Member Info for Know0

Monkey - you clearly know little about the company, their financial position and less about corporate restructuring

Also, just to let you know, they have started to re employ some of those laid off - not as replacements for leavers but increased FTE

So your comments are fully blown out of the water!!

GLA

Very difficult to buy, its always the same with ITX - so few free shares, so it rises quickly when anyone wants to buy a few

I dont often blame MMs but they are absolutely playing this IMO - offering lower and lower sell to frighten people - may well have been a worked buy in place for ages?

Bored PIs and small holders sell easily and thats why SP kept falling on not much volume - love this company. still holding big (although down 25%!) but not at all worried and expect to see us back uptown 9-10p in reasonable time

GLA

Monkey - who said anything about sitting on their thumbs? Not me!

I said they prefer to be close to home rather than taking a bit extra and being away for ages at a time

Lots of mines in Newfie and lots of skilled miners - as one said to me (who kept their job) "those guys will be back soon, it happens every year"

There may be small dilution as a thank you to NewGen but NO I dont believe there will be large dilution - I dont think they would be able to get it through an EGM! Also they dont need to - the Aged AP will soon be cleared and NewGen have always been supportive and not a problem to restructure (despite all the to55ers on here saying NewGen would "take the mine" (clowns))

I have family in Deers Lake and many Newfie friends - whats your connection with The rock?

GLA

Strummer - correct re 6mths but can extend

I dont think they will extend and I dont think they will use all of the 6 mths

Im thinking towards the end of Feb (at latest) we will be back trading and building news flow for end of Q1

We do need comms - we need Q4 output and we need 2023 guidance which I expect to be increased by end of Q2

Anyway, GLA & pls DYOR

But FCF is after capital payments eg debt reduction and fixed assets spend (inc new contract set up costs etc.

It’s a mix of P&L and Balance sheet

EBITDA is the most common multiple used to value a business

Best wishes

I believe they were running 3 shifts of 10 hours (split between stopes - so they weren't sitting around doing nothing - they would blast where they weren't working

One shift has been lost and the 2 shifts increased by an hour

This has caused the reduced tonnage - its conserving cash, but as the CU price increases to $4, I expect the staff will return

The BV community are very used to all this and as the nearby mine has closed, there is less problems getting staff as most want to be able to work close to home rather than get a bit more per hour but live away from family and friends

I dont think it will open anywhere near 25p but I do expect it to rise quickly to 25p (and above).

The RNS will state what the deal with NewGen is and will say that AP has been brought back within terms

Happy to wait

GLA and pls DYOR

Could be Salt

They did RNS the last load - lets see!

Wednesday - think you are reading this a little too harshly

2022 Avg Consensus EBITDA is £253M and 2023 £270M

If pre IFRS16 debt is in fact Nil by end of this year, valuation should be 8-10 times EBITDA = (@ x8) £2Bn (5 times more than our current valuation)

In fact to value CPI at £435M with EBITDA of £250M is unbelievable!

Every business unit they have sold has been getting x8 (plus) and we are valued at under x2!!

IIs will come back in - I expect we will be 30p by mid Feb and 40p by mid March - BUT this should still be £1 and would've been if not for all the 2022 issues and concerns

GLA - hold for gold!!

DYOR

I am a little concerned that people either dont read RNS or understand them?

We had a debt to equity swap at nearly .5p and LO took those as they couldnt get repayment of the loans

Of course it can be LO that is selling at these prices as this was the only way they could get some cash

They may not want to wait around for a year or more to see the SP recover (which hopefully it will) in due course

What I would be very pi55ed about is if there is bad news about to drop and another big player has bailed early - lets hope we can be at $13M revenue in H1 2023 and making a decent profit and more wells are opening up

GLA and PLS DYOR

Morgan confirmed to me that EBITDA and FCF would be materially in line with expectations otherwise they would have to RNS it

FCF is after debt repayment and CapEx

This is however only in relation to the ongoing business - company wide EBITDA and FCF should be higher with profits and cash from units disposed this year

