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Chaps, the whole market, across all industries, is down the toilet at the moment. There are just too many financial and geopolitical concerns at the moment for anyone to really be chucking money into anything, let alone speculative junior resource companies. The world is in a holding pattern. The only people that have made any returns in the last 12 months have been shorting. I'm personally more than happy for PJ to shuffle papers and get POW's corporate affairs in order for the time being, because even if Molopo came back with extraordinary results showing more minerals than you could shake a stick at, it still won't get the attention it deserves. I'm far happier to sit out this global storm, let PJ diddle his fiddle, set the stage , so that when the timing is right we all hit 100x rather than a paltry 3x. The market's memory is short, if we unleash the golden goose when everyone is staring at their radiators, no-one will notice. Whilst if we unleash the goose, dressed in a fancy corporate suit when everyone is done staring at their radiators and are re-engaging with the market, then everyone will be clambering over themselves to get a sniff.
Rant over. GLA
I know they rip you off on the bid/ask but because I trade a regularly and generally small amounts and on riskier stock it makes sense to use it. I do have a Hargreaves account, but that's no good for trading in the way I would on 212. Having said that, I do have well over 200k of POW so they must have brought in that limitation relatively recently. Bit frustrating and doesn't seem particularly supportive of small cap companies.
Not to mention that there is still a train of income coming in through warrants and options. Next batch to expire is Dec-22, which if all cashed generates £2.04m which is not peanuts. Drilling is usually costed on a per metre basis with some additional set up costs, these vary massively by territory as you'd expect, but taking Australia for instance (where POW are fairly large), the per metre drilling of diamond drilling is c. AU$ 200 /m. Reverse circulation drilling can be a 25-40% discount on this.
Easy Tiger, let's not count those chickens quite yet. This RNS was only a very rough indication, PJ could stick his finger in and find out the magnetic anomaly nothing but custard. Quietly optimistic is what we should be aiming for.
Another positive RNS... and another negative nancy post by roger: a tit for tat battle that's gone on since the dawn of time.
I look forward to the next 5 years, you'll probably go through a few keyboards in that time.
Tray, I agree with your logic, but would it not be the case that there would be a lock-in period between enacting warrants and being able to sell them off? Or would that stipulation be more associated with director warrants and share acquisition agreements?
roger,
I'm sorry but that is pure shlt stirring. POW still have 3m of working capital unaffected by the current market conditions, and they also have £750k of warrants likely to be cashed over the next 4 weeks. In what world will they need/do a cash raise? If you could give me a technical response please and not some carping about 'all AIM CEOs do this' or 'inflation means they have no money'.
Yours
Everes
Blaming the market makers in a bull market is maybe excusable, there are some bad actors. But it's a bear market, everything is RED, we're stepping into a global recession, people are poorer, they are liquidating what they have, all MMs are doing now is chasing the sells down and trying to set a price that gives them a margin, i.e. not manipulating the price with magic learnt in a 3rd year defence against the dark arts class.
If you don't need the money, ignore the SP, if it hits bottom, it hits bottom, I hope you've not over-leveraged. If you still want to play the investing game, keep some dry powder, look for stocks are BLUE in this sea of red, that means people are still buying it, and likely at a discount price. Remember, no real ship can match the interceptor.
I really don't get it, I appreciate it's a bear market, global recession, cost of living crisis, and all the rest, BUT how many ordinary punters really would hold large swathes of POW shares and be selling them? It slightly makes sense for 0.75p warrant holders whose warrants expire in July to be cashing in, selling at a marginal profit (0.82 p- 0.75p) and holding that money to put back in, but it's still bizarre. Who are these followers of a niche junior explorer, with such liquidity issues, that they're selling vast swathes of shares a what is clearly a discount rate. I know I'm probably giving humanity too much credit but why would anyone expose themselves that much. Would love someone to explain?? Makes a great opportunity to top up but having done so 2/3 times, how much dry powder do you go through.
I know in 'x' amount of time we'll all look back on this dip like the covid one and say 'if only I had shed loads of dry powder, I could've made an easy win', but this just feels like a vast stretching valley we're going into rather than the covid two week chasm. GLA and blah blah blah.
https://www.parliamentlive.tv/Event/Index/8a140da6-255d-412e-bfc5-1be2f2b1cb7a
Glad to see POW is still keeping its ears to ground for potential good deals. I was beginning to worry they had stalled, waiting for the market to turn. MFP acquisition appears to be a good move, purchased with shares, but at a premium, so it feels more like a pull than a dilution. Becoming the lead operator is the main benefit, I’d imagine Kalahari Key didn’t have as deep pockets as POW to get the next drills in place. No doubt this will have zero impact on the SP, nothing seems to matter anymore except Elon tweeting about it.
" The intention from the board is clear. We have got so far but now need help closing out the deal. It will be big. "
I'm not sure this makes sense, why would you need to a hire in a very experienced (and presumably well connected) M&A guy to close out a deal? The appointment feels much more to me like EUA had someone ready to buy their assets, who now can't due to sanctions/reputational hazard, and so EUA are having to pivot to BRIC countries (i.e. mainly China / Southeast Asia where Matyushok specialises) in order to find another buyer. I'm afraid your comment is the equivalent or Ian hammering in a nail for 2 years, and the moment he gets 1 hit away from getting it in, he pays Eddie Hall shed loads of cash to do the final hit. Just doesn't make sense.
I would point out that Matyushok i also on the board of H2Transition so it's possible he's only been brought in to work on EUA 2.0 whilst EUA 1.0 sits on ice.
ALIMHO AATS.
Muzard, my comment was purely in response to previous poster's assertion that nationalisation is always a transaction. I was merely using the aviation situation as an example of non-transactional nationalisation, I wasn't saying that it's happening to EUA. I like everyone here would be sad as a clown if that happened. Not relevant for EUA but the nationalised aircraft won't provide much of a bargaining chip unless the war ends very soon, without maintenance (which Russia can't do) they are essentially becoming defunct. I know because I work for one of the insurers paying out to lessors, we're not reserving any capital for repatriation and are not anticipating much value (if any) to made from recoveries down the line.
There are different formats of nationalisation. I'm afraid the type that Russia are primarily engaging does not involve any compensation for goods, if it was not a State doing it, it would be called theft. One of the first nationalisations Putin instructed back in Mar/Apr was to sequester all aircraft on the ground in Russia. Current estimates are that c. USD 14 billion worth of aircraft has been 'nationalised', aircraft lessors are now looking to claim this back from insurers in order to pay back their creditors. Think Suez Canal, not of the UK national grid, when you think of nationalisation in Russia at the moment.
Levistubbs, there are "only" a smidge over 13m warrants expiring in May and they are all Director's options so I'd imagine they'd have a positive impact on the SP (hopefully).
We do however have the final big batch of really cheap warrants expiring in July so the 'avalanche of newsflow' that P79u mentions will be perfectly timed (probably not a coincidence).
For reference on warrants expiring Jul22:
11.3m Dec-19 financing warrants @ 0.70p
27.5m Jul-20 financing warrants @ 0.75p (Director)
70.7m Jul-20 financing warrants @ 0.75p
If all are exercised it equates to a dilution reduction of 3.27% which should be peanuts in comparison to boost we should get from a couple of IPOs.
GLA