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Question 26:- I can't see how the Co. regard this as only needing an "Ordinary Resolution" which requires 51% of the vote in favour.
I think that is wrong. I believe the Co. need a Special Resolution with 76% voting in favour.
Ordinary Business (Ordinary Resolutions) includes the following business:
Adoption of final accounts.
Declaration of the dividend.
Retirement and appointment of Directors.
Retirement and appointment of Auditors and fixing their remuneration.
You need a resolution to issue new shares in a UK company. The Companies Act 2006 requires private companies to pass an ordinary resolution, while public companies need to pass a special resolution.
With a Special Resolution (SR) you also need 76% in favour (three times higher than the votes cast against it.)
The notice of the general meeting should be duly given to the members, and the notice should contain the intention to purpose the resolution as SR to be mentioned specifically.
The resolution is required to be passed by any methods, such as voting on a show of hands or polling or electronically by the members present in person or proxy or postal ballot.
PLEASE CORRECT ME IF I AM WRONG
Thanks John. Have done!
Course you can if you want! If we cant laugh what can we do?
Very good. I had a laugh. Could I copy that across to ADVFN? I'm sure some would appreciate that.
Correction. 2.3p
Silly me
Just spent a time reading the Q&A.
Disappointing, or maybe I just got out of bed the wrong side. I would compare the answers to those given by politicians to Laura Kuenssberg on her Sunday morning program. Mind you at least KS has a fallback career as a Tory MP if this sinks the company.
In many cases, particularly the awkward ones, Sener answers a different question to that posed. Or just plain misleading. Examples:
Q The Ozaltin deal was pretty rubbish wasn't it?
A No, the share price went up from 2p to 6.25p! it was great!
Observation: And when everyone stopped looking at you as the messiah it fell back, down to 1.6p only 2 months ago. Over 4 years on its only 2.4p now
Q Why didn't you release production guidance on time this year?
A The dog ate my homework
Observation: Woof
Q Several other companies have shunned Dokwe because of deep desert sand cover. Why is this not a problem for AAU?
A We have found that B&Q have introduced a range of big shovels so its fine!
Observation: I must take my morning tranquiliser
Q Will production really start at Dokwe in 3 years as mentioned in a very very recent RNS?
A Well I said that but its complicated
Observation: We've heard it so before many times Kerim so stop digging as no one believes you anymore.
Q Why no Gantt chart
A Because timings can be hard to predict as they are out of our hands
Observation: if that was true then surely sometimes things would happen more quickly than expected. Like just once maybe?
Q Was involvement in Cyprus a good move
A Yes
Observation: That's a no then. £180k of AAU shareholders money spent to give the Apliki owners fresh data to increase their asking price
Q Will divis be paid to AAU shareholders when Tavsan is in steady state production
A Not sure, maybe
Observations: Ah, not a snowballs chance then
Q Do you care a jot for your ordinary PI shareholders
A Ha, Ha, of course not, don't be silly!
Observation: Ok I made that one up.
Have a good day fellow sufferers
‘ Posters keep rattling on about Dokwe's gold deposits being under the Kalahari Desert. This desert would appear to me to be more to the West, in Botswana & Namibia.’
No body has posted that in here!
‘For what it's worth I also decided over 5 years ago to stay well clear of Africa, China and the Russian Federation because many Companies and consequently their investors have been " ripped off" badly by authoritarian corruption.‘
Sounds a bit like Canada and UK, as for USA it’s a farce, hopefully we get free market President!
I sold out in the last spike in gold and have reinvested in this possible merger. Ariana's, S/P has treading water for years as has the dialogue between you long-suffering shareholders. This merger and the increase of ounces in the ground will lift the company from the malaise it has been in for the last few years. It is good to be back!
Posters keep rattling on about Dokwe's gold deposits being under the Kalahari Desert. This desert would appear to me to be more to the West, in Botswana & Namibia.
