Member Info for Major-Tom

Guess the US are going to have to look elsewhere for their critical minerals and REEs.

With the global focus turning once again to REEs could we see another spike in prices love 2022?

Would be good to see a move towards 4p this side of the pond too.

Quite a difference there IP. Hope you are more accurate than my co-pilot. I guess the only thing everyone can agree on is, any bid would need to multiples of today's valuation around £200,000,000.

What sort of valuation would you long term holders expect to achieve if a takeover bid does come in?

I asked my good friend co-pilot for average valuations of Copper, Gold and Silver during recent acquisitions. It came back with. In 2022, the average value placed on Measured and Indicated in-ground copper reserves during major acquisitions was around $0.16 per pound, Gold was $30 per ounce and Silver was $1.50 per ounce.

Granted 2022 is a bit outdated, but, applying that to the 2023 mineral resource estimate of 10.7Mt of copper, 26.8Moz of gold and 91.3Moz Silver and considering inground valuations of $0.16 per lb of copper, $30 per Oz of Gold and $1.50 per Oz of Silver it came back with an overall valuation of $3,770,804,137.

Applying that to the 2024 PFS resources of 3.2Mt of copper, 9.4Moz of gold and 28Moz Silver and considering inground valuations of $0.16 per lb of copper, $30 per Oz of Gold and $1.50 per Oz of Silver it came back with an overall valuation of $1,130,282,324.

How do those valuations sound to LTH’s here? Realistic or not?

Yes Kalasin a very different animal indeed. I am surprised that with the NASDAQ listing on the horizon, the minimum listing valuations and the sentiment around REEs we are not seeing a lot more interest in Mkango. Sure it will come. Guess we just need to be patient.

Yes, highest its been since January 2024. With the geopolitical backdrop I reckon we have seen the bottom of the Neodymium pricing. Onwards and upwards. Timing is perfect with the US SPAC due and the continued progress on the recycling front.

Looks like POG ready to breakout again. GGP a very good way to play the gold price so I'm busy buying at this price.

Its worth remembering, given the news yesterday on the land lease, exactly how important the Pulawy plant is to European critical mineral supply chain and overall security of supply.

Old news but still relevant

https://erma.eu/diversifying-the-rare-earth-value-chain-for-europes-green-transition/

"ERMA is pleased to announce that it will support Mkango Resources Ltd. (AIM/TSX-V: MKA) with securing financing for the development of a rare earth separation plant to be located in Puławy, Poland. "

“It is the primary role of ERMA to secure raw materials and raw material supply chains for Europe to support industrial ecosystems and create jobs within the European Union. We cannot do this alone which is why diversifying is so key – this is a multi-national project where we have a Canadian partner, Mkango Resources, accessing critical raw materials in Malawi, Africa, processing them in a plant in Poland, all for the benefit of the European economy. The Puławy project is one of the first ERMA projects to get the greenlight to provide critical raw materials needed to fulfill European goals in the green transition while diversifying the supply chain in the long term.”

"ERMA fully supports Mkango’s corporate strategy to develop new sustainable primary and secondary sources. Their integrated ‘mine, refine, recycle’ strategy differentiates Mkango from its peers, uniquely positioning the company in the rare earths sector."

Its clear MKANGO, Songwe and Pulawy will play a key role in the future of critical mineral supply to Europe. One wonders if Songwe could support a similar plant in the USA enabling Mkango to bring their Integrated ‘mine, refine, recycle’ strategy to our friends across the pond too.

Neodymium touching and looking to break through 52wk high. I hope, given the interest increased interest REE and the sanction implications, that we see the price breaking North. Seems. Trump, REE sentiment and Neodymium price are all coming together at just the right time for Mkango.

The size of the site wasn't included in previous announcement so not sure if the actual size of the agreed site has increased. However, it is clear that we have secured a large enough site to cover any future expansion. Also, IMO interesting that Alex mentions completion of the feasibility study and commencing construction. Also, seems that Grupa Azoty are keen to work with Mkango on this. Could we maybe see some sort of JV agreement between MKA and Grupa Azoty to fund / progress the construction upon completeion of the DFS?

Alex "We are delighted to have signed a revised exclusive land lease agreement adjacent to the Grupa Azoty Pulawy which will enable future separation plant expansion. We very much value working closely with Grupa Azoty and look forward to completing a definitive feasibility study on the rare earth separation plant and starting construction."

Nice to see that MKA are now progressing Songwe and Pulawy. Seemed both were on back burner but now full steam ahead again. Neither priced in to MCAP yet. Must be one day soon.

Bozi, just my opinion. I think the relative stability of a new parliamentary term will encourage any interested parties to act as early as possible during that term. I started accumulating shares ahead of the first round voting incase there was an unexpected first round victory. I will continue to accumulate through until the run off. Hopefully I am correct and a bid comes soon after. In any event I happy to accumulate at this price.

All about timing. I reckon the election run off will be the final piece of jigsaw but wouldn't bet against someone kicking of the bidding war prior to it.

I disagree on no point bidding before ratification. They bid twice previously without ratification. Why wait and pay more. Assore are well connected across Africa. I think they may make another bid if / when they get word ratification will happen. Guess time will tell.

Yeah agree £240m actual cost to Assore at 50p. How did you come to 50p? I can't see any reason for them to increase their previous valuation maybe after something material like Ratification, MIIF investment, offtakes etc. But until that point I can't see any reason for the valuation increase?

5toamillion am I missing something? 693M shares in issue x 50p = £346.5m

Assores last bid valued ALL at £202m. Nothing has really changed since then so I would expect that they would value ALL around the same now.

I agree that ALL must be ripe for another offer from Assore or some other but recol it would more likely around 30p.

Agree. Funded through to production and NASDAQ listing for Songwe etc.

IMO Risk is very, very low. Reward could be very, very high. Especially if NASDAQ listing goes through as planned. Not very often you such a risk / reward imbalance to the upside.

Yes. Could have bought as part of recent raise at 8p. Makes me think something significant has changed since then to inspire CFO to increase his exposure.

Also I think it must confirm that everything is still on schedule. Surely would be aware if any delays to any schedules which would knock SP. Surely wouldn't invest £50k in that case.

Very bullish.

CFO obviously has confidence. Around £50k at 11p is quite a significant purchase.