Member Info for Cowichan

May 3,2024

We are pleased to announce that, after a successful trial, Centamin has signed an agreement to adopt VoltVision’s ViViD Power Monitoring Platform at their Sukari Gold Mine in Egypt.

VoltVision will digitise Sukari’s entire power network, without the need for equipment replacement or major shutdowns. The project will include Sukari’s underground operations, process plant and power generation units, comprised of their newly installed 36MW solar park and 50MW heavy-fuel operated power generators.

More specifically VoltVision will:

・Enable the engineering teams to accurately monitor and analyse their power in real time

・Supply high resolution data to the Power Management System improving its ability to manage the relationship between Solar PV vs HFO

・Automate a data driven, real time, reporting capability for engineering, finance and ESG teams at site and HQ.

https://www.linkedin.com/posts/voltvision_netzero-decarbonisation-sustainablemining-activity-7192112745553494016-f1xy

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Endeavour utilized VoltVision last year for all its mines

A couple important monitoring features:

- fault prediction on larger motors

- improvement in power outage recovery time

- increase in protection equipment effectiveness

These issues will become increasingly important as the switch to Egypt's grid power will introduce new threats to continuity of power (& thus equipment safety)

Anonymous accounts pop up with p*rn click bait link to article - Mr Horgan is this you ?

https://twitter.com/amurzozo60449/status/1785689080140828888

https://twitter.com/LynchEwald95826/status/1785593446813585441

when the CEO can't wait for his free shares to vet to sell

when the CEO fudges numbers to make targets

when the CEO couldn't be bothered to hold a bit longer for the dividend

time for a new CEO who actually believes the shares are undervalued by the market

and has a plan to turn the perception around

or maybe CEO Horgan knows the shares are fair to overvalued considering undisclosed risk

Last updated: April 30, 2024 3:07 pm

Egypt’s Prime Minister Mostafa Madbouly and his Belarusian counterpart, Roman Golovtchenko, witnessed the signing of several agreements and memoranda of understanding (MoUs) on Tuesday. These agreements aim to bolster cooperation between the two countries in investment, trade, and capital markets.

https://www.dailynewsegypt.com/2024/04/30/egypt-belarus-deepen-economic-ties-with-investment-trade-capital-market-agreements/

https://www.reuters.com/world/europe/lukashenko-talks-up-threats-belarus-justify-nuclear-deterrence-2024-04-25/

April 25 (Reuters) - Belarusian leader Alexander Lukashenko said on Thursday his country was facing grave threats internally and externally that had required it to change its security posture and allow Russia to deploy dozens of tactical nuclear weapons on its territory.

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The few remaining institutional Centamin shareholders will have less and less reason to hold their shares as Egypt becomes more aligned with Russia's axis of evil -

- the writing is on the open pit wall

Whilst Endeavour warrants a 'hold' ?

Endeavour's mines have the threat of being expropriated in Burkina Faso.

Gold is at record highs, Sukari's waste moving contract costs are about to end - shouldn't this be the time free cash flow improves for Centamin?

https://www.proactiveinvestors.co.uk/companies/news/1046149/take-some-money-out-of-gold-miners-suggests-liberum-1046149.html

Mason Lees

Exploration Geologist - Camborne School of Mines

It was an excellent experience spending the last few weeks at the Centamin Sukari gold mine, Egypt.

Overall, a great deposit to see the effects of both brittle and ductile deformation on a large scale within a porphyry style deposit.

Looking forward to completing the project with the MRM team over the next few months.

https://www.linkedin.com/posts/mason-lees-246824165_it-was-an-excellent-experience-spending-the-activity-7189622185198596097-fpLD

underground pic on link

Zaki Hashem, Attorneys at Law

ZH&P brings Victory to Centamin!

We are proud to announce that our over decade long representation of Centamin in the dispute over Sokari gold mine concession led to a verdict by the Egyptian Supreme administrative court in favor of Centamin.

