, you know, a waiver 713 00:38:18,160 --> 00:38:22,160 on some of the covenants in relation to this until the 20th 714 00:38:22,160 --> 00:38:24,280 of July. So that way unless it's 715 00:38:24,280 --> 00:38:29,080 extended, is probably likely in breach as of two days ago. 716 00:38:30,120 --> 00:38:33,480 So unless they can extend this waiver, you know what, I don't 717 00:38:33,480 --> 00:38:35,960 know what happens there. The halt announcement 718 00:38:35,960 --> 00:38:38,720 specifically talks about extending the waiver and 719 00:38:39,040 --> 00:38:41,800 deferring an interest payment that is supposed to be made 720 00:38:41,800 --> 00:38:45,280 today on the 22nd of July to holders of that bond. 721 00:38:45,280 --> 00:38:46,760 It's like a semi annual interest payment. 722 00:38:46,760 --> 00:38:49,240 So if they're trying to defer that, it probably means they 723 00:38:49,680 --> 00:38:52,960 can't stump up the money to pay it at this point in time, which 724 00:38:52,960 --> 00:38:56,160 isn't good news. So a question I have is how 725 00:38:56,160 --> 00:38:58,400 supportive of the bondholders actually going to be? 726 00:38:58,480 --> 00:39:01,440 Yeah, it's been been a challenging environment for 727 00:39:01,440 --> 00:39:04,480 Cobalt, to say the least. Javoir bit off way more than 728 00:39:04,480 --> 00:39:06,920 they could chew. Heaps of debt assets in three 729 00:39:06,920 --> 00:39:10,480 continents, some point they had like expansion or restart or 730 00:39:10,480 --> 00:39:12,800 developmental construction plans across all three of them at the 731 00:39:12,800 --> 00:39:17,280 same freaking time, which make mining companies don't do that 732 00:39:17,280 --> 00:39:18,840 since we're mining companies go one at a time. 733 00:39:19,840 --> 00:39:22,840 I think, I think in the future there will be a control H 734 00:39:23,400 --> 00:39:29,080 replace Javoir with Hastings. I think that is like the way 735 00:39:29,080 --> 00:39:31,000 you've explained. That sounds like the predicament 736 00:39:31,000 --> 00:39:33,840 they might find themselves in with their wire convertible. 737 00:39:34,320 --> 00:39:36,760 Maybe, Yeah, I think Hastings have an issue, but it's a 738 00:39:36,760 --> 00:39:40,080 different it's it's a different issue in some respects, but it's 739 00:39:40,080 --> 00:39:41,160 not. Yeah, they could. 740 00:39:41,200 --> 00:39:43,800 I mean it's. Yeah, they're. 741 00:39:43,840 --> 00:39:45,520 Still an issue. Still an issue I mean. 742 00:39:45,520 --> 00:39:49,480 Having ICO been secured over the US 100 million is kind of 743 00:39:49,480 --> 00:39:51,360 interesting because that's not worth 100 million. 744 00:39:51,960 --> 00:39:55,400 No, but the there's a guarantee from the the head company. 745 00:39:55,400 --> 00:39:57,680 So which? Is not a not a good sign for the 746 00:39:57,840 --> 00:40:01,920 the head company. Exactly, and they've got one of 747 00:40:01,920 --> 00:40:04,160 the ugliest balance sheets you'll ever see for a mining 748 00:40:04,160 --> 00:40:08,680 company. Drawn debt of USA 169 million at 749 00:40:08,680 --> 00:40:12,240 31st of March when their cash was a mere 26,000,000 operations 750 00:40:12,240 --> 00:40:13,880 lost $18 million in that quarter by the way. 751 00:40:13,880 --> 00:40:16,680 So they they'd need to clean up the balance sheet massively. 752 00:40:16,680 --> 00:40:19,400 When I looked, I think their market cap on ASX was like 50 753 00:40:19,400 --> 00:40:24,200 million bucks. So not very attractive from a 754 00:40:24,200 --> 00:40:25,600 gearing perspective, to say the least. 