Member Info for Mitch984

Some interesting comments on the incentive scheme and how AT would benefit. Here is my take on it.

From the RNS in 08/19 there are two parts to the incentive scheme for the three Team Members. We assume the three are AT, Harris, and one other we haven't identified as yet, none of the three being direct employees of the company.

1. Retention Fee Package

2,833,334 new shares were issued on 10/19 for the 2019 RFP. Assuming they were split evenly, then AT would have received 944,444 shares - worth about £52,000 at today's share price.

The 2020 RFP will be announced in December 2020, and will probably be the same I would guess.

So basically AT could have 1,888,888 shares by the end of 2020 - a decent incentive if he can help move us towards a sale of ZIOC for £1+ per share.

2. Long Term Incentive Scheme

This where AT could make big money. 13,633,335 share options have been allocated to this, at an exercise price of 0.01p (one hundredth of a penny). These options will be allocated dependent on either an EPP, or raising development finance, or a significant merger or acquisition. I quote from the RNS:-

Discrete packages of the Share Options will vest on the achievement of performance targets relating to any of the following: (a) the approval by Jumelles of the Early Production Project (EPP), including its potential technical and financial feasibility, as the basis for advancing the development of the Zanaga Project ; (b) raising finance either for ZIOC or separately for the development phase of the Zanaga Project; or (c) the completion of a significant merger or acquisition involving ZIOC or any member of the Jumelles Group acquiring a material interest (as determined by the ZIOC board) in a third party or a third party acquiring a material interest (as determined by the ZIOC board) in ZIOC or a member of the Jumelles Group.

Again, assuming all option shares are allocated and AT gets a third, he could end up with 4,544,445 shares that he will have to pay next to nothing for (£4,500 or so).

So, overall, if AT moves ZIOC to the sale stage at say £1 per share (not unreasonable), he could end up with more than £6 million in his pocket.

This of course assumes the three Team Members are considered equal as regards share incentive allocations, and of course that AT is one of the three.

Overall though, I think that is an excellent incentive for AT to get us sold in 2021!

GGG and Extrader.

Excellent summaries as usual. It has always been (and still is) a puzzle to me why Zanaga is not a higher priority for China than Simandou. It is after all a lower capital cost project with a much shorter timescale to bring to market than Simandou.

It must be complications within the ROC government that is holding China back. I had hoped interest from the Oz miners might speed things up, but as you say, maybe they have realised the ROC will only go with China.

With Glencore's legal issues elsewhere in Africa as regards kickbacks, they cannot afford to get involved with anything dodgy - and after their results yesterday would probably now be willing to give up any commodity trading rights in favour of a lump sum buyout to pay down their debts.

So perhaps it is a case of China greasing the right palms in the ROC. What is annoying though is, after three years, none of us still do not really know what is holding this project back.

"I realise Andrew is a large shareholder".

I have never seen any factual evidence that AT is a shareholder at all, although he should have benefited from the shares in lieu of salary RNS I guess.

Hopefully someone can correct me, as it would give me far more confidence if I knew how many shares he holds - and therefore what long term profit he might make.

I had thought shareholdings of major employees had to be disclosed, but I could well be wrong.

Does anyone have any knowledge of how many shares AT has, and the same for any other direct employees (if we have any)?

Absolutely Sooty. Everyone's investment here has a time limit. If yours is break even to be able to exit, full respect for that level of discipline.

Personally, I'm here for the long haul - although I do agree there is zero indication from AT's update whether that will be in my lifetime or my kids'!

However its a no-brainer to me to accept that someone at some stage will want to get that iron ore out of the ground.

What makes you think that the Higgs are not the people behind the warrants issued over the past few months at the warrant prices which varied from 0.2p to 1.4p? If so, they have not invested £1 million as some have said, but more around £150-£200k. Still serious money, but they are already sitting on a profit as soon as they decide (or are allowed) to sell.

There have been no other TR1s filed by anyone else - yet there are several RNS' regarding exercise of warrants.