Our firm has been representing Centamin over the past 12+ years in the lawsuit filed by a third party challenging the validity of the exploitation license issued to Centamin under the Sukari Concession Agreement – considered as the largest gold mine project in Egypt.

Initially, our late Senior Partner Youssef Abou Zeid had laid the groundwork and created the roadmap for the lawsuit while our Partner Hossam El Habashi capably carried out the actual management of the file. The matter was also overseen by Mohamed Kamal, our Partner and Head of the Arbitration Department.

We congratulate Centamin and our team for this landmark victory.

https://www.linkedin.com/posts/zaki-hashem-attorneys-at-law_zhp-brings-victory-to-centamin-we-are-activity-7137774411666866177--zng

https://www.linkedin.com/in/sara-abdel-gabbar-60b65013/

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...In With The New

The Word Is

The ongoing $100 million dispute hasn't been officially filed as litigation yet, and may never, if Centamin capitulates to Egypt's demands. It is unclear if EMRA is completely on board with the possible lawsuit, albeit EMRA is playing both sides to secure additional $$$ for Egypt

A balanced & honest analysis - much appreciated considering the vitriol from some who should remain nameless but won't ( MrBond/Mizolgit/Steve-0) who are all the same account w/ fake personalities

the factors that led to my decision to sell Centamin ( yes I missed the rise of gold & subsequent spike in Centamin's share price ) are thus

1) CEO Horgan is a serial fibber , he's been called out many times for a host of irregularities including ; misappropriation of funds ; dereliction of fiduciary duty ; manipulation of data ; omissions of serious ongoing concerns ; the list goes on - whether Horgan does it to fool institutional accounts , enrich friends at Capital, maintain kickbacks , it's all going to catch up with him soon

2) Horgan had no proven strategy to grow or diversify - depending on gold to rise perpetually is not a strategy - it's just masking his deficiencies

3) the smart money had been selling for quite some time -

4) the EMRA is in an accounting dispute with Sukari operations - how that gets resolved may only be monetarily , but still it's enough to hamstring the company

5) the executive terms of the new Egyptian concessions have yet to be finalized - there doesn't seem to be a will to do so, as it's become a bargaining chip to hold over Centamin's head to squeeze more $$$ from the company over point #4

just because Centamin doesn't want to admit the EMRA has a legal case against them (in their professional opinion) doesn't mean the EMRA won't make the situation difficult until they get what they want, and what they want is more $$$

that is why the dispute isn't directly spelled out in the latest annual report, which it ought to be

Https://ca.marketscreener.com/quote/stock/CENTAMIN-PLC-9730915/company/

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LTH's do you have any doubts the smart money has all but left ?

What have the institutions been advised that retail investors have not?

Perhaps the EMRA is claiming some large amount in back payments - perhaps the open pit resources are about to be discounted - perhaps the CBE accounts receivable owing is in jeopardy - perhaps the cost to build Doropo will be prohibitive - perhaps all this and more

Is that so?

On the Egyptian Uprising Against Electricity Cuts

April 18, 2024 at 8:18 am - by Mostafa Abdelsalam

The Egyptians’ uprising, this time against cutting off electricity, which resembles an Intifada, has valid and logical reasons. In addition to suffering from total darkness and the social and security problems it causes, the deteriorating living conditions, food spoilage, damage to electrical and household appliances, such as televisions, refrigerators, air conditioners and fans, and people being stuck in elevators for more than an hour, Egyptian families are approaching school and university exam dates, which fall in May and June.

Moreover, the crisis is also close to the summer months and, if the power cuts start from now, what will the situation be like when the scorching heat descends on Egyptians during the summer months?

Cutting off electricity will not only affect the livelihood of Egyptians, raise their anxiety and disturb their daily lives, but may also extend to vital sectors such as production, tourism, agriculture, economic growth and businesses.

This is a major issue if we are talking about real plans to encourage direct investment and increase state revenues through the vital export sector. Export contracts will not be signed in the midst of power outages and an increase in the cost of production, taxes and fees.

