Member Info for Joeman1

Sold for 40% of the PEA value.....wow. im guessing any upside to the purchaser was evident.

JAN haven't fully drilled the 3 areas that make up our DFS..... and there are a further 5 to be investigated..... id say that we also have very evident upside.

You have to say XTR were lucky and played a blinder.... considering how cheaply they picked up ProspectOre.... both in terms of money and shares issued.

Sounds like my call for a sale this year is through my rose tinted glasses again....... and believing the suggestion that short timeframes are defined in the buyback clause.

This year...... I dont think enough has been said in recent RNSs to say more than that.

We have a description of a 'limited' level of drilling still to be done, ascot to be firmed up, Footrot to be tested and the model to be interpreted and ... but nothing firm on timeframes. Would be over the moon if this was by the end of August but that's just me being my usual optimistic self.

I think with copper, the peak was exacerbated by China (consumer) hardly catching a breath with Covid to start with while the rest of the world (production) shut down..... now that's kinda flipped a bit in conjunction with the global slowdown so any drop in prices will undershoot the real market value.

If you believe in the Electrification story and the associated copper demand imbalance then you have to believe the price will recover strongly.

I'm not an expert.... but that's how I see it.

Thanks for the links troajan.... from the presentation it sounds more like they think they already have the 10 years and are pushing on to turn the handling hub into a generational asset

Just on that..... comms..... surprised there hasn't been an interview to 1. Go through the highlights of the Report and 2. Address the negative shareprice reaction.
Not saying he needs to but historically he has....

The MC is only $2million above the $6million total equities and liabilities from the resent results.... so almost zero attributed value to the $97million NPV/100% IRR project for a sought after list of commodities in Brazil, a country with a mature and well understood framework for mining... to be exploited by a company with a board with experience of delivering projects and a member who literally contributes to the country's legislative frameworks......

Got to be a crazy position to be in........

Actually.... gone back to the details of the drawdown... and in truth unless the shareprice increases significantly they are liable to not convert... but to hold them as debt....
Does still mean the clock is ticking.

Not particularly happy with use of a debt stream derived from CLNs..... but if thats what we are in so be it.
Has anyone calculated the full dilution effect of these CLNs when they were negociated?

Going forward we should assume they get 100% converted. CLNs that are paid back before conversion are rare... and if we sell Mankayan you just know they will be converted before we have the chance to pay them back......

Colin, am afraid this put a bit more pressure on when it comes to delivering shareholder value.

To my untrained eye these look very good.... and importantly extend the resource and show that it remains open to that side.

Surprised it hasn't moved the dial at all...

Spot on Andrew..... I was expecting all Racecourse drilling and results completed and the model issued by end of May and into June..... so a little disappointed with that. You were right again to be skeptical ..... I bought into the May/June date completely

It's speculation but I do think the last 2 holes, used as the reason for continuing RC exploration a little longer is a stalling tactic to let Ascot definition reach a more appropriate point..... although the shallow holes proposed to improve the projected early cashflow are obviously prudent.

What we could do with now is a map and plan of drilling locations but for some reason issuing this type of info has become less frequent.

Good financials confirmed..... with the numbers in line with those suggested by DCat.
Production looks like it will be next year though. I think the suggestion that it too early to say that it won't be this year is because they are awaiting the updated TiO2 results.
I think good results on TiO2 will mean pushing on with the larger project instead of starting with the smaller trial iron process..... so production won't be until 2023..

What are people's thoughts? I think the results are positive.

Jamesiecake,
My own NPV calc, based upon 5million USD profit this year, 10million profit 2023 followed by a 3% increase year on year until 2027, but adding in the following factors.
5% inflation
8% Discounted Rate
Gives an NPV of 39million USD
And share price contribution around 3.2p at todays USD/GBP exchange rate.... so roughly in line with your numbers.

42 in ASCII code is the quick command equivalent of * or 'wildcard' in a search parameter..... a Douglas Adams fan would suggest its the answer to the question of Life, the Universe..... and Everything.....it could be our winning bingo number.

That's the thing lacking.... financial projections on any of these opportunities. The companies they are working with must have their own product sales projections that they used to sell the ideas internally.... at some point it must be appropriate for Versarien to communicate that to shareholders.

I think it was towards the end of the article where they suggested that this could open up the possibility of sodium sulphur technology.... which would of course be bad for lithium.... however sounds like very early concept/testing so years before commercialisation.

Sorry.... I thought you meant cost to produce the dfs.
My mistake.

You are right Lucky, no guarantees of money spent being value added. Point I was trying to make was that the value killer in AIM is the threat of dilution. With the Manica money that threat goes away..... plus the exploration pace increases at other locations such as Eureka.

Jamesiescakes....I understand putting the DFS costs into the spreadsheet if it was paid for out of debt that we now hold on account, but was this not paid for by shareholders and dilution at the time? In that case you leave it out. Otherwise shareholders are paying for it twice. Once when they bought the shares and secondly through a lower NPV value.
If you remove all CAPEX, add 8% discounting but also increased Revenue and cost of production by 3 or 4% each year that would be more realistic.

Bizzy, I cant see us directly benefitting from the Fairbride money (in terms of say dividend payments).... but we will have a war chest to support exploration without dilution....that will support the share price more than anything.