TSX-V: MHUB | OTC: MHUBF
Digitalizing the Multi-$Billion
Commodity Supply Chain Sector
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MineHub Technologies Inc. (TSX-V: MHUB)(OTC: MHUBF) offers a first-mover advantage in the multi-$billion global commodities supply chain sector via its groundbreaking digital solution serving the industry.
Incredibly, in a world where practically everything is digital, the US$11T global physical commodities market still predominantly operates on paper transactions, spreadsheets, and telephone calls.
This antiquated system not only creates vast inefficiencies, along with the potential for human error, but also opens up commodities firms to an incredible amount of risk and potential fraud. And thus, an industry-wide digital solution has been long overdue.
To that end, MineHub has emerged as “THE” leading digital supply chain platform for the commodities supply chain market via its state-of-the-art Waybridge platform.
MineHub Technologies is focused on securing long-term agreements with the leading companies in the mining and metals space as a means of driving adoption of its first-of-its-kind digitized platform.
Quickly out of the gate, MineHub has successfully partnered with some of the largest players in the space — including agreements with BHP, a leading base metals producer, Codelco, the world’s #1 copper producer, Sumitomo, one of Japan’s largest corporations, and Southwire, one of the largest copper wire manufacturers in the world — to build out a digital commodities supply chain platform across a multitude of entities involved in the mining, refining, storing, transporting, and trading of various commodities.
By partnering with MineHub, these and other global enterprises are able to take advantage of MHUB’s digital solution as part of their logistics, compliance, trade management, and finance operations.
MineHub is then able to onboard the entire ecosystem of its clients, including partners, suppliers, traders, customers, etc.
That playbook has been working effectively and efficiently with MineHub now realizing a rapid increase in the number of customers connected to its platform.
In fact, MHUB’s customer base has grown from just 20 companies in 2021 to over 100 today and well on the way to surpassing 150 companies connected to its Waybridge platform by the end of 2024.
And again, we’re talking about some of the biggest names in the space (see below).
As just one example — and we’ll get into Codelco and a few others in just a moment — in March 2024, MineHub announced the expansion of its partnership with Sumitomo with plans to integrate the firm’s refined copper business onto the Waybridge platform starting with key customers in the Asian market.
Reflecting the confidence and validation Sumitomo has in the capabilities and potential of MineHub’s platform to deliver value across multiple segments of the metals market, Sumitomo will now play a pivotal role in supporting sales efforts and driving commercial traction for the refined platform in addition to the existing concentrates business.
MineHub CEO Andrea Aranguren commented on the newly expanded relationship with Sumitomo via press release:
“We are thrilled to deepen our partnership with Sumitomo and expand the scope of our collaboration. By joining forces to drive commercial traction and integrating Sumitomo’s refined copper business onto our platform, we are poised to unlock new opportunities for growth and innovation in the metals industry. We are excited about the prospects of this expanded collaboration and look forward to realizing the benefits it will bring to the market.”
Takeshi Ishimaru, General Manager of Non-Ferrous Metals and Raw Material at Sumitomo, added:
“The extension of our partnership with MineHub marks a significant milestone in the ongoing collaboration between the two companies. We believe that integrating our refined copper business onto the MineHub platform will not only streamline our operations but also enhance our ability to serve our customers effectively. We are very excited about the possibilities this partnership presents and look forward to the continued success of our joint endeavors.”
MineHub and Sumitomo commenced their partnership in February 2022. The two firms share a mutually beneficial goal of bringing efficiency, transparency, and responsibility to industrial supply chains via the MHUB platform.
That initial collaboration was quickly followed by a C$1 million capital contribution by Sumitomo in June 2023, providing MineHub with the funding required to accelerate the collaborative goal of digitizing the metals concentrates market by promoting the adoption of the MineHub platform and its Concentrates Application as the emerging industry standard for these types of metals transactions.
The onboarding of Sumitomo’s customers to the MHUB platform is now well underway via a phased approach, commencing, as noted, with the company’s key customers in the Asian market, and reflects a shared commitment between the two firms to harness technology and innovation as a means of driving value for customers and stakeholders.
