Member Info for extrader

I personally think that the excitement's in tents.

;-)

GLA

And Ashmore latest :

Argentina: The International Monetary Fund (IMF) have approved the eighth review of Argentina's USD 44bn loan agreement, paving the way for c. USD 800m in loans for the country. President Javier Milei said the nation is on the brink of lifting foreign exchange controls and emphasised the government's eagerness to do so swiftly.

The EU grant came through in Jan 2024 (abt Euro 300K) for a project that .." aims to identify the critical technology gaps and invent, optimise, assess and demonstrate the key enablers for optimised Artificial Intelligence ("AI").."

What became of the Greek grant?

Interesting article in today's FT, behind paywall (google is your friend). BUR isn't mentioned, but the private capital firms may be potential competitors at some point.

'Johnson & Johnson settlement shows the new stakes in litigation finance'

Article reports on J and J's talc litigation and a $ 14 Bn settlement....and Johnson's unhappiness that the claimants were part-financed by Fortress Litigation Assets, an arm of Fortress Investment Group, now owned by Abu Dhabi's SWF Mubadala.

J and J complain that the financial investors frustrate -cough- 'good faith' attempts at settlement, by holding out for higher ie more profitable returns.

.."

Please use the sharing tools found via the share button at the top or side of articles. Copying articles to share with others is a breach of FT.com T&Cs and Copyright Policy. Email licensing@ft.com to buy additional rights. Subscribers may share up to 10 or 20 articles per month using the gift article service. More information can be found at https://www.ft.com/tour.

https://www.ft.com/content/abd5bf98-378f-4322-b930-68c9b410e783

According to Fortress’s website, it has cumulatively funded $6.8bn in litigation finance. Industry participants say virtually every major private capital firm is involved in funding lawsuits, though often quietly and through affiliates. Centerbridge and Apollo both funded lawsuits of victims of PG&E while also being financial creditors and shareholders of the California utility that paid victims billions over its role in devastating wildfires..."

GLA

.."People are clearly forgetting the 1m EUR loan over 15 years at 3.5%, this is accessible in June.."

H75/IG

We weren't told when this loan would be available when it was first announced in April, we learned of the midJune target date only after the emergency placing a fortnight later :

.."The proceeds of the Placing will be used for general working capital purposes up until the €1 million loan facility, announced by the Company on 22 April 2024, is received by the Company, which is EXPECTED to occur during mid-June 2024."

Then last week we learned this, about the earlier Riverfort facility ($315K principal + interest still o/s) :

.." Under the terms of the [Riverfort] Facility, the Company was required to maintain sufficient headroom in its share authorities to be able to satisfy the outstanding balance of the Facility by way of the issue of new ordinary shares in the Company, if not repaid in cash."

HELD has implicitly acknowledged that the Euro 1 m loan may not arrive, or may not arrive in time, because it has agreed [= been told by Riverfort it MUST] call a meeting 'to be held no later than 9 August 2024 [ Ed.: ie 90 days grace] in order to seek to pass resolutions to grant the necessary authority free of pre-emption to enable the Company to meets its obligations, unless the Outstanding Balance has been paid in cash, pursuant to the covenants in the Facility and to provide the directors with suitable capacity to allot shares as required from time to time..."

In plain English : HELD is calling a meeting [at Riverfort's insistence, my guess] to get authority to issue more shares in case Riverfort isn't paid off by the Euro 1 million loan.

Riverfort clearly doesn't share your confidence that the new loan will come through.

Now ask yourself : why would a new lender agree to disburse (unless unavoidably required to do so), when 1/3rd of its money would be going to pay off another creditor, not to be productively invested in the business ? And - given the visible, known uncertainty - why would an insurance company agree to be on the hook for Euro 1 million for a measly 25K insurance premium?

'Splain that to me like I'm a 7 year-old.

GLA

Ah!

'Ollombo' is actually 'https://en.wikipedia.org/wiki/Oyo_Ollombo_Airport'

Oyo Ollombo Airport

Denis Sassou Nguesso Airport

ie Big Den's home town...

;-

Hi MM,

Thanks for this potted history, which seems a good reflection of how things have developed (though I hadn't picked up AT's comment that ''Glencore had been presented with development options that, in hindsight, they probably wished that they had taken'.)

20/20 hindsight, eh ?

On the 'strategic' side of things, Elphick volunteered the importance of P-N as a deepwater resource at the AGM I attended, that US (?) concern MAY have lessened subsequently with AD Ports' arrival on scene , but - topically - may be re-awakened by the Little Den just-announced (re)launch of Equatorial Congo Air, in J/V with China's AVIC (see depeches).

