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Chri5p you were totally correct Mining Application done
Funny you cnt buy a single share this morning
Unlucky those people that sold lst week aswell 100,000 sell must have hurt
Market makers need to let this go they have been burnt and now trying to get in. They know toral will mine
MM
They dropped the SP twice last week on no sales because they knew they would have to raise it this week. Thats them trying to make a market.
the problem here is as its always been. People are in the dark. No one really understands how this Denarius deal effects the SP especially as the % of toral owned reduces. Remember you hold shares in EUZ not toral, others own shares in Denarious not Toral. As the value of toral rises how does that effect the SP proportionately in EUZ and how do you calculate that value as there % ownership drops. Long term holders might understand how that works but to a researcher looking in its not obvious. Suppose the value of Toral drops not because its a Toral problem but because denarius has problems and they own Toral, how does that effect the EUZ holdings. Its not obvious how you value EUZ unless they put their 20% Toral on the market and test the water
The other point is despite the promise of funding to the tune of £ millions the SP has continued to fall so its pretty clear the above posed questions are having a real impact on the SP and that is down to our old friend PR :-)
Correct we own shares in EUZ
However denarius haven’t bought into the UK they bought into Europa Metals Iberia
Therefore what is 20% of Iberia worth to Europa Metals
If the video is true from myles and they are trying to get Denarius to spend $4 million next year in drilling what will the resource be worth expanded and with the mining license?
https://www.proactiveinvestors.co.uk/companies/news/1030601/europa-metals-achieves-milestone-with-formal-licence-application-for-toral-mine-in-spain-1030601.html
Fact Check.
EUZ currently own 100% of Toral. Once Denarius complete the £6 million drilling program they will have the option to aquire 51% , leaving EUZ sharehilders with 49% of what at that point will be a fully proven resourse with a Pre Economic assessment.
If Denarius then go on to expand the resourse further by bringing in other mines to the estate such as Antonia the they can aquire an additional 29% . Leaving EUZ 20% of what at that stage would be a huge asset of Global proportions .
Big milestone today indeed. The group structure is incredibly simple so I don't really see the need for confusion. EUZ is the ultimate holding company which owns 100% of EMI which 100% owns Toral. Looking to the future it is for each individual investor to consider what owning 49% of Toral with a MLA, new PEA and enlarged resource will be worth and if Denarius take Option 2 what 20% of Toral will be worth with a PFS. A starting point might be considering that Bara attributed a US$156m NPV to the project in 2020 with a smaller resource, no metallurgy, unfinished geo and incomplete hydrology. It is also hardly unusual for any exploration project to have uncertain future valuations, what drilling operation can ever be certain of the grade and scale of what it is going to find? If you knew you wouldn't need to do it, obviously.
Sorry CJ hadn't seen that while typing, bit of duplication there. One thing new I think MC did let slip is that the LOM has moved from 12 to 15 years probably on the back of the last campaign.
Agreed Cjen and Shed. I also believe EMI will be applying for an exploation licence for the Anitonia area before the end of stage 1. However, this. is not a stipulation of the option 1 anymore.
Much still to do but a big step forward today. Hooray!
@shed.... 20% of "big" is big in my opinion and will do wonders for the EUZ share price.
Time to start accumulating as and when funds allow.
Good luck all.
My point is that because people cant buy shares in Iberia it will be confusing. As Cjen says at the moment EUZ holds 100% or toral but to a prospective buyer here of Toral, they will need to buy shares in EUZ that will have a diminishing ownership of Toral.
You can all throw your hands up if you want but this is the news most have been waiting for and it barely recovered the amount the SP was walked down in preparation for this news last week. £5k really ?
If anyone has a better reason why this is ignored by investors both corporate and private please speak up.
Possibly only because it’s only an application. But when this gets approved we will have a bigger resource as well. Im sure institutions will have their eyes and ears open for toral.
There is absolutely nothing confusing about 100% ownership of a subsidiary, nothing whatsoever. If it helps the wilfully confused (which I doubt) look at Denarius' announcements which state that their definitive agreement is with EUROPA METALS not EMI, why? Because EUZ is the ultimate holding company which owns their Spanish subsidiary. In addition this has not been ignored by investors. On the 'agreement' investors came in at a premium to the SP at 4.5p less than 12 months ago with 57% of the uptake being new blood. I'm clearly not arguing that everything is fab, the SP is dire, I really thought MC's performance today was on the wrong side of lacklustre and I hadn't anticipated more drilling before the new PEA but let's argue the odds around the facts of the situation not blatant obscurification of the 'Agreement'.
"There is absolutely nothing confusing about 100% ownership of a subsidiary"
No of course not but if your entire SP is based on that 100% ownership and its going to drop to 20% ?
Thats your opinion and as i said its fine for the long term investor who has evolved with the deal and company but as you say the last notable investors were nearly a year ago and they are over 50% down.
I don't think its helpful to dismiss others, just putting it out there" suggestions unless you can come up with something better.
I would go as far as to say that daily/weekly volumes have collapsed "since" the Denarius deal which again, given the progress on the deal and the ever improving assay results and finance , points to the Ave PI just not really understanding the situation.
Of course if you have abetter idea ?
My view was there was going to be much more drilling to improve the resource area with attaining an exploration licence for Antonia. I was thinking that the PEA would be as much as a funding exercise for Denarius to complete Option 2. If the PEA comes out as expected or better then Option 2 is a done deal and Denarius will want and be able to fund the next stage.