But I digress. At long last, Van Van, you appear to be getting the vibes I began to worry about a long time ago about Ariana. John's viewpoint about our " merger" also added worries. Sadly, It seems to me to have evolved as just another example of so many unpleasant AIM experiences which over the years have duped their investors and produced a comfortable lifestyle for those " on top (literally )of their " pile " . Initially I really believed that I had found a wonderful route to riches. In hindsight my time and investment was really many wasteful years here. Thus eventually I lost my faith in all the hype and promises so over the last year I reduced my holding and now I have none. So far by investing my former AAU money elsewhere in real Stock Market leaders, in every case I have gained regular quarterly dividends and all my stock has risen wonderfully in value.
For what it's worth I also decided over 5 years ago to stay well clear of Africa, China and the Russian Federation because many Companies and consequently their investors have been " ripped off" badly by authoritarian corruption.
Yep Van, as I said yesterday the circuitous sentence from the RNS about 3 years did mean it incorporated more than a little ambiguity. Could mean they may be able to start to commence development in 3 years! I don't recall Sener even mentioning 3 years this morning, perhaps he thought it best not to. If Dokwe doesn't soak up the dividends then Salinbas will. In fact from the current JVs major shareholders viewpoint Salinbas is more important, at least at the moment, and since Ozaltin control Zenit then AAU may not get dividends from the JV because it will be used to promote the development in Eastern Turkey. That raises the question where the bloody hell does the money come from for Dokwe development, the ex Rockover directors will want some action there because they are no spring chickens themselves. They will of course end up as the major AAU shareholders in June or July this year. My fear is huge debt on the AAU balance sheet, if things go wrong the loan creditors foreclose and equity holders tend to get wiped out.
The Rockover directors, shortly to be AAU directors, may be more astute than this mornings double act, they will hopefully not sit back and allow another big payday for Ozaltin if the Zimbabwe development is to be funded by a new JV there.
You talk about the AAU development not suiting those of our age. Or MDVs. I suspect that the whole development profile is geared to someone of say, now let me think, oh yes, someone of maybe Kerim Seners age??
And this John.
"we anticipate advancing the Dokwe project towards production within the next three years"
Very Motherhood type words. Advancing towards - what does that mean? Not we will be in production in 3 years.
The slide with production from Salinbas is also a joke as was the comment that we are a dividend paying Co.
We need more honesty and much greater clarity. Gritty hard hinting statements.
They need to put themselves in the shoes of shareholders and consider where there are coming from. Consider carefully what they want to hear, primarily of course a focus on how actions will increasing value and reward via dividends.
The need for a Corporate savvy communicator with contacts etc. will only get bigger as they expand and face Institutional interest. It is still very poor currently and we can see that in the recent trading reaction. They have failed so far to excite investors with this new opportunity, perhaps also due to the track record to date.
Posted this!
I agree we did see a better performance from MdV this morning. Sceptically, perhaps he fears the re-election vote!! But yes as he ages he must be looking for a shorter return than one that keeps getting pushed into the long grass.
But as my wife said to me this morning, weren't we promised a dividend once Tavsan was up and running. Have they now rescinded on that? Given the age profile of many here I'm sure that is seen as a very poor show. If you promised to do something important like that and talk about wanting the "financial discipline" etc. it brings, then you have to stand by your word. Given they have been doing DD on Dowke for around a year, they must have had an inkling of what they intended to do. Promising a dividend and thereby perhaps encouraging people to buy shares or certainly hold on and then do the opposite, as though it matters not, is very poor form in my opinion. Those wanting that regular dividend, who were perhaps prepared to hold on ignoring share price gyrations whilst they got an income, could well now decide to sell or reduce their holding. I wonder if they have any concept of how frustrating missed deadlines and failed promises are. Like promises over Salinbas, Cyprus and dividends etc. one starts to loose faith and trust.
Van, you are quiet on both boards. Am I right assuming that you aren't too happy?
Well my prediction of not knowing when Dokwe will be in production came to fruition then.
Did notice the slide now shows (from what I could see as I hadn't got my glasses on) Salinbas production from 2026 rather than 2025. So that's nailed on then.......
