Member Info for Andii

There was a conversation earlier on telegram, someone spoke with Jason and asked about meeting the April target for delivering 5000T of manganese, here was the reply;

"Obviously he can't share certain things with me. But when I asked about hitting the 5k manganese this month for kilifi He reminded me that the plant can output this in 100hrs. That's just over 6 days double shift

Incidentally logistics being so simple and mine to port. Just 60km. Probably 5-10 trucks is all that's needed working back and forth"

Part of me actually hopes it is still 30p by end of summer as I may find ways to buy more

There's not much warrant pressure plus institutional investors seem increasingly interested in the story and with the expected continued newsflow to follow, I am quietly optimistic!

For an idea of how Kinuis might progress once investment is made, worth going back to the january 2024 RNS on the allocated exploration budget (which was instead spent on two manganese projects instead)

"At the Kinusi Copper Mine, the US$2.04 million, will be used to meet the costs of the previously announced Phase II Program of exploration activities and further work which will include amongst other things, the following:

Work will focus on the high-grade copper mineralisation at the main Sasimo Prospect

LIDAR and airborne geophysics survey

Drill access roads and drill pad preparation

Initial 12 -hole, 1,500m as part of a larger planned 5,000m resource drilling program aimed at defining a maiden JORC Compliant mineral resource estimate

Upgrade to site infrastructure, office buildings, access and haulage roads

ESG and community-based initiatives

The planned exploration activities will be completed in parallel with the installation and commissioning of the copper processing plant which is on schedule to be completed in early Q1 2024 and coincide with the commencement of larger scale open pit mining activities"

https://www.aquis.eu/stock-exchange/announcements/4435809

They have a digger and mechanical drills. I linked photos on Friday. We have been quoted $15/t mining cost in RNS then $100/t transportation. Pretty decent value considering a ton sells for $1400-1600. The only issue is scalability, for that they will need to automate and bring in more machinery. Would be nice to get an update on the plan/progress, and the metallurgy results

Hoof, those trucks are well less than 10ton capacity which means they must be shuttling the material to a larger truck nearby.

There hasn't been hundreds of thousands of $ spent installing large roads to site yet hence we are limited to these smaller trucks due to access.

Trucks being loaded

https://x.com/MarulaPlc/status/1909930453613551882?t=aEWRNb_IHhjvrAeXTiccYQ&s=19

How skint is skinton that he has to sell his shares when he is a so called billionaire.

>>>He has already provided over £2m to marula. The fact he may not be acquiring the new shares (32m odd worth £1.2m) since Xmas does not mean he is "selling his shares", just not acquiring new shares. If this is even the case. We await clarity on his position.

Here is his latest interview from 4 months ago

https://youtu.be/6PvZ2MQSQBc?si=O2I6RT99anAhAKUN

When is our plant commissioned. You know the one that Jason would be done last week.

>>He said wet commissioning would start at some point around last week/this week. Didnt he say 7 to 10 days, 13 days ago? It's not a massive miss IMO, and hopefully there is some flex in the contract if required to allow a week or two delay in supplying the full 5000T of manganese by the end of April

Here is the stockbox

https://youtu.be/6PvZ2MQSQBc?si=O2I6RT99anAhAKUN

Do we think Jason could be a compulsive liar or is it that he is stupid when it comes to running a company.

>>Every single project is a trial run for Jason. And every project has existing partners and a dedicated mine manager. It takes every single element of the project to fall into place in sequence for any self imposed targets to be met. At the end of the day, Marula don't have loans to service or hard contract penalties to pay if deadlines are missed so all a delay does is harm sentiment, and doesn't actually harm the future operational success. Being flexible with dates and slowing one project to concentrate on another is actually a positive attribute.

Why say something will happen if there is a chance it might not.

>>Jason is very optimistic and used to be a football manager. He is very glass half full and unfortunately in mining, more often than not delays happen outwith the control of the CEO.

So with the selling going on and the non commissioned plant Jason takes a week off and goes into hiding.

>>He works 340 days a year or more and very hard at that. He lives 1000's of miles from his son. Are we really begrudging him a week off near Easter time? There are local mine managers at every project who should be able to carry on operations as normal. The only "deadline" that has slipped is the copper delivery and that is and always was a trial shipment so I have no concerns if the original.stated delivery volume hasn't been met. Maybe we are keeping some copper back for one of the other 5 offtake parties who have come in at the 11th hour with a better offer. As stated, the price and nature of the offtakes are all confidential at this stage until contracts are written up. Maybe Jaspn expected to have earned $1m already from Kinusi by now. Wad the $1m required to install and commission the phase 1 processing plant? Does the offtale partner want to wait for material from the phase 1 processing plant before committing to an offtake agreement? Catch 22. But should be easily resolved once cash starts flowing in from Kilifi

Feklar, you asked about funding. There are 4 ways Marula can fund their growth.

1, the exciting share subscription. See 30th jan RNS

"Following the Drawdown, approximately £2.25 million of the £8.53 million has been advanced to the Company under the approved facilities with AUO and approximately £4.25 million remains available for the Company to utilise at its discretion across its battery metals projects in South Africa and East Africa."

Since that RNS a further £1 has been drawn down. There is some debate if AUO are receiving these shares or not or if they are being flipped by the broker CMC mentioned for the first time in these subscription drawdown RNS's from the beginning of 2025.

