Well, I have been obviously wrong with my previous financing prediction for AJM and it leaves me somewhat puzzled.
Hint from the commissioning update (Ann 22.05.2018) page 2:
“The Board intends to make a Final Investment Decision on the Stage 2 expansion project work before the end of the financial year which, if approved, will provide a continuous workfront for the Stage 1 project team to transition to.”
Today’s Ann contains a full reverse on that:
“Our focus now is to ramp-up production to full capacity over coming 6 months and then we can turn our attention to the expansion project. …..”
Why not go ahead with the expansion as planned initially:
No interest in product? Seems unlikely
No financing available?
Takeover issues?
Does anybody have ideas?
On the financial side:
According to Q2 Cash flow report from July 24th 2018, there would be AUD 10m left at the end of Q3 without any sales.
There should be sales though. In today’s Ann there is a reference to first shipment in August and the forecast a full ramp up in 6 months. My assumption to make numbers here is that this is a linear process:
Full capacity 220.000t per year. That is 18.000t per month
Linear in 6 months:
Month 0 (July): 0t
Month 1 (Aug): 3.000t
Month 2 (Sep): 6.000t
Total Q3: 9.000t
Production cost AUD 400/t
Selling price AUD 1.150 (USD 850)
Q3 Margin: 9.000t x AUD 750/t = AUD 6.750.000
Month 3 (Oct): 9.000t
Month 4 (Nov) 12.000t
Month 5 (Dec) 15.000t
Q4 Margin: 36.000t x AUD 750/t = AUD 27.000.000
That should be enough to not need a further capital raise. If any principal payment on the financing would come due then it might get tight though.
- Forums
- ASX - By Stock
- 1MC
- Ann: First Lithium Concentrate Produced at Altura Lithium Mine
Ann: First Lithium Concentrate Produced at Altura Lithium Mine, page-62
-
-
- There are more pages in this discussion • 123 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add 1MC (ASX) to my watchlist
(20min delay)
|
|||||
Last
0.3¢ |
Change
0.000(0.00%) |
Mkt cap ! $18.53M |
Open | High | Low | Value | Volume |
0.3¢ | 0.3¢ | 0.3¢ | $38.74K | 14.12M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
122 | 180381230 | 0.2¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
0.3¢ | 39662259 | 75 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
116 | 179370980 | 0.002 |
31 | 108723809 | 0.001 |
0 | 0 | 0.000 |
0 | 0 | 0.000 |
0 | 0 | 0.000 |
Price($) | Vol. | No. |
---|---|---|
0.003 | 38832259 | 74 |
0.004 | 12585882 | 45 |
0.005 | 4622436 | 12 |
0.006 | 5178915 | 11 |
0.007 | 11961656 | 11 |
Last trade - 16.10pm 28/06/2024 (20 minute delay) ? |
Featured News
1MC (ASX) Chart |
The Watchlist
LU7
LITHIUM UNIVERSE LIMITED
Alex Hanly, CEO
Alex Hanly
CEO
SPONSORED BY The Market Online