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In my view a takeover will occur before the remaining options are due, Mid Dec, which has been agreed to between the board and the Major Investor companies (yes, collusion). If that doesn't occur then a later 2022 takeover bid will save the successful company the cost of buying all these extra bonus options/ converted shares. Remember the initial 180 million options made up around 8-10% on the SOLG shares that were on issue at the time. If the takeover was say for simplicity sake at 1 pound per share, then the option holders would receive a profit of 40p per share. 180 million options equated to 32 million pounds profit and the now remaining 80million plus (60p options together with the extra 32p options) would still generate substantial profits for the holders. It has been suggested that these options would/will be distributed to the 800 odd employees (780 local workers) of SOLG. In reality these are only to be distributed to the Directors/Senior Managers of SOLG as their incentive. Nothing, I repeat nothing, was to be given to the general employees. Mathers initially was given the rights to 50 plus million of the initial 65 million assigned from the mid year distribution.....of course he and the others didn't take them up due to their poor management of our company over the last few years and especially the last 12 months. 5 million were given to Mathers and one other director (all of which was being paid for by a loan from the company), plus the million or so options allocated to the THEN company secretary and the PR officer & director. Should BHP or whatever company put in a bid after Dec 21 expiry date, they will not have to pay for the 180million 60 options. Won't Mathers and the rest of his merry band be crying then. This has never been about looking after all investors. It has been about Mathers and directors etc picking up more and more for themselves. What an absolute crock that when he resigned as the CEO, he was put in charge of the major management committees which included selecting who would be selected as the next CEO (failed); the completion of the new DSF (failed) and the list goes on. The major shareholders have a right to be concerned with the power that Mathers still hold in SOLG because he has failed all that have invested in this company and the other DGR subsidary companies he is still the CEO of. A cleanup of our present BOD needs to be done, and soon.
They awarded him over $400,000 when he resigned as CEO before taking up a position as a NED. He has more power with all his mates still in place throughout the organization. He has a consistent and long history of putting his own interest above others.
there are well over 150 million options that are due to be allotted in Dec 21. Mather has 5 million 60p options which is guaranteed from a company sponsored interest free loan to be repaid sometime down the track (not specified). JW had the same deal extended to him, while other directors and senior managers (Karl was allocated 1 million from memory). Mather had 50 million options which expired mid year... he didn't take them up because the share price was too low, but he was able to buy several million shares at 20 odd cent at the last drastically low capital raising price. He and the other directors didn't miss this opportunity to feed from the trough. How many have been geared to be allocated of the remaining 60p options as an "employee incentive scheme" will no doubt be announced before Dec 21 should there be a confirmed TO over that option price. Remember with 140million 60p options, for every 1 p increase over that price, it realizes 1.4 million pounds for the directors......say 1 pound sale price and that equates to 56 million pounds. Mather will be in for the lions share of this allocation as he has done with every other share option allocations.
Was hoping that announcement would indicate more details as to where the mineral were located in the various holes drilled and reported on. There was a comment that it could potentially be successfully mined though underground mining technique and then made comments regarding resource was located for various depths from surface. Unfortunately no graphs were provided at this stage to show where in the drill holes the concentrated minerals were found. Some of you may know a little more than has been released or at best can give a better understanding. Comment has been repeatedly made that a resource mined at surface would greatly complement another closely located mine worked through block caving techniques.
My understanding for the initial delay of the PFS was that they wanted to include possible resources of Tandayama with Alpala which would save quite a lot in the set up and development costs. The present conjecture is that Tandy will not be included. So why the delay for 12 months and possibly many months more? All we get is lies after lies or misinformation after misinformation. Every time the Board releases information down the track an analysis of the information proves it to be wrong or full of half truths. How anyone can believe what this bunch of bullshi..ers say especially that they can actually bring this company into a profitable producer when they cannot do the basics. Long drawn out process costing hundreds of millions of pounds with more money required to fix up the problems they themselves cause by ineffective and poor management.
One thing that Zoros forgot to mention is that the remaining 140million 60p bonus options (could be more or less) to be distributed to "SOLG Employees" as an incentive are due to expire in November and December 2021. Have no doubt that these options will create an INCENTIVE for Directors and Senior Management to entice a takeover bid before that timeline is met. If a takeover bid is achieved of say a pound per share, that's effectively 40p profit ( 54 million pounds: 140 million X 1 pound (minus the 60p paid for option) equals profit of 40p per share). Mather, and to a lesser extent some directors, have already had 45-50 million 40 & 60p options expire without them taking up their allocated entitlements. Suggest everyone keep an eye on this little game changer because you can bet the SOLG elite will be. Quite an incentive and fulfilled the need by possibly BHP and Newcrest to extend a possible takeover by them in the order of 2-3 years when these incentive options were first mooted. Average shareholders never thought that we would be waiting until the end of 2021......seems quite a coincidence now.
