Member Info for GeologyStudent

Gok Wan stated that achieving nameplate capacity is a prerequisite for the DMS financing. It will be done in tranches, with the first tranche being $12mill. Given we shall be at nameplate in October, I expect news of financing in late Q4 or Q1 2019.

we were selling Matala? Hmmm.....

http://www.proactiveinvestors.co.uk/companies/news/191148/cradle-arc-eyeing-production-expansion-after-ramp-up-completes-at-mowana-191148.html

The warrants associated with the debt funding were already approved in the last general meeting. I was wrong in my previous assertions. These rejections inihibt further capital raising, other than the proceeds arising from current warrants.

The consortium have already converted 20mill out of the 70 mill warrants.

Our major existing shareholders are exercising their right to block the outrageous number of warrants (71mill) that were awarded to the consortium responsible for the $10mill debt financing. Tamesis Partners were responsible for brokering that deal and would have benefited from any conversion of warrants via commission fees. The only issue I can foresee is that the consortium may request a recall of the loan, in which case we have to refinance or be liquidated.

be ecstatic if I can get out of this at break-even within the next 18 months, with an average of 23p. What a shambles this has been over 5 years. To think my initial investment was at 300p (equivalent).

If they address the issues that have stifled production over the past two months, we should be trading at 13p by the end of the year, at current copper price $2.70/lb. This rises to 17p at $3.00/lb.

Increasing stake from 3.49% on IPO to 8.26%. Positive signal.

No. I'm referring to Indiana Resources.

Yes. The shareholders of the JV partner are going to get diluted into oblivion.

Seems as though we JV'ed with a company that's just as incompetent as CRA. A history of share price decimation with a current Mcap of AUD$5mill. Only Zeus The God of Lightning knows how they are going to fund the program. No major player on the table - I'm disappointed.

CRA secured the services of Capital Drilling last year but I’m not sure if the contract is still ongoing. Nevertheless, the chairman of Capital Drilling is confident enough to invest £500k, assuming a 5p average.

Gok Wan's interview released today: http://www.proactiveinvestors.co.uk/companies/stocktube/10285/cradle-arc-plc-getting-to-grips-with-issues-at-mowana-10285.html

They definitely understood this could be an eventuality, hence paid off the CLN holders. If not, this could be much worse. Onwards and upwards. They better get this right in Q4. Thought Kevin Van Wouw would be our saviour. Turns out Gok Wan could have done a better job.

They appointed the broker to help in the previous £2.4mill equity raising to pay off the CLN holders. However, that is not to say they will utilise their services again.

The DMS upgrade and upgraded plant parts will cost $20mill, which will be secured via debt financing. However, the debt financing will most likely be accompanied by warrants.

Assuming no more dilution at these levels, I expect a Mcap of £35mill or 13p at $2.70/lb copper price. This should rise to 15p at $3.00/lb copper price. They were aiming to sell the Matala gold project for $2.5mill and potentially use it to increase our equity stake in Mowana. There was a 30 day deadline therefore I assume it is not going to happen.

Rereading the RNS, the logic controller failed which is a large-scale computer. The mining is on schedule and the appropriate amount of ore has been stripped.

I agree. Penmin inspected the equipment prior to production restart and deemed it functional. The mine was functioning without fault in May and June, but has failed in the months of July and August 'intermittently'. My understanding is they expect to produce 400 tonnes of copper in Sept and ramp up to an average of 1000 tonnes/month in Q4. If that is adhered to, we should be fine. But this is worrying.