102 replies to this topic

[soutie]

Expect the usual sell-off into the "good" news.

 

How they have the nerve to include a 3rd party has contracted an engineering outfit for a study on their own premises & pass this off as pleasing news beats me....!

[vlam]

SENS out this morning:

 

 

 

Highlights

- Unaudited revenue for Middelburg up 44.89% Q2 on Q1
- Unaudited gross profit for Middelburg up 11.14% for Q2 and exceeding the targeted 38.00%
- Unaudited net loss for Middelburg Q1 of ZAR 2.691 million (GBP 0.151 million) converted to a
net profit of ZAR 1.247 million (GBP0.070 million) in Q2
- Production up 47%
- Platinum smelting targeted for Q3 2014

 

[soutie]

Dear Messrs. Sarosi, Coetzer and Bird.

As we are now sitting several days since my last e-mail to you and I am still awaiting any informative reply which I may share with my fellow private investors; we have taken the decision to combine our efforts in both South Africa as well as London in order to resolve this matter.

After reading through the RNS/SENS releases over the last 12 months I have come to the conclusion that there has been a deliberate attempt to mislead the market in some of these as well as not divulging all the relevant information in others. We are in the process of engaging the relevant actors in the process of taking these matters either to court or to report this to the CPIC.

I am utterly disgusted that in this era of professionalism that we have been met with such complete disregard for members of the public that share a common belief in the potential of Jubilee. The lack of comprehensive updates and a lack of commitment to a single strategy have been the downfall of this company and the current share price reflects this. The market has no belief or confidence in the current management and this is a sentiment that many of us private investors are adopting as well. Over the last few years there has been a habit of non-delivery creeping in with the board only delivering excuses. And Mr. Coetzer, it cannot always be somebody else's fault.

You, Mr. Coetzer, have been the topic of discussion on many forums over the last few days and I now have a very clear picture of your legacy. You may be a brilliant engineer, but you are found sorely lacking in leadership skills. May I strongly urge you to do the honorable thing and step down as CEO to rather assume a new position that may be more technical in nature so that somebody with some business acumen may rather assume control over Jubilee. When we look at return on investment then I am joined by my fellow shareholders when we all say that you are not worth even half of the salary that you claim from us every month, especially when you consider what you have not delivered over the last few years.

In retrospect, when we view the PLA fiasco, we had access to all liabilities both current and non-current and were still not able to identify the additional expenses that would be attributable to the local community? How is it possible that when we performed the due diligence that we were not able to identify this or to even raise questions surrounding this? Was due diligence even completed on the proposed merger?

Then we look at the tailings dumps, or piles of dirt as they currently add no value, we have sacrificed huge amounts of shares to pay for these tailings with no actual means of processing these. In the case of the DCM tailings we actually needed to obtain a second agreement only to be delayed in the mining permit application for these dumps. How was this not included in the initial agreement? The dumps in Zimbabwe, as still listed on the website, also mean absolutely nothing as the Zimbabwean government are enforcing the law that no raw materials may be exported out of Zimbabwe. This would have the effect that we would need to process and smelt these there as well. Now considering we cannot even manage to build these facilities in our own back yard you will forgive me when I chuckle at the ludicrous ambition that you may have to wish to build these in Zimbabwe.

As I go on I can feel my blood boiling at this circus that is supposed to be managing our collective futures and I am appalled that the directors still feel that they should be remunerated for effectively showing up to work in order to simply have tea and coffee. This is the picture that you send to market, so you will forgive me if I react in the same manner.

I strongly urge you to reply to the relevant questions that have been posed to you from multiple sources over the last few weeks. Treat us private shareholders with some modicum of respect as we have fought off waves of detractors of Jubilee over the last few years.

It is time to deliver and if you need any assistance then there is no reason why you simply cannot ask. We all share a direct interest in Jubilee and therefore all need her to soar. You may be very surprised when you actually look at the pool of talent and intelligence that is found within the shareholders.

No more excuses, only delivery.

Thank you.
 

 Now for the reply

 

 

Dear Mr. XXXXXXXX, 

Thank you for your email regarding Jubilee. 

I, for one, fully understand your position, but do regret that you have to personalise it in such an aggressive way. As Directors we are, individually and collectively, fully prepared to correspond with shareholders regarding the business. However, I am sure you realise that the times we are in, are very tough and as such we are devoting our time efforts and intellectual thought towards playing our pack of cards in the best way for the shareholders. 

I am personally very disappointed about the attack on Leon. I have been in this business for many years and have yet to come across a CEO with such a broad range of skills but on a personal basis dedication. You are not in our offices and therefore are not able to appreciate what he is actually putting in for all of us. Blaming other people is just not what Leon is about. 

After the personal defence, I would like to constructively approach where we are. 

The smelters and power plant are performing to expectation and we are now able to switch power to smelter operations, if a disruption occurs in either. To get full effect to our power agreement, we require a larger cable and this is being considered and actioned. Operations are becoming stable and the true capability of the installed plant is becoming evident. You will probably be aware that the metal workers union is on strike, which presents some practical issues but we do see resolution of the strike in the short-term. This is part of working in South Africa, which at the moment is subject to much industrial unrest as workers flex the muscles. 

