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The fact that the company has spent the money to update the website indicates to me that the intention to get operational is very real.
And I anticipate that Kearney will continue to advance his own funds to keep the company solvent.
Just my thoughts.
Love it Skynet....a little humour is always good.
Thank you.
Hey Rainmaker I have been trying to locate a document indicating the date of the next meeting.
Do you have a link please?
Keep the faith.
My take on future PPS.
Time to make some potential share price potential for the new amalgamated company.
About 300 million shares.
Let us use $125 a tonne for revenue and assume the costs of extraction and operating and administrative costs provide a margin of 60 percent. That would mean profit of $75 a tonne.
At 2 million tonnes annually the profit would be $150 million.
Using 300 million shares would provide an EPS of $.50
At a multiple range of 8 to 12 times would indicate to me a price per share of $4.00 to $6.00 which I feel is realistic.
But we must be operational and have contracts and selling.
Just my thoughts.
From Trading Economics:
Iron Ore increased 15.50 USD/MT or 13.19% since the beginning of 2023, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity.
Iron Ore is expected to trade at 133.55 USD/MT by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 143.15 in 12 months time.
Prices for iron ore cargoes with a 63.5% iron ore content for delivery in Tianjin were at $125 per tonne in September, the highest since March 31st, amid expectations of stronger demand in China. Anticipating potential regulations from Beijing on steel production, mills accelerated their production in the short term to preempt any impending restrictions, leading to a surge in demand for iron ore inputs. Also, JP Morgan raised target prices for the iron ore sector as Chinese steel demand remains resilient as infrastructure activity makes up for recent struggles for residential property constructors. In the meantime, the residential construction sector got a small boost from government measures to stimulate housing demand. The Chinese government eased mortgage curbs in Guangzhou and Shenzhen and allowed 12 provinces to issue CNY 1.5 trillion of special financing bonds.
Now if we could just get a deal.
Any day now the June 2023 results and MDA will be released.
The last two years the results have been released as follows:
June 2021 release August 13, 2021.
June 2022 release August 19, 2022.
So perhaps being a little late with the June 2023 results may be due to information concerning the opening of the Houston project.
And with Kearney continuing to put his own funds to work this to me is potentially encouraging.
Hey DMar you and I have been here a very long time and we both accumulated some very precious shares at some very good prices.
I have many shares at $.001 and I am patient.
As long as Kearney continues to inject funds into the company we are fine.
Thank you for this post.
It speaks volumes about the intent to get this company operational.
Thank goodness I did not purchase shares at those prices.
My purchases were in 2014 after the slide in iron prices and the subsequent decline in the stock price.
And then bought heavily after the company went dark and reemerged in a new form.
Back when the stock price was a penny and lower.
So I am in a good position for the future if the company begins to produce again.
Which I believe they will.
Because of the new increased number of shares, I believe that the stock will trade in the $3 to $6 range once production commences and momentum builds.
Yes Skynet I too believe and have been a shareholder for a very long time, since the days we were last producing ore.
Like you, I added heavily during the dark days when the price was well below a penny a share.
I think the current trading range has held for it is the book value of the company after the amalgamation closes.
Keep the faith.
Patience and continue with your own due diligence.
Within the MDA, it was disclosed that the amalgamation would be completed shortly.
We will most likely get news between now and the end of the month with the filing of their year end report for March 2023, and with updates on the restructuring and forward thinking.
Stay patient.
Hey Rainmaker, as the 4th quarter is also year end the statements will take longer for the auditors to complete.
Historically the reporting has been near the end of June.
We are trading at about book value based upon the new share structure of 300 million shares.
Rainmaker....I have been a large shareholder for many years, and will continue to hold a very large position.
I continue to believe in management and I think the Houston Mine's ability to produce profitable ore speaks for itself.
It will continue to move forward in my opinion and reward those who remain shareholders.
One day this will make rain and flood us all with gains.
My take on the vote is that they would not be having the vote if the votes were not already lined up.
Just my opinion.
Thank you Bobble, indeed post 7431 is the message I was trying to send.
Thank you.
I am sticking with my analysis on post 7341.
Cheers.
Yes Skynet, that would be nice but remember the share prices you remember were based upon a different capitalization of the company.
For instance in the years the mine was operational and shipping ore to China(2011-2013) the outstanding shares were:
2011 43.7 million
2012 53.8 million
2013 83.4 million
Upon the restructuring, additional shares were necessary to take out the creditors under the insolvency agreement that has led us to the current structure where LBRMF holds 52% of LIM with the other 48% held by shareholders who were former creditors and which leads us to today's outstanding shares of 162.3 million.
After the amalgamation there will be 300 million shares outstanding.
So the future earnings will be spread over a larger number of shareholders representing a lower EPS.
I would be happy to have the earnings and share price as outlined in my earlier email.
Love your optimism and would like for that to happen but the reality to me is as I have outlined.
Just my thoughts.
Time to make some potential share price potential for the new amalgamated company.
Let us use $125. a tonne for revenue and assume the costs of extraction and operating and administrative costs provide a margin of 60 percent. That would mean profit of $75 a tonne.
At 2 million tonnes the profit would be $150 million.
Using 300 million shares would provide an EPS of $.50
At a multiple range of 8 to 12 times would indicate to me a price per share of $4.00 to $6.00 which I feel is realistic.
But we must be operational and have contracts and selling.
So for me I wait for the long term with a large position.
Hi Dmar, nice to know you are still here.
