Member Info for Dip666

Full event details below - it's a panel discussion around various topics :

https://www.australiachamber.co.uk/event/critical-minerals-reception/

Join the Australia-UK Chamber of Commerce in partnership with GreenTech Metals, Artemis Resources, Alien Metals and Westpac as we explore the crucial role of critical minerals in driving the growth of clean energy technologies.

Hear from our distinguished guest speakers in an engaging panel discussion:

The Honourable Alexander Downer AC – Former Australian High Commissioner to the UK and current non-Executive Director, IronBark Zinc Ltd and Yellow Cake Plc.

Mark Dooley – Global Head, Macquarie Asset Management Green Investments, Macquarie.

David Scrivener – Global Head – Energy, Infrastructure and Resources, Westpac.

Date: Wednesday, 1st May 2024 | 6:00 PM – 8:00 PM | Australia House

Ticket: Chamber Members: £60 +VAT

Non-Members & Guests: £85 +VAT

The panel of industry experts will explore:

✔The pivotal role of critical minerals in driving the transition to clean energy.

✔Opportunities and challenges in the exploration and mining of critical minerals.

✔Strategies for sustainable extraction and supply chain management.

✔Innovations driving efficiency and environmental responsibility in mineral extraction and processing.

Lol I wrote sat nav, I meant sat imagery Freddie!

Liam is recording his interview today, Proactive perhaps were meant to release today after recording yesterday, I don't know as they reposted yesterday's again on YouTube, so that was odd or they just released again due to an RNS.

Still, this isn't highly confidential news in the RNS, in fact we get these interim quarterly updates via RNS because Newcrest only agreed to do them up to a certain point and then stopped releasing updates a while back about Hav akin to most majors lesser reporting on exploration and development where they share less info. Shaun said GGP would continue interim reports individually via RNS at the time.

Can't speak for Bamps, perhaps info. came from Stu on twitter who speaks to loads of crew members via social media or his own connections told him pumps were still running or someone else.

Others also manage to get info. lime that chap on the forum who seems to know loads about Telfer, way of the world, where you have folk working on these sites, always some info. to be gathered.

Freddie, Liam has had regularly quarterly reviews arranged with Shaun for ages now, the clue is in the title.

As for top secret info. being shared it is more folk making assumptions from sat nav and also following on social.media or building relationships with workers in the teams working on the sites - something anyone can do for themselves like most of the research shared.

Just careful language by Shaun in not intimating that a deal to purchase both assets is outright guaranteed to the market is all it is, he has taken this slant since the Newmont bid for Newcrest surfaced in mostly being very careful and reserved in his statements in regards to GGP strategy and potential outcomes on divestment by Newmont.

So this is the book not market value such as the Grant Samuels valuation ranges against various outcomes and scenarios for the assets.

Perhaps Newmont will be happy to negotiate a value that delivers above book value which will appease their shareholders and be easier if LROR keeps competing bids off the table for GGP.

Their Price Discovery Phase has been implemented to assess potential market value of the assets in current market and will shape negotiations. Going to be really interesting to see what the final price agreed is

We now know NEM are in Phase 1 of the sales processes and 3 teams set up for different geo's inc. Oz, also that they have activated a 'price discovery' phase and certainly they have at least one bidder for Hav/Telfer you'd presume with GGP. If akin to Aykem where opening bids are due by end of April, hopefully this means negotiations can commence in May for GGP too.

You'd think that GGP has worked at getting close to a funding framework for what all involved deem a fair value range agreed in principle to assist talks with existing and perhaps new members of current syndicate , alongside having performed as much Due Diligence as possible at this stage for all parties around their own perspectives and needs - GGP's aided by current involvement in Havieron as part owners with planned processing at Telfer.

So fingers crossed we could just be a few months away from a resolution, not saying it couldn't take far longer if perhaps some complications arose or there are other bidders where allowance has to be made for all parties to offer, so LROR can be actioned by GGP of course.

No one knows exactly what is going on but NEM have said they're looking to execute or decide all divestments by Q1 2025, and enough reasons to hope that GGP's negotiations move quickly. In terms of sequencing, both the CEO and their investor relations have articulated that they'd expect Oz assets and Aykem to probably be divested before the N.American assets to date.

