suicidal_tendencies
12 Oct 2017
Re: 80% increase in sales prices. Problem is, there is a hefty discount applied to the basket price Rainbow will receive for their concentrate. It's currently expected to be between 67-73%. Rainbow should still be able to make a very nice profit at current REE prices even with that hefty discount and all other costs subtracted. Hopeful the discount will reduce a bit over time.
coldascheese
12 Oct 2017
80% increase in sales prices. Seems to me only a few investors have picked up the fact that the prices they can get for their rare earths has increased 80% since earlier this year.(see RNS 19th Sept)Thats a massive increase-time to get in before first sales in December.
GentG
06 Oct 2017
Re: Director buys Good to see the directors buying in. It means that they are not in a closed period, so everything seems to be ticking along nicely. I have been slowly adding, and should hit my target holding shortly, albeit it a slightly higher average than hoped for.
spudmurphy1
06 Oct 2017
Director buys I wonder if the director buys will be enough to stop the dumper dumping..fingers crossed, almost back in the black!!Spud.
Damp Seaweed
06 Oct 2017
Re: Talking of Newsflow It wouldn't surprise me if it was a case of AI journalism.
Eadwig
06 Oct 2017
Talking of Newsflow No wonder I didn't get my limit sell price I had pencilled in for this latest news release when you get ill-informed rubbish like this in the media headlined by 'Widening Losses' or some such - like something else was planned and expected!These things do affect the price of a microcap company like this. I bet the editor is buying like mad.StockMarketWire | Wed, 4th October 2017 - 08:31Losses deepened at Rainbow Rare Earths as it gears up to start mining in East Africa.The company booked a net loss of $1.4m, widening from a loss in the previous year of $1.2m.It expects first concentrate sales to commence in the forth quarter of 2017.Rainbow Rare Earths also provided its first production guidance for the current financial year.It expects to produce 3,000-4,000 tonnes of ore mined, generating 2,250-3,000 tonnes of mineral concentrate for sale.
Eadwig
06 Oct 2017
Re: Excellent RNS suicidal, "I can't see how they can't turn a profit personally, based on the figures we've seen throughout various RNS's and Investor Presentations. What makes you think they won't Eadwig?"I'm not saying that they wont, but you have to understand that the figures quoted for the metal are nothing close to the figures paid for concentrate. Its a common error.Also, some of the original presentation figures were incorrect, and only put right when I contacted them. The way that was done showed that there was a lot of estimates going on. It isn't surprising if you read the IPO right through. Remember this is a TRIAL project. definition there is going to be a STOP/GO decision at some point, I'm guessing next summer. Its really about proving up a reserve and/or whatever the other legal word is - see my previous posts on JORC stuff.I do agree that their approach is the most sensible one, and everything so far indicates success and a GO decision. That may require more money, because I don't think the first two years will provide enough funds for going forward at any scale.There is always the very real chance of China cutting off supplies to the rest of the world. Its happened before and rare earth prices went through the roof. If that happened around the same point as a GO decision, we could all be laughing all the way to the bank. Even then it might not be long lived though. Rare-earths are only generally used because they are relatively cheap. In almost any case you can name, they are replaceable with other materials technology. So we need to be careful what we wish for and how much we wish for it!Lastly, I'm looking for a very high return. I'm not interested in a profitable company that pays a steady dividend, even a high dividend. You need to be aware of that if my posts seem less than optimistic. So far I'm happy except the lack of newsflow. If you look back on this board at my posts I always said that newsflow will be critical (to my form of investing) - and it WAS promised in the prospectus, but hasn't really been forthcoming. I wanted to have traded this stock several times by now, but it hasn't played out that way and I still have my own cash in play, rather than playing only with 'the house's money', which I'd hoped to be doing somewhere close to now.None of the above is RBW's failing. It was always open to question how this would work in terms of the standard life-cycle of a junior miner. Again, something I have fully covered in my previous posts.
suicidal_tendencies
04 Oct 2017
Concentrate production rate much higher than previous estimates It would appear from today's rns that Rainbow are going to be producing much more concentrate per unit time than originally thought. It could be DOUBLE previous estimates. Previous estimates were 3338 tonnes of concentrate over 22 months so 151 tonnes per month. Now they estimate a minimum of 2250 tonnes of concentrate over 9 months or 250 tonnes per month. Upper estimates are 333 tonnes per month.Looks like they've got $3 million in cash left too.You could quite reasonably expect the amount of concentrate produced per tonne of ore to increase over time as the mining and processing procedures are optimised and improved. It would certainly be worth the effort given the value of rare earths.
suicidal_tendencies
19 Sep 2017
Re: Excellent RNS I can't see how they can't turn a profit personally, based on the figures we've seen throughout various RNS's and Investor Presentations. What makes you think they won't Eadwig?
