The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust 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.
Good morning all
The future prospects for EUA and its shareholders are immense!
The company took the decision after being approached, to issue some more shares, (Private Placing) worth about US$15m to EUA, at a time where the company did not actually need the money, but, felt it prudent to do so, and to add to the company coffers for the upcoming Joint Venture!
The company had circa US$20m and no debt, subsequently, after the placing, the company will have US$35 in its coffers!
The Placee, actually wanted to purchase MORE stock in EUA, but EUA refused, wanting to keep dilution to a minimum!
This money EUA now has at its disposal for the Joint Venture COULD be used to buy out Rosgeos 25%, to enable EUA to have 100%, of the new NINE more mines in the J/V.
The company thought that the new J/V COULD be worth 104m oz, but if it found that it could be able to produce MORE, might be worth grabbing the remaining 25% if it could!
So EUA doesn't need the money for the day to day running, but, when this golden opportunity turned up, felt inclined to go for it!
EVERYTHING, the company has done recently has INCREASED shareholder value!
Don't just take a pessimistic view of the small in the scheme of things share dilution!
Look at the bigger picture, this cake is now massive, and your share of the cake has subsequently grown!
The company would not wipe £m off its value by issuing some extra shares if there was NO reason for it!
They told you that in a previous RNS, only accretive deals would be the reason for the issue of MORE shares!
It is all spelt out there for you in the past RNSs!
The longs see this company is going places, those of a get rich quick nature may have a small wait on their hands!
Things are moving along at a great pace now with the three wash plants and electric shovels, so let the company get on with the day job, and the sale will naturally follow!
You INVESTED in this company to do very well, and it will, I can assure you!
Those looking at the latest RNS will have noticed how very upbeat it sounded, and that only a very specific amount of cash was required towards the J/V?
Also from the companies report!
The successful signing of the Rosgeo joint venture in which Eurasia will gain a 75% equity stake in nine PGM and battery metals assets (four of which are post Russian Feasibility Study with state-approved reserves) with a total of 104.6Moz of Platinum equivalent!
So 4 out of the 9 NEW mines we know about, amount to 104.6Moz!
Leaving another FIVE mines that we DON'T know about!
Now, we know nothing is so simple as to just say if four mines produce 104moz, then nine might produce 234moz!
But you never know :-)
We do not know what the BOD have seen that have made them go for it, one day soon we will :-)
I found a video, their Septic Lil looks amazing, too much grog!
https://www.youtube.com/watch?v=OG0AvwM_QAI
Cheers.
Good morning Ian, I hope you are correct with the following statement;
“So 4 out of the 9 NEW mines we know about, amount to 104.6Moz!”
I was of the understanding that the 104.6Moz was for all 9 Rosgeo JV mines.
As announced via RNS of 26 March 2021, Eurasia signed a binding agreement to create a joint venture with Rosgeo in which Eurasia will own a 75% equity stake in nine PGM and battery metals assets (four of which are post Russian Feasibility Study with state approved reserves) with a total of 104.6Moz of Platinum equivalent Russian Code reserves and resources in the immediate vicinity of the Company's Monchetundra Project in the Kola Peninsula
Morning, Ian.
You're slipping, old son:-
You've missed an exclamation mark off the 5th paragraph.
Tee hee....
Morning Del,
Taken from the company's own site.
"¦ Successful signing of Rosgeo joint venture
in which Eurasia will gain a 75% equity stake
in nine PGM and battery metals assets (four
of which are post Russian Feasibility Study
with state approved reserves) with a total
of 104.6Moz of Platinum equivalent (“Pt
eq”) Russian Code reserves and resources
in the immediate vicinity of the Company’s
Monchetundra Project on Kola (announced
on 26 March 2021)"
I read that statement to be the 4 of which are post Russian Feasibility Study
with state-approved reserves with a total of 104moz, they can't know about the other FIVE as yet as NO Russian Feasibility study has yet been signed off?
At least that is my understanding, happy to be corrected :-)
Download the PDF, under operational highlights, https://www.eurasiamining.co.uk/investors/financial-reports
See what you think, cheers.
Just to add a bit.
From the March 26 RNS:-
"The Additional Assets have a total of 104.6 Moz Platinum equivalent resources as at 31.12.2020 (source: Russian Feasibility Study ("FS"), TsNIGRI, Russian State Cadastre of Mines) according to the Russian standards and are comprised of:
· Four palladium, platinum, copper, nickel and cobalt open pit deposits, upon which Russian FS completed and reserves (according to the Russian standards) approved by the Russian State Committee of Reserves (GKZ).
Each of the four open pit deposits, which are located directly adjacent to Monchetundra, have already been studied by Eurasia with block modelling and open pits' optimisations performed by the Company. According to the due diligence done by Eurasia, the ores are suitable for toll treatment over distances of 5 to 8km with beneficiation and mineral processing at the proposed plant site between the Company's open pit deposits at Loipishnune and West Nittis.
( AND )
· A further five mostly open pit palladium, platinum, copper, nickel and cobalt assets are included in the JV, where Eurasia has carried out due diligence including c.20km of exploration drilling and some 12 thousand samples taken by Eurasia.
Eurasia will be the operator of the JV and, if it chooses to do so, will develop the Additional Assets by implementing an EPCF (Engineering, Procurement, Commissioning and Financing) structure similar to that signed with Sinosteel for the Monchetundra open pit mines.