While one of the reasons given by the government for cutting off electricity since last 17 July is related to the lack of foreign currency needed to finance the import of fuel from abroad, what is the justification now, after tens of billions of dollars have flowed into the state in the past few weeks, whether from the Ras Al-Hikma deal, international institutions loans or hot money exceeding $17 billion?

The Egyptians feel that there is something fishy going on with regards to the electricity cuts because the aforementioned questions and others have no satisfactory answers, most notably: Should the Egyptian citizen have to sacrifice for the well-being of their European counterpart, who enjoys stable electricity, gas at an acceptable price and excellent services in all sectors?

https://www.middleeastmonitor.com/20240418-on-the-egyptian-uprising-against-the-electricity-cuts/

Question for CEO Horgan ; what if the decision to switch to Egypt's power grid interferes with Sukari plant operations , and thus gold production ? Or would that be perhaps, a convenience ?

Hamza Hendawi - Cairo Apr 17, 2024

Egyptians faced electricity shortages this week after the government resumed daily power cuts in an attempt to save money.

“It’s hard to imagine an end to power cuts, which are only likely to intensify as energy consumption peaks in the summer,” said Riccardo Fabiano, project director for North Africa at the Brussels-based International Crisis Group.

“The outlook for the summer is quite pessimistic, with a potential intensification in power cuts or other measures to limit consumption.”

The government has been forced to resume the power cuts after facing pressure due to a slump in foreign currency revenue from two of Egypt’s main earners – Suez Canal transit fees and tourism, which have both been affected by the Gaza war and its fallout.

The government also cites a drop in production from its largest offshore natural gas field, Zohra.

The power cuts are described by the government as a small price to pay by Egyptians to save the nation’s precious foreign currency reserves, which are used to import fuel to fire up power stations as well as essential food items and industrial materials.

Last year, President Abdel Fattah El Sisi said the move saved the country a total of $300 million a month that his government would have, otherwise, spent on importing fuel for its power stations.

But Egyptians have criticised the return of power cuts. Many Egyptians are also dismayed that they are enduring power cuts in spring, when consumption is moderate compared to July and August.

Others say they had hoped the recent injection into Egypt's coffers of more than $50 billion in investment, aid and loans would have considerably eased the foreign currency crunch that has crippled the economy for close to two years and allowed sufficient fuel imports.

“By God, it’s so unfair to cut power for two hours every day and you [the government] lightly give that the nickname ‘lightening the load’,” wrote Amir Abdel Fetouh on X. “Isn’t it enough that we have to deal with high prices and the hardship citizens endure?”

https://www.thenationalnews.com/news/mena/2024/04/18/egypt-electricity-power-cuts-summer-hot/

March 28 (Reuters) - Oil producer Capricorn Energy (CNE.L), said on Thursday it received a payment of $30 million this week from the Egyptian government after its debt to the company rose to $169 million last year.

The company has halted new drilling and investment in the country until it agrees with state-owned Egyptian General Petroleum Corporation (EGPC) on a payment plan.

https://www.reuters.com/world/africa/capricorn-energy-receives-30-million-payments-egypt-2024-03-28/

My Thoughts:

A similar extortion is happening with Centamin right now, both the CBE and Egyptian Gov't are stepping out of bounds -

“traders are refusing to claim” over US$2.5 billion worth of goods in ports, Nasser claimed, saying that importers expect a further decline in the value of the buying rate of the dollar, which is making them hold off on selling the goods as they anticipate making higher value sales at a later point.

Prime Minister Mostafa Madbuly cited the same reason on Monday when he announced that US$1.7 billion worth of goods would be confiscated by customs authorities from traders who had refused so far to claim them.

However, according to several importers who spoke to Mada Masr, in order to claim their goods, they would have to pay accumulated fees, which at times could exceed the value of the shipment putting them at a significant loss.

One member of the Alexandria Chamber of Commerce Customs Brokers Division who spoke to Mada Masr on condition of anonymity said that to begin customs clearance procedures, importers must show documentation proving the shipment’s value has been transferred to the supplier abroad.

