Member Info for GLR1990

The recycling is worth £30m+

Market cap £15m

When the mine is sold / deal agreed, we will be back to 30p+

Or we will be paid handsomely

very frustrating at the moment, but it is what it is... investors wont come near as they are praying for shares in a placing. How lovely it would be to get some sort of non-dilutive financing in place until the asset is sold / deal agreed.

Personally dont want to mine

Sell the asset to the US, EU, Rio Tinto or whoever wants it

Retain a royalty / free carry (non operating interest)

Every other asset has had investment at some level, this one is shovel ready, suspect an offer will come before the end of summer.

Hope so B99 I do not want to give an inch to this unworthy market, 2 years of tense negotiation, enormous value creation both now in Songwe and Recycling, many multiples of the current cap were the company private and perhaps US based. The value is there, need to find a way to unlock it without interference from UK markets.

- Songwe Sale / Royalty / Carried Interest

- Maginito Stake (EnviPro, I keep coming back to it, they will want a stake prior to developing a Japanese plant)

It will come, I am more confident of that now more than ever, just hope the vultures dont get there first.

I don't expect it to happen, but what happens if we raise at 5p?

We have caved into a broken market... cant really blame the BoD because they have delivered!

The market is broken, like vultures after cheap stock.

Be a miracle now if we can pull off some sort of NT funding that allows us to progress / sell the mine in our own time, we likely still have funds left to do that in the short term, but would be nicer to know we have say 12 months to sell the asset.

What do you do with the funds from Songwe? Continue to build out the recycling business... offer a dividend? Share buy back / take out some TR1's? Explore some of the other assets we have.

Agree Biffa I just posted the same thing

Screw the UK market, DO NOT DO A PLACING even if we need it, I’d rather take the company private and have to wait years to get my investment back than give any more shares to this bent market

Sell Songwe / List Maginito and/or GTFO of the UK markets

Soverign listed on the OTCQB, it’s not the best and it’s costly, gives some exposure to the US and they have received funding from US DoD etc.

It’s unspeakable how bad this market is, 2 years in the making, 10’s millions spent to get to a MDA and here we are actually 10% down on the month!

The company needs the reset, the market is broken and we should not be part of it any longer. Sell the assets, list HyProMag / Maginito so the SP cannot be manipulated by a broken market or whoever is manipulating it (and has been for years)

We CANNOT develop Songwe, the SP and company will be obliterated by this broken market, best option IMO is to package it up, sell it and hopefully retain some form of LT interest

At least Talaxis no longer own 50% of the mine because at this market cap that would be an almighty shame, at least we still own the majority of the mine - it must be sold!

Could happen, a very real possibility.

Personally I would like to see the following occur at Mkango over the next 24 months

1. List Maginito

By listing Maginito perhaps prior to US rollout (to raise funds) or once US rollout has commenced and revenues are generating (higher multiple) Manipulation of the Mkango share price is no more, as we will simply have exposure to a new listing on the NSDQ (that is liquid, therefore cannot be a discount to NAV)

2. Sell Songwe and retain a royalty

Retaining a royalty allows us to benefit from future production and potentially have an ongoing royalty stream, whilst passing the asset to a much larger player who has the funds to cover additional capex if/when needed. Look what happened to HZM. Again removes any manipulation of the MKA share price because the asset is now sold and in other hands.

The (Songwe or Phalombe License) asset is under Lancaster Exploration (Lancaster BVT) inc. Thambani and Chimimbe, so these may be packaged up (all Malawi assets) and the subsidiary sold off. This would remove all liability from the group and as above we would retain an ongoing interest / royalty for when production begins.

3. Use the proceeds to advance / invest in further projects, perhaps with the collaboration of Cotec and the university of Birmingham, which seems to be a hub for superb innovation. Also use any further proceeds to advance Ex-US projects providing they are not entirely listed under the Maginito Group along with Cotec holdings (and whoever else is involved!) on the NSDQ

4. I have not mentioned Pulawy, as suspect this could/may be sold at a later date once Songwe has been acquired by a larger player and they digest the joint DFS (if that is still a thing?)

