Member Info for A-s-h-t-o-n

Yes, Jimbolina, I intend to attend the General Meeting on 13 January.

You say the Greenswitch plant acquisition could be "potentially transformational" for 80M. Yes, it would be truly transformational when the company successfully delivers the production targets in Q1 and Q2 2025 as stated in the RNS dated 19 December 2024. I am pleased that the company has set a near-term timeline for production. The jury is now out on this matter (subject to shareholders approving the acquisition at the General Meeting on 13 January 2024).

When I brought to the attention of readers here the recondite statement "The Company is also currently evaluating downstream opportunities in the sector and will advise as and if opportunities arise (RNS 19 November 2024)", how many of us thought 80M was actually referring to acquiring a production plant?

Not Trump, but this time the Danish king, puts Greenland in the spotlight!

https://tinyurl.com/4amahm4j

1. The Greenswitch plant has just completed a €12 million (circa £10 million) 4-year refurbishment. When the plant was in full operation it had revenues of €85 million (circa £70.5 million) per annum with a net profit of €35 million (circa £29 million) per annum.

2. The insurance value of the plant is €225 million (circa £187 million), so to build a new plant of this kind today would cost €205 million (circa £170 million).

3. An Independent assessment by the engineering group that built the plant and undertook the refurbishment stated:

❖ The plant is ISO9001 Quality Certified

❖ The plant is fully permitted to operate at the stated capacity immediately

❖ Is in near new working order after the refurbishment

❖ Has a scrap value as of today valuation of more than €17 million (circa £14 million) including the land

❖ Has a maximum capacity of 200,000 TPA of products

​I have also studied two separate reports: (a) Greenswitch plant valuation estimate and (b) Greenswitch plant description of existing facilities.

Moreover, management personnel are undertaking a site visit. The engineering group that originally built and later refurbished the plant is working now to ramp the plant up to full capacity by July 2025.

Proof of the pudding will be when production starts in Q1 2025 and revenue starts to flow from then on. Please do your own research.

Good luck long-term shareholders!

In the note I posted on 19 December 2024, I said I had taken the decision not to post here anymore until we have an announcement that Disko will be drilled in 2025. I have changed my mind and decided to post. The reason is that I have gathered some useful research information about the Greenswitch plant that I thought would benefit long-term shareholders.

Here is my opening post on the "Greenswitch Plant" and I will post further information later today.

The RNS on 19 December 2024, under the heading "Short and Medium Term Targets for Greenswitch", said:

❖ Q1 2025: Restart ESO and biofuels production at expected initial capacities of 5,000 tonnes/year and 10,000 tonnes/year respectively.

❖ Q2 2025: Aim to ramp up biodiesel production to 50,000 tons/year following maintenance and supply chain formalisation.

❖ Secure approval of green hydrogen government grant of up to €10 million.

❖ Initiate planning for a SAF plant in conjunction with an international offtaker, with the aim to secure EU energy transition grants to support this.

NB: €10 million = circa £8.3 million 

Here is a drone video clip of the Greenswitch plant - https://tinyurl.com/7uwyreyd

As for Disko, my understanding is that management are planning to drill at the latter end of the field season this year (2025). Drill rigs are already in place in Greenland and can be deployed at short notice. Please wait for the RNS confirmation and do your own research.

First thing first. On the question of equity fundraise before the end of 2024, Rach was right and I was wrong. My sincere apologies.

After the RNS this morning, I had a lengthy chat with Rod McIllree ((he is in Sydney). He explained to me in some detail the rationale behind the acquisition and how 80M would benefit from it. My personal view is, the acquisition would be seen as beneficial only if - in the first instance (I repeat "in the first instance") - it provides 80M with sufficient cashflow from the Frrandina plan of Greenswitch ( https://www.greenswitch.bio ) so that the company would be self-sufficient for its broader exploration activities and avoid keep going to the market repeatedly for fresh funds. This has been the bane of 80M in the recent past and to date. RM said he intends to do a podcast on the acquisition in the new year.

In the meantime, I have taken the decision not to post here anymore until we have an announcement that Disko will be drilled in 2025.

So before I go I wish you all a happy festive season and a prosperous New Year.

I repeat. I am still 100% confident that there will be drilling in 2025!

The word "Fieldwork" can cover not only drilling but also other activities, for example, EMS.

In October 2024, KoBold Metals signed a MOU with the Africa Finance Corporation (AFC). The agreement commits to supporting the Zambia-Lobito rail project’s commercial viability by transporting over 300,000 tons of copper annually from KoBold's Mingomba copper mine in Zambia.

On 3 December 2024, during President Biden’s state visit to Africa, a Partnership for Global Infrastructure and Investment (PGI) meeting was held jointly by Angola and the US. The meeting saw leaders reaffirm their commitment to continue developing the Corridor and invest in infrastructure to connect the Atlantic and Indian Oceans. According to a press statement from the White House, “President Biden announced over $560 million in new funding, including commitments expected to generate at least $200 million in additional private sector capital, for infrastructure projects along the Corridor.”