Exponential Growth Potential
With the adoption of any new technology, success is primarily predicated on user base growth. And thus, it is important to understand that every new customer added to MineHub’s Waybridge platform represents a brand new hub in the network (see below):
A critical component of the MHUB onboarding process is the implementation of the platform onto the client’s business wherein MineHub is then able to systematically connect the client’s partners within their own specific digitized supply chain, including logistics providers, miners, producers, fabricators, traders, et al.
MineHub refers to this as the “virality effect” wherein it is able to onboard a client’s counterparties, which then become their own hub on the platform. And it is those counterparties that are driving the lion’s share of sales and revenue growth for the company.
Take for example Southwire — one of the world’s top manufacturers of copper wire with operations in North America.
Southwire was one of MineHub’s very first customers. During the onboarding process, it became known that one of Southwire’s key suppliers, not surprisingly, was Codelco — the world’s #1 copper producer.
Again, as part of the onboarding process, MineHub was able to seamlessly onboard Codelco, which, in turn, became a brand new (and very important) hub on the Waybridge network.
Codelco has since entered into a three-year contract with MineHub with MHUB now managing 100% of the copper giant’s global sales via the Waybridge platform.
Much more on the landmark Codelco agreement in just a moment.
So… How Does It All Work?
Going back just a bit, MineHub was founded in 2018 with syndicate members that included Goldcorp (now Newmont Corp.), ING Bank, and Wheaton Precious Metals.
The following year, MineHub launched a collaborative effort with IBM for the initial build out of the MineHub/Waybridge platform.
In the few short years since that highly successful collaboration, MineHub has commercially contracted with a number of large players in the metals and mining space, including:
- BHP: A global mining leader
- Sumitomo: One of the world’s largest global trading companies
- Codelco: The world’s largest copper producer
- Southwire: The leading copper wire producer in North America
- Superior Essex: The No. 1 magnet wire producer in North America
- Port Panama City: The largest metals port in North America
- Perennial: North America’s top aluminum distributor
Today, MHUB’s suite of enterprise applications brings efficiency, security, and transparency to the management of commodity supply chains worldwide via the digitization of the sale, purchase, transportation, and financing of raw materials.
Technology at-a-glance
MineHub’s Waybridge platform — or Hub — connects the many parties involved in a physical commodities transaction to a digitally integrated workflow operating on the basis of shared information.
The platform incorporates contracts, shipments, inventories, and other key inputs and securely ties them together and organizes them with Application Programming Interfaces (APIs).
The interface allows users of the platform to take full control of their supply chain needs with features that optimize the use of resources — including security, flexibility, and compliance of their operations.
The focus is on the trade management aspect of the supply chain transaction wherein the MHUB platform allows the client to seamlessly manage deliveries and track orders and, most importantly, have the predictive tools and reporting capabilities to optimize their business while mitigating risk and preventing fraud — all via a digitized format.
As an example, on 18 April 2023, Ashley Woodhouse, director of marketing for Capstone Copper’s Global Concentrate and Metals Sales, had this to say:
“…this first live shipment of concentrates has been a great experience — our team appreciates the ease of use and the automation. There are many cumbersome aspects of selling metal concentrates, and the MineHub platform along with their Assay Exchange solution, solidifies themselves as leaders in this space.”
MineHub’s platform also offers additional add-on applications including Trade Management and Trade Finance, which are already live with more applications on the way.
The Importance of ESG
ESG (Environmental, Social, and Governance) has become a critical component in the screening of investments based on corporate policies designed to encourage companies to act responsibly.
Nowhere is this more important than in the mining and refining industries where investors and customers demand full transparency on the origin of mined material and the level of carbon emission footprint BEFORE making a decision on whether to do business or invest in a particular company.
In fact, new legislation involving materials’ provenance, as well as carbon emission footprint and ESG reporting, means outdated manual processes for physical commodity movements will soon be too expensive or even unfeasible.
Solving that dilemma, MHUB’s digital platform seamlessly integrates ESG performance, including ESG risk management, via automated carbon emissions accounting and ESG disclosure — including proof of origin and source of mining materials and output.
By automating the bottom-up accounting and verification of emissions and ESG footprint, MineHub has brought to market a modernized technology platform that will play an ever-increasing role in effectuating a responsible global commodities supply chain with a focus on compliance.
