VML - Vital Metals

sptrawler · 22 October 2021

waterbottle said:
Big drop for Lynas today, although some important insight into rare earths offered....

Lynas expecting an increase in rare earth demand heading into 2022. Seems that they were limited by COVID outbreaks at their processing facility and limited access to shipping.
They're expecting a stronger rare earths market over the next 3-4 years.

I'm not too familiar with the company but it seems like they're trying to establish an Australian rare earths processing facility at Kalgoorlie and have recently received a recommendation from the EPA.
According to their earnings call, their production has fallen victim to COVID, global shipping woes to and from Malaysia, limited environmental approvals from the Malaysian government, and the cost needed to transport waste from their Malaysian processing facility back to Australia.
Their Kalgoorlie strategy may be an attempt to mitigate any future disruptions.
VML seems to be ahead in that regards with a facility already under construction with government support.

There was also mention of a US project by 2025, but nothing of substance mentioned in the earnings call.
My interpretation is it's a project that isn't a definite go ahead, and therefore may be available to another competitor.
VML seems to be making inroads into US markets through private companies (UCore) as opposed to government.

For comparison's sake LYC produced approx 16 000t/pa of REO @ 6 billion AUD market val.
VML will be producing close to 2000t/pa of REO in 2022 @ 250 million AUD.

I don't hold Lynas and am only going off memory from a cursory interest perspective, so I might be wrong.
But form memory, the big issue with Malaysia, is the highly toxic residue.
So again from memory that toxic part of the process, which is in the early stages of the process, is going to be done in Kalgoorlie.
The later value adding stages of the process are still going to be done overseas.
Someone who has an interest in Lynas might be able to check out my memory and correct me, if I'm off the mark.
As with @aus_trader I'm not into Lynas, missed the boat early and have chosen VML as my RE exposure.

aus_trader · 25 October 2021

sptrawler said:
I don't hold Lynas and am only going off memory from a cursory interest perspective, so I might be wrong.
But form memory, the big issue with Malaysia, is the highly toxic residue.
So again from memory that toxic part of the process, which is in the early stages of the process, is going to be done in Kalgoorlie.
The later value adding stages of the process are still going to be done overseas.
Someone who has an interest in Lynas might be able to check out my memory and correct me, if I'm off the mark.
As with @aus_trader I'm not into Lynas, missed the boat early and have chosen VML as my RE exposure.

Yes I can confirm LYC had problem after problem with pollution and toxic issues in Malaysia in the past.

Like @sptrawler I don't follow it much in detail, so don't know if these issues are resolved or it will re-surface once again...

spratty84 · 25 October 2021

I bit the bullet and topped up with another parcel today now im at 750000. I have been very impressed how quick they have gone into production and found markets for there products. It definitely gives me some confidence in the management team and the scope for the company. Yes there is a lot of water to go under the bridge in the next few years but the risk and reward im prepared to sit through as im in it for the long haul. If vital pulls through on there expansion plans with very little debt with another customer or two on boards happy days.

barney · 25 October 2021

Good luck with your top up etc @spratty84

My list of R/E Stocks shows VML was one of the laggards again today A few times in the past, they have done this then play "catch up" a couple of days later. Hopefully that trend continues.

Good to see your NTU is starting to represent its potential value as well Mr Aus (@aus_trader) It also surely has a good long term future.

aus_trader · 25 October 2021

barney said:
Good luck with your top up etc @spratty84

My list of R/E Stocks shows VML was one of the laggards again today A few times in the past, they have done this then play "catch up" a couple of days later. Hopefully that trend continues.

Good to see your NTU is starting to represent its potential value as well Mr Aus (@aus_trader) It also surely has a good long term future.

View attachment 131897

Good watchlist of RE stocks @barney , I posted a few that are breaking out in the Outstanding Breakout Alerts! thread earlier today.

I think it'll be a matter of time before VML breaks out higher as well... ?

waterbottle · 1 November 2021

Big rebound in Neodymium prices compared to earlier this year (VML was tracking it well back then).

spratty84 · 1 November 2021

waterbottle said:
View attachment 132166

Big rebound in Neodymium prices compared to earlier this year (VML was tracking it well back then).

