FMG - Fortescue Ltd

it might mean bare buttocks as well ( making ridicule of you )

as long as the company stays stable and sensible , the share price can move wherever , and i'll make decisions based on the share-price at the time

divs4ever said:

it might mean bare buttocks as well ( making ridicule of you )

as long as the company stays stable and sensible , the share price can move wherever , and i'll make decisions based on the share-price at the time

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Hi divs, I wasn't sure if it was meant to be setting, and thought it could be that seeing the sp going red. By the way, (excuse me folks, I'm off subject here) how do I find the thread we were on yesterday? I seem to have lost it

last i looked today the FMG SP was down ( but not enough to tempt me )

but i interpreted 'moon' as to go to the Moon , after folks had taken precautionary profits ( that happened to me a couple of times in early in my investing adventure , so developed a strategy to NEVER completely exit a holding , unless i intend that exit to be permanent )

and let's face it if FMG doesn't spin-off FFI ( but i think it will to drag in some R&D cash , later ) FMG could easily become an ESG darling ( a must-have' in every 'socially caring ETF ' ) .. or a thousand cuts by predatory fund-managers ( running ESG funds )

This article popped up on my screen this afternoon. I didn't read it cos I'm out of Fe

Iron Ore’s Heady Days Are Fading as China’s Growth Engine Cools​

Commodities7 hours ago (Dec 21, 2021 04:18PM ET)

nope am still very exposed to Fe , but then i have been bemused by the unusual commodity cycle this time , i was expecting a consolidation phase ( mines to wind down , repairing , upgrading as needed and those with surplus cash or credit to pick up distressed assets )

so this has been a pleasant surprise to me

AND China needed to cool the rate of growth even before September 2019 ( excessive , continuous growth is often called a cancer )

the world economy is more at risk from from a slowing China , than to China itself

FMG is using it's considerable engineering talent in the green hydrogen direction. T

Fortescue Future Industries designs and builds its own electrolyser​

Dec 23, 2021


Fortescue Future Industries (FFI) has achieved another ambitious target, making hydrogen using an electrolyser designed and built by the FFI team.

A small team from FFI’s manufacturing arm developed the innovative electrolyser in their Western Australia facility, producing industrial grade hydrogen for the first time earlier this week.

FFI has developed a number of new electrolyser technologies that will form part of their electrolyser patent family.

The outcomes of these projects will inform FFI’s electrolyser technology selection going forward, as FFI works towards its target to produce 15 million tonnes of green hydrogen per year by 2030.

FFI Chief Executive Officer Julie Shuttleworth said, “This is another outstanding achievement from our FFI in-house scientists and engineers – who are continuing to break new ground.

“The FFI team has designed and operated our own electrolyser system which will be key to developing FFI’s green hydrogen production into the future,” Ms Shuttleworth said.

FFI Chairman, Dr Andrew Forrest AO said, “This electrolyser was internally designed, built and commissioned by a small, dedicated team of experts – an impressive achievement that is representative of the hard work that is happening across the whole of FFI.

“The team spent thousands of hours on this project, facing setbacks along the way, but they pushed forward and managed to produce hydrogen before their stretch target date – something they should be incredibly proud of.

“This is not the first time FFI’s team of experts have beaten their stretch targets. Earlier this year, FFI retrofitted a huge mining haul truck to run on hydrogen, producing only steam, in just 130 days,” Dr Forrest said.

FFI is in the process of installing solar panels at FFI’s Dawson Road facility which will mean the electrolyser will be able to produce green hydrogen in 2022.

The stack that produced the hydrogen is a pressurised alkaline system. The internally designed supporting hydrogen gas management system is fully operational and will be used to test all of FFI’s prototypes and designs.

Editors’ note: Please find images of the FFI team working on the electrolyser here.

On a practical cost reduction basis FMG has just commissioned a Solar/Gas project that will power their Chrichster Hub enterprise.

It will replace around 100million litres a year of diesel fuel

Fortescue’s Chichester Hub daytime operations powered by renewable solar energy​

Dec 15, 2021

Fortescue’s Chichester Hub operations are now being powered by solar energy following the completion of the 60-megawatt Alinta Energy Chichester Solar Gas Hybrid Project in Western Australia’s Pilbara region.

Completion of the project with Alinta Energy marks a major milestone in the delivery of Fortescue’s decarbonisation strategy, as the Company works towards its ambitious target of being carbon neutral by 2030 for Scope 1 and 2 emissions.

The solar farm will power up to 100 per cent of daytime operations at Fortescue’s Christmas Creek and Cloudbreak sites, displacing around 100 million litres of diesel every year. The remaining power requirements will be met through battery storage and gas generation at Alinta Energy’s Newman Power Station.

Hopefully there are no more cost blowouts from Iron Bridge and it starts production in late 2022 as per forecast. The higher grade will help the bottom line. The soothsayers have ore prices falling during 2022, which may be the case, but I think it's overstated. FMG have a very efficient operation and FFI is doing good things.

FMG is a pick for me in the CY22 Competition, as it is for many others.

It is doing everything right, good cash flow, forward looking and in to clean energy and hydrogen.

gg

Garpal Gumnut said:

FMG is a pick for me in the CY22 Competition, as it is for many others.

It is doing everything right, good cash flow, forward looking and in to clean energy and hydrogen.

gg

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As per GG I'm backing FMG in the CY22 competition to do well . I think it's underpriced for just its iron ore business and '22 should see some concrete results for it's clean energy projects starting with the electrolyser factory in Queensland.

I also believe the reduction in running costs in the iron ore operations with solar power replacing diesel will improve profits to a degree.

