Member Info for MarketGunslinger

Yes Amtech - Kabunga is nobody;'s fool. Now we just need to get him to take a position on the ACP board and we are ready for take-off.

I'm here - waiting for the JORC update before Christmas. I'm not sure that ACp has ever been in abetter position - Kabunga at the helm, funded in the short term, battery limits doing the scoping study/PFs and a Jorc update imminent. I'm only missing Kabunga on the board and a company name change for my wish-list full hosue to be completed... 2018 really could be ACP's year.

Re Long Term Holders here � I feel your pain. I have been done up like a kipper in shares before that were just there with dog s.hit projects that only existed as slush funds to bankroll the directors lifestyles � just like it has been for ACP/Watermark under Lewis and Marks. However, I think that we need to be clear that this is now a new company now with new owners and a new management. When the graphite asset was vended in it was not an acquisition but a takeover � hence the swift Spanish Archer for Lewis and Marks. They have flushed away the gold project like the turd it was and are concentrating on something completely different. The graphite play has legs. �2.2 billion of them if all goes well in fact. Look at Syrah Resources just down the road in Tanzania - they had a market cap of A$6 million when they acquired their graphite asset and now it is $A1 billion. Look at Volt Resources � one of Kabunga�s other companies. When he vended in the asset it was A$6 million and now it is A$30.85 million. I know it�s hard to believe when you have been shafted so many time but I have done a lot of research into this (especially Kabunga and the Tanzanian project � and Kabunga � are legit. Check through my history for details. A new day, a new project, and new highs ahead. This will go up and you will get your money back. Fair value for ACP now is �22 million market cap and after the feasibility study comes out it should be at least double that (potentially more). This will see you get your initial investments back and then you can get out. Just have some faith that it is not always the same old same old. GLA.

IMO with a potential �2.2 billion to be generated over the next 9 years this should be valued at 1% of that (�22 million market cap) now. Massively massively undervalued share here - which is, of course, the opportunity that we are all looking for!

Remember this is a totally different company than it wsa under Marks & lewis. The acquisition of the graphite project was actually a reverse takeover. THe old board were put out on their ears and new poeople ported in. The (useless) gold project which stood to make max $100 millio over 9 years has essentially been abandoned and all of the new boards energy is focused on the graphite play which could be worth �2.2 billion over the next 9 years. This company has a massive resource, a competent board and short term funding sorted, All very different from the Lewis/Marks days...

1. We have the appointment of graphite experts for the scoping study (and presumably the feasibility study). These are the same guys who have worked with Magnis Resources (market cap: A$236 million) Volt Resources (market cap A$32 million) Black Rock Mining (market cap A$28 million) Graphex Mining (market cap A$22 million). 2. We will have an updated Jorc resource before the end of the year � I know we knew this but I expect a re-rate based on this news. Not going to guess the numbers but at least a doubling of the current share price IMO. 3. We will have the results of the scoping study in Q1 2018. I expect another (minor) re-rate of this share at this point. 4. We then move straight onto the Feasibility study for Q2 2018. This will be massive and will cause a complete re-rate in ACPs potential at this point. Assuming all goes well I would expect a market cap of approx. �40 million by this stage. I love the fact that they are targeting 400,000 tpa throughput in the mine as that is a significant play but I love even more that stage 2 is budgeted to be funded from cash-flow minimising the dilution. Obviously there will be placings before the mine goes into production but I have no problem with this as long as they are done sensibly and to increase the overall value of the project. It does make me happy that they are looking at minimising funding cost though as this maximises shareholder returns. This is what you get from having a significant shareholder like Kabunga steering the ship � what works for us works for him and it is all about increasing the share price. Finally, I really like the promise of regular news flow going forward. Shareholders in ACP were treated like mushrooms under the old board. It seems that under the new management we are actually being moved out into the light. The share price is really going to move from now on IMO.

You all know I think that it is a good idea.