The Zambia-Lobito rail project will be an entirely new rail route. It will connect Zambia's existing rail route to Angola's existing rail route. The latter currently terminates at the Atlantic Ocean port of Lobito in Anglo. This means the copper from KoBold's mine can be shipped speedily to the markets in the USA using the Atlantic Ocean port of Lobito.​ Please also note Tanzania's rail route from the Indian Ocean port of Dar es Salaam already connects to Zambia's rail route. So, when the new route is in place you will also have a railway line running from an Indian Ocean port in the east of Africa to an Atlantic Ocean port in the west.

In this video (published 4 days ago) you can see Josh Goldman (President of KoBold Metals) seated at the far right next to the Zambian President - https://youtu.be/Ibqe4ltTpO4?t=1

This is an example of how a successful drilling campaign - in this case by KoBold Metals - can inject confidence into a mining project. The Mingomba copper project​ is still in the exploration phase and is not expected to be commercially operational until 2032.

​Turning to us, the big question is will KoBold achieve success with Disko and bring ​strong confidence into the project? In the meantime, let's first see what the update we are waiting for on Disko says about the fieldwork for 2025.

"All of which comes back to the question of when is the drilling going to commence?"

LWHL - That's a pertinent question. We are waiting for the all-important Disko update.

KoBold got involved in the Zambia copper project in 2022 with an original plan to go into production in a decade. As a result of a big copper discovery early this year, KoBold has now decided to fast-track production to 2030.

"The Company is also currently evaluating downstream opportunities in the sector and will advise as and if opportunities arise." - RNS 19 November 2024

Theofficecat - As for Disko​, the question is not whether it will be drilled in 2025 but how many holes. Let's see what the update says.

"It does still require a lot more work before something tangible can be applied though. "

LWHL - I presume you were referring to the above statement as your clarification. My point was that drilling results are used to determine the potential value of a mining asset. Since we are talking about Disko here, after extensive fieldwork in 2022 plus detailed post-fieldwork analysis, KoBold has come up with seven priority targets for drilling. Once some or all these targets have been drilled, KoBold would be in a position to come up with a potential minimum reserve estimate (grade and tonnage) for the asset well ​B​EFORE mine development and commercial production, the latter (commercial production) being circa seven years away.

"As said before, Disko is years and years away from mining, if it even gets to that stage. So speculation over potential credible value is really difficult. Perhaps impossible, even."

LWH​L -​ You are usually careful and measured in what you say and I must say I was surprised to read the above. I am not sure whether you actually meant to say that establishing the POTENTIAL CREDIBLE VALUE of a mining asset BEFORE production is difficult, even impossible.

Drilling programs before production are often considered the heart of any mining exploration project. They provide the most direct and reliable method for understanding what lies beneath the Earth's surface. This helps determine whether economically viable mineral deposits exist and WHETHER A PROJECT IS FEASIBLE. The whole idea with everything one does in exploration is to generate drill targets to test the geological concepts. The results from drilling lead to resource estimates (grade and tonnage) which in turn are used by mining companies to decide whether or not to move a project from the exploration stage and on to the mine development stage. The drill results do determine an asset’s POTENTIAL VALUE and can make or break a mining project. A very recent example of success is the great Zambian copper find by KoBold Metals (the country's largest copper deposit). As a result, the company plans to fast-track the mine development.

The prevailing wisdom is that we will know within the first five holes of drilling Disko whether we are rich or not. What results await us from Disko drilling? That's the $64,000 question!

https://youtu.be/yp6bHD6W1JU

Rach - Apologies accepted. Chill, Disko WILL be drilled in 2025 and I am 100% confident.

"Just as a perennial optimist may fail to see the POTENTIAL DOWNSIDE of a situation, a perennial pessimist may fail to see the POTENTIAL UPSIDE of a situation."

Rach - You posted this same message eight times about fundraising and asked whether anyone disagreed with you. You also asked me what I thought.

17 Sep 2024 at 09:05: "I expect a fund raise before the year (2024) is out and at around 0.25p."

23 Sep 2024 at 09:07: "As I previously stated, expect one around 0.25p by the year end (2024) - anyone disagree?"

26 Sep 2024 at 13:31: "Oh, and the next fund raise will be along soon - at around 0.25p is my guess. Any one disagree?"

27 Sep 2024 at 18:49: "How about the next fund raise for 80M or MET1 - which will be first and which will be more dilutive? I'll guess at 0.25p for 80M and 0.30 for MET1 - what do you think?"

30 Sep 2024 at 08:29: "No way - everyone knows a fund raise is coming soon - 0.25p is my guess and by year end (2024)."

1 Oct 2024 at 14:45: "Just to remind you my guess is 0.25p (or less) and by year end."

6 Oct 2024 at 13:40: "I've speculated a fund raise by year end (2024) at 0.25p or less."

2 Dec 2024 at 15:09: 'll stick with my guess at a SP of 0.25p for the raise. What's your guess?"

~~

On 6 Oct 2024 at 14:32, I replied to your question with this statement: “There will NOT be an equity fundraise in 2024 and I am 100% confident.”

