It really depends on your time horizon. It is clear a lot of money invested in producers was fast money. If you are patient, Ero will pay off, but it will take a while
Thanks for a great article Alberto. Just on the electricity issues in South Africa, I live in SA. We have been without electricity cuts (what we call load shedding) for 200 straight days now. It's not to say we will never have them in future, but this has cost our economy billions and people are fed up. There is a big push for alternative sources such as solar/wind/hydro with all sorts of initiatives happening throughout the country.
Personally I believe demand for PGM's will come from the motor vehicle sector as pure EV (BEV) is going to take a lot longer to phase in and be accepted - and sure, this will be different from country to country. It seems like more people are opting for hybrids (which require PGM) and also lots of R&D into hydrogen (also require PGM as far as I'm aware) - this is purely my own opinion, and not backed up by the kind of research you do, so please take with a grain of salt :)
Southern Palladium’s impairment line item relates to the structure of the relevant entities.. where SP is just a holding company. They are “loaning” the funds to their subsidiary and calculating the impaired figure. And yes it is a huge deposit 😁
Recommend to look at page 34 of the Prospectus and Section 20 of the Notes to the Financial Statements (2024). Nurinox isn’t counting an impairment. The way I simplify it in my mind is that SP is not just a majority stakeholder but also a *contractor* to MUM and they are simply (and appropriately) writing off a loan (for services) from a book point of view.
what are your thoughts on Ero Copper’s drop? Market overreacting? Haven’t had time to go through the latest earnings report.
It really depends on your time horizon. It is clear a lot of money invested in producers was fast money. If you are patient, Ero will pay off, but it will take a while
Thanks for a great article Alberto. Just on the electricity issues in South Africa, I live in SA. We have been without electricity cuts (what we call load shedding) for 200 straight days now. It's not to say we will never have them in future, but this has cost our economy billions and people are fed up. There is a big push for alternative sources such as solar/wind/hydro with all sorts of initiatives happening throughout the country.
Personally I believe demand for PGM's will come from the motor vehicle sector as pure EV (BEV) is going to take a lot longer to phase in and be accepted - and sure, this will be different from country to country. It seems like more people are opting for hybrids (which require PGM) and also lots of R&D into hydrogen (also require PGM as far as I'm aware) - this is purely my own opinion, and not backed up by the kind of research you do, so please take with a grain of salt :)
Thanks for the comment Alistair!
Southern Palladium’s impairment line item relates to the structure of the relevant entities.. where SP is just a holding company. They are “loaning” the funds to their subsidiary and calculating the impaired figure. And yes it is a huge deposit 😁
Is Nurinox Investments (30% owner of the deposit) making similar loans?
Recommend to look at page 34 of the Prospectus and Section 20 of the Notes to the Financial Statements (2024). Nurinox isn’t counting an impairment. The way I simplify it in my mind is that SP is not just a majority stakeholder but also a *contractor* to MUM and they are simply (and appropriately) writing off a loan (for services) from a book point of view.
Great post as always, Alberto.
habra que seguirla de serca alberto
Así es
interesante enpresa albert
Gracias
Any thoughts on Power Nickel's PGM hits? Up there in grade.
They have 200k ounces of palladium. Very few ounces.
Expectacular artículo. Enhorabuena. Habrá que seguirla de cerca. Un saludo