Member Info for Kullybahia

No idea Longfell? Could be that AA were happy with the previous drilling? Suspect that David Wood has directed the drill to further depths for Cheyeza and Muswema. David knows the licenses better than anyone else, if he's saying drill here or there, then Arcm will comply? My own belief is that I would want to follow up drilling at Fwiji to find the main ore body? I understand why you're asking why no more mention of Fwiji? But someone else is calling the shots, regarding where to drill, which is frustrating as I also wanted more drilling at Fwiji. With EA ending July 7th, perhaps AA want to see mineralisation at depth in other deposits, as happy with Fwiji results from last year.

Fulmar don't forget the scrap market for copper. A combustible car uses 12-15k of copper, an EV uses 70-75k of copper. So like for like can't be replaced as in previous cycles, so more copper is required for current demand. That's why we are already 500k tonnes in deficit predicted this year, and its going to get bigger as more EV's are manufactured.

Tom be realistic. $800m for the potential of the assets is a good offer imo.

Sure most of last week's placing was done so quickly, only Institutional investors would have been lined up.

We got producing mines surrounding us, and the hottest metal in the green energy. Deposits filled with grades of 1%+ on average, major in the EA. And traders selling off, as per usual. A gold asset in hand, and a copper project to explore after commercial transaction? Institutional investors on board and bod with plenty of skin in the game. What's not to like? $800m buyout anybody?

The other factor not mentioned about why we are in current deficit is the scrap market for copper. A EV like Tesla requires 70-75k of copper, a combustion engine car needs 12-15k of copper. So scrap metal is 5 =1EV,that leaves a massive gap in the scrap metal. Like for like isn't being replaced, so new copper is needed to keep up with new EV's. When a new mine begins producing the best grades are targeted 1st, to generate more profits in the first 5-10years and recover original capex. Afterwards lesser grades are mined for production, hence the term 'dwindling grades of ageing mines' being touted. The perfect storm for copper demand, and the move to EV's will bring even more pressure on the supply.

Just had a quick look at Eleco rns today, profit before tax of £4.2m mcap £89m.No debt and £10 cash in hand. Turnover is £25m which hasn't increased much? Go figure we are undervalued by comparison!

There's a deficit of 500k tonnes of copper this year predicted, and it's going to become more over the next few years. Ageing mines and dwindling grades doesn't help either, it's inevitable that they will be a super commodity cycle.

The sale of casa was handed badly by NvS back in March 2020. Previous buyer opted not to buy the asset, which wasn't the problem. NvS should have agreed a cash upfront payment for the asset for $12m. No strings attached, Gold was at $1500 oz, and would have attracted the right buyer with money. 3m oz resource now about $5.5bn value in the ground so will have to be sold to another buyer? At current prices $15m could be negiotated, and that would be welcomed at this point in time. My biggest gripe right now is the Casa sale not happening. Otherwise the bod have positioned the company very well, and further asset for life after commercial transaction.

Caleb Mulenga was brought in because he's a local businessman with good relationships with the Zambia Government. I can only guess that he'll head up ground operations once the deal is struck, as you say working for AA?

Tbh even I don't know if Fwiji is in which licence area? But prior to this week rns, I was guessing a JV with AA looked nailed on. If that was the case, then we wouldn't need to buy another asset? So I can only guess a buyout is more probable and AA want assurances that there's more mineralisation at depth. If not a buyout, then why bring Rothschilds in as Financial Advisors? Still think deal will be after drill results are published. More confirmation just to keep some pencil pusher in a job. Who knows, Copper may be $4.5lb by September adding the pressure on AA! It was $2.7lb when EA was granted!

Think Nick is asking for a certain amount of money from AA. The deeper drilling is probably what AA have asked to prove that there is more mineralisation at sub 250m. Not saying AA aren't interested in the licenses, contrary they know Fwiji alone is the best undeveloped deposit in the world. No pen pusher wants to sign off on a massive deal without having crossed all the boxes. The follow up acquisition is what life will be after the deal is done. Wether JV or TO is still anyone's guess. Back up plan is in place with the Kalaba plant, in case things turn sour. But with Rothschilds at the negotiation table, deal of some sort looks destined. Buyout looks more likely, as Nick has sold Bumi coal plant for $500m.Doing an interview is irrelevant, if he can't really reveal any price sensitive information. Love to hear that Muswema hit some impressive grades in the summer, that would crank up the pressure of the price. With approximately 4 months to end of exclusivity, they have to drill and wait for the assays. Drilling in late April at earliest, 1 month of drilling so May. Then at least 8 weeks to get assays back. So after EA has ended before we get some drill results back, so can only conclude a deal in September. Can see EA extended for at least 3 months to October 7th.

