FMG - Fortescue Ltd

[Ann]

In trading halt.
..... It is thought to be related to further detail and clarification around the hydrogen supply deal announced on Tuesday in Europe.

They have announced plans to supply 5 million tonnes per year of green hydrogen to Europe by 2030 in a partnership with giant European energy retailer E.on.

Thanks Dona, I noticed the halt today. Hopefully, it will mean some more upside after it created the lovely unchallenged Island Bottom pattern recently. I gave up trying to get in cheaper and bought in once it leapt the 200 boundary fence. Temptation of an Island Bottom was too great for me!

 

[againsthegrain]

Got my shares part or the drp today, can anybody enlighten me why my average price shows as lower now?

My average buy in was ~17c previously, got my drp allocation today at ~18c, and my average shows as ~16c through my online broker.

Shouldn't my average go up now instead of down since drp allocation was higher then my average buy in?

I know I am not understanding something here, perhaps to do with franking credits?

 

[Value Collector]

Got my shares part or the drp today, can anybody enlighten me why my average price shows as lower now?

My average buy in was ~17c previously, got my drp allocation today at ~18c, and my average shows as ~16c through my online broker.

Shouldn't my average go up now instead of down since drp allocation was higher then my average buy in?

I know I am not understanding something here, perhaps to do with franking credits?

I am not sure I understand your question, are you saying your average buy in was only $0.17

which platform are you using?

 

[againsthegrain]

I am not sure I understand your question, are you saying your average buy in was only $0.17

which platform are you using?

sorry $ not c, not sure what I was thinking

cmc markets as a default broker through Anz

 

[divs4ever]

17 March 2022 DIVIDEND REINVESTMENT PLAN ALLOCATION PRICE

On 16 February 2022, Fortescue Metals Group Ltd (Fortescue, ASX: FMG) announced a fully franked interim dividend of A$0.86 per share with a Record Date of 1 March 2022, payable on 30 March 2022.
The allocation price for shares to be issued to participants in the Dividend Reinvestment Plan (the Plan) for the 2022 interim dividend is $18.524.
The allocation price has been calculated in accordance with the Plan rules as the average of the daily volume weighted average market price of all Fortescue shares traded on the Australian Securities Exchange during the period of ten trading days commencing on the second trading day after the Record Date.

Shares are expected to be issued to participants on 30 March 2022.

cheers

 

[Value Collector]

sorry $ not c, not sure what I was thinking

cmc markets as a default broker through Anz

I am not familiar with that platform, but some platforms allow you to edit the price so you might be able to work it out manually and correct it.

 

[againsthegrain]

I am not familiar with that platform, but some platforms allow you to edit the price so you might be able to work it out manually and correct it.

Ok thanx for the tip, will have to do that nobody wants to pay more cgt then they owe, not that I plan on selling anytime soon

 

[Value Collector]

Ok thanx for the tip, will have to do that nobody wants to pay more cgt then they owe, not that I plan on selling anytime soon

To work out capital gains it’s best to use the actual buy contracts.

Keep either a physical or digital copy of your buy contracts and use them when working out the capital gains.

That way you have exact records of all costs including brokerage, and dates to work out if you qualify for the 50% discount.

Also, you can decide exactly which shares you sold, eg use the older buy contracts if you want the 50% discount, or the ones with the highest or lowest price, depending if you want to have a larger or smaller capital gain.

If I sell only some of the shares of a particular buy contract I mark to say X number of shares from this contract have been sold.

 

[sptrawler]

Interesting idea by Twiggy.

Forrest floats US coal plant buy​

The mining billionaire said he was considering investing in as many as 22 power stations in coal-dependent West Virginia which could be converted to use renewable energy.

 

[qldfrog]

Interesting idea by Twiggy.

Forrest floats US coal plant buy​

The mining billionaire said he was considering investing in as many as 22 power stations in coal-dependent West Virginia which could be converted to use renewable energy.

How much expected green subsidies

 

[sptrawler]

How much expected green subsidies

Milk it while you can Twiggy.

 

[UMike]

Don't expect the dems to get another term!

 

[basilio]

Quarterly production figures out. A very good result overall. Production up. Prices up. Some cost blow outs but in the overall scene a very good result. Making $100 a ton vs $15.78c costs of production.
Market has responded strongly.