Our ConRoast activities are going well and the now” back at work” platinum industry is making many approaches, which will allow us in our opinion to roll out a big unit in the not too distant future. I know we have been telling the market for two years, so believe me we understand and share your frustration. 

The tailings dump activities are reaching a peak and again I feel confident that the project will commence shortly. 

Cross border smelting potential opportunities are abundant and even though they make you smile they are serious to us and hopefully to us all as time progresses. 

I expect the Tjate mining license to be awarded, which allow the small parcel of ground sale to be concluded. Of course possession of a mining license will add a huge value to Tjate. 

PLA might appear a “fiasco” but shareholders mandate us to complete the deal on best financial terms. Had we concluded the deal ultimately proposed by the bankers, we would have badly treated our shareholders, since the terms were horrendous and made no commercial sense to anyone but the lender. We cannot do deals at any price. Of course due diligence was carried out and that due diligence led to a mismatch between technical risk, financial risk and we could not conclude on the terms required.

In essence, we are all working very hard for the shareholders. We can manage criticism because that is part of being in the public arena but I do feel that the shareholders should really support Leon and his operating teams.

Regards,

Colin Bird


Taken from the pro-boards forum mentioned earlier on this thread.
 

 

 

 

 

[soutie]

For Jubilee it's all about survival at the moment. The middleberg operation is starting to pay for itself after the 3rd furnace came in. The Power Alt agreement with Eskom is a money spinner all be it not a great one. 

 

If your'e already in be prepared for more dilution as there is NO extra cash for anything it all comes from more equity issue.

The only positive is the mining licence for Tjate so the sale of Quartzhill can go through that's R75 mil

 

In the meantime the mounds of dirt (DCM tailings)can't get turned into money without the dilution mentioned above. Announcing to the market they now have been given permission to access them is great but you can't turn around a company by standing looking at slag heaps you need expensive equipment to process it...!

 

The biggest problem is Leon Coetzee he is a clown & if left unchecked by the board of directors for much longer he will take this company into liquidation.

Unfortunately the institutional investors have decided to write off this ticker long ago & it's up to the small retail guys to get them  to see Leon must go or at the very least answer to a more able CEO. The AGM will now be in London & on other forums the resentment toward him is growing whether that translates into actions I don't know.

 

So if your'e in like me..... I'm staying put & chalking it up to experience...If your'e not well honestly stay well away.....If you like to have flutter then low 20's is around the corner then the teens coupled with the dilution.

 

On a lighter note even Andy Murray came good once.....     

[SoleTrader]

Lets face the reality - Jubilee is technically bankrupt, they have got limited cash resources.  Colin Bird is a worldclass bullshitter.  I chatted to him a couple of times when the share was still trading over R10, and thank goodness didn't share his optimism when he called the share to R50.  They have done nothing with Conroast (which they don't own, the patent is with Mintek).  So at what point does Mintek withdraw Jubilee's right to use the Conroast process? Soon I think.

[Bushwakka]

Could be the London influence - current currency equivalent 26c (1.425)

[SB45]

Anyone knows who's offloading JBL. It's at R 0.27c now @3.5m volume

[soutie]

Typical response to good news...Sell off....Be wise people don't be tempted.

 

They are broke & need big money to turn a mound of dirt containing bits of platinum into money.

 

You'll get it in the mid c20's next month. 

[soutie]

I picked up some last week @ 35c (against my better judgement) 40c & above seems a bit rich to me.

 

Still a big overhang 21mil were issued @ 32c so they may cash out some in the 40's me thinks.

 

I'm paying closer attention to volumes rather than price action down here anyway.

 

My 2c 

[Queen B]

Do you guys think this share is finally turning around?

Some trades going through at 40c today

[Queen B]

Seems there has been a positive response in the share price following the latest SENS regarding the 3rd ARC furnace

[soutie]

Yeah just read through the SENS. Bit of bad weather cost us near R4mil extra.

 

Ag...! never mind lets just pump another 21.8 million shares into the market only this time @ 32c

 

Not only has my investment been hammered by a knob-head CEO but to add insult I've also been diluted nearly 50%        

[du plessis]

The news is out 3de furnace is in place ,very nice .There is some good things to come .  

[du plessis]

Stupidly cheap now ,3de furnace going online this week

[du plessis]

 Yes, it's pretty grim
1. Arc furnace 3 this month makes smelting operations profitable
2. Quartz Hill progressing
3. Slow recovery in Pop with more forecasted
4. Conroast proving its worth in ferro-alloys.
5. Hoping for news re alternative concentrator facility for our tailings
6. Possible increase in power generation.
 

BE POSITIVE

[soutie]

With regard to today's announcement that nothings gonna happen...Gee thanks.

 

Not that we couldn't work that out by ourselves...   

[soutie]

SORRY 25-30p.

You can have my 450k @ 20p each

[du plessis]

SORRY 25-30p.

[HDB]

What's the latest broker target price for this? Anyone...?

Zero....

[du plessis]

What's the latest broker target price for this? Anyone...?