Fulmar if you work for AA, and have to sign off on a potential deal that is in the hundred of millions, you ain't going to take any risks that harm the company. Or your job, you'll want to be able to recommend the offer to the bod, and shareholders. Having a bit extra information in the guise of grades upto 500m in depth, gives assurance that your getting a good deal. Name me a deposit anywhere in the world, that is undeveloped and grades of up to 7-8% like Fwiji? If Muswema hits 2.5% over 350m in some holes in the summer, we gotta deal definitely. Cheyeza is grading 1% over most holes, and most developed mines have 0.5% grades.. Our deposits are commercially better than most mines around the world. Tier1 is talked by the bod repeatedly because we have the grades. Fwiji if $25m spent on drilling it out properly, would command $1.5-2bn alone.

AA want a bit more information outside of Fwiji deposit. Fwiji is where the host copper of the Sentinel Mine is located. No argument that Fwiji is the monster asset that AA have known all along. Other deposits will need a bit more technical work, drill deeper and more continuous drilling of holes that have been already drilled. No argument on grades of 1% CU in most drill holes. Just a case of how deep does the mineralisation go. XTR has the Bushranger deposit in Australia. AA have option to buy back the deposit. Its got mineralisation of 0.4% CU and some traces of gold from 100m all the way down to 1000m.Still grades are nowhere near Arcm, and recovery rates will also be much lower. Sulphides are the best, and oxides less, but more in volume. Some pen pusher isn't going to sign off the transaction, without confirmation we've got both quality and quantity. A bit more drilling at depth at Muswema and we might hit the ore body? Go figure. But it's all about Fwiji, that's what attracted AA to the licenses for the second time, after relenquishing them.

Sadaat is really a oil investor and has made plenty of money over the years. He really doesn't understand other sectors,and can afford to take a loss of £25-30k.

One other thing to ask is what did Arcm learn from having access to AA's top geo, David Wood. David is the expert of the African copper belt system. Found the copper at FQM'S Sentinel Mine, and said in an interview which I've watched that there is some missing copper not accounted for. Cue Fwiji, as where it's most likely to be found. I'm perfectly relaxed about the rns yesterday. Yes, it was a curve ball, unexpected. But when you think about how many traders, jumped in looking for 100-300% on a deal? They are now selling out, to chase rainbows elsewhere. Think drilling deeper and finding more grades will add more value to the resource. Muswema could be a great starter open pit for most Juniors, if grades at depth. Anyway we still have AA at the negotiation table, so unfortunately NvS can't really say too much.

Longfell, think that they were happy with Fwiji. Remember David Wood was directing the drill programme, possibly the top Geo in the world and expert on the African copper belt system. Maybe NvS found some info that David let slip during general conversations. David might have mentioned that some traps are present at deeper targets? I can only guess that NvS learned more than before David arrived on the scene?

The placing shares were very quickly done. Institutional investors must have swallowed most of the placing, if not all? Expect some investors call to clarify in near future? Why drill deeper? Well with the prices of copper, maybe they want to show how deep the grades go? That would put pressure on AA, unless they asked for the drill to depths? Other majors will be watching what happens, especially if we hit those grades. We need some clarification in a investors call, to reassure long term holders.

John mayer works for SP Angel. Arcm raise today was with WH Ireland. So obviously Mayer is going to post negative comments. But that aside, Nick needs to clarify what, where the company is and going. Obviously he's not able to disclose much due to the NDA. If AA are wanting to do a deal, expect every box has to be ticked off, prior to any commercial transaction. Pen pushers are going to determine what is likely outcome of any deal. How deep is mineralisation, over how much acreage. Who owns the property, licenses, etc etc etc. AA are asking for more drilling to give them the assurance that they have the Red metal. Casa needs to be addressed by Nick, should have been done before today's announcement!

Yep longfell EA runs out July 7th. Maybe an extension by AA's request? Or they wait for drilling results and some sort of transaction? 15 weeks today and counting. Twists and turns still to come, beats going to Alton Towers for the roller-coaster!