What are the chances that TAM and Alpala are linked directly further down underneath, i.e., a feeder system into both deposits? They are both large deposits over quite long distances separated by a couple of kilometres. Is there any chance they originated from the same system at lower levels than has been currently been drilled. I would rather seen the Cascabel deposits mined by JV/Solg and sell off POR. A lot of research and effort has already been put into Cascabel with roads, rail, electricity, water, permits, establishing camp sites and creating great relationships with locals. Our senior management teams are well versed with the Cascabel issues. Let another company deal with POR's as a new development etc.
We haven't been told what Mather is now receiving in his role as director. Perhaps this is his bonus in lieu of his pay dropping off from the $3.5 million p/a he was getting as the CEO. Mather was certainly one for getting his share of any bonus shares ....... remember the 30-40 million out of 55 million from the 60p options which expire mid year going to him. Only 5 million options was to be bought from a loan from the company so it is certainly feasible that a) this could be going to Mather and b) a loan from the company to the recipient is possible. It;s a gravy train for some!
With China playing games all over the world, especially with Australia and South East Asian/Pacific countries, (plus a few over in Europe and N'th America) I humbly suggest it might be in the worlds best interest that SOLG 'NOT" fall into Chinese hands and control. By all means let them buy the produced product, that is the copper, gold, silver and the other precious minerals (not discussed for some time but acknowledged to be there) on the open market. The prices of those precious minerals /metals will probably go up due to scarcity and demand pressures but to put this resource in the hands of one somewhat currently aggressive government owned control entity might not see any of the resource appear on the open/world market. China is known to be limiting access of various resources to others so why not keep the stuff out of Ecuador. Western and developing countries might regret allowing the Chinese to take this one. Sure today's shareholders might get a boost up but............... Real issues that need to be strategically and thoroughly thought out. SOLG, BHP etc., might just be allowing China to gain access by stealth and through the back door.
What will Nick be paid now that he is a NED? As the CEO he received over $3.5 million per year together with bonus options and first dibs as underwriter of fund raisings, which were all very profitable over this last decade or two. Will he maintain his disproportionate allocations of the Dec'21 60p options (usually at 50% levels) or will these be spread out to all employees as an incentive. Noted that millions of 34p options have been approved but nothing about who will receive these. Some have indicated that he would look after all small shareholders but the proof is in the pudding served up. Unless you are a share trader most small long term holder are down quite considerably. Know that quite a few holders bought in when SOLG share price collapsed from 50p when first listed and are sitting on huge profits (but of late down my 50%). Mather is still CEO of all the other daughter companies of DGR........and his style of management has seen most of these collapse in real value all while he picks up an additional combined income of around $800,000(A) p/a.
There has been a fair bit of comment on UK and Aust discussion boards that we have to wait for both BFS and CFS Reports to be completed and that they have been repeatedly delayed with an expectation that one might be released by the end of this first quarter or was that the end quarter of 2021. Who knows for sure? It was also strongly suggested that should a major/s actually conduct a takeover or JV then that major or majors would then conduct their own independent reports before proceeding with mining. BHP and Newcrest Mining, and the rest of the world for that matter, would certainly know SOLG is sitting on one heck of a proven Tier 1 resource. It is my belief that NM has been the road block, with his personal aims, ambitions and self interest considerations (stretch out more for his own gains....options, bonus shares and $3.4 million per year.......) which has caused SOLG share price to be at the mercy of day traders and MM manipulations for the last few years. With his resignation as CEO does anyone expect his replacement to receive anywhere near his current package, let alone the tens of millions of the remaining 60p Dec 2021 options still to be allocated. His self interest and possible greed has caused his demise and I for one am glad that he will be deprived of the power that he abused for so long. Sure he has some good skills which can be used to the betterment of of SOLG as an independent director. His his resignation as CEO, may at long last allow for a more balanced BOD that will give good and fair governance and management. Might even save a million or so dollars to be used for drilling etc purposes.
I might point out that as a shareholder in DGR, which owns approx 9.8% of SOLG, I was not asked for my opinion as to whether he, Mather, should be retained as CEO. Mather, who is also the CEO of DGR, used my interest in DGR to reinforce the vote for himself. Just presumed that he had the right to do so. I would suggest that possibly a reasonable amount of DGR shareholders might not have wanted their voting capacity in SOLG to go that way. DGR has been repeatedly held down by our BOD, most of whom are BOD in SOLG, to to seriously feather their own nests. Mather owns less that 20% of DGR but used 100% to help him in the recent vote to retain his power. Say 30% would vote against Mather's continuance as SOLG CEO, and the voting might have proven even closer that the 45/55 result to retain him. Just a thought!
You have forgotten that Mather has some 100 million 60p SOLG options that are due in Dec 2020. He has already shown time and time again that when his companies allocate options that the vast majority go to Mather. There were 50 odd million allocated which were due to be taken up in Aug/Sept this year...Mather had over 35 million of those. Haven/t heard if any of these were taken up at their 40p or 60p price.......would suggest that they have been allowed to expire. So Mather has 100+ 60p options in which to enrich himself should a take over occur above the 60p mark. 100 million options will cause an immediate 5% dilutions in the number of shares on issue. Mather's $3.4million (US) annual package in SOLG plus his $1 million from his other directorships (DGR and other daughter companies) plus his discounted price which mounted to well over $300k from his under writings at the various capital raisings would I suggest significantly give him incentive to drag the anchor as to when SOLG will be subject to a takeover or go to production in 5 plus years. He is looking after himself and continues to stave the small holders in all the companies he is associated with while he benefits handsomely.
