Member Info for LithBoy

I just wanted to thank everyone for their insights and good luck for all of us invested for Monday. Personally I thought the JORC was good, a 47% increase in measured resource and 33% increase in indicated equates to am overall 80% increase from the PFS to the DFS as what can be counted towards the NPV. That's not a small increase by any measure. I think those not savie with the mineral market just saw that the total resource including inferred didn't increase much. Anyhow, we'll find out Monday but 80% if I am reading it correctly is a big increase and should push the $482 at 8% discount up significantly even if the new NPV has a discount of 10% it is only 2% up. With the SPG and micro all chucked in may the old PFS will be left in the ball park with the DFS smashing it cleanly out. Let's see!

MR did mention in an interview ages ago that Blencowe would just keep adding until a decent offer came, the adding including production at Stage One. His tone did shift in the last interview but probably not something that he hadn't been thinking all along. I don't think it would be too hard to find a production team to take on given the amazing credentials and future value of this project, so let's all see which way it goes and I stand firmly by my opinion that it is going to be way past 25p the final value of BRES! Good luck to all investors for the coming weeks and all I can say is "I would definitely not want to be out of this over the weekend!!!"

Before Mike's last interview I would have agreed with you although not on your valuation of around £100 million for the sale, I think that is just too conservative given the NPV could be close to or in excess of $1 billion. However, there was a shift in Mike's tone about production making it clear that if a sale offer was not serious then Blencowe would take Orom Cross to production. He also made it clear it would be a board decision. Given the potential size of this beast it makes sense for them to sit tight until a decent offer comes otherwise go into production and build the SP from there. Just my opinion but 25p is not this one's roof!

I'm not convinced if a bit of maths is done. Let's say all option and warrants are exercised. So roughly 75% NPV straight away. Put 10% conservative discount rate in, in other words 90% value. Then the sale value is 15% to 35% of NPV so let's take a mid point given the quality of the project of 25%. So, 0.75 x 0.9 x 0.25 = 0.169 let's say 17% of NPV rounding up as we are feeling bullish. So 25p SP is saying an NPV of rounded up £588 million or $781 million. The current NPV on the pre-feasibility study is $482 that's only an increase of 1.62. I just feel from Mike's language improved opex, the JV with downstream processing plant, the current MOU off takes with more to come (NASA oh please oh please!) and the shear size of Orom Cross this going to be well into the plus $1 billion NPV. Plus I think he'll wait until financing is agreed and a further JORC upgrade is made early next year. Agreed Mike doesn't sound like he'll ever mine OC and a sale going to happen but 25p just seems too conservative for me and my rough figures.

I did a little top up just to round off how many shares I have in my ISA, good to take advantage of this little dip!

BCN did turn into a right mess but after the buy out so not really the share holder's problem in the end. I was more just thinking on the lines of huge deposits and what they may go for. There are not many around I know of, unless someone else can think of one that's been sold on?

Firstly, excuse my bad grammar I didn't read over it before posting. It is very hard to say given the credentials. We may see over £200 million. I think the pricing structure at financing will be very telling as to which way thus could go. I'm glad Mike brought in that private financing firm WaterBorne Capital. That was perhaps the most significant move to date in my opinion. It will be very interesting to see what they put together!

This is very difficult to judge where the share price will end up. I have in mind to hold until an offer from a major comes in and is accepted. Unlike a lot of exploration shares Blencowe has multiple off takers, a resource that could last over a 100 years, multiple financing and location wise it is looking more solid by the day with road access looking like it will be improved and low cost hydro power available. I would have an offer could be somewhere between £100 to £200 million but in this case given the credentials, and if Mike and the team can fight for a good price with the majors hopefully battling out between themselves, then we could be look well over the £200 million mark. Bacanora Lithium back in the day had a huge lithium deposit and if I remember rightly went for £280 million to Gangfeng. So Blencowe's graphite given the graphite is less readily available to the market might fetch around that or more! Do correct me if I'm wrong though as I'd be interested to know.

Graphene, I called it!!! Get in there!!!

In the interview MR says any sale would be post DFS and if there isn't one they'll carry on to first production. We are a junior, I agree with that but one with 2-3 billion tons of graphite. I checked the Graphene market and not sure why the company mentioned below went into liquidation but it is predicted as a growth market in the next decade. Let's see though, I'm glad I'm in this!

Fair enough, it is all speculation though, let's see what Mike and Bres has come up with in terms of this UK partner. I also listened to the latest podcast and Mike hasn't ruled out selling Blencowe on https://thatstocksguy.substack.com/p/blencowe-resources-0d3?utm_source=substack&utm_medium=email#media-79d8d6b7-9501-4679-ba72-bba75413ce8a, in fact by the way he spoke it seems likely if a good offer comes in. Question is, what is a good offer? £350 million for the whole project from a major? More or less, what is people's opinion?

Could be loving Manchester as much as Uganda soon!!!

@legalwolf I checked out GIM https://graphenefibre.net/ GEIC https://www.graphene.manchester.ac.uk/geic/ and Olmec https://www.olmec.co.uk/ well the middle east are very much taking an interest in Graphene and Graphite technology and good to see Manchester in the mix (maybe the Man City connection hahaha). As for the warrants, the current one represents 0.5% dilution - not going to loose sleep over that and the other 33 mil is 10% which when it comes to financing it could go that way whatever way you look at it, so in my opinion better to have 10% control in BRES hands. All part and parcel of start up investing, I always try to add in a few percent or so extra to my initial investment to account for later dilution. That's the nature of the beast!

GIM, GEIC, Olmec? I'll check them out later!

Graphene production would also explain why they are being so particular with the testing. I think we can rule out a car manufacturer as SAFELOOP have already tested our graphite and found it high quality for EV battery anodes. So, graphene to my mind makes more sense and ties in with what MR has been saying. It is also very Blue Ribbon, graphene has faced issues with mass production but it sounds like they've now been addressed and it could seriously take off now on a massive scale. Intriguing to say the least!

And First Graphene are getting investment from the UK Gov https://www.manchester.ac.uk/about/news/first-graphene-and-university-to-work-together-to-help-develop-a-new-graphene-based-energy-storage-material/#:~:text=Professor%20Dryfe%20has%20secured%20funding,%2C%20the%20home%20of%20graphene.%E2%80%9D

Hmm I just wouldn't call Rolls Royce unique but it is certainly blue chip at the moment. To answer my own question though, yes First Graphite are using natural flake graphite in the production of Graphene https://firstgraphene.net/about-us/graphene-suppliers/. Very interesting!

First Graphene https://firstgraphene.net/ was my other thought but are they moving towards natural flake graphite for the production of this wonder material? They are certainly unique!

And this is interesting too https://www.nationalwealthfund.org.uk/news/national-wealth-fund-ukef-join-forces-boost-investment-sunderland-gigafactory The UK Gov are investing in the Sunderland Gigafactory expansion and as the only one in the UK currently that makes it UNIQUE! Nissan maybe our dark horse in this race!!!

It is very hard to say, JLR via Agratas part of TATA could be said to be unique as there is currently only one other Gigafactory in the UK but I get what you are saying, unique implies it's the only one of its kind. This could though be referring to the funding package from the UK government that Agratas has which could be said to be unique. The current plant is the Sunderland Gigafactory supplying Nissan which is the only one in UK so is unique and they are looking to expand. Defence I'm not convinced by as it already has offtake arrangements and as far as I can tell isn't expanding to the level needed with supply from Orom-Cross but I could of course be wrong!