Member Info for K3VMC

Wresources director’s have so much skin in the game. Pure and simple. No-one spends millions of dollars and ten years of their lives building a mine, then losing it, just as the money fountain starts to flow.

The last hurdle is a bit of finance, which the CEO is doing HIS way, same as he does most other things. A little frustrating, having to wait for that to transpire, but it will be well worth it. When we break through cash flow even into cash flow positive and the Blackrock finance gets replaced, there will be no stopping Wres from moving up the gears.

I entirely agree with Mogwhy and Kalan here.

Franny, yes. Quite a few assumptions.

Spread the joy!

Banking in rural Spain is closer to how UK banking was in the 1960’s and 1970’s, than UK banking today. Individuals and their reputations matter in Extremadura, as do local connections and support. My view is that Mr Masterman has “gone native” to take advantage of this, rather than try to raise the cash in London. By taking subscriptions from local sources, he gained local support and tapped into the local economic network. I think it made it far easier to raise cash from local banks, who are now supporting local HNWI’s as well as a major local employer.

Caixa Bank will have asked for cash flow forecasts as part of their DD. The fact that the DD stood up, and that the bank has given then this new facility, will now add weight and momentum to applications for similar facilities with other banks.

This Caixa facility came within a week of the last RNS, so I expect similar news within another week. Caixa is a big bank, but it’s a high street bank, so I expect the $500k was the limit that a local branch could extend, without going through a more prolonged scrutiny process, so we may be lining up similar small facilities. If another deal was ready to sign, I think he would have waited until Monday for this RNS, to report both together, so I’m thinking Thursday or Friday next week to report another facility, but as I have proved on many previous occasions, I may be wrong!

Very happy to be invested here.

Soulsister, that sums me up.

Waiting. It will happen soon. A little funding and a massive amount of WO3 and Sn.

:-)

I have a few complaints about how things have panned out with WRES and mistakes were definitely made in the past. Having said that, the only people who never make mistakes are the people who never do anything. Having been in business And around business for 40 odd years I’ve made and seen others make plenty of mistakes, sometimes disastrous.

I am mightily pleased that our mistakes have been non-critical. Wresources is crossing the line from risk to reward.

We are definitely late, definitely with depleted cash and definitely with extra dilution than was planned. On the plus side, the plant works, the product is up to spec and we can sell everything we produce to buyers who will pay promptly.

I don’t care who said what or failed to do something on time. That belongs with stocks I could have bought, or should have sold. In the history drawer.

Now, just bag the stuff up and sell it please. I have plans for my profits.

Sorry.

Now I have re-read your posts a couple of times, I can see that they make some valid points. I was reading them and watching MOTD2 at the same time, so I was not giving them the attention they deserved.

Yes, I have been very defensive regarding the company and the CEO on this board, in the face of what I saw as a malicious campaign by persons unknown. To a very large extent, that has gone now, for obvious reasons, but the conditioning still kicks in from time to time and I apologise for that.

Dreamingof, that is totally incoherent. Really, in a totally embarrassing way.

Put your thinking head on, engage your speaking head on and start again, if you really think it is worth posting.

Dreamingof, sorry, I have no idea what you are trying to say.

DB

“Well whats your view of it?”

It was a standard, post RNS UPDATE.

“ What have you just learnt that you didn't already know ?”

Nothing.

“ What would you have liked to hear?

Personally, I would like daily updates on snagging and production, with constantly updated management accounts, with projections for the next six months.

“Vacuous statement about me, nothing from you.”

Well, we are at the stage where you continue to criticise that we cannot prove the future. Accepted. Absolutely agree that we cannot guarantee the future. It has been one of your most irritating traits since you joined LSE and commented solely on WRES and always negatively. Some people post that you have a financial interest in dragging down the company’s share price. Maybe you have, maybe you don’t. It doesn’t matter any more. You helped drag the share price down, so thank you for that.

Wresources will be a mid tier miner and will mulitbag from here. I will be enjoying the proceeds of my investment long after I’ve forgotten your valuable contribution, if the Lord spares me.

Ab Fab ere innit!!

:-))

L200, do we know how many months ORM will be shovelling dirt, or is it likely they will find more “undocumented” waste piles?

$4m/month sales at current prices, when we have ramped up.

$2m/month ebitda.

Every +-$5/mtu change is +-$100k/month ebitda.

IF the WO3 price goes back up to $350/mtu, ebitda will be $3m/month, or $36m/year.

So at full production, with a p/e of 6-7, we could have a sp of £150-200m, so 6-8 bags from here.

:-))

Cashflow positive, at the operational level, could come early in the new year.

No trolling will keep this down after that.

All the way to $20m ebitda and beyond.

:-))

DB

“Safety, your line is classic mid afternoon Friday ramp comment. No point posting it on a Sunday lunchtime, unless of course you meant next weekend.”

It’s a joke.

:-))

DB

“ I think its way early to be talking of 200t per month with an Opex of $94mtu. and $25 per mtu to finance the current Blackrock facility.”

I’m happy to disagree on that point. They have to get used to operating the plant, getting a balance of throughput and efficiency. The individual components are functionally simple, but the flow will need tuning. Get that right and move to 24/6 operating
They could gear it up in 10tph increments. Mr Masterman said six months to get up to speed, but surely he has learned to overestimate delivery timescales by now?

DB

“I just recalled seeing it listed in the breakdown, but it isn't is it.”

“Recalled” is incorrect. Interest payments were never in the cost breakdown. You cannot recall seeing something that was never there to be seen.

I think you need “imagined”, not “recalled”.

DB

“So thats about $500k a month interest. Assuming 100t/month (Troajans Number) thats circa $5000 per ton per month to service the debt. $50 per mtu.”

There will be no 100tpm. We may hit approximately 100 tons in one of the months between now and full production, but the aim is to increase to 200 tpm, as quickly as it is safe and practical to do so.

200tpm is $4m per month at current tungsten prices. $2m per month is ebitda. Interest will be paid by free cash sweep.

$20-25m ebitda in 2020 is more than enough to service $500k/month debt AND repay a chunk of the debt. Add in T3.5 and Régua and you have $40m ebitda.

Money fountain.

DB

“The interest will be higher than that shown in the FID that arrived at $94 mtu, but not enough to outweigh the error. The interest costs are already factored into the production cost if I recall.”

There is no interest included in OPEX.

DB

“bottoming process well underway - need 20 day moving average to cross the 50 day moving average to get the rise underway - getting ready IMO. Time to add or keep your money in your pocket for the next share.
p.s. I'm Alfiedog.”

Kalan’s Post from November 12th 10:36

Not that I care.

DB

“K3VMC told the board BB poster Kalan was Alfiedog on Twitter. I'll just repost this here as a reminder of what was said in the comments. ”

Did I? Please remind me.

How would I know who Alfiedog is and why would I care?