Member Info for Fukurokuju79

Micky,

Is it a placing, yes. Any capital raise that involves the 'placement' of new shares is a placing.

However normally placings are at a discount to the prevailing price, rather than a lofty premium.

However, this is a strategic investment. So it's an investment in the long term success of HEMO.

Should certainly see a rise today.

Atb

There is some commentary in annual accounts RNS from memory.

Within the commentary. So you'll have to do some key word searches in the document.

I've still not bought in. Waiting.

Atb

When / of this deal completes then as a LTH myself (can't speak for others) I won't be selling. Doesn't make sense for a LTH to sell after deal completion, when the asset exploration is massively funded and managed by a major.

If imagine most LTHs are here due to a view of the assets.

Atb

Major Tom, I think this board is open to those views. Sadly, those that are open to them realise there is little point posting on here often, for the reasons you say.

It's not helped by the void of news because of the slow nature of the process ATM. I think the void of news creates a couple of impacts to shareholder bulletin boards like this. First it gives little tangible information to enable real discussion or debate for those who want to have some balanced discussion and it creates uncertainty and therefore heightens emotional responses.

I don't blame the management for the delays to be honestvor think it's because of a lack of experience persee. I do however think the communications have lacked clarity, and established expectations they didn't need to set.

At the moment I know they aren't seeking a fund raise and that they will seek to prioritise cash to minimise the short term commitments to avoid the need to have one. Doesn't mean they won't need to do a raise and issue some shares as part of this process.

Over the next 6-12 months I think the picture will change. The deal will be complete first, including new licences within the JV. Then a restructure of some of the commitments will happen and that ARCM will likely seek to buy more or all of the minority shareholders position in the JV. Plus the drilling by AA at some stage and in Bots.

Time will tell

Atb

Aimtodeath - you're probably right technically in terms of the wordings but the agreement is with the JV. Arc Minerals 67% shareholding, with the balance held by Kopara Investments Ltd.

The substantive terms cash element will see the staged cash payments distributed to the JV entity pro rata to their ownership.

Albeit this could change if the JV ownership changed e.g. if ARCM bought more (or al) from the minor stakeholder.

ARC Minerals but they haven't really got boots on the ground yet from an exploration perspective.

Yes Diamond. I do understand the allocation within the JV. I'm also not saying ARCM will never raise cash again. I'm just saying it's not planned and imminent based on my engagement, my understanding and my opinion.

Regarding the next couple of years a lot can change, including the structure and ownership within the JV.

All being well and subject to the approvals and drill outcomes any raise will be less impactful, once reflected in the price.

For now it is what it is and we all, including ARCM, must continue to wait for the process.

Atb

Last note.

Regarding share options the schedule was to pay cash over a 3 years from March 2021 announcement. What the status of that is now I'm unsure but that 3 years isn't until march next year.

They could issue the shares as payment based on a 10 day vwap of the preceeding 10 days. Given the intention was to surrender them to avoid dilution. Therefore in an event that raising new shares at a 10 day vwap next march is less dilutive than paying for the options out of capital to then re raise that capital at a discount, you'd anticipate they would preserve the capital and take the vwap option. Or extend the 3 year period and avoid dilution.

Anyway. Time will tell.

Atb

Well, you're welcome to your view Matt.

I don't personally agree with it. You've referred to what ARCM have said but they've also confirmed regarding no expectation of raising more capital via placing(s).

They also get 1 million at anniversary and further staged payments, before a final 8 million payment. Total being around 14.5million dollars cash as part of the structure aside from the massive free carry on drilling capex.

I clearly can't say with 100% confidence they won't need to raise some level of cash, equally I can't say with 100% confidence they would. But I'm much closer to the former view.

Anyway, each to their own.

Cheers. Atb

Mattk6 - when you say 'I suspect there may be a placing prior to the commencement of drilling'...

Out of curiosity. What makes you think this? The initial cash from the deal as you say is decent and AA are paying all the (and significant) drilling capex on the same licences.

Atb

If people are not invested for one day it really doesn't matter what happens here tomorrow. Does it?

Clearly tomorrow could do anything. Volatility is inevitable with a stock like this. So if you trade the volatility that's fine and maybe it's worth thinking about the intraday moves. Mid to longer term positions will need to focus on the macro view.

So I don't really care about tomorrow. Personally.

Atb

Useful context, thanks

*stock*

Not positively spinning anything.

In what way do you think ARCM can expedite the required approvals that are with the government of Zambia?

The only thing ARCM can control is one of communication, which I've said is lacking and managing expectations which Ive said we're optimistic.

ARCM did what they can control in getting the signed agreement. The rest of the ratification is unfortunately a dependancy to the agreement, but not within the control of ARCM.

The topic here isn't about spin. I have no need to spin, as what others choose to do is not of my concern. I say others in the context of shareholders, rather than embittered individuals who decide to spend their lives posting on a stick they don't actually believe in. That's a little weird, but to each their own I guess.

Atb

It's certainly not ideal to still be waiting.

Trouble is, regarding it being unacceptable, it's out of ARCMs control in terms of timescales. Clearly their is a valid point around acceptability of news (or lack thereof) from ARCM.

Given NvS set an expectation it would be good practise to even RNS that progress is ongoing and provide a bit more context. However, I personally don't think the absence of this type of comm means anything bad.

I think it's still going through and we will continue to be at the mercy of the Zambian government approvals and any deeper macro discussions between majors and Zambia.

At this stage it remains a game of patience.

Atb

Never heard of any of that. Appreciate your warning Donk

Keep up the good work donkey and co. The world would be lost without your wisdom.

P.s. bumi was a stacked pack of cards long before NnvS got dealt in. But you know that.

They seem to have the same information in all posts. Last hundred have been a copy and pasta of the same points.

At least come up with something new.

Groundhog Day!

Yawn. Clearly they are very limited in what they know and think we all want or worse need the same bore day after day.

More like goldfish than a donkey

Donkey is simply a massive ego on legs. Simple.

Bumi..blah blah

Dodged bullets....blah blah

I'm great cos I bought at X and sold at y on whatever stock.....blah blah

I'm warning others as they need my warning...blah blah

I hope you're not old Donkey as I dread to think of the state of private investors, no, the world without your help, support and quite frankly irreplaceable knowledge and kindness.

Truly. Thank you. You put the kind in humankind.

Atb

You have to look at every situation as if you don't hold a position.

It helps with perspective. If I wasn't already invested here. Would I invest now?

Otherwise the decisions are fast and emotional, it needs a more removed analytical perspective.

Honestly, If I wasn't invested already. I would take a short term position now, but medium term or long term I'm not sure. The reasons I'd invest now if I were new to KAV is (not exhaustively);

- The mcap is lower than the 6 million being raised with PB.

- PB are paying 1p, about 50% higher than market.

- They have an active exploration campaign at karakubis

- I'd anticipate a news rich period from Zim options, Karakubis, financing etc

- Share price is trading at a significant discount to historic prices and seem to have stabilised after bad news.

- They should be well financed for the next 12 months or so

The reasons I wouldn't be sure about the medium to long term if I were new:

- Sentiment is very low

- Zimbabwe is highly prospective, but is outside of my personal comfort jurisdictionally atm

- The effective loss of the KSZ and Ditau as options ATM in the safer juristictions

- High levels of dilution to date (although this would be mitigated with the in flight PB raise and potentially Zim assets)

So, I'll hold to 1p. Then assess the progress with more info at hand and determine.

It's all high risk in this type of stock. It's hard to stay objective, but important.

Atb