A large AIM investments does not mean those buyers must be "in the know". That would be insider trading and illegal. It could instead mean they are amateur investors like all AIM players are, except they have more money they are willing to gamble with than most. And yes - this is AIM. Everyone is basically gambling.

The positive RNS was just in time for the 28/06 RNS re exercise of warrants:-

"Application will be made to the London Stock Exchange to admit the 10,113,636 new ordinary shares resulting from the Warrant Exercise to trading on AIM. Admission of the new ordinary shares is expected to occur on or around 2 July 2020. "

2nd July is tomorrow. Co-incidence?

It is not only pump and dump, small investors are being played by the people directly involved with the company - who are making big money from their share options.

Take your profits while you can. Longer term CTEA still have to bring in income from the app. Look at CTEA's gross income last year from all their app developments - £16,000 after 3-4 years of coming up with apps related to blockchain!

My main thought when China won the Simandou bid was whether China would want Simandou AND Zioc. I was told by many that they would, but I'm not sure that Zioc is now perhaps behind Simandou in China's priorities?

Fortescue I cannot understand. Unless it was a straw bid for Simandou, why aren't they now pushing like mad for ZIOC?

To me it has to be Glencore. Neither China or Fortescue want ZIOC if Glencore hangs on to even some of the ore distribution, and Glencore in turn don't want to develope but equally doesn't want to lose the distribution.

Until there is a change of mindset at Glencore, progress will be painful and slow, with even more can kicking RSNs. The upcoming annual report will be more of the same I fear.

Amt_G18. The article you linked to is about tracing apps.

CTEA's app is NOT a tracing app and does not claim to be. Its a gateway app that securely holds the results of your Covid test and allows you entry to any building/organisation etc that requires you to have been tested before you are admitted.

It is also NOT the type of app that pubs/restaurants may use after July 4th to keep a record of their customers. Of course CTEA could downscale their app to do that, but then anyone can write an app to keep a database of customers in about an hour. And pubs/restaurants don't even have to use an app to do that - they can even write down contact details on paper!

The ramping, intentional or unintentional, on this board is just sad at times.

"The rampers that have left will be kicking themselves using this app to enter the pub in weeks to come :-)"

I realise this was probably said tongue in cheek, but pubs, cinemas etc will not have to require anyone to show they have had a test before entering. They might have to hand over their name/address, but this type of app will never be required for hospitality. There is too much pressure to get hospitality up and running to make them all use apps to determine who they admit.

Offices and possibly airports, yes there might be a demand dependong on regulations. But then there are many other similar apps around. Don't forget this is not a unique or complex app. Go back and read the post from an actual developer last week.

"They will need track and trace at airports"

This app is not track and trace.

Three weeks before they can market it to offices and pubs. And then they have to actually go out and sell or licence it to organisations.

By then all offices will be open with social distancing in place. Pubs and restaurants will be open with one metre social distancing. Neither, especially pubs and restaurants, will want to add additional entry requirements via an app.

If it was ready to be marketed now, then there would be prospects. I'm not sure there will be by mid July. Which is why the response to the RNS has been luke warm this morning.

"prior approval" for what? Certainly not by the govermnent or the NHS.

I know CTEA would not be alone in marketing it and they have partners. But be realistic and accurate as to who the app is aimed at.

Jesus people. The CTEA app has NOTHING to do with any goverment tracing app, and CTEA have never claimed it had.

Its a stand alone app that, if its works after the testing, CTEA will then market to offices, pubs etc to use as their preferred safe entry mobile app to prove to security they are OK to enter. That is all.

There are dozens of other apps being developed to do exactly that too.

Before going over the top about today's RNS, read the sentence about yet another fund raising at a "substantial discount" to the share price that will dilute existing shareholders even more . And line the pockets of the founders etc. CTEA have no money to market the app even if it works.

So, ride the rise and the hysteria, make your profit, and then get out.

Are we sure ZIOC and AT have not just handed over management of the Twitter account to an outside agency?

Many companies do this, and the flood of recent tweets do not follow AT's pattern over the past years.

