RE:Video with Sitec's Foreman in May 2015Great find LeMarcus ! thanks a lot for sharing ! And great analysis/due diligence as always !
I totally agree with you. I believe Anzaplan could well confirm that we can produce what Sitec actually produces, which if confirmed by Anzaplan it would be an INCREDIBLE NEWS !!! it will completely change the valuation of the company !!! It means we can produce not only Ferrrosilicon (FeSi) but also the higher priced/higher value metallurgical Silicon Metal (MgSi) !!! In addition to a myriad of other silica products !!!
It is just amazing how the silica market is so diverse and growing. The future is for silica, it is used everywhere and it is taking the world bu storm in every imaginable sector :
- insulation materials for green houses are made of silica ! Most if not all houses in the future even in developing countries will be using insulation materials to save energy and for higher standard and quality of living (sound proof/thermal insulation...), just imagine the growth potential !
- More glasses than ever in houses/buildings/cars...for more natural lighting and pleasant living environements...
- LED lighting is made of silica ! Most lighting in the future will be LED technology (saving energy, more precision, higher power), even cars headlights today are transforming to LEDs ! Houses ! comemrcial building ! everywhre...
- Fibre Optic cables are made of silica ! just imagine when India and the rest of the emerging/developing world gets connected to the internet !
- semiconductors and electronics...
- solar panel cells, its a booming industry, solar renewable energy would be a key building block of human's civilization.
- lithium-ion batteries are using more and more of silicon metal ! tesla+panasonic latest lithium-ion batteries use up to 5% of silicon (for more energy density, faster recharging, lighter batteries), and they want to increase further this amount for the enw batteries that will be produces from the scratch up in the gigafactory to be ready for tesla Model3 car !!!
High Purity, large reserves deposits of silica are very rare, We are lucky to having found one, drilled it, done the metallurgical testing....and we will mine it ! a multi bagger in the making ! investing in silica is investing in the future, happy silica inveesting to all ! A lot of excitement ahead of us !
LeMarcus wrote: Hi All,
French video of course, but for those who understand french... you can get some great facts and fundamentals in this video.
https://www.youtube.com/watch?v=l8SzskwJnr0
-They produce Ferro-Grade lumps of 4 inches
-They produce Silicon-Grade lumps of 4 inches
-They produce an amazing quantity of ground silica and 5/8 inches and smaller size very pure colored white. Basically, above all other characteristics, Sitec is supplying a US quartz counter manufacturer with up to 50% of all the Producer import... That's a proof that the market is one of specificity... the client is far away... and technically in a lower price range.. and still local US supplier are not getting the orders... so thells you about product quality, availability and cost structure.
Also, They are now working with German consultant in the sorting and beneficiation business, because the will be able to produce a lot more material, with a lot less waste... They have invested quite a lot recently to improve ore to product % (reduce waste).
Also, they can attack various new markets using their impressive stockpile of lower end and rejects. That's a strategy they need to continue to operate the mine for a longer period, has it was said in a press article they have an estimate 20 years left of resource to mine. Not sure it's the case, but maybe it is.
So a bit like the Spruce Pine district in North Carolina, the Galette Formation Area in St-Urbain will host 2 major producers of Silica. With more than 15 000 possible products and a growing market, and an obvious cost structure advantage over other producers...(massive deposit, 100M+ tons, above ground strike, cheap electriciy, roads, infrastructure, friendly juridiction, regional workforce fighting to get jobs... goverment incentives, deep water port at one hour of trucking, etc...) both Sitec and RRS can evolve next to each other, attack same or different markets, and grow. Same king of situation as the world silica leaders in Spruce Pine: except that Unimins and the quartz corp are competing in the most difficult market... for the higher price segment... Sitec and RRS are in a more open and diversified market... they will grow... both of them. They could even merge in the future? Who knows.
Sitec is adding facilicties to process their ore and procude various size of product.. and they will expend their product catalog when they have electricity at their door, in a few months.
Very interesting future for the silica market, and for sure, with the very structured approch RRS is taking, it will use it's first cash flows, as building blocks for a growing company.
Everyone should get prepared for Anzaplan results, so they can understand better all the various products RRS will be able to produce, as raw, or transformed Silica.
You will always find some people with no objectivity telling you you are wrong. We have been reading lots of lies around here, by people that are obvioulsy not facts oreinted. They will come again and again. I have 4 grocery stores 4 mins away from home, all selling about the same stuff, and at the same price. Lots of reason why people go to one or the other: price, location, varit, brands, reputation, etc... they are all in business. 4 banks also, all in business.
Don'T get your self affected by wrong doers. Think rationaly and evaluate risk and reward.
Think about that, when Anzaplan results are out. Or think about it right now, and save big on discount sale prices currently available.