I found it,
This is a useful discussion and highlights some good points about our strategy in Zim
We looked at Dokwe (Rockover’s project) and passed on it
There is true genius in Nick Graham’s work but the problem is Dokwe is in the wrong jurisdiction. If it were in Botswana it would make sense but in Zim it doesn’t when there is so much more conventional and lower cost opportunity elsewhere
Dokwe has been around for 20 years and had $20m spent on it. The deposit sits underneath deep Kalahari sand cover and has a very large cap-ex requirement ($75m from memory)
The discovery of Dokwe was amazing. Nick and his team found it using a sophisticated fine fraction soil sampling method that was able to identify minuscule variations in gold levels relative to background
The problem is it’s too sophisticated a project for the stage Zimbabwe is at. A possible positive is that Rockover has large exploration permits in virgin ground, but its virgin because of the sand cover. Again, in Botswana this would be attractive but in Zim why go to the trouble of such complex and expensive exploration when there is so much untested potential, near surface that has been scouted by the small-scale miners?
I don’t know what Ariana’s plan is. They did well in Turkey. I imagine they must have finance lined up, otherwise this makes no sense at all. Perhaps, the gold price has changed the economics of Dokwe favourably, I don’t know but we wish them luck. The more international companies in Zimbabwe the better.
Coming back to Kavango and our strategy is to focus on near-surface, open pit, bulk mine opportunities. This is completely different from Dokwe so a comparison between the two doesn’t hold up
The path we are on is more conventional. I expect it might take the market a little while to grasp what we are doing, but once we have more demonstrable success the market will see the scale and realisable potential of our business
The Dokwe project is technically demanding, has taken a very long time and hasn’t yet been able to raise the finance it needs
We have simpler targets, are moving extremely quickly and are raising what we need to build on that momentum. By growing Kavango Mining in parallel with our exploration, we will be well positioned to bring open pit mines into production relatively quickly once they are defined
Sadly the share price is what it is. I don't know what the basis was for the rather precise 687,817,998 number. I guess it gives an exact % in AAU or to equate to a particular sum based on an assumed AAU share price. Dunno haven't thought. I suppose we have to look at what assets each company brings to the table to decide it the (roughly) 1/3, 2/3 split is fair. Somehow you have to adjust each prospect for the stage of development. Dokwe is big, and compare surely to out paltry share of Salinbas after the giveaway JV. Don't know, lets reconvene tomorrow and hope the presentation and Q&A doesn't send the SP any closer to 2p yet again.
I don't know Van. The Dokwe resource is big and effectively AAU gets 2/3 of it. Its a lot of gold, more than I think we will get from anywhere else. The obvious red flags are how does the development get financed while we own 100% and can we trust Zimbabwe? I'm not sure about it as I've always avoided African 'investments' (quotes intentional), as I think we discussed before.
So finance for Dokwe development, as far as I can tell, is by massive equity dilution, debt (lots if tragic stories on AIM about those providing loans wiping out equity holders) or a JV. And after todays RNS we know who that will be with, nailed on - I'm no clairvoyant but I'll bet they will want 51% at least.
I reckon we would all be better selling AAU and buying Ozaltin shares. That way we can benefit from all the things AAU s good at, because directly holding AAU equity certainly isn't doing it.
Three weeks ago AAU had a 3p share price. Now after releasing big news about a deposit some shareholders have been excited about for months and a delayed 2024 production announcement its down to 2.45p. Wasn't news like this supposed to excite shareholders?
PS Is it me or is the Tavsan heap leach plant looking increasingly delayed, vague references onlynow to 2024? Maybe all will be clearer tomorrow. Wont hold my breath for a concise answer.
Agreed John. That is why I believe we need to know they have sought outside advice to protect our interests. Yes he might be a good Geologist, but that doesn't make him a good Corporate analysts capable of securing the most appropriate deal. I think the outcome of the Ozaltin JV after 5 years is proving that point, as you say. I believe they sort no help at that time either. But Zimbabwe. Not my cup of tea. If we wait for the HizHizarliyayla and Salinbas results ( over due?) then perhaps our share price would be higher and we could negotiate from a stronger position. Issuing all these 687,817,998 shares, diluting our current core assets (including assets producing hard cash) doesn't seem right to me. But I need help to understand why this is a good deal as I expect many others do. We can't take it on face value.
It was on a public Telegraph Group apparently . I believe it was mentioned by Ben the CEO who said they passed over on Dowke, but I haven't seen it myself. They might have passed over due to lack of funds of course and now are now just a bit jealous. Who knows? I have no idea how you find these Telegraph Groups.
