VML - Vital Metals

[bk1]

Read the comments from Guardian readers below the line, its confirmation bias at its finest. These people are clueless, the good news?, they will never ever get the keys to the castle.
They simply feed of each other in an echo chamber of moral outrage....

 

[barney]

Read the comments from Guardian readers below the line, its confirmation bias at its finest. These people are clueless, the good news?, they will never ever get the keys to the castle.
They simply feed of each other in an echo chamber of moral outrage....

Indeed @bk1

I always prefer to listen to what Geoff has to say rather than read general news reports as well. The below interview is a month old (not sure if I posted it earlier, but won't hurt to post again given the current time line)

The positivity coming from both Geoff and the Interviewer is undeniable, and is put into English we "normal" people can understand

VML are obviously close to announcing the start of Production as described, but as stated, the real fun starts when they ramp up to Stage 2 down the track.

Lots of water to flow under the bridge of course, but I'm banking on the current stream turning into a rapid over time.

Definitely worth a listen for anyone interested in the Co. (Hope the link works ok)

 

[barney]

Bit of a shake-out on VML this morning. Just touched .063 Most other R/E Stocks are also down today/lately.

The R/E Stocks with substance should bounce the hardest once the shaking stops.

No major concerns with this little battler in the longer term.

 

[waterbottle]

Radio silence from VML...

Any news on mining activity?

 

[barney]

Radio silence from VML...

Any news on mining activity?

Pretty fair bet that the drills are churning as we speak @waterbottle

Stage 1 drilling/mining campaign from March (mobilization) till September this year

Which will also incorporate Ore sorting once sufficient stockpiles are accumulated

We are working in the frozen wasteland, so all the action will be during the "Summer" season

Summer in Canada is probably a bit like skinny dipping in Tasmania during the middle of Winter, but we have no control over that.

I expect we will get an update on mining/ore sorter operations within 2-3 weeks (assuming all is going to plan)

They will be mining and sorting till the weather curtails activities (late September/October?)

Assuming enough stockpiles are dug up in the initial campaign, they will not need to dig further till 2024

In other words, the plan is to generate value while keeping costs low in the early stages (as they have always stated)


A lot more potential here if the ducks keep quacking??? And who doesn't like Duck Soup

duck soup - Search Videos

www.bing.com

 

[barney]

Was watching the pre-open market depth on this one this morning. It was shaping up to drop a tick or so with plenty of Supply being offered at .060

Went back just after the Open and the lot had been taken, plus a bit more, so .060 looks like the boxing bag for the time being

15 million went through in quick fashion, now the room is empty ... Hopefully it all turns out to be accumulation.

 

[barney]

Mmmm .... That question got answered quickly.

Current VWAP this early is close to .062 .060 definitely looks like accumulation this morning

.064 has a bit of previous Volume attached. If that gets "jumped" anytime soon, it could move quickly.

Either way, positive PA today (Just on 50 million shares traded already 11.40am)

 

[over9k]

Down to 056. Are our bums sore yet?

 

[barney]

Down to 056. Are our bums sore yet?

Lol .... Very funny O-9

I can confess my trading account does not look as attractive over the last 2 weeks, lol

However, in true crazy Spec-accumulator madness (that's me)

I bought a couple more yesterday at .053

Not because I need anymore, but because it looked close to the lows

Lower than .051 I have pegged as the "not happy zone"

If it gets under 05 , I will not be so cheery

Just to show I am a truthful chap (Trade screen shot below)

 

[waterbottle]

Yes a bit sour, but so is everything renewable - see US markets.
I don't think this changes any long term views at this stage.
Still keenly awaiting results from their next stage of drilling (if Lithium is found it will go off) and a report on their production.

 

[over9k]

@waterbottle are you down or just not as ahead as you were?

 

[waterbottle]

@waterbottle are you down or just not as ahead as you were?

Down but still think the trade will be worth it based on fundamentals. I think VML has been unfortunate to have been caught up in a broader market pull-back.

My 2c:

Short term, there has been a big pull-back in a lot of companies that were pivoting themselves to play a role in the green economy, both in the US (BLNK, FCEL, PLL, LTHM) and Aus (LKE, CXO, PLS, GXY, MNS, VUL, NVX).
Similarly, rare earth prices have retreated over the past month. Lithium remains stagnant. Copper has hit all time highs.