The bottom line is: behind all the corporate issues Armadale has an attractive graphite asset with a Jorc inferred mineral resource estimate of 40.9Mt at 9.41% TGC. This means that they are essentially sitting on top of 3.8Mt of actual graphite and not just any graphite. 48% of what they have tested is Super Jumbo, Jumbo and Large flake size and this has a dramatic effect on the price it can be sold for (prices sourced from here: http://northerngraphite.com/graphite-pricing/ ) XL flake $1,750/t (+50 mesh) Large flake 1,150/t (+80 mesh) Medium flake $950/t (+100 to -80 mesh) Small flake $700/t (-100 mesh) With the ACP graphite having a purity of at least 97.6% then it is in the top range for quality globally. To do some quick and dirty maths � the 29th September 2017 RNS told us that ACP had the following graphite size percentages: 3.6% Super Jumbo 20.9% Jumbo 23.5% Large If we assume (guess) that the other 52% is divided equally between 50% medium and 50% small then we can attach the following fag-packet calculations of value to the asset: 40.9Mt Graphite at 9.41% = 3,848,690 TGC 24.5% Jumbo or above = 942,929 tonnes @ $1,750 / t = $1,650,125,838 23.5% Large = 904,442 tonnes @ $1,150/t = $1,040,108,473 26% Medium = 1,000,659 tonnes @ $950 / t = $950,626,430 26% Small = 1,000,659 tonnes @ $700 / t = $700,461,580 In total the potential market value of the graphite is $4,341,322,320. (�3.3 billion) Now, I am not claiming for a second that the market value of ACP should be anywhere near this figure. The mine will only produce the graphite if it gets built and even then production will take a number of years (perhaps 10?) and there will be overheads associated with the production (Syrah state on page 13 of their latest presentation that their opex is expected to be $400 / tonne dropping to $300 per tonne as their planet reaches full capacity: http://www.syrahresources.com.au/application/third_party/ckfinder/userfiles/files/Equity%20Capital%20Raising%20Presentation-19Sep17.pdf If ACP can match the Syrah costs then they will be making the following profit from production: 24.5% Jumbo or above = 942,929 tonnes @ $1,350 / t = $1,272,954,150 23.5% Large = 904,442 tonnes @ $850/t = $768,775,700 26% Medium = 1,000,659 tonnes @ $550 / t = $550,362,450 26% Small = 1,000,659 tonnes @ $300 / t = $300,197,700 Total = $2,892,290,000 (�2.2 billion) I am not claiming the company should be worth �2.2 billion either � as even with the overheads taken out the plant still has to be built and still has to produce over a number of years. However, as a rough calculation it is not unreasonable to assume that the kind of value that should be attached to ACP now should be 1% of this �2.2 billion (�22 million). At the moment the market cap is worth barely 0.21% of the product�s potential end market value.

ACP is unloved by the market because of the previous board of directors (who are no longer at the company) took massive wages; got involved with projects that never seemed to go anywhere and cost shareholders a lot of money as the share price declined. However, the company changed totally when the graphite project was vended in in June 2016 as this was not the company acquiring an asset but a new set of shareholders taking over a shell company. The old directors resigned on 29th September 2016 just after the new controlling shareholders appointed their own directors � Emmanuel Mahede (10th August 2016) and Nicholas Johansen (16th October 2016). The company is now a totally different company with different major shareholders, different directors, different assets and a different interest. All thoughts of consolidation, the gold project and anything else prior to June 2016 should be completely discarded as they are totally irrelevant to where the company is now � it is a new company. Unfortunately investors and the wider market have not cottoned on to this yet which is why the share price is where it is. However, this is a good thing for investors old and new. In my opinion it is when a share is as ignored and unloved as ACP is by the market right now that the greatest opportunities for making money present themselves to investors who do their research properly. I would never have invested in ACp under it�s previous board of directors, but now I think that the new entity presents a massive opportunity.

Fantastic RNS showing even more great drill results and a promise of an increase in JORC resource before the end of the year. http://www.lse.co.uk/share-regulatory-news.asp?shareprice=ACP&ArticleCode=qc2t55h6&ArticleHeadline=Excellent_Drilling_Results_Continue_at_Mahenge_Liandu

Fantastic RNS showing even more great drill results and a promise of an increase in JORC resource before the end of the year. http://www.lse.co.uk/share-regulatory-news.asp?shareprice=ACP&ArticleCode=qc2t55h6&ArticleHeadline=Excellent_Drilling_Results_Continue_at_Mahenge_Liandu

PS - for those interested, check my posting history for some of the research I have done on Asimwe Kabunga and why I think that this is a �15 million play already.

