SDV - SciDev Limited

[mft06]

INL going off at the mo, good vol, strong support, buyers lining up, on a good report, up 10% +

 

[rub92me]

The directors buying is a good sign, but it was really now or never. Maybe they were all actors before they became directors and are masters of suspense? Who knows lol. But if it goes through 18.5c on volume then I think it will do well. Until that time, it's probably a 50/50 call.

It just went through 18.5 cents with good volume. The market obviously liked the quarterly update! Now see if it can hold...

 

[chops_a_must]

DOG has already been taken by UNI chops!
Its not like I've put my sausage on the block (only 45000 units) and with limited down side fairly safe play for a couple of cents.

UNI, ADI and INL were all up over 10%.

No-one told me there were Greyhounds running today!

A very bullish close though. I'm not even sure if the quarterly was that great...

 

[drmb]

.... I'm not even sure if the quarterly was that great...

Looks good to me but I have been holding through gritted teeth (it has been my worst performing stock) although I bought with at least a 2-3 year horizon/ I think the technology they have is still being overlooked by the market. .. But one thing I've learned is the market is always right - even when it's wrong!!!

Highlights
• INL’s EBITDA in the March 2007 Quarter was approximately A$3.7 million, including payments
subsequently received for the second zinc concentrate shipment on 27 March 2007 and the sale
completed at the beginning of April of all shares (excluding options) in Jervois Mining Limited (JRV);
• The Hellyer Zinc Concentrate Project (HZCP) is now operating profitably, with production ramping
up to monthly ‘in-spec’ shipments of ~5,000t, operating costs at or below target, and buoyant
zinc/lead/silver prices;
• Trial processing of Bass Metals Ltd’s (BSM’s) high zinc grade Que River ore appears to have been
successful, with likely favourable metallurgical recoveries and product outcomes. BSM has just
completed a completely successful rights issue in which INL’s participation took its BSM
shareholding to 23.49%;
• The Ammtec report on ‘steady state’ operations at the Burnie Demonstration Plant (BDP) has been
completed with a set of information and conclusions leading to setting up the BDP for commencement
of the previously outlined Intec Hellyer Residues Project (IHRP) in the second half of 2007;
• The IHRP has progressed significantly towards completion in 2008. The Intec Process will be used to
extract zinc, lead, and silver from electric arc furnace dust and potentially other zinc-bearing oxidised
residues, followed by precipitation of high-grade zinc sulphide product. The IHRP plant at Hellyer
will be Intec’s first commercial-scale plant, generating substantial near-term cash flow through
blending with, and enhancement of, the HZCP zinc bulk concentrate for sale of increased tonnages to
the HZCP’s existing customers. Because there is no zinc electrowinning required, the IHRP will have
low capital and operating costs, together with short lead-times on design and construction; and
• Acquisition and then divestment of a strategic stake in JRV resulted in cash profits of A$2.5 million,
with 107.2 million JRV options retained for an additional profit (marked to JRV’s current market
price) of A$1.6 million.
ABN 25 001 150 849

 

[chops_a_must]

Looks good to me but I have been holding through gritted teeth (it has been my worst performing stock) although I bought with at least a 2-3 year horizon/ I think the technology they have is still being overlooked by the market. .. But one thing I've learned is the market is always right - even when it's wrong!!!

Highlights
• INL’s EBITDA in the March 2007 Quarter was approximately A$3.7 million, including payments
subsequently received for the second zinc concentrate shipment on 27 March 2007 and the sale
completed at the beginning of April of all shares (excluding options) in Jervois Mining Limited (JRV)

The thing that worries me is that most of the EBITDA is from the sale of JRV shares. Without that, the EBITDA for the quarter is only $1.2m. So if you only take into account their earnings from sales, ~.6m per shipment, at 1 p/month at roughly ~$2m overall per quarter, their P/E is at about 20. Even if you forecast an EBITDA of 3m for the whole year, the P/E is at about 8.5.

And that's well above CBH or ZFX and it doesn't even pay dividends. If I was getting into a zincer, I think there is much better value and income out there than this...

But well done to those people who are now approaching break even and have a chance now.

 

[juiceman]

Looks good to me .
Typical INL no hype just the facts.
Top 20 shareholders still there,and accumulating.
Basic earnings,projected at 20 mil,and thats before any of their existing projects in the pipeline,that should cover all costs.
Doesn't that put them on a PE of 5.

INL must hold 19+ tomorrow,or holders will be in for the long wait!
Good luck to all.

 

[drmb]

Looks good to me .
Top 20 shareholders still there,and accumulating.

I hope it holds 19 as well. One thing about the top 20 is that there does'nt seem to include Ivanhoe?