Eadwig
19 Sep 2017
Excellent RNS Another good update showing that there have been only minor delays (something of a miracle in Africa) and basically all is on track for first sales in Q4 - although still a tight schedule, I believe.Prices have moved in RBW's favour also, rising by 80% for their ore mix since the IPO.Good to see that having experienced some problems with local fuel shortages previously, they have introduced contingency plans (presumably an extra tank of diesel on site). It builds confidence in the management that they refer back to this and the fact that they have taken stapes to mitigate any future problems.The risk of investing has much reduced since the IPO, although I'm still unsure that the company will turn a profit even if all sales targets are reached by the end of 2018. That has never been clear and still isn't.I certainly don't get the feeling they are going to abandon after this 2 year 'trial' mining project, though, given the size and extent of deposits now found, with much more to come I expect.A Weak Buy because there's likely to be a lull in news for a few weeks over which time a lower entry point could be available. The processing plant is now mainly in the country and being assembled, that should generate another RNS before the end of October at the latest. If you are waiting to buy, I'd try to make sure I got in before then.Eadwig
Eadwig
06 Sep 2017
Re: Back in again Eadwig, in my last post, "I've had a limit order to add to my holding @10.8p for ages. Every time we almost get there someone buys and lifts it away."So I bought higher instead. OK 0.3p higher - even so, I do this a lot. Patience IS a virtue, especially when I don't really want to add further, not without selling some for a profit first anyway.I have to learn to sit on my hands a bit more sometimes, and just let the limit orders do their thing in due course. After all, I did predict a drift down in the share price over the summer, so no excuse really.Well, a slight excuse. I'm expecting an update about the processing plant sometime soon. If we don't get one then there is a delay - which I also predicted, although possibly elsewhere. Q4 is fast approaching, and while production is being stock-piled, the plant has to be assembled, working, bedded in and operators trained if they're going to hit that target of a first sale in Q4.In the absence of newsflow, which was promised, hitting milestones on time is going to be quite important in terms of any excitement boosting the share price.
Eadwig
25 Aug 2017
Re: Back in again I've had a limit order to add to my holding @10.8p for ages. Every time we almost get there someone buys and lifts it away. You two, GentG and suicidal-tendencies, recently, probably!I want to make a decent profit on this company in relatively short term, and leave a smaller holding for the future. I had hopes the media would get behind it and inflate the share price, but that hasn't happened.I think when the first sales come through, remarkable though that will be in such short order (assuming the late Q4 target is hit) I think the revenues generated will be underwhelming. If there isn't already news by then (or at the same time as the first sales RNS) of the next phase of the project, with a better return anticipated, then my money will have been sat here doing very little for a year. It was always a risk, but I thought the E.V. 'fashion' would have spread to REOs also. Possibly the media are a bit tired of rare earths, more so than I realised. They are yesterday's news, it seems, despite being at the heart of many of the year's big news stories surrounding green energy and anti-pollution steps forward.So, if RBW start turning over a few million a year and making a reasonable return, the share price will reflect just that, rather than do a Tesla, who make no money at all, but whose share price is on a rocket journey, it seems.There's still always the chance that China release figures showing they have cut off much of the illegal supply of REOs from that country. Quite a good chance, look at what has happened with Aluminium and Iron Ore and coal over there, all of which have induced large price rises that were previously unexpected.If the same happens for rare earths, then surely RBW will have that reflected. Rip Van Eadwig
suicidal_tendencies
24 Aug 2017
Re: Back in again I got back in a week or two ago. I think things are brewing quite nicely and the RNS today with options for the directors at 15p each represents a good premium from the current price.
GentG
24 Aug 2017
Back in again I sold out at 14.xx and have been waiting to get back in since. I would have liked to have gotten in when it was a touch lower, but I think this is due an uplift soon and I was pleased with the recent RNS, so I have begun to build my position here again. Started with 17,500 @11.125 this morning, so almost exactly the same as the first time. Intending to keep topping up to around 10-15k in total.All the bestGentG
Eadwig
10 Aug 2017
Interesting "The detailed breakdown of the individual rare earth oxides elements within the Gasagwe main vein on a TREO basket basis is as follows:REE Oxide Grade (100% basis)Lanthanum Oxide ---- 30.59%Cerium Oxide ---------- 48.07%Neodymium Oxide -----14.75%Praseodymium Oxide -- 4.37%Samarium Oxide -------- 1.32%Gadolinium Oxide ------- 0.47%Dysprosium Oxide ------- 0.05%Europium Oxide ---------- 0.21%Yttrium Oxide ---------- --- 0.13%Terbium Oxide ---------- -- 0.02%Erbium Oxide ---------- --- 0.01%Holmium Oxide ---------- - 0.01%"Never seen that full analysis before. There may ultimately be commercial potential in other areas as tailings build up. Early days though. Everything appears to be on track, although there has been no press release about processing plant stuff arriving on site, which we were promised at some point in the past.
