Member Info for extrader

From depeches

.."According to Xi, China is willing to work with Africa to implement ten partnership actions.

‘The ten actions that will be implemented over the next three years will cover the areas of trade, cooperation on industrial chains, interconnection, health, agriculture for the benefit of the population, human and cultural exchanges, as well as green development and common security...."

A pretty generic wish-list.

And now a new 'new' post.....

Sebastian Maril

@SebastianMaril

🔴Judge Loretta Preska orders the Republic of Argentina to hand over emails, WhatsApp messages, and other communications on similar platforms belonging to:

• Luis Caputo

• Santiago Caputo

• Sergio Massa

• José Ignacio de Mendiguren

• Guillermo Michel

• Gabriel Rubinstein

She rejects the request to hand over information from:

• Ricardo Blas Casal

• Rita Haydee Tanuz

• Mariela Beliansky

Decision postponed on:

• Eduardo De Pedro

• Matías Tombolini

• Julio Vitobello

This is happening in the context of the Alter Ego investigation of YPF, BCRA, BNA, and ENARSA.

The Argentine government’s DNU * on public information access, published on the same day as Judge Preska’s order, could be seen as an attempt by the government to obstruct discovery by the YPF judgment creditors."

*In Argentina, a Decree of Necessity and Urgency (DNU) is a special type of executive order issued by the President. Unlike regular decrees, a DNU has the force of law and is used in situations where it is deemed urgent and necessary to bypass the legislative process.

I don't know many of the personalities named, or where they worked, so hard to gauge significance....

Mr M?

TIA and ATB

I'm not 'worried'...and I live 'a lot', all things considered.

But thanks for your concern!

ATB

I can't be bothered to go into detail, but a quick skim shows these blatant untruths :

p12 Corporate Funding - TAG Stock loans :

Claim 1 : 'On 29 July 2020, the Company announced that it had been informed that 1AF2 Srl had transferred 5.9 billion SYME shares to three stock lending platforms. THIS WAS DONE BY TAG TO RAISE CASH TO FUND SETTLEMENT OF THE CALL OPTION. These are the TAG stock loans and the SYME Group did NOT HAVE ANY INVOLVEMENT in this transaction."

Reality : Both bits in CAPS are untrue :

Shareholders were NOT told that the cash raised by 1AF2 was to pay TAG's call option, they were led to believe that it was to support SYME's business , so SYME is very much INVOLVED .

(1) From the very RNS quoted - 29 July 2020 12:18 - there's this specific statement :

.."SYME has been further informed by 1AF2 that, subject to regulatory approvals, IT WILL OFFER TO INVEST FUNDS FROM THE CAPITAL RAISED INTO THE COMPANY'S INVENTORY FUNDING PROCESS alongside institutions (in the Open-Funding and Self-Funding structures) AS DESCRIBED [Ed.: ie clear 'linkage'] in the Trading Update RNS of 27 July 2020.

(2) AZ subsequently elaborated on this in the 'explanatory' Proactive interview a few days later, when he described how the cash would be 'co-invested', reading between the lines as 'first loss' security margin .

Claim 2 : 'At this point it was clearly stated in the RNS that the Lenders were able to trade the Pledged Shares .'

Reality : This statement is true as far as it goes but omits the concluding 'explanatory' bit ..."to diversify their portfolio concentration risks."

I would love to hear AZ explain HOW a lender's portfolio concentration risks are REDUCED by selling shares you hold as security (with normal shrinkage margin and which rose in value after the loans were granted ).....

GLA

More detail coming out, see

https://www.sikafinance.com/marches/apres-un-defaut-sur-ses-obligations-le-congo-evoque-un-dysfonctionnement-technique_47957

- C-B missed 2 bond payments, totalling CFA 30.6 Bn / USD 51million at end August, so can't access the market this week;

- which means that it will default on this week's maturities of CFA 21.3 Bn;

- last time this was reported/publicised was in 2011;

- C-B is the largest issuer, with CFA 2,297 BN / USD 3.9Bn total outstanding, 35% of the entire (regional) market;

- C-B was also in technical default earlier this year on a hard currency debt repayment ($ 48 million, due March 2024, to Libya), only settled in June;

- article refers to 'persistent cash flow tensions', with total debt ratio @ 99% of GDP, including 'colossal' domestic ARREARS of 24% of GDP;

- article concludes that we will have to see how the market reacts to this setback (which C-B has described blandly as a 'technical malfunction' in half-page communique in depeches today) , which 'continues to tarnish its image' as it sees to improve its credit rating.

