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Hi News, just wanted to thank you for your ongoing research and thought provoking posts. Both our major assets rejected funding help as you say......seems beyond odd...unless they have it already sorted somehow. One things' for sure, our sp ain't moving until the big reveal.
Look forward to your next assessment.
I end the story of REM with:
EMH - REM or KDNC [new name] had some 20% in Europe*s largest hardrock deposit.
Krupa Global Investments has $2 billion under management - they approached EMH twice but read the answer from EMH = NO and no further discussion = End of? [Latest RNS]. These days, its the soft approach but still no.
So, the record is playing for the 2nd time?
EMH*s mkt cap is also akin to BCN at £25.66m @17.5p [Fri, 1 Mar 2019]. EMH 52 week low 15.5p and high 26.5p.
Well, any wonder why the REM share price is what it is since the historic value of REM came from these two world class lithium deposits?
Not sure what happens next? TIME IS RUNNING ON. If new supplies comes on, then the demand - supply curve changes again.
All in the RNS*s of these two co*s so facts that can be checked.
Sat, 2 Mar 2019
That*s the historic story of REM.
News
"jimb2" on KDNC forum [new name for REM] posted today, Sat 2 Mar 2019 at 17:20:
"Title: A Reminder Why We Have Sunk So Low - WE SHOULD HAVE BEEN SHIPPING BY NOW."
IL
Comment:
I only posted today due to the hoo ha on Twitter REM. I decided to put things in perspective, one that deals in the sequence of the RNS of REM then.
From jimb2*s post [a old timer from REM days], his post HITS THE NAIL ON THE HEAD.
Jimb2 is aware from the time passing by, that Sonora Lithium in Mexico would have been shipping the lithium by now.
Everyone is waking up to what*s happened finally re: history of REM and the T/O then. If the timing and momentum had MOVED ON, then Sonora would be shipping by now. Sonora*s deposit is not a deep deposit requiring underground mining etc.
News, Sat 2 Mar 2019.
tomcat-14
Agree totally.
I have a few more further thoughts. There is a project called Dundas in Greenland. The mkt cap is £110.5m @13p on Fri, 1 Mar 2019. One can see that the market is prepared to attribute a £110m cap to a world class project. A few days ago, there was an RNS that the tech people let slip that it is in discussions with Rio. So, with a possible major, if they can clinch it would help. So, any world class project can obtain a decent mkt cap.
CEO*s eg Woodsmith would need to know some heavy weights. I recall that the CEO of this potash project in Yorkshire was an investment banker who had dealing with Gina, the richest woman in Australia. I dont know her ranking currently but she pays the highest taxes in Australia. Ah well, £250m from Gina [see details] is loose change.
I was aware that it was virtually impossible to obtain funds for big lithium projects via a Blooms article. However, the investors in Bacanora were not aware but dare I be the bearer of bad news?
So, it transpired when the FUNDS were not forthcoming. Now, Citi has been asked to help but to-date NOTHING yet.
There was a lot of hoo ha re: Horse Hill ie that at best only a cup of oil would be produced. The press picked up on this. However, day after day, the eyes have shown 2 full tankers leave Horse Hill for BP Hamble refinery. So, in the end even the Beb woke up. DL himself said in an interview, they came down hard on him ie regs. Well, history shows that the naysayers got their geo wrong as opposed to Schlumberger etc appointed by DL.
I have learnt a personal lesson from this debacle re: old REM. BCN said it undervalued their co at 88.5p. However, today the share price is around 18-19p. What if they cant obtain funds given ALL this time? Citi can do the rounds with institutions and banks but if they are not keen, can they obtain ££ from them? A $36,000 question.
So, these days, a world class project needs 1 more element before the mine is built ie FUNDS into the millions.
Not so simple after all as the Sonora folks think. If tutes and banks would not lend, then where are the Gina*s of this world going to be found as these individuals do have the money to finance or part-finance big projects <$500m?
Answers on a postcard.
As for losses, its a steep learning curve. Dan Zanger lost $400k and he was dazed but went on to make back the money and was featured in Fortune magazine. Dan can show his tax returns as just one*s word is not good enough.