You and I go back a long way.
Persistence and patience.
Cheers.
Well this would be great news, but I think not, as this road has been partially cleared in the past, and no new construction could have been started without some form of financing.
Which has not happened, as yet.
Unless of course you have something of real new information.
A picture is just a picture.
Just my thoughts and trying to keep it real.
Yes true, but remember as is currently the case the 162 million shares of LBRMF were only entitled to 52% of the earnings of LIM.
The other 48% belongs to the shareholders of LIM.
So let us say LIM earned $2.00 a share under the current structure.
LBRMF's share of the earnings of $2.00 would be 52% or $1.04 per share.
After the amalgamation all of the earnings of LIM will accrue to the new LBRMF.
With the dilution due to new shares the so called $2.00 per share would end up at about the same value or $1.04 per share.
So from the prospective of being an LBRMF shareholder not much from an earnings perspective has changed.
What has changed in my opinion is that the new structure will make it easier to get this Houston mine open.
Just my thoughts.
Here is my take on the situation.
Let us say you own 100 shares of LBRMF currently.
Remember that LBRMF only owned 52 % of LIM and thus you would only have been entitled to 52 % of the earnings of LIM with existing LIM shareholders being entitled to the remaining 48%.
Now you will still own 100 shares of the new amalgamated company with a larger total share count but entitled to 100 % of the earnings of LIM.
Just my take.
Your opening statement was quite clear...."Reverse split on 300 million shares? Why ???"
How else might you interpret that?
Perhaps, if I might suggest, read before you post.
The document, all 162 pages is clear.
It is not a reverse split.
It is an amalgamation.
Get it together before you post!
As a large shareholder(6 figures) and as a chartered accountant I believe this amalgamation is not only in the best interests of shareholders but the only path forward.
A path I believe will lead to positive negotiations that will lead to the development of the Houston Project.
One does not incur the time and cost to put together a 162 page document unless one has a very good belief that this is the only path forward.
As stated in the document...."LIM Management believes that combining the shareholdings of LIMH and LIM, into a single publicly traded company, will simplify the corporate structure, improve liquidity and market capitalisation, enhance financing flexibility for the development and construction of the Houston Project, and create the best prospects long-term value for LIM Shareholders."
It has taken a great deal of time to put this together and that my friends is what management has been doing.
And remember there are only a handful of management players in the corporation.
Kearney being the lead player and a guy who has continuously advanced his own funds to ensure enough liquidity was in the firm to keep it afloat.
In my opinion the amalgamation will occur or else we would not be looking at such a document.
So please, give this guy some patience and some thanks for continuing to pursue every avenue over the past two years to advance the value of this company for all shareholders.
Lesser men would have walked away from this a long time ago.
Kearney understands the value of Houston and is hell bent on advancing it.
Just my thoughts and my opinion.
I for one, am grateful for your hard work providing the information you do.
Please continue.
I have a large position which I began many, many years ago and have added as time went by.
I am bullish, and I am patient, and I am extremely pleased with your hard work bobbleheadtwin.
Thank you.
It was most likely Kearney who advanced the $100,000 and will continue to do all that he can to bring this mine to fruition.
Just my opinion.
The fact that an insider, a Director, advanced the company $100,000 as noted in the statements released on February 14, 2023 should tell you something.
Patience my friends.
Prices for iron ore cargoes with a 63.5% iron ore content for delivery into Tianjin extended their rally to above $120 per tonne in January, the highest since late June, amid signs of low supply and continuous measures to bolster demand. Major Brazilian producer Vale stated that export levels from the country dropped significantly due to heavy rains in the country, after lamenting that iron output for this year should be flat compared to 2022 at 310 million tonnes. Data from cargo surveyors already show a decrease in arrivals to major steel producer China, driving blast furnaces to bid heavily for the input ingredient. Meanwhile, China reopened the border between its mainland and Hong Kong to cement its transition away from its zero Covid policy and raised hopes of higher economic activity. On top of that, commercial banks agreed to extend $162 billion in new credit lines for private developers, while the PBoC continuously injected liquidity into the economy.
Iron Ore
Have faith and be patient.
"Labrador Iron Mines Holdings Limited announced that it has received CAD 5.2256 million in funding from Scully Royalty Ltd.
On July 6, 2022, Labrador Iron Mines Holdings Limited closed the transaction. The company amended the terms of the transaction. The company issued CAD 3,919,200 ($3 million) in equity and CAD 1,306,400 ($1 million) in convertible credit facility for aggregate gross proceeds of CAD 5,225,600 ($4 million).
The company raised equity from Scully Royalty Ltd. against a 7.4% stake. As part of the transaction, Samuel Morrow of Scully Royalty Ltd. will join the company's board of directors."
Well there are 35,000 offered at $.10 so you can get filled and if you feel that this stock will move on news, you should grab some.
In the original press release the company said they believed that the deal would close in two or three weeks.
That was July 5, so if no complications have arisen in the deal, then confirmation could be any day now.
After that if history is a good indicator, the June results would be published mid August, which might be the time of additional disclosure regarding Houston.
Thank you for the link but I am not able to open it.
Can you please indicate whether LBRMF was indicated as a top pick.
Only 6000 left at $.12, with the next stop as it stands now at $.135
Today's action would suggest otherwise.
The bid has been moving up with strong bid volume, while the ask has also been moving up with few shares available.
The ask is now $.12 with about 20,000 available.
Page 14 of the LBRMF June 27, 2022 MDA.