Member Info for esquimo

It would be worthwhile reading the RNS's from 2018, Jan/Feb, the size of the potential orders 27 of Feb and the need to mine Namwele to fill those orders to realised what a failure this company has been up to this point.
The new management seem to have a more realistic approach with much lower expectations.
We have a huge resource with the extended area but up to now we have failed to be anywhere near a reliable coal producer, hence the current SP,any no positive update will change that.

GW, I agree, this until proven different, is another promise yet to be realised.
I've said in the past that until we can move coal out of the gate and become a reliable producer contracts will not be coming, even the 4k tonnes depends on repairs to plant and machinery which were supposed to be completed earlier this year.
After 5yrs of failed attempts at production and the hype of the power station you have to ask what were RS etc taking in their morning coffee.
They are talking of double shifts again which would seem one answer to increased production if the plant could stand the extra load.
So it's the interims and hopefully a good forward looking statement.

The worrying part is that production is dependant on the success of ongoing repairs and maintainable. Plant failure is and has always been the problem that they have yet to get on top of.

So no 5k tonnes this month and 12k tonnes reliant on a wash plant that is beginning to sound like a worn out rust heap.
Some months yet to go before we know if EDL can actually make any profit.

A bit of wishful thinking, after all it's what the market is waiting to hear as that will have an immediate affect on the SP.

I think that we are all waiting to see if they can achieve 5k tonnes this month that would be a major step in the right direction, the 12k tonnes will need to be seen to be believed. 1st week in Sep. we should know.

Hawkander, you will not get a reply to that Q, contracts will vary with each private customer.
Before the rapid rise in coal prices I recall a comment in one of the news releases that 6k tonnes would be cash flow positive but I could be wrong on that.

The only reference to cash from coal was a comment made by JM about 4yrs ago in one of the RNS releases.
He claimed that 1k ton of coal had an income value (not profit) of 100k, I can't remember whether that was $/£s, that was covering all expenses, transport etc. It will be there amongst the myriad of claims on production and double shifts to cope with the huge demand, as yet to be realised.

SoS, that was not a dig, I was saying this is the time you might just be right, we shall see what happens on the 5k this month.

I see no mention of local demand apart from the ongoing order. The export order (if they get it and prove they can fulfill that order) takes up the the capacity of the washer.
The obvious Q is, how are they going to cope with the expected high demand within TZ?
SoS will no doubt have the answer to that.
As always we rely on the next update??? 1st week in Sep.

BB, agreed, it's EDL's historic failures that are affecting the SP at this moment in time, I'm confident that this change in management and approach to production will put this right.

Unfortunately is a repeat of what has been promised over the last 4yrs. I do think that this is different but they will need to prove that they can get the coal out of the gate for this SP to take off, hence the lack of signed contracts, they will come!

Why all the arguments over cash resource the company has already stated that they have sufficient resources to expand organically and to this end they have already started to use a modest amount for this expansion, it's all there in the RNS's.

Finally it looks like we will have an income from coal but more investment will be needed.

that must be the shortest AGM ever, talk about cut and dried.

They have an unambitious target of 5k tonnes by the end of Q3. to be achieved in 6/7weeks, we shall see if that has changed in the next RNS. Having said that the website still has production at 4k tonnes to be increased to 10k tonnes pm, that is 4yrs ago, give or take a month or two, as yet to be accomplished.
Different management extra personnel and machinery we shall see if they can at last justify their claims on their website.

The intention of the new board members is to import experienced personnel from other coal operations to expand production and sales to become cash flow positive.
ILTL said the same, let's hope that we will have more success and we get proof of that in the next few days.

All equipment plus extra excavator plus increased haulage, brought into service in June, so 2 months production or I should say hopefully, to satisfy existing orders.
Surely there will be an update prior to the AGM next week.
At the moment there's not even a whisper so almost zero trades, we shall see how the next few days progress.

Diggerman my mistake/assumption, I seem to recall that you claimed to be on one of EDL's photos.

Agreed we do need that update but it will come and the traders will make the most of it.
In the meantime it is an opportunity to average down.
I noticed Diggerman(an ex employee of EDL) thinks this will now be a going concern and to be fair to him his previous posts have been correct.
The talk of a fund raise cannot be ruled out but it will not be to keep the lights on it will be for expansion/acquisition.
The next 12 months will see a different EDL, as a long term holder the only thing I can say it's about time!