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Https://www.londonstockexchange.com/news-article/RRR/update/16539513

All good boys and girls.

It may be that we have "green hydrogen".

DYOR

Pumpy, close but no prize.

Can I rely on your confirmation that there is gold everywhere?

Well ask him how rates have changed over the last six months, you might learn something or not.

Week as you should know costs have gone up recently.

Hey Pumpy, no response? Why would RRR be buying machinery?

Why would RRR be purchasing machinery? You would only be asking that if you hadn't read the RNSs and/or listened to the interviews.

Maybe it is down to what actually happens on the ground? Which way should it be? Produce 1.5kg/day the partner takes x%, produce 0.5kg/ the partner takes 0.75x%? Maybe the most important thing is to get it up and running and deal with the rest at the back end?

It only matters if there is something to divvy up. If there is something to divvy up then great.

DYOR

Why not ask the company? Maybe they should contact you and you can put in that 10 shilling note you have been saving?

Why not read the RNSs and listen to the interviews? AB has said that RRR has a partner.

https://www.londonstockexchange.com/news-article/RRR/co-operation-in-next-phase-at-bilbale/16349814

DYOR

Do you not read the RNSs?

As to how much of FASO is retained, how would I know? Regardless, it is more than zero. RRR has referred to it as a subsidiary and so it must be at least 50%. Again, just ask any handy genius ex-accountant.

Doggie, disingenuous question.

I don't know the start date for production in BF, do you? The company has said July subject to Govt delays. You obviously know where the cashflow is coming from, what you mean is you don't know when it will start. How much cashflow? As you know, at the moment it is modelling; we won't know the quantum till they actually start production.

You also don't understand your question. Cashflow is cash from production. The clue is in the word "flow". Two things in accounting flows and stocks. Cash from selling assets, JVing assets or listing assets is not a flow. Ask any handy genius ex-accountant.

DYOR

So instead of dealing with what is in front of them the trolls have to create Straw Man arguments.

I have looked at Boring's post and it fits perfectly.

1. Completely ignore the points below and create a fantasy.

2. Steelmin was a great deal and RRR did well out of it. Unfortunately, AB permitted himself to be talked into reinvesting and then it went wrong. I have said several times on here that unlike the trolls, I have actually said to his face that what he did was stupid. Same with the diamond thing. His response made it worse.

3. Again, I have said several times we got involved to fund the DRC assets. Remember those assets sold for $430m behind our backs... $20m to be paid to the VUP JV? 51% of $430m is a bit more than the current market cap. In anybody's calculations that was a good deal.

4. The trolls constantly pull stuff out of deep storage but ignore current assets and current market conditions. When discussions are raised about a particular asset because of news the response is, ooh trying to ramp something else. Er, no! RRR has a lot of assets for a company it's size and the news flow brings one to the front of the queue. A lot of the news isn't highlighted by RRR and the only person doing it is me.

5. So what the trolls would like to do is stop the news flow by stopping me. Well it ain't happening.

6. News coming in shortly: start of drilling by Recon Africa in Namibia; renewal of licenses in Kenya; confirmation of the restart of production at El Limon; next steps in Oz and plans for IPO or not; start of production in BF; forward plan in CDI.

7. ALR remains on hold till the lithium price recovers.

The biggest issue is bandwidth. AB needs to get some of these things off his desk.

DYOR

And there you have It..... "We are always a month away from production, I've been here 12 years and that's all it's been..."

So invested in 2012 at the top of the last super cycle in metals or after it had topped and was on the way down. At the time AB was still regarded as a super hero, he had just done the royalty deal with Anglo Pacific and it looked like Jupiter was bringing the iron ore into production.

In 2012, I hadn't heard of RRR or AB but somehow I it was my fault? Jodrell. It always has to be someone else's fault. You made the decision in 2012 not me. Want to find the person at fault? Get a mirror. Plenty of time to trade this share over 12 years. Shares are for trading, you can buy AND sell.

Just because you bought a share it doesn't mean it has to go up and if it doesn't, someone is at fault. In 2012 RRR was an early stage explorer, pre-revenue and the metals market was on the way down. Anyone who bought the shares thinking otherwise really shouldn't be allowed to make investment decisions. Look at the Lassonde Curve.

DYOR

Is it a full moon tonight?

Talkie, this why "challenged" people like you make no money.

It is called, modelling and ranging, as I said. Why not sit down with a pen and paper, take your shoes and socks off and do some numbers?

Why not be constructive and demonstrate your analysis?

To do 0.5kg per day is not demanding, as I showed. 1.5 kg is more demanding.

DYOR

PS

for the highly intelligent accountants amongst us who have an issue about 0.5kg of gold per day.

Grade at 2 g/t, 10 hours per day means that they would need to process 25 tph. 10 concentrators would mean that each concentrator would need to process 2.5 tph: well within their operating capacity.

DYOR

Https://youtu.be/hXSUOoHBYp4?si=dzL7ToLVO7Z3Uk7l

Interesting.

DYOR

RRR is in a good place. Start from here: https://www.rrrplc.com/wp-content/uploads/2023/01/FEQ-Red-Rock-Resources-19-01-23-Buy-Note.pdf

Go through this and update the valuations based on subsequent events. Gold at the time was around $1,900 now circa $2,300.

Look at Burkina Faso and Cote d'Ivoire both in at $400k: what are they worth now? Or RRAL: what is that worth?

BF for instance lets suppose that production starts July 15th, production is 0.5kg/day, cost of production is $700/oz, the EBITDA multiple is 3x and we sell locally at $2,300. What does that give us as a valuation? The answer is about $26.4mil. So for lowly qualified accountants who don't understand these things: this is called modelling and ranging. The purpose is to put into context the $400k valuation in the FEQ report from January 2023. So if the SOTP exercise were to be redone now what number would FEQ put on Burkina Faso?

Well lets suppose because production hasn't started yet they wanted to put a risk deflator on it. What would the deflator need to be for the valuation to come in at $400k? Well $400k/$26,399,999 is 1.515%. That means that for the value to remain the same FEQ would have to apply a value deflator of 98.5%.

Bottom line the SOTP calculation gives a much higher value now compared to January 2023.

DYOR