Member Info for Hedgehog100

thanks to Troutisout on ADVFN for this very useful post:

troutisout 26 Mar '21 - 08:36 - 142 of 211 0 2 1
"dave,
DKE are the middlemen, they have long dated income clients (funds that require to invest for solid income over a long period (25-50 yrs). Their choice in this low interest environment is small, so property is one of the best solutions. These are funds though so they don't want to have to go through the process of planning, building and finding a long term tenant. DKE do this for them, they bring the finance, developers and end users together in a deal that they profit from.
DKE doesn't fund the builds, the funds do, DKE oversees the deal and then the construction and finally the handover to the tenant. The tenant will have signed a deal with the funds to lease the property for a long period (say 25 yrs), fund get's it's income flow and an asset, DKE get paid for brokering the deal, overseeing the construction and handover.
The new CEO worked for an American Billionaire, brokering these type of deals for the American's private office. Basically making the Billionaire's money work better, in his time he oversaw projects in the Hotels and Hospitality, Education and Goods Distribution areas. Building these projects and then having a long term income from them, the Government did it here, with hospitals and schools, they called it PPI, this is a similar thing in the private sector.
DKE has many deals being looked at and some will be of far higher value than this recent one, however the DKE model hasn't been explained to the market very well, which has led to where it is (many people like you thinking where are they going to get £6.25m from when it's market cap is £3m?). The lack of understanding by the market does present an opportunity, because as it becomes clearer DKE have letters of intent for funding projects well into 9 figures the penny will drop.
Deals are being looked at in lots of areas and can range from building a new project from scratch to a sale and leaseback of a building/s.
Understand the reticence to get involved and why some have used the recent spike to bail out, but just wanted to explain the model (something which the Company should be doing themselves).
Trout."

https://uk.advfn.com/cmn/fbb/thread.php3?id=47065420&from=136

"Just listened to the podcast, this is my take...
3) They're not even looking at uni deals anymore - he was quite evasive on this..."

MonkeyWizard,

If they weren't looking at uni. deals anymore, he would have said so.

In contrast, NDAs (non-disclosure agreements) could constrain him from talking about such projects in advance, and discretion would be wise in any case.

The 20.5. 21 RNS says that it's an important milestone for Dukemount to meet its projected growth targets, but the £100M. cap. target suggests that there's a lot more in the pipeline.

From the January interims:

29th Jan 2021 2:00 pm RNS Half-year Report
" ... To that end, the board is actively engaged in talks with universities and other educational providers, as well as assessing further opportunities in the supported living sector, based on the model that we have successfully deployed at Wavertree and West Derby Road. ..."
https://www.lse.co.uk/rns/DKE/half-year-report-n5yp7yrs12s1y0c.html

There's been no RNS since then that the unis. etc sector has been dropped, and I don't see why they would drop it.
Deals would also benefit the unis etc. themselves.

"Member Info for Reddit"
"Posts (All Time) 8"
"Member Since 21st Feb 2021"
https://www.lse.co.uk/profiles/reddit/

Could we have some clarification about yourself please Reddit?

What is your previous posting record, and why are you hiding it?
Is it because it would ruin your credibility?

As regards the credibility of DKE and their 20.5.21 RNS, it makes it very clear that they WILL develop the projects, not that they MAY do so, so will tender to do so.

It's rather silly and nasty to suggest that they would lie in an RNS, and you are probably committing market abuse in doing so.
I know who I will trust!

20th May 2021 7:50 am RNS Joint Venture Signed With HSKB
" ... As previously announced, the Joint Venture will initially develop two gas peaking facilities which together will produce around 10MW of power for a total approximate cost of £6.25 million. Dukemount believes that this Joint Venture and the opportunities it presents is an important milestone for Dukemount to meet its projected growth targets.
Dukemount will manage the construction of the two sites and provide its knowledge of long-dated income funding and finance. HSKB brings its technical, operational and market expertise of the UK flexibility power market, as well as access to a pipeline of further deals. ..."
https://www.lse.co.uk/rns/DKE/joint-venture-signed-with-hskb-8ce7gr8bx09nxjy.html

"Agronomics Limited (LSE: ANIC) is an investment company that is focused on opportunities within the nascent industry of modern foods, which are environmentally friendly alternatives to the traditional production of meat and plant-based sources of nutrition"
https://agronomics.im/

Agronomics (ANIC) has more than 5-bagged since the start of October, from just 5p, to its current s.p. of 28.5p, market capitalisation: £142.03 million.

