The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma 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.
Karakubis is an interesting one, originally third on KAV's KCB target list but KAV's new KCB guru prioritised over the others which were significantly more advanced. Then KAV adds neighbouring licences & drill results from ENRG which I've said was a great strategic move but its eaten in the second tranche of Purebond cash. KAV have committed to 4 holes for a proof of concept and if successful then KAV really ought to prioritise because its probably the most attractive to large corporates like Rio and Sandfire (or even the Chinese). A $30-50m payday is probably 18 months away but it would be transformative and fund the Zim projects.
I agree with the general timeframe. To be honest, I'm as excited by Karakubis, as I am with this Zim drilling. The latter shades it only because of the expected rise in the POG over the next quarter, which makes a project like Zim all the more timely and exciting, and any early gold strikes will be much better received than say if it was this time last year, for example. All imo and dyor
KAV are keeping the campaign low key at the moment, give it 4-6 weeks to see what the mood music/body language is. Drilling will continue to mid Dec, break for Christmas and resume mid Jan. I see Jan/Feb as key months with news on Hillside & Karakubis to move the share price. Can see the share price in range 0.8-1.1p over next month.
Is KAV starting to stir and catch this gold rush? Latest tweet from BT (copied below) suggests some positive gold news could land here fairly quickly. Last few trading sessions to get in here in the 0.7s me thinks. All imo and dyor
"We’re underway at Hillside. Our #gold exploration strategy in Zimbabwe is simple
We are looking to explore projects that have multiple high-grade gold zones & untested potential for bulk-minable deposits. The “secret” is the material between each zone. If that has enough grade…"
Updated broker's note contains the following:
"With net proceeds of £5.9m at its disposal, Kavango Resources is now probably one of the most well financed micro-cap exploration companies listed in London."
"Since the middle of July this year, the shares have traded below the 1.0p placing price and continue this pattern today after the issue of second-tranche shares, with a discount of around 25%, at a bid-offer quote of 0.70p-0.75p. Pricing anomalies such as this do not last for long. We therefore recommend investors take advantage of this short-term buying opportunity to invest in a well-funded exploration company that now has the financial resources to advance its projects in both Botswana and Zimbabwe. Moreover, the prospect of near-term revenue generation from the gold tailings Nara interest provides an extra dimension to the situation."
And it's good to see the decent buys coming in now in the 0.7s. Hopefully there will be decent early results coming out of this Zim gold drilling. GLA
I'm in. If (when) KAV makes a discovery, this will fly. They appear to have their ducks in a row, and have very strong financial support.
if the reason purebond is buying a significant to controlling interest in kavango is because of zimb drilling, then yes this share is heading to the drain. their money is being used to buy the licences next door in botswana, presumably due to dave catterall interpretations.
i have absolutely no doubt there is lots and lots of gold lying around in zinb at shallow depth etc. and easily enough (although somewhat inefficiently) recovered. but if anyone like a kavango resources found a bucket load of precious metal of any description in zimb, rest assured then your troubles are only just beginning. they would come after your licences, your unpaid tax, your not employing enough local labour content, basically any old *******s excuse they could dream up just to sabotage / take away your business.
i have stopped counting the number of times africa countries and projects do this to exploration companies who simply do not have the balance sheet to fight back, stay the course and win their case. t i a - for a reason.
Purebond are not stupid. This is the perfect time to be backing KAV's gold ambitions in Zim. This is not wild cat drilling, but drilling deeper into projects that are known to have gold already, with historical mining of that gold, but completely under explored and little to no drilling. KAV believes the projects have the potential to host bulk mineable gold deposits and are looking to prove up the size of the resource in each project area. The ambition is move quickly from explorer to producer. If any of these Zim projects comes off in the way they hope, it will be massive for them.
Purebond will see the size of the prize on offer here, even before you get to the KCB. Just needs a positive RNS update from Zim (and I also don't think it will take anywhere near 3 months to get lab results back). Load up time remains at these low levels.
Better tell Purebond...
It looks like the company is being drained of its value imo through hiring highly paid directors and technical employees bit by bit until the money is finished.as for drilling they just drill any where to keep share holder speculating and happy.
Yes and XRF analysis could be done immediately and would be enough to make a decision on the option. They wouldn't be dependent on assay results.
Et another negative post JP2000😴. Have you ever heard of extending option periods? Happens all the time and why would the vendor not agree to it given that they can see the progress being made by KAV.