Agreed Amtech, but the derampers will easily be exposed as they have not done any research and do not know what they are talking about. You and I do not always agree on things but I respect the fact that you do do your research and your points are backed with factual evidence and hard research done away from theis board. This is the AIM casino and before you invest then you have to research what you are investing into and who is behind it. I have done this and am very happy Asimwe Kabunga is now steering this ship. He is clearly aiming to make mega-money in his various projects and because he holds massive shareholdings in all of them then his interests are directly aligned with us, the smaller shareholders. As you know, I agree abotu the tarnished reputation and I would like to see the following things happen: 1) Company Name Change 2) Kabunga appointing himself to the board of directors 3) Quick delivery of news - Be true to the statement in today's RNS that the updated JORC report will be out befor the end of the year. If they can do the above then the value of this company will fly. The graphite project is a serious play and IMO the company should be valued at �15-20 million now - it is just that the market has not cotteoned on because of ACP's terrible track record (hence my desire fo a name change). I am in here at an average of 1.58p (was 1.63 but I increased my stake here over the last few weeks at a good price) and I am very confident of trebling my money by the year end. At that satge I will take out my original investment as this is always what i do when I three-bag but I will leave the rest of it to ride for the big money that should come in 2018. I feel that this is a company that is completely below the radar at the moment but it is one that will not be for much longer. The money we can make at these prices could be life-changing over th enext year or two if Kabunga delivers like he should.

There seems to be a lot of people coming on to this board and saying that the graphite project will not work because ACP projects never work and are just designed to line the pockets of the directors. Consolidation is mentioned, the gold project is mentioned, the massive directors fees are mentioned. We need to get it clear. ACP is a new company. When the graphite project was vended into ACP by Asimwe Kabunga back in June 2016 it was not the company acquiring a project, it was the company being taken over. Peter Marks, who had been a company director since 2008 left the company on 29th September 2016 alongside Justin lewis who had been there since 2013. Andrew Tunks, who had been there since 2015 left on August 10th 2016. It is all there in black and white on page 11 of the 2016 annual report. The gold project has been got rid of too - farmed out into a JV with Armadale looking to drop down to 15% as it is unlikely to ever develop any significant returns and the new board do not want to spend any more money on it. This is a new board, a new project and in every meaningful way a new company. Instead of having a gold project that may make $100 million over 9 years with a $25 million up-front expenditure ACP now have a graphite project that may make billions over the time period if it comes off - just look at Syrah Resources who went from A$7.7 million market cap when they acquired their graphite project in Dec 2011 to A$970 million by July 2014. Today they are worth over A$1 billion. This is the same potential that ACP have with the new graphite project that the board have brought in. Forget the past, forget the bullshit gold mine and forget the old directors. This is a new company with a new (and masssive) opportunity for shareholder returns.

CommentforKings - thanks for your kind words. I have some other analysis on some of Kabunga's other companies whish I will try and put up in the next few days just go give an idea of where I think this is going - as long as nobody minds my (very long) posts taking up so much of the board's time. One point I would make about a chairman is that I would liek to see Kabunga himself fulfil this role. It may not be possible give I believe he lives in Australia where most of his other businesses are based. In his role as chairman of Volt he oly takes A$11,441 (�6,700) per year so if he were willing to take a similar nominal fee it would allow a proper MD to be brought in to publicise the company. Put them on �50k per year plus generous options so that everyones interests are lined up in the same direction (ie shareholders realising value) and I don't mind them making a fortune in a year as long as it is directly linked to a share price increase so that shareholders get rewarded at the same time. If ACP do this then I think that we would have a very powerful base to push on from as the value in the grahite is there. So many AIm companies are pushing projects which will never make big money even if they work but this graphite play will be worth hundreds of millions (minimum) long-term if it can be pulled off successfully. The more I think about is as well the more I agree with jsd71s idea of changing the company name. It would be an obvious signifier of the fresh start that ACP is undertaking in it's Graphite venture and would be aa clear cut-off point between old and new. I will write to the company with some of these suggestions when I get a chance. It will probably not make any difference but it will certianly do not harm to let them know what shareholders are thinking.

Good call - I would agree with that too. out witht the old and in with the new.

Armadale need to appoint a figurehead to Chairman or CEO position and go out and do a sales job to actually tell the market what they have. The asset is there, the experience is there in Kabunga and the potential is there. Once the market realises that this is the case then the share price will shift up sharply but it needs marketing from the company to make this happen. I would like to see Kabunga appointed as chairman to do this and perhaps a UK-based CEO with mining experience to go out and talk to the market also. They need to do some conferences and some online interviews and then this will fly. But, that is all that is missing in my opinion and it is not a difficult fix. I am building up my position in here early as I think that as soon as the market catches on then the share price will be at least 3 times higher than it is today and even then it will still have time to double to be on a par with it�s peers in the graphite sector. About �25 million market cap is where this should be today to be fairly valued IMO and I am confident that the market will catch onto this over the next 3-6 months.