It also says that Fitch Rating believes that C-B will regularise, with help of disbursements from IMF, World Bank and France......

Ho hum

Https://www.reuters.com/markets/deals/adnoc-take-35-stake-exxons-texas-hydrogen-plant-2024-09-04/

Strategic tie-up with Exxon in the US, for expansion of 'blue' hydrogen, made kinda green by subsequent carbon sequestration ...

Intended customer base - for ammonia etc - Europe and 'NorthEast Asia' , wherever that is.

Invest amount unspecified but quoted as being ' $ multi-billions'.

GLA

Seb again pleads with Milei...

..."If there is a government capable of setting an example by respecting the Rule of Law, it is this one. However, it continues to defend the mistakes made by previous governments.

Today, Argentina asked that the case for the expropriation of Aerolíneas Argentinas be closed and that nothing be paid, despite receiving numerous rulings against it from the ICSID and the US courts.

The same thing happens with YPF and the PBI Coupons, among others.

I applaud many of the changes made by President Milei. But he should be better advised in the trials we have open abroad.

Kicking the ball is not a legal strategy, but an excuse for not having one...."

GLA

Most coverage - and the lead story - is Big Den's arrival at FOCAC and his status as co-chair.

Lots of ring-kissing :

.."the Chinese president, Xi Jinping, held a series of bilateral meetings with the African Presidents already present. Their early arrival enabled many of them to take part in bilateral meetings with the host of the summit in order to raise their partnership to the level of a strategic global partnership.

These meetings, which last JUST TEN MINUTES OR SO, are an opportunity to present the areas in which they hope for a more active involvement from Beijing......."

And low-key murmurings :

.."As a key player in Africa, China is its main trading partner and a significant source of investment. To this end the 9th edition of the Focac is an opportune moment for African leaders to discuss the question of debt. Although beneficial for the development of certain projects on the continent, this issue raises concerns among some experts about its long term effect. In their view, debt can hamper the sound management and compromise the economic sovereignty of the countries concerned.

It is therefore crucial for African countries to reflect on and opt for mechanisms that will contribute to the continent's development and not the other way round...."

Comment elsewhere suggests there'll be more bloviage than cash.

GLA

...and today, the background :

..."CEMAC ZONE

Concern grips the treasury securities market

The eleventh session of the Cadre Permanent de Concertation (CPC) between the Public Treasuries and the Primary Dealers (SVT) which opened in Brazzaville on 3 September in Brazzaville, is devoted to the challenges facing the sub-region's financial market.

Almost 13 years after its creation, the French government securities market is facing a decline in subscriptions, an accumulation of arrears, and a lack of transparency in the activities of public treasuries. ......

.....CEMAC is attracting fewer and fewer bond buyers, despite the member states needing CFAF 1133 billion FCFA in the third quarter. This slowdown in the domestic financial market is attributed to the weak capacity of public treasuries to reassure investors, meet repayment deadlines and communicate with the SV primary dealer network, mainly commercial banks..."

As the saying goes : "I used to think that if there was reincarnation, I wanted to come back as the President or the Pope or as a 400 baseball hitter. But now I would like to come back as the bond market. You can intimidate everybody..."

GLA

This is the sort of banana republic stuff Milei has to contend with...

https://finance.yahoo.com/news/argentine-currency-launched-offset-milei-110000323.html

..There are few places in all of Argentina as poor as La Rioja, a sleepy, desolate province carved out of the red-clay highlands that form the country’s northwestern border with Chile.

And it is here, in La Rioja, that the financial toll of President Javier Milei’s shock economic therapy — a high-stakes bid to tame chronic inflation — can best be observed. When Milei slashed the monthly cash transfers from the federal government to the provinces, La Rioja went broke. In February, it fell into default. And soon the local economy had sunk into a deep recession...

