do you see visible uptrend in this anytime soon?
do you see visible uptrend in this anytime soon?
That term is too imprecise to mean anything to me.
The next thing the company needs to do is prove further upscale of their chemical processing up to 10 kg/day. At that point they will likely try to obtain funds to build a chemical processing plant and secure a Titanium ore supply to process.
I have to thank HP for reminding me about Argex Titanium (name changed in July to emphasize Titanium production rather than mining which they may not pursue).
They completed the scale-up from 30 grams/day Titanium to 10 kg/day which was a 3000% scale-up. It was a pilot project to demonstrate they could scale up production to industrial type levels. Their short-term goal is to build a plant capable of producing 50, 000 tonnes a year:
http://argex.ca/documents/Argex%20Pi...0-%20Final.pdf
They are now actively engaged in the process of designing and building a plant as the next phase for this company.
They continue to be engaged in talks with PPG about becoming a major supplier of Ti for their chemical applications.
Maybe now - you be the judge.Originally Posted by blin10
do you see visible uptrend in this anytime soon?
here we go again with argex & orbite aluminae. If not twins, they sure do sound like kissing cousins.
isn't jovian capital behind them both ?
both claim to have developed a game-changing new method of processing a widely-used metal from rock ore.
and both happen to have big mineral deposits of that ore conveniently located in quebec, or so they say. Although the processing/mine property marriage at argex is reportedly turning rocky.
take orbite's deposits at murdochville QC. Ever since world war II murdochville in the gaspésie has meant mine failure. Noranda built a big smelter at murdochville with government help, but it failed. No one has ever heard of a mining company that succeeded in murdochville. The only name in quebec mining that's more of a widow-maker than murdochville right now is Asbestos QC.
lol pie, you're killing it :]
The stock is up 140% over 1 year. The market believes in this story right now as does PPG.
You are wrong about the scale up - it went off without a hitch. The only trouble was getting an order filled for a piece of equipment needed to do the job. Once they got it they expanded their operation and got up to 10 kg/day and actually refined the process to decrease the processing costs which increases the profitability of the operation.
Titanium is being increasingly used in multiple applications and is becoming harder to find. In particular, it is hard to get high purity Titanium that is useful in chemical applications and they have found a way to do it.
You can believe whether the business will succeed or not but they do have a proven large scale way to process low-grade Titanium containing ore into high-grade Titanium dioxide in an environmentally friendly way with little wastage and virtually no tailings. I think they have a bright future. You seem to disagree and that is fine. For now the market agrees with me.
Right now this is very speculative as they have no proven revenue stream and that is the bet you make when you invest - that they will eventually produce a profit stream.
no, the market has not been agreeing with edmonton during the time frame that he has been promoting this stock.
edmonton commenced promoting argex on 17 april 2012 with a maiden post that inaugurated this thread. On that day, 17 april/12, RGX closed at 1.20. Yesterday, RGX closed at 1.10. This drop represents a loss of 8.33%.
here was edmonton's rosy prediction for RGX at 1.20 on 17 april/12:
it is easy to see how unfortunate the hype has been. During the 5 months from april to late september/12, RGX sagged into the 60-penny range as expectations flagged. It has risen recently, but it is not clear whether this rise is due to recent heavy pumping throughout the internet or whether it is due to recent mild news that the project is on target." The buyers are putting tremendous pressure on this stock price and are gobbling up all the available shares on the market and making the chart go parabolic."
one could say that losing 8.33% over 5 months is a shabby sub-performance. However, compared to some of edmonton's other touts here in cmf forum, shedding 8.33% is actually a reasonable outcome. It is certainly not on the disastrous scale of gasfrac or catch-the-wind, where investors have lost well over half their money.
Again, why talk about buying at the peak.
If you believed in it you could have accumulated in the 65 cent range and have an 80% gain.
I am up about 30% overall with an 83 cent ACB.
Those who would sell on a blip in a stock like this have no business buying it.
143% return yoy = market belief over the past year.
stock momentarily got overbought.
Industrial type scale-up is proven which takes some risk off the table and timeline of rise suggests the stock has moved on that news.
The next step up will be plant construction and revenue stream - timeline is 1.5 years.
I just read this report from Ubika research analysts and their opinions on the stock.
http://www.smallcappower.com/posts/a...ormer-30-11-12
This is a critical period for them as they now have to build a processing plant, secure supply of Ti containing ore (possibly begin a mining operation on their properties) and then produce industrial amounts of high-purity Ti for chemical applications, possibly through PPG.
I still believe this company is very attractively valued because they will be the low-cost producer of a scarce resource whose price has escalated nicely over the last 5 years. The ability to use low-cost feedstock to produce high grade Ti is what makes the company so valuable. Their product has been verified by PPG as suitable for their high end use in pigments which is a considerable achievement given the low-grade ore they started with. On top of that they produce very little tailings and get hematite and vanadium as value-added byproducts. The energy they need in heat to regenerate their hydrochloric acid can be sourced close to the plant.
Other possibilities to gain higher results more quickly would be if cash-rich PPG just tries to acquire them (hopefully at a premium) to then put the squeeze on their competitors by internalizing the low-cost Ti supply for themselves. Or they could use their might to set up several plants around the world and then become the supplier of Ti to competitors like Dupont and Sherwin Williams.
I still prefer the option of them remaining an independent company which builds several processing plants around the world near Ti ore supplies and use the high margins on their processing capabilities to produce a high return on capital investment.
Anyhow, the usual disclaimer that you could lose your shirt on this one. They still don't have any revenue, any secured Ti ore supply and haven't built their plant. Market cap is about 160M now so it'll get harder to move the needle now and the stock price may be dormant for awhile unless they get bought out which I am hoping will not happen.
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