Well Van in my defence I was against the Ozaltin from day 1. Just work out the value of the lost 26.5% production since the completion of the JV (early 2021?) and very single gram of gold that Tavsan will ever produce. I have and its massively more than AAU received by selling. As for Salinbas where we gave up 76.5%, just don't get me started,
‘ It seems to me that Kerim has a great deal to do tomorrow morning to convince us this isn't riddled with red flags. ’
It certainly is not SP accretive just more SP dilution and diversified risk!
‘it has been suggested by Kavango that Dowke is technically demanding and costly, so they need a fairy godmother. Apparently it is under deep Kalahari sand and this may be one of the reason it hasn't been developed todate. Perhaps we will learn more tomorrow.’
When did Kavango state this, do you have a link?
C&B
They will only answer the questions they feel like answering, that always happens. I bet someone will have tabled a question relating to when Dokwe will realistically be developed rather than the following mentioned as part of the RNS the other day, and I'll also bet there will be no concrete reply:
'.....we anticipate advancing the Dokwe project towards production within the next three years'.
What the hell does that mean? AAU may advance towards production but it doesn't say a plant will be there and shovels in the ground.
Sener seems to forget that we have been exposed to ambiguous waffle like that for too long. I would remind people that in presentations in April and December 2022 there was an anticipated production from Salinbas in 2025. Truth is that we aren't a day closer than we were at the time of the wonderful new JV proposed in 2019. To me that is deception at best, outright lies at worst. Does anyone fall for it anymore?
Hi John,
Weren't we expecting a lot more than 20,000 ozs; certainly not that long ago it was c. 50,000 ozs from the two with a further 50000 ozs from Salinbas by 2027 I believe. As it has taken so long to bring Tavsan into production, Kiziltepe is being run down and will now rely on ore being trucked in. So the numbers will never be achieved, but perhaps it is all just spread out over a longer period.
But even though we have given away half of these core, cash generating tangible assets to the JV (for no benefit in our Mkt Cap over nearly 5 years - in fact we've gone backwards) we now want apparently to give even more away to Rockover and its shareholders, who are perhaps looking for an out. The Director's are retirement age and it has been suggested by Kavango that Dowke is technically demanding and costly, so they need a fairy godmother. Apparently it is under deep Kalahari sand and this may be one of the reason it hasn't been developed todate. Perhaps we will learn more tomorrow.
But on top of all that, we have talk of needing finance (how much and from where?) and or existing partners joining the pot. Does anyone consider the AAU shareholders and potential depletion of our assets, or are we expected to forego our promised dividends for a capital return in 3 but more likely 5 years? And during that period I believe Zimbabwe has an election. Would Ariana shareholders choose to invest in Zimbabwe if they were starting from a clean piece of paper?
It seems to me that Kerim has a great deal to do tomorrow morning to convince us this isn't riddled with red flags.
I would be interested to hear what Panmure Gordon make of it. Has the Co. had outside Independent Financial Consultants helping them ensure this is a fair deal. If they had done so with the Ozaltin JV deal perhaps we wouldn't have seen such a poor outcome. So I hear to be convinced, but Zimbabwe is a no no for me.
I am in agreement about divis. There is East Turkey to develop with the JV funds and Dokwe to develop as well. AAU will be 100% owner there so no sharing the costs. Unless of course there is a JV in Zimbabwe with someone well funded. And I sincerely hope that someone is not Ozaltin who as far as I am concerned gave very little cash for their huge interest in AAUs Turkish interest and haven't 'enabled' or delivered anything - in Africa they cant even try to put a value on political influence which many seem to think was the reason for them being chosen in Turkey. Beginning to this Ozaltin are effectively the Turkish mafia.
There's not been too many RNS's that have gone down well John. I'm not sure the Q & A tomorrow will give us any answers either, as they usually end up with us scratching our heads at their answers. I'm still not particularly happy at getting involved in Zimbabwe, but it looks like Kerim wants some of the action there. I want to know whats happening in Turkey and Cyprus and whats he going to do to get the SP moving upwards as you can forget any dividends now for a few years.