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FYI
I was a 10% holder before the pre-IPO round, I took some in the round but nonetheless I will be diluted somewhat. So I know exactly where they are up to. However, I can't comment: not particularly because of RRR but Elephant is going through the SEC process now.
Until everything is agreed with the SEC, nothing is agreed but so far it looks okay.
There is a range of outcomes, it will come down to market conditions at the time and market appetite. Market conditions are favourable to Elephant: when this started oil was around $55 and they thought they could get a decent valuation. Oil is now $90+ and they have the new Namibia license.
But, until it is done, it ain't done. Once it is signed off by the SEC, they will put it in the public domain.
DYOR
Kenya gold assays expected this week?
Australian good assays - Helpful, do you anticipate the initial results to be announced next week? One thing we can be sure about is Paul Johnson (POW 49% JV) will look to release asap and promote on Twitter! The results should be good with old mines in the area and the desire for the assays to lead us to a spin out IPO
Helpful, can you advise the £value we spent on Elephant Oil and from your research approx what they will list at and the initial IPO £value to RRR? Thank you
https://twitter.com/RRR_RedRock/status/1495740552096137221?s=20&t=cbKWDCmmL_d2znKuqiYXLA
https://reconafrica.com/
Pity we can't do smiley faces on here.
DYOR
Our long-time holding in Elephant Oil increasingly exciting as it approaches IPO. Just awarded PEL 101 (light yellow) in Namibia to add to its onshore Benin acreage. Reconnaissance next door (grey) has a market value of $1.14bn on the back of these Kavango Basin assets.
https://twitter.com/RRR_RedRock/status/1495740552096137221?s=20&t=RHjJOI6VYHS9mEFVI6cJmw
With all this news due now is as good a time as any to buy in or add in my considered opinion, AIM is like a casino, news-flow equals volume, volume equals share price upside, sometimes spectacular upside.
The body language of Andrew Bell seems overly confident and positive all of a sudden, I just wonder how much the equity stake in Elephant Oil (RRR are one of the largest pre IPO shareholders) could be worth, in the past he said $1m-$2m but recently he suggested he expected the shares to fly post IPO.
Buy low sell high !
Added RRR yesterday having noticed that numerous drilling results are imminent (and looking promising), that the market cap is only £7.3m compared to £19m in assets, also more than one IPO due in short order to boost the coffers...therefore a decent buy, I'm thinking...
However, in the cold light of day, these statistics might be seen as a double edged sword - why is the market cap so low compared to assets, I find that unusual, is RRR mismanaged, unlucky, or what?
Company seem to view IPOs and JVs as the way to raise revenue, less is being said about cash being made by actually mining ore in comparison, unless my reading has been amiss...
Hopefully my first impressions will be correct and RRR SP will more correctly reflect the assets and prospects in due course, because this could possibly be a terrific investment in all honesty.
Stu
https://twitter.com/ernstimfeld/status/1494595379932839943?t=eaKZQAvJ5g7CFR-wgMljjQ&s=19
https://twitter.com/ernstimfeld/status/1494689691790192643?t=dMfeADZApytWhGNPUfEMDQ&s=19
Oil price: https://oilprice.com/
Gold price: www.kitco.com
Base metals: www.kitcometals.com
Helpful What about oil?
$1,892
https://twitter.com/lacasa1971/status/1493867315812782081?s=20&t=wHsK6o8ashxmYEKGNtcbDw
PS there are some tailings from illegal mining on our licenses in Kenya. Not the MaCalder tailings, another tailings; AB recently had another company removed from them. They were illegally mining the tailings. In law, those tailings belong to RRR.
This sort of stuff is non-stop.
DYOR
I am sure that he does act as a drag on the SP. The issue is, what would happen if he was binned? Well likely that DRC would not turn out as well. To get a result against Glencore we are going to need the DRC bods on our side and their cooperation. Most people on here think that this is about $20mil: it is not. The deal Glencore agreed to was significantly greater and our claim for damages would be a multiple of that. If we are successful against Glencore then RRR ends up with more from that than everything else put together. AB is key to the DRC/Glencore results.
