Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Big spike based on what?
The company confirmed just a couple of weeks ago that their cash position was barely $100k.
I said the same about ICON the other week when people were ramping it to death - went from 9p to about 15p - now back to 7.5p even lower than before. Expecting a slight up tick in SP here prior to a massive discounted dilutive placing dropping
Sharebel - perhaps you would get more credibility on these bb's if you're post's had a bit more substance than just the blind ramps with predictions that are just purely hot air?
Like you're 2.30pm RNS predictions and NT to buy and predictions of a buying frenzy in last half an hour to name just a few?
You were doing the same on ICON and BIDS and look how they've done!
So let's assume that the OIP currently at 993M barrels is not revised upwards and stays at that figure ( very unlikely) and let's assume that just 200M barrels become recoverable.
Let's also assume worst case that ALL dilution takes place with ALL bondholders eventually converting (unlikely imo given how a JV could suddenly change things) and we end up with around 1.5Bn shares.
And assuming we reach 2.5k bopd soon reducing the need for any further financing as we become a self sustainable profitable company, well let's look at how the market currently values this.
1.85p with 708M shares = £13.098 Mcap
attaching a value of just 0.013p for each barrel of oil in place or just 0.065p assuming the really low case as an example of 200M barrels recoverable.
Even with 1.5Bn shares those figures are just 0.027p and 0.13p as above.
Bearing in mind PANR who are looking to raise over the next few years 250-300M to develop their assets are targeting between $5-$10 a barrel from their assets.
See the value disconnect here?
Https://youtu.be/ALCLqgJIebA?si=ee5ZRUG3RRZor59S
Here's the link ....
Https://youtu.be/ALCLqgJIebA?si=f-6TVxWyqbJYN3DR
Interview link
The fact this has relisted for now is not necessarily a good thing imo. When this suspended they stated on one line -
"The Company's current cash balance is c. $107,000."
They are running on fumes, be surprised if they can get another placing away in the current environment, unless it's one that results in huge dilution at current SP
This morning.
Hopefully the start of a decent run building in anticipation of either a really good production update, that bloody parcel finally materialising or maybe even something else unexpected out of the blue.
But tbf for all we know, and bearing in mind the tight extensions being given by Mercuria, they may already have them as we won't know until they have likely been sold which is when we'll get an announcement on that
I reckon there is now a sense of urgency to complete the advanced JV negotiations to form a binding agreement for the benefit of copl as other parties are showing serious interest with the huge onshore discovery now.
If the major player doesn't get a move on, there could be a fight on their hands with other offers imo