Member Info for hazrat

Being a pedant you did actually say raised "in the past 2 years" which is quite different from raised "over 2 years".

Also, I now see you are saying that they have not won the orders of magnitude that they promised, again very different from the BoD saying that they had not won any orders of magnitude. Again quite different but you actually said the latter.

Results tomorrow

Raised over 3.5 years, not 2. Also, the £3m RCF has been in use for years rather than having been drawn down recently and so the actual outflow is less than you imply.

Where do Directors say they have not won any orders of magnitude? I can't find that statement

£17m was raised to strengthen the balance sheet whcih it did at that point, but I agree that doing this hasn't generated cash as would be expected.

You ignore the momentum the company is generating with the orders won over the passed year after security of the order book for this FYand next.

There is a risk that another placing is required because being EBITDA posolitive isn't that useful a proxy for cash flow in a company that capitalises a lot of R&D spend. Having said that, the unwinding of the increased WC looks to offset forecast R&D spend and so it could be a better proxy than I expect.

All in all I don't see these results as terrible. Companies developing new technology normally burn cash. Look at Netflix!

https://www.investorschronicle.co.uk/comment/2019/01/14/on-the-small-cap-earnings-beat/

Sums it up better than I can

Has no one read the full year forecast? Yes the first 6 months were a bit rough bit all the recent contract announcements have an H2 impact and so the company expects to be EBITDA positive for the FYI with 86% of forecast revenue already on the order book.

If you actually delve into it, it is a very positive story.

Jimzi, you mean the overhead that is lower than last year?

Interesting about the ownership, wonder why no holding RNS to accompany the changes.

Whilte the price paid continued to increase was an interesting move. Wonder what drove that.

Back in profit which is nice. Onwards and upwards.

I think so. I know some disagree with me and there is no solid evidence but I do think the SP drop is due to the retired director selling his sizeable holding, something he started doing shortly before he left. That and general sentiment. Hopefully that selling pressure is now cleared and this company can reach its full SP potential.

PE still only 5.9 for a company growing at 20%! A lot of bad news priced in.

Especially as 45p is my average. I reckon this will rise into results. I then need to work out if it can be sustained. Personally I think it can as a very well run company with a good track record. However, the market is still very twitchy and sentiment is against lenders at the moment.

Jet sadly i have been reading the same things here for years, even when the SP was 90p. I fully agree, this could be a blockbuster and i really hope for all those invested that it is. However, as i have said, i just don't have enough faith in management to entrust my hard earned cash to them anymore. I could buy in now at a signficant discount to what i sold my shares for but if i don't trust the management team then no matter how good the product is, I can't invest because I don't believe that they can deliver.

https://www.telegraph.co.uk/business/2019/01/02/blackwater-founder-raise-500m-invest-car-battery-metals/

Market agrees with you Fundraiser.

Also I don't buy talk of NDAs and buyouts causing the lack of media. Directors can't reveal anything more sensitive that the info contained in the RNS so I really don't see how a NDA would inhibit media to discuss the RNS.

Fundraiser you make a good point. There are a few differences.
MKA is not in production. MKA doesn't have any areas with grades higher than 2.2% but RBW has grades up to 60%. RBW has many more exploration zones and the recent drill programme was not exhaustive of the areas chosen for this initial phase and so the estimate will grow. If RBW can start generating cash for the next 2 years (which should happen soon) from the high grade areas then the dilution required for further exploration and to develop the low grade areas is reduced. I am not denying that this is an incredibly high risk investment, it is probably as risky as it gets. However, it isn't all doom and gloom!

a rather muted reaction, especially as the project has been de-risked to some extent. For the first time we now know that there is a decent resource in place and there is significant exploration still to do so great potential. If in the January update they can confirm that production is sufficient for cash breakeven, then i expect this to really take off.

Very quiet here despite the news.

So what do people think? Sounds promising but requirement for new mining techniques sounds expensive.