Member Info for Ivybush

Just a couple of comments on Consolidation.

As had been stated the sp "should" neither increase or decrease.

Companies consolidate or split as a book entry to change nominal value of
share capital and thus sp.

The benefit is that it is felt by shareholders, commentators etc that a higher sp
[will be 9p-10p in kdnc case] is a reflection of a higher market regard for shares.
Alternatively a split will give lower sp and" improved" marketability.
OK this is only psychological but it happens!

Put it this way, would you feel happier with a 9p to 10p quote or 0.09p?
Don't ask me to give a view-- I am only the messenger.

Returned home late afternoon to find yet another new low in sp and consolidation to be.

With regard to date of AGM, as it clashes with prospect of a major demonstration in London against Global Warming,
I have e-mailed CEO to request that the date be rearranged. I would normally travel by train but on the day would
expect disruption to both National Rail travel and Tube travel thus making me review my attendance.

@masterbaker I am not over bullish in short term but have been adding of late due to my assessment of longer
term value of investments. Any one of these could "come good" [as we saw briefly last March!] at almost any time.
I remain invested and thus a "buy" opinion albeit with a rather wounded self esteem at present.

Disappointing announcement, highlighting delay of turn round in operations.

Nevertheless 40% fall on these figures is overdone imv.

Changes made are taking effect [particularly recurring income] albeit slower than hoped for.

Good recovery play at present sp---still cash in bank and no borrowings.

Agreed, Lombard shows confidence--why does the market not do so?

Present sp not reflecting vast improvements in production in last year imv.

@news As a large shareholder in kdnc I am very grateful for your research and
informative posts on this bb. I hope you will continue.

We still hold approx 0.5% of bcn equity as per RNS today.

As I posted last Friday MM's have taken on board a line of stock.

They would not do so if they thought they could not sell at the present sp.

Pi's have been buying in last couple of trading sessions--clearly showing confidence.

Once this overhang is cleared [providing buyers remain ] sp will surely rise.

Maybe a good short term spec? Looks to have legs to me.

@tomcat-14 Yes, I had overlooked Picasso etc but at least we are a long way from
production there. With ev's, worldwide lithium demand is certain to increase.

I see from this announcement that the delay is due to reduced demand
for spodumene concentrate.

As far as I am aware none of kdnc investments are to produce this form
of lithium--nearest is emh which will roast to produce lithium carbonate.

Not sure whether all "desk top" analysts issuing comments on lithium demand
have a grasp of the different material which will be demanded by battery producers.

I hope LME will be able to create separate markets for lithium products--sorely needed.

MM's are not normally philanthropists.

Can only assume they have taken a line of stock on board at around 1.05p.
Someone ditching shares from recent offer at 1.4p?

Maybe we will have an answer on Monday.

Sub 1? Hope not, having added more in last few days.

Quite small turnover lately, looks decidedly oversold to me with strength of gold.
Time will tell!

Fortunately as we appear to have disposed of the remaining shares in bcn any temporary
funding problems there are unlikely to affect us or our jv. I did in a previous post refer to
our sales as "derisking" which was met with derision!

Surprisingly this hitch in Hong Kong capital market has not been raised on bcn board.

Unless some people know more than the rest of us shareholders, the market seems to be
ignoring the fact that we are a producer of gold. Surely at $1500 pr oz rmm can show a profit?

Statutory minimum notice for public company for AGM is 21 days.

So we are into at least first week in September.

Nevertheless I will be there!

@degsie Thank you for your analysis, questions to ask at AGM.

My take on bcn is that the market fears further dilution of equity.
Ganfeng will acquire 57m shares at 25p.
More funding required for capex. Would not future financing [Hanwa?] be at same sp?
Our BOD have "derisked" and will rely on jv as a more certain return imv.
It seemed that II's in bcn had no appetite for our [well flagged] sales.

Thank you all very much for your contributions to this subject.

I have held off responding until now to gauge shareholder interest.

Purely on a personal standpoint I will be asking questions on this [and other matters] at the forthcoming AGM.

Frankie, make a note to expect a long, hopefully informative, meeting!

On bcn board there is speculation that Ganfeng may wish to commence production at
maximum and thus incorporating our jv at outset.
To me this makes sense for Ganfeng as extra capex would be no problem to them being
effectively bankrolled by state of China. In addition projected demand for lithium begins
to surge from 2022 onwards--just when Sonora could be in full production.

The original jv agreement goes back to about 2015, before I became a shareholder here
so I am not aware of detail--Obs are you familiar with this?
Often the share of capex [i.e. our 30%] would be paid in exchange for a processing fee in lieu.
Does anyone know if this applies to Sonora?

However, I still feel that Ganfeng will not want to increase production with a Corgi snapping at
their heels [with apologies to CEO for canine analogy] at every move, and would wish to complete
a buy out---money not being a problem to them.

As far as ignoring us as a minority party is concerned, I assume the contract is under the jurisdiction of
Canadian or UK law, certainly not Chinese, so we would be protected.
Important points for both bcn and kdnc--can anyone add to my knowledge of the contract?

@mr.james Definitely not me selling. In fact I have added in last few days.

SP is far too low imv on assessing company future prospects.

My guess is stale bulls from last placing.

@wolfi_at I have no knowledge of original jv agreement between bcn and kdnc as this was before
my involvement with either company.

However the agreement was overseen by a certain D Lenigas [remember him?] and as such would,
I think, have included a clause that capex was in exchange for processing fee in lieu.
This would protect the minor party [which kdnc is] in the agreement.

Does anyone know? This would be very important for either party to the jv.

@Si90 There is lots of criticism for kdnc sales of bcn.
Question: this has been flagged up for some time, why are II's not buying up balance for sale?

You realise, I trust, that if initial 17.5k ton is increased to 35k ton plant, kdnc with jv of 30%
[identified as Sonora stage2] will be great beneficiary also.