Member Info for Jamesiecakes

Few new pictures up on the website

Thanks for the response CaveatEmptor

Hi CE

A question for you, I thought yesterday’s RNS and interview gave a pretty decent update on Manica & Brushranger. But no mention of Eureka/Kalenwga, which we haven’t heard anything about officially for several months. In your chats with CB have you discussed either of these projects, and if so were CB dates/expectations consistent with interviews eg production and revenue from middle of next year?

Cheers

James

As an investor who wasn’t keen on the bushranger acquisition this news isn’t what I was waiting for (although happy to be proved spectacularly wrong), and the cynic in me expects poor Alluvial news released today now.

I’m hoping this wasn’t the good news that CB suggested to CE was on its way and that there has been substantial progress at Manica which can be released ASAP!

Cheers

James

That was supposed to be a smiley rather than. ??

It doesn’t look so great if your average is 2.5p ??

HI CE

Thanks for taking the time updating us on your chat with CB.

You mentioned that there was talk about GF and BE being mined concurrently, I had always assumed this was the case from reading the RNS which made it sound to me as if each contract would have its own processing plant required to be onsite 2 months after each contract was signed, from your comment I assume I have misunderstood?

Cheers

James

Hi Andrew

Good post, I’ve been expecting a equity issue so was ok ish with this mornings news and thought this would be sufficient to see us through to Manica production.....

The funding facility was a bit of a surprise to me, and as you say does put a doubt in your mind about when Manica will actually be up and running. I am hoping that this is just CB being extremely conservative and only expects to draw down on a worst case scenario so better to sort financing now from a position of relative strength (e.g. not 0.6 per share).

Cheers

James

Should get the interims next week.

It will be interesting to see the cash balance at end of June, which should give as a good idea of cash burn and if any additional financing is required before Manica starts. Would be lovely to get a RNS before saying that equipment has been successfully delivered to site!

If you read note 3 of the 2019 financial report (going concern section) it’s quite clear the company expect to have to raise cash within the next 12 months (from release of 2019 accounts) based on there future cashflow projections.

I find it hard to believe that they would need to raise once Manica is up and running so they must have been referring to the interim period.

As such if the free milling/alluvial gold can get us through or affordable finance is available to us to prevent dilution I’d take this as a bonus.

Cheers

James

Hey Andrew

I am getting a margin of 45% as well (based on $1950/oz) per the below, so think he must be referring to margin as a post tax margin (obviously this margin will increase/decrease inline with price movements)

Revenue 1950
Production tax (6%) -117
Direct cash costs -556
Tax (32%) -409
Net Profit per ounce 868
Margin 45%

I doubt it’s just a cost issue, you also need to think about the safety of the drivers........

Hi Andrew

I think you need to take off 6% production tax, and also allow for CIT which I think is 32% in your calculation (not sure if there are tax losses to use before we start paying tax) so numbers will be a bit lower than what you quote (in my opinion) but still impressive.

Once Income commences from Manica I don’t think we will just be valued on Manica but also on Kalengwa, Eureka (Discounted) & maybe even Bushranger as people will see that XTR isn’t just jam tomorrow but actually does as it says (although just a touch late.....) plus it can actually pay for these projects without a raise.

Cheers

James

Hi Jdau

Nice post and similar thoughts to myself.

Only difference is I don’t think it’s a case of people needing to be spoon fed I think it’s more a case of people not believing the story, I think this will change when construction is confirmed to have started.

Cheers

James

Hi Andrew

From Sino taking on all alluvials (jan 2019 RNS), the entry fee is $200k by the way.

Cheers

James

In consideration for the appointment of the Mining Contractor, Explorator will initially pay the Mining Contractor a net fee of 72% of gold produced by the Mining Contractor and Explorator will therefore initially retain 28% of the sales value of all gold produced (equivalent to 22% after payment by Explorator of the applicable Mining Production Tax of 6%) and will continue with the above fee arrangement until the Entry Fee has been settled in full. Thereafter, Explorator will pay the Mining Contractor a fee of 74% of gold produced by the Mining Contractor and Explorator will therefore retain 26% of the sales value of all gold produced, equivalent to 20% after payment by Explorator of the applicable Mining Production Tax of 6% (the "Net Sales Balance").

Hi Andrew

One of the answers yesterday from CB

Cheers

James

25Xtract Resources Plc - Colin Bird: Hello David, we do not sell gold locally. The gold is sent off shore with a contracted refinery which passes international regulatory scrutiny. We send between 4-5kg each time and the transport is between USD8-12,000. We are charged roughly USD2,50 refining charge and other small adminstrative cost. We certainly don't sell local. We did at the start but that was because we could not guarantee the size of delivery that refineries wanted as a minimum. The Fair Bride hard rock operation will be the same guaranteeing good prices relative to the current gold price. We get 23% of revenue less direct operating cost so if the

Just checked the website again and it shows Xtract ai presenting, guess this is a typo...

I don’t think CB is presenting on behalf of XTR?

CE

If your memory serves and explorator got 500k from May Alluvials that would be fantastic news, although I would be a little dubious as this would require approx 330oz to be sold. End of Q1 I beleive there were around 65oz remaining to be sold and cannot see them producing 260ish Oz over two months (significantly above the last years run rate and we know there were issues in April). And that doesn’t include the 50ish oz that would be required to still have 80k of gold on stock.

I would also hope that if there was such a step change in production CB might update the market as this would help alleviate fears of another placing.

Also thanks for the update from your conversation with CB.

Cheers

James

Hi CE

I guess the disappointment was the going concern section.

I make the unsold gold around 65oz (end of Q1)

Cheers

James