This is the issue with the way CPI report their financials - they dont make it clear what profit they have made in a year in total as its always being adjusted - show both is my responses - make it clear - Company figures for the year and ongoing business units for the year

They are clearly looking to make contracts more profitable - I believe that this will be achieved by saving on office space etc (which also reduces IFRS16 debt) and automating more - doing that is capital expenditure

This share made 55p only a year ago and now barely any debt and making enough money to warrant at least that price again now

Dropping out of FTSE250 has hurt us so much at a time when PIs have taken their cash out also.

What I do know is that this is a safe company and although I dont expect PE or anyone else to buy the company, a rebrand would do wonders but we also need to see a couple of big contract wins also

GLA and DYOR

Closing is 0.155 - not sure why anyone is confused there

The company doesn't have the money to buy shares back - although the majority of debt has now gone with the Debt / Equity swap, they need to prove they can make money

MH has proven he can do deals and raise cash. The company has been unable to expand in the way we wanted the past year or so because of lack of cash and debt maturity

Need now to be showing profit and ploughing all excess cash back into workerovers

Market Cap of £9M is low, but now need to be showing Revenue over $15M and at least a breakeven - production costs must fall to allow this to happen - and other financial costs must end

This turnaround cant happen over night - it may take another couple of years to fully turnaround, but there must be Gross Profit with that maintaining FCF

The worker costs should be capitalised so that we know what the profitability is on an ongoing basis.

FCF is no longer needed for debt / interest repayments so lets make sure we can rise quickly to $25-30M Turnover making $3-5M, then the SP will be worth looking at

Most of my investment here is in SIPP and it wont be touched - 5hit or bust!!

GLA and pls DYOR

... finished their Xmas shopping? !!!

Tumble weed here - just dropped in to say hi!

Moon - pls return my call bro!!

GLA

They converted - they may see this as easiest way to get cash out.

I am guessing (and have added twice today) but just wondering if they see this as the opportunity to get some cash out - book the loss

Maybe LO have decided the way to get cash out was to convert and dump a load on market - only getting 1/3 of what they paid for them but they want some cash and book the loss

Late reported 30M sell just gone through

Just added £1200

Those showing Buy have to be sells - someone has dumped - not big money though but no buyers - Im too heavy here already but really tempted to take this at this price

I emailed Morgan about the lack of confirmation re Profit and FCF

He said that if they weren't materially in line with published expectation they would be obliged to comment

Said they are working to "significantly increase profitability from core business"

So FCF should be close to expectations and EBITDA also

Not many way under valued companies with no debt about - CPI is a safe bet for a decent rise (although it should've been 80p way before now!!)

Glad I sold out half at 48p but bought too soon (29p) but happy decent profit will come there

GLA and DYOR

Strummer - agreed

Hes clearly not falling on his sword (which he should but more importantly needs to to regain trust in RMM)

Of course there should be an update but the issue is that they have clearly done an informal creditors arrangement - if it was a formal Voluntary Creditors Arrangement, that would be with the assistance of administrators (this didnt need that)

They will have spoken to all the creditors saying they can pay the back log over x months and they will stay up to date on the current debts

This is difficult t RNS as its informal and creditors (AP) can change their mind

Bur with hedged copper for a few months at $3.77 and significant savings being ached, the FCF will be paying down those aged creditors

Not expecting this to start trading until they are able to say that the old AP is now cleared

Therefore NO dilution would be needed - they will give a bit to NewGen as a thank you fr the deferral and away we go

SP will quickly return to 20s if CU is $3.80 or above

With a higher CU price and hedge, we will move quickly to 30s IMO

Best wishes all and pls DYOR

No Financial advice

Not sure there will be a placing - if CU stays at a decent level and they have cut costs, shares will be given as a thank you for loan restructure

Unless they do a placing at say 18p ish I cant see there being a placing - but we will see

GLA