Hi Barna - yep - it was interesting wasn't it, hopefully on the lower scale or below of the Grant Samuels evaluation then :-)

Daniel Major

The second one, you've talked detailed a lot of the progress you've made since the integration in Newcrest. In these kinds of deals, I guess there's always positives and negatives. What's the toughest part? What's been the most challenging or almost difficult part of the integration so far?

Thomas Palmer

I picked that one up. The thing by far away, Daniel, is that the tragic loss of Adam Kennedy's life at Brucejack on the 20 of December last year. And as you reflect upon the integration, you reflect upon what things could we have done differently, what decisions could we have made differently that wouldn't have led to Adam being killed that day at Brucejack.

I think, as you've said in some of our remarks as well, I think stepping back from the loss of Adam and safety, I think the two areas that we are working through diligently tailing facilities, and we've talked about Telfer and we've talked about our Cadia and little bit around Red Chris. So just bringing those tailing facilities into the Newmont standard and ensuring that we have the appropriate rigor and discipline around those in managing them here and now, and ensuring those we shepherd those going forward that they have the appropriate standard.

And then the third one would be bringing the ore body knowledge levels up to a Newmont’s standard so that we've got really robust all body knowledge underpinning our mine plans. So that will be the three areas where there's been, I guess the hard work. I think if I step back from that with the perspective of having lived through a similar integration and transaction five years ago, I think, when I stepped back from those three areas, I think the integration has gone very well and I think we had the benefit of being able to apply the lessons we learned from integrating the five Goldcorp assets back in 2019 to this exercise. And that's put us in good stead.

_____

End

Jackie Przybylowski

And maybe if I can ask as a second question, just going back to your divestment strategy, I know you have a number of assets that you're looking to sell in Canada specifically but also, I guess globally as well. Can you comment at all, like, is do you have a preference of selling that's in sort of groups or bundles? Or are they all expected to be sold individually to different buyers? I mean, I don't know if you can make any comments on how you're thinking about that?

Thomas Palmer

As I mentioned, in the -- asked earlier question, the process has started on all six assets. We have engaged banks and have started a process on all six assets, and we're in the process of price discovery through a Phase 1, and active interest. So we are getting a good feel for the level of interest in these assets and the competitive environment that we're hoping to enjoy. And we're running three separate processes in terms of, because they're in different locations.

There's a set a process for Telfer in the Australian context with a dedicated team looking after that. There's a process for Akyem in the African or Ghanaian context with a separate team looking after that. And there's a process for our North American assets, the four operations plus the coffee project, and a team getting after that for being led by Peter Toth that's Scott Langley. But up and running and very active, as I say, we're in Phase 1, and quite excited about the level of interest and the competitive environment, which we are presenting these assets to prospective buyers.

____

cont...

Highlights from Q&A:

Operator

Our next question comes from Josh Wolfson of RBC Capital Markets.

Joshua Wolfson

The team has painted a fairly rosy picture here on what the prospects are for asset dispositions, and then also what the free cash flow outlook would look like absent some of these working capital headwinds. In that context, I'm wondering how flexible is the company's buyback policy? And I'm noticing the stock being a lot higher today than it was when the plans were announced for this at the fourth quarter results.

Karyn Ovelmen

As we go through the divestitures and as I've indicated as our free cash flow picks up in the second half of the year. First priority is to ensure that we've got that our cash replenished on our balance sheet. And then there will be flexibility in terms of as long as we have line of sight in terms of that debt reduction over the next 24 months, we would -- at that point in time, if we were in a position start to think about executing on share buybacks.

Thomas Palmer

And a reminder, Josh, we've got an approved $1 billion buyback program ready to go if or when that scenario, Karyn Ovelmen said out takes place.

______

Joshua Wolfson

And then just sort of to clarify, when I look at even what a flat quarter would look like at much higher gold prices today, and again without this, some of the larger working capital challenges, even maybe one or two of these asset dispositions would put you in line of sight of that. Is it fair to say that the prospects for the buyback could happen sooner than maybe what the initial criteria were outlined for the balance sheet requirements?

