SAFER PLACES TO INVEST MONEY NOW 3/3/2023

 

As South Africa seems these days to be practically ungovernable under  the African National Congress. Some might say this is not so,but our electrcal system is failing, government run Denel (Weapons for mostly Export) has closed down. As has South African Airways and most passenger services on the railways. Rails ,copper and other infrastructure is stolen in broad daylight ! There gangs stealing coal etc from Escom. The State radio and TV is also on a slippery path!

What with the war in Ukraine and China in an expansionist mode worse things can occur such as disruption of trade etc.

The Rand continues to slowly decline ,so interest rates are climbing to offet this. 

At this time it would be better to look at INDEX FUNDS as then the worry of single companies failing is limited by the group.

We are personally using Satrix companies at this time as they are well managed.

In our veiw only the better companies are:

SATRIX RESOURCES  (STXRES)

SATRIX RAF    (STXRAF)

These are usually under valued funds.

SATRIX MOMENTUM (STXMTM)

UPDATE 14/3/2023  :- Stocks are expected to  stage a mini-run  now up to the end of  May 2023 as a result of prices dropping too far in South Africa !  Fundementally nothing has changed so profits can possibly be made. Not a good idea to get deeply involved. Fuel StocksSUCH AS SASOL LOCALLY OR OVERSEAS such as Mobil,Shell ,Total might be worth a punt in warrants etc. ONLY OUR OPINION . TOWARDS THE END OF ANY RUN ,REMEMBER TO TAKE PROFITS!

Global renewable energy generation to hit 320 GW this year, Mining Indaba hears

Global renewable energy generation to hit 320 GW this year, Mining Indaba hears: Renewable energy capacity will increase by 8% to 320 GW this year, Ivanhoe Mines founder and CEO Robert Friedland told the Investing in African Mining Indaba on Wednesday at an event themed on the comment of former US president John F Kennedy that the moon launch was being undertaken “not because it was easy, but because it was hard”. “Don’t tell me we have to burn coal. You can say burning coal’s legitimate for Africa to survive as we find a better solution. That’s very true. No one can lecture up that you mustn’t have electrical energy. But don’t tell me there isn’t a solution just because it’s hard,' said Friedland, who described the decision of the United States to set aside $370-billion in the next ten years for renewable energy, pollution reduction and environmental justice as “baby steps for baby feet” and highlighted China as 'leading the way' in wind, solar and new energy grid.

Dire Times !

Normally every new year brings a great deal of optimisim as the market kicks off 

on a renewable urge to get things done!

We in South Africa have never suffered this amount of shortage of electricity in living memory .The much malinged apartheid regime all ways made sure that all power systems were working and that there was no graft of any kind that siphoned off billions of Rands.

There was much moaning about rights,we honestly were treated the same and worked for our living and no scumbags ran away wth money out of the state coffers with out severe punishment!

No one wants now to invest in new business as the state supposedly wants a share of such ventures to be kept for the indiginous interests. All that has happened so far is that the poorest of poor have no prospects at all and usually ministers and their cohorts have incrediably rich,they then move their wealth out of the country as soon as possible!

South32 expects further production growth in H2; flags $100m build in working capital

South32 expects further production growth in H2; flags $100m build in working capital: Diversified miner South32 achieved a 12% year-on-year increase in group copper equivalent production for the first half of the 2023 financial year on the back of recent investments in copper and low-carbon aluminium capacity. 'Group copper equivalent production increased . . . as we benefitted from transactions that have repositioned our portfolio toward metals critical for a low-carbon future.

2023 LIKELY TRENDS and ACTIONS to take !

  The explosive 2022 ,what with continuinng Covid and then Russian invasion of Ukraine which turned into an almost full scale war much to the surprise of every one including Russia that miscalculated the response of the world to their invasion attempt! 

This     caused  stock markets to plunge world wide to their lowest points for the last eight years. Then a slow recovery started of share prices. There is still an average fifteen percent shortfall on our local market. Prices are now paused as we do not know if there is the will to seek a compromise or barrel on to a full scale nuclear war! 

   China has taken the side of Russia as they see this as an opportunity to seize Taiwan,but are hesitating about invading right now as the world punishes modern Russia threatening to turn into a stone age country if it turns to nuclear weapons!

    Of course many African and Asian countries favour Russia who over the last couple of decades has supplied them with  weapons of war, as they are mostly corrupt and plunge deeper into chaos.

    At this stage it is difficult to judge if this is a buying opportunity as the world teeters on armageddon! Athhough there seem to be plenty of great  stocks at very reasonable prices,our opinion only is not to invest right now except perhaps to buy physical amounts of precious minerals and metals and keep them in diffferent countries and places.We realise these are dire  ideas.

   Southern Africa has many strategic minerals at its disposal as well and unfortunately could find itself in the middle of this armed struggle if this war escalates , therefore we should all pray for peace and take every step to encourage at every step the protagonists to reach an understanding that will bring the war to an equitable end.