 

[wintermute]

Well it is only one day, but I think it was a very positive one chops, as for the approaching break even point, I'm already in profit (albeit a small one, a measly $157 after brokerage in fact).

I haven't had a chance to properly read through the quarterly yet... will do so with interest, but I must say I like that top 20 shareholders bit.

Tony.

 

[Moneybags]

I hope it holds 19 as well. One thing about the top 20 is that there does'nt seem to include Ivanhoe?

I noticed that too, then had a closer look.

2nd from the top drmb.

Certainly good to see top 20 holding on.

MB

 

[drmb]

I noticed that too, then had a closer look. 2nd from the top drmb. Certainly good to see top 20 holding on. MB

Right, wasn't expectin to see it as a holding company. I guess those shares will come onto the market at some point since the Mongolian agreement with Rio is that IVN must divest non-core assets.

 

[nizar]

Todays candle looks like a break of a longterm (since dec06) descending triangle to me.....

 

[Robbo73]

Any ideas on the long term price of this I hold 200,000 at avg price of .181?? Report today looked good to me??

 

[stoxclimber]

The thing that worries me is that most of the EBITDA is from the sale of JRV shares. Without that, the EBITDA for the quarter is only $1.2m. So if you only take into account their earnings from sales, ~.6m per shipment, at 1 p/month at roughly ~$2m overall per quarter, their P/E is at about 20. Even if you forecast an EBITDA of 3m for the whole year, the P/E is at about 8.5.

And that's well above CBH or ZFX and it doesn't even pay dividends. If I was getting into a zincer, I think there is much better value and income out there than this...

But well done to those people who are now approaching break even and have a chance now.

At 1.2mm EBITDA per quarter, INL is trading at 19.8x EBITDA...thats a pretty high price being paid for the technology side of the business

I was pretty dissapointed with the profit figure

 

[KIWIKARLOS]

did anyone notice that in their announcement they basically said the burnie feasability study was positive and that further commercialization will be proceeding.

Surely this means they will have to announce the full feasability study very soon, and once its out can this go anywhere but up

 

[wintermute]

I did notice something in the brief look I had, but I also saw something about not requiring an electrotwining circuit which I thought was very odd, need to actually put aside the time to read it properly.

Tony.

 

[wintermute]

OK I've read through the report, must say I'm a little disappointed about the omission of the electro twinning circuit... I guess it is a gentle way of saying that that bit is not currently feasible.... probably why they want to continue running the demo plant, so that they can sort it out. I guess we will find out more when they release the BFS... putting a positive spin on it (ie lower cost and sooner cash flow) maybe they have become concerned about stuff I've mentioned before, about the possibility of a shareholder desertion if all profits are sucked up building the commercial plant... who knows!

Thought it was interesting that a lot of the stuff I've been saying about zinc price correlations, pre and post Polymetals JV etc was mentioned in the report

Still happy to be holding but a little disappointed, the electro twining bit was IMO the best bit of the technology, ie pure zinc sans smelting...

anyway just for fun here is another of my "alternative" graphs

think of it what you will, but I think it is bullish

Tony.

 

[Sean K]

anyway just for fun here is another of my "alternative" graphs

think of it what you will, but I think it is bullish

Tony.

Last 2 days look remarkably similar to the end of Feb A break though 20 cents will make me more interested to get back in. Watching closely. Cheers.

 

[KIWIKARLOS]

Wintermute why are you upset about the omission of the electrowinning circuit

Electrowinning has nothing to do with Intec patented zinc recover process.

Electrowinning is the current method employed by others to recover zinc, there statement is positive meaning that because their process doesn't require this energy intense system to extract zinc their patented process is far more efficient and profitable.

Its a good thing champ

 

[wintermute]

Not at all KiwiKarlos... The electro twinning ciruit was in the demo plant, it is the bit that deposits the zinc onto a cathode to produce pure zinc ingots... they are doing away with it (for the short term at least), and are only going to produce zinc sulphides that they can use to enrich the existing concentrate... ie they will still only be producing a concentrate, which then has to be sent to the smelter who need to take their cut, they won't be a zinc metal producer.

The whole selling point of the intec process IMO is doing away with the need for smelting, they have stated this in the past, this is also part of the green side to the technology. Not IMO necessarily a good thing, as it means that the FINAL solution is a quite a way off yet.

Tony.

 

[KIWIKARLOS]

Thats incorrect wintermute.

Read the intec process on their site, from electro winning it still does require smelting you cant form a zinc ingot from electrolysis.

The main advantage to the intec process is the elimination of the roasting stage thats where the power saving is.

The zinc concentrate that intec send out is going to go to a place where they electro winning it and then smelt it to.

They have probably done away with stage 3 of their process (electro winning and smelting) because it is more economic to do it at already established sites.