That would be my plan if I were the BoD, in order

1. Package Songwe to a cash rich player, sell and retain royalty for future upside, less risk vs capex issues and huge value for SH.

2. Use funds to advance recycling or purchase complementary technologies, begin initial preparation for US listing of Maginito along with Cotec in 2025 for a listing in 2026. Increase blue sky potential.

3. Successfully list Maginito once US production has been fully funded and/or commenced, use initial revenues to generate a significant valuation (or do it pre-rev which is less risky) creating enormous SH value

4. Wait for Maginito to be acquired by a private co. at a enormous valuation post scale up / IPO and dividend the proceeds to investors

My concern is we will never be able to find strength in the SP because there always seem to be a relentless seller wanting the share price lower / suppressed, which would make sense as it makes funding the recycling technology more difficult, although in regards to the mine the market cap is too low anyway even if it quadrupled. Still we were 38p at one point.

Personally feel like giving a large shareholding to a trading house may have not been the best option, especially since our entire development was funded by the east, we even had an offtake a one stage with China (Chinalco) and now it is all about the west (MSP, CRMA, DoD)

Dont forget we are 25% owned by the east, by a trading house that literally has its HQ in Hong Kong.

Well at this market cap if an offer doesn't come in before Y/E to take out the entire group or one of our subsidiaries then we've truly got this market all wrong because you cannot find anything as further along mine, refine and recycle wise even remotely close anywhere in the world for the price

Last month Songwe was on the balance sheet as a COST

The recycling assets = market cap if using Cotec face value for 20% of Maginito (disregarding all process since 2022 including PROVING the technology works)

The NPV of Songwe post DFS was $556m USD

Even if we highly conservatively reduce that by 50%, and attribute 10% of NPV for a sale / asset value, we still get to ~$23m USD of book value for MKA that WAS NOT on the balance sheet last month

A very conservative valuation for this company now is at minimum $40m USD / £30m MCAP (£14m for HyProMag and 10% of a massively reduced NPV for Songwe) or in other words a ~130% increase / 12p or thereabouts and I am being conservative

The market will be fully aware of this (and again we NEED to see the details of the MDA, it is absolutely crucial so this is all speculation until tomorrow) but should they be favourable I cannot see larger investors not putting a buy in target of even 100% above where we are today. They will want a placing to get in cheap but WD has already shown that route may not be wise waiting for, especially for full allocation.

This also opens the door to the uranium and rutile assets we have, which could be used to raise funds.

Wizard seems quite desperate to suppress the SP, bodes well for tomorrow as we must have some very large players interesting in taking a big position.

Your statement 'MKA’s pivot to recycling after abandoning their mining operations ' is completely false

- MKA has never abandoned its mining operations, otherwise there would be no MDA

- MKA reduced costs in the area, and was in the process of conducting a strategic review and raised a reduced amount for recycling

- Not once did the company talk negatively about its Songwe operation, the government or the policies.

'it’s about the feasibility and financial viability of these projects moving forward, which seems increasingly challenging in the current market environment'

Again, FALSE. RioTinto have invested over £30m into Sovereign, who operate in MALAWI over the last 12 months.

https://www.proactiveinvestors.co.uk/companies/news/1051096/sovereign-metals-receives-further-a-18-5-million-investment-as-rio-tinto-lifts-holding-to-19-76-1051096.html

Statement 3

'In the meantime, they need cash to stay in business.'

This one is true, but now they are raising funds on a foundation of strength not weakness. The recycling assets are worth more than the entire MCAP of the company, but regardless, the MDA gives tremendous value to Songwe (details to come tomorrow and this will need to be confirmed first of course) and brings that value back to where it was ~June2022 albeit reduced RE pricing but not relative to the last decade, pricing is healthy when compared to 2010-2020

Boooooom official!