This allows the client to continually and seamlessly track and analyze their performance versus their own self-imposed ESG criteria and metrics as a means of driving operational efficiencies.
Positioned for Long-Term Success
As you’re about to discover in our exclusive interview with MineHub executive chairman Vince Sorace coming right up, the MineHub team anticipates having over 150 companies on its Waybridge platform this year with expectations for accelerated user growth and revenue growth over the coming quarters.
MineHub’s primary revenue generation is from subscription fees for the platform, usage fees for enterprise applications, and revenue share agreements.
To that end, MineHub, on 19 December 2023, announced record quarterly revenue for Q3 2023 of C$650,977 — an 1,862% increase over the same period of the previous year.
MineHub CEO Andrea Aranguren commented on the strong balance sheet performance via press release:
“Third quarter was a great quarter for the Company in which we set another record for recognized revenue in the quarter. During the third quarter we announced contracts with two very large customers, including Codelco, the world’s largest copper producer, and a prominent global mining company. In addition, the Company strengthened its balance sheet with the closing of a small private placement financing in the quarter. The outlook for MineHub looks positive with increasing sales and onboarding of customers and their ecosystem partners.”
Revenue growth was primarily driven by the addition of SaaS (Software as a Service) revenue from Waybridge customers over the past year and project revenue related to the roll-out of the MHUB platform and enterprise applications.
Perhaps even more impressive, MineHub achieved cumulative gross merchandise value (GMV) of US$9.1B of commodities transacted on its platform for the first three quarters of 2023.
Key Amalgamation with Waybridge Technologies
In Q1 2023, MineHub officially combined with Waybridge Technologies, formerly one of MineHub’s leading counterparts in the space.
The two entities — now one cohesive synergistic unit — essentially meet up in the middle of the commodities transaction cycle.
While MineHub focuses on the downstream side of the business (with a current focus on copper, aluminum, and steel mining and smelting), Waybridge’s platform is more on the upstream side of the equation, starting with refined metals and working its way upward toward the smelters and the mining companies themselves.
Back in 2022, Waybridge’s customers alone — which included Southwire and Superior Essex, as well as major miners, warehouses, and shipping companies — managed more than US$7B of raw materials through its platform.
Today, the combined entity, and its extended user base with more than 100 companies, and growing, operates under the MineHub brand and corporate structure.
Upon announcing the amalgamation, MineHub Technologies’ Arnoud Star Busmann, currently a director of MineHub, neatly summarized the combined operation via press release:
“Minehub launched with a strong focus on connecting sales operations within mining companies to their customers for bulk commodities such as iron ore and metal concentrates. Waybridge started from the manufacturing side, connecting procurement operations with their metal suppliers. Both companies are working with industry leaders — Waybridge more focused in North America, and Minehub in Asia. The combination instantly realizes an end-to-end global solution for the full supply chain from mine to market. Both platforms have been adopted by industry leaders that have the scale to influence market practices. We have the potential to significantly reduce timelines to reach critical mass and become an industry standard, creating network value for our customers…”
Additionally, as a result of the Waybridge acquisition, MineHub is now achieving cost synergies that effectively reduce the projected timeline to profitability, including:
- A larger and more diversified base of large corporates providing recurring revenue-generating contracts
- Anticipated reductions of approximately 20%-25% in operating costs
- Additional potential revenue from existing customer base
- Shortened sales cycles and time-to-revenue
Mr. Busmann added:
“…We have heard from countless companies in the commodities industry that they have been waiting for a solution to emerge for digitizing the sale, purchase, transportation, and financing of raw materials. With the support of market leaders such as BHP, Sumitomo, and Codelco, we believe MineHub is that solution and is on track to become the industry standard for modern supply chain management.”
And the proof is in black and white: On 8 November 2023, MineHub launched its cutting-edge Waybridge platform with Codelco, the world’s largest copper producer, via a three-year contract, effectively digitizing the copper giant’s global refined copper business.
MineHub CEO Andrea Aranguren commented on the landmark agreement with Codelco via press release:
“We are thrilled to mark this milestone with the launch of our platform at Codelco. This implementation represents a significant leap forward for the mining industry, empowering stakeholders with powerful tools to optimize their operations and enhance their overall experience. Codelco's three-year commitment to MineHub is a huge testament to the dedication and expertise of our team, as well as the trust placed in us by Codelco.”
