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You make an excellent point Suggins. Who best to evaluate what GCAT can do with these assets?
The potential here is truly amazing and you have to respect the pace that the BoD are moving at and critically they are on the ground and know all the local players and at the risk of repeating myself, please take note of their sustainability objectives and social responsibilities to local workforces and communities.
ATB
ATB
Experienced and informed industry professionals at Goldplat, Tyacks and Shangaza (or their respective parent companies) have all recently agreed to take consideration from Caracal in shares. They know.
Your rights Suggs the news is gonna be relentless and game changing imo
Did anybody see Jason’s tweet about the copper project and RTO?
Or Mr Twitter is busy on other projects today?
Could be the local listing update or sample analysis or plant upgrade. So much good stuff yet to come even after the monster news we’ve just had.
Quiet on the Twitter feed, normally means they’re preparing news or an RNS ;)
Nice to see a sensible polite intellectual conversation on here for a change.
Thanks both @itsyou & Suggins
Some useful insights and thoughts, much appreciated.
I'm sure the market will give us a leg up in the not too distant future. Excited to see where we are heading, great week (not by any means reflected in the share price) with more to come.
GL
Most definitely, I’m sure their plans assumed the warrant cash by now given what has been achieved. However, there is now another great buying opportunity so I suppose every cloud …
*could've
It's a shame the SP never went to a more realistic value level, so that the warrant holders couldn't exercised them at 2.5p. Those will raise £9,388,995 and wouldn't saved them needing to issue shares for the £5m of working capital. Still, those monies will come at some point.
Thank you; your numbers look very sensible.
The Broker uses a total diluted number of shares of 2,000 mn (see front sheet and again in their share price value calculation on page 11).
This just seems wrong as they have only appear to have added the loan shares and what you have identified as the Goldplat shares to our existing number.
They have also completely ignored warrants I think. I hope Caracal kept their receipt for this work.
I have not included future share considerations and the contingent number, so it's a initial number. But agree with you, it's impossible to work out a correct number with what we've been given so far.
Suggins.
The 166,903,343 shares are detailed under "6. Issue of Equity" of the RNS, part going to Goldplat, as Goldplat have subsequently decided to take the outstanding liability of $450,000 in shares instead of cash they were owned(See RTO prospectus). Clearly Goldplat see more value in shares, as apposed to cash and so have increased their holding. Part of those shares issues also went to the Rig Vendors. The rigs were bought part 50/50 cash/shares
So that brings the shares in issue to 1,615,332,001, as mentioned in the next paragraph.
From my Spreadsheet, using VSA capital's conservative 0.1275 sp for both CLN and Shares to vendors, but as I said firmer numbers would be nice to reduce the extra shares.
Shares now 1,615,332,001
Mgmt incentives 300,000,000
Warrants 375,559,807
Fully Diluted 2,290,891,808
Extra shares 570,409,982
Total 2,861,301,790
Suggins I would raise that with the man himself
robbie@kilimapesa.com
At page 2 of the broker note I think they have suggested that an additional 166,903,343 shares are required to meet the purchase consideration (under the table).
$3 million is an initial sum required in shares; at 1.3p I think this is around 174,733,846 shares. So this is nonsense straight away, and there is still an additional contingent consideration of $5.25 million to be a paid for in shares as well.
This to me seems a rather key factor of their estimated fair share value but I cannot make head nor tail of it. Add in the rather odd and apparently arbitrary 70:30 value methodology of the mine (resource against cash). I am not sure this updated note is of much use at all.
Suggins,
Sorry, I read it as you. Conservative price of 1.275 for CLN, unknown for the $3m.
I've done my spreadsheet, but too many variables to make it of any use.
itsyou; I have a question for you if I may.
Are you able to let me know the assumed share price which the broker, VSA, has used in assessing possible final dilution if the full purchase consideration is made ? The updated note states that when assessing the convertible loan an assumed price of 1.275p has been used but I couldn't see a similar comment for consideration shares. I suppose I could get a calculator out and try to work it out but I just thought you would probably already know the answer.
Many thanks
Maybe the use of old maps has created some apparent discrepancies with the current licence positions. What appears to be a more recent licence map on page 13 of the acquisition presentation does not accord in a number of ways with the older reused plan on the next page. I really don't think it matters though.
Very interesting, many thanks. I imagine you thought some of the maps/diagrams were rather familiar.
There's also more detail of drilling grades in the other PL's in the Manas presentation, which caracal omitted for the likes of Nyakasuma and Regdate.
Maybe they thought the audience were bored with reading wide high grade drill results by then? ;-)
Suggins,
I'm very well clued up on these licences and their history. I gave hints on 19th Oct based on Jason's visit pics! ;-) Rampers got more recommendations at the time, than my posts.
If you look at the following Manas Resources presentation, who tried to buy Nyakafuru, but failed due to known govt issues, you'll see that the Nyakafuru reefs are not part of the PL you refer to.
https://www.asx.com.au/asxpdf/20170207/pdf/43ftlsbt6g5bvp.pdf
Spinifex also had it prior to Resolute, see https://www.asx.com.au/asxpdf/20030930/pdf/3j6kq2wzhwtp2.pdf
Why Spinifex had a higher grade resource? Maybe Resolute we're doing a larger open pit? But Manas saw potential to increase grade and so do Caracal!
BTW, all share based price SP will be defined later, not today/tomorrow.
If you are a sad sort of person like me you can go to the Tanzanian ministry of mines website and there is an interactive map which shows the various new licence areas:-
https://portal.madini.go.tz/map/
One very slight issue could be that there appears to be an existing prospecting licence in place for a proportion of the purchase area (see licence PL 11583/2021 in the name of David Chiwango). This area seems to sit just south of the proposed Reefs expansion area. Page 13 of the purchase presentation shows this same area as a 'New award Licence' but under a different and perhaps worryingly older reference (Pl 14440/2019). Hopefully Tyacks have already purchased it from Mr Chiwango or otherwise have some explanation. I suppose this is only a small part of the overall area and no licence = no spend. There also appear to be a few much smaller licences within the reef expansion area which again hopefully can just be worked around or bought off.
Say what you like but Tanzanian mining licence maps are a lot more fun that watching the one show.
Extremely good ground, just like Kilimepesa.
With exploration and further acquisitions, Caracal could have group Resources mounting 3Moz+
Out of curiosity, does anybody know Hummingbirds and Shantas Reserves?, albeit their current output is much higher
Voyager is one of 4 deposits at the Nyakafuru Gold Project
Previous drilling include:
? 19m at 16.69g/t
? 12m at 9.1g/t
? 3m at 59.72g/t
? 20m at 10.29g/t
? 14m at 4.71g/t
? 46m at 3.3g/t
? 25m at 3.41g/t
? 20m at 3.25g/t
? 4m at 17.03g/t