Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Yep another one of his spin off tactics which he tries to throw investors off the scent of his games with a complex structure and RNS he hoped nobody will be able to decipher.
Also feel completely mugged off (again) but that’s my own fault I should have learned after KIBO.
Hopefully POG get to a level where KAT’s small stake provides enough value to get an exit point for me.
Or the new listed Co just gets bought out….
Either way it’s another sh*t show
mcmullank I do agree with you that to drop the 25k in first 8 months production target was very cheeky but I think most had assumed that after the previous RNS's hence the SP drop to these levels.
IMO it would be criminal of them to default on the gold loan, when you see what Emma wrote in her AGM response
Emma Priestley, CEO of GoldStone, commented:
"Whilst we are obviously disappointed that we have not been able to commence gold production, we are pleased with the continued progress on the Homase Mine and the rate at which this is now operating following some initial operational hurdles. We look forward to providing further updates on the completion of our own elution facility on site and the timing for first gold production in due course."
They must be pretty confident of a gold pour in October even if it's only a small one.
Why is it ridiculous? LG Chem will have got a good deal being an early adopter and partner in this development process, and rightly so as they took material risk.
However, as the platform is steadily being sured up, the moment you disclose the terms of agreements and milestone payments, you’ve set your price for future potential partners.
It’s a smart move that gives Avacta some fire power in an industry where the big companies tend to have to ability to hold all the minnows to ransom.
I’m pleased Avacta seem to be holding their own here.
Likewise rocktapper in 90+% down here and cannot physically bring myself to put another penny in to average down through fear of further dilution.
These will just sit in the bottom drawer and if I can get close to 2p I’ll be running for the hills….
Hope this doesn’t end up being like Katoros Blyvoor gold project. LC said there were 14 “interested parties” for funding of that yet 18mths down the line still jack all happened.
At least he can’t hide behind the COViD excuse on this one!
This 100% needs a clarification statement from NCCL. Although, haven't we been here before with the CMEC statement previously along similar lines, which was then confirmed that it applied only to "new" projects, i.e. ones that were not commissioned.
Hopefully that is the situation here too...but need to hear that from the Company
I raised this with Emma on email that the RNS's always seem to generate more questions than answers. Then we get Emma days after on a PR mission, which always seems to be very positive, leaving me baffled as to why it wasnt in the RNS.
My only thought is the Nomad forced the RNS Friday as maturity date of loan was Sunday so the market needed an update pre maturity. Then the terms were signed with AIMS this morning and released along with the twitter PR drive.
It's painfully close now.
Goldstone have to be confident of having a pour done to pay off the October instalment otherwise it's a default event according to the RNS
5kg is only about 180oz but gold is gold....lets hope they can get it poured with existing funds and scale up using gold proceeds. Would hate to see dilution - but the saving grace here is the BOD are heavily invested so it's a last resort.
I agree djryan we’ve been here numerous times with GRL where they release an RNS which creates more questions than answers and seems rushed/forced.
Yet Emma (to her credit) responds to investor emails / does an investor call and we all come away saying “would have been good if they put that in the RNS”.
Comms is inconsistent and sporadic which is very very frustrating!
Can’t see it being Blyvoor. Think that’s going to be much closer to EOY if we’re lucky - we know LC loves to overpromise and under deliver.
More likely to get something on Haneti before, POW seem to be a competent party and are busy so I’m hoping them having a finger in the pie kicks this numpty into touch!
Crikey Emma - left me with more questions than answers there! Have to say was expecting more from that operational update, very poor and that could have been told to investors well before having her hand forced by what I am sure was a barrage of PI questions around the AGM.
The company will get there - it’s leaching so we will have gold but their transparency needs to step up and still baffled they are waiting on a permit to extract the gold.
Surely you have the foresight to get the final stages of a process in place to extract the final product when you have prior experience with a slow govt!
Emma said operational update in the next ten days to me on Saturday in response to my AGM questions. So either business days or all days, that is some point next week.
Which they would have to do given gold pour was noted as by Q3 2021.
So we’ll find out what’s going on then….
See below responses to my questions from emma
Dear J
Your questions were duly raised and answered at the AGM yesterday.
I set out below responses that were made
1. First gold pour and production guidance. Does the Q3 first gold pour timeline still stand and the 25,000 oz production for the first 8 months remain on target?
The Company will be making an operational update within the next ten days.
2. Is that 25,000 oz if still on target, expected to be a scaling up of ounces over the 8 months? (i.e. larger gold output in month 8 than month 1)
The heap leach will be and is scaling up, naturally there is a build up of gold as the life of the heap leach progresses.
3. With regards to the gold loan.
- Extension of the interest payment has been granted to 19th September which is maturity date of the gold loan. Is it anticipated that a first gold pour will facilitate this interest payment?
- Why is there a renegotiation of the terms / new loan agreement required? The loan was 2000oz, which I would anticipate could be repaid through a small number of gold pours? I am a little confused/concerned that either gold production is not as high as expected, which will lead the company into another high interest agreement, when the Co is actually producing?
The company is in discussions regarding rescheduled payments of the Gold Loan. The Company has been putting all efforts into the ground and our timings or rather delayed timings have been due to the Ministries and Commissions not working to the GoldStone timetable. We have to set dates and milestones but also have to recognise that these move due to circumstances out of the company's' control. As such our production schedule will change and will be answered when the company announces its operational update in the next few days.
Whilst the interest payments are deemed high, which was a result of when mining investments were not popular - pre-covid a point note when we get into production (we are awaiting Minerals Commission approval to use a rented facility - announced in May) we will have very little debt to pay off.
Let me know if you need any more questions answering.
We are all working to get this Company moving as quickly as we can given constraints that are out of the company's control.
With kind regards
Emma
They’ve even given us the numbers on how to work out the value. Whatever any commercial deal is done at, take off circa £20m and multiply by 8%. Voila, that’s what it’s worth in hard cash to Vela.
At 10m mkt cap whatever it is, if successful there’s a hell of a lot of upside!
Well that depends if any commercial information is released alongside it.
Just the trial results announced, maybe not a 7am but it could well be that because any commercials are price sensitive to the listed companies involved, there has to be a synchronised announcement to the market.
It will have been ready at SGSs end well before hand so it could be that this weekend various interested parties have had to be briefed.
Can’t see how the first Vela hears of this would be tomorrow.