At current London Metal Exchange copper prices, the total value of the copper integrated into the MHUB platform now exceeds US$4B — demonstrating the immense scale and economic impact of the platform and highlighting its potential to revolutionize the way the industry conducts business.
MineHub’s Waybridge digital commercial platform will enable Codelco’s customers to consolidate key supply chain data while improving visibility into global copper flows, thereby driving operational efficiencies throughout the entire supply chain process.
Building off of the mutual trust between the two firms, next steps will include the onboarding of Codelco’s global customers onto the Waybridge platform while also exploring ways to eventually add the company’s large copper concentrates business to the mix.
As you’ll see in our exclusive interview with MHUB executive chairman Vince Sorace, the virality effect for MineHub continues to be robust as demonstrated by the company’s early successes in onboarding additional companies and user bases via the synergies presented by these flagship agreements.
As noted, MineHub, to date, has added over 100 businesses to its platform and anticipates expanding to over 150 companies by year end with expectations for accelerated user growth and revenue growth over the coming quarters.
Again, Codelco is the #1 copper producer on the entire planet, making this a very significant agreement for MineHub, which, by the way, has a current non-fully-diluted market cap well below C$15 million.
MineHub also announced, in early August of last year, the signing of an agreement with a prominent, soon-to-be-revealed global mining company to its platform.
That deal is projected to contribute approximately C$850,000 to MHUB’s revenue in the next 12 months.
Ms. Aranguren added,
“This agreement with a global mining company marks a significant milestone in MineHub's journey. Together, we aim to spearhead a paradigm shift in mining operations, empowering our industry with unparalleled security, efficiency, and transparency of supply chains. This momentous partnership reinforces MineHub's position as a pioneering force in the mining technology sector and underscores the immense value the mining industry sees in the transformative opportunities offered by the MineHub platform…”
MineHub has also secured a services agreement with a large Canadian bank to deploy its Consignment Module, which digitizes the way in which companies manage and reconcile inventory balances for the management of non-ferrous metals transactions.
That agreement, which was inked on 27 March 2024, sets the foundation for future growth and new revenue streams for MineHub via expansion into the finance sector.
MineHub CEO Andrea Aranguren commented on the agreement via press release:
“We are thrilled to announce this agreement with a large Canadian bank, which marks a significant milestone in our journey towards driving innovation and transforming the way raw materials transactions are managed. Working with one of the largest banks in North America not only further validates our supply chain solutions but also expands our total addressable market. By leveraging our Consignment Module, we are excited to revolutionize the mining and finance industries, unlocking new opportunities for growth, efficiency, and sustainability.”
By providing an accurate, real-time view of consignment stocks, the module allows both manufacturers and suppliers to improve inventory management and represents a bold step forward in MineHub’s commitment to innovation and sustainable business practices by delivering cutting-edge solutions that drive value for clients and stakeholders alike.
In other words, not only is Minehub leading the digitization of the global commodities supply chain market — with industry leaders such as BHP, Sumitomo, Codelco, and Southwire already on board — it is now able to offer new and existing customers access to this new feature that effectively takes the guesswork out of the metals inventory equation.
Additionally, in Q4 2023, MineHub announced a strategic partnership with several prominent mining and commodity analysis labs as part of its first-mover advantage in the digital transformation of the global supply chain market.
The broad-based collaboration includes signed agreements with multiple labs — including industry stalwart ALS Global — which collectively represent the majority of mining and commodity analysis for MineHub’s global customer base.
Ms. Aranguren commented:
“The essential integration of MineHub's platform with key labs emphasizes the critical need to digitize the supply chain. This highlights the apparent inefficiency of today's manual processes. As part of this initiative, MineHub is at the forefront of spearheading the digital transformation of the supply chain, strategically optimizing operations, mitigating risks, and ultimately increasing profitability for our valued customers. Moreover, ALS's adoption of cutting-edge technology and innovative methodologies ensures the delivery of the highest quality services, making them an ideal partner for MineHub's digitization journey.”
ALS Global executive general manager Gale Smith added:
“ALS Global believes the integrated services provided by MineHub will create greater efficiency as well as contributing to the innovation and integrity of the industry.”
