Member Info for CAW1

Hi LB, not too clued up ref options but I think that refers to 2018 when they received them. Cost to exercise them is the 780k so their options come stock with voting and dividend rights.
GLA

Could well be the reason exe salaries increased to cover their allocations. Granted they should have enough personal wealth to cover but most people don’t have a spare 100k cash floating around as an example.
GLA

Hi LB and all,
‘Currently those options (at 5p each) are worth £6.5m, at zero cost to the individual recipients. ‘

I think the average exercise price is 0.6p so would cost in total 780k for people to take them up IMO. No brainier as at 5p sp would be a 8 bagger if sold, however they would need the money upfront to be granted and would come down to the individuals they are destined for and not the company to front the cash - could be wrong though.
GLA

Yep can read but need licence first before they can procure land rights!
Hence point 4

iv) assistance with other matters which may include various issues including, but not limited to mining licensing support.

GLA

RNS says ‘potentially speeds up’ but either way this is the complete framework EUA signed up to. Seems not much support for reapplication of Nyud which was after 6th Dec, 27 April. Also not much support for NKT extension licence and any other licences applied for this year we don’t know about

GLA

In the framework of this application, Eurasia has signed the ERDC Agreement providing that ERDC shall procure:



(i) land use rights for all Eurasia's projects in the Arctic (both Eurasia's own and all projects included in the binding agreement with Rosgeo), which will be an important contribution to an uninhibited development of the projects in the region. All the land plots of all Eurasia's projects on Kola and all projects included in the agreement with Rosgeo are included in the Appendix to the ERDC Agreement.



(ii) investment and business support for Eurasia and incentives (such as tax benefits including, but not limited to a 50% reduction of mineral resources mining tax (NDPI), partial repayment from the budget of social security contributions, so that the effective current rate of social security contributions would be 7.6%; non-tax benefits (subsidised interest rates on bank loans, reduced tariffs for utilities including gas, electricity and water);



(iii) assistance with the long-term contracting of green electric energy (hydro energy) in the region (with no CO2 emissions) that will further contribute to Eurasia's ESG credentials;



(iv) assistance with other matters which may include various issues including, but not limited to mining licensing support.

Evening all, from interim RNS

‘The Definitive Feasibility Study for the Monchetundra (West Nittis and Loipishnune) open pits is well advanced and on schedule for completion this year. Details of this report will be provided when a response is received from the relevant authorities‘

Not sure if the last sentence has been overlooked but doesn’t really matter imo if ‘on schedule’ to be completed in November or by end of year. It then will be passed to relevant authorities for rubber stamp as previous update said ‘on schedule’ to be submitted’. So if timeframes for this DFS follows the last one we will be lucky to hear anything before February/March next year IMO
GLA

Evening LB, I can’t recall seeing anything on Nyud being resubmitted but may be wrong. It has never been logged on Rosnedra site.
Only licence changes I can recall is a slight change to Tipil before it was granted and NKT extension being rejected on Rosendra site and resubmitted with a small change in coordinates to not cross a monument and this is still under consideration
GLA

Evening all,
Judging by WK DFS approval, MT DFS approval will most likely end of January IMO. Note the steps below, MT will only be submitted in November and then needs 2 approvals if WK is to go by. Judging by the length of time Rosendra take to approved licences (and EUA have licensing support through the ERDC) it could be longer.
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/w0mq38x

Timelines for WK DFS
18/08/2020
"A Definitive Feasibility Study (DFS) to encompass all resources at all the sites of the production license was commissioned with GeoInvestProject (GIP) and is on track for approvals this year."
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/w11104w

03/12/2020
"As previously announced, the Company had engaged GeoInvestProject ("GIP") to prepare the DFS for its West Kytlim project. The DFS has now been approved by the working meeting of the Russian State Committee on Reserves. The final approval is expected to happen this month. The DFS approval is an important milestone for the West Kytlim project for several reasons:"
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/xlq29pw

21/01/2021
" is pleased to announce the approval of the West Kytlim definitive feasibility study ("DFS") by a formal meeting of the Russian State Committee on Reserves"
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/xpppq1x

GLA

The timelines are crap though. Non binding offer mentioned in RNS 21 January 2021

'Since launching the Formal Sale Process on 1 July 2020, Eurasia and its advisers have engaged with a wide range of parties, and have to date received non-binding offers in respect of both a possible acquisition of the Company as well as other transaction structures.'
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/rd9zl9x

