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I think its pretty obvious they are working towards an accelerated and larger production capacity, probably with a view to signing up material offtakes.

I feel like something real big could be landing soon. Combine P1 and P2 and bring forward the SPG plant with DFC backing. I think this is already bigger than the phase 1 plan. DFC have had changes since the TAG grant with a change in remit and a change in management. Tariffs and other macro events are increasing the need to non china supply. This latest drill campaign is showing Orom cross has scale. I cant see them doing this in half measures. Go big and have a secure quality supply. My guess is that they have P1 funding options in their back pocket and are now going to the DFC to talk through as they have first refusal. I cant see DFC not exercising their right to first refusal.

DFC are getting active.

Worth a reminder BRES already have a formal letter of interest from DFC to provide project financing per 29.01.24 RNS off the back of the TAG. 2 years down the line with a mega DFS delivered, it seems natural that the DFC relationship is ready to move to the next level.

https://www.dfc.gov/media/press-releases/dfc-board-approves-new-investments-bolstering-regional-stability-economic

Its possible they could purchase a stake but there is no need to give up a % for free. Free carry applies to new licences from Oct 2022. Government are already supportive and this project will bring long term benefits to Uganda without the free carry. If the government want to grow as a mining diristiction they need to play by their own rules.

BRES got the mining licence in 2019 before the government free carry came into place.

Orom cross is set up to compete with China with downstream value add. Take china out the equation, things just get even better for BRES. Graphite price has to cllim and high grade graphite supply will be highly sought after.

What has SOLG got to do with it?!

Sold for 27% of the Cascabel project NPV. To an existing 10% + shareholder. For £842m. A company once valued sub £10m.

Project requires $1.5bn capex. JCC have the ability to take this forward.

BRES is sitting at 5% of an NPV which will grow significantly as its only a small part of the asset. Requires $150m capex and has interest from multiple parties that can make this happen.

So to your point about valuation, 27% of NPV is $270m, which is about 33p a share which is close to the broker target. But thats the baseline, they are continuing to grow this project and add value. NPV can go up. Valuation achieved on the NPV can go up.

This will be one of the top 3, if not top most significant graphite projects as the shift from China gains momentum.

Don't let your shares go cheaply.

Great argument….. company once valued at £10m sells for £800 odd million. Tell Mike to sell quick in case that happens here!!

And before you start talking about share price and dilution, thats what makes what BRES have achieved stand out. Modest money spent, modest dilution and entering a major inflection point at a share price level that very few have paid more to invest at.

Serious Duster…. They are not looking for 15p or 18p.

This is shaping up to be one of the top 3 most significant graphite projects in the world. They wont be giving it away.

They dont need this JORC update or even the drill campaign but they are doing it anyway. Its worth 33p plus without it. Go figure. Tier 1 project expectations here.

Nobody thinks they can deliver this project retaining 100% equity into production.

If you dont think equity at project level from a strategic partner based on the project valuation and project fundamentals is better than doing it via BRES equity through equity markets….. u have zero clue!

There is no more placement in the market. They have £5m plus in cash and their burn rate is greatly reduced from last year now the DFS is delivered and drill campaign complete.

The equity will be at project level. It will be an investor buys x% for x £m. And they will have to pay a premium for this based on the valuation of the project and competition from investors looking to get involved. It wont be valued on BRES mcap.

Share prices can be very illogical in their behaviour. Whatever the reasons for the suppression, the company keeps adding value and share price will catch up at some point

18p is nowhere near IMO. £100m give or take. Theres no way its going for that. The latest broker note is 33p, and thats based on 2% of the asset before bringing any new areas in with lots of risk factors discounting it.

IMO still lots going on behind the scenes which will add further value.

This is a multi billion dollar asset. They can get this funded on max 40% equity IMO.

Hold for phase 1 funding, get into development and then production. I’m not here for18p.

Shows what a great job they are doing. A really strong read in terms of what they have achieved, the significant next steps with financing and the strength in balance sheet. They have positioned themselves very strongly for 2026 and getting finance agreed and starting the development.

£5.8m added to cash since 30th September. More to come from DFC and warrants. Plenty of cash to see them through financing.

Blencowe’s profile is currently growing month by month. The graphite market is not particularly strong at the moment. But most of the market is china. The ex china market is almost non existent. They are being priced by a general graphite market that really isn’t the market they are operating in. Ex China graphite is a completely new market, that is hard to price because it doesn't really exist.

Today’s RNS emphasises not only the quality of Blencowe’s graphite, but its ability to place itself on the forefront of western markets, and quickly.

They will continue to grow in this space and become more engaged with bigger, higher profile customers.

Funding is a matter of when and with who, and not if. Whatever the value gap is now with the share price, risk is dropping and value is growing

This will come good end of 2026/2027. Chance to build a position.

Perhaps with some of the recent comments about license, DFC funding, and PFS coming before Christmas was over promising and under delivering in the short timeframes. Good things going on, just needs time.

Premium medium flake can go for $12000 per tonne. Even at a conservative $2000 per tonne thats $1m a year revenue.

Its important to note the different products from a graphite mine…. Small flake, medium flake jumbo flake and then various upgraded forms of these. Blencowe are getting offtakes right across the product range which is impressive. Already reaching a diverse customer range with the ability for supply to grow with the customers.

This is the real deal. The wont sit still it will keep getting better. Still nowhere near fair value.

I've said before i dont think $100m would be enough to buy this project today.

Looks like some churn is cleared. Do expect some institutions to come on. They will not buy day 1 of a DFS, will be a bit of a lag as they digest. Still a very good entry level with plenty of upside in a reasonably short time frame in mining.