By integrating these major labs with the Waybridge platform, MHUB will be able to seamlessly incorporate the chemical results of commodities being assayed, offering unparalleled benefits to its ever-growing base of well-established mining companies, including Codelco, the world’s largest copper producer.
MineHub’s digitized platform — which now spans the assay-lab segment of the commodities supply chain sector — has been designed to greatly enhance operational efficiencies, minimize risk, and boost profitability for MHUB clients by accelerating workflows while simultaneously reducing manual efforts such as spreadsheets, telephone calls, and emails.
Value to Customers
There exists a huge amount of value to both the buy and sell side of the market through digitization.
Prior to the arrival of the MHUB platform, buyers lacked clarity as to their incoming material flows due to not having the proper tools to effectively manage their inventory, often resulting in the over-purchasing of raw and/or refined materials.
Hence, in the face of intermittent and previously unpredictable supply disruptions — where the main priority is avoiding plant shutdowns — companies would often be forced to go into the spot market where they’re often faced with having to pay higher premiums for materials.
Today, with the MHUB digitized platform, these same companies now have the tools and capabilities to run much leaner inventories bolstered by enhanced visibility into their incoming material flows and, thus, the foresight to avoid costly shutdowns.
All of this leads to a potential 15% increase in EBITA margins for buyers (see below):
On the sell side, the MHUB platform also offers immense value but from a slightly different perspective.
Sellers typically don’t have a great way to communicate with their customers and, thereby, end up receiving a lot of feedback on inadequate customer experience.
By integrating with the MHUB platform, the customer experience is vastly improved and, in turn, positions the seller to reap a potential 10% increase in wallet share (see above).
With momentum building on all fronts as we head toward the second half of 2024, let’s take a moment to meet a few key members of the MineHub team that continue to be instrumental in putting forth an innovative growth model dedicated to driving value for stakeholders.
Highly Adept Management Team
MineHub is led by a team of industry professionals with a collective vision for growth at this very important inflection point in the company’s brief history. That includes an equally impressive group of directors and advisors that share in that same vision.
Let’s meet a few key members of the MHUB team now.
In Q3 2023, MineHub announced the appointment of Andrea Aranguren — cofounder of Waybridge and former vice president of metals and logistics at Goldman Sachs — as the company’s president and CEO.
An expert in logistics digitization and supply chain optimization, Andrea boasts a decade of experience in commodities operations (oil & gas, metals, and environmental) and in helping startups to optimize their logistics and manage their supply chains.
At Goldman Sachs, she was responsible for the scheduling and inventory management for the North American and South American physical base metals business, including copper, lead, and aluminum.
Andrea graduated from the University of Pennsylvania with honors in Economics and received her MBA from Columbia University, including a role as vice president alumni for Columbia’s Private Equity and Venture Capital Club.
MineHub director Arnoud Star Busmann is one of the pioneers of the intersection of commodities, finance, and blockchain technology. Prior to joining Minehub, he was the innovation lead for commodities at ING Bank where he led the cross-industry Easy Trading Connect initiative.
A well-rounded executive with tech DNA, Arnoud boasts multiple decades of experience in strategy execution, enterprise transformation, and “blue chip” startups. Upon obtaining a Master’s degree in computer science from the Netherlands, he has lived and worked across Europe, Asia, and Oceania.
MineHub founder and executive chairman Vince Sorace is a mining and technology entrepreneur with over 30 years of international business and capital markets experience.
Mr. Sorace has financed and led numerous resource, technology, and alternative energy companies with assets and operations in the US, Canada, Europe, and Asia and has raised over C$300M in equity and debt financings for public and private entities.
Vince has founded and has held CEO positions with numerous companies and brings extensive experience in capital markets, operations, management, and public governance. Mr. Sorace also currently serves as president & CEO of Kutcho Copper and chairman and interim president & CEO of Serra Energy Metals.
Vince attended Simon Fraser University in Business Administration and the BC Institute of Technology in Management Systems.
Echo Tao has been focused on commodity trading and marketing for the majority of her career. She started her journey in steel trading with Nichimen Corporation, by then one of the world’s largest globally integrated business enterprises.