Just chucking up a chart for FMG. I am bearish unless it gets above $20 and then I would want to wait to see if the Iron Ore price rises above an upcoming trendline and a couple of overhead resistance lines on the Iron Ore chart.



and the Iron Ore chart..

the Chinese go on their Festive Season soon i would expect the iron price to be subdued for a couple of months ,

after that well good luck

One of my top 4 tips to do well in 2022, FFI (100% subsidiary of FMG) is the major reason. I am expecting continued good news and growth with FFI green hydrogen plans, a lot faster than most people think, hopefully in partnership with another of my top tips (AGL), wishful thinking. I am also not convinced that we have seen the end of high iron prices as the world transitions to post covid growth and less reliance on China.

I too have put FMG in my four picks for the CY 2022 competition.
There has to be so much going for FMG into the future as @Wedgy has spoken of so eloquently above.
Andrew Forrest's story is one that has been told many times in this thread and is very inspirational for anyone who has experienced a problem that at the beginning appears insurmountable and only overcome with persistence and tenacity.

There appears to be so much more to be told in the future book that tells the FMG story and hope 2022 writes another successful chapter.

bux

I really believe FMG is going to continue growing strength to strength. This is another of my picks for this year. Twiggy is a smart guy and with Hydrogen coming into play it’s very exciting for the company. One to keep adding too imo.

FMG is not forgetting it's iron ore business. Just before Christmas they announced a 36 month assessment of a potentially huge new iron ore project in Gabon. Obviously down the track but could be anything.

EXCLUSIVITY PERIOD TO STUDY THE BELINGA IRON ORE PROJECT IN GABON

Fortescue Metals Group Ltd (Fortescue, ASX: FMG) advises that it has entered into an agreement with the Government of the Republic of Gabon to study the opportunity to develop the Belinga Iron Ore Project in Gabon, West Africa. The agreement comprises a 36 month exclusivity period over an area totalling approximately 5,500 square kilometres to study and negotiate a Mining Convention for the development of the Belinga Iron Ore Project. A separate Gabon mining company will be established to enter into the Mining Convention and to hold the mining tenure over the Belinga Iron Ore Project. The mining company will be established by an incorporated joint venture which will be owned 80 per cent by Fortescue and 20 per cent by the Africa Transformation and Industrialisation Fund, an Africa-focused investment fund incorporated in Abu Dhabi. The joint venture will initially focus on exploration works to determine the potential size and grade of the Belinga iron ore deposit and logistics solutions during the 36 month exclusivity period.

Gabon’s Minister for Petroleum, Gas, Hydrocarbons and Mines, Mr Vincent de Paul Massassa, said “This is a highly significant announcement for the future growth and development of our economy. We know that the Belinga deposit is one of the world’s largest high grade iron ore deposits and the opportunity to work with an established mining company with the track record and reputation of Fortescue will allow us to fully explore the potential that we know exists in the project.” “Following successful completion of the initial exploration and due diligence work with Fortescue, our aim is to put the Belinga project back on track, building the mining sector’s contribution to our economy and delivering training, jobs and skills,"

Fortescue Chairman and Founder, Dr Andrew Forrest AO, said “We welcome this important agreement and opportunity to work with the Gabon Government on a project with huge potential for Gabon’s future economic growth and development. Fortescue began as a world-class exploration business and we believe that the Belinga Iron Ore Project is potentially one of the world’s largest undeveloped, high grade hematite deposits

FMG has put its skates on in the past few days. Currently sitting at $20.41.

The financials for the last 6 months will be out imminently. After all the strum and angst over "collapsing" iron ore prices I think they will still show a very tidy profit and dividend.

FMG announced the purchase of 2 new battery electric locomotives to power their ore trains.

Interesting really. They have been diligently working on devising drive systems that use green ammonia and, I guess, a hydrogen fuel cell system. Now they are (also) buying in an off the shelf train from Brazil.

They note that the purchase will reduce fuel costs and maintenance.

https://www.fmgl.com.au/in-the-news...chase-of-two-new-battery-electric-locomotives

basilio said:

FMG announced the purchase of 2 new battery electric locomotives to power their ore trains.

Interesting really. They have been diligently working on devising drive systems that use green ammonia and, I guess, a hydrogen fuel cell system. Now they are (also) buying in an off the shelf train from Brazil.

They note that the purchase will reduce fuel costs and maintenance.

https://www.fmgl.com.au/in-the-news/media-releases/2022/01/05/new-milestone-for-fortescue's-decarbonisation-strategy-with-purchase-of-two-new-battery-electric-locomotives

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It just shows they aren't being single minded in their approach, actually a very sensible decision IMO, locking into one outcome usually ends up with a very expensive result that isn't always the best.

basilio said:

FMG announced the purchase of 2 new battery electric locomotives to power their ore trains.

Interesting really. They have been diligently working on devising drive systems that use green ammonia and, I guess, a hydrogen fuel cell system. Now they are (also) buying in an off the shelf train from Brazil.

They note that the purchase will reduce fuel costs and maintenance.

https://www.fmgl.com.au/in-the-news/media-releases/2022/01/05/new-milestone-for-fortescue's-decarbonisation-strategy-with-purchase-of-two-new-battery-electric-locomotives

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It takes more energy to produce less hydrogen, until FMG are able to create more renewable energy than required to produce green hydrogen they will be looking at 'off the shelf' equipment to help bring their carbon footprint down so as to keep their promises and the market happy.

Considering the industrial production of hydrogen, and using current best processes for water electrolysis (PEM or alkaline electrolysis) which have an effective electrical efficiency of 70–82%, producing 1 kg of hydrogen (which has a specific energy of 143 MJ/kg or about 40 kWh/kg) requires 50–55 kWh of electricity.

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Easier to use renewable electricity to charge a couple of trains, while the science works out the hydrogen production & storage problems.