So, a skill to learn? Sorry for typos - need to get a change of glasses and short -sighted.
Sat, 2 Mar 2019 Decided to post due to the hoo ha on Twitter re: REM - a perspective.
impossible to say for sure now... but it couldn’t have been this bad for both co’s could it?...
From my 2 posts below of today, Sat 2 Mar 2019, I have re-visited REM and what was their GAME CHANGER ie Sonora.
Tomorrow for KDNC - as with any co, it can go from pence to bigger pence in a relatively short space [1-3 or 3-5 yrs]
provided it can LOCATE and FUND a WORLD CLASS PROJECT. It is norm?
From the PR, this Dubai Prince is the "second cousin once removed of the CURRENT ruler of Dubai."
Some early investors as is norm were able to benefit but not so for later investors. Apple was once around the $5 area and currently $174. 97 [Fri 1 Mar 2019] not taking into a/c the share splits etc. Anyone entering now would have a different RISK profile to those who bought Apple at $5 a long time ago. So just a norm.
DL left all AIM co*s not so long ago. David Lenigas main strength is the ability to look at mining exploration project eg Sonora, Horse Hill etc and provide the funding since he is a Mining Engineer by profession. However, once the project has gone through the initial stages, it has to be left to people with a background in managing a mine. Same as Solgold who have a Newcrest director on board who has blockcave experience [mining] etc.
REM was renamed KDNC and is still an investment co and as such, the share price and by extension the mkt cap varies with the MARK to MKT prices of its UNDERLYING investments, just like any portfolio.
So, one wonders WHAT if REM had taken over BCN at 88p+? If funding could have been arranged, then SONORA would be by now, building the MINE?
Just a short history of REM. It is open for others to correct any errors. I did not attend the London REM AGM*s nor investor meetings in London.
News. Sat 2 Mar 2019
Sorry for typos.
Timeline:
1)Reverse Take-Over of Zest plc and renamed Rare Earth Minerals plc.
2)REM > Sonora Lithium, Mexico 18 Oct 2014 [via JV & investment + funding for drilling]
3)BCN r e j e c t s REM Takeover offer.
"Bacanora rejects REM merger offer."-Proactive Investors 30 Sep 2016 [Ref article]
"REM which already holds a 19.8% stake has suggested a share based REVERSE TAKEOVER that values Bacanora share at 88.5p."
Comment:
As one knows REM went from around 0.04p to 2.25p mark [£1m+ shell >£95m [+-] MKT CAP.
At the time, BCN was looking for funds to drill and David Lenigas went out to Sonora to take a look. DL, Chairman of REM decided to advance funds for drilling. I recall that it was difficult to obtain funding for Canadian exploration co*s.
REM began buying shares of BCN listed in Canada at a entry level. REM then did a JV with BCN for part of the Sonora licence area.
I am not sure what were the mutual talks between his Lordship [BCN] and REM at the time as to how they were going to take Sonora lithium project further? However, his Lordship*s demise meant that someone else took over at BCN as CEO with a C.V background in building mines? This CEO rejected REM*s t/o offer ie merger.
From my post just below via references, one will read that Sonora was "sitting on ONE of the LARGEST lithium..in the WORLD." ____Needless to say, this UNDER PINNED REM*s market cap at the time.___
In fact, at the time, many already could figure out that if REM took over the Sonora project via a T/O-Merger, that would be ideal - it was rather obvious to everyone on the REM forum due to the fact that REM provided the FUNDS for INITIAL drilling etc.
Had the merger gone ahead, then REM would have become a potential miner INSTEAD of classed as an investment co.
The capex or cost of the mine would be around the £400m mark or US$400m+ from recall?
Today, 2 Mar 2019, Bacanora [as I understand has NOT been able to raise the TOTAL funds needed to build the Sonora mine in Mexico. Please check the details re: RNS on their forum as this is from recall.
Bacanora has now appointed an US investment bank to help them to locate funding. As is commonly known, funding for lithium projects currently are not easy to come by given Nemaska also has NOT yet been able to obtain funding.
WHAT IF?
Bacanora share price is currently 18.75p, Mkt Cap £25.21m [Fri 1 Mar 2019] The 52 wk high is £1 and low 18p.