This shows the very attractive current investment climate for sustainable and healthy food production.

OTAQ could potentially be 'the next ANIC', once the market picks up on this stunning and overlooked gem.

"Mining industry of Morocco

From Wikipedia, the free encyclopedia

The mining industry of Morocco is important to the national economy. Morocco is the world's largest producer of phosphate, and contains about 75% of the world's estimated reserves.[1] Mining contributed up to 35% of exports and 5% of GDP in 2011.[2] Foreign investors have found the investment climate, the infrastructure, fiscal situation, and political stability very favorable to continue business in the country in this sector.[2] ...

Phosphate is the chief product and it accounted for 14% of the world's production in 2011. Morocco holds 75% of the phosphate reserves of the world, and is ranked third in the world in its production.[2] ...

Outlook
The mining sector is poised for increased participation of private sector companies and also in the fuel sector in natural gas and petroleum extraction. The mining sector operations now under the government sector have been proposed to be privatized to enhance production.[2] ..."

https://en.wikipedia.org/wiki/Mining_industry_of_Morocco#:~:text=Morocco%20holds%2075%25%20of%20the,silver%2C%20talc%2C%20and%20zinc.

5th May 2021 7:00 am RNS Operations Update
" ... Chief Executive Officer, Scott Kaintz commented: "I am happy to report that the Company continues to make progress on all fronts, with proposals for the commercialisation of the investment in RMI, in particular, under active discussion. ...
Flexible energy storage and production remains a very attractive sector here in the UK for investors, and the Company notes the recent successful Mast Energy Developments Plc (AIM:MED) IPO and implied valuation read-across. The Company continues to focus on this space and expects to expand its footprint in the sector in the near-term." ..."
https://www.lse.co.uk/rns/CRCL/operations-update-7orlzqy6h0kokow.html

The company also told us two weeks ago that it expected to expand its FGS (flexible grid solutions) footprint in the near-term, and a new FGS acquisition was also announced last week.

So this is not a company that makes idle promises, or gives unrealistic timescales.

But in business you can't always have complete certainty about a timescale in advance, and an expectation is just that - it's not a promise or a guarantee.

5th May 2021 7:00 am RNS Operations Update
" ... Burwell Energy Storage Project
... The Company continues discussions with the landowner of the property regarding the execution of a binding option to lease. The Company has been informed that the landowner is currently managing a land sale process and Corcel therefore expects the lease to be signed with the new landlord following that land transaction completing; which is expected imminently ... "
https://www.lse.co.uk/rns/CRCL/operations-update-7orlzqy6h0kokow.html

Yrabsmurrac,

We weren't told on 5th. May that it WAS imminent, we were told that it was EXPECTED imminently, which is subtly different.

Previously, we were told on 26th. March that it was expected shortly, so expectations are clearly moving forward.

And interesting, on 26th. March we were also told that the Mambare EIA permit was expected shortly, and it was announced last week!

26th Mar 2021 7:00 am RNS Half-year Report
" ...The Company has a 41% interest in the Mambare nickel-cobalt asset in Papua New Guinea, where it is targeting the near-term award of a mining lease to enable direct shipping ore operations. A critical milestone in this process was achieved in July 2020 when a positive outcome at the Warden's Hearing was secured. The Warden's Hearing is considered a broad analogue to local community planning approval in the UK and positions the Company for further permitting progress this year, initially with an environmental impact assessment permit expected shortly. ...
Alongside the battery metals portfolio, the Company also materially progressed its UK based energy generation and storage portfolio, particularly the battery storage site at Burwell. A 100MW 132kV connection offer from UK Power Networks was secured in September 2020 and the Company bought out its partners in December such that it now owns 100% of the project and has autonomy and full strategic control of the project. Subject to securing the land lease, which is expected shortly, ..."
https://www.lse.co.uk/rns/CRCL/half-year-report-1p4ylmwtscy6vyu.html

"CORCEL – TODAY’S MAST IPO HIGHLIGHTS VALUATION DISJOINT WITH CORCEL. REVISION OF PRICE TARGET TO 12.91P. BUY.
April 14, 2021 | Posted by admin
...
On the flexible grid solutions side, Corcel’s flagship project is the 100%-owned Burwell Project which is a 100MW (50MW of energy storage and 50MW of solar) project located outside of the town of Burwell in Cambridgeshire. Already, the land lease heads of terms are in place and the grid connection is secured. The project owns the last 100MW 132KkV connection available at the substation there and there are multiple expansion options including solar and storage. Planning could be gained here shortly making the project shovel ready, which is a pretty big inflexion point as at that stage the project could then be sold, funded or new partners could be brought in. ..."
http://www.alignresearch.co.uk/corcel/mast-ipo-highlights-value/

Commercial lease terms have been already been agreed, which was the main potential stumbling block.