Record third quarter operating performance contributes to strong cashflow generation and upgraded guidance for full year shipments

Quarterly summary

• Total Recordable Injury Frequency Rate (TRIFR) of 1.8 for the 12 months to 31 March 2022, an 18 per cent improvement on 2.2 at 31 March 2021

• Iron ore shipments of 46.5 million tonnes (mt) for Q3 FY22, 10 per cent higher than Q3 FY21, contributing to record shipments for the nine months to 31 March 2022 of 139.5mt

• Average revenue of US$100/dry metric tonne (dmt) representing revenue realisation of 70 per cent of the Platts 62% CFR Index for the quarter (68 per cent in Q2 FY22)

• C1 cost of US$15.78/wet metric tonne (wmt), three per cent higher than the previous quarter

• Net debt of US$2.4 billion at 31 March 2022 after payment of the interim dividend of US$2.0 billion and capital expenditure of US$830 million in the quarter

• Successful completion of US$1.5 billion offering of Senior Notes on 7 April 2022, including Fortescue’s inaugural US$800 million Green Senior Note issue

• Completed the acquisition of Williams Advanced Engineering for US$221 million and announced the development of the zero emission Infinity Train

• Fortescue Future Industries (FFI) commenced construction of the Green Energy Manufacturing Centre in Gladstone, Queensland and continued to advance a portfolio of projects and technologies

• Based on the strong operating performance in the nine months to 31 March 2022, guidance for FY22 shipments is upgraded to 185 - 188mt (previously 180 - 185mt)

• Guidance for FY22 C1 cost is revised to US$15.75 - US$16.00/wmt (previously US$15.00 - US$15.50/wmt)

• Guidance for FY22 capital expenditure (excluding FFI) is amended to US$3.0 - US$3.2 billion (previously US$3.0 - US$3.4 billion)

• The Iron Bridge Magnetite project capital estimate has been revised to US$3.6 - US$3.8 billion (previously US$3.3 billion – US$3.5 billion).

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02514483-6A1088582?access_token=83ff96335c2d45a094df02a206a39ff4

 

[Value Collector]

Some good info on hydrogen

 

[basilio]

In trading halt.
..... It is thought to be related to further detail and clarification around the hydrogen supply deal announced on Tuesday in Europe.

They have announced plans to supply 5 million tonnes per year of green hydrogen to Europe by 2030 in a partnership with giant European energy retailer E.on.

Further to Dona's article.
5 Million tons of hydrogen at (say) $2 a kilo equals $10B a year . How does this compare to recent iron ore income ?

FFI targets 5 million tons of European hydrogen exports by 2030​

---

Brandon How
Reporter

31 March 2022



Share

Fortescue Future Industries has signed a memorandum of understanding with a European utility company to distribute its green hydrogen to the continent.

Working with German utility company E.ON, Fortescue Future Industries (FFI) plans to export up to five million tonnes of green hydrogen to Europe by 2030. This is equivalent to about one third of the energy imported from Russia to Germany. Fortescue founder Andrew Forrest said that reaching FFI’s targets could cost up to $50 billion.

The commitment was signed by Mr Forrest and E.ON chief operating officer Patrick Lammers at a press conference on Tuesday. The companies will engage in a research and study partnership with more detailed supply plans to be completed in the future.

Mr Forrest said that shipments to Europe would initially be in the form of green ammonia and split into hydrogen upon arrival. However, Mr Forrest also wants to eventually ship liquefied hydrogen to Europe.

FFI targets 5 million tons of European hydrogen exports by 2030

Fortescue Future Industries has signed a $50 billion agreement with a European utility company to distribute its green hydrogen to the continent. Working with German utility company E.ON, Fortescue Future Industries (FFI) plans to export up to five million tonnes of green hydrogen to Europe by...

www.innovationaus.com

 

[basilio]

On a more immediate scale FMG is looking at a committed project in 2023.

Australia's Fortescue targets 2023 go-ahead for first green hydrogen project​

By Sonali Paul


2 minute read

MELBOURNE, May 4 (Reuters) - Fortescue Metals Group (FMG.AX) hopes to make a final investment decision in 2023 on a green hydrogen project in Australia that would be its first to generate revenue, Chief Executive Elizabeth Gaines said on Wednesday.

