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Maybe that’s what the 8th of may is for ?!
@cryptochump - believe the Board only have to update us on the sale of WK stockpile at the next update, which at this point looks like it’s going to be the annual report. No requirement for them to tell us immediately.
@pwlx; am I missing something here, if this got voted through what’s to stop the current BOD deciding on very minimal continued development and carrying on as they are? “the beauty of the resolution is it’s left open to the company to decide what ‘continued development’ entails”.
The current BOD is full of people from a sales background (supposedly) so who’d be suitable to develop MT? Imo we’re missing the main issues here that the BOD are abysmal at communicating, can't sell anything and are totally out of their depth. We should be requesting a no confidence in the BOD vote, anything else is just a waste of time.
Morning just catching up on threads
Interesting proposition for a motion - I'd certainly like to find out if we are mining or not before the AGM! We can't know what the hell to do otherwise
And Del is right we don't have James Neuwenhuys on board anymore
If good news is coming may 8th why hasn’t there been an increase in sp, buying volume?
They can't announce anything on 8th May which could impact the share price without RNSing it beforehand.
Unbelievable…how can this be stated with a straight face?
‘Mining at WK can generate significant revenue, millions of pounds per year. Exploration in Russia is cheap. That revenue could keep WK running nicely and upgrade reserves at MT too. ‘
Why don't every give pwlx some credit, rather then just posting negative crap. He is trying to get something done. Don't rubbish him, unless you have better idea.
Dealing with a few messages in one post:
@del929 - nothing. They could choose to define continued development as just works that are required under the MT license. In which case the resolution has still done no harm and as a minimum we would be confident that work is going ahead as needed. I absolutely wouldn’t vote no confidence in the Board as this is a far more serious action. The resolution we’re hoping to get to vote on is supportive of the company and its assets. A vote of no confidence or kicking directors off the board is quite the opposite.
@del / @JamesB1 - Regarding who would do further exploration and development that’s a fair point. CS is an experienced geologist (much more than he is a salesman) or could farm this out to third parties if he wanted to, or get a new CEO on board. There’s also the local Russian staff - the country manager, etc who could be involved in this.
@Wolfe - no guarantee of good news on the 8th May, it’s purely an unusual time for KK to hold an EGM which gives some hope it might be something positive. Either way, no harm in getting this resolution on the agenda in the meantime.
Fair comment.
The only full time director we have is CS, if we put a vote of no confidence in him then who replaces our sole full time director? CS’s interests should be aligned with ours due to his shareholding which I’m sure he would like to monetise before retiring so as frustrating as it is, I think we need to be careful what we vote on.
The problem is I’m not sure CS motivations are in line with the best interests of the company.
By pursuing a sale and nothing else, he’s missed out on several years of exploration and development at MT. He wants to retire with a lump sum, but if a sale is not forthcoming then what’s Plan B for the company? At the moment there isn’t one, we’re just sat here wasting time.
My view is that there’s absolutely no reason why further upgrade to the reserves and resources at MT cannot continue whilst sale negotiations are ongoing, which is why we want to be able to vote on this resolution.
Unsurprisingly, figures from pwlx to support his claim.
EUA is (well, was) a story stock - but the fundamentals have never stacked up.
A more interesting resolution that we will likely vote on will be the ability to issue shares to new investors without offering to shareholders first.
I believe this resolution wasn't passed last time.
LOl, soz, of course, meant, “NO figures from pwlx to support his claim”.
Soz! - laters, all.
@SteJ - we will most likely get to vote on that, assuming the board put the motion forward yes. It wasn’t passed last time and suspect it won’t be passed this time either.
@SpikeyJ - Of course there aren’t figures for production increase yet as there hasn’t been a full season of mining since the e-dragline was commissioned.
But it doesn’t take a genius to work out that big digger = more metal…
'My view is that there’s absolutely no reason why further upgrade to the reserves and resources at MT cannot continue whilst sale negotiations are ongoing'
What sort of financing/money would be required in order to further upgrade resources as the company have already confirmed a DFS which thet state improved the previous analysis and F/S? And where would this financing be sourced (assuming you are thinking from sales generated via WK, which the company has yet to confirm)?
Also in the current geo political climate how do you envisage further work to potentially upgrade the resource(s) to be a worth while business decision given the potential ramifications regards to potential current and future sanctions in the region and impact to potential sale which one would sensibly estimate not to be sold at prime (pre war) value previously estimated?
Spikey wouldn't know that, he can barely comprehend 2+2 and still gets 5. He's getting closer though.
@Beast - taking your points in order:
Exploration, drilling and labour in Russia is pretty cheap. The funds KK had at the end of 2023 would already go a long old way towards proving up the flanks or upgrading Loipishnune towards the 15moz target. And that’s before they’ve received the remainder of tax rebates or sold the remainder of the stockpile, or done any mining in 2024. Plenty of money in the company for this.
There’s work that needs to be done at MT throughout 2024 as part of the license conditions anyway, so I’d like confirmation from the company that this is going to take place to keep the license in good standing.
Re sanctions, there are no current sanctions affecting EUA, its banks, its employees or its operations. Potential sanctions that may or may not be introduced in future should be dealt with at the time. The company is permitted to continue its operations as they were in early 2022, and developing MT further was part of the pre-existing plan at that time. The money to develop it can come from pre-existing Russian operations, so no risk of sanctions breach.
Crypto
"We could drawdown the Sinosteel facility as you say but this to me appears like it’s the boards last & unwanted route to take. CS has told us he wants to retire now, I can’t see him wanting to mine in any shape or form"
Whilst the above is correct, as shareholders we should be holding the Board's feet to the fire and demanding they do something that adds value, or explain why they can't. It is not up to CS to put his feet up (Mac style), claim his salary and clock watch until retirement. There has been no tangible evidence of progress against their stated strategy for far too long, and this cushy inertia has to stop.
Their reluctance to mine MT under any circumstances also has to be explained, and sadly the non publication of the DFS only adds fuel to the view our flagship asset (as was) isn't worth mining. If it is, they should prove it.
Ultimately if our Exective Chairman (also poor for corporate governance purposes) can't oversee a sale of our mining licenses, and doesn't want to develop them, he should step down now in favour of someone else.
Pwlx, re your 10:52 …
a “big digger” presumably can indeed dig up more volume … but they are not digging up pure metal chunks, they are digging up [dirt & rock] which needs to be processed to extract metal content - & that costs money.
if the overall cost of digging up the [dirt & rock], processing it into saleable metal products, storage, distribution etc. in total costs more than EUA can ultimately sell the end product for, then digging up even more [dirt+rock] will just *increase* the size of the loss they make; they will simply end up with a really, really big waste pile (& an bigger hole to remediate), & run out of cash sooner.
(hint, there’s a reason EUA stopped mining —> it loses them money when they mine).
if the grades being dug up from a mine are just too poor to break even, then digging up more dirt with a bigger digger or even an absolutely humongously huge digger wouldn’t change that.
@spikeyj and I’m back to not responding to silly comments 👍
Hi Spikey.....nobody knows what they are digging up at the moment.
The working theory that the lumberjacks in the W.K area are filling their boots with free logs is as plausible as any other theories st the moment....the BOD need to clarify the situation