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Something has to happen in the next 5 weeks to 12 weeks... as the end of the line nears. There are no questions about that. The phrase... 'coming to a head' pretty much nails it. Long time coming too.
There's one question that I want all shareholders (and traders/regular flippers) and it's this
1. Why are BHP here? Why are NCM here?
Answer that and you'll realise that it's always about power and how the big guy can try and squeeze the little guys. Capitalism at it's best or ugliest. There are no partners here or united shareholders. Just big entities wanting assets on the cheap. It's business.
Q, I accept all of that, but none of the reasons you provide are an excuse for the company not to be properly funded.
Clearly, the company had a plan for financing, but our main shareholders objected...this is irrefutable, and the consequence is that we're very exposed, which in turn has decimated the share price. In other words, a strategy approved by the board (I'm assuming it was ratified by them) fell to pieces due to a failure to understand our shareholders position. In other words, the board is directly culpable for the current situation.
Good morning LunchMoney, I don't think we are too far apart on our thinking.
I believe the fund raise is in hand and we will continue.
Yes surprise's can happen, but I don't think they will on this occasion.
BHP and NCM are in a really difficult position.
If we announce the updated PFS for Alpala and the PEA for Porvenir and we raise the capital to take us to DFS.
Then do they maintain their percentage.
I believe they have to.
No bid situation presents itself as Nick Mather has not let any one party acquire a dominant position, hence the diverse book.
I am relaxed about the Solgold story, and believe the best is to come.
I think once construction starts the share price will firm up.
Copper and Gold looking strong today. Let's see if buyers wade in..
The creation of shareholder value I feel is a red herring.
Look around any indices.
We still have Covid rampant in some parts of the world, and Putin's illegal invasion of the Ukraine.
However the elephant in the room, is worldwide government debt taken on by Covid. Government's cannot print themselves out of this, or take control of their home bond markets, as money supply would just tear everything apart. Just look what's happening in Turkey, Greece and other parts of the world.
Even UK bond markets are not in a good place.
Hence massive amounts of money leaving equities.
So as I said don't get Hung up about shareholder value as that is not in Solgolds hands or Indeed anyone elses.
RK, yes, that was quite funny: "We'll adhere to the guidelines, but only when it suits us".
I think if the entire board is put up for re-election they'll have to produce some evidence to demonstrate they are value for money. What exactly has the non-exec element of the board contributed to the company this year? because it's sure as sh*t ain't value creation.
Strong open today, the downward trend breakout could be on today?..
Fort, absolutely - their silence is both deafening and instructive.
redknight1 - we all know why you are here too... you are a remunerated grub associated with an entity wanting to take Solgover for cheap money
Time is running out addicknt. Which makes you wonder why Mather and Irwin are so quiet. They don't seem too worried do they? As I have said before, perhaps time is running out for those that clearly have designed on destabilising SOLG (like they did before last AGM and tried to remove various directors)???
There's no way on thus planet that Mather would just sit and let the clock run down unless it was in his favour. Remember, if SOLG deliver a plan to be voted on at the AGM, (in next 3 to 4 weeks) then BHP will have very little time to mobilise and counter. Sometimes, you have to realise that the answer is in from of you all along. A cornered animal tends to fight its way out. If it sits there patiently then you know it's feeling confident and unthreatened. The clock has been ticking for a long time but I don't get a feeling of desperation at all. Quite the opposite. I get a feeling that SOLG have a plan. If they didn't then they would have returned to the table and agreed a new equity raise deal or fund structure that all major shareholders would agree to. But they didn't. Mmmm.
Before last years AGM...
"UK Corporate Governance best practice guidelines provide that a company puts forward all Directors for re-election every year at the Annual General Meeting (AGM) unless the company has a clearly articulated and compelling reason to pursue an alternative path, which is the case with SolGold."
And...
"I believe that SolGold is on a path to achieving a level of corporate governance best practice that is comparable with if not exceeds that of our peer group both in the UK as well as in Australia."
Let's see if he puts the whole Board up for reelection....
Q, again, I agree. I believe another streaming deal is completely off the agenda. I'm convinced we were attempting to do one with Boliden and it's that which caused the fuss. Personally, I'm relieved we didn't go ahead as I think they are a drag on long-term value and are expensive ways to fund a business, although I understand many people would disagree.
The real problem we have is one of time...it's running out. I agree life would be so much easier if the PFS and PEA were already available, but they aren't, which means we'll currently be talking to investors without that useful information. Mind you, I'm sure they'll already have a pretty clear idea of how things look.
As I said previously, we are at a really critical point, and although we've been here before, this time feels different - in as much as we've never been kicked back before whilst trying to raise cash.
Anyway, I'm sure DC is working his balls off to get something done asap.
I think the Porvenir PEA is a bit of a side show right now.. I don’t believe anyone in the markets are waiting eagerly for that…. Right now it’s purely about financing and PFS update.. if a good PEA is released first, I think the markets will just shrug its shoulders
Redknight1
The company didn't tell us that was going to happen.
Go figure..........
Good morning addicknt, we won't cover the so called failed fund raise, as we are never going to agree.
I understand what you say.
I don't believe we will do a streaming deal, as like the previous one it would be ring fenced for Alpala only and we require funding for exploration.
So unsure what the best route is
I suspect we will get either Alpala's upgraded PFS or Porvenir's PEA by end of November. Who knows maybe both.
I think they are hoping this would have the desired effect on the share price, but more importantly the NPV. As this would allow a fund raise above the share price. If another party wanted to join us.
Darryls created loads of shareholder value...
Up more than 50% since he started and up 150% since March...
OOPS! Sorry, got the graph upside down...
Q, funnily enough I agree with you, in as much as we know what the company was trying to achieve was as you describe. We also know the company failed at its first attempt and the key question is; have they had to completely reconsider, or are they pushing ahead with funding via a different route? What are the pressures being placed upon the board by our main shareholders? Is the company having to contend with competing interests amongst our shareholder base?
Circumstances change and company boards shift their plans accordingly. So if I were you, against the current backdrop, I wouldn't place too much store in what they've previously said. This is a very fluid and critical situation and the company must ensure they do something which will gain support from shareholders - at least they will if they want to keep their jobs.
Morning LunchMoney, yes the company did a streaming deal and they did announce the option not to take the extra 50 million at the time they took it.
How the company fund raises is what we are speculating about now.
So like everyone else I wait and see the next stages.
But I believe we will deliver the renewed PFS for Alpala.
The PEA for Porvenir and fundraise.
And get to DFS.
At that stage other funding options open up to us.
So basically what the company has said it will do.
We have no ambiguity.
MassiveRay, how come Oz/Noront didn't rally before their bids then?
When serious talks commence of a bid you can bet your bottom dollar the sp will be nowhere under 16p, the city always knows before pi's, the clue is in the current sp, put the bid aside and think funding and at what cost?
There's a lot of trust lost here between the BOD and private investors.
It's going cheap... that's where it's going!! . Imo .
If the big boys have it played out , time for the smaller shareholders to have a voice.
Jezzoo if you invested for a takeover, then you didn't listen to the company.
I think most shareholders would be happy with a takeover at this junction as this is dragging out a bit now.
In the past I never worried about this bouncing between 30p -40p (those were the days)
Not got a clue where this is going now...
I'm invested for a different reason, I'm invested to make a profit before the ice caps melt.
I'm invested for a take over bid.
I'm invested to hopefully make a profit when that happens and never have to read this board again.