SEE THE RIGHT HAND COLUMN FOR THE LATEST UPDATES ON STOCKS AND SHARES

Nersa given until Jan 12 to make a final decision on Eskom revenue application

Nersa given until Jan 12 to make a final decision on Eskom revenue application: The High Court of South Africa (Gauteng Division) has granted the National Energy Regulator of South Africa (Nersa) an extension, to January 12, to make the final decision on Eskom’s revenue application for the 2023/24 financial year. The regulator was previously required to make a decision by December 24.

Gordhan describes Mantashe’s comments as ‘unfair and uncalled for’ as he praises outgoing Eskom CEO

Gordhan describes Mantashe’s comments as ‘unfair and uncalled for’ as he praises outgoing Eskom CEO: Public Enterprises Minister Pravin Gordhan responded with an “emphatic no” to a question as to whether government considered outgoing Eskom CEO André de Ruyter to be a traitor, as implied in a recent statement by Mineral Resources and Energy Minister Gwede Mantashe, who said “Eskom, by not attending to loadshedding, is actively agitating for the overthrow of the State”. Gordhan was speaking during a briefing convened by Eskom chairperson Mpho Makwana after De Ruyter’s resignation – submitted at 7:30 on Monday December 12, only days after Mantashe’s comments – was confirmed by Eskom on December 14, following a media leak.

The year that was!

     A very bruising year indeed ,was 2022. What with the devastating after effects of covid and still cases recurring as vaccines are not all that effective. 

Aids syndrome has been tackled with better results but still lingers as does monkeypox!

Then the quite sensless, but deadly Russian war. Shows how bad it is to have no scruples in achieving their communist goals of reuniting their former slavic country. 

We must remember that their socialist state ran out of money two decades ago then invited in the West to refinance them and many of their forced amalgamations managed to escape their clutches.Seems as if they have learned nothing from that experience!

All this has had a devestating effect on all stock exchanges world wide as the threat of nuclear weapons being used is always there in the background!

NATO waits for Russia to use a more lethal weapon upon Ukraine then tries to counter it.

At the same time thousands of innocent people are dying in that country. From a think tank that I follow the only way to stop this pattern would to take the lead and laying down red lines and stickingt to them can the West force  the Russians to the negotiating table!

 

Opinion: African minerals are critical for the green energy transition

Opinion: African minerals are critical for the green energy transition: In this article, Konrad-Adenauer-Stiftung – South African Institute of International Affairs scholar Danielle Marais writes about the importance of Africa's mineral resources for the global green energy transition.

BVian's SOUTHERN AFRICAN MINING AND RESOURCES NEWS: Green hydrogen truck trials going well – Anglo

BVian's SOUTHERN AFRICAN MINING AND RESOURCES NEWS: Green hydrogen truck trials going well – Anglo: Green hydrogen truck trials going well – Anglo : The 500 t world-first haulage truck powered by green hydrogen last week underwent fully loa...

Stock Trading now!

 There seems to be a recovery taking place in the United States as recovery still continues amongst the larger companies as profits are up, in key areas of the market. 

Europe struggles on as they are nearer to the war in Ukraine. How ever they are mostly showing a strong resolve to become power resource independent and at the same time boosting their clean air comitments!

The war in Ukraine is so obviously a fight between right  and wrong, that no one is in doubt that the Ukranians are being bullied to give up their freedoms and independence that have had for the last 50 years!

Remarkable unity,amongst  the Europeans has been shown and although it is costing its own citizens a steep price they realise ,if Russia gets its evil way they will then be next in the firing line!

We in South Africa have opted for neutrality in this war as our diverse society is split down the middle on actions to be taken. Fortunately we have minerals that will always be needed in all circumstances.

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Single mineral mines can suffer as supply might be interupted by oversupply.

 How ever we have the platinum group metals of which we along with Russia and Canada are the main suppliers. The main minerals in this group are Platinum,Palladium and Rhodium, Each is a seperate mineral found in the same vein(groove) in the mine. There is always at least one that is in short supply as the others drift into over supply form time to time!

Other minerals produced in smaller quantity by these same mines is Iridium,Osmium,Silver and Gold!

Please America do not abandon us as we are looked upon with covetous eyes by China and Russia!

Make green hydrogen part of official economic recovery plan, Dept of Science & Innovation urges

Make green hydrogen part of official economic recovery plan, Dept of Science & Innovation urges: South Africa should leverage the hydrogen opportunity as part of its official economic reconstruction and economic recovery plan. Dr Cosmas Chiteme, the director of hydrogen and energy at Department of Science and Innovation, highlighted this as the top key message on the way forward at the conclusion of his address to the Seventh Platinum Group Metal (PGM) Roundtable, hosted by South Africa’s Mapungubwe Institute for Strategic Reflection (Mistra). (Also watch attached Creamer Media video.)

