Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Just thinking this over again summarising in my head
So prior to funding trading circa 5p
With funding was 10.50p
And imo was increasing as , lift in Dec now Jan X million to LEK , OPL 310 spud H2, OPL310 opportunity 232mmboe p50’for LEK which is Lek 17% at $64 per barrel.
The 13m we paid Afren 22% to be worked in an agreement to the farm in partner for 310 agreed with Optimum.
The JV at OML11 with the significant increase in production to be announced and now asset management news just released which is positive and a step forward although small for control and optimisation.
OPL325 potential is huge
150M worth of assets
Two new non execs of reasonable quality
And the share price is 3p
on the basis of a monumental fook up at this moment in time exposure is 600k, confidence and no funding currently, whether planned sabotage or not , 2 BOD leaving so fast at time maybe a coincidence.
Currently trying to reach 3.3p hmmm
LEK have options ... interesting this .....
Good luck all
Moving up nicely
not a bad assessment, the company is not in a great place right now..but can the next RNS be worse than the last one...yes they could do a placing but what good would that do at current prices...next RNS is either:
1. temporary finance arranged for OPL 310 until permanent funding partner found
2. Farm in partner found
3. No funding sale of OPL 310 for XXX currently on the books at 117 million dollars
Depending on what move they make a take over could also pop up...
Not forgetting the OML 11 production asset which is due an update on the MOU finalization!
"confidence comes back" ..... confidence is shot in LEK atm. Only traders and gamblers will put money in here without knowing what is next for LEK. Investors are either spiked or will stay well clear until more is known about the path forward.
DD required with LEK
and in reality given we need an answer before Feb we will have the answer to the funding issues before the confidence comes back, hopefully the outcome of that also brings the confidence
Taff your wrong the mcap was double what it is now before Xmas, that was weeks before the news. The SP was 5 to 6p. The lack of confidence took it to 3p. When confidence is restored should hit at least 6 p
No actually share price was bouncing between 4.3-6p(ish) for several months before the unexpected scam news.
Was positive on developments at Otakikpo before then, They were slow in getting on but financing with Chartered was flagged and believed so some confidence was building at that level.
Shame about the 310 scam really likely be trending c.6-7p by now.
I think taff sold out at a loss. Its only fair
Well he's not even right in that regard considering the current assets are worth more than the current MCAP
While you are right TaffEvans, that simply means another deal even if it's a scam lol (hope not) will add a lot to the cap. meaning there's money to be made and that's why we are all here. Simple.
New Knob still lurking then, can't leave it love the desperation lol.
The next RNS may not be to everyone's liking ....
DD required with LEK imo
So much attention on this there must be huge pressure to release an update. Investigators will want to get everything spot on and will be talking to lawyers and law enforcement. Should be a solid update to calm investors concerns.
Post scam price lol. 600k scam wiped off 40m off mcap.
Couldnt make it up
Apart from a placing which most people seem to agree would be pointless and at this late in the game not going to happen considering the MCAP, what could potentially go wrong and make the SP drop further? Either funding sorted (even on somewhat worse terms but the potential of refinancing later on) or asset sale should see the SP hit 8p+ at least surely. I honestly think we just got the worse news possible, hit the bottom and can only go up from here
Takeover would be looking for a bargain, but I don’t see large shareholders selling for less than 15p. If this was in PIs hands I think it would have already happened.
Current NAV risked is 142 Million pounds less debt is about 23p per share...just based on their current assets. That does not include the full carrying value of OPL310 to date.
Basically they are worth about 23p to 26p so will they be taken over at a discount to this value i.e 14p -18p or a premium i.e 28p...all speculation until an RNS is issued. They do have assets that others want that is obvious from the history of this company, how much are other prepared to pay for it?
OMITC,
Could you break down one of the calculations. Still quite new would like to see how you arrived at 14p per share for example
Vultures are circling, if LEK salvage the finance/ Farm in partner then great we move forward if they sell OPL 310 that could also be good depending on the price they get.. or third option they get taken over... targets prices are interesting:
75 million = 14p
100 million = 18.5p
150 Million = 28p
How do the vultures value LEKs assets...will be very interesting few weeks ahead..expect some movement in share price soon...as the market always gets to know before the PI does.