VML - Vital Metals

[barney]

I just bought another 200000 at .042 to make up for the extra stock which is going to be in circulation. Its a good thing they are trying to keep debt low, with a vote of confidence from some big players. It would be nice to have another offtake agreement signed in the near term but im in it for the long haul.

I agree long term that should be a positive buy @spratty84

A little supply creeping in at the 042 level, but for any retailers who want out at the moment there are + 17M bidding at 040-041 so holding above the cap raise price is a positive sign.

Price action between now and Aug 10 (and just after Aug 10 when Lionhead Shares become available on market) will tell the shorter term story, but I'm still punting that the SP will be back over 044 prior to Aug 10 as long as we have no external mad market events.

 

[frugal.rock]

I took a small position on 0.045 this week (yesterday).
Had also wanted 0.042, but had to juggle other things last week, and didn't get back to it... grrr.
Green government legislation business yesterday reminded me of Vital.
Plan is a +12 month hold as I thought the chart looked ok.

 

[barney]

I took a small position on 0.045 this week (yesterday).
Had also wanted 0.042, but had to juggle other things last week, and didn't get back to it... grrr.

042- or 045 won't be too much different if things go as planned Rock, but I understand your annoyance.

Price action is going as planned/suggested a couple of days back

The short term "million dollar" question is;

Now that the SP has edged a bit higher post cap raise announcement, (but pre conversion of new shares),

Will/how many of the recent new "investors" might cash in their chips for a short term 10+% gain?? (around Aug 10)

My eternal optimism in the Company suggests there may be a percentage of sellers from 10th August for a few days, but the vote of confidence from our recent $30M Lionhead investor should see a steady increase in buying to at least 20% higher/ 048 and hopefully + 5 cents in the short term (general market optimism considered)

Interesting times for this minnow

 

[frugal.rock]

A couple of months old now.
Advertorial.

 

[barney]

A couple of months old now.
Advertorial.

Thanks for the recap Rock.

Definitely a good reminder of where the VML lads plan to head over the next few years.

I've followed a lot of Specs, but these chaps are possibly the only ones who have delivered on +90% of their proposed timelines/objectives, so it's hard to fault management at this stage.

I'll be surprised if the SP does not increase substantially over the next 12-18 months based on their projections/strategies/implementation so far.

The recent cap raise obviously increases the SOI, but with a market cap of around $200M and $35M of working capital post CR

They are sitting in a tidy position compared to most Specs.

Price action late this week after 10th Aug will be interesting. High Volume at any level above the CR price will be positive

In a perfect world, the Lionhead boys will stump up a few more $Million and push the SP above 5 cents by next Friday, lol

 

[barney]

but I'm still punting that the SP will be back over 044 prior to Aug 10 as long as we have no external mad market events.

Crystal balls on track at this point, lol

should see a steady increase in buying to at least 20% higher/ 048 and hopefully + 5 cents in the short term (general market optimism considered)

Touched the 048 level today ........ but Supply kicked in at 046 ...

Price action late this week after 10th Aug will be interesting. In a perfect world, the Lionhead boys will stump up a few more $Million and push the SP above 5 cents by next Friday, lol

10th tomorrow .... Lots of shares available from the cap raise. Will test the short term market confidence.

OS Markets weak tonight. 5c by Friday looks a tough ask but you never know.

Chug-chug

 

[aus_trader]

Added VML to the asx listed American / North American RE stocks that looks to be in a geo-political sweet spot at the moment due to US-China tensions exacerbated by the Taiwan situation , details in Speculative Stock Portfolio

 

[barney]

Geoff Atkins must have had some serious words with the new Lion lads. Been replaced with an interim CEO from Lionhead till a full time position is filled.

Never great to see friction at ground level. SP down as low as 039 so far today

Recent Cap Raise was at 040 with Lionhead stumping up $30 mill so 040 holding is a psychologically important level in the short term.

Geoff leaving changes the dynamics of the Company a bit. 3 month initial contract with Russel Bradford means probably be at least a couple of months before a new candidate arises. Critical they find someone experienced in RE.

Given the abrupt nature of GA's termination, I hope they have someone in the pipeline to ease the nervous punters.

 

[spratty84]

Geoff Atkins must have had some serious words with the new Lion lads. Been replaced with an interim CEO from Lionhead till a full time position is filled.

Never great to see friction at ground level. SP down as low as 039 so far today

Recent Cap Raise was at 040 with Lionhead stumping up $30 mill so 040 holding is a psychologically important level in the short term.

Geoff leaving changes the dynamics of the Company a bit. 3 month initial contract with Russel Bradford means probably be at least a couple of months before a new candidate arises. Critical they find someone experienced in RE.

Given the abrupt nature of GA's termination, I hope they have someone in the pipeline to ease the nervous punters.