'Further to the proposal (the "Proposal") from the credible party (the "Buyer") on the potential asset sale announced via RNS on 12 May 2021, the Buyer has informed Eurasia in writing that it has successfully completed its due diligence.'
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/xozgjmw

Why the BOD did not initiate the DFS for MT in Jan 2021 or 12 May 2021 I do not know - if it is one of the original buyers requirements it should have been done asap

IMO Could well be another interested party that requested DFS and nothing to do with the initial Non-binding offer/DD buyer
GLA

Lets say a DFS takes 6 months - if it was a requirement from the

No idea Mac - questioned answered
GLA

Hi Mac, again this is your view, thoughts musing etc I have mine and if yours are proven to be correct great there is upside to mine and I potentially get a better return for all invested.
Really not sure why you are hell bent on pushing your view as history speaks a thousand words and I don't think any of you predictions, thoughts, musing, interpretations have come true in the last 3 years I have been on this BB. As you would say it's all there in the history! Most of mine haven't either but have never pushed them, just put them out there to be discussed.
As I said before you are entitled to you view and I hope you are correct this time as it is a better scenario for us all generating potentially a better return.
GLA

Again super rampy

from last AGM questions last year
'Q1: Why is the company seeking further authority, given a large fundraising has just been undertaken?

It would be quite unusual to not seek authority and these resolutions are put to shareholders at every AGM. The Board considers the Company very well-funded and does not currently have specific intentions for a further fundraising, however, the Board asks that its members make that option available, for example, in case the Rosgeo Joint Venture development this year results in proving a resource higher than already released (104.6Moz Pt eq) and only if further funding will add value to Eurasia taking into account the implications of shareholder dilution, which the Board and management prefer to limit, being collectively the largest shareholders in Eurasia Mining.'

So what has changed to make it 'quite unusual' - something has been sold to mitigate the need.

GLA

And if you want to look at it in a super rampy way
The reason there is no resolution to give the BOD the ability to raise funds is that something is sold dependent on MT DFS, again my view this being MT, NKT and Nyud giving them £350m in the bank if sold at £1.7b
GLA

Mac - that is your view and not officially RNS'd
If they sell Mt, NKT and Nyud at 60p
Back of a fag packet calc
2,853,559,995 shares @ 60p = £1,712,135,997
as per dividend policy 80% paid out to share holders leaves
£1,712,135,997 * 20% = £342,427.199

It doesn't matter if they have no money left the day before they sell the 3 areas as they will then have c£350m in the bank.

GLA

Morning Mac and all,
I am not here to argue or force my thoughts/opinions on anyone but to use the BB as it was attended to be used for and post views, facts and research etc to help in the collective goal of the people actually invested or thinking of investing. That being promoting and trying to make sense of what we have been told is going on by the BOD in officaial RNS and accounts and what could be going on if you read between the lines and there is a hell of lot of that required with the BODS communications and in my view deliberate vagueness.

All I am saying is that the only official commitment the BOD have told us with regards to the Rosgeo JV is that they have applied for the licence, completed a draft Jorc and then I presume, not confirmed will pay the 25% at what ever cost that is, again to be confirmed to own 100% of Nyud - no other project

Show me where they have official as you put it in black and white with in an RNS they have specifically committed to another one of the JV projects. I have not seen one and thus is speculation/reading between the lines/taken snippets of RNS's to validate your personal view and that of course you are entitled to.

Officially as it stands today and what has been RNS's for Monchetundra area
NKT (previously MT Flanks) - Jorc completed and shared
MT DFS to be submitted in November
Nyud Draft Jorc complete

The EUA official website and map alludes to this as on MT, NKT and Nyud visible on map - again my view
https://www.eurasiamining.co.uk/operations/monchetundra

It is my view that until I am told by the board officially that they have committed to another project, like they did for Nyud that they are hoping to secure the DFS for MT (hopefully they are do JORC simultaneously if that is a requirement of the potential buyer - jorc part not confirmed) that they are lining up all of the ducks for these 3 areas

MT - DFS complete - JORC hopefully - submitted in November
NKT - Jorc complete
Nyud - Jorc complete

All 3 areas ready and and having the same studies complete to maximise value. Once the DFS is approved post November then everything is ready to sell all 3 of these areas.
They may activate the 75% of the other areas but again my view is that they will then sell and get out of there.
Anything more than this is a bonus.