2. Issuing shares for projects. This has so far deemed quite successful with projects being acquired st 10p, 9p, 6p - always at a premium to the current share price. As Marula are pre revenue and have only to date drawn down £3.5m of the above subscription, they have on paper done quite well to develop Kilifi to the point it can start earning FCF in the next few months, Kinusi has copper being mined by hand and sold to potential offtake partners in advance of phase 1 plant being built (at a cost of £1.4m)

3. FCF. Should start hitting the bank as manganese sales at Kilifi start rolling in. Expecting over £5m free cash flow this year alone from that one project

4. Debt financing. This has been talked about for just under a year now but we need to be making money before thisnwill be considered. The prime candidate for this would be Blesberg and maybe Kinusi phase 2 if internal.cash flow isn't sufficient. Blesberg has all the equipment (almost ready) we just need mining plans and licences in place to start properly hard rock mining. There is also talk of a copper sulphate plant JV, details to follow.

As we have 4 active projects (Larisoro Manganese being the 4th), and limited funds, it seems we are currently in grid lock until one project starts making profits to unlock the other 3.

Strike is 1km by 300m. Initial exploration target is 10-15MT

Weight of ore approx 2.7tonnes per m3.

1000m x 300m x 10m deep x 2.7 = 8.1MT

If the resource is continuous at 3% copper, they only need to go 12m deep to reach a resource size of 10MT. Takela have been mining Kinusi for a long time so they know roughly know what they get out of the ground.

They only really need 2MT at 3% copper to cover the cost of the phase 1 and phase 2 plants and still be profitable. This should be easily achieved with so many super high grade veins sticking out of the ground.

2MT at 3% is the same as 10MT at 0.6% after all, if not even better as a lot less ore requires mining and acid consuming to produce cathode

If you start with 0.6% Ore (as Asiamet have), and your plant is located hundreds of miles in the middle of nowhere with no electricity in a jungle, obiously you need a more expensive plant...

Cost of new power plant and water plant, what, 20% of Capex?

To get 13ktpa of cathode at 75% recovery rate from 0.6% copper, you need to process 2.88m tonnes of Ore

Marula have power and water onsite. And they are aiming for 3% copper, and 10ktpa copper cathode so they only need to process 444k tonnes of Ore

So near infostructure, no power, no water, and less than 20% of the Ore required to produce 10ktpa

And all near surface with high copper content outcrops up to 20% copper content

I think we can safely say Marula's cathode plant can come in at 10-20% the cost of Asiamets

buk, video about the processing plant

https://www.share-talk.com/marula-mining-plan-to-start-building-copper-processing-plant-in-q4-2024/

designs for the processing plant

https://x.com/jb_miningafrica/status/1839564741628317791?s=19

cost of phase 1 processing plant

https://www.lse.co.uk/rns/maru.pl/revised-development-plan-for-kinusi-copper-mine-1m4yva8t9vz7qec.html

"the estimated capital costs for the phase 1 gravity concentrate, co**** jigging and fines dewatering circuit based on the quotes received is approx. zar 27.4 million (approximately £1.4 million), which will be funded from available, but undrawn amounts due, from the subscription agreement entered into with auo commercial brokerage llc in 2024."

and yes, its obviously behind schedule. likely down to available funds.

available cash should not be an issue shortly once the manganese plant starts delivering. are you aware of the kilifi processing plant and offrake agreement due to start end of april?

Oh right. Whatever.

To make sure important information stays ahead of the noise

Here is folder containing information about kinusi copper and kilifi manganese as well as a spreadsheet containing some detailed marula information. This is all unofficial so please read it as such. Much has come from official sources. Good place to start DD.... not financial advice. DYOR

https://1drv.ms/f/c/df0fa3fbb5aa5a45/EqvqVDthx8tOmM14bMmNvWgBtAZx0vct_74HKS_6uyj2HQ

Come again ppanchol? Please explain your thinking?

I haven't sold any (£2500 worth) since february when I was out of work. Rebought all and more in march when I started working again.

is there some rule where I should be locked into 100% of my holding indefinitely?

Did you miss my post 4th April 13:04?

At the end of that post i included this surface map of the geological sample results from geofields

https://x.com/AndrewMathieso3/status/1839594478111510641?t=NuwY815CezTAUv_6y6l-Cg&s=19

They also have the historical mining data from Takela, the partner and existing licence owner and also can utilise the data from neighbouring operations which have been producing high grade copper profitably for many years.

Buk, I have not and nobody has said the mine has an average grade of 20%....

I have said they estimate between 3-5% in the mineralised zone only

Geofields (RNS linked below) have an average of 2.5 to 3% across all samplea taken including samples taken outside of the mienraliswd zone

The 20% ore is not continuous, it is a high grade vein currently being mined by hand

Here is the geofields sampling results RNS

Average grades are around 2.5 to 3% including samples taken outside of the mineralised zone. This is for the entire tenement and the aim is to bulk mine

https://www.aquis.eu/stock-exchange/announcements/4292346

Pit 4 is very high grade and they are extracting copper ore at average grades of 20% from here. This is the trial shipments currently being shipped and sold.

Buk, I asked this question directly at the latest zoom meeting.

(Why trial shipments called concentrates?)

Answer = because the material is crushed, screen, sorted so not DSO

1km long, 300m wide, they already know where to drill thanks to surface outcrops. Likely only need to go 50m deep unless they find some large deposits at depth. In Tanzania. What price tag would you put on that?

Given the fact the mine was already making money previously, would you chose not to mine and wait for a MRE and definition drilling, and have to dilute the share holders massively, or star mining with a pilot plant, profits from which can pay for a full drilling campaign.

Option one or option two Buk?

Also, what did you think of the youtube video i posted on friday night with the large investor, CEO of AUO?

Marula don't currently have £2m or so cash to carry out a JORC compliant drilling campaign at Kinusi hence we are selling the high grade at surface ore first.