We would love to hear your thoughts about our site and services, please take our survey 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.
Accidental long term holder...
Lack of excitement as funding yet to be confirmed. All we have at the moment is a non binding term sheet. Should funding materialise then I would hope we can Reach circa pre 2023 interims levels.
What does everyone think of the price given the lack of excitement over funding? Given the ATH, are we expecting this to rally from where it currently sits.
You should know lessee you are one.
theo the company has three executive directors pa, ceo tim george and cfo rob ****** and four none exec directors. i assume that you are referring to the exec directors spending company money on business class air fares to visit family and friends? care to share the details?
MAA86 - an assertive first ever post. Welcome aboard. What's your interest in Pensana? You a shareholder?
Theo i share your frustration over the financing and the corresponding delays in the project development but given the tight financial situation the Company finds it self in i am alarmed by your understanding that "The directors are having a ball, lots of nice business class trips to see family and friends, all serious business of course,"
Can you elaborate on this? Which Directors and which trips are you referring to?
Have a break lads. It's a bank holiday weekend. Come back on Tuesday.
Tuesday will be the anniversary of the company’s declaration that financing was at an advanced stage. More recently we had the cryptic non-binding term sheet, all interspersed with the usual guff, amazing results from Coola, some garbage about infrastructure, anything to kick the can down the road. So is there an informed market? Does anyone really have even the faintest clue about what is going on with the financing. At some point very soon the company has to come clean, admit that talks have broken down and new finance options are being explored. The directors are having a ball, lots of nice business class trips to see family and friends, all serious business of course, four years on the gravy train, sadly for them this is going to hit the buffers very soon. Just leaves them with Alkemy, another Atherley get rich quick stunt.
Interims from 2023, anything look familiar?
"The Longonjo earthworks and civils contractor, Grupo Nov, mobilised to site over the period. Ground clearing of the area for the main construction camp has been undertaken. The fabrication of the construction camp buildings by Bushtec at their plant in South Africa, was completed and is scheduled for delivery to site during Q2 2023. Kick-off site sessions were held with the sub-contractors appointed for site electrical reticulation (Electra) and main HT/LT sub-stations (Enerline), who completed their pre-mobilisation site inspections alongside the Pensana owners’ team. Contractors associated with the process water supply (ERM), tailings storage facilities (SRK), and waste management services (AES) have participated as part of the ongoing detailed design development workstreams."
A contrary view doesn't have to be "schadenfreude". Happy ears are a lot worse.
I suspect you are close to one or more of the managemnt team and see it on a personal base. If you're happy with your investment, great but you should always challenge them to do more and add more value for you as a shareholder. So far they have reduced shareholders value from LJ from over £1.50 to 60p. The going concern statement highlights that more will be needed from the finance perspective yet you are in denial.
Honesty would be appreciated if you are that balls deep that you can't contemplate failure. More respect for that than waffling on about rainbow on the PRE board.
Mumbles, sense at last, so would you agree the 11 mill can't be touched by plc. If so what are the consultant bills owed, and if not for LJ then where? This is what the 2 mill loan from directors is for (well yet to be confirmed as per going concern statement). Transparency would be nice on the terms of the loans also. If the loans are a gesture, why not take 2 million of shares at current sp or a slight premium . This would show genuine belief and good faith.
To be honest surprised this only dropped 1.xp. as I think the current cash position at plc level is worse considering there will be no revenue for years still even with finance and mine.
Now some will argue offtake will be front loaded, not in my opinion until they are further down the construction path
I did raise a question, "If Saltend has a processing of capacity of 40,000 MTs p.a., from which 12,500 of separated Rare earths are obtained. what happens to the balance, 27,500 MT's, does it go to landfill?"
Answer; "it ispredomnantly Gypsum for which their is a market". not a huge income but another revenue stream, inaddition to the lanthanum and Cerium. Together, they will probably pay Saltends wages, and have to be disposed of anyway.
Hi lewis, it should be clear that the 15 million "Bridging loan" is part of the fiancing structure Longonjo, belongs to Ozango limited and is not accessible to PRE. As at Dec 31, 4 million was already spent as you say, as of 27th March 7.5 million is spent. Since last years unfortunate interims. they have raised $10,000, plus received $1,500,000 of tax credits, (which i referred to as 2 million, and was questioned on my honesty previously). So $11.5 million, and had some debts to cover from that.
