Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Glad I’m not the only one who sees where this is going whereisthegold! This will now be delay tactics and holding RNSs until end of year when everyone but PIs (who sadly are the ones who funded this all and will sadly lose out) see BTs plan unfold and a profit be made for someone to finally take hold of what has been a shambles of an operation these amateurs just couldn’t handle.
They did a very good job of hiding the incompetence in the early days I have to say and it was all looking very promising but the “robbery” was where alarm bells stared ringing (haha well actually the lack of them was an interesting coincidence)
My investment here is written off in my mind so bar an miracle it’s another expensive lesson learned.
The tin pot operation built around what was supposedly a 50koz then 25koz etc etc operation with leach pads that leach everything but gold it seems have us in a position they can’t come up with a relatively small amount of gold to pay off the loan.
If they wanted to sort this out, they would have done so with gold at $1900 an ounce FFS…that’s an incentive and a half to sort your operation.
This AIM market is dire no two ways about it and a placing at 6p ish was always going to drag it down.
This is a raise which goes along side PIs now being told really under Claude it’s not for sale they want to mine it (which is the opposite of what Bill had said and was the bull case for the share at a solid gold price).
There is no concrete drilling plan. No idea of how much it will cost and whether more funds are needed for drilling, feasibility study etc. Delays to any monetisation of BAM so who knows where the gold price will be then.
I think the market has every right to hammer the SP to where it is.
On the plus side:
1. It’s now cheap for these Canadian investors the TSX (might) bring if Claude is to be trusted.
2. Directors have bought in to this
3. There is a 1.5moz golf deposit in a safe jurisdiction valued at £8m Mcap so that values it at £5 per ounce in the ground
4. Geopolitical issues will keep gold in focus for the near term
10th November…..a day to go. Down to the wire as per usual but my guess is 10th passes and we hear nothing from GRL as they don’t care about PIs
What AIMS do here now will be very telling!
Game could be up before the delisting deadline end Dec!
“The Board is taking appropriate professional advice, but in the event that a solution cannot be achieved and the outstanding principal amount of the Gold Loan and accrued interest thereon (which as of 30 September 2023 amounted to, in aggregate, 2,354 ounces of gold) cannot be repaid or rescheduled prior to 10 November 2023, security over the Company's primary assets could potentially be enforced.”
Let your pals in at silly prices….7.6p was well below the market rate and especially for options where you expect a director to be incentivised. Then you look at the price action, dropped to the option value last few session, leaky or what????!!!
MH01 is spot on. The expectation for all GGPs maiden drills at new targets to match Havierons bonanza grade results is ridiculous. It’s needle in a haystack stuff and needs time, drilling and expertise to narrow the targets. Good to see some gold and copper, even if in small quantities, which should give the geology team (remember this includes Rio’s team here too) some good basis for further targeted drilling.
Hit the nail on the head. The writing is on the wall and for the naive ones saying look at the shareholders, Bill is one. Exactly….they have the votes to screw over PIs if needed, hence the years of palming off and contempt. As witg says, they now have the ability to take this private and reap the rewards without any regulatory scrutiny. Lucky them. Shame for us mugs
I do agree that BT will say and do what is in his interests which isn’t always the same as PI’s….despite him making out it is. Emma is also a joke.
This could well end up like Solgenics did with the BOD / major holders having the shares to vote taking it private when they couldn’t raise in this dire market.
I was inspired to write BT a stern email myself top SURFER so FWIW here is his response:
(Not sure what he means by a deal they withdrew from?)
Jake,
Obviously I can’t give u any information that is not in the public domain.
The 376 oz you mention was just this month, not the entire year.
What I can say is that there have been a number of issues that have arisen as a result of a deal which we withdrew from.
This caused us to have to inform the market of the worst possible outcome, a bit like the panic at the start of Covid.
We are working on a number of developments that should have a positive outcome for all shareholders this always takes a long time but hopefully we will have very positive news soon.
I still have a considerable position as you know and will be hoping for success in the future, I believe that the current workforce are well placed to achieve this.
In the meantime I appreciate your support.
Bill
Be careful way you wish for Cbax….Emma answered with what I fear is the final nail in the coffin and my GRL investment up in smoke.
That gold pour is pitiful given they have spent the recent placing money on “improvements” 😂.
Looks like AIMS have had enough….and rightly so. I’m sure they could just take control and get someone competent in to do it.
They’ve blown the money, jack all left and can’t produce any meaningful gold to clear the loan.
They’d be best off just applying to be on gold rush and get paid to put this farce of an operation on tv for us all to laugh at.
