Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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BDS1 - as always your input and research is invaluable.
Most people have learned through experience that everything is always weeks away with Scirocco but very little actually happens. Even the name change was delayed and what good has that done anyway apart from giving us a word that is harder to spell.
Is it possible sale of part of the He1 stake is not determined by the He1 SP, or the He1 drill program, but instead by the need to have some cash as part of some M&A activity?
Personally thinking I feel if the board can get more than 60%/70% of the drill money threw selling some of the shares at 16/18p then ride the final amount and if Helium One hit "Trapped Gas" we will have money and some change left over as well, also if they manage to get 1-2 assets along the way before then, then all the better I feel for the SP, the SP in my opinion is so low any sensible deal or good news will propel the SP up and this is my view, lets hope the Helium One starts that process of a upward tick and if not the drill in 2022 will give this a boost anyway !!!
That's a good point Sambo and something else the BOD mentioned. The 3D over Ruvuma could reveal of course that their fan based interpretation of an extensive connected reservoir is wrong and result in downgraded expectations, on the flip side it might show the same or a more extensive reservoir.
We should see the results of 3D in H2
Thank you CP and BigD for the efforts.
I think nearly all shareholders want us to participate fully in the CH1 drill.
Did you get the impression that they were leaning more for or against full participation?
If suitable offers have not been forthcoming until now. I doubt someone will suddenly massively increase their offer.. I guess that maybe after the 3D seismic the picture might evolve..
I wouldn't read too much into it myself, they are only stating that all drills come with risk. The appraisal portion of the drill will have a high COS The exploration portion a low COS, till the drill bit has finished turning you never know what the results will be.
Appraisal of 2TCF and 763 BCF 2C
Exploration target of almost another TCF in the deeper Jurassic.
I for one hope SCIR still hold 25% for the drilling.
Bigdouble, appreciated, those who invest in this game are usually aware of the risk of dusters but what is the alternative?
Sit on your backside and watch the shareprice drift down ( as we have since this bods inception.
ArielArrow - due to the state of the current share price, going ahead with CH1 seems a gamble worth taking. I told this to the Board but remember they are only 50% down on their holding whilst others are 90% down. They probably see it slightly different
That could be an awful position to be in.
Ruvuma will need more expense we will be out of cash.
The thought is frightening.
Seems they will sell helium shares ASAP. They expect to be holding some during drilling which is in next few weeks.
Maybe more fees are due soon.
Let’s see if a deal is forthcoming in the next few weeks.
We were told weeks a few months ago so we shouldn’t get our hopes up too high.
Thanks Chris and bigdouble for all your efforts, not sure how I feel after reading it?
There are concerns that should the drill not live up to expectations that could leave the company in position where it really would not want to be.
Are we in a position that we want to be now with a 8mill mkt cap.
Morning Chris.
Thanks for that.
Maybe they will sort something out soon.
Still unbelievable that with all their experience and the time they have had they have delivered nothing of note.
As you say shareholders are far from happy with the lack of progress on any front.
Does make me think that they could carry on the same and then just leave with a nice little compensation package.
Only weeks for first deal then.
I will believe it when I see it.
Summary from BD and myself.
The meeting was over an hour long and heated at times.
Strategy – The BOD confirmed that they aim to deliver their new strategy as published and it is not dependent on the sale of Ruvuma. No expected timelines given beyond what has already been announced but weeks were mentioned not months.
Ruvuma – Several interested parties but obviously no offer that would be acceptable to shareholders or the BOD has been made (otherwise we would have seen an RNS)
The BOD are prepared to fund Ruvuma as required and if no offers made then CH1 will be drilled with SCIRS full 25% participation. There are concerns that should the drill not live up to expectations that could leave the company in position where it really would not want to be.
HE1 21 million shares and options. The BOD intend orderly disposal when and if the time is right and expect at this stage to be holding some (undetermined amount) of shares during drilling.
KN-1 licence area – Due to the outstanding tax dispute, no development or remediation expected till this is resolved. Note that the new President has highlighted Tax and disputes as an issue for foreign investment and has committed to resolving issues.
Quite some time was spent on venting shareholders frustration with the BOD (BD did not mice words) and their failure to deliver shareholder value over the last 2 years, this was acknowledged. Communications and promotion were discussed at length and the example of HE1 used. The BOD have agreed that they will put together an interactive webcast for shareholders, this will be dependent on the timing of material announcements (no timing given)
GLA
Did you come away any more optimistic cp?
Cheers Chris.
Maybe they will realise just how bad investor relations must be.
Thanks again to you both.
Good Man Chris and BD and If it lasted a hour you gave them some welly so I hope some good comes from it
Hi steve, all.
The meeting only finished a few minutes ago and lasted over an hour and I can assure you the BOD are very clear about how shareholders feel, Simon was far less restrained than I was!
We covered a lot of points, far too many to report back on tonight but BD and I will put a summary together for you tomorrow.
Chris
No news is good news as they say.
I know nothing price sensitive can be disclosed.
Even if they could say that a deal or deals are being finalised.
If they have dropped out of them they probably would not even bother issuing an Rns anyway.
Just confirmation that they are actually going to come up with something to enhance shareholder value would be a start.
Hopefully BD and CP Will be able to give us an update this evening.
Thanks again for the time and trouble you have both taken in arranging the call with the Bod.