La Rioja is the province that defaulted on a bond issued to finance a solar farm, sold the solar farm to a third party and used the proceeds elsewhere....

Seb reports on it periodically.

GLA

From today's depeches

.."PUBLIC FINANCES

The government's view on default of payment

In a letter, the Directorate General of the Treasury informed the Ministry of the Economy and Finance of the temporary impossibility of resorting to CEMAC [the Central African Economic and Monetary Community] financial market for public securities, due to a payment default.

The Minister for Communication and the Media, Thierry Lézin Moungalla, explained yesterday in Brazzaville that, through this letter, the government is invited to use other means of financing, in particular the money market or the interbank network..."

= 'Nothing to see here, move along now'.

Before addressing the issue [default] raised in this letter, Minister Thierry Moungalla pointed the finger at the 'unpatriotic' attitude of certain citizens in publishing everything

on social networks, sometimes without understanding the subject of their publications. Some civil servants are included in his criticism, because a large number of confidential documents about the management of the State published in social media 'do not come from the street.'

‘This attitude is unpatriotic ’, stressed the government spokesman."

The reflex response to whistleblowers everywhere....

Some might say that the act of defaulting on a debt was probably more damaging to a country's image than folk just talking about it.

Haven't seen this reported before. The IMF had recently said that C-B was making progress in clearing its backlog of local currency (CFA) debt.

Hopefully, just a case of 'two steps forward, one step back'.

Meanwhile, a bit like Macavity the cat, Big Den's NOT THERE!

GLA

Hat tip to LaValmy for sharing this

..."The broker's view seems about right.

'SRT Marine Systems has announced it has signed two follow-on SRT-MDA System support contracts with two sovereign agency customers in Asia worth in aggregate $4.6m to be recognised over the next 12 months. These wins highlight the repeatable nature of critical maintenance and support contracts that follow, and subsequently scale, as customers build up their sovereign maritime surveillance and monitoring capabilities once SRT has initially implemented its mission-critical SRT-MDA Systems for sovereign Coastguards and Fisheries customers.'

One small caveat is 'with one of the contracts including some existing functionality refinements' which would not be recurring, but the balance would seem to be. BFAR and Bakamla's little installation must be the customers.

....

I wouldn't treat this news quite so flippantly given that we have been waiting for recurring revenues for far longer than the Indonesian contract.

It is a bit of a shame that the recurring part is not quantified but I would guess

$2.5-3 million at 40% margin. If ever SRT is valued partially on a revenue multiple for the recurring part, then even this modest start would account for a decent chunk of the current market cap. Five times sales or ten times EBIT, $12 million or so?

I should have added that this news also strongly suggests that relationships at the BFAR and Bakamla are still good, particularly important for the former..."

GLA

Hat tip to yohoho for this, latest twist...

.."Isnt it curious that the same Hill Dickinson who presented the winding up petition also has one of their partners on the Advisory Board? www.hellenicdynamics.com/team/#s3?

Their advice is clearly..... run..."

Definitely in the 'you couldn't make it up' category !

AFAICS

Looks encouraging : a related article includes this, from an Egyptian journalist :

FOCAC boosts Africa's development, propping up African infrastructure, green energy sector: Egyptian scholar

.."Faris emphasized that the forum will spotlight the importance of steadily improving African infrastructure and ports, deemed crucial for boosting the continent's exports and helping African nations integrate more deeply into the global economy..."

https://www.globaltimes.cn/page/202409/1319077.shtml?id=12

ATB

.."Saudi may be open to alternatives, esp if the only other choice is a Chinese-dominated consortium..."

Oops! Non-PC oversimplication....

There's 'Chinese' and 'Chinese' , of course : Singapore is ethnically' Chinese' majority, but politically Western; Hutchison is HK-based, an autonomous province of China (but perfectly OK for investment in the UK : founder Li Ka Shing has est $ 50Bn invested in UK utilities...).

Either might be useful 'work-arounds' if there were any geopolitical (read : US) pushback to mainland Chinese taking over direct control of Pointe Noire operations.

