Member Info for Gallmat

That is just standard practice. 50k is nothing.

I expect the full size is taken up and it is oversubscribed so I expect it will just bounce back.

I am not trying to cause a panic. I just want clarity

If it is the commitee stated to give it by may and then that makes it strategic to give at that date fine. I just want an answer.

I would also like to know what will be explained when we get the SOC. Maybe we cannot be told but I would love to know the rough methodology and if we reference the gold price.

If we do them we can watch the gold price knowing if it is helping or hindering the case.

I just want more detail

The next interviews for me are key. I want to know what event could have delayed the SOC so we ended up with this timing issue.

I find myself feeling a bit more annoyed than normal, so I thought I would show it.

Hi

Personally a placing was expected. Mali went to S^&t and SOC backstop of May was too close to the runway ending.

The only thing I hate is the size. I wanted 1.3mgbp now and the same later.

I still think I will easily do well here.

But my patience is running thin. If I cannot see logic in the placing size, delay to SOC and asset strategy. I will just adjust my long term strategy and diversify more.

No matter how much I like a stock if I cannot understand the sequence of events I will take action.

Stay strong!

Hopefully less.

Gold strong.

Stay string!

I also sold out a bit earlier. But these really are the last few cases that were funded on their own account and caught up in the covid backlog.

Probably the fact they did not settle implied they were tougher.

The new 3rd pty funds model is introduced to exactly limit these impacts but sadly there was some impact.

Is the whole model broken? Probably not as most cases are in 3rd party fund structure.

Disappointing, well yes. Not really in view from the losses, more that they did not manage to deploy more capital.

We all celebrate when they make 3 to 10x their investment when winning but take a loss to badly.

if they cannot scale that is the bigger issue for me as you want opex to be a lower percentage of capital and more diversification.

The moment they put cash into bres, it was clear it was a lifestyle we will do nothing company.

Just let another company be the story while draining the life out of it from salaries.

Not much integrity from the CEO if you are doing nothing you reduce your salary

I am also bullish. The setup is nice from politics to the price.

But I can see people wanting to see the SPAC closed, as you said many wrote off the value.

Also we need to build a business against our study. People want to see we can source at what are only projected prices and that we can achieve consistent output.

I am not putting a dampner on things but we have many steps to go, this is after all a new industry

To be fair if the spac does not happen then what changed?

I see big value in the recycling but I would like to see supply agreements and offtakes in place.

I think everything will go well, but nothing is a done deal yet

Again very positive but also realistic

Once we see commercial production the discount will come off

Https://www.mining.com/web/china-to-tighten-grip-on-rare-earth-mining-for-non-state-firms/

If you have 1oz of gold at 2900 usd. A 33pct royalty gives you 2900×33%×(1- tax rate).

At 65pct honestly they could extract F#*## all gold. They only keep around 1000 usd an oz. Even de grey a great project had 800 usd costs. You would have to just mine the best bits!.

At 33pct we would get close to 1000 usd an oz and the company keeps 2000 usd. If you have costs of say 800 usd an oz you could get loads of gold out profitably.

The GOI are stupid. Royalty revenue is qty x royalty rate. They set the rate so high you get no quantity. GCSE, e grade math!

If we had 0.5m oz with royalty of 1000 usd an oz. Happy days!

You could make an argument of course you sold it based on an NPV or developed as mine. But it seems to be redundant when the royalty stream solves most of the counter arguments.

You are using their designed process, to their rules they deemed fair, to give a price they accepted, from bidders they pre approved as being capable.

Not sure what better you can ask for. Especially given we get a great result from a royalty rate half of the final result agreed on 1m oz ( 1/7 or resource)

Hard for them to disagree with their own process,

I agree it will be for asset we lost.

The best version of what we lost is the royalty stream.

I think the summary of my post. If we are happy with a 400m usd award then the auction really helps the argument. That and the current gold price

My guess and only a guess.

The best price for something is from an actual sale of the asset. Hard to argue with it.

My guess is they will use an auction valuation, b ecause that process showed people would pay up to 65pct, removed issues of whether we could have capital or technical ability to run project.

Probably they would need to do some study to say how much gold is extractable, so that would be the input of the study.

I like this argument because if there is no capex from us, we get paid for each oz produced, and even limited assumed production is fine at 2900oz

Much better than using a mine argument. We need to have maybe 1m oz to cover the build cost. Then a few more million to bank the gains based on estimated gold prices.

Compare that to 0.5m oz at 40pct on 3000gold.

That is 600m usd pre tax. More than enough

It does not need arguments for 3moz of viable production. Also 0.5m oz is 1 years output and could be covered by these observed high prices.

Just seems logical to me

There is little point in settling early. You have a figure in mind say X. Why pay it now.

You wait until the last moment and then offer X.

Number seems too big for me.

People will argue 3000 is just a spike. If it holds this level for a year then maybe people might think it is less speculative

Also cannot see a 1bn settlement, again too large.

With that sort of figure you roll the dice. Settlements are by definition values where neither party is happy or upset.

Gold forecasts are now upgraded to 3000+ at ubs and goldmans.

That is probably the most important thing now. Once people accept 3000+ gold as a new level it will be great