She joined BHP in 2002 as an iron ore marketer and, in her 14 years with the organization, gained valuable experience in marketing various commodities, including iron ore, metallurgical coal, energy coal, manganese, and uranium in Shanghai and Singapore.
Exclusive Interview with
MineHub Executive Chairman Vince Sorace
As promised, our own Gerardo Del Real of Resource Stock Digest and Junior Resource Monthly recently sat down with MineHub founder and executive chairman Vince Sorace for an in-depth discussion on the company's first-mover advantage in the space and the focus on delivering long-term value to stakeholders.
We hope you’ll enjoy the conversation.
Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the executive chairman of MineHub Technologies — Mr. Vince Sorace. Vince, how are you today?
Vince Sorace: I'm doing great, Gerardo. Thanks for having me back.
Gerardo Del Real: Vince, I am fortunate enough to really love what I do. And a part of the reason that I love what I do is because, oftentimes, when I get people on the phone, I am providing updates to the market and to our audience but, also, I am biased and have written checks to these companies and want to know what the heck is going on myself.
MineHub Technologies is one of those companies where I've written multiple checks and haven't sold a share. I’m looking forward to a 2024 full of catalysts. With that being said, you just achieved record revenue in the third quarter. You're positioned well for 2024 as you just raised C$4 million and you just announced a share consolidation.
All of that to me sounds like the team is setting the table for an exciting 2024. So I thought I'd check in and get an update for the audience.
Vince Sorace: Yes, and you're right in your analysis. We just finished this capital raise, and we’re effecting a share consolidation to improve the cap table and allow, I believe, an easier path to share price appreciation.
And yes, we're excited for 2024. We've got money in the bank, and our focus has been on capital to break even. We're getting very close to that now. And 2024, we've mentioned this before being at this inflection point in the company with contracts that we've signed with Codelco, one of the biggest copper producers in the world, with Sumitomo, recently, has been an additional catalyst to other mining companies responding.
And I think we will see a lot of new customers, strategic partners, and a number of other catalysts coming, I'd say, in the short to mid-term and throughout 2024 that can change the complexion of this story as well.
Gerardo Del Real: You're being modest and humble and coy because, obviously, you're the chairman and I understand that.
So let me translate for everyone out there. As a biased shareholder, what I take that to mean — and everyone should know I'm optimistic by nature so I could be off on this — but what I take that to mean is that when we have the likes of Sumitomo writing checks to advance the platform because it is so effective and with the platform having the biggest moat in the industry, there's simply no one else that's on par doing what MineHub is doing.
So when you have a Sumitomo at the table, when you have a lot of big, big names that don't want to be disclosed at the table — which will be disclosed in due time — that's a green light for everybody to start adopting the technology.
And I sense you're lining up the dominos to be able to start more publicly speaking about some of the names that are being involved in maybe accelerating the development of the technology. Is that an accurate speculation?
Vince Sorace: Yes, and what I can tell you is that, to your point, we have a big moat around this platform. There is nobody out there doing what this platform is capable of doing. And that continues to be recognized. Mining companies, etc., around the world, recognizing that fact and solidifying our position is becoming more and more prominent daily.
The way I see this building out is that this platform definitely has the potential to be the de facto standard within this industry. So we're heading down that path. This has got, I believe, amazing potential. Some of these things just take some time but we're on that path now.
Gerardo Del Real: Let me ask you a question because this part excites me as well. Anybody that knows me knows that outside of real estate, the bulk of my net worth, rightly or wrongly, is tied up in natural resource stocks. It's my bread and butter. It's what I love. It's what I enjoy.
But with that being said, I love the fact that MineHub is digitizing the commodity supply chain, and I love the potential to expand the platform to other sectors outside of the resource space because I simply don't see any boundaries. Is that something that may be in the cards in the future?
Vince Sorace: Definitely. We've already been making forward plans to move into adjacent markets because the platform is relatively agnostic as to what it can handle. So there is definitely some low-hanging fruit in front of us.
In the chemicals space, we already handle some chemical supply chain transactions as chemicals and miners interact in those markets as well. So other things like segments of agriculture or different commodities as well. Right now, our focus has really been on copper but that can expand into multiple different markets such as steel and aluminum. And so, even within just the commodity sector, there exists expansion potential.
