Member Info for Legalwolf

There WILL be another cash call by the end of this drill - we know that from the fact that they have told us the costs are $10 million, and they have $10 million. As I said, this placing was pre-announced, and so is the next one.

Who knows if the next one is being forward sold already? All imo and dyor

Just have to hope they have raised enough cash to cope with any further delays, whether related to the Rig, parts, personnel, weather or the hole itself when they start drilling it.

With this lot, a cancelled or abandoned hole wouldn't surprise you. Then the Rig gets sold off or utilised by all these other affiliated explorers in the area, and obviously the licence packages as well. All imo and dyor

You can buy as many as you like under the placing price. Just been quoted 0.2415 for £25k worth!

What's the bottom here?

You can now buy under the placing price already and we are only two hours into the day! With another 2 billion to flush through, a very high risk drill coming up (assuming they even manage to repair the Rig properly and it doesn't break down again), no contingency money in the kitty to handle any Rig problems or problems with the hole, and another placing to come in about 6 weeks' time, what's not to like hey? All imo and dyor

Only another 2 billion or so to go...

PJ - I told you to go and check the figures, and you ducked the challenge. They have $10 million in cash and the costs of this drill are $10 million. Is that incorrect?

Also, everyone knows you're a trading troll so don't even try it. All imo and dyor

PJ - it's ONLY funded for and up to this drill - the figures are all in the RNS. Go and have a look at them for yourself and then tell us why they won't need to raise again in or around February?

I would tend to agree. 2.3 billion shares to flush through in a matter of weeks, which is two thirds of the entire free float.

And then in about 6 week's time, they will need to raise again. The next raise will also add billions of shares. Unless Itumbula comes up with the goods - and will they even wait for the results before raising - what discounted price will the February raise be done at and how many billions more shares will it add to the float? All imo and dyor

They have to be offloaded before Itumbula spud into results - because after that, you can't be sure that anyone will be buying them anymore.

It is very high risk. There are 2.3 billion shares at 0.25p to flush through. Most of the retail who will be buying them will themselves want to sell/de-risk any they buy now and BEFORE Itumbula spud/results. It will be retail again who will need to buy these de-risking shares. Will there be enough of this demand/lemmings?

The other thing is, He1 pre-announced this placing and we all saw what happened. But here's the thing, He1 have ALSO effectively pre-announced the NEXT placing, because they have RNSd how much cash they currently have, and how much this drill will cost them. And when you look at the figures, it means they will raise again in around February and before Itumbula results are out.

Therefore, against this backdrop, it is really hard to see how this goes on any kind of sustained rise now, before Itumbula results, and even then, if the results are positive, there's another placing to contend with?

The goose is almost cooked here and this could be in final death throes unless Itumbula defies the odds and comes up with the goods. But extremely risky to put any significant funds into this unless you are very skilled and adept at this day/swing trading and will be able to watch and react very quickly to what actually happens. All imo and dyor.

That's assuming they even drill in January. They have the Rig to repair and the weather to contend with. But I suspect they will drill on time because they are saying they have all the crew and third party services all mobilised.

But they are definitely going to need to fund raise again, and that's also been pre-announced in the sense that they have RNS how much cash they have and how much this drill is costing.

I don't believe Itumbula will be a discovery (unless Noble produce the goods) and come to the rescue, but you never know.

It's very risky. There's 2.3 billion of these shares to be flipped - two thirds of the free float. Will there be enough retail demand for them, bearing in mind that most retail are traders, who will also want to sell the shares before spud/results?

It will do very well to not to undercut the placing price.

They will fund raise again BEFORE results from this drill, which means February, to keep themselves in wages for another year at least. All imo and dyor

And the dumping will start on 28 December! All imo and dyor

"Application has been made for the Fundraise Shares and the Fee Shares to be admitted to trading on AIM ("Admission"). It is anticipated that trading in the new shares will commence on AIM at or around 8.00 a.m. on 28 December 2023."

Which means the true impact of this placing on the share price won't/can't be known until 28 December and into January 2024?

It's risky. Logically, this might or should be one of those situations where the company trades below the placing price. They have 2.3 billion shares cheap to be admitted in a few days which will flood the market. In about a month's time, the company will need cash again. Tai 3 was a duster - otherwise they would not have had to have endured a raise at 0.25p. Itumbula is very high risk as well.

Hardly the backdrop for a significant rise, but then the markets are irrational not logical. All imo and dyor

The open is always the busiest period. There’s going to be 2.3 billion of these to churn through in due course!

The irony is that it will be retail who were rinsed and retail who will buy the shares at a premium to the placing price allowing them to profit from it all. Couldn’t make it up but that the crazy immoral AIM casino for you. All imo and dyor

They will be able to flip the shares from when they are admitted (28 Dec). If the drilling is early January then there won’t be much time to flip them. Another placing will be needed following or during this drill. Isn’t anyone buying above the placing price really just helping them to profit from what has been done?

Hard to see this go on any significant or sustained rise when the end result will be another cash call in February and ruin if they don’t find commercial helium at Itumbula. All imo and dyor

With around 2.3 billion cheap shares hitting the market, very little time to clear them, a very low COS, and the company inevitably going to need cash again following this drill, is this even worth a punt now?

Does feel like retail are being lined up once again to be the ones that these special 0.25p 'investors' starting selling their cheap shares to for a quick buck, before the inevitable next raise or duster.

Not sure whether this is a busted flush now, and not even worth much of a swing trade? All imo and dyor

How can it be possible that Tai 3 results were promising, if the company has ended up having to fund raise at 0.25p straight afterwards? All suggests that the market has very little confidence in their COS at Itumbula, and same for the company itself, if they have tolerated a raise at 0.25p.