The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Jersey - the new information relates to the recruitment of a new rig manager starting April and publication of tender for provision of well services, which suggests they are about to drill something imminently (whether for their own EWT or perhaps as a non-dilutive income generating lease of the rig to a neighbouring prospector, or to the TZ government)
Jock, you've missed out an important option in the list of possibilities there. How about the possibility they are about to generate some non-dilutive revenue through a commercial leasing agreement on the rig?
"Believe there was a leak last week for this to fly like this and at a constant level!"
It's hardly 'a leak' is it when they have published the recruitment ad for a rig manager on immediate start and tenders for provision of well drilling services?
"I mean, after all, what type of character spends anytime on a bb that doesn’t have a vested interest in the company anyhow?"
Err, people who have short positions or spread bets on the price going down, of course.
LOTM - "No one on here at least - knows the reason for the rise the past couple of days. Other than the company putting out tenders for drilling equipment for the rig..."
With that and the recruitment of a rig manager for a minimum 6 months contract starting April to "play a pivotal role in company and will be the primary point of contact for all rig operations" etc, you can be fairly sure the rig will be up and running something very shortly (either for the EWT or leasing out the rig to our near neighbours, or the TZ government).
Way off that stage yet. No-one is going to buy out an exploration company, or buy out the specific prospect, until the exploration company has soaked out all the risk of prospecting. If/when they have proven reserve estimates prepared to an industry standard they're on their own.
But it's equally likely they might be hiring out their rig short term to drill for Noble in the next door patch and to generate some revenue (proof of concept) for that side of the business. I doubt they're ready to commence their own EWT yet.
Funds are normally raised at a significant discount to SP, often pegged 20-30% lower than market price. If the SP holds 1p then a raise would be maybe 0.7p. The exception would be if they pull a rabbit out of the hat and surprise the market with good news and raise at a premium.
If they have any sense, and if they have any say in the matter, they'd likely opt for a positive news release (e.g. detailed analysis of existing data) to increase the share price before raising funds at a discount. But as we've seen before, they may not have that option.
Here's an older paper about geothermal helium extraction in India
https://www.geothermal-energy.org/pdf/IGAstandard/WGC/2015/39007.pdf
Also Mike Williams is on the books as Director of Operations. As you know, he’s a Technical Engineering and Operations Manager with loads of experience on remote drilling projects including East Africa, well engineering, drilling exploration, appraisal.