But yes, to your point, chemicals, agriculture, other elements…. and it's not about putting CapEx into the platform to expand into these markets. It's really about bringing on people that know those markets and that can sell and facilitate into those markets. It's not a massive expenditure to do it. We want to make sure that we're walking before we run… but that opportunity definitely exists.
Gerardo Del Real: Well, I'm looking forward to having you back on, Vince, as these material developments become public. And I'm really looking forward to seeing you with the treasury you have now to advance the company in a way that hopefully gets us to see profitability very, very soon.
Last but not least, I want to touch on the share consolidation. It's something that I supported. It's something that I believe does a lot to account for where shares are held and wherein long-term shareholders, like myself, aren't punished indiscriminately when short-term flippers decide they can no longer hold onto a position.
Can you speak to the motivation behind the share consolidation?
Vince Sorace: Yes, I think, in the last number of months as we've kind of gone through multiple financings, I've been very happy with the participants in those financings. We've been bringing in some very, very strong shareholders into those financings who've been repeatedly present, and I think there's been some attrition over the past couple of years from our original shareholder base.
It comes along with the times and the markets, but I think we are getting to the point here now where we can see some freedom with respect to the flippers, as you call them. This share consolidation should emphasize that, if you will. I believe this was the right move, and it also provides some higher ceilings on other potential overhang like warrants.
I do believe that the share consolidation is good and will give the stock some breathing room and that we’ll be seeing some appreciation along with what we believe will be some exciting announcements to come in the future.
Gerardo Del Real: Well, looking forward to those, Vince. Thanks for that update. Appreciate it.
Vince Sorace: Thank you, Gerardo.
The MineHub Opportunity
MineHub Technologies Inc. (TSX-V: MHUB)(OTC: MHUBF) is ushering in a new era of efficiency and transparency in the global mining industry, effectively bringing the commodities supply chain sector into the 21st century through the digitization of the processes involved in commodities transactions.
The company has launched an enterprise-grade digital solution that connects buyers, sellers, and financiers within physical commodities supply chains in a digitally integrated workflow powered by data that is usable, shareable, verifiable, and unforgeable.
It’s the first solution of its kind for the US$11 trillion global commodities sector and appears to be well on its way to becoming the de facto platform and industry standard for the movement of metals, chemicals, and more sector-wide.
In essence, it’s a massive greenfield opportunity with significant barriers to entry, very few competitors, and none with the traction MineHub is currently achieving nor with as comprehensive a solution.
MineHub stands to continue to benefit from numerous tailwinds forming in the commodities supply chain space, including ever-changing industry regulations, new rules on ESG compliance, as well as risk mitigation and fraud mitigation that only digitization can provide.
With MHUB, speculators are being presented with a very early-stage opportunity in a company that’s positioning to lead the digitalization of the multi-$billion commodities supply chain sector right as multiple industry leaders are coming on board.
MineHub is exceptionally well-positioned for growth with very solid partnerships and a very sticky platform with an expanding network base in an addressable market of about US$7.5B (see breakdown below).
Users of MineHub’s digital platform are in full control of their supply chains, enabling them to optimize their use of resources, respond better and faster to supply disruptions, all while providing enhanced, real-time customer service.
As just one example, Codelco, the largest copper producer on the planet, is now able to offer its global customer base heightened visibility, traceability, and operational efficiencies through the MHUB platform thereby elevating the overall customer experience.
Codelco’s initial group of customers has now been onboarded to the MHUB platform with the remaining ones expected to be added shortly thereafter.
Again, that’s just one example of the type of mining leaders MineHub has contracted with. Other industry stalwarts currently onboard include Sumitomo, BHP, and Southwire — to name just a few.
The future growth prospects for the company look to be robust with MineHub now expecting to have over 150 companies on its platform this year with expectations for accelerated user growth and revenue growth over the coming quarters.
You heard directly from MineHub executive chairman, Vince Sorace. He says,
“There is nobody out there doing what this platform is capable of doing. And that continues to be recognized. Mining companies, etc., around the world, recognizing that fact and solidifying our position is becoming more and more prominent daily. The way I see this building out is that this platform definitely has the potential to be the de facto standard within this industry.”