Medium term I. E. Late 2021, I'd expect a bounce in the share price once production starts. I think this is where management will have to prove that they really do have the acumen to develop new partnerships with additional customers.
I think this would be a really important point in time for VML for a number of reasons:

1. It will be the first rare earth mine in Canada meaning it will have an advantage in seeking out partnerships with US manufacturers/processors (US government is keen on securing critical metals and has waived tarrifs for the same imported through Canada) once they can demonstrate reliability.

2. VML's 1st stage project is actually shared with a Canadian miner known as Avalon metals. VML owns the plot to a depth of 150m, whereas Avalon owns the remaining depth. The first 150m has both light and heavy rare earths.
The basis for VML's project was a geological study commissioned by Avalon in 2013. Sampling of Nechalacho was limited (and VML's reports note this) despite Avalon's report in 2013 stating that lithium-containing rock may have been located on the site.
If VML's 2nd stage drilling is able to demonstrate lithium within their North T zone project then this would be a game changer for the company (although admittedly this is just speculation at this stage).

Long term, the company seems to be focussed on expanding its Wigu Hill project although I'm extremely skeptical about this. Africa tends to be volatile and a mine in that part of the world would not be as accessible. Ideally another site would be acquired or they focus their efforts elsewhere.

 

[barney]

Ticking higher last couple of days. No complaints from me after the recent sell off.

Today's VWAP so far is a whisker above .059 Hopefully it turns out to be interested Buyers and the the up-trend resumes.

 

[barney]

Hopefully it turns out to be interested Buyers and the the up-trend resumes.

Overall market feels potentially "nasty" at the moment

VML is one of my Spec bench-marks, and to be honest, it's doing better than some others

Rare Earths in general today were not in a happy space,

Lynas however still held it's ground, and even though I fully expect another test of the $5.50 area for it,

I think the R-E space is still one of the potential/likely front runners, even if the general market has a bit of a spaz-attack


No real point to this post, but VML above 051 is a BUY/Accumulate in my view

VML under 050 is potentially scary (in the short term)



Ya gotta love Specs

 

[over9k]

The whole market's mental at the moment, I wouldn't read too much into it. It's when it diverges from the market that you need to get busy.

 

[barney]

The whole market's mental at the moment, I wouldn't read too much into it. It's when it diverges from the market that you need to get busy.

I am a very busy BEE O9 don't you worry, lol ........


In all seriousness, I think VML is sitting pretty well overall, irrespective of short term Market gyrations

Today's close actually looked positive (to me) on what could have been conceived a "bad day"

We shall see if I am deluded or not over the next week or so

 

[waterbottle]

Agreed with the above - EV/green economy is taking a beating especially in the US.

 

[barney]

VITAL COMPLETES FIRST BLAST AT NECHALACHO AHEAD OF RARE EARTHS PRODUCTION HIGHLIGHTS

• First blast milestone achieved at Nechalacho Rare Earth Project
• Commencement of mining begins at Canada’s first rare earth mine
• Concentrate production will begin via ore sorting in June 2021, ahead of being sent to Saskatoon cracking and leaching facility later in 2021


I don't expect the news to move the SP much, but the lads are progressing as planned, on time!

 

[sptrawler]

VITAL COMPLETES FIRST BLAST AT NECHALACHO AHEAD OF RARE EARTHS PRODUCTION HIGHLIGHTS

• First blast milestone achieved at Nechalacho Rare Earth Project
• Commencement of mining begins at Canada’s first rare earth mine
• Concentrate production will begin via ore sorting in June 2021, ahead of being sent to Saskatoon cracking and leaching facility later in 2021


I don't expect the news to move the SP much, but the lads are progressing as planned, on time!

Yes barney, a mate of mine (mech fitter) who know lives in Canada, says things seem to get done faster there.

 

[Garpal Gumnut]

The whole market's mental at the moment, I wouldn't read too much into it. It's when it diverges from the market that you need to get busy.

VML is on the radar of the newer ex-jobkeeper young and restless day traders and will be volatile for a little while longer.

Volatility is good though for a stock.

gg