AVIC is no run-of-the-mill aircraft leasing co :

"The Aviation Industry Corporation of China (AVIC) is a Chinese state-owned aerospace and defense conglomerate headquartered in Beijing. AVIC is overseen by the State-owned Assets Supervision and Administration Commission of the State Council. It is ranked 140th in the Fortune Global 500 list as of 2021, and has over 100 subsidiaries, 27 listed companies and 500,000 employees across the globe. AVIC is also the sixth largest defense contractor globally as of 2022 and second largest Chinese defense contractor with total revenue of $79 billion (from both defense and non-defense services."

https://en.wikipedia.org/wiki/Aviation_Industry_Corporation_of_China

Hmm...

This all looks like a re-run of Pan Am's 'Trojan horse' re-militarisation role in Latin America and the Pacific pre WW2, see

https://academic.oup.com/jah/article-abstract/107/2/525/5907750

.." Farsighted military strategists immediately grasped the potential value of air bases strategically placed around the world, but the military did not determine their selection, placement, or development. Pan Am was a private, commercial enterprise, whose unprecedented, and some said quixotic, venture to use marine planes to fly to uncharted territories—from the impenetrable jungle canopies of Latin America to the tiny specks of islands in the Pacific Ocean—prepared the way for the bases and air supply lines used in World War II. Pan Am developed air bases at Midway, Wake, and Guam. Their bases in Brazil and Africa* allowed Pan Am to shuttle aircraft to the British forces fighting Erwin Rommel as part of the Lend-Lease program...., etc. In addition, through shrewd maneuvers, Pan Am essentially dismantled the German plans to use Lufthansa as a cover for developing a military capability in Latin America and Central America..."

* the Brazil - West Africa air link was expanded [post Egypt] to include a route through Central Africa, primarily to tap a supply of uranium from what was then the Belgian Congo (now DRC)....

And, re BaoWu Steel, it doesn't seem to be bringing much mining expertise to its projects in Australia and Simandou, but is of course a major consumer of product in its own right...AND the lynchpin of China's intended industry-wide 'single-desk' ore procurement policy.

All good st

(1) Equatorial Congo Airlines (ECA) emerges from the ashes, with a flt from Brazzaville to Pointe Noire on a 737-700. Little Den on board, 'cos ECA is a J/V with China's AVIC.

The aircraft will also fly to Ollombo (?) , up-country.

.."Minister Denis Christel Sassou Nguesso stressed the importance of the partnership between Congo and China, through which the Chinese company Avic has already already launched work on the construction of the aircraft maintenance center in Brazzaville, as part of the process of revival of ECAir.

Under this partnership, which will increase in scope at the 11th grand commission between the two countries , scheduled for June 26 to June 27, ECAir is to obtain obtain three aircraft that will join the fleet by next September, announced next September, announced announced the Minister of Cooperation."

Note this : The Aviation Industry Corporation of China (AVIC) is a Chinese state-owned aerospace and defense conglomerate headquartered in Beijing. AVIC is overseen by the State-owned Assets Supervision and Administration Commission of the State Council. It is ranked 140th in the Fortune Global 500 list as of 2021, and has over 100 subsidiaries, 27 listed companies and 500,000 employees across the globe. AVIC is also the sixth largest defense contractor globally as of 2022 and second largest Chinese defense contractor with total revenue of $79 billion (from both defense and non-defense services.)

https://en.wikipedia.org/wiki/Aviation_Industry_Corporation_of_China

Hmm...

This all looks like a re-run of Pan Am's 'Trojan horse' re-militarisation role in Latin America and the Pacific pre WW2, see

https://academic.oup.com/jah/article-abstract/107/2/525/5907750

(2) The editorial complains about the growth of social media leading to .."Demands and calls for demonstrations

against insecurity, lack of water and electricity and poor governance , now the most frequently used channels to denounce a situation. This increase should be a call to public authorities, because these means of communication encourage the depravity of morals and represent a perennial danger to the extent that they accelerate the unfiltered spread of the most pernicious, if not seditious, messages anywhere, anyhow..."

(3) A World Bank governance report on a new audit / control system has revealed that the country's 60,000 civil servants include at least 10,000 'ghost 'workers and .."there are also 180 registered employees who are not included in the finances file. The system also identified more than 3,000 people using a duplicate identity, i.e. 2,800 who have the same first and last names, and 300 of the same personnel number with different names..."

The Minister in charge said he was grateful these errors had been pointed out and that they'd soon be a distant memory.