Once they’ve presented that documentation, “form 4,” they can then head to the port to settle fees, including fees for container space, security fees for container handling companies, port space, and penalties for delaying shipping companies. These are calculated on a per-day basis for the duration of the container’s stay — from the moment it is unloaded from the ship until the goods exit customs.

But the traders expressed resentment about the late fees. “The government is the main cause of the crisis,” the source said.

Importers fees are also payable in dollars or the equivalent in pounds at the new exchange rate, although the value of the pound against the dollar has dropped by over 60 percent since January. All of this adds to the burden, according to the source.

The source called on the government to address the fees crisis. Import transactions could be dated back to allow for fees to be collected according to the exchange rate before the flotation, they said, or companies could be required to reduce or reschedule fees.

Confiscating the goods, however, is likely to mean that they will remain stuck in customs going forward, while traders who imported them will be operating at a sharp loss.

The Egyptian Customs Authority can auction goods which it has confiscated.

https://www.madamasr.com/en/2024/03/28/news/u/importers-late-fees-on-shipments-stuck-in-customs-are-too-expensive-for-us-to-collect-goods/

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the cost to foreign companies (and domestic companies for that matter!) to do business in Egypt has become too steep and dangerous to warrant further investment under Sisi

Centamin is no exception - more to follow on whether or not Centamin will be operating under the same concession agreement by this point next year -

Martin Horgan’s total bonus based on a formulaic assessment of all the targets (financial/objectively measurable plus personal/strategic targets) was 76.38% of his maximum bonus opportunity.

As a result, Martin received a bonus of £675,963 or 115% of salary.

Ross Jerrard’s total bonus based on a formulaic assessment of all the targets (financial/objectively measurable plus personal/strategic targets) was 75.38% of his maximum bonus opportunity.

As a result, Ross received a bonus of £443,847 or 94% of salary

Annual bonuses up to 75% of salary are paid in cash.

My Thoughts:

When you control the height of the hoop, it's fairly easy to jump through. Good thing CEO Horgan personally poured those last 53 ounces of gold just in time...

Thank you Mr CEO for complying with the auditor's demand that you provide more detailed financial reporting in your latest report. Now, instead of shareholders remaining blind to the considerable outstanding accounts receivables - the cash on hand/liquid assets is listed separately.

But , it would also be helpful if you alerted the Market as to the identity of the debtor(s) who owe Centamin the roughly $45 million USD labelled gold & silver sales debtor on page 16 of your report: https://www.centamin.com/media/3022/cey-fy23-results_presentation_final.pdf

Also, as the gold purchase agreement you recently amended with the Central Bank of Egypt has been significantly altered to increase the amount they can purchase monthly - a cap on credit should have also be included so as to prevent their outstanding debt to exceed a reasonable amount. Although, some conservative institutional shareholders might argue the reasonable outstanding amount has already been breached.

And since the covenants you signed with the consortium of lenders prevents you from having a cash balance of less than $50 million USD - it may be appropriate to amend the notes that accompany the chart on page 16 above to reduce the cash/liquid assets by said $50 million to paint a more accurate picture of Centamin's fiscal standing.

Thanks so much,

Former long term shareholder

Putin is a lying thug. Those who repeat his threats of WW3 are cowardly. Don't be like the BRICS leadership who celebrate Putin's election win, instead, celebrate NATO and the day Putin is hanging from a noose in his underground bunker.

Anyway, from now on, i'm going to try harder not to **** people off or get offensive just because i disagree with their position

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lasted all of 5 days

Turn that dial all the way...

In 2023, our mining business achieved strong revenue growth, with a 30% increase to $64.7 million. This follows a substantial 49% year-on-year growth in 2022. This growth was underpinned by consistent operations at Sukari.

Employing over 400 individuals and deploying a fleet of 17 trucks, 3 excavators, alongside other support equipment spanning a four-year term, the waste mining contract involved moving 120mt of material. Capital Mining is currently on track to complete the contract six months ahead of contracted requirements by mid-2024 and is expected to operate at full capacity until then.