The 'rumour' is good news. If there's no land sale that simplifies and accelerates the process.

There's no reason to try to put a negative spin on it.

Corcel has already agreed Burwell lease heads of terms with the landowner.

And you don't agree lease heads of terms unless you are happy with those terms, as there is no point.

This dip will soon be seen to have been a real buying opportunity.

"@metalhead I was about to say the same thing.
If Tor is correct and the rumour plays out, then potentially it’s going to be a quicker deal. Perhaps Corcel can now sign off the paperwork with the original owner and the land doesn’t have to pass through another set of hands to get us that elusive RNS."

Sniper,

I agree.

If the land sale is off, that's good news, as that was the only thing holding matters up.

The lease heads of terms have already been agreed, so there's no reasons now why it can't be signed instantly.

The existing landowner may have felt that he can get more selling later with a revenue-producing lease already in place.

Rock,

I know that you can't move by yourself at all, but give us a break.

Since when have you waited days for a bus? ...

Yrabsmurruc,

That is a completely flawed analogy, because the timescales between each bus is far shorter than for major business developments.

"Imminent" is relative.

For example, for a rare geological event "imminent" may mean within years.

More from the new presentation:

"Flexible Grid Solutions (UK)

ENERGY MIX TRANSITIONING FROM
BASE LOAD TO FLEXIBLE POWER GENERATION

Corcel investing in the
projects and infrastructure
required to provide critical
services to the UK Grid

Investments dovetail
with the UK’s “Net Zero 2050”
initiative regarding
greenhouse gas emissions
and the increasing pressure
on the UK grid

Corcel aims to use energy
generation and storage
projects to support its
overhead requirements
and to further fund and
develop blue-sky battery
metal mining opportunities"

https://www.corcelplc.com/wp-content/uploads/2021/05/20210514_CRCL_PPT_FINAL.pdf

That last point highlights the genius of Corcel's unique business model.

I.e. Cash-generation from the FGS arm will support the mining explo.-development arm, with its gigantic upside.

Goodbye dilution, hello mega multibagging!

From the new presentation:

"Mass adoption of electric
vehicles (“EV”) anticipated:

“UK Govt now set to ban
the sale of new petrol and
diesel cars by 2030”

Nickel is a core battery metal;
Supply crunch expected given EV
use to grow at a 20% CAGR

Recognition of nickel’s importance as a
battery metal in EVs and energy storage
applications, along with increased
demand in China has lead to a sharp
positive price movement

Electric vehicle manufacturers now
acquiring upstream deposits and offtake"

https://www.corcelplc.com/wp-content/uploads/2021/05/20210514_CRCL_PPT_FINAL.pdf

That last point is interesting.

Could we see major vehicle manufacturers fighting over Corcel's huge nickel projects in Australasia?

"CORCEL INVESTOR PRESENTATION Q2 2021
UPDATED 14 MAY 2021"
https://www.corcelplc.com/wp-content/uploads/2021/05/20210514_CRCL_PPT_FINAL.pdf

Thanks Aston & Staffy.

Supman, well done for being open-minded enough to change your mind.

“When the facts change, I change my mind - what do you do, sir?”
? John Maynard Keynes

Another 9.5 million Corcel shares bought is quite an increase.
And they probably have a better understanding than most what's coming here.

"CORCEL – TODAY’S MAST IPO HIGHLIGHTS VALUATION DISJOINT WITH CORCEL. REVISION OF PRICE TARGET TO 12.91P. BUY.
... Sum-of-the-parts valuation. Source: Align Research
Our SOTP valuation totalled £52.41 million. Based on the number of shares currently in issue (321,381,614) the per share valuation would come out at 16.31p. On a fully diluted basis, we have adjusted the number of shares by ignoring the warrants that are well under water as they are exercisable at 25p and 60p. This leaves a total of 423,344,819. Adding the funds that would result from the options being exercised of £2.24 million gives a total of £54.65 million, which equates to 12.91p. We have chosen to use this as our new target price – more than four times our previous target price of 3.19p.
We are more than happy to reconfirm our Conviction Buy stance for Corcel, with a new target price of 12.91p. ..."
http://www.alignresearch.co.uk/corcel/mast-ipo-highlights-value/

Dreamchaser,

We were blue yesterday on a very bad day for the markets, when most other stocks were down.