Karyn Ovelmen

Expectations for the divestitures is that those will be executed within the next 12 months. Hence, the classification on the balance sheet is assets held for sale. So expectation is through first quarter of 2025 that we will have executed or made decisions around the divestitures. And so the timing is contingent upon that.

Joshua Wolfson

And then, sorry, just one question if I can sneak in. I noticed the book value for the assets that are held for sale is $5.7 billion, which is quite a large number as compared to the $2 billion targeted. Any sort of comments there on how we should think about pricing or what the targets are effectively?

Karyn Ovelmen

No, not necessarily. I think from an accounting convention perspective and how they're reported from a GAAP perspective will be obviously considered, I would assume by potential buyers. But in essence, the process of going through the commercial view of the assets and the value to the potential buyers that will produce something most likely different whether it's up or down inefficient versus what is recorded on our book from a GAAP perspective.

_____

cont...

Newmont Q1 2024 Earnings Call Transcript

https://www.ggpchat.co.uk/viewtopic.php?t=914

Note: unfortunately some missing segments in transcript

Also as JC on TG pointed out the press has reported opening bids for Aykem expected by end of April so perhaps that is the end of price discovery phase for all 3 geo's?

A loose assumption of course, Tom P stated high interest in all assets so I don't expect they'll need to extend Phase 1 for any of the 3 geo's - and we know of at least one interested party for Oz assets I guess....

Sry, should have read more as in flexible as in separating payments into two tranches albeit well within desier timelines to meet targeted divestments etc.

listening in to call and typing posts while i was catching up on work after morning off :-)

- Currently in Phase 1 being Price Discovery Phase i.e ascertain interest for assets to set price/negotiating range and they have had great interest, cash is a preference

- Separate and dedicated teams for each 3 geo’s inc. Oz assets

- They plan to divest or decide by calendar year Q1 2025

We don't know when Phase 1 ends but as they've had good interest for the assets you'd think they won't need to extend it, especially for Oz assets with GGP sat there willing to negotiate once a valuation range is set.

Cash is a preference but as can be seen with Lundin deal, they seem open-minded.

In previous comms from NEM CEO and correspondence with Investor relations the sequencing suggested is completion of Hav/Telfer and Aykem before N.American assets.

GGP should IMO have a draft framework financing pretty solidly drawn up with Wyloo, Banks and other parties within their idea of FMV for the assets to ensure negotiations can be efficient including hopefully plenty of Due Diligence that is achievable at this stage being conducted too, helped by the fact that Havieron and Telfer are already part of the plan for JV in place.

So fingers crossed Telfer/Hav will be completed earlier within the timeframe set for divestments planned by Newmont for CY Q1 2025.

Replay:

https://events.q4inc.com/attendee/908608833

@Blantyreboy - was just posting something about this in relation to someone raising something in TG and I think Wyloo will come into the mix with more of a JV approach if GGP's MCap makes it difficult.

I submitted a question in one of LSE's Webinars prior to a TH about a 'Plan B' and he said perhaps Wyloo could buy Telfer themselves and assist them with Hav purchase, so I think they will find a way if Wyloo is amenable to something like that.

Here's a screenshot:

https://ibb.co/tLrTdTL

https://emits.dmp.wa.gov.au/emits/enquiry/home2.xhtml

Also 5x5 - I'm in both the general and smaller UFO TG group where you need to prove your holding.

I'd never be a part of any co-ordinated buying / selling and report anyone attempting any such cr@p, same goes for being part of an admin in the GGP group - I'd have no issue in reporting fellow admins if i thought anything going on. The smaller verified group set up by Upside2020 is for a more research focused approach without the usual histrionics of these kind of groups.

I'm sure it goes on though with cabals of traders around stocks popular with retail and they then ramp/deramp using different id's vs there being paid posters as such by big firms, they have easier ways to manipulate stocks within the rules such as shorting for instance...

Hi 5x5 - I'd registered in 2020 to start keeping an eye on WA based projects such as for GGP, logged in and checked myself - it's a legit update mate :-)

Key stats for the PPSS:

https://www.ggpchat.co.uk/viewtopic.php?p=4786#p4786

Https://www.newmont.com/investors/events-and-presentations/event-details/2024/Newmont-First-Quarter-2024-Earnings-Conference-Call/default.aspx