A topic that has not been mentioned for quite a while is the issuance of the remaining 60p options due in Dec., 21. Roughly 50 million of the 40 and 60p options expired a couple of months ago. NM has been allocated 35million of those, with several other board and senior management allocated a million or so each. Nothing has gone out to indicate the expiry of these options. Also, BHP is sitting on quite a few million 37p options (tens of millions from memory) so there is already in place a significant dilution to the everyday and institutional holders should a takeover offer ever be put to the market. However, one would expect that none of 60p options will be exercised by Dec 21 should SOLG try and go it alone. My thoughts only.
Have seen any releases concerning the 40p and 60p options which were due this last month. From memory they amounted to 40 odd thousand or so. Most were allotted Mather but most of the Directors will miss out as well. Not significant but this will reduce the dilution to the rest of the holders. The rest of the options will be due in Dec 2021 so have some 16 months for a takeover will be necessary for Directors to receive their incentives. My guess is that we will not get an offer until mid to late next year.......as this will suit BHP and Newcrest who would have allowed this 'incentive scheme' to be passed in the first place. Both of these companies have averaged down and any takeover price offered hereafter will be reduced accordingly.
In my view Mather will not go to production. Should he attempt to do so then his 60 p bonus options to which he has already been allotted nearly 35 million will all but disappear in Dec., 21. There are another 100 million which he can get his, well deserved, hands on. His initial 40p plus 60p options which expired this last month have disappeared and it will be doubtful the price of our shares will exceed 60p, unless a takeover occurs or significant finds come about from our other permit areas, should we have to wait another 4-5 years before production. Remember Mather and Board have shown how they can dry up any and all information for long periods should it suit their purpose. I would think he would be very foolish to wait too long with a world recession/depression on a cliffs edge together with all the other issues including corvid-19, local counntry elections, China, and lots of other instabilities.
Can anyone advise when the 40p and 60p options are due? From memory it was this month or in July. Doubt whether any of them will be exercised at current share price levels. NM will be spitting chips that these freebees have or will soon disappear. He will just have to wait until Dec 2021 to replace this lost opportunity. With only 60 pence options left to be allocated, does anyone expect Mather to accept a takeover bid to be less than 60p/share? Only 180 million 60 pence options on offer....remember Mather has already allocated himself 35 million. Dare say at least double that figure will end up in Mather's kitty should a takeover eventuate, especially if T/O figure over the 60p mark. No risk and all profit to him and option holders. Share value dilution will occur to all other shareholders but hey, Mather will ensure all shareholders get true value!
It is about the time when the 40pence and some of the 60pence options are due to expire? Haven't seen who they have been allocated to but I think we can suggest which Director would have gotten the lion's share. At least should they not be exercised then that small dilution to the rest of the shareholders will have been avoided. Am waiting the the coming annual report to be released to see how many shares have been purchased by Mather from his $3 million shares as per his salary package with SOLG. This is the third of 3 years which he is owed the 3 million but there has been no allotment made to him.....perhaps he is accumulating same, 4 years = 12million dollars (US) to buy the 60p options which are due in Dec., 21.
There is another 200million options still in play should a takeover occur before Dec., 21. With the 130 million from these 2 latest and unexpected capital raising together with the 100million BHP last purchased, I think the total number of shares will be in the realm of 2.4billion shares. There are at least 180 million in play here. If you want to see more of Mather's strategy of 'looking after all shareholders' have a look at DGR on the Aus Hotcopper discussion forum. A CR that has destroyed DGR's share price with an out of blue capital raising with most the money going to support failed DGR daughter and new companies leaving only $300,000 in DGR's almost empty bank account. Every other company that he is currently Director of has collapsed with at least two have their shares down to 0.001c per share. Others have dropped over 90% as well. Have a look how Mather has accumulated a significant number of his shares in SOLG and you will see that have been granted to him for zero pence or well under 10p. Let us not forget the 35 million SOLG options he has gifted himself already, with a further 130 million still to come. To say all that is happening is to encourage BHP and/or Newcrest and or another major player to make a higher takeover offer. It was Mather that instigated the proviso limited them BHP to Oct of this year, before it could make such offer. A recount of the last 18 months: gone to war with Cornerstone, BHP, Newcrest and now DGR while selling huge chunks of the company at arguably discounted prices. How can we continue to trust this guy when he has and continues to destroy so many shareholder's investments.
theIceberg, Mather has been planning this for months. Have a look at the paperwork involved in this capital raising. Doubt Citi has any involvement in this decision other than confirming what NM had already started rolling with. Unfortunately, DGR holders have no idea how this will run in the short term. SOLG and Cornerstone are running with the wind and this CR could really dampen DGR's share price. We will see what happens after trading recommences this Friday.