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I'm sure you know this, but I believe BCN refer to REM in their corporate presentation because they are referring to one of our 100% owned subsidiaries: "REM Mexico Limited". Page 53:
https://www.cadenceminerals.com/wp-content/uploads/2020/06/Cadence-Minerals-AR-2019-FINAL.pdf
Either that, or they don't want their shareholders looking KDNC up and buying here instead if they perceive there to be more upside in the event of expansion plans ;-)
Ob.
See, what I mean by never just jumping in WITHOUT fully getting EVERY bit of info and due diligence. This demonstrates it.
Page 243 and 244 of the admission document is what I was thinking of:
https://www.bacanoralithium.com/pdfs/Companys-AIM-admission-document.pdf
===[
shareholder approval (from the holders of 2/3 of the issued shares) is required in certain circumstances including on the issue or grant of rights in shares, borrowing, granting security, sale or disposal of any of the REM JV1 Concessions;
]===
May not be what you were after, but I had it in mind as I was wondering whether if REM and Ganfeng joined forces we could force a sale of BCN's 35%. Answer is probably no, but Ganfeng and BCN could probably force a sale of our 30% for the right price under drag-along and tag-along rights.
For the record, Mr C said I was naive re: DL.
How can I be naive. I have demonstrated that DL was in fact the clever one as related here today.
Also, the BCN presentation states: BCN - R E M.
So, it was REM under DL.
DL said he had it written in that they ie REM COULD DISPOSE OF THEIR 30% SEPERATELY WITHOUT ANY REFERENCE TO BCN. Hope so.
So, how is this going to play out? BCN cannot join up with 30% = 65% operator.
So, Gan takes over BCN [hypothesis], that will could mean 70% STAKE IN SONORA JV LANDS?
Even then, REM could object but maybe company law comes in as REM with 30% and the takeover co has 70%, then REM could be deem or looked at as the MINORITY HOLDER. In shares, that is the case of minority holders and the legals that pertains to it.
However, in this case, I am not sure about this aspect?
Have to check if I have time or think about it as minority holders have limited rights but to what extent in a commercial transaction of a deposit, I am not yet clear at the moment.
AH. YES, MORE AND MORE COMPLICATIONS OF THE LEGAL TYPE WHEN IT IS NOT 100% OWNED NOR IS IT 70-30% NOW.
LoL - wonder if X knows?
LoL
Trust a TINY CLAUSE IN SMALL LETTERS.
Majority is 66.66%!! A LEGAL OVERIDER WAS BUILT IN to supercede the normal 51%.
In the case of Cauhari, Gan has paid a whopping $16m just for that EXTRA 1% to Lithium Americas to earn 51%, not the old 50%.
Hmmm.
For what's it's worth I remember reading somewhere that majority is defined as 66.66% for this project. Meaning that REM and another can't gang up as that would only be 65% (30% +35%)
NEXT, LITCHFIELD.
A lithium property to XXXX for - Core wants to throw money ie buy from what I perceive of what they said of nearby ltihium having just raised $40m just like that with international institutions giving them telephone no*s.
What about that?
Again, another DESIRABLE LITHIUM POST-CODE THAT BELONGS TO THE NEW REM-KDNC?
How about that?
Mystery NOT SOLVED.
Are they are are they not into lithium? That was DL*s vision and he acted on it ie SONORA AND CINOVEC.
Wed, 24 Mar 2021.
Same here for me, Barksy1 - that*s our perception only.
Obs, I think the maths now works out to be 35% BCN, 35% GAN & 30% REM.
Now then, THERE IS NO OPERATOR here at 51% ie legal MAJORITY HOLDER.
Given BCN and Gan are seperate ENTITIES for legal reasons and otherwise [NO MERGER OF CO*S], that means that there is going to be a LEGAL PROBLEM.
NOTHING CAN PASS WITHOUT REM*S APPROVAL.
WITH THAT, IT ALSO MEANS THAT THE 2 IE BCN AND GAN DO NOT HAVE MAJORITY OPERATORSHIP.
If BCN merges with REM ie 35% + 30%= 65% then there is MAJORITY HOLDING OF OVER 50%. Only 51% MAJORITY CAN ONE BE THE OPERATOR.