And looking ahead to 2024...

Capital saw a number of contract renewals - most notably Centamin’s letter of intent to renew our drilling services contact at the Sukari mine, Egypt, commencing in January 2025. The comprehensive agreement, which includes both blast hole and grade control drilling, will extend our activities on site to the end of 2029

(And regarding Centamin purchasing Capital's fleet of camels at the end of the deal)

Mobile diesel consumption constitutes the largest proportion of our emissions and is therefore a primary focus for reduction initiatives. One of our focus areas for 2024 will be a review of our Heavy Mining Fleet, due to the ages of the trucks and the more demanding operating conditions (deeper pit access)

https://www.capdrill.com/media/investors/Financial-Results/4.05.02-Capital-Limited-31-December-2023-ARA-signed.pdf

My cut & paste thoughts:

For the faithful Martin Horgan fans, for Capital to thrive financially, Centamin's free cash flow (FCF) had to be decimated - in 2021 Centamin's FCF was negative $6 million USD and in 2022 it was negative $18 million USD

Tomorrow we'll know Centamin's 2023's FCF numbers, but as we can see from Capital's 2023 results, it all comes at the expense of Centamin shareholders. What a good CEO Mr Horgan has been - for his Capital drilling cronies! All that contracted waste could have been moved by owner operator , saving a hundred million plus plus of Centamin shareholder cash

4 international firms compete for gold prospecting tender in Egypt

The companies include Canada's Lotus Gold, the UK-based Nubian Mines, and Saudi Steps Group, in addition to a Russian company

Staff Writer, Arab Finance

March 12, 2024

Four international firms are competing to win Egypt's first global tender launched by Shalateen Mineral Resources for gold prospecting in two areas near the Sukari gold mine, a government official told Asharq Business.

The companies include Canada's Lotus Gold, the UK-based Nubian Mines, and Saudi Steps Group, in addition to a Russian company.

The official pointed out that another international tender will be launched for another three regions after finalizing this one.

It is worth mentioning that the production from the Sukari gold mine hit 450,058 ounces in 2023, compared to 440,974 ounces in 2022.

© 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info).

https://www.zawya.com/en/economy/north-africa/4-international-firms-compete-for-gold-prospecting-tender-in-egypt-qsi4fppm

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Sadly no interest whatsoever from the mainstream miners - however Russia's Wagner Group is ready to party in the desert...

If that is indeed a reply authorized by Centamin management then:

1) if it's a go - it's a go

2) if it's a no - no time left to sell to a 3rd party

that means walking away- with many many millions of shareholder's $$ lost exploration expenses & gold reserves - just like Batie West

this is an unacceptable gamble with shareholder funds - proving yet again Horgan is unqualified, irresponsible and arrogant - unfit to be CEO

Banks Federation head urges caution as hot money flows into Egypt after flotation, rate hike

Ahram Online , Sunday 10 Mar 2024

The pound lost nearly 60 percent of its value recording approximately EGP 49.4, from its previous value of around EGP 30.9, against the US dollar.

In recent years, Egypt has faced economic shocks caused by the sudden exodus of hot money, which is short-term, high-interest-rate investment certificates.

https://english.ahram.org.eg/NewsContentP/3/519171/Business/Banks-Federation-head-urges-caution-as-hot-money-f.aspx

Horgan's interview was made a few days prior to Egypt's latest currency devaluation. He spoke of the stability of Egypt's economy, as compared to some West African countries. Fair enough. But shareholders deserve some genuine stability - actually safe jurisdictions like Australia, Canada & the USA - for diversification that was touted over a decade ago. Horgan said he's still open to consider M&A opportunities, but only within the general UK region's time zone. What a flipping loser - obviously Horgan's beauty sleep overrides his responsibility as Centamin's CEO. It's been 4 years of zero growth at high expense. If the 100's of millions wasted on expedited contractor pit clearing was instead spent on an already producing M&A shareholders would be far far better off. Time to dump Horgan & his inept management.