He continues to be important in Kenya: see the recent arrest and deportation of 5 Chinese illegal miners. We also need him for Burkina Faso, Cote d'ivoire and Zimbabwe.
The discussion always assumes that there is this fantastical ideal bod to replace AB. First there may be, in which case why would he join RRR, and secondly, get me his cv. When it comes down to it, at this stage the perfect candidate doesn't exist and in any case would be unlikely to join if they did.
RRR needs to keep to its knitting for the moment: Elephant needs to list, NBGC needs to list, RRR needs to bring in some pre-IPO funding for some of its other deals and it needs to sort a JV on Kenya. Back end of the year RRR should look quite different.
DYOR
Helpful i agree football was good. Often a change in manager gives a team a boost. The issue for many on this share is perception. Unfotunatly Bell acts a 30% drag on SP and market value due to poor past performance and a perception of wastefullness personal gain and dilution. An RNS annoucement of Bells leaving will generate a greater movement than anything he does on his watch. I have the Bell drag as 30%. We could debate the scale but the principle he acts as a drag is clear.
Sounds like Kenya gold results will be out by early next week.
Congo drill results
https://tinyurl.com/ytrh7ty7
It is good to see a new large buyer and ex major holder taking a position here again, I suspect Bell will pull more rabbits out of the hat before the AGM to try and save his skin so expect to see more share price upside over coming weeks.
Volume should start to drive the share price higher, look what happened to PREM recently, the share price trebled, it could happen here.
Give it a rest. Go watch the footie, you are missing a great game.
Yesterday the offer to buy anything over 400k shares was 0.575. Todays last trade price was there. Please don’t school me on market making. I was a market maker and managed a $2bn bond portfolio. If you believe the smoke and mirrors of how this works I think it’s probably the wrong market for you. It’s relatively unch. And @helpful - I can assure you MMs are not short this - I remember our AIM/small cap guys run tiny positions and on a share like this, banks and MMs are not even allowed to run shorts of more than a marginal £10k - that’s how pathetic the banking industry is now, but quite simply, MMs aren’t running shorts, so that dispels another myth here. Again, now I’m holding again, why would I not want that to be true? But, reality dictates it simply isn’t. Additionally helpful - why would I go and buy 10%+ here when history dictates management screw shareholders EVERY. SINGLE. TIME. People don’t buy shares expecting to take over the company, what a stupid suggestion.
https://twitter.com/RRR_RedRock/status/1493661361066455040?t=3xlObCsl8EK4-PoTMJFe0w&s=19
Yawn!
My degree is Quantitative Business Analysis and I have two professional DPM qualifications. Unless the method of calculation has changed since yesterday it is up 9.09%.
The quoted spread is 18.18%. There are various reasons why the spread moves out: one is that MMs are short and don't want to get caught. Regardless, most shares trade inside the spread, including RRR today.
Anyway, you want to call the shots you need to buy more stock.
I am not going to make this personal. The only thing I am interested in is making money.
DYOR
Yesterday the bid was 0.5, today it's closed at 0.55p - that's a 10% increase in my book?
Helpful - this is your problem. You are 50% full of the same BS as Bell. It’s NOT +9% up, there is a 20% spread on the stock - which reflects the shocking liquidity too.
You know I’m an ex investment banker so pull that nonsense on someone else please. My issue is all the nonsense you came out with the last 2 years which was…unsubstantiated, untrue and never came close to materialising. The amount of PIs that bought into that fluff is on you.
Back to the point - b/o of the stock yesterday versus today, the stock is realistically unchanged and marginally up.
Why would I (owning 14m+ shares again so far), not want it to be +9%? Of course I would - but the difference between me and you, and those working at this company, is that I still have a relative attachment to reality. Say it how it is and you’ll have my respect.