Cobus Loots, CEO of Pan African Resources, on delivering sector-leading returns for shareholders. Watch the video here.
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I did say chaps.
5s is about right I think?
GLA
Apologies, wrong board. Not relevant for here
Gingy,
With most shares, the answer to 'What's not to like about this company' may well depend on your entry point.
Not lost all faith, but plenty to be done here and the mgmt need to start delivering to turn the tide of negative sentiment that has been weighing this down for far too long.
Good luck
It looks like the moral of the story is "load up and hold." What's not to like about this company? They don't come round like this very often. Have a good weekend all.
Pawgee
Agreed. I think the funding required will be mainly by debt too, with the possibility of plant finance (leasing) and an offtake agreement to add into the picture. All existing shareholders, particularly major shareholders are not going to want to see any dilution of their value and (probably ) their voting rights so will be pushing for a pre-emption situation if there is any extra equity issued. So perhaps better to be in than out now.
Given major shareholders came in at 18 p per share, and since that March 2022 fund raise, the 2024 PEA has shown a significant increase in NBV over the 2017 PEA, together with encouraging results which are likely to push the NBV much higher, the value/share is arguably higher than it was for the 18p a share raise. Hence the comments in the presentation about VBR being very supportive.
Hi Gingy. I’d be surprised if the major shareholders would want to dilute their shareholding. Looks like the PEA assumes funding will be via debt & will be paid back after only 3 years.
Hi pawgee, all looking good. My only concern is that to get the processing plant up and running, is there going to be a share dilution?
Gingy - Given the extensive mining industry contacts of the largest shareholder (Sir Mick Davis - VBR) its almost certain that the potential of CUSN is known within the industry heavyweights, there is a good chance things would move that way. I'd expect Sir Mick would want at least x4, what he paid (18p).
In some respects, I'm not surprised the share price hasn't moved much since the PEA, as it only processed mainly existing information (old mineral resource estimate x £31k/t SN price x process cost, etc) , to arrive at not too dissimilar conclusions to recently published broker reports.
We now know getting the mine operational is economically viable, which should result in a positive investment decision to build the process plant, etc. What will really light the blue touch paper on the share price, is a hugely increased mineral resource estimate......imho.
What's stopping one of the big outfits making a takeover offer for us now they have a good idea what's in the ground. I? that possible or am I barking up the wrong tree?
Thank you for your reply Valuation-it-is. Do you have any idea when we will get the results back from the tests? Many thanks.
Gingy
Not sure it will be the next thing, but I am expecting more results from the assay tests, which may indicate the existence of more tin for future mining. If so, mine life may be extended and the NBV augmented.
Morning all. Now the PEA has been successfully completed, and de-watering ongoing, what is the next milestone to take place?
I think where it’s come from a sell off was very likely but as the short term holders move on and people see the real value there’s more to come here
All the positive news and up 1p, that's mad! I'm glad it wasn't bad news, but I was hoping for a better reaction to be honest. Hey ho....
The PEA NBV is $201m at a tin price of $31k. With a significant contingency already deducted.
That PEA NPV is worth £30m chaps - not sure where the other £30m of value is here?
I believe the real value here will be seen in the potential add on in further mining opportunities
£84000 bought approx.
£37000 sold approx.
The PEA is not a total buy fest as the traders take profits already
When the US markets open I think from 11.30...there will be another drag up today and possible tomorrow, but we all know what happens on Fridays.
Profit taking so dont sweat the small stuff. Just buy and hold.
Gingy, i feel many private investors have been burned in the "green energy" sector due to lack of UK & EU involvement to push the sector.
There have been negative headlines regarding Cornish Lithium - i am extremely positive but funding is difficult for many just right now.
My main thought on the lower rise is there is still how long to actual production and within those 3 years a hell a lot of global stuff going on.
With 3 years + to go its only the real long term investor who will be happy today.
Those short term chancers and players of the market will have bought at 7-9p and be using the old advise " sell on the news". They will have made good money in an hour.
Its all about 3 years time and actual production for me which will happen and the sp will show this accordingly.
Its simple really. Lots of news over 3 years. Literally tonnes of upside but to max your investment its 3 years for proper profit.
Well that didn't go down like I was expecting. Not much of a impact was there? Something negative in the RNS that I missed??