My musings - When you look at the AFC report valuation I believe it was SP £1.20 for MT, NKT and WK and take off WK and add NYUD and factor in the war

£1.20 - 20p (WK) + £? (Nyud) and times by war effect - 50% you get in my head something around £0.60 to £1 a share if these areas are sold. Anything above is a bonus - whats not to like!
https://acfequityresearch.com/eurasia-mining/
GLA

There is only one commitment to the JV that has been confirmed by an RNS and that is Nyud. The rest is as the below states up to the company if they want to progress and secure the initial 75% and then Jorc it to obtain the final 25% and I have not seen any confirmation that they have committed to any other area.

‘The Rosgeo Agreement allows Eurasia to gain a 75% equity stake in each of the nine new mining assets (the "Additional Assets"). The remaining 25% equity stakes will continue to be held by Rosgeo.

Eurasia has paid an initial consideration of c.US$0.5 million of cash (the "Initial Consideration") for its share in the JV. In addition, incremental consideration would become payable under an earn-out structure (the "Earnout") in the event that Eurasia decides to proceed to develop the Additional Assets. The total of the Initial Consideration and the Earnout (if applicable) is capped at 75% of the value set under the relevant Russian law if the Additional Assets had initially been auctioned by the Russian state instead of being acquired by Rosgeo.

The decision on whether to proceed and thereby incur all or part of the Earnout is wholly at the discretion of Eurasia. The Earnout (if Eurasia decides to proceed) will be spread over the period of the development of the Additional Assets. Eurasia has 24 months in which to decide whether to select some or all of the assets to develop. If Eurasia determines not to proceed with any assets, no consideration would be due beyond the Initial Consideration.’

‘The Company is pleased to announce that the first joint venture company, Monchegorskoe LLC, was created to hold the licence for the Nyud open pit PGM and battery metals deposit ("Nyud"). Eurasia's 100% subsidiary Yuksporskaya Mining Company / Yuksporskaya Gornaya Kompaniya ("YGK") has signed a notarised agreement with Rosgeo Group company pursuant to which YGK will become a 75% shareholder in Monchegorskoe LLC after the licence for Nyud is transferred from Rosgeo to Monchegorskoe LLC. Euraisa, through YGK, will also have a right to acquire Rosego's 25% shareholding in Monchegorskoe LLC upon the completion of a JORC Code compliant competent persons report on Nyud.‘

GLA

Think is more like get MT, NKT and Nyud to required level for sale with Jorcs and anymore firming/required enhancements up etc. Buy the other 75% of the 5-7 areas only and then get the hell out of there once sold.
GLA
Still agree to disagree Mac

Or IMO the initial 75% of Nyud was cheap as chips and then acquiring the last 25% which has been proven by Jorc has cost 65% of funds with the required WAI fees included for the Jorc.
Can't remember the exact figures for Nyud but your not going to pick up billions of pounds worth of resources for a couple million pounds.
The way the 75:25 JV was set up steers towards the 25% after Jorc being the 'expensive' bit.
GLA
In response - Mac, will agree to disagree!

GLA

Not sure that we will get visibility of the DFS in November as the watch out word in the quote from the BOD is "Submitted".

Timelines for WK DFS
18/08/2020
"A Definitive Feasibility Study (DFS) to encompass all resources at all the sites of the production license was commissioned with GeoInvestProject (GIP) and is on track for approvals this year."
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/w11104w

03/12/2020
"As previously announced, the Company had engaged GeoInvestProject ("GIP") to prepare the DFS for its West Kytlim project. The DFS has now been approved by the working meeting of the Russian State Committee on Reserves. The final approval is expected to happen this month. The DFS approval is an important milestone for the West Kytlim project for several reasons:"
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/xlq29pw

21/01/2021
" is pleased to announce the approval of the West Kytlim definitive feasibility study ("DFS") by a formal meeting of the Russian State Committee on Reserves"
https://polaris.brighterir.com/public/eurasia_mining_plc/news/rns/story/xpppq1x

So if they are only "Submitting" in November there could be 2 months to add on for the approval process if the WK DFS process is the bench mark.
Hopefully there is an update in September. likely the 30th when the interims come out.
GLA

The good thing is Mac we are disagreeing on the amount being sold and not whether anything will be!
With the geopolitical situation selling just the 3 could be seen as maximising shareholder value as goal post have moved. As an example negotiated full price sale for the 3 and give them access to the other 7 JV projects for nothing - personally doesn’t seem a bad deal as Russia stands currently
GLA