We were also up for over half the morning today.
We're currently down a bit, but I wouldn't be surprised to see an improvement this afternoon, as the market absorbs the significance of yesterday afternoon's RNS.

Things are clearly moving forward on Corcel's huge nickel projects in Australasia, and the government of Papua New Guinea is clearly supportive, with work now moving forward apace.

This bodes well for more progress on these projects relatively soon.

4th May 2021 7:00 am RNS Mining Licence Update - Bougouni Lithium Project
" ... The ratification and approval of the Company's lodged feasibility study and mining development plan is a major step toward the granting of the Mining Licence for Bougouni. The next steps are summarised below: ..."
https://www.lse.co.uk/rns/KOD/mining-licence-update-bougouni-lithium-project-er7pkbi4e88uhcn.html

Last week Kodal Minerals (KOD) announced progress on it mining licence ... though not the actual grant of it.

And within barely a week KOD had nearly trebled, from 0.12p to 0.322p.

Currently 0.285p, market cap. £44.84 million.

... Phil Newby, Chief Executive at OTAQ, commented: "We are delighted to be collaborating with Blue Lion. They have an established AI platform and deep experience of its application in this important area that further enhances our ability to deliver a rounded product ahead of schedule. They are a dynamic team and we very much look forward to working together on innovative projects which will add vital new management tools for our clients to improve the welfare and productivity of their stock."

Dr. Jason Deglint, CEO at Blue Lion, added: "The team at Blue Lion Labs is very excited to partner with OTAQ. This Investment and collaboration helps us in executing on our mission to develop innovative solutions to global water-quality issues. Combining our AI technology with OTAQ's hardware platform and distribution infrastructure will provide both companies with an accelerated path to market."

https://www.lse.co.uk/rns/OTAQ/investment-in-ai-business-blue-lion-labs-ltd-02ieyryzcr1u9g5.html

Equity Investment in AI Technology Business

Blue Lion Labs Ltd

OTAQ, the marine technology products and solutions group for the global aquaculture and offshore oil and gas industries, is pleased to announce a $300,000 equity investment (the "Investment") in Blue Lion Labs Ltd ("Blue Lion"), a Canadian data management and software company developing solutions to multiple water-quality challenges, including real time monitoring of harmful organisms in water to deliver more sustainable food sources. Following completion of the Investment, OTAQ will hold a beneficial interest in approximately 10.0% of Blue Lion's issued ordinary share capital.

In addition, the companies have signed cooperation and licensing agreements which will ultimately allow OTAQ to incorporate Blue Lion's specialty in artificial intelligence technology ("AI") to analyse plankton monitoring data at fish farms. Importantly this will build on and accelerate the development of the Company's own plankton/algae bloom early detection system, with a view to achieving commercialisation within the next 18 months. As part of the agreement, OTAQ's CEO, Phil Newby, will take a seat on the board of Blue Lion and will help to support its growth.

It is estimated that the global aquaculture industry suffers $3.4 billion in damage and losses annually due to harmful organisms. The collaboration is focused on addressing this in the Company's target markets by creating a solution that will combine OTAQ's hardware expertise and Blue Lion's software expertise to identify harmful levels of phytoplankton by providing real-time information to finfish farmers to allow them to improve welfare and reduce losses.

Blue Lion was established in 2018 by Dr. Jason Deglint and Dr. Katie Thomas, two PhD alumni from the University of Waterloo, Ontario, Canada, with expertise in machine learning and AI, and aquatic biology, respectively. Blue Lion already has the support of incubator and mentorship programmes including Hatch, the Ocean Startup Challenge and NEXT Canada.

OTAQ remains focused on creating a portfolio of products to improve management, efficiency and output as it builds on established relationships within the global aquaculture sector.

Phil Newby, Chief Executive at OTAQ, commented: "We are delighted to be collaborating with Blue Lion. They have an established AI platform and deep experience of its application in this important area that further enhances our ability to deliver a rounded product ahead of schedule. They are a dynamic team and we very much look forward to working together on innovative projects which will add vital new management tools for our clients to improve the welfare and productivity of their stock." ...

https://www.lse.co.uk/rns/OTAQ/investment-in-ai-business-blue-lion-labs-ltd-02ieyryzcr1u9g5.html