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Agree this could have been much worse. I was worried that they would be having to do forced funding raising at sub 1p. This gives a vital lifeline and a great opportunity now to make a decent discovery and see a recovery in the share price.
This is actually good news and a relief … they were fast running out of money especially with the diamond drilling of 6 holes on PL082. Is if absolutely no surprise - anyone who took the time to read the interim financial statements would have seen the clear statement that funding would be required within the short term. Despite the usual BS from BT and his friends about ‘funded for the foreseeable future’. Dilution is inevitable for a share of this nature and investors need to take this into account.
Thanks for that MH. That’s the bit I was unsure about: are they now referring to holes 2-6? Or have they identified some new targets? That’s whats confused me about this newsletter. Presumably they had also identified holes 2-6 on soil sampling like they did with hole 1? But presumably this new CSMAT survey has identified new areas that had not previously been identified? It would really help to see the planned drill holes on the map they issued back in August.
When you say ‘it’ is that the entire general area? Or have they now discovered a new specific area within the licence that they want to focus on? Also, have you seen any information on precisely where on the licence they have drilled and where they plan on drilling next? Thanks.
Thanks Captain. I agree the prospects do look good especially given the analogy to the banana zone and the other successful finds in the area. I just found his newsletter difficult to make sense of. Does it make any sense to you what he is trying to say? Thanks
Does anyone actually understand what BT is trying to say in todays newsletter? It all sounds rather cryptic / ramping - or do we think that KAV are actually onto something this time?
Does it mean that they haven’t found anything of interest in hole KCBRC001 that they have just drilled but that they think there is something elsewhere on the licence that could be significant due to their CSMAT surveys and will now be targeted instead?
Does anyone know precisely where on PL082 they have drilled so far and where they’ve plan to drill next?
Quote from the newsletter as per below:
“As you know, drilling is already underway elsewhere on the PL082/2018 licence, targeting a different set of CSAMT data that was previously generated.
The initial focus here was justified by the presence at surface of the highest soil copper values yet recorded on the licence, and we have high hopes for this drill hole too.
But what the CSAMT data is now beginning to emphasise is that the area is likely to be rich in targets of real significance, and ones that are crying out to be tested.
So, once this first hole – KCBRC001 – is complete, we will move on deeper into this drill campaign, confident that all the data shows we’re really onto something.”
That is very useful Mr. Vig.
Also, detail on what KAV are targeting in that ‘light green area’ which is PL082/2018 is provided on their website at:
https://www.kavangoresources.com/media-library/news-release-media/rns26august2022
Does all look very encouraging.
Also, MH I agree that they are not easy to model but they can be priced using options pricing models. By my estimate these warrants would be worth at least $1 million in the open market. That is a very big free gift that has been given to POW / PJ.
They are entirely one sided Metalhead. What benefit are they to KAV when they are 3 years out? They are a massive benefit to POW with virtually no down side. If KAV are to make a discovery it is likely to be well before 3 years.
The warrants are not really a 2 way transaction. In reality they are almost entirely in favour of POW / PJ. Such warrants would normally and reasonably be out 12 months but in this case they are over 3 years. In practical terms POW would only ever exercise these in 3 years time and only if KAV had already made a discovery by then. So of practically no use to KAV but a massive free ride for POW / PJ.
I don’t think you even have to wait for an AGM. I believe that a GM can be called for this purpose by shareholders representing 10% or more of the voting rights. Sad it is coming to this but it may be the only way forward for this company.
Agree with you there tj95. The board of this company is itself a joke especially now that they have lost Mike Moles. BT seems to be the only decision maker and is allowed to get away with what he wants. There does not appear to be any effective governance and oversight function.No wonder then that we are seeing such poor decision making and lack of leadership. The company does not even have a board level finance expert like a CFO / Finance Director. How is that even allowed to happen in a London listed Plc?
Simply making the announcement about drilling the KCB is of course long overdue but is unlikely to make a significant difference. Too little too late. Investors have had enough of the broken promises and lies and continue to abandon ship. Meanwhile there are virtually no new investors brave enough to jump on board even given the low share price.
The market seems to have given up hope on anything positive out of Ditau especially given the company’s track record of not releasing negative assay results.
We will need a positive drill result out of the KCB to kick start a share price recovery but BT continues to dither and mislead on this.
The hard truth is: this company is unlikely to succeed with the quality of the current CEO but simply cannot afford to hire a decent replacement.
Completely agree with you Legalwolf. Many promises have been made but very few if any kept. Even commitments in formal RNS’ have been completely ignored. For example the 3 March RNS for the KSZ clearly states that the full petrology report will be shared once received but this never happened despite repeated promises. It really is like trying to get blood out of a stone. Meanwhile the rose tinted wearing BT fan club will keep telling us there is nothing to worry about and things are going along just fine.
Not a lot of interest generated from this mornings post. Not a single trade seen yet this morning.
To be fair to KAV on the timescale at the KCB they probably have been impacted significantly by COVID so some delay / slowing down inevitable.