MineHub Technologies is also well structured with 68.1 million shares outstanding on a non-fully-diluted basis with more than half of those shares with management, institutions, and advisors.
At present, the company’s non-fully-diluted market cap sits well below C$15 million, and the company is well-funded having just raised C$4 million via private placement.
For speculators seeking exposure to the multi-$billion commodities supply chain sector, MineHub Technologies offers exceptional upside potential as it evolves its first-of-its-kind digitized platform serving the industry.
Now is an excellent time to begin conducting your own due diligence on MineHub Technologies Inc. — symbol MHUB on the Toronto Venture Exchange and symbol MHUBF on the US-OTCQB Exchange.
A great place to start is MineHub’s corporate website.
There, you can sign up to receive updates directly from the company, view the most recent Corporate Presentation and much more.
Be sure to also follow our exclusive interviews with upper management here.
— Resource Stock Digest Research
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Please do not rely on the information presented by Resource Stock Digest as personal investment advice.
If you need personal investment advice, kindly reach out to a qualified and registered broker, investment advisor, or financial advisor.
The communications from Resource Stock Digest should not form the basis of your investment decisions. Examples we provide regarding share price increases related to specific companies are based on randomly selected time periods and should not be taken as an indicator or predictor of future stock prices for those companies.
MineHub Technologies Inc has sponsored this report.
The information in this newsletter does not constitute an offer to sell or a solicitation of an offer to buy any securities of a corporation or entity, including U.S. Traded Securities or U.S. Quoted Securities, in the United States or to U.S. Persons. Securities may not be offered or sold in the United States except in compliance with the registration requirements of the Securities Act and applicable U.S. state securities laws or pursuant to an exemption therefrom.
Any public offering of securities in the United States may only be made by means of a prospectus containing detailed information about the corporation or entity and its management as well as financial statements. No securities regulatory authority in the United States has either approved or disapproved of the contents of any newsletter. Resource Stock Digest nor any employee of Resource Stock Digest is not registered with the United States Securities and Exchange Commission (the “SEC”): as a “broker-dealer” under the Exchange Act, as an “investment adviser” under the Investment Advisers Act of 1940, or in any other capacity. Resource Stock Digest, its owners, directors, and employees are also not registered with any state securities commission or authority as a broker-dealer or investment advisor or in any other capacity.
HIGHLY BIASED:
In our role, we aim to highlight specific companies for your further investigation; however, these are not stock recommendations, nor do they constitute an offer or sale of the referenced securities. Resource Stock Digest has received cash compensation from MineHub Technologies Inc and is thus extremely biased. It is crucial that you conduct your own research prior to investing. This includes reading the companies' SEDAR and SEC filings, press releases, and risk disclosures. The information contained in our profiles is based on data provided by the companies, extracted from SEDAR and SEC filings, company websites, and other publicly available sources.
Resource Stock Digest, and its owners, directors, employees, and members of their households may own shares of MineHub Technologies Inc. Therefore, Resource Stock Digest is extremely biased. Measures are in place such that no shares will be sold during the active awareness campaign.
HIGH RISK:
The securities issued by the companies we feature should be seen as high risk; if you choose to invest, despite these warnings, you may lose your entire investment. You must be aware of the risks and be willing to accept them in order to invest in financial instruments, including stocks, options, and futures.
NOT PROFESSIONAL ADVICE:
By reading this, you agree to all of the following: You understand this to be an expression of opinions and NOT professional advice. You are solely responsible for the use of any content and hold Resource Stock Digest, and all partners, members, and affiliates harmless in any event or claim. While Resource Stock Digest strives to provide accurate and reliable information sourced from believed-to-be trustworthy sources, we cannot guarantee the accuracy or reliability of the information. The information provided reflects conditions as they are at the moment of writing and not at any future date. Resource Stock Digest is not obligated to update, correct, or revise the information post-publication.
FORWARD-LOOKING STATEMENTS:
Certain information presented may contain or be considered forward-looking statements. Such statements involve known and unknown risks, uncertainties, and other factors that may cause actual results or events to differ materially from those anticipated in these statements. There can be no assurance that any such statements will prove to be accurate, and readers should not place undue reliance on such information. Resource Stock Digest does not undertake any obligations to update the information presented or to ensure that such information remains current and accurate.