One wonders what if REM had taken over BCN. From personal observation only, REM then worked as fast as possible so what if they hurried and just made it in the open window for funding.
Could DL have obtain the funding? Although one cannot know the answer 100%, one observes that DL has recently left Artemis [ASX] as Chairman and handed this post to a Dubai prince [Ref:Dubai prince joins the board of Artemis.-Stockhead, 26.10.17 - his first step into ARV].
I have not researched too deeply as I am not a shareholder of Artemis but I gather the said Pri
I still have a small holding here, but mostly all in Hipo resources listed on the ASX. Tiny market cap perfect entry time IMHO
Rare Earth Minerals Plc reversed into Zest Music [RTO] under David Lenigas. REM went from 0.04p to 2.25p although Dallaz said it reached 2.38p from recall [intra day high]. So from 0.04p to 2.25 or 2.38p, it is multiplying one*s £1 into £60 approx or 60 TIMES. The mkt cap started around the £1m+ and went to £95m. So, from the low a bigger multiple than just 60 times.
One for the history book.
Zest plc was a shell taken over by David Lenigas. Zest changed its name to Rare Earth MInerals plc on 29 Nov 2010.
The events:
1) REM - Sonora Lithium Project in Mexico with Bacanora + JV [Drilling etc].
Midas Share Tip:"REM well placed to benefit from..."-18 Oct 2014.
"For small miners, finding good deposits is just the 1st step on the road to success. Taking mines to commercial production is where the real challenge often arises."
2) "Bacanora rejects TAKEOVER BID from REM."-30 Sep 2016
3) Midas Share Tips: "How electric vehicles will help to boost Bacanora*s..." 23 April 2016
4) Midas Share Tips Update: "Demand for electric vehicles should..." 29 April 2016
["First it is sitting on one of the LARGEST LITHIUM mines in the world..17mt ..in the 1st 2 year & 35mt a yr after."-Midas 23 April 2018.
5) Bacanora*s website currently: "Developing the world*s next MAJOR lithium project." www.bacanoraminerals.com
6) "Bacanora secures $150m financing from Red Kite for lithium project."-FT 5 July 2018
Comment:
The story of REM and Sonora Lithium story has come to an end with the securing of finance by Bacanora for the Sonora Lithium project. It has taken some 7 yrs +. It is said mining takes some 10 yrs from exploration to mining.
Mon 9 July 2018
REM plc started around the 0.04p mark and rose to 2.25p during the period. REM plc changed its name to Cadence Minerals plc. The vision of Sonora lithium has come to pass after
www.cadenceminerals.com/investors/financial-information/ Cadence 2016 Annual Report "We believe that our 2 primary assets in Mexico and Czech Rep will become important sources of battery grade lithium carbonate FROM 2019 ONWARDS. Our 2 main investments and joint venture are targeting to produce, in aggregate 55,000 of battery grade lithium carbonate, which based on analysts, projects could represent a SIGNIFICANT 7%-10% of the WORLD*S SUPPLY in 2025." ----Chairman*s statement: Andrew Sucking, Executive Chairman, Cadence Minerals Plc [KDNC, old name Rare Earth Minerals #REM] dated 30 May 2017 for the year ended 31 Dec 2016 A/c*s. Comment: Mexico=Sonora Lithium Project, Bacanora Minerals #BCN listed recently only in London [used to be dual Canada] Czech Rep=European Metals Ltd #EMH listed in London and Australia. Today, Wed 28 Mar 2018- So it appears that the said Motley Fool article as earlier posted appears correct ie production. KDNC [Cadence Minerals, old name REM share price is 0.23-4p, Mkt Cap �18m+ So I will revisit again in 2025 as per Chairman*s statement. Kiran Mozaria is the CEO of KDNC at this time.