LoL- NOW ITS STUCK.
Hence, why in property, any % SPLIT can cause problem, say giving son and daughter 30%, 30%, 30% and 10% to someone else. They*ll be in a fix once the % are like that. Hard to sell as there is no clear ownership and anyone one does not agree ie SIGN AGREEMENT = nothing gets done.
Well, what a situation now re: SONORA GREATER JV LANDS.
It’s only how I see it News, probably not like most people see it ...
And so, the story of Sonora is told?
Hmm, now I know why they say that when there is something worth a kings ransom ie fortune, watch it.
Finito.!!!
I was looking for answers and praise God, I decided to perservere to ask questions. I am the kid in school that ask questions and NOT DIVE IN.
Now, the COIN HAS DROPPED.
Otherwise, I could have GOT BURNED to cinders.
God saved me as I had this unease over a lot of questions marks.
BARKSY1 - what can I say?
Luckily we’ve ducked out of Bcn at the right time ... as it stands at the moment
Hmmmm!
Barksy1---------yah-------------yes--REM, REM go go.
DL is no Dxxx - he was smart. Oh Mr I wanted DL to buy another 19% but it was too expensive.
That is also clever.
I figured out some time ago that DO NOT GET IN TOO DEEP - once REM gets 49%, it has to find 49% of capex etc and STILL IS NOT THE OPERATOR. The operator has to have 51%, that extra 1% to be the operator. The operator CALLS ALL THE SHOTS.
Oh, my did they catch a BARRACUDA.
What people are having an OVER-THROW SITU FOR LITHIUM AND HERE, IT WAS GIVEN FOR pence to the £--------------ah, dear me.
I need to sit down.
With the greatest of respect obs, this is where I have a different view given what Goldman Sachs has stated. Brazilian iron ore is coming to market and for this reason SUPPLY is increasing = $$ price has to come down.
I think that area best be left to the time when things have settled down and one can see one*s way clearly.
However, for now, IF THE JV goes to 50kt per Secker in the Crux Investor video, 3 wks ago, it means that it has to reach the JV lands?
That is also another day.
eyeguy has run to another lithium project in Mali. It has 21Mt of lithium. The Zimbabwe lithium project that DL once adviced is also 21Mt of lithium. Next door to this said lithium project is another one that is RANKED NO 9 from recall or 10. They are going to SPIN out this lithium project into ANOTHER ASX co as INVESTORS ARE VERY KEEN ON PURE LITHIUM CO*S , not mixed with gold etc.
SUFFICE TO SAY, BCN NO WONDER CANNOT COMMAND A HIGH MKT CAP? How can it? It NOT ONLY NO LONGER HOLDS 100% OF VENTANA [88% to be mined] but BY EXTENSION GAVE AWAY THE NEXT STAGE 2 LICENCE AWAY FOR US$50M+ IE 50% TO THE JV PARTNER.
All those that hold 100% of their LITHIUM DEPOSIT LIKE THACKER PASS, RANKED NO 2 AFTER SONORA [BCN] AT NO 1, have a MKT CAP OF $2BN + [2 projects]. Thacker Pass, No 2 ranked has only got a KEY permit but NOT ALL PERMITS which means that it is not 100% DE-RISKED YET in Nevada. Plus Lithium americas has just raised $400m which may not be enough for the rest of the project as its usually just for the initial part of capex.
My WORD!!! What can I say???!!!
What a bluXXder!! What a DISASTER!!? NO WONDER WHY BCN FOLKS ARE HOLDING THEIR HEADS IN THEIR HANDS!!! THEY ARE TRYING TO LOOK FOR ANSWERS AND LOOKING EVERYWHERE. Oh my.
News, what’s the saying,’ you throw a sprat to catch a mackerel’ ;) I’m very glad I’m in REM ...
Hello @news. Indeed, the market isn't getting just how valuable Sonora could be to KDNC. My view is that if we pull off Amapa to become a £100m+ company in which the market once again has faith in the BoD, we can then finance our various Lithium projects to become £200m+ and beyond. :-)))
I also figured out the DL, REM Founder and Chairman was smart to take 30% JV of the greater licence area in Sonora, RANKED NO 1 IN THE WORLD FOR LITHIUM.