This time last year KAV were drilling PL082, it should have been a slam dunk discovery but the geophys turned out to be fiction (Hillary's firm) and the drilling campaign itself was disastrous, defo Mindea reserve team. Turney tries to bluff his way out but its clear to anyone its gone badly wrong. The spineless Board should have given Turney the boot. Peter Wynter Bee joins the Board partly to mentor Turney because he doesn't have the energy to run KAV himself. Turney (the self professed communications expert, yes really!) is basically told to tone it down and not give so much information away to the market hence KAV has said nothing of value to either the market or potential competitors. BT wants a better share price but there's nothing for speculators to latch onto. 60% of the fund raise has gone into overheads and licence acquisitions meaning less & slower drilling campaigns.
The elephant in the room is KAV has 6 weeks of drilling left before the Christmas shut down and assays take 1-3 months. The call option expires end of Jan & its unclear how KAV completes meaningful due diligence before handing over $500,000.
I don't see the share price changing until KAV produces solid results, if they can find 300-500koz @5g/tAu near surface then LTHs might get their money back.
Well, it can be binary. Depends on the project. Or you find certain widths at certain grades at certain depths, and you have to assess what to explore next, whether it's economic to develop, and so on. Often, the actual numbers from a drill campaign are very important and complex to interpret.
Why do they need to confirm anything ,
They clearly are progressing otherwise the votes would nto have passed,rig would not have been sent , also the cash due agreed would not have come in ..
Really? They flag that they have a drill program ahead. And when they start, they need to confirm they are doing what they said they were going to do all along.
In case you forgot, drilling is a binary outcome - either you find what you hoped was there. Or you dont !
Thought it would have been worthy of a RNS? Let's hope they get some early success!
Drilling has commenced, twitter.
Website updated
No one
KAV after the share subscription will have a equity value of £10 million which is high compared with other companies in the area considering they have no proven drills and no partners. The only thing is does their big investor know something that know one else does which I doubt it. I suspect they are taking a massive punt in a desirable area. There are far better companies in this space who are getting the drills done, who are valued less than £10 million and already have a partner, JORCs or both. If it was not for the PUREBOND madness this SP would be below 0.2p and it might get their in the first half of next year when the money will mostly be gone. However, they might at last get a decent drill off but even then it would have to an amazing one for the SP to be worth 0.8p
I was hoping for a bit more than 1200m of drilling but I guess its proof of concept first, then start a bidding war between Rio & Sandfire.
Re KCB:
"KCB ongoing work programme to 2024
The Company has initiated a focussed data review on the Karakubis licences, which it considers to be a high priority
target. This work, let by consultant David Catterall is ongoing and includes integration of previous AEM and CSAMT
data sets, aimed at generating areas for further follow-up.
In-depth geological mapping and a detailed soil sampling program are also being carried out.
Follow up is expected to consist of Induced Polarisation (IP) geophysical surveys, and then a program of drilling to test
the highest ranked targets. Presently an indicative 1,200m of diamond core drilling has been allocated for this, at an
estimated cost of $360,000.
A budget of $485,000 has been assumed. If results of the geophysics result in a large number of high-quality targets
then this may be expanded, utilising the discretionary budget available on a results basis.
These figures are indicative and are subject to change based on exploration results and actual contractor costs"
Yes, looks like we might be on the runway for lift off here now, despite the attempted de-ramping on here. Now that he has the money, I expect BT to go into full ramp mode with the comms as well. Already started on twitter. Exciting 6 months coming up for sure imo and GLA.
It's good to see price picking up here.
Personally, I want to see Ben (and maybe Dave Catterall) explain why the next drilling campaign at Karakubis could improve on the results from the last attempt. I want to know what the geological hypothersis is.
We need to move away from saying something us a million siemens and that has to mean massive sulphides because anyone with half a brain could see what was coming.
We need management to wise up and tell a story investors can get on board with because they will need to.
In corporate terms, whilst we can be sore about the Purebond terms it does set a stall out. They either do well and so do investors who averaged down or they don't and they end up throwing their good money after bad, which is obviously up to them.
As a LTH, I'm not too concerned about the current low SP. Most of AIM has been hammered.
However, where I do have some concern, is the track record so far. History often teaches us important lessons regarding the present and future.
I urge all new investors to carry out your own research, don't rely on anonymous posts on a forum. These are often written with an agenda.