They won’t find any good funding options in this climate. AIM is on its a*se.
So congratulation Emma and Co on the calamity and what really annoys me most is that they never once just stick their head out and admit they couldn’t do it. She hides behind radio silence with no accountability.
That this bunch of jokers noted in the last operational update as the timeframe for the accounts. Still nothing….
Then we still need the half year accounts to be published before this can relist.
Absolute farce
I would think you are right waimea...such a short extension based on the shambles that has been GRL so far, would suggest AIMS are at the end of their tether with these chumps and sick of giving them chance after chance.
"The Company can report that for Q3 2023 to date, some 652 ounces (20.290 kilos) of fine gold has been shipped." Was from the corporate update in Sept. Could they have sorted enough of the issues to get enough gold in the next 2 months to pay it off?
Highly doubt it. I would hope if there is a renegotiation, which would be on less favorable terms I'm sure, GRL pay some of the outstanding amount off with what they manage to produce....
But with Emma and these numpties, anything is possible!
Crikey Wyndrum. If I didn’t think you were thick as mince before, I certainly do now!
“if the value is in TX why did AVCT by2 x DX companies?”
You do realise Avacta are making strides to possibly becoming standard of care and not just disrupting to take a slice of, but extend a multi billion dollar market in Dox alone. One which is limited in application and as such efficacy by DLTs (oh wait you’ve seen the recent C6 completion RNS right?)
AVA6000 is just one example the Precision platform could be applied to….multiply that up….the market is mind boggling. So yes, the ultimate value is in Tx.
To realise that will take time…needs these things called clinical trials! Buying off the shelf Dx companies provides potential near term revenues in the interim, yes loss making (just) but H1 was first full period for launch and only one month of Coris. Give it a chance.
Couldn't agree more - he was so out of his depth it's untrue and trying to be way too clever. I had cut Fortune some slack previously but looking at what a competent person like Craig has come in and done in such a short space of time....just shows FM was long overdue being shown the door before he sent the company under.
Yes the Vanadium market wasn't booming in recent years but you stress test that before you tangle yourself up in all these deals that come back and bit you in ate butt.
Craig knows that - back to basics - lets get some cash flow back in from the bread and butter stuff.
H1 was always going to be tough and the numbers show that. The market however has already given BMN a battering for it.
There is no denying Craig has come in and used his time wisely to lay some good foundations and made some very smart changes. The shoots of which are already being seen.
IMO doing all this whilst the Vanadium price is low is no bad thing. Makes the cash situation a bit more hairy short term but weak rand and the recent deal should keep that cash question at bay.
H2 has BELCO, Orion financing, hopefully some steady production to come and all we can hope is once positioned nicely…they can capitalise on an inevitable Vanadium price rise.
Headline figures aren’t great but they weren’t going to be. This one is all about the achievements is resetting the business back to doing the basics well and untangling the mess fortune got himself it…which Craig is certainly doing!
Ace - out of interest where did you get the details around the issue price calculation?
Given the current MURP SP, say they are issued at the max $15, then the below from the original RNS would mean there is some decent profit in disposing fairly quickly if it stayed at say $17....absent of any wild FX moves of course.
"It is estimated that in the event that the Option is exercised, the Consideration Shares will represent approximately 0.66% of the enlarged share capital of Murphy (assuming no redemptions in Murphy). It is the intention of Vela, subject to the necessary regulatory requirements of NASDAQ, then to sell the Consideration Shares in order to augment its cash reserves. The Consideration Shares will not be subject to any lock-in restrictions."
BigDave the option exercise is for a fixed consideration. So all that changes when the exercise is complete is the number of underlying shares they get for the £4m.
The question will be whether they think it's worth holding from that point to see AZD1656 play out or do they cash in some/all to re-invest elsewhere (given the comments around how cr*p UK markets have been this year).
I suspect they will cash in some fairly to provide working capital anyway as cash balance is very very low.
Current Mcap at this price is £4m...the value of proceeds from the put option (assuming all is finalised without a glitch)
Total assets of VELA at 31March was £6.2m so fair value once cash received you would expect to be at least 0.06-0.08
CRIKEY I MAY ONE DAY SOON BREAK EVEN HERE haha
That also reads to me as 652oz for Q3 not the full year. So around 900oz to date in 2023. Woeful really. Especially when margins are tight and as you say capex and opex hasn’t stopped!
They need to produce the H1 interims by end of this month anyway wasa so we’ll get a more up to date picture fairly imminently. Not that it’s going to be pretty!