The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Last night's rns may have been missed.......
23/04/2024 5:12pm
RNS Regulatory News
RNS Number : 7432L
Kavango Resources PLC
23 April 2024
23 April 2024
Kavango Resources
("Kavango" or "the Company")
ZIM - Hillside Option Exercise
Kavango Resources plc (LSE: KAV), the Southern Africa focussed metals exploration company, is pleased to announce that it has provided notice of exercise of the Hillside Call Option to the vendors of the Hillside Project ("Hillside") and Leopard South Project ("Leopard South"). Kavango intends to extend the Call Option on Leopard North to 30 June 2025.
Purchase agreements for Hillside and Leopard South are being drawn up by the Company's legal representatives and completion is scheduled for 15 May 2024.
Summary
· The Sellers and Kavango entered into call options in respect of the Hillside, Leopard North and Leopard South projects in a Call Option Agreement ("The Call Option") dated 25 July 2023, (announced >>> 25 July 2023). The Call Option had an initial term of six months, expiring 24 January 2024. This was subsequently extended, pending negotiation of revised terms following introduction of the Special Capital Gains Tax in Zimbabwe. Any material revisions to the terms will be announced in due course.
· Kavango has served notice of exercise to the Sellers, effective 23 April 2024.
· Completion is expected to occur on 15 May 2024.
It's a good start and they have lots of targets to go at.
Ultimately they will need to focus on the very best prospects and then start to do some definition drilling to work up an initial Maiden Resource Estimate.
Once they have that initial JORC resource with further exploration target upside will should firmly underpin the share price at far higher levels.
ORR managed to model up their initial resource of 375,000oz Au from a fairly modest drill program of
Just 6,685 metres of drilling across 54 holes. With a 1km strike length to a max depth of 264m.
Since they modelled that drill data from the 54 holes into an initial pit shell model and set out how they hope to repeat this again it has really helped to push the SP up over the past 6 months.
If BT can work towards identifying a number of potential pit shells and then just get one modelled up with the prospects of further multiple zones to develop the SP will take can of itself and many other funding options will open up to expand the company at scale.
The way this share has consolidated over a long period and slowly risen over the past couple of months and now the positive news flow gives a feeling we're in the early stages of a growth phase here. One to hold.
I agree. In KCB Dave Catterall has refocussed which is concerning when KAV had previous advanced licence areas but ultimately its discoveries which count & Dave is the recognised expert. Quietly optimistic.
I don't think they will return to KSZ or Ditau - unless they can find a JV partner (which I think is unlikely). The focus will be on Zim and KCB. Early success at KCB will obviously influence what happens next. I'm sure Purebond will continue to back their investment here, especially if the results are promising, as they have been so far in Zim.
What's the minimum spend?
Understood they have a limited time and if no discovery is made within a time frame then a third of the licence gets handed back.
Other than Karakubis, KAV have made it clear that KSZ/Ditau/KCB (odds & sods) are no long priority, too much cover, lots of geological risk, size of Bots teams dramatically reduced over last year. Ironic because KAV was looking to combine the Bots assets into Kanye and float but ultimately the drill failures led to a dramatic change of strategy.
KAV has a pretty huge land mass under PLs in Botswana. And each PL requires minimum spend under the terms of the licenses - so dont be surprised if they try sell them on, before having to give them up.
The funding position is interesting because there's over £8m of warrants expiring in the next year including c200m @3p expiring in Nov so would be very helpful if these get converted.
Re $40m in Purebond's account, I've watched Ben's interviews and there was a suggestion of debt financing rather than equity which would wipe out small PIs. My fear was another raise at 1p but I think 3-5p range could be on if KAV produce good results.
If there's a commercial discovery in Karakubis, then it will likely turn into a cluster & need significant funding to expand the resource/reserves. KAV has talked about selling the licences but investors will get much better terms creating reserves first.
Hillside, talked about a modular processing plant, easily $20-30m
Nara, really depends on what they find, an operation based on a 2m oz resource could cost $100m
Heading towards 1.5p. Yes, really stepped it up with the newsflow, but the results have been really encouraging as well. This is definitely a share that is on its way up, and with a lot more upside yet to come as well, as we have more results coming from Zim, and will be drilling at the KCB next month. Then there is more news to come on the production side. I wonder if the £40 million funding facility might be used to support the production plants?
Hi all - this is another great update , I think the news frequency is great .
They seem to really have stepped on the gas . Even have a LinkedIn page with some good names following !
Looking forward to the next update!
Nice positive news, but not on a personal basis. I hadn't got around to crystalising my trading account loss on Kav before placing into the ISA. I do like to offset CGT losses. :-)
After the false dawns I'm starting to become more optimistic with regards success for Kav.
Fantastic results - with more results and drilling to come, and KCB drilling in May, let’s see if we can hit 2p now. GLA
Who knows? I might one day make a profit here!
GLA
WOW
The shallow results look good and should be cheap to extract.
I wonder if they’re disappointed between 200-400m? The deeper high conductance structure, pink in the diagrams hasn’t delivered.
Very happy with these results. Onwards and upwards from here. At last, phew.
Good grades from a shallow location looks very encouraging.
Glad I bought back in yesterday!
Start of an exciting journey I hope
GLA GT1
Rare to see that level of personal commitment, from both domestic life, and financial point of view.
Hard to argue that he isn't all in and full skin in the game.
Good to it it starting to pay off
No I didn't listen to that, but would agree re BT. I mean, you can't ask for much more commitment than moving to Zim to lead the company at the coal face. That is very rare. He also recently bought £60k of shares on the open market.
@LW
Not sure if you heard the Sunday roast podcast over the weekend?
Ben Turney was getting a lot of praise for the work he has been doing to advance KAV.
A good post. Hillside is about 1000 acres so a bit surprising prospect 4 is 12km from prospect 1, its suggesting the claims are non-continuous.
Nice summary from BT of what KAV 2.0 is looking at in Zim:
https://twitter.com/Ben_Turney/status/1782309459945034082
Just an observation on BTs tweet, 1.9g/t at >200m might be ok if there's volume, not clear if bulk mining/open pit opportunity because grades above were quite poor except for 90m. This greenstone rock is 2-3bn years old and extremely tough pointing to underground mining.
Ben Turney has taken a lot of stick, along with his well paying job. But he strikes me as a man, who has been unlucky to date, who wants to make a name for himself.
Who knows, he just might be the right man, in the right place, to make us a killing?
Happy Weekends All
Looks like another RNS incoming on Monday:
https://twitter.com/Ben_Turney/status/1781314993683636645