The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
The comment :
"Director of ANS Mining, Ato Demissie A. Demissie, commented, “ANS Mining is pleased to
be working alongside KEFI and the Government and is ready to proceed with its US$11.4
million (Ethiopian Birr equivalent) subscription to TKGM for the first stages of the Project......." is from the following document and was published back in June of this year:
https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.kefi-minerals.com/files/announcements/kefi-tulu-kapi-project-update-28june2019.pdf&ved=2ahUKEwiU7rXvwtrlAhUxQUEAHe3TDWIQFjAAegQIAxAB&usg=AOvVaw3L_uXbDfPYJ2Xjhw-27KAp
"Once these closing requirements are confirmed to ANS, TKGM expects to receive the initial US$11.4 million (Ethiopian Birr equivalent) subscription. This will place TKGM in the position that all three of its shareholders (KEFI, Government and ANS) are contributing to the equity funds being used to kick off the 2-year development program. KEFI and the Government are already contributing. The local Government has approved the community compensation and TKGM is preparing to trigger the development program in April."
'Trigger the development program' RNS should be early next week if everything is going to plan.
https://www.*************.com/views/41171/kefi-minerals-placing-as-intention-to-trigger-tulu-kapi-at-end-of-current-quarter-reinforced-buy
If it's been Lanstead selling in chunks since the start of January, they should be close to sold out and hopefully we'll get an RNS saying Lanstead are out.
If it isn't Lanstead selling, I'm expecting a placing RNS soon.
https://www.mining-journal.com/project-finance/news/1354891/so-you-want-to-build-mine-now
...for anyone who hasn't seen it
At:
https://www.kefi-minerals.com/files/presentations/kefi-indaba-presentation-feb19.pdf
Does the extract below from the Annual Results RNS on 18 June 2018 suggest there shouldn't be a requirement for any more placings ? Your thought would be appreciated :
"Capital Management
The business model of the Company has always been to raise equity capital to fund the next stage of exploration and development. At the same time, KEFI has worked hard to minimise Tulu Kapi's development funding requirements through engineering, contracting and project finance, which have been designed holistically to provide an economically robust project and a befitting financing plan. Nearly all capital requirements are planned to be met at the project level.
KEFI unfortunately has also had to issue equity at the parent company level at disappointingly low share prices. Having said that, the Company's projections and those of the research analysts that follow us closely show significant value generating upside to shareholders from Tulu Kapi alone, let alone from the pipeline of less mature projects which we expect will yield more value-adding opportunities.
On 15 June 2018 KEFI announced a capital-raising for £5.5 million ($7.4 million) to fund finance closing costs and early project works in preparation for full finance drawdown and development activities targeted for implementation after the end of the Ethiopian wet season in September 2018. The proceeds from the capital-raising in combination with existing cash, project equity and the working capital facility from certain existing stakeholders will ensure that the Company is fully funded until December 2018 and will enable KEFI to close the Tulu Kapi Project financing, subject to approvals by all stakeholders and formal documentation."
IMHO BHP will want to make a move before too much upward SP movement. They will probably be trying to find other large holders who are willing to sell their shares for a 'reasonable' profit.
If they are unable to find willing parties, then what to do next ? Make a bid for the whole shooting match - just because they can. Should this happen we may well see a short duration suspension while NM & Co. figure out their next move.
Difficult to say. If a good financing package is secured for Tri-K in Guinea and the price of gold stays at current levels or higher, then this will move up rapidly.
Just for information. City Fibre is one of Techinvest's nap tips for 2016.