Alternately, the increased tweeting look to me like touting for institutional investment, an investment partner, or a buyer. Although why anyone would think leads for any of those would come through Twitter I'm not sure.

As regards the port, I remember AT telling investors 2/3 years ago (unofficially) that if China/Congo did not build the port, ZIOC would build their own. Possibly over optimism at that time, but the floating port concept fits into that quite old comment.

"I agree that GLEN pose some issues with potential sale, but we shouldn’t forget that GLEN’s team of highly trained negotiators have a better chance of securing a better sale price than little ZIOC."

I would agree with this, if there had been any indication GLEN were involved on a daily basis with AT or COIDIC. I just don't think they are. There has never ben any mention of Zanaga as a potential asset in any GLEN RNS or shareholder report. All I have heard from other shareholders who have spoken to AT is that GLEN have been "supportive" behind the scenes.

In my view the issue is GLEN have no interest whatsoever in putting any funds into the development of the mine, yet still want to broker/distribute the iron ore. I feel both the Chinese and Fortescue would be willing to fund the development of the mine, but obviously wouldn't want GLEN involved in brokering the ore.

I have no idea what the solution is, but I am fairly sure the presence of GLEN is the reason why the sale or development of Zanaga is not as straightforward as the sale/development of the far more expensive Simandou project turned out to be.

Beadozer. I would hardly call Jay12's 5 informative posts today "swamping the board". Hopefully you said it tongue in cheek.

I for one like to be kept informed of articles I don't come across myself.

I share everyone's frustration at how slowly Zioc is coming to market, and agree 100% with Jay's comment that its time for GLEN to put up or sell their share. In my view, without the presence of GLEN, either the Chinese or Fortescue would have bought the whole lot by now. Neither though wants to work with GLEN.

Purely my opinion.

Sham made some very valid points about the history of CTEA, as did I. Just remember that CTEA is a trading share - if you can make a quick profit buying and selling while the optimism is high, then do so.

But do not treat it as a long term hold. There are 50+ other much larger companies developing apps like this, and many will be testing it on a larger base than on a small clinic in Newcastle.

No more than one app or two will dominate this market. For an app like this to be useful, it has to have nationwide common usage. All Sham and I were saying is that CTEA have absolutely no track record in developing anything that has been utilised by large organisations.

That doesn't mean you can't make a profit on buying/selling CTEA while the optimism is there. Just make sure you get out at the right time and bank your profit!

Most of the rise today is from small AIM investors noticing we are in the top ten gainers. This brings in the Twitter pump guys, and brings in more small buys. Unfortunately I think both Sertitza and A1 still have shares to dispose of, so we might see a fall tomorrow.

However I do agree we are still well undervalued, even if today's rise is sustained. We do need some news though to push the share price higher - the Twitter pumpers and AIM short term dealers can only take it so far.

Thankfully all of us long term holders have what it takes - patience! And we certainly have shown a lot of it the past few years!

I posted this on 5th May when the price was 6.4p, and I am pretty sure Sham was also warning about CTEA at the same time. We were both shouted down though as crude derampers.

My 5th May post:-

"I am surprised that nobody has commented about Catenae's previous history of tenuous links to current/hot technical developments that laymen (and AIM investors) don't fully understand.

Three years ago, when the company was called Milestone, they did exactly the same with Blockchain. Just by mentioning they were working on something that was blockchain connected, the share price went up multiple times. That allowed those connected to the company to sell many of their virtually worthless shares before the price sank back to previous levels.

The same will most likely happen again here. They were never involved with the official government app, and never claimed that they were. If you made money this past week, then well done. If you bought in a few days ago, then bail and cut your losses.

All, of course, just my opinion. However do your own research, and check out the old Milestone posts if you can find them."

It's often the only way they will learn Sham - by incurring a loss. Although I do feel a little sorry for them for being taken in by the persistent paid cheerleaders.

AIM is dominated by rampers and derampers. They have little or no effect on the main market, but they only need to get an AIM stock as one of the biggest risers of the day, then they can sucker in niaive newbies.