Full marks for candour!

GLA

I'm sure Elphick isn't short of a bob or two, but his other public investment, GEMD. has experienced a similar shareprice trajectory.

You may not be able to take it with you, but it's nice to have it to enjoy for a while beforehand!

GLA

.." the Chinese economy is weak they are not going to spend the sums necessary. There are better plays out there..."

Agree the Chinese will be looking for value for money....which do you think are the 'better plays' ?

Serious question.

(1) 'precious' = 'concerned', board obv hasn't been concerned about dilution in the past;

(2) you contradict yourself, you originally said the amount was kept deliberately small, now say it makes no sense....make your mind up!

(3) SYME's history is long on 'contracts nearing completion' , forgive me for taking a lesson from history. Maybe ' this time it's different'....maybe.

I've been following SYME since pre-IPO days, it's been very educational.

HTH

.."There was a very clear reason the board were aware that it would dilute the share price and being near to contract signage wanted to limit the dilution and minimise funding to the bare minimum..."

(1) The board hasn't been so precious in the past, just consider its previous, highly dilutive financing efforts.

(2) The small amount is likely all they could get away with.

(3) You give the board too much credit/credence.

Occam's razor : the simpler explanation is usually the correct one.

AFAICS

Hi Mitch 984,

It would seem that MM started the hare with this, on 1st May :

"I understand that ZIOC plan:

An updated Corporate Presentation,

Proactive interview, and

A possible investor call to include Marty."

followed by

.."AT was on WhatsApp and fielding queries on next steps PR. Marty's preferred channel looks to be LinkedIn where he was chatting. On that score Zanaga Iron ore now have a LinkedIn profile..."

nibj had this to say :

.."I had a long call with the company. Dont want to mention anything from the call, as I see those to be one on ones, but got a good detailed talk about recent RNS messages and FS report. I can recommend in case you are in doubts about the RNS released last 6-12 month or have questions to them, that you book a call..."

FWLIW, MM has also said that he'd be getting in touch with both Elphick and Knauth about my observations re Shard [ Ed.: rather than something germane].

He's not commented further, so ..who knows?

HTH and GLA

Meanwhile. what update - if any - on the reports ex AT that there might be a presentation at some point?

ZIOC will have to say something re current outlook/ post balance sheet developments when it reports FY result by 30 June...

" The news and price will do the talking in the weeks and months ahead..."

As it has up to now.

But you've consistently misread/ misunderstood the news.

Can you really not see that YOUR talking hasn't been helpful?

' A period of silence for reflection would be welcome'

AFAICS

GLA

Meanwhile, Reuters headline reiterates the point:

"China iron ore imports likely at peak, demand composition to shift.."

Shift over to you-know-what....

Can't post link atm.

GLA

In haste, I've got to go out :what's to stop GLEN agreeing a further loan extension...with an increase/adjustment in the working capital element ?

See the backstory on how the loan was set up...

GLA

RNS just out.

GLA

.."It is simple arithmetic when that moment occurs, if it happens before [?} a strategic investor RNS so much the better,..'

Hi Jiving, I agree with you that 'they only need it [cash] when they need it', but think you mis-wrote and meant AFTER - I think we all believe that the shareprice should be much higher after ANY RNS indicating positive movement towards a project !

Other things (= liquidity) being equal, I'm with Elphick and would be happy to see T3 kept in reserve, if possible.

And, of course, consultants and lawyers 'close to the action' might be willing to take payment for services in shares, esp if the multiples are anything close to the numbers being bandied about.

As I see it.

FWLIW, I agree with marcusg71 :

At the time of the Funding Update Dec 14 they said this :

.."As provided for in the Subscription Agreement, SMC has now subscribed for the second tranche of 12 million Ordinary Shares ("Second Tranche Subscription Shares"), conditional on admission of those shares to trading on AIM ("Admission").

[Note the conditionality]

ZIOC received net proceeds of approximately £777,289 in aggregate in relation to the placing by SMC of the first tranche of 12 million Ordinary Shares under the Subscription Agreement.

The Company has submitted an application for Admission [of Second Tranche] and Admission is expected to take place on 18 December 2023. The Second Tranche Subscription Shares will rank pari passu with the Company's existing Ordinary Shares from Admission. The Company does not hold any shares in treasury and therefore, following Admission, the total number of Ordinary Shares and voting rights in the Company will be 644,989,909..."

The share no hasn't been increased and ZIOC hasn't yet submitted an (RNSable) Application for Tranche 3 yet...if they are being consistent.

AFAICS