Member Info for Bozi

You didn't really get the point u was making Quady.

Another company, with a smaller but economically not dissimilar project to cascabel has been quoted double digit % points on their bond coupon. The situation would be no different in your $2.4bn of loans case.

Just think about what that does to the Cascabel IRR on current studies.

That I'd why Mather has relented and got into bed with Cornerstone and that is why the strategy has gone from development to a strategic review, the outcome of which will not be to JV the asset unless Mitsui makes us a very very generous offer.

Quady - raising finance for 100% of ENSA is so far off the table now I can't begin to explain.

I know you'll dispute it, and you're entitled to, but believe me when I say that no financier will go near Cascabel at the moment.

Look at the rates of interest we can all get on our bank accounts now vs 12 and 18 months ago. We're up at 1%+ vs 0.1% back then.

This unfortunately means that interest rates on debt have also climbed by the same order.

Those companies that snuck their finance in last year or in Q1 this year made an inspired decision, given that rates are set for further near term hikes.

There are some other good minerals projects out there looking for finance and they're getting nowhere. The horse has bolted, the boat has been missed. If we wanted to fund 100% of ENSA then it needed to be in binding agreements back when Ingo said he had assurances for £1bn.

This now needs to go to a company that can fund construction from it's own cash reserves. That rules many out. That cost of capital will beat anything banks, smelters and offtakers, streamers, and bond investors can offer right now.

I'm just being honest. Now is not the time to go out to the market with a large package, whether that be £3bn for 100% or £600m for 20%.

CMG - no I didn't.

I said I'd be interested in your workings and then you rambled on with some claptrap like "you've got your own system and you keep it close to your chest like a poker player blah blah blah."

Look at the thread. It's all there. And then you tried to threaten me by saying I wouldn't be the same in person.

Well what is the point in you getting involved in the discussion if you're not willing to explain yourself, share your knowledge, etc?

Stop casting aspersions, learn to give as well as take.

Smickster - don't get involved, please.

Until you have to put up with getting jumped on for providing an opinion and then accused for being a keyboard warrior (when I did nothing of a violent nature), then you should probably just hang fire.

CMG - enough.

I don't act smart. I discuss SOLG with other likeminded investors.

If you attack me though, as you started in your post at 13:57 and then ratcheted up at 15:01, then I will stand and fight my corner.

For the record, I'm not smart and I don't act smart. I contribute to the discussion here, just like everyone else. I've been corrected myself on numerous occasions and I will occasionally clear something up for someone else.

But if someone attacks me without knowing me for not having experience, as Redknight repeatedly has, or today in your case, then no, don't expect me to lie down quietly.

And another thing, I certainly wouldn't be backing down in person either.

CMG - I see you took one line with my post and ran with it.

My thinking for you being Novicehunter under a different account is because you use very similar language in a very similar way. You both manage to say a lot without saying a lot, if you know what I mean.

If you say you're not, then I'll take that at face value, and I'll point out that

1. My polite request from earlier still stands
2. You need to retract your comment about me telling people to sell.

We can call it quits there if you like and save everyone the cr*p?

No, CMG, it was you who brought the '40p range' up in your post at 13:30.

All I did was gave you a valuation basis for that sort of figure based on a post merger issued share capital.

You still haven't shared these figures with us all. Why are you so desperate to cling to them? Is it because you really don't know? There's no shame in admitting that, you know.

CMG - are you OK there? You seem really incapable of dealing with nuance.

In my last couple of posts I have said that on a pure valuation basis, assuming a discount to the latest NPV given the stage we're at, a valuation of $1.5bn might be about right for Cascabel.

I'm also of the view that if Jiangxi can add the competitive tension they've surely been brought onboard for, then it may be possible to squeeze more, provided that any interested parties extend themselves during a bidding process.

That's it. I didn't think I'd have to be so explicit but there you go.

I categorically am interested in what you have to say. I wouldn't have asked you otherwise. I don't know what you think I am, but I'm no manipulator.

I also haven't told anyone what to say or do, so you can retract that thank you very much.

Then you can run along and log into your Novicehunter account. Cheers.

Nah sorry CMG. I'm not buying that.

I've been clear as day here. I want them to spin the regionals off. I'll hold my SOLG until they're sold and then hold the regionals NewCo.

I'm just interested to hear from you, off the back of you thinking 40p was clearly too low, what your figures are looking like.

Cascabel can achieve more than 40p by the way, but there will need to be a fight and preferably one that ends with one fighter floored rather them calling it quits without laying a glove on each other.

CMG - because 40p was the price for 85% of ENSA plus the Porvenir discovery.

If SolGold sold say 80% of ENSA for $1.2bn, giving it an implied value of $1.5bn, that gives us an SP of somewhere in the 45p region. The company would then be under significant pressure to pay a special dividend and so everyone would only have the choice of trading out or holding and receiving the dividend, followed by a catered SP as it goes ex-div.

Then SOLG are still on the hook for 20% of future costs plus everything else they're trying to do. Market won't particularly like that.

So, the question that remains for you CMG, do you think SOLG could sell Cascabel now for a more than $1.5bn, and if so please can you provide your workings?

Orthern - sorry wasn't hugely clear with my last post.

I don't think the Canadian regulator is insisting the shares be cancelled and SolGold could sell them post completion. I'm guessing it's just the whole premise of CGP selling the stock up front and loaning the proceeds to SOLG as prescribed in Darryl's presentation.

That was probably questionable given the regulator's much tighter control on companies in general.

It remains to be seen what SOLG do and I take your point. I've nothing firm to back up my suspicions and have to admit I'm speculating. But it feels right.