Also the capital raising they did was needed but definitely took the air out of the stock price.

qldfrog · 2 November 2021

spratty84 said:
Also the capital raising they did was needed but definitely took the air out of the stock price.

Sadly a tight SL sees me out for the time being with a small loss

spratty84 · 2 November 2021

qldfrog said:
Sadly a tight SL sees me out for the time being with a small loss

That sucks it looks a slow grind at the moment

waterbottle · 2 November 2021

spratty84 said:
That sucks it looks a slow grind at the moment

Agreed.

We should expect a few more announcements in the next few months:

Ore should have been received at their plant + construction update
DD should be completed on Kipawa
Confirmation of agreement with Ucore pending acceptance of product

Meanwhile we have COP26 in the background which will hopefully spur a shift in US politics to focus on renewable energy + associated stimulus

waterbottle · 3 November 2021

A North of 60 rare earths supply chain

A recent agreement between Vital Metals Ltd. and Ucore Rare Metals Inc. marks a major milestone in establishing a complete North American rare earths supply chain with links in Northwest Territories, Saskatchewan, and Alaska. Vital has already established Canada's only rare earths mine at its...

www.miningnewsnorth.com

Great article for newcomers summarising VMLs progress and future plans

waterbottle · 11 November 2021

Neodymium prices now well and truly past their peak from earlier this year, likely secondary to global plans to increase the number of EVs and renewable energy plans.

If this continues I'd expect a profit upgrade for VML (once they start turning one )

waterbottle · 11 November 2021

Up by a big amount today. Besides Nd prices going higher, this is the only other news I can find... Looks like a positive feedback loop for VML

Greenland bans uranium mining, blocking vast rare earths project

The ban affects the Kvanefjeld rare earths project, one of the world’s biggest, as it would have produced uranium as a by-product.

www.mining.com

barney · 11 November 2021

waterbottle said:
Up by a big amount today.

Always gotta watch out for the "BIG W" supermarket trades during retracements

No cheering till it breaks above 065-066, but so far so good

waterbottle · 13 November 2021

barney said:
Always gotta watch out for the "BIG W" supermarket trades during retracements

No cheering till it breaks above 065-066, but so far so good

View attachment 132736

Judging by the higher highs that Neodymium is fetching, the trouble that Lynas has with shipping ore and the Greenland result, VML should be hitting new highs too.

aus_trader · 14 November 2021

waterbottle said:
Up by a big amount today. Besides Nd prices going higher, this is the only other news I can find... Looks like a positive feedback loop for VML

Greenland bans uranium mining, blocking vast rare earths project

The ban affects the Kvanefjeld rare earths project, one of the world’s biggest, as it would have produced uranium as a by-product.

www.mining.com

I have given friendly warning (not financial advice) about the environmental risk of trying to mine in Greenland with regards to GGG in the past in various posts and in speculative portfolio around the time of purchasing NTU in the past.

Hope no one is holding GGG.

spratty84 · 12 December 2021

On Thursday i bought another parcel of 250000 now im up to a holding of 1000000. Im in it for the long haul and im going to see vital out till 2027 to 2030 once it is operations are fully developed. If Geoff and his mates can keep executing like they are now its going to be a handy pay day, but its a long way to go.

waterbottle · 12 December 2021

Some valid criticism in other forums is that a DFS has not yet been completed for the Nechalacho site and the obvious large number of shares on issue dilute the share price.
Should be getting announcements soon RE: receipt of ore for processing and updates on whether or not they will proceed with their HREE acquisitions.

waterbottle · 16 December 2021

Hmmmm radio silence....

Was expecting to hear something about the recent HREE acquisitions or possibly Tanzania.
Only change to the website seems to be a new background....

spratty84 · 19 December 2021

waterbottle said:
Hmmmm radio silence....

Was expecting to hear something about the recent HREE acquisitions or possibly Tanzania.
Only change to the website seems to be a new background....

I have been thinking the same thing hopefully saving some news for the new year

VML - Vital Metals

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