Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
Leeroy. Forget the stock price and don't worry about if funding comes in Oct or later. If it misses Oct i don't mind as it will come sooner or later. Buy and hold tight. If and when the funding comes and this mine goes into production i expect annual dividends of around todays stock price. That's a bagger each and every year for doing nothing but holding. That's the long game and everything else is just icing on the cake.
All this info is there if you read the RNS's, watch videos etc.
This was the bit that caught my eye:
" As an illustration, the scenario of adding an additional 20Mt at the average grade of the Camp Lode below the 1070m RL elevation is estimated to increase the estimated after-tax NPV from $96 million to $362 million "
That's a huge difference if they double the resource as predicted. Can't wait for further results.
This excerpt is taken from the RNS put out on the 8th of this month, only 6 days ago.
"The Consortium's presentation to the PPIB forms part of its LOI application and is considered by the Board of Oracle as one of the final steps in the award of the LOI. Further updates in respect of the timing, and next steps required, with regard to the issuance of the LOI will be made in due course as and when appropriate."
Why were people expecting the LOI to be issued when the recent RNS states the meeting ois one of the steps and further updates regarding timing will be forthcoming.
Personally i don't think the RNS could have been clearer and i cant understand why people expected the LOI following the meeting.
Read the RNS's for the stock your invested in peeps. Stops some of that unfounded dissapointment.
Personally don't think September is going to be that exciting on the news front as i expect financing in October as alluded to by HA. Might see a hike in share price as people jostle for a position ahead of the news. If the financing lands i expect a significant increase as broader market understands what Kefi has and with funding in place. Then ups and downs over the 18 months until first pour. If you have the stomach for it i see great returns here if held for the next two years.
I bailed this morning after holding 3M shares for two years, so as you asked why here is my reasoning:
I can't understand why we are the only project not making progress.
Lack of decent comms from NM means there's nothing to report. The silence is deafening.
The sideways move to do "other projects" dilutes focus.
I have no doubt this will happen eventually but there are better places for my money right now in my opinion. Will i buy back in. Yes and in the not too distant future. It's not panic selling just feel that the money can be put to better use in the short term. Could be proved wrong and a great RNS land in the next hour. It's all a gamble :)
Just had a nice top up taking my holding up to 5M shares. Great growth this week and i can see 3p soon. Once financing arrives, and i believe it will, this will hit 5p+ so in my opinion there is a relatively quick double bagger here as a minimum. DYOR. Such a change in fortunes as i have struggled to hold on to these for the past two years watching them go up and down. So pleased i didn't sell.
Thanks for the replies everyone. Some interesting points.
With a few months left of mining at WK until the season closes i doubt the investment will make much difference to this years extraction figures (but i could be really wrong here). So in theory they borrow the money to increase WK extraction for next season. This would suggest a sales of MT is on the cards and they keep WK. Even that seems strange as they could sell MT and use a very small percentage to fund the growth of WK.
I probably shouldn't ask myself so many questions and just trust that this is all done for a good reason :) Been more than happy with the progress so far and personally hope they dont sell. The value of EUA shares and dividends received in 5 years if they go it alone will make a 50P-£1 sale price look insignificant.
Lets get one thing straight. I am not a deramper by any stretch of the imagination. I have close to 1m shares held since Nov 19 so my investment is not insignificant.
The one question i can't answer that someone on here may be able to help with is why do they need £10M? Wk is producing so funds are being generated and it the great scheme of things £10M is small potatoes. The board must have really wanted II's onboard or really needed the cash, especially as the dilution to their own share holding was not insignificant. Would have been useful if the RNS had pointed out why the £10M was needed. Would have thought if they needed cash they could have borrowed from the bank. Must be that they just wanted II's onboard badly, even at personal cost to their shares but does anyone know what benefit that brings that warrants the dilution.
Whats everyone's views on this?
Dont just reply calling me a deramper. Its a genuine question from holder who believes in this board and is expecting a sale price around 60P if just MT as a special dividend assuming flanks all done and dusted or £1+ for the whole shooting match.
Taken from Zak Mir roundup yesterday.
"Shares in Pakistan Coal project developer Oracle Power (ORCP) rose 7% as speculation regarding the long awaited green light, a letter of intent from the Government intensified. This was triggered by comments from Federal Minister for Energy Omar Ayub that the energy deficient country would aim to produce 60% of its needs by 2030. ““We will produce 10 per cent power through Thar coal reserves.” This appears to suggest that Oracle’s 175bn tonnes lignite project in the Thar desert is to be given the go ahead, something which investors in the company have been waiting on for several years. It also suggests that Oracle Power CEO Naheed Memon has made healthy progress with the Thar VI Project, alongside major shareholder HH Sheikh Ahmed Bin Dalmook Al Maktoum, a member of Dubai’s ruling family, and China National Coal."
https://zakmir.wordpress.com/2020/08/16/stock-market-watch-sunday-august-16/
Place your bets!
What do you all make of this excerpt from the Dawn article?
"The PPIB has also suggested that since the commercial operation date of the 1,320MW Oracle Power Project, being a CPEC priority project, was 2027 and 2030 in two phases of 660MW each, it should be reconsidered keeping in view the latest demand-supply situation and other parameters."
What do they mean exactly by "reconsidered"?
In a business sale the right price is when both parties feel a little pain. The seller does not quite get what they wanted and the buyer paid a little more than they wanted.
This goes out the window if it is a strategic purchase for whatever reason.
The board commissioned the ACF report and were told a fair value around .64p, The board know a lot has changed since then (all positive) so my guess is the board will be expecting £1+ assuming flanks are included and license is through.
As Rowka points out and Dimitri states in his proactive interview they will look at recent deals (Sybane etc) and will factor that in.
My guess as a guess is all we can do, is an absolute minimum of what ACF reported but a maximum of around £1.30. I am confident on this range and have held all through suspension without concern and topped up three times since with today being the latest top up.
The two factors we cant predict are how badly the board want this done and want to move on to other projects or retire. Remember with their shareholdings even a sale of .25p makes them very wealthy individuals. The second factor we cant predict are how many parties will make a bid and how their motivation will affect the bid price. An example would be the Chinese government saying "go get this, don't lose" and Russia thinking the same.
At the end of the day it can vary wildly from where we are today to where Rowka predicts (£3.50ish), as that is not an impossibility, improbable yes but not impossible.
Only time will tell but this is a fun ride and will make significant money for most invested.
Just my 2 cents worth.
Well seeing as we could take this into production and have a share price between i'm the region of £3-£6 if all things panned out perfectly, personally i would rather hold for this. However if it is a full sale:
A bit disappointed - 60p
Satisfied - 75p
Expecting - 80p+
Over the moon - £1.50
Fantasy figure - £2.00
No chance - £3.50+
If its a part sale and anything less than 0.50p then would be disappointing we didn't mine ourselves. However i think Dimitry wants to focus on his Crypto so will want out and the long term mining is not an option. I have only held since Oct 19 so my average buy is probably higher than most LTH's but i have a fairly decent sized investment. For it to be truly life changing anything over 0.75p will make a significant difference to retirement age.
If the license has already been issued then would the company not have a legal obligation to announce the fact via an RNS as it would have a material impact on the companies valuation and as such shareholders have the right to know?
I have tried to google when a company must issue an RNS without much luck. Anyone better educated on these matters know if the license approvals would mean an RNS has to be submitted within a few days?
It is this that leads me to believe that they don't yet have it all sewn up but i may be well off the mark as my knowledge around RNS release legalities is somewhat lacking.