I think that's exactly what it is Add.

We all know what happened in the summer just gone because of all the 'debate' it prompted and I think you're exactly right. The Osisko money is to keep the Cascabel train moving forwards, or at least give the impression, whilst the strategic review plays out to it's conclusion.

It won't Jezzoo.

SolGold have shown their capital management is lax and they shouldn't be trusted with a cash lump sum after farming out Cascabel.

It's the messiest solution and gives nobody a clean break. We'd be the minority partner and we'd be so heavy manipulated by the operating partner that it would be a hellish investment to hold.

Our capital requirements would be on their timeliness for example and as a junior generating no revenue but with a good sized regional portfolio to tend to, this spells disaster.

Quady

We've taken $50m from Osisko because we couldn't get the cash anywhere else. An equity raised being pushed by BHP/NCM was presumably rejected by Mather and his cohort and that left us in stalemate, so in rode Bob Sangha and Maxit Capital and a deal was done with Maxit likely the key pawn.

With regards the money from the CGP stock, I don't think we know what is happening with that just yet. We've taken a similar amount from Jiangxi in the last week but no announcements have been made regarding regional drilling strategy so I'd express caution about suggesting a regional programme. I personally believe it more likely that CGP shareholders will be paid 20% of the merger consideration in cash once ratified and the CGP shares will be cancelled rather than sold, and I expect the Canadian regulator has insisted it be done this way. One of us will be right and one will be wrong.

The strategic review is not looking for cost savings at Alpala. That is what the PFS upgrade was doing and it has been shelved by our new interim CEO, no doubt after millions of dollars has been spent on it in the last 6-9 months.

I'm going to stop short of being rude because I think you get enough of that but there's an element of you seeing what you want to see too.

At the end of the day, Bob Sangha and Maxit are leading the strategic review. Bob Sangha is the driver behind Cornerstone. Bob and Cornerstone wants out and will likely stop at nothing until they get their exit.

That Quady does not lend itself to a JV. I'm sorry. It just doesn't.

You tell me why SolGold would dilute itself to acquire the remaining stake in Cascabel only to farm most of it back out and keep everyone locked in for another 5-10years? It makes no sense.

The correct strategy here is to spin off the regionals in a vehicle that's ready to list from the getgo and demerger FR SolGold. Sell SolGold to the highest bidder and then leave CGP, Bob, Warren Irwin, Redknight and anyone else who doesn't want to play the spin off Co to sell their distributed shares as they please.

It means me, you and anyone who wants to play the regional portfolio can do so and we all get a payoff for the years of holding SolGold. Win win win win win.

But this story of pushing Cascabel on is done. Stick a fork in it. That goose is cooked.

But it needs the right voting at this year's AGM to get over the final hurdle. Fall here and we might as well all jump into the fire and cook ourselves with it. No thanks.

Copperpot - I'd say this is one of a limited list of factual statements from Redknight lately.

If the current board don't get re-elected at AGM you can bet your last euro that BHP and NCM will then nominate directors to the board in an attempt to control who SolGold goes on to appoint in Nick's, Twigger's and Clare's places.

If we think the beauracracy and infighting to date has been exhaustive then what comes next will need preparing for.

You can safely forget any notion of production and all possibility of a sale at anything like a fair price as the new board raises cheap equity to buy back what they can of the FNV and Osisko royalty deals.

SolGold's share price will be consigned back to single figures only this time there will be no catalysts for growth like there was back in 2016/2017/2018.

Add - I think they'll leave it until the AGM and let the votes of theirs and anyone else who agrees do the talking. But hey, I could be wrong.

TheItalian/BnC - I hope I haven't caused the offence chaps. I know you're both long-term and long the SOLG cause - I was simply just highlighting some accounts that contribute most days.

Redknight - DBW will be along shortly to ask where you want his cheque posting to...

I've no problem with DBW by the way. We're both emboldened in our arguments and whilst we agree on some points we're not completely on the same hymnsheet.

I do however think it's a bit remiss to single him out because you agree with him the most - in fact it's an insular way of thinking. There are more contributors to this board that are deserving of your praise. In no specific order

Addicknt
RCGL2
Sharketmare
LunchMoney

and even the rogue that is Fortissimo.

Good Sunday to all. Keep smiling.

The issue is that the KSZ is highly conceptual. They are literally looking for a needle in a haystack and they're trying to use technology to narrow down which part of the haystack to search.

The KCB is different however. Needles have been found before and we know where abouts in the haystack they should be located. We think our haystack is prospective for needles but we still have to prove it.

A discovery in the KCB changes the game for KAV. It brings the warrant bank into play and that gives the chance for everyone to prosper, but it has to happen soon.

Addicknt - your 9:43 post makes an excellent point that retail investors always forget.

A JV can mitigate short term financing risk but usually it is not the value creator that many like to think.

Undoubtedly it helped GGP for example because it allowed them sustain the Havieron discovery euphoria for longer than they would have done if they were raising their own funds.

But Cascabel is out of the discovery phase. That euphoria died down about 3 years ago. A JV now makes SOLG cash rich but it won't bring investors back given current market conditions unless SolGold went and made another significant discovery on a regional licence.

Then SOLG is trying to spread itself across funding it's share of Cascabel and the rest of it's portfolio.

What would happen if SOLG announced a JV next week? I suspect the SP would gap up and be sold off quite harshly, a bit like the merger announcement was.

The biggest value creator short term is a sale and long term it's a regional spin-off.

Copperpot- you've more chance of standing in some rocking horse **** on your day out in Cork than SOLG farming out Cascabel just after.... consolidating Cascabel.

Enjoy your day.