The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
"Altair could still have 700m to dump just on the recent loan for equity swap for their gross salaries"
or this all could be the DP/Altair master plan, dump dump dump, then crash the price and buy at a firesale price.
Anyone seen the film Trading places !
clearly one of the major holders has began to dump today, if it turns out to be one or more of the directors they really need locking up, could be altair getting rid of what the have left.
still the arrogance of the bod means none of them have the moral fibre to show their face, jvl is an utter ******, oh so quick to come out blowing his own trumpet, never has the ability to steady pull the reigns on this run away horse, dp is just a snake oil salesman that has been found out, baber clearly incompetent.
they remind me of the current tory government expecting to be congratulated on doing a fine job, when in reality they have made a major screw up at every level.
"On top of the BOD theres 23 or 25 engineers on the books"
And it still took the due diligence from an italian bank to tell them they needed to improve the efficiency of the plant, maybe we get rid of a few of DP's cronies and employ whoever the bank paid to do that work
@pic12, how many of your other AIM investments are currently sat at even or ahead of your investment even just two years ago, most of AIM companies are massively down in that time period so in the order of 90+ percentage, yes BRES has been a slow burner but new mining projects take years if not decades to get up and running, BRES have got this far in a fraction of the time others have taken, and with the funding now in place this should simply take off.
I would put £100 in a savings account and buy £100 of BRES then see where you are at the end of 2024, I don’t think you will be thinking the same then, if you get 7% in a savings account you will be lucky, this we’ll see many multiples of that in my opinion!
Your money, your choices
This farce is purely down to the BoD mismanagement of cash flow, numerous companies have posted poor results, a slowdown in growth and pushed back targets and the market hasn’t reacted in this way.
This reaction is 100% driven by the markets lack of confidence in the board to navigate the issues after already exhausting multiple revenue streams.
This week is pivotal for their existence, either come out and explain how they will steer the company through the next 12 month, or call it a day, move on and let someone else have a go, they couldn’t make a worse screw up of it.
I’ve given up trying to understand the reactions of the current market, all I know is that come the end of 2024 my investment here will be multiplied many times, just for sitting back and watching .
Could I make a little bit more by trading the peaks and trough s, probably but this is only heading in one direction now and I’m along for the ride, I have enough invested that if it does realise it’s promised potential I won’t worry on over or two percentage points either way.
The matched funding is a bit of a misnomer
The agreement between BRES and the DFC was for a split financing of the DFS, now the DFC aren't interested in checking the pennies/pounds that BRES are spending on the DFS so instead the two parties have agreed milestones that need to be met before the next phase of DFC funding is released.
Stage one has already been met (BRES have been working on the DFS for months at their own cost, ie paid for the bulk testing and have paid CPC engineering to do their work on the DFS so far), so hence the DFC are set to release the for $1M as soon as BRES request.
Stage two is already underway as we know from the company updates, we don't know the milestones but i'm sure we will hear as soon as they are complete and the next tranche of DFC cash is drawn down.
Stage three,Four and five will proceed in time.
So basically the funding is 50/50 but at no time will BRES have to demonstrate they have $1M cash in order to drawn down the next marker payment, they simply need to demonstrate that the milestones that have agreed are met.
If there are indeed 5 milestones to be met then the cost of moving from one to the next can be estimated at $2M, half paid for by BRES and half by the DFC, and keep in mind milestone one has been met already by BRES alone!
"I suspect some shrewd institution is building a stake here"
I would prefer they take an interest via issue of equity at the market rate rather than buy on the open market, that way the company has the cash to play with.
The DFC grant was only ever reported to "Joint fund" the DFS at 50% with BRES finding the rest.
Mike has always said we don't need to find £5M in one go but we will still need to fund our half of the activities, the £635K was part of that and i assume the £125K warrant uptake from the BoD will help also.
I think we basically have two choices here now (as nothing is likely to change in the management structure)
Sell up and take the hit, looking for another share you may be able to recover some cash from, or bottom drawer these for 24 months in which time they will either be bankrupt and worthless or will be worth around 0.25p and on the way up.
I have always tried to keep my average within about 20% of the shareprice but the last week has decimated that and now sit at around a loss of 65% on the remaining 16M shares, I considered investing more to bring the average down but have held off at present.
Next week will be decision time for me, lets see if the BoD come out with anything that marginally builds confidence going forward, we basically know the interims will be atrocious, but we need a no bull assessment on the viability of the company with the new "pivot" strategy.
Unfortunately this is the current market, as interest rates top out and begin to drop we will see more investors looking for growth stocks to buy, BRES is perfectly placed to ride that wave now.
Also remember that the last placing for £635K the investors took the shares basically at market price so the dilution was basically zero, if that can be repeated for the rest of the cash we need then happy days!
@Legalwolf don't agree that BRES have managed the DFC news poorly, you have to consider they were dealing with a government organisation where nothing gets done quickly, you also need to consider they have taken the initial news of the grant to fund the DFS and now we also have the possibility of full funding for the project these are major steps
@Cybertron, good luck with that, BRES have just removed two of the most difficult stumbling blocks for any junior miner, the cost of producing the DFS and the support for initial project financing before production starts. (They already secured £635K to contribute to the DFS and the board have committed £125K worth of warrant uptakes), So all going to plan.
This is a massive step forward for BRES, the SP may drop a little as traders take advantage but this has only one trajectory in the next 12 months.
The FCA should investigate the content of this weeks Deeside RNS compared to the March update,
There was no mention of issues between the partners on March but now we find out they were at loggerheads from the beginning of the year
You can’t trust a word this BoD says
DP should go, let’s give the French guy David Le Saint a go, he seems to be the only one able to deliver anything
Need to remember that most of the institutional warrants are at 8p, those guys aren’t stupid, anything below that level will see a nice return in 12-24 months
Well done team, let’s keep up the momentum now!
I get the impression from a few posts on social media with updates from JVL as this all seems to be part of the pivot plan
If that is true would explain why we think Altair have been offloading up until the beginning of the week and we get this news when they have finished.
Give his due JVL did actually come back at me when i told him he was absolutely useless, DP on the other hand has never responded to any query whatsoever
Dpalumbo @ eqtec.com
jvanderlinden @ eqtec.com
Everyone should contact the duo and ask for the update on current/ongoing financial situation and how they are paying the bills between now and april 2024.
Jeffrey Vander Linden
David Palumbo
If you get a response, please post
I still hold a considerable amount and at present a huge paper loss of around 67%
For me, i don't see the shutters comming down just yet, it is imperative though that the company sets out how its operations are to be financed until the revenue that has now been pushed back into 2024 is realised.
It is no good waiting until the interims are released, and no good letting everyone speculate whether the company will be able to keep the lights on, surely they realise the sh*t storm they have created with yesterdays announcement.
If we don't hear from them today or tomorrow that says a lot to me as to their mentality with regards the situation.