Despite giving my answer on 6 Oct 2024 at 14:32, you asked me again on 2 Dec 2024 at 15:09: 'll stick with my guess at a SP of 0.25p for the raise. What's your guess?"

I am at a loss to understand why you have asked me the same question again when I have already given you my answer. Anyway, here is my answer. I still stand by my statement that “There will NOT be an equity fundraise in 2024 and I am 100% confident."

Tony

You say: "A placing before any meaningful news wouldn't surprise at all with this lot."

I am of the opinion that since there have been too many equity fundraising calls recently I don't think the market will support a new placing unless it is backed by some solid good news of progress. I am already on record here saying there will NOT be an equity fundraise in 2024. More on this later.

80M could avoid a placing and still raise funds by sacrificing a portion of ownership of an asset. Should we keep an open mind on this possibility?

~~~

Chirpy

Thanks for confirming that ES has stated to you that they are not planning to spin out Disko.

You say: "He (ES) doubled down on the RNS (19 November 2024) and that they are looking at downstream activities."

I am still trying to get my head around the statement "The Company is also currently evaluating downstream opportunities in the sector and will advise as and if opportunities arise." - RNS 19 November 2024 - https://tinyurl.com/c6vb2wwv

I keep asking myself what opportunities? When does 80M intend to advise the market, assuming these undisclosed opportunities come to fruition? At this stage should one keep an open mind or write off the RNS statement as "It's all a load of tosh"? There are more questions than answers!

Chirpy - We can all agree that 80M will need fresh funds to progress its projects. The company's flagship project is Disko and progressing it is 80M's top priority. In fact, the new management has stated at the very outset that the company's primary focus is Disko.

On 13 June 2022, Rod McIllree proposed a demerger of Disko and wanted to go down the route of a separate stock market listing of the asset but was not able to achieve this objective because he failed to get the support of the major shareholders at that time. So, on 22 June 2022, he took somewhat of a drastic action and resigned from the company in the same month. I suppose one can conclude from this severe action by RM his strong feelings for the demerger of Disko and a separate stock market listing - https://tinyurl.com/bdkkwv2x

Now that RM is back as a major shareholder and is in the driving seat, will he try the demerger and a separate listing again as a way of raising the funds for progressing the project? He will of course have to take KoBold with him for the idea. Given the fact that Disko is a battery metals asset + PGE, plus IF the demerger is backed by KoBold then a separate listing has a decent chance of success in raising the necessary funds for progressing the project. As it happens, KoBold themselves have recently and publicly stated that they intend to list their own company in two years.

Let me now mention a couple of facts about the progress of Disko since RM resigned on 22 June 2022.

1. In October 2022, KoBold completed the fieldwork.

2. In September 2023, the initial results of fieldwork were released.

In December 2023, RM rejoined the company. In April 2024 a further update on the results of the fieldwork was released. This update identified seven priority targets that exhibited spatial characteristics indicative of potential deposits on a scale comparable to renowned mining operations such as Norilsk, Voisey's Bay, or Jinchuan (according to the RNS).

From the chronological sequence of the above events, one can see that Disko has progressed since RM resigned from the company in June 2022. Would this make RM even more emboldened to try and go for the spin out of Disko for the second time? If you have any views on this matter I would be interested to hear them.

​Chirpy - I am ​​pleased you contacted ES and thanks for the feedback.​ I am glad you used the opportunity to help ​ES get a feel for the market view from a retail investor.​ One of the main concerns ​of ​the shareholders is the state of the company's finances and this is reflected in the share price. I hope we will have some clarity on this issue soon. ​Also, we really need ​some strong announcements that would inject renewed confidence in the company's future. And nothing like one or two solid surprise announcements to cement the company's future.

Having considered the risk-reward balance in mind, I further increased my shareholding yesterday and will continue to do so if the "buy" price stays around the 0.30p mark.

Yes, on 8 Oct 2024, I did say: "I do not know when the (Disko) update will be coming out but my guess is this month (October)."

I am just as keen for the update as the rest of us and am sorry for raising hopes of it coming out in October. However, I did provide this update on 26 Oct 2024 at 14:23:

"Discussions between 80M and KoBold regarding the Disko project have been ongoing for some months. As part of the process, an important meeting between the 80M management and a "12-person-strong team" from KoBold was arranged to take place (yes, a “12-person-strong team” from KoBold). However, at the request of KoBold, the meeting was deferred until the company had completed the funding round. During the funding round, KoBold management was busy canvassing the support of potential investors. At the final count, 38 investors decided to come on board resulting in a capital raise of US$491 million. I can well understand why KoBold decided to postpone the meeting with 80M.

The good news is that no sooner than the funding round closed this month (October), the deferred meeting between 80M and KoBold went ahead swiftly. WILL WE GET THE DISKO UPDATE SOON? I HOPE SO BUT I HAVE NO IDEA WHEN THAT MIGHT BE OR WHAT IT MIGHT SAY. WE WILL HAVE TO WAIT FOR THE DETAILS. Patience is a virtue!"

I do my best here to keep people informed as best I can.