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0.6¢ gulf manganese corporation limited

Ann: Half Yearly Report and Accounts, page-17

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fishfordayz

976 Posts.

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19/03/18

19:54

Post #: 31867264
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Originally posted by rocket973 ↑

Concernd Citizen, I can see that you do some research, however I fear too many GMC shareholders only read the spoon fed info from GMC and TripleC? A lot of assumptions are incorrect.
The exact power requirements for producing one tonne of ferro manganese will depend a lot on the standard of the upgrades that have been done in South Africa. Remember that they are 50 + year old furnaces, yes some money is being spent to upgrade however I doubt whether these furnaces will be up to todays standards and the efficiency of furnaces and heat losses can add considerably to electrical energy used. You cannot compare to the likes of Eramet, the French Industrial company who has manganese alloy plants in Norway. However GMC will be competing with the likes of Eramet, and its best to remember that Eramet also has a number of manganese mines including the huge Moanda Mine in Gabon. GMC will also be competing against the huge TMI in China who own Woodie Woodie in Australia as well as mines in Ghana and are building a fleet of 20 bulk ore carriers.
Eramet has some of the cheapest hydro power in world in Norway and have the huge volumes of cheap Mn ore at their disposal.
Meanwhile GMC will employ artisanal miners and rice farmers to collect Manganese ore lumps and pebbles and put it in bags.

"One elderly farmer described how he saved the money from mining and bought fifty chickens which he breeds and sells every three months providing the income he needs to supplement his other farming activities."

You are competing with companies who have power costs 1/2 of what GMC will ever get, GMC will be unpacking bags of Mn lumps and pebbles.
Malaysia is now becoming one of theworlds largest low cost suppliers of Ferro alloys including OM Sarawak, Pertama and Sakura at the SCORE industrial park, here the raw materials and exported product is delivered direct from ship to smelter via conveyor. How will GMC get the limestone/quartz/coke or coal? Will it also be from artisanal miners and rice and chicken farmers?
If I thought GMC stood even a 1% chance of being successful I'd buy a few shares for a gamble.

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I say again, if you doubt there's a 1% chance of it being successful, why have literally millions and millions been thrown behind this project at the current SP.

GMC Price at posting: 1.4¢ Sentiment: Buy Disclosure: Held
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Ann: Half Yearly Report and Accounts, page-17

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