Actually Worth 5.9p?"-Motley Fool, 4 Aug 2015 https://www.fool.co.uk/investing/2015/08/04/is-rare-earth-minerals-plc-actually-worth-5-9p/ "There*s no denying that REM has plenty of potential. Indeed, a/c to figures already published by the co,the net present value [NPV] of all REM*s interests in Fluer El Sauz, Ventana, Yangibana and Western Lithium projects amounts to �800 MILLION." "As REM*s mkt cap is only �70m at present based on the NPV REM looks significantly undervalued." "However, REM has a long way to go before it can UNLOCK value from any of its mines. It could be YEARS before the mining minnow is able to start PRODUCING lithium from any of its prospects." "Risk vs Reward- ..one the one hand, if the co reaches it goal of COMMENCING production from owned lithium assets, REM could unlock �800m in value." Comment: Decided to take a 3rd view on REM ie This is Money Midas 2014, IC 2015 and Motley Fool 2015 to get a consensus of opinion. Certainly the theme appears to be longer term. A historic revisit.
placed to benefit from big demand for lithium."-18 Oct 2014 ,This is Money www.thisismoney.co.uk/money/investing/article-2798421/midas-share-tips-rare-earth-minerals-placed-benefit--big-demand--lithium.html "The co also has 305 of a mine in Australia and another in Greenland. The Australian venture in particular looks encouraging. Recent exploration results showed good grade of neo oxide a mineral with exceptional strong magnetic properties. " "REM is a true PENNY share and has been buffetted by WEAK mkt SENTIMENT over the past few days. The LONG TERM OUTLOOK is sound however. At 1p, this is an attractive prospect for the adventurous investor." My comment: This Midas Tip was in Oct 2014 which was earlier than the IC Tip of the Week. So less info in the drills etc. A historic look at then and now. BCN has now gone on to advanced stages of their Sonora lithium project. Hence, why I am looking at the Sonora, Australian and Greenland projects. REM*s report card so to speak of then and now-both Bacanora and REM are still in play on the stock market. News, 28 Mar 2018
-Investors Chronicle TIP, Sep 10,2015. https://investorschronicle.co.uk/2015/09/10/tips-and-ideas/share-tips/tips-of-the-week/lithium-prices-bacanora-minerals-bDIDRTHtM4taTQgkVVIXMJ/article.html "..1.05m toone of battery grade lithium and a further 4.8m tonnes of inferred resources, all attributable to Bacanora. Based on current lithium carbonate prices of $6,000 (�3,925) a tonne the co might well be sitting on resources WORTH $4 - 23 BILLION a f t e r costs. That*s a HUGE PREMIUM to the miners �72m mkt cap." "Bull points:UK listed play, Large discount to NPV estimates, HUGE lithium resource, Timescale: LONG TERM..." "Bear points: major capital requirements, production milestone for 2 yrs." "Fortunately for UK investors, AIM traded Bacanora Minerals represents an excellent way to buy into this story." Comment: Since the above IC Tip of the week was dated Sep 10,2015 I thought it was better to post it here under REM as it was their major investment holding then. I basically came back to check on the current figures after the Bacanora studies have been now more advanced. The NPV has risen further and in the last few day, Kiran Mozaria, CEO of KDNC [old name REM] said that in China the price of lithium is $20,000 and that it will fall back to $16,000 via Vox Mkt Interview. I recall our Founder saying that the Sonora Lithium Project which he spear headed etc via Bacanora had a $50 billion value in the ground. So from the above, the price of lithium has risen from $6,000 per said IC article and therefore at $12,000 the max would be $23,000 x 2 [$6k to $12k say] = $46 billion. This was how REM [now KDNC] started out those early days. I am not posting under KDNC because this is now history. Wed 28 Mar 2018 My current quest is to try to go through all the old REM investments to see where value may lie further. If the link does not work, please put the title in the search engine and it will come up. News.
G L A
Indeed KHAM & needs to be kept that way - so we have access to all those lovely historic RNS' s
Ahhh just dropped by here to look at how few (a mere 4bn) shares we had back in the happy happy days of 2014, hell we had some stonkingly positive RNS's back then. Good to see the ghost of REM is still alive
LoL..... agree with that.... :-))
Oh, for the good old days. Posting here is a bit like being a 'Remainer.' I still liked the old name, and feel that renaming the company was a mistake. A bit like the abortive RTO of BCN.
Maybe this could be a "safe space" away from the trolls!
If you're feeling nostalgic Monkey :-)
Rockinroy, They are now kdnc