Other than that I agree with most of every thing you say. As far as i am aware, costs external to Longonjo are on close to a care and maintainace basis, except where PRE also has obligations to the Angolans and Longonjo, as per the existing contract all product ex Longonjo is obligated to PRE, and they are responsbile for markting the product, also some funds are need where PRE have work programs to comply with license obligations for the Coola and Sulima licenses and also to keep the Saltend part of the project warm. i woudnt think these are too high in the big picture. Obvious salaries need to be paid,
Oh please do move on Lewis. The only reason you are posting on this Board is some form of childish schadenfreude. You are trying ever so hard to gain pleasure from down ramping Pensana. You sold out. You broke even. well done. Move on.
Hogs,
The directors would have had to raise against PLC to keep pre a going concern if they had not offered 2 million for next 6-9 months.
Clearly Angola don't want the 15mill (4 already drawn) to be used outside of the Project.
This needs clarifying as it implies overheads at plc are 3-4mill a year.
It also implies contractor bills as per RNS are outside of the Project and cannot be paid for at the project level.
They need to go into "cost of living" mode and only spend what is necessary. Stop the non-LJ spending and get this Project done.
Economics today are not favourable alongside Project failures such as HZM so financiers will either say NO or want a larger risk profile piece if the pie.
As for HMG, I've said it on other boards. HmG should ring fence 1 billion and use it to secure against failure and cost overruns to ensure projects like this, rainbow, mka and so on get off the ground. All of these cos have their challenges.
The Lassonde curve is an interesting one as there have been a few false dawns and where does the peak go with a project valued at 60p, the ndpr prices in the doldrums and hzm dark cloud? Not likely a move above £2 as the traditional curve would suggest.
Decision delays and further required guarantees will make or break this project.
Tony - agree with you 100% it will ultimately come down to an international political solution/stand-off with China. Problem is, we're in no-man's land now pending the ever-looming UK and US elections, to expect any HMG intervention and support in RE supply chains.
However, PA isn't relying on HMG backing any more. If he can get Longonjo off the ground, it will be just too embarrassing for any future UK government to cold-shoulder Angola's approval, and that gives PA an opportunity to get his foot in the door on Saltend development.
My feeling is that the PRE directors have probably been pressed by the Longonjo lender consortium, to 'put more skin' in the game to demonstrate some late-stage proof of commitment. We'll soon see.
One thing is clear in this board's cross-debate between PRE versus RBW and the rest - PRE is the furthest ahead on the Lassonde curve and is on the verge of breaking through into the extraction stage, but now it's reached do-or-die time.
Failure to get Longonjo over the line will destroy PRE's already battered credibility utterly.
It does mean something for Directors to put money into the company. It has an impact in conversations they have with other stakeholders.
What is needed are mechanism to support funding sources by the western governments to secure essential commodity resources that are adversely affected by China commodity manipulation or other Governments that wish to harm Western Governments and their people. Rainbow rare earths and Pensana projects are both needed. They are on similar delivery pathways, they both rely on a western government alliance, they both rely on a climate protection agenda they both need receptive financers and governments providing support for a long term market free of Chinese interference. China supports its industries quite intensively. It may go against western government ethos to take a leaf out of the Chinese market book, but in some way that may be necessary for western governments to do.
I also wish we had more respect for people who are trying to support western rare earth projects in this area without all the cross board company interference. I have investments in both. Both companies have merits and both have a risk of going bust which says something about the risk we are all taking in trying to help secure a better future quite probably for those in a younger generations than ourselves.
Tony
The new tax year coming up so looks like it could be good timing , new tax free investment here we come -
Lewis - Yes, I agree with Lessee. You are a very clever chap and you win. Pick your medal up on the way out.
Please do move on Lewis. We get it. You sold out. You broke even. Well done.
Yes, the muppet show has continued even post anti-economics poster boy Kwasi broke ground.
There were two helmets on that picture, well 4.
You are on the wrong board sum, this isn't the telegram fan club board, this is the public forum where anyone who has listened to the BS while the SP dropped from £2 to 15p can comment.
No one has answered the question re financing the plc (lights on, salaries) beyond 6-9 months.
2 mill loan back of incentivised salaries to the company. What a great bunch they are. It suggests a burn rate of 3-4 mill a year outside of the ring fenced project. Wow!
Must have expensive bulbs or it could be the trips to Angola to see the dirt road and telegraph poles again that has cost 4mill so far.
Far too many muppets about ; unfortunately the recent fall looks completely unnecessary and we are in the same boat as we were a month ago when we were 33/4p - except we are now closer to the funding being finalised I may have to have a scratch around the sofa ….. I need to take advantage of this silly price
Lewis - you really should get out a bit more. Take a long, hard look at yourself and ask yourself, why am I commenting on a board about a company I'm not invested in, trying to antagonise complete strangers whilst hiding behind a keyboard.
You've got to admit, it's a bit f***ing odd, isn't it?