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S32 - South32 Limited

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The Australian states have become so woke and punitive to coal companies that now S32 is also selling Australian assets. Selling Illawarra met coal project for the equivalent of 1 year's revenue. Meanwhile still has mines in South Africa which is returning to the dark ages - that should work out.
I'm becoming unhinged.

Held
Not buying

Screenshot_20240229-142911_Chrome.jpg
 
finicky said:
The Australian states have become so woke and punitive to coal companies that now S32 is also selling Australian assets. Selling Illawarra met coal project for the equivalent of 1 year's revenue. Meanwhile still has mines in South Africa which is returning to the dark ages - that should work out.
I'm becoming unhinged.

Held
Not buying

View attachment 171810
Click to expand...

1 x earnings and the market liked it. Unbelievable.
 
Sean K said:
1 x earnings and the market liked it. Unbelievable.
Click to expand...
i didn't .. i removed it from my watch-list

i rescued my investment cash ( plus a bit ) in April last year @ $4.40 , the S32 can sit in 'my bottom drawer '

about the only positive thing i can say is ,S32 is making me look like gifted trader ( but i am not )
 
BlueScope considers tilt at South32 mines to pre-empt $2.5b sale
BlueScope is mulling whether to match the $US1.65 billion ($2.54 billion) Indonesian bid for the Illawarra coal mines that feed the Port Kembla steel mill, raising the prospect of reuniting assets that were separated by BHP’s 2002 steel demerger.

Held
 
finicky said:
BlueScope considers tilt at South32 mines to pre-empt $2.5b sale
BlueScope is mulling whether to match the $US1.65 billion ($2.54 billion) Indonesian bid for the Illawarra coal mines that feed the Port Kembla steel mill, raising the prospect of reuniting assets that were separated by BHP’s 2002 steel demerger.

Held
Click to expand...
have held BSL in the past for a very nice ride ( and special thanks to BSL management for that )

but yes i am watching that ( i hold S32 )

i suspect the regulator would wave a BSL deal through without major concerns
 
BSL has first preemptive option to buy the Illawarra mines because of Bluescope's past as a BHP spin-off (as was S32 obviously) Bluescope needs the met coal for its steel manufacture. Think I got that right.
 
Last edited:
finicky said:
BSL has first preemptive option to buy the Illawarra mines because of Bluescope's past as a BHP spin-off (as was SW2 obviously) Bluescope needs the met coal for its steel manufacture. Think I got that right.
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as far as i understand it , yes

will BSL take the option , or risk being held hostage to higher coal prices

as long as they don't hire ARI/OST management the choice seems obvious to me
 
maritime-executive.com

Cyclone Drives Bulker Into Wharf, Suspending Manganese Mine's Operations

One of the world’s leading manganese mines was damaged on Monday by a cyclone impacting the northern reaches of Australia with reports suggesting the...
maritime-executive.com maritime-executive.com

S32 in the news for the wrong reasons.

I’ve got no idea why they had a Bulkie anywhere near their infrastructure with a cyclone in the area.
 
Reason 101 why i never invest in resource companies, they are run by morons. Leaving the ship on the shiploader wharf was absolute stupidity. I saw photos from a mate this morning, 2 holes in the ship, punched by the shiploader. Ship loader destroyed, 2 dolphins destroyed, probably 6 months before they repair it.

There was heaps of time to get the ship off the wharf, while it was clear the Low would miss Groote, the wharf is totally exposed to the NW which was always going to be the main wind direction once it developed into a cyclone. We had over 50k gusts in Gove harbour which is 100 miles further away! Even Rio had enough sense to clear the wharf here once the forecasts showed 25k plus winds.
groote.jpg
 
galumay said:
Reason 101 why i never invest in resource companies, they are run by morons. Leaving the ship on the shiploader wharf was absolute stupidity. I saw photos from a mate this morning, 2 holes in the ship, punched by the shiploader. Ship loader destroyed, 2 dolphins destroyed, probably 6 months before they repair it.

There was heaps of time to get the ship off the wharf, while it was clear the Low would miss Groote, the wharf is totally exposed to the NW which was always going to be the main wind direction once it developed into a cyclone. We had over 50k gusts in Gove harbour which is 100 miles further away! Even Rio had enough sense to clear the wharf here once the forecasts showed 25k plus winds.View attachment 173008
Click to expand...
Good photo, what a mess.

Morons indeed.
 
Being a dick for a tick is an old saying that applies when traders try to squeeze an extra tick when we buy or sell. No I'm not going to cross the spread let the trade come to me.... OMG it's going higher, buy it now at any price. Why didn't I just pay up straight away it would have been cheaper!

Seems like the management team at S32 just wanted to fill the ship before the cyclone, but missed it by THIS much.

It's going to cost them more than a few ticks to repair this huge misstep.
 
galumay said:
Reason 101 why i never invest in resource companies, they are run by morons. Leaving the ship on the shiploader wharf was absolute stupidity. I saw photos from a mate this morning, 2 holes in the ship, punched by the shiploader. Ship loader destroyed, 2 dolphins destroyed, probably 6 months before they repair it.

There was heaps of time to get the ship off the wharf, while it was clear the Low would miss Groote, the wharf is totally exposed to the NW which was always going to be the main wind direction once it developed into a cyclone. We had over 50k gusts in Gove harbour which is 100 miles further away! Even Rio had enough sense to clear the wharf here once the forecasts showed 25k plus winds.View attachment 173008
Click to expand...
Yep moving out to deep water and riding it out would have seemed the way to go.
 
S32 reports on temporary suspension of the activities at GEMCO. If the ship has holes in it and the loading wharf structurally damaged this is going to take many months to fix. Manganese is approx 17% of S32's revenue.

No selloff today in S32 share price. If I had a CFD account this would be an interesting short. Just as iron ore is currently and lithium last year.
 
AUSTRALIA MANGANESE UPDATE
South32 Limited (ASX / LSE / JSE: S32; ADR: SOUHY) (South32) provides the following update on operations at Groote Eylandt Mining Company Pty Ltd (GEMCO). Operations at GEMCO remain temporarily suspended due to the impacts of Tropical Cyclone Megan.
The safety of our people and the community on Groote Eylandt remains our highest priority.
Importantly, our workforce is safe and there have been no recordable injuries to personnel at the operations. As weather conditions have eased on the Eylandt, access to key infrastructure has been restored to enable an initial assessment of impact.
Initial assessments have identified flooding in the mining pits, as well as significant damage to a critical haul road bridge that connects the northern pits of the Western Leases mining area and the processing plant.
Significant structural damage to the wharf and port infrastructure has now also been confirmed.
Further assessment of the full impact of the damage is ongoing and will inform recovery plans, with a view to returning to safe operations as soon possible.
Alternative shipping arrangements are also being evaluated.
While we complete this work, we are withdrawing guidance for Australia Manganese and will provide a further update in our March 2024 Quarterly Report.

i hold S32

am not really interested in adding to the holding currently

starting to look like a ship-wreck .. ( surely some of these issues are almost annual risks )
 

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