Botswana Diamonds agrees 3% royalty with Petra for data on Reivilo prospect

Botswana Diamonds agrees 3% royalty with Petra for data on Reivilo prospect: London-listed Botswana Diamonds has entered into a data licence agreement with fellow-listed Petra Diamonds to gain access to the full library of data on the Reivilo kimberlite cluster. Botswana Diamonds was recently awarded a prospecting licence over the Reivilo prospect, with Petra having been the prior holder of the licence.

Transnet announces three-year deal with key union after brutal strike

Transnet announces three-year deal with key union after brutal strike: Transnet announced on Monday that it had reached an agreement with the United National Transport Union (UNTU) for a three-year wage deal. UNTU represents 54% of unionised employees at Transnet.

Business appeals for swift resolution to Transnet strike, as miners lose R815m a day

Business appeals for swift resolution to Transnet strike, as miners lose R815m a day: As the impasse between Transnet and its two recognised unions – the United National Transport Union (Untu) and the South African Transport and Allied Workers Union (Satawu) – continues, organised business has called for a “swift, sustainable resolution”, while government Ministers have expressed “extreme concern” over the negative economic fallout of the strike. In a joint statement, Business Unity South Africa (Busa) and Business Leadership South Africa rejected short-term solutions, such as temporarily increasing levies, which they said could have unintended consequences.

On a knife edge !

 The market is on a knife edge! Usually when there has been a drop of 30% to 40 % there is a consolidation  then a slow rise of stock prices and then as further gain at a faster pace going well above the price at which the market started declining. Especially after a sharp sell-off of the whole market as now occured, with the war in Ukraine and world powers moves to lower the pain for their citizens financially.

The elephant in the room is of course Russia with threats to use mini nuclear bombs to again gain the upper hand as they are losing the war at the moment. A dreadful thought at the moment of course as this is a red line which would up the ante as they would not be allowed to get away with it!

All southern hemesphere countries are rich  in mineral resoures and their products will always be in demand as what ever happens the world  needs most of them so they are a better bet than manufactured products a this stage. In our opinion only this seems as a good time to start nibbling at the stratregic mines .

.All the latest updates are in the right hand column.

Major platinum mining company planning 520 MW renewable generation ....

Major platinum mining company planning 520 MW renewable generation: Platinum group metals mining and marketing company Implats is planning to introduce 520 MW of renewable power as part of an ambition to reduce its carbon footprint by 30% by 2030 and become carbon neutral in 2050. The current carbon generation of the Johannesburg Stock Exchange-listed company is about 3.3-million tons of carbon a year, which it aims to reduce to 2.2-million tons, a saving of 1.1-million tons.a

Forward Looking Ideas.

  Resource Stocks climbed quite nicely as the word recovered from the Covid scourge.How ever the Ukraine war did not cause much slow down in this early activity as many felt this would fizzle out in some sort of agreement and every thing would continue as normal.

  As this now turned into a struggle between the major Western Democratic and Axis Russia and China power blocks we must realise this indeed a war which might not end soon.

  Russia might turn to more dreadful weapons as they don't value human life and suffering as we in the west do if they feel they are losing the contest.

   In these circumstances it would be wise not to buy in to stocks at this stage.In the last couple of months resource stocks have fallen by an average of 30% here in South Africa. This has happened during many particular recessionary phases and they always recover to greater heights quickly after that. 

   How ever this time it would be wise to wait till real sign of recovery persists.

   REMEMBER HASTE CAN CAUSE YOU TO GET IN ON THE GROUND FLOOR AND THEN FIND THAT YOU GET OUT IN THE BASEMENT !

Do read the updates in the right hand column 

Platinum could see at least 400 000 oz/y of demand from green hydrogen sector

Platinum could see at least 400 000 oz/y of demand from green hydrogen sector: The World Platinum Investment Council (WPIC) finds in its Platinum Perspectives August 2022 research that platinum’s role in enabling the achievement of global decarbonisation targets could be highly significant, given its use in proton exchange membrane (PEM) electrolysers. In turn, PEM electrolysers, when powered with renewable energy, generates green hydrogen. The WPIC explains that zero-emissions green hydrogen is an energy carrier that can be used in a range of applications to replace fossil fuels.

President Ramaphosa’s got it right, says ex-Eskom CEO on new energy plan

President Ramaphosa’s got it right, says ex-Eskom CEO on new energy plan: African Rainbow Energy and Power CEO and former Eskom CEO Brian Dames concurs fully with the energy plan unveiled by President Cyril Ramaphosa. “I think he’s got it right,” was Dames's summing up of the President's energy initiative during a discussion at the Coal & Energy Transition Day, covered by Mining Weekly. (Also watch attached Creamer Media video.)

See the right hand side column for all the latest Updates