That is unbelievable, what incredible news glad to read without doubt that the MDA itself has been signed

Cotec paid £3.5m in 2023 for a 20% stake in Maginito (which acquired 100% of HyProMag)

Face value of that investment gives MKA a £14m valuation for the recycling technology

This predates

- Commissioning of both the short loop and long loop process in UK

- Japanese JV with EnviPro

- £1.3m Project to recycle wind turbines

- 3000 magnets produced to date, 10K magnets and first commercial sales to commend Y/E

If this were a private company, there is absolutely NO WAY you would be looking at a series fundraise less than double what Cotec paid for it in 2023, absolutely zero chance. So Mkango' s holding really should be worth ~£30m give or take, or an SP of ~10/12p as it stands

So just on the recycling side, we should be ~150% higher

MKA was trading at 8-10p post investment from Talaxis, BEFORE the recycling technology was developed and still a 500K investment on the books, IF we ignore Covid bubble valuations and liquidity.

Ionic Rare Earths have a technology they are tying to establish in Belfast, they also have a mine in Africa (without an MDA I believe and certainly not funded) they trade at 45m AUD which equates to around £23m market cap, or ~75% higher than Mkango - I would argue right now MKA is the MUCH better investment however, post MDA we are clearly the much better investment and anyone investing there should look here as we are much further along both mining and recycling and trading at a massive discount.

If we also ignore Pulawy, which could be the diamond in the rough, this improves the economics of Songwe by ~30% and the US DoD gave Lynas $256m to process RE's on domestic soil, so they have set the bar for government investment in a processing plant.

Yes, we need GROUP funding for our day to day operations, but IF the MDA is signed, this company is very much back alive and motoring towards being a major success story on the LSE, and the days of raising at 5p (and perhaps even 12.5p) where the CEO has put in a quarter of a million, may be completely off the cards.

I would advise caution buying any stock, do your own research and make sure you are comfortable with the valuation, but if we HAVE signed the MDA (and dare I say royalties are 5% or below) then I REALLY would not want to be out of this for the duration of 2024 and perhaps until we realise all of our projects, because the MDA is the catalyst for a ton of good news and value.

I have waited 2 years to post this, so at the risk of looking somewhat amateur

BOOOOOOOOOOOOOOOOOOOOOOOOMMMMMMM

Huge News

The GOVT have been missing for 2 years on mining projects, so this is a major commitment when funds are constrained.

JC if an offtake comes from Apple, Microsoft or Tesla... SP will do 500% from here

One can dare to hope

Not that we need a major blue chip name like that, but it could happen and it would be a major catalyst.

Good solid update

10000 magnets by Y/E, that’s a lot of partnerships and approvals, we wouldn’t be making so many if we didn’t have strong interest

Assuming the UoB want money back for paying for the equipment? So May take a royalty from the magnet production? Nothing wrong with that as helps us with costs short term, plus all this really is a POC for global rollout.

Recycling looks full steam ahead in 2025, albeit 18 months later than the first forecast we made in 2022/23 BUT it’s already H224 so, again not too long to wait!

Good update, clear comms so everyone is aligned.

Plus who knows… the MDA may land in the short term.

Best post I’ve ever read on this investment

My Cotec suggestion is negative, perhaps add some there as an additional investment, why not? But don’t lose sight of how valuable 70-80% of Maginito could be (especially if it ends up on the NSDQ in 2026/27)

No need to add anything further, the below post summarise everything perfectly, and a good note on being protected by so many JV’s which would surely buy the company for not much less than we are sitting at today, perhaps even a premium.

Important to protect downside risk and your post certainly does that, if you read any post on this BB today make it that one as for me, who has already done extensive research, that really sums the position up perfectly.

This is the last time (SP wise) companies will get a chance to take a slice of the action at suppressed price, so if I were Cotec or envipro id be on the phone now looking to make a deal with MKA.

Soon as production starts in 2025 we are revenue generating and a whole different metric is applied to our valuation, not to mention revenue generating means the entire process works from feedstock to OEM, which brings enormous value in itself.

The equipment for the plants alone cost more than £10m!