The Gibson Island project in the northeastern state of Queensland is one of many tentative deals and studies unveiled by the world's fourth-largest producer of iron ore over the last 18 months as it strives to become a major green energy supplier.


"From a revenue perspective the most advanced would be the Gibson Island project ... Hopefully a final investment decision (FID) in 2023," Gaines told the Macquarie Australia Conference in Sydney, when asked which of its hydrogen projects would be the first to produce revenue.

First-phase feasibility studies were completed in December on using electrolysis powered by renewable energy to produce 50,000 tonnes a year of hydrogen to feed a reopening of the Gibson Island ammonia plant owned by Australia's top fertiliser producer Incitec Pivot (IPL.AX).

Australia's Fortescue targets 2023 go-ahead for first green hydrogen project

Fortescue Metals Group hopes to make a final investment decision in 2023 on a green hydrogen project in Australia that would be its first to generate revenue, Chief Executive Elizabeth Gaines said on Wednesday.

www.reuters.com

 

[divs4ever]

will there be a Europe in 2030 ( and will they have an economy worth trading with )

 

[basilio]

will there be a Europe in 2030 ( and will they have an economy worth trading with )

If there isn't a "Europe" in 2030 then really we won't be in any great shape.
Frankly the way things are playing out in Ukraine 2023 looks doubtful.

 

[Country Lad]

Fortescue green hydrogen goal needs 450GW of wind and solar by 2030​

Andrew Forrest’s Fortescue Future Industries has revealed some of the extraordinary numbers behind its hugely ambitious goal to deliver 15 million tonnes of green hydrogen production a year by 2030.

It will require, according to FFI’s head in NSW Joshua Moran – some 150GW of hydrogen electrolysers and a phenomenal 450GW of renewable capacity, namely wind and solar.

That, to put in context, is around nine times the current capacity of large scale generation in Australia’s National Electricity Market. Global electrolyser production is currently around 1GW, although FFI plans to double that with a new factory it is building at Gladstone.

“That gives you an idea of what is required to achieve this ambition,” Moran told the Smart Energy Expo on Thursday.

FFI’s targets have been dismissed as “pie in the sky” by many commentators, and FFI itself has admitted it was a “very” stretch target when first unveiled.

But it is now confident that target is “very achievable” , according to CEO Julie Shuttleworth, given the growing demand, falling costs, and the accelerated switch to green alternatives to fossil fuels driven by Russia’s invasion of Ukraine.

 

[dat111]

Fortescue green hydrogen goal needs 450GW of wind and solar by 2030​

Andrew Forrest’s Fortescue Future Industries has revealed some of the extraordinary numbers behind its hugely ambitious goal to deliver 15 million tonnes of green hydrogen production a year by 2030.

It will require, according to FFI’s head in NSW Joshua Moran – some 150GW of hydrogen electrolysers and a phenomenal 450GW of renewable capacity, namely wind and solar.

That, to put in context, is around nine times the current capacity of large scale generation in Australia’s National Electricity Market. Global electrolyser production is currently around 1GW, although FFI plans to double that with a new factory it is building at Gladstone.

“That gives you an idea of what is required to achieve this ambition,” Moran told the Smart Energy Expo on Thursday.

FFI’s targets have been dismissed as “pie in the sky” by many commentators, and FFI itself has admitted it was a “very” stretch target when first unveiled.

But it is now confident that target is “very achievable” , according to CEO Julie Shuttleworth, given the growing demand, falling costs, and the accelerated switch to green alternatives to fossil fuels driven by Russia’s invasion of Ukraine.

So an onshore windmill can generae about 2.5-3 MW of electricity... 450GW is 450000MW... So it will take 180,000-150,000 windmills...

India's Bhadla Solar Park is the largest solar park in the world it is 160 square kilometers in size and produces 2700 MW... So to produce 450 GW one would need 167 .. construction cost was $1.3B US ...

What is more than likely to happen if this actually does happen is that a portion of the hydrogen production will be done by wind and solar but the majority of the ammonia or hydrogen will be made out of natural gas...

Heck the European Commission has decided that power plants burning natural gas can be considered generators of green energy.