Hi Amtech, I think ACP is paying for the disastrous management of the Mopokoto gold project under the previous board of directors. The Friday posts of Maxipad are a good example of the negative affect of this in real life. He has clearly had such a bad experience with the previous directors that his view of ACP is forever coloured by this. After having been posting on this board since at least June 2015 (the earliest post I could see in his history) his opinion on the share is �ACP stands for A Complete Phuck�. I don�t blame Maxipad for this at all. If we are honest then we have all, at one stage or another, invested in Aim shares that despite appearances have been nothing more than vehicles designed to transfer money from investors to company directors. However I think that the important fact to remember about ACP is that it is not in any way the same company as it was when it was running the gold project under the previous directors. There is no coincidence that the acquisition of the graphite project happened on July 11th 2016 and then Peter Marks and Justin Lewis resigned less than 3 months later on September 29th 2016. This had been their company but wasn�t any more and so there were given the boot. Basically the original ACP had run it�s course and it became a shell company with the vending in of the graphite project essentially being a takeover. However, the wider market has not recognised this and ACP is still seen as being the dog it has been for years. The fact that William Frewen only lasted 7 months in his non-exec chairman�s role has not helped either. Just at the point when the message should have been getting out to the market that ACP was a totally different company with a totally different project and a totally different direction to the past then there was a void at the top of the company and it just looked like the same old same old. This needs to be addressed urgently. Shareholders in this company have been treated like mushrooms for too long under the previous BOS. Armadale needs genuine corporate leadership and a figurehead to go out and tell the market about the potential value of the asset they now have on their books. This is not some silly little gold mine that will be worth $70 million over 10 years if the company gets lucky every time. The graphite play is a seriously large project that if it ever gets to production is likely to generate six times the total value of the gold project every year for 10 years. It is on a whole other level.

Perhaps it will eventually become successful and recoup some of the money spent on it but if I were to guess I�d say that the whole thing is pretty much a write-off. I cannot see how anyone would be able to raise the required $25 million to build a mine that (if all goes will) will generate $110 million over the next 9 years. The scale of the project is simply too small and the risk element too high. If some substantial resources (of any mineral type) could be found in the rest of the Kisenge assets then this could change but at the moment I can�t say that it seems likely they will secure funding. If the value of the gold was $1 billion then this may have been different but at $100 million I cannot see why anyone who had $25 million to invest as a loan would choose to put it here unless the loan was secured against another asset that had a real world value so the security was worth something. Good luck to AMS but I am glad that it is them having to do this and not me. Whatever, happens, at least Mopokoto is not going to cost Armadale any further money. However, if you invested in here for Gold then I suggest that you get out now. The new management of ACP clearly do not place any value on the gold and this is why they have effectively got rid of it.

which means that ACP will retain 15% of any potential earnings in the event that the mine actually becomes a success. By my estimation, the mine project could perhaps work with the right management on board. At a $25 million capital cost the money would almost certainly have to be funded through debt rather than equity. If the project was funded by debt then I would expect the coupon to be 10% (minimum). At a repayment rate of $5 million per annum then this would be an 8 year loan and would involve repaying $11.5 million in interest as well as the initial $25 million. If the project were to actually work and set up a working mine (based on the 678,000 oz resource � which, remember, we were told back in summer 2015 was on course to be in production by H1 2016) then I have come up with the following figures for potential profit. Gold Price: $1282 Mine Life: 9 years Production per annum: 25,000oz Opex per oz: $792 Profit per oz: $490 Annual Profit: $12,500,000 Capital Cost of Mine: $25,000,0000 Total Loan repayments @ 10% coupon: $36,410,0280 Mine Payback: 3 years Total Mine operating profit (over 9 years): $110,250,000 Less total loan repayments: $73,839,720 So, in theory the mine could generate $74 million over the next decade (plus any exploration upside which I have ignored for the purpose of these calculations) and ACP would be entitled to 15% of this would be worth $11million. However this would only work out as a profit of $8 million per annum and ACP�s share of this would be $1.2 million per annum. In sterling this is �900,000 per year. It is not going to make the slightest bit of significant difference to the Armadale share price. The only real benefit it would have would be ensuring that all the Administrative expenses were covered year on year as these have averaged at �760,000 per annum since 2009 � mostly to do with the large fees formerly paid to consultants and exhorbitant amounts that went out every year to �consultants� (I wonder who they were?).. Basically, in my opinion the gold mine is essentially a dog of a project and it is going to be very difficult to get off the ground. It provided a very pleasant living for the previous set of directors who controlled the company and that is about the only good thing I can say about it.