That is the bigger part. He let them do the financing etc for their part 1. THEREAFTER, BCN-REM LICENCE AREA IS DE-RISKED and has a PRICE DISCOVERY factor to it + proven after a lithium plant is set up.
Well, Bolivia- they are so desperate until a over-throw event -just for the lithium per the news report, how much more for SONORA?
NO WONDER THACKER PASS IS NOT GOING TO JV-LITHIUM AMERICAS*S HOLDS 100% AND WALL STREET IS THROWING MONEY AT THEM. PIEDMONT IS ALSO RAISING TELEPHONE NO*S.
THE MKT CAPS ARE INTO TELEPHONE NO*S.
Poor folks over at ...they are asking why is the mkt cap this and that for such a big deposit?
Ding dong.
Ah, yeah cos Ganfeng NOW own 50% of Sonora BCN.
And by EXTENSION, it means that the NEXT JV LAND [BCN-REM] is now 35% REM, 35% BCN & 35% GANFANG.
Oh, dear me!!!
= AS I SAID IT WENT CHEEEEEP!???
CHECK-MATE!
I need to sit down.
BARKSY1 said its NOT going cheeepp-- but BCN sold theirs CHEEP from your link and info???
Oh my.
Yes, I did figure that out ie the UNSHADED PART is NOT or not covered by any study. It was obvious.
OK, ITS BIG.
THE MEXICAN GOVT IS GOING GA GA OVER LITHIUM as they want to be a SUPER-STATE IN LITHIUM MINING.
So, Ganfeng or whoever LITHIUM JV PART [BCN-REM] GOES TO WILL HAVE TO TECHNICALLY BY RIGHT PAY NOT JUST 1 LUMP SUM LIKE US$50M FOR THE WHOLE LICENCE BUT THEY MAY HAVE TO PAY FOR 19 YEAR MINE LIFE x Y?
Anyhow, I am wondering if KDNC is going to let this LITHIUM BOOM PASS THEM BY?
Cos its ALLLLLL S I L E N T on lithium?
Litchfield-no sound?
MrC doesnt want to talk of REM but the BCN PRESENTATION you gave a link to does not ACKNOWLEDGE KDNC but REM plc which is DL*s work.
Hello @news. I'm not sure if you are aware of this, but other than the grey area (which is 50% BCN and 50% Ganfeng), all other areas in the region are now 30% KDNC, 35% BCN, 35% Ganfeng. i.e. the blueish green and the unshaded area.
https://www.bacanoralithium.com/cms/wp-content/uploads/2021/03/BCN-Annual-Report-2020.pdf
Page 80.
Megalit is the unshaded region.
Hello @news. I'm fairly certain the 8.8Mt (which refers to the 250 years) of resources is contained within the blueish green and grey area. The unshaded area has not yet got a resource definition. See the link to the FS in my 20:01 post.
Just looked.
20kt to 50kt is 3 TIMES?
I have now figured it out for myself.
The blueish green part: BCN - R E M stated 50 years.
The unshaded part is not yet marked out-this will be 250years minus 19yrs [BCN/GANFEND], minus 50 years.
So, possibly, the next JV will be for the shaded part ie 50 year BCN-REM.
Interesting that the CONTRACT AGREEMENT WAS WITH R E M plc with evidence.
So, that will have to go next if there is ever a JV in the future as the FIRST part to develop.
News, Wed, 24 Mar 2021.
Yup, clear to me. So, not ALL 1 BIG CHUNK.
Hello @news.
I believe the 50 years refers to the 1,666kt of proven reserve. The first 19 years use 603kt of this reserve. Take a look at the feasibility report for the details.
https://www.bacanoralithium.com/pdfs/Bacanora-FS-Technical-Report-25-01-2018.pdf
Page 127 and 138.
Did you see my post on KDNC.PL@Mon 21:05, that contains my best estimate of value to KDNC under various expansion scenarios. It's based on my understanding of the Feasibility Study.
Ob.
P.S.
For clarity, I have just seen that the SHADED BLUEISH GREEN PART IE BCN -REM IS FOR 50 YEARS.
It does not give the no of years for the UNSHADED PART which is ALSO BCN-REM LICENCE AREA but it says 250 years in the earlier presentation from BCN.
24.3.21 [Wed]