755 00:40:27,280 --> 00:40:29,560 And I think that the trouble is they need to clean up the 756 00:40:29,560 --> 00:40:31,760 balance sheet. But there's not, I can't think 757 00:40:31,760 --> 00:40:35,160 of a, you know, a sensible. I can't imagine how a sensible 758 00:40:35,160 --> 00:40:38,600 investor could, you know, reasonably put equity into that. 759 00:40:38,880 --> 00:40:43,520 That's just such a yeah, like, you know, it's just it's so hard 760 00:40:43,520 --> 00:40:46,240 to to clean that balance sheet up that looks, it's just looks 761 00:40:46,240 --> 00:40:46,960 really ugly. Can. 762 00:40:46,960 --> 00:40:51,280 You get a negative market cap like considering the debt like 763 00:40:51,280 --> 00:40:53,200 you'd still have a. Positive E you just go into 764 00:40:53,200 --> 00:40:55,960 suspension and you and you never come out and then you know 765 00:40:56,000 --> 00:40:57,480 equity gets zero and you know it'd be. 766 00:40:57,480 --> 00:40:59,440 The go people pay you to take the shares. 767 00:40:59,800 --> 00:41:03,200 Surely every investor that had any interest would have been 768 00:41:03,200 --> 00:41:06,320 touched up in the last 15 capital raisings that they've 769 00:41:06,320 --> 00:41:10,960 done. 98% down since I think mid 20220 Yeah. 770 00:41:11,160 --> 00:41:15,480 So in, in like 2 years to time, that's that's a lot of a lot of 771 00:41:15,480 --> 00:41:18,520 value distraction in my opinion. But heck, maybe they can buy 772 00:41:18,520 --> 00:41:20,240 more time and pull a rabbit out of the hat. 773 00:41:21,600 --> 00:41:23,280 Aussie super to the rescue. Nice night. 774 00:41:23,800 --> 00:41:26,000 But it doesn't, it doesn't look like it's going to end pretty 775 00:41:26,000 --> 00:41:28,000 for the current shareholders. I'll, I'll put it that way, 776 00:41:28,160 --> 00:41:29,920 yeah. Right #2. 777 00:41:30,160 --> 00:41:31,840 Mate see a rutile. So they were kind of, they were 778 00:41:31,840 --> 00:41:34,240 actually in bit trouble earlier in the year when they know the 779 00:41:34,240 --> 00:41:36,440 government sort of looked like the government with Buddy Rod 780 00:41:36,440 --> 00:41:40,160 pulling them. And anyway, it's apparently not 781 00:41:40,160 --> 00:41:43,400 in trouble anymore because the bid from Lien Oil has translated 782 00:41:43,400 --> 00:41:46,600 into an agreed cash offer recommended by the board at 783 00:41:46,600 --> 00:41:50,920 $0.18 per share. Remember Gemcorp had agreed a 784 00:41:50,920 --> 00:41:52,280 bid with the board just a couple of weeks ago. 785 00:41:52,280 --> 00:41:54,240 It was $0.16 per share and now, now this. 786 00:41:54,240 --> 00:41:57,360 So the stock is it's kind of trading at exactly $0.18 today. 787 00:41:57,360 --> 00:42:01,000 So despite the many parties with kind of a hefty shareholding, 788 00:42:01,000 --> 00:42:06,040 you got Gemcorp, PRM, Mano, Lien Oil, all on the register of all 789 00:42:06,040 --> 00:42:07,960 have come on recently and all have a chunky size. 790 00:42:08,560 --> 00:42:11,840 The market isn't really pricing in too much of AA probability of 791 00:42:11,840 --> 00:42:14,480 a higher bid from here and I think I think that's probably 792 00:42:14,480 --> 00:42:17,360 fair. Remember Jan, your bear who's? 793 00:42:17,360 --> 00:42:19,320 I was about to say, what's he up to at the moment? 