Saudi Arabia and Abu Dhabi both seem to be keen, for now, on maintaining good relations and navigating a path of studied neutrality (as far as possible) with both China and the US...

GLA

Hi alwayshoping,

Thanks for this.

(1) China's a big country, but Bandar will be overlapping date-wise at least with the FOCAC summit (China - Africa jamboree, 4th to 6th Sept), where Big Den is this year's Co-Chair.

(2) Your link tells us that Bandar is also visiting Hutchison Ports in HK (amongst the largest port operators) and Tuas port in S'pore (world's largest automated port, S'pore world's largest trans-shipper).

Hutchison already has a successful J/V operation in Oman, see

https://www.omanobserver.om/article/1158312/business/economy/land-bridge-boosts-hutchison-ports-sohar-container-volumes-by-26-in-h1

IF (repeat IF) there are rival consortia competing for ZIOC's hand, the question of the associated port arrangements may be/become an issue : AD Ports appears to have sat on its hands since Concession award, perhaps using it as a 'placeholder' and potential bargaining chip for now.

Saudi may be open to alternatives, esp if the only other choice is a Chinese-dominated consortium.

Bandar's just checked out in Brazil the 'best mining operations for a jungle environment ', maybe he's doing similar 'due diligence ' on the port logistics side of things on this latest trip?

In any event, the primary visit theme is boosting Saudi's manufacturing and industry base, both with a heavy amount of quality steel involved....

All good stuff.

AFAICS

ATB

Big Den (C-B President) has already left for the FOCAC summit in China (4th to 6th Sept) along with other C-B bigwigs.

No idea whether he'd want to be involved, but this may affect the politics of timing of KP2 signing.

Nguesso like to be associated with 'good news' and recently received LuYuan for Mining at his Oyo summer retreat for an update on their potash mine progress - finally getting traction, it seems , after many a false start

https://www.adiac-congo.com/content/industrie-miniere-le-gisement-de-sel-potasse-de-mboukoumassi-sera-en-exploitation-en-2025

HTH

PS

"*These are re-awards, going as far back as 2010 (see 2014 A/R) so may include ex Strata and / or Garbut beneficiaries ?"

They also appear likely to have been quietly renovated since , so that's another 6+m shares - nearly 1%- eventually in 'safe hands'.....

PPS

Perusal of past RNS's also shows (2010 A/R ie very early days) DuPlessis, from Strata Capital UK LLP (the pre ZIOC promoter vehicle), had warrants valid 502 days from 17 November 2010 to buy an unspecified (AFAICS) number of shares @ £ 1.56...never exercised, but still, interesting.

Also, that the 2011 A/R tells us that, on the same date .."the Company granted to Liberum (Nomand)... conditional on admission a warrant to subscribe for, at the placing price of £1.56, new ordinary shares equal in value to 5% of the aggregate number of new shares issued on admission (998,382 shares), exercisable within 12 months of Admission [which was not exercised and subsequently lapsed on 18 November 2011.]

These warrants show , IMO, the perceived value 'back in the day'.

GLA

Hi Vet10,

Don't choke on your cornflakes, but the bulk of options (incl MK's) have a nominal exercise price of 0.01p (one hundredth of one penny).

I covered the remainder here :

.." Note also further tidying up of options , with only 6.9m o/s.

These appear to date back to awards 6,8 and 9 of 2014 (reported in the 2023 A/R were 6.15*m, curiously with an expiry of 29 July 2024, maybe extended ?).

On that score , there are also 1.6m issued to a consultant in 2014, vested and exerciseable @ 18.5 p...and the Country Manager's recent 3m award, exerciseable at a less challenging 7.5p."

*These are re-awards, going as far back as 2010 (see 2014 A/R) so may include ex Strata and / or Garbut beneficiaries ?

HTH

Meanwhile, a search throws up this connection :

https://www.marketscreener.com/insider/MARTIN-KNAUTH-A3WEQ7/network/

Companies connected to Martin Knauth VIA THEIR PERSONAL NETWORK :

Company Sector Related people Main position

Fortescue Limited Steel John (sic) Forrest Founder

All grist to the (rumour) mill...

GLA