Yep im very disappointed with the news i was hoping mr atkins would see through the project to its potential

 

[waterbottle]

Wow, Geoff leaving was certainly on the cards (IIRC his contract was due to end in 2023 regardless) but didn't think it'd happen with a temporary CEO....

Unfortunately another kick in the guts for long term holders. Share price has definitely not performed despite the supposed importance of REs and recent commercial developments with Reetec et al., unlike lithium miners who experience exponential price rises on speculation alone....

The lacklustre performance may just be a reflection of the industry. Rare earths and renewables will have to take a back seat during an upcoming recession, particularly when countries are desperate to secure energy that they can use immediately and effectively I. E. Fossil fuels.

 

[barney]

Been a tough couple of months on the Trading punt. VML has been on the long and winding down trend since last April.

Last few days have looked like some accumulation going on around the 039-040 level.

After today's Ann there seems to be even a little more vibe of positivity in the price action.

If 042 gets taken out in the last 10 minutes of trade or at the Close, it would be a tidy finish to the week. We live in hope

 

[barney]

Todays Ann (non-sensitive)

Just before the CLOSE:

 

[sptrawler]

It will be interesting to see if the new CEO is less risk averse and decides to take on more debt and capital raising to accelerate things.
It is a bit of a shame that there is management issues, the steady, steady approach they have been travelling has sat well with me, so hopefully GA's leaving isn't due to a change of direction.

 

[frugal.rock]

ASX / Media Announcement
23 September 2022

VITAL METALS UNVEILS RARE EARTH PROCESSING PLANT IN SASKATOON

Highlights

- Vital officially unveils multi-million-dollar, ~3,000m2 rare earth processing facility in Saskatoon, Canada

- 200 leaders in the global rare earth industry gathered to acknowledge Vital’s responsibly sourced rare earth supply chain, with support shown by Government

- Elected Indigenous leaders recognised Vital for its Indigenous participation, community engagement and innovative reduction of environmental impacts

- Beneficiated ore from Vital’s Nechalacho project will be processed at the facility to a high purity, mixed rare earth carbonate product.

 

[aus_trader]

Terminating the Kipawa purchase agreement...

Probably better to conserve the cash in the current environment

 

[waterbottle]

Terminating the Kipawa purchase agreement...

View attachment 147866
Probably better to conserve the cash in the current environment

This was always going to be a pipe dream for VML. There was a strong record of community opposition from he indigenous peoples to attempts made by predecessors to mine the same area!

North T is all they have IMO, which makes them a light REE supplier at best. Unfortunately, their business is now tied to Europe (Reetec + Schafer) which seems to be charging into a recession.

It doesn't look good IMO for VML, particularly if they plan to do any additional cap raises

 

[aus_trader]

This was always going to be a pipe dream for VML. There was a strong record of community opposition from he indigenous peoples to attempts made by predecessors to mine the same area!

North T is all they have IMO, which makes them a light REE supplier at best. Unfortunately, their business is now tied to Europe (Reetec + Schafer) which seems to be charging into a recession.

It doesn't look good IMO for VML, particularly if they plan to do any additional cap raises

Interesting point you made about their offtake partner being European. I would have preferred if they kept some of the production to sell directly across the border to the RE hungry USA.

 

[frugal.rock]

Unfortunately, their business is now tied to Europe (Reetec + Schafer) which seems to be charging into a recession.

Interesting point you made about their offtake partner being European. I would have preferred if they kept some of the production to sell directly across the border to the RE hungry USA.

I'm looking at this with the opinion of, there's still bull trends in a bear market.

EV's manufacturing demands Ree.
The whole EV and stored energy area is really the bull for the "transition" ahead.
I'm just as bullish on urea/ phosphate side of things too.

 

[aus_trader]

I'm looking at this with the opinion of, there's still bull trends in a bear market.

EV's manufacturing demands Ree.
The whole EV and stored energy area is really the bull for the "transition" ahead.
I'm just as bullish on urea/ phosphate side of things too.

I also feel the RE stocks will turn around at some point, so keeping an eye for trading opportunities in this area especially amongst the small RE companies.

 

[waterbottle]

I'm looking at this with the opinion of, there's still bull trends in a bear market.

EV's manufacturing demands Ree.
The whole EV and stored energy area is really the bull for the "transition" ahead.
I'm just as bullish on urea/ phosphate side of things too.

I agree with RE requirements increasing for the green transition. But the question is whether or not VML will ever get to a point where they'll be able to take advantage of it. At the moment, North T exists as a plan with potential.
How likely is it that their plan gets executed in a financially restrictive environment? IIRC their original (2021) plan was for full production by 2025 before transitioning to Nechalacho.
Furthermore, if you were an electric vehicle manufacturer, why would you choose VML for rare earths when there are other producers available with established supply?