794 00:42:19,320 --> 00:42:22,760 The big file. He's I think well he he like 795 00:42:22,760 --> 00:42:26,600 Meno were the ones that wanted him on the board So like he's 796 00:42:26,680 --> 00:42:29,560 yeah I I don't know if don't have Meno going to put it bit in 797 00:42:29,560 --> 00:42:30,720 on I wouldn't wouldn't be betting on it. 798 00:42:31,280 --> 00:42:34,480 Mining at area one has recommenced the project look 799 00:42:34,480 --> 00:42:37,440 like it's going to make its way into the hands of a Leonian kind 800 00:42:37,440 --> 00:42:41,760 of company being Leon oil. So like, imagine the tax regime 801 00:42:41,960 --> 00:42:45,040 kind of issue that we're having with the government, kind of 802 00:42:45,040 --> 00:42:47,160 there'll be a resolution there 'cause it's, you know, they, 803 00:42:47,320 --> 00:42:50,640 they, the government basically like by all accounts did not get 804 00:42:50,640 --> 00:42:53,480 along very well with CR retail layer management there. 805 00:42:53,480 --> 00:42:57,600 But they might get along with Leoning and company better and 806 00:42:57,720 --> 00:43:01,520 Gemcorp who, who had that agreed bid a couple weeks ago. 807 00:43:01,640 --> 00:43:03,360 So there's, there's special sits guys, right? 808 00:43:03,360 --> 00:43:06,240 And they they'll be happy to bank at the return they made 809 00:43:06,240 --> 00:43:10,560 buying stock from Stan at $0.15 and three months ago, now 810 00:43:10,560 --> 00:43:13,120 getting $0.18 a share. That's like a 20% return in 811 00:43:13,120 --> 00:43:14,360 three months. Maybe they've got to wait a bit 812 00:43:14,360 --> 00:43:16,200 longer for it to complete or whatever, but it's a pretty tidy 813 00:43:16,200 --> 00:43:19,200 return. And Mano, like I said, they'll 814 00:43:19,200 --> 00:43:22,880 know what they'll do. PRM, the entity related to Craig 815 00:43:22,880 --> 00:43:27,640 Dean, the commodity trader, they'd have bid it at 9.5 cents 816 00:43:27,640 --> 00:43:30,680 on market, but haven't seen or heard much of them later other 817 00:43:30,680 --> 00:43:32,480 than just asking a few questions at the AGM. 818 00:43:32,480 --> 00:43:34,760 So don't know. Don't know what happens to them 819 00:43:34,760 --> 00:43:37,360 or where they go either. But it could also be one where 820 00:43:37,360 --> 00:43:40,400 you have some some minority shareholders band together and 821 00:43:40,600 --> 00:43:43,320 hold out and get a little bit of an uplift collectively. 822 00:43:43,320 --> 00:43:45,840 But I don't know, it's just so hard to have insight into how 823 00:43:46,240 --> 00:43:48,640 how many behind the scenes conversations have been had 824 00:43:48,640 --> 00:43:51,320 between these parties that no one really fucking knows much 825 00:43:51,320 --> 00:43:54,240 about. Oh mate, I'd love to Gladdy, you 826 00:43:54,240 --> 00:43:58,360 don't want all your new bed up and the hammer on you. 827 00:43:58,440 --> 00:44:01,800 God yeah buddy, how good's that? It's like annoying. 828 00:44:03,640 --> 00:44:05,800 Company number. Three, the third one mate, the 829 00:44:05,800 --> 00:44:07,400 one stuck in purgatory is Galena. 830 00:44:08,560 --> 00:44:11,240 So, I mean, they're, they're still in suspension and the 831 00:44:11,240 --> 00:44:15,000 concentrate production was 54% higher quarter on quarter, which 832 00:44:15,000 --> 00:44:18,000 is not really good news for them, but they're still in 833 00:44:18,000 --> 00:44:20,000 suspension. They've still got the voluntary 834 00:44:20,000 --> 00:44:22,840 administrators appointed there. There's no indication if they're 835 00:44:22,840 --> 00:44:25,720 making cash yet. CF OS departed recently. 