In total Eurasia has already invested some US$8.3 million across the Additional Assets."
So I read that as 104moz for the first four mines that have undergone the Russian feasibility study, and, an as yet unknown amount for the remaining FIVE, although EUA has done some research on those mines!
Morning Ian,all.
Well done for putting me down for the RNS on our wedding anniversary, I cannot claim any credit for that.
Just sitting in the sun in Kos, reading through tne RNS.
And the more I read them the more confident I am that this is finally coming to a mega conclusion in the next couple of weeks...
Gla....
Portsmouth 1
Where abouts are you in kos , presently sat soaking up the sun in kardamena and shall take a moderate drink this evening in the aptly named Galleon
I’ve spend a few sundays here getting excited. Hope this next week is the start of the real EUA. The one we mostly of of us then believe is worth £1-3 per share.
Fingers crossed. I’ll be packing boxes for the house move.
We are in Tigaki, staying round the pool today, we all have mega hangovers at the moment, I'm of the booze today as picking a up hire car tomorrow morning....
Hope the big one lands tomorrow morning so you can extend your stay!!
Gla...
1sttimelucky
The post was Ian not Tilly but agree it brings all the points up
Portsmouth 1
If it does i suggest meeting in kos town and hire on of the Pirate Ships for mega booze cruise
Definitely, we will drink it dry!!!!!
1sttime
I know how you feel i was out for a meal last night I only had a few beers but not great this morning,
I will have more than a few later today watching the football, back to work tomorrow so can handle that with a hangover:-)
Ian; many thanks. I much prefer your interpretation to mine lol EUA just keeps getting better, really looking forward to getting more news from the BOD “shortly”.
@Ian….. “ This money EUA now has at its disposal for the Joint Venture COULD be used to buy out Rosgeos 25%, to enable EUA to have 100%, of the new NINE more mines in the J/V.”
Not in my opinion the 25% is where Rosgeo will make their money and we won’t be getting it all now.
Don't even see the placing as a dilution.
Yes my total minimal % shareholding is now lower but money did not go out the window to meet dents that could not be paid or piles of remuneration for board. This is to be used to acquire a venture that has more resource than originally thought. This is only positive
And if I want to bring my % holding up to where it was, can just top up at a price lower than ii paid for (26p)
Hi Ian,
My understanding is that the fact that something is added in brackets means it's an aside to what the main sentence is saying and you can read the sentence by ignoring what is in the brackets which makes it clearer.
"Successful signing of Rosgeo JV in which Eurasia will gain 75% equity stake in 9 PGM and battery metal assets with a total of 104.6 Moz of Pt eq."
If it was written as follows with the brackets continuing further then it would be as you suggest.
"Successful signing of Rosgeo JV in which Eurasia will gain 75% equity stake in 9 PGM and battery metal assets (four of which are post Russian feasibility study with state approved reserves with a total of 104.6Moz of Pt eq)."
However the bit within the brackets which relates to 4 of the areas doesn't extend to cover the 104.6Moz part. It is there to say 4 of the 9 areas are at a more advanced stage than the other 5 areas.
The 104.6Moz will be mainly inferred resources so a long way from anyone being able to say that much actually exists or, if it did, that it would be economical to mine.
Isomer
It was 36p per Billion until the recent raise, I believe that now equates to 34.56p
Happy to be corrected.
Hope this helps.
ATB
Sandy
Rosgeo will not likely sell out. They have the resources which some are worth billions and nobody in their right mind gives that away for nothing
Rosgeo likely see that EUA has a better chance to develop these assets and raise institutional financing to get there. The 25% is their golden egg which they will realise some years in the future
Per billion you are probably correct, I have not bothered to do the maths
Main issue is if this dilution helpos to develop a few more billion????
The end return is not just the dividend per billion but what is the future value of assets retained
Just to add another bit :-)
From the 26 march RNS:-
"The Rosgeo Agreement provides that Eurasia acquires 75% equity stakes in each of the Additional Assets and Rosgeo will retain 25% equity stakes in the Additional Assets (being those companies holding relevant licenses for palladium, platinum, copper, nickel and cobalt projects outlined above). Eurasia also has a call option to acquire 25% from Rosgeo after completion of the reserves audit under the JORC Code. Any engagement with Rosgeo as a contractor in relation to the Additional Assets will be on an arm's length basis."
Please read this part again!
" Eurasia also has a call option to acquire 25% from Rosgeo after completion of the reserves audit under the JORC Code"
:-)
my understanding from previous rns suggest that the choice is up to EUA to buy the 25% extra, its not up to Rosgeo if they want to sell it or not, its in the JV agreement
EUA call the shots on the JV.
The JORC relating to the Rosgeo JV will be released "Shortly" . Looks like Eurasia are going to take the 100% option and package it up for the big sale.
GLA Sharegar.
Mar 26 2021 RNS
"The Rosgeo Agreement provides that Eurasia acquires 75% equity stakes in each of the Additional Assets and Rosgeo will retain 25% equity stakes in the Additional Assets (being those companies holding relevant licenses for palladium, platinum, copper, nickel and cobalt projects outlined above). Eurasia also has a call option to acquire 25% from Rosgeo after completion of the reserves audit under the JORC Code. Any engagement with Rosgeo as a contractor in relation to the Additional Assets will be on an arm's length basis."
Exactly 100% is being acquired hence completion of JORC.
Just need to read the previous RNS’s !