Member Info for Broomfielder

Well you are absolutely right onit, there's always next year.

When you think of Argentina with its budgetary problems etc., you really have to have a very special view of life if you can imagine our BoD having the wherewithal to grasp something (of value) from the fire and fight for the shareholders etc.

I originally viewed them as genuine but perhaps not equipped to deal with the complexities of the business, but now I consider them to be little more than complicit in others efforts to reduce PI's investments to zero so that they can promote their own agenda.

B

Whilst the dramatic SP movement seen in the past few days, no doubt, owes a fair bit to the various geopolitiical issues affecting the wider market, the fundamentals with Ormonde and its end product are sound.

We are of course not immune from the wider issues, but we are fully funded (without digging up our history etc., the lack of any potential further dilution is rare in AIM) and future supply of APT/ tungsten, at least in the short - medium term, may struggle to meet demand, provided the world economy doesn't totally implode. We have great quality Reserves with potentially much more to come and our modern plant is just about ready.

So, realistically we are in as good a place as we can be. Just don't expect everyone to see that especially when the media are in full swing with crisis upon crisis being seen everywhere.

I'm convinced our day will come (and soon!).

B

Some fairly large differences in bid prices today which seem disconnected to the trading activity.

Prices fell back fairly abruptly this afternoon for no apparent reason.

Oops! The apparent reason has just shown up in a 800k sale in the after hours auction.

In any event, we have still recorded fairly substantial rises over the past couple if days and I'm sure we will be happy if that steady upward trend continues. After all too much froth and it just attracts the herd looking for a quick turn.

B

If thats the case (and I don't doubt what you are saying here GFD), then we are all wasting our time and, more importantly, our money, backing the vast majority of AIM cos.

And to think that I thought (many years ago albeit) that PE was one of the good guys - just how wrong could I be!

A salutary lesson nonetheless, but even these kind of people still get shafted (as well as the rest of RUR's shareholders of course) in the great Bolivian robbery aided and abetted by the European Court in the Hague.

Still, we could be surprised - perhaps EdS have repaired their turbine and are now fully operational etc etc.....! Well the lights are on for the G20 meeting in Argentina, so you never know.

B

Hi GFD - I sometimes find it difficult to understand how WHI (and their like) get away with it quite frankly.

I acknowledge that the anodyne rules (laughably updated in March this year) that supposedly 'regulate' AIM don't help anyone, but for NED's to simply ignore their key responsibilities to shareholders, and in particular, the small usually private investors, is nothing short of shameful.

Regulation of AIM is also nothing short of a disgrace and those who support Regulation 'lite' must accept that it does the genuine investor no favours whatsoever in the long run.

In my experience, proving influence and actions etc that would amount to a party being held accountable as a Shadow Director is even more difficult than many an insider dealing accusation.

Shouldn't stop us all trying however as there is no shortage of crooks out there.

B

Reading the drivel from the Chairman of WH Ireland in its Interim Figs report, talking about 'continuing its transformation etc' and 'enhancing its offering to clients etc'.

Now I know they undertake various roles, but does he actually understand what the role of an NED is?

Because, its fairly clear that as far as Rur are concerned and the welfare of its wider shareholder base, they have yet to show up IMO.

....which means they shouldn't be charging any fees.

B

Although its been a very long wait for lth's thus far, with production now close to hand it should soon attract a wider shareholder base and provide a fillip to the SP. There will soon be actual figures that can be analysed and theres no doubt some investors will only get involved when there is greater clarity etc.

If the figures are as good or better than projected, then these investors will have to move quick as we are surely set for a breakout from the 4-5p SP levels.

Although successful and economic (ie profitable) mineral extraction is the first objective (and I think we have to expect some initial teething issues give the scale of the project), I hope Ormonde/Saloro can also start drilling to prove up the much greater Reserves we all think are located at Barruecopardo.

This will be key to Oaktree's eventual exit timing. I'm sure they won't want to get involved in deep mining but will want their returns through the open pit operation but still leave a few years of that left to a prospective purchaser along with hopefully some really stellar proven deep mineral Reserves.

I think we are finally on the threshold........now if only the geopolitical world/risks would abate for awhile....!

B

Very pleased with this - we are never going to get detail at times like this, but Co keen to (rightly) emphasise breadth of their market and actual/potential customer base.
Actual orders (however small) for new 3 V tech is a plus.
Statement from Chairman and Kongats taking more of a back seat from a public profile perspective at least, is simply a clear sign of the Co maturing. It may also reflect input from some of II's etc.
As good as it gets imo.
B

Agreed, an update would be nice, as would the civility of a response to the many enquiries/approaches made for the same etc.

Good news....?

B

Get the impression Orm must be featuring as a recommended 'buy' on someone's list.

Not complaining, but by Orm's normal daily share trading, todays buying activity I had hoped may have nudged the SP a bit more than it has thus far.

More to come though.

B

I am guessing that the absence of an RNS suggests the 'assumed commencement of maintenance works' at EdS' damaged turbine scheduled for mid October, has not materialised.

Thus the hoped-for resumption of full loan repayments to RUR by mid December are also likely to be fantasy.