836 00:44:25,720 --> 00:44:29,040 They said they're reviewing recap options at the moment 837 00:44:29,040 --> 00:44:31,000 still. So let's, let's hope the, the 838 00:44:31,000 --> 00:44:33,960 operational kind of cash flow trends the right way to enable 839 00:44:33,960 --> 00:44:38,400 them to actually kind of recap in a way that's sustainable for 840 00:44:38,400 --> 00:44:41,040 the, for the company as well. But yeah, TBA, just keep 841 00:44:41,040 --> 00:44:42,400 watching. Still in purgatory. 842 00:44:43,240 --> 00:44:45,120 Yeah, right. So no. 843 00:44:47,040 --> 00:44:49,480 So do they cause because they don't have to give a? 844 00:44:49,880 --> 00:44:51,600 It was just an operation. They don't have to give a 845 00:44:51,600 --> 00:44:53,600 financial statement now while they're in. 846 00:44:53,640 --> 00:44:54,840 I don't think they do suspension. 847 00:44:54,840 --> 00:44:57,320 There'll be a recompliance thing when they relist and if they 848 00:44:57,320 --> 00:44:59,640 relist. But yeah, at the moment I think 849 00:44:59,640 --> 00:45:01,200 they're obliged to do anything like that, yeah. 850 00:45:01,400 --> 00:45:03,960 Yeah, yeah, that'd be interesting to know. 851 00:45:04,080 --> 00:45:05,400 Yeah. It's weird when you have 852 00:45:05,400 --> 00:45:08,440 something in admin that might be making money. 853 00:45:09,120 --> 00:45:11,800 Yeah, don't know. Yeah, Yeah, TBA. 854 00:45:12,400 --> 00:45:15,280 You reckon the RJD? You're a man in the knife. 855 00:45:16,280 --> 00:45:18,400 I mean, are you talking about after debt repayments? 856 00:45:18,480 --> 00:45:20,320 After debt repayments, I don't think there will be no. 857 00:45:20,520 --> 00:45:24,720 Operationally. Well, not enough to service the 858 00:45:24,720 --> 00:45:25,920 debt. I don't think they're they're 859 00:45:25,920 --> 00:45:28,080 getting close to. That I got to under an odd. 860 00:45:28,800 --> 00:45:32,480 Ballpark. Yeah, it'll be, you know, that's 861 00:45:32,480 --> 00:45:36,240 pretty, pretty onerous. If I build them on, I reckon, 862 00:45:37,120 --> 00:45:41,360 especially with debt. Well, one company operations run 863 00:45:41,360 --> 00:45:44,480 the risk. Yes, right out bloody. 864 00:45:44,840 --> 00:45:46,320 You know he's not running the risk. 865 00:45:47,040 --> 00:45:50,840 Anyone use an axis? Anyone use an axis and axis 866 00:45:50,840 --> 00:45:53,160 themselves? Pretty much a bloody sure bet. 867 00:45:53,240 --> 00:45:58,360 Also if you're using mineral mining services MMS verify get 868 00:45:58,360 --> 00:46:03,680 wet solutions DSI underground Silverstone CRE insurance WA 869 00:46:03,680 --> 00:46:07,560 water boards soon to be renamed Australia water boards K drill 870 00:46:07,560 --> 00:46:09,960 and you spark while you're at it you. 871 00:46:10,160 --> 00:46:14,320 Spark JC money of mine for a director special ad that's all 872 00:46:14,320 --> 00:46:15,720 you need to know that's. It. 873 00:46:15,840 --> 00:46:19,000 Alright, alright. Information contained in this 874 00:46:19,000 --> 00:46:21,720 episode of Money of Mine is of general nature only and does not 875 00:46:21,720 --> 00:46:24,360 take into account the objectives, financial situation 876 00:46:24,440 --> 00:46:26,440 or needs of any particular person. 877 00:46:26,720 --> 00:46:29,760 Before making any investment decision, you should consult 878 00:46:29,760 --> 00:46:32,840 with your financial advisor and consider how appropriate the 879 00:46:32,840 --> 00:46:36,520 advice is to your objectives, financial situation and needs.