So our zombie status continues it seems......at least until we finally use up our 'temporary' borrowing facilities.

Its just a tad frustrating that our BoD refuse to respond to all attempts to get any info whatsoever........!

B

Amazing that such tiny trades (appear to) have moved the SP over 20%.........but then again with a spread of more than 40%, the MM's are free to play their little games .....at our expense!

In my view, we (lth's) are now at the point of relying on miracles.

B

With sales and licence deals being announced with the kind of counterparties that make people sit up and take note etc., we are still a bit off yet but we are approaching the sort of critical mass that could make one of these majors want to 'secure' their position and supply etc.

Acquiring CPX for one of these players, at this stage, would be petty cash..........but it may not always be.

With most acquisitions, the Purchasers want more than a degree of certainty as far as future income etc is concerned avoiding being eclipsed by a competitor etc. In my view, we can't be too far away from that fairly soon.

B

L200 - To the best of my knowledge, the JV Agreement, including all the detail attaching to both the equity and debt funding elements have not been made public. What we have seen are fairly bald Heads of Terms.

From those, it shows that the funding package is placed with Saloro SLU, the Project vehicle. This then is where the debt is.

Ormonde will have a 30% shareholding in Saloro. So its not quite the same as the debt being in Ormonde's name........unless of course some formal guarantee or other legal obligation had been created.

Such an obligation has not however been disclosed in any of Ormonde's Accounts nor has there been any suggestion this was ever considered........hence ref to our Co's 'free carry' (sic) in Project Barruecopardo!

So we are invested in a debt free Co.

B

I'm sure that PI's, myself included, were pleased to get the positive feedback from the AGM - generally, the Project has come in on budget with only a minimal slippage evident in timescale etc.

The 'plusses' as I see them in our Project, include the high grade of APT within Barruecopardo, simplicity of the open pit extraction, exceptionally quick pay-back forecast, development fully funded by a deep-pocket investor and to my mind, the absolute key - that once in production - Barruecopardo will contribute c12/13% of non Chinese global output.

This, coupled with early drilling confirming much more Resource at depth exists within the mining area, are 2 key factors likely to interest potential purchasers and ultimately drive Oaktree's eventual exit.

IMO, Ormonde will be unlikely to be able to fund Oaktree's exit when it comes with a trade sale to a major player being the most likely.

But I'm getting ahead of myself, we still need to get into production. Once we get 2 consecutive quarters of positive cash flow, Ormonde's Management fee will revert to the original £1m instead of the renegotiated £0.75m and with Overheads being kept under scrutiny, it was pleasing to note from the Interims that no drawings have been made under the Working Capital facility negotiated by Ormonde with Oaktree.

And as soon as our persistent seller gives up, we might just see some meaningful upward movement in the SP being sustained.

As they say, 'steady as she goes'.

B

Appreciate the feedback on the AGM T-REX Baz. Thanks.

B

It looks as though the Administrators of Sterling Trust have been granted a further extension although as the Doc is not yet 'visible', I cannot ascertain the timescale nor indeed any conditions or caveats attaching.

The existence of 'several potential realisation strategies' which apparently would be compromised were ST to be placed in liquidation, continues to be the logjam reason for no progress being made. This is no doubt due the underlying issues you highlight GFD.

Of course what precisely these 'strategies' are.....are not for public consumption it seems as this could impinge on the outcome etc. (As per the Co House Official Doc.).

So we seem to have a never ending circular argument ........ I actually prefer your take on things GFD. Its probably altogether more accurate.

B

Like others who have already commented, it is difficult to see just exactly how we incur Overheads of anything like the levels quoted. And thats at the reduced levels disclosed in H1 v previous period etc.

Now if we had a dynamic BoD, we might just kid ourselves on that we should live with it but for our moribund shower, its simply not acceptable.

Its certainly my first experience of being a shareholder in a Co which is invested in a 50:50 JV and we seem to be simply passive in approach. The JV Co (EdS) is technically a stand alone entity governed by the JV Agreement. But by every measure EdS' business model has been compromised. With or without a formal default (in the Loan from RUR), we must surely be in territory where either / both Joint Venturers are able to take steps to protect their investment. Such circumstances should be clearly documented after all.

Instead we get commentary that could suggest our BoD are speaking to the tea lady!

Can't someone from our BoD get on a plane to Argentina (having called a JV Board meeting beforehand) and get all the facts and at the very least present RUR shareholders with a plausable way ahead??

Unfortunately, RUR does not now have a single employee/Director it seems that understand how to operate our Co. Its quite staggering when you think about it.

No doubt thats why the Board rep from Sterling Trust hasn't fed back any radical options for the way ahead to speed up the disposal of our assets leading the liquidation of RUR and its investments in due course.

B

.......looks like our SP is headed that way.

B

Quite apart from the laws relating to Corporate Governance, is AIM really so loosely regulated that what passes as our BoD can sit on their hands and ignore shareholders with impunity?

Now, in fairness, they may be working beaverishly behind the scenes although I seriously doubt it, but of course we wouldn't know as they appear to be stuck incommunicado.

I think its fair to say, most shareholders must be getting truly fed up with this situation.

B