Member Info for moneyhawk

Licence reinstated with conditions to force work to be carried out quickly. Looks to emphasise the reasons for revocation too. Very interesting that JLP have got the news out first, has JLP been told first to make sure that the work is actually carried out and conditions complied with?

The most likely outcome in my view is that BMR will get the licence back. How long that takes is anyone's guess though, and I really don't think the BMR board have helped matters with silly vague statements about rouge factors. It also looks to me like BMR will only get the licence back because of JLPs involvement, and I still find all the timings leading up to the licence being revoked way too much of a coincidence for there to be nothing in it. And like it or not, BMR surviving this is in our interests, if they go bust then our 30% share is worthless and there'll be 63m JLP shares hitting the market. The proposal to split the chairman/CEO role at BMR by 28th Sep shows that steps are already in motion to make wider changes to the BMR board than just appointing Colin Bird, it'll be interesting to see if all of the current BMR board still have roles after that. But despite all the risks and problems this has caused, it looks like it will be a good deal for us (if the licence is restored). Once the project starts producing revenue we first get repayment on the funding provided and we are also the contractor for the project. So our income starts from day 1, and long before the profit share will start.

That’s my understanding of the dates as well. If we get past the end of April and still no licence then we’re on a 10 day time frame between licence restored and the JV being finalised. It didn’t help that JLPs RNS missed out the key word of “OR”, BMRs RNS was clearer.

I don't expect we're ever find out everything that's gone on, and who knew what. But if the licence has been revoked because of deadlines being missed and the project not starting, then hopefully that's quite straight forward. JLP can evidence success with similar projects and that funding is in place, so if the Zambians want kabwe to start, then giving the licence back is the quickest and easiest route for it to happen.

Thanks BringMyReward. I did see that there's been other approvals (think you mean May 2016 not 2014?), and haven't summarised everything. But you're right, there don't seem to be deadlines attached in the later approval. I've taken that to be that the overall deadline is from the first approval, and the later ones are updates/modifications to the plan. But, that may not be the case the late ones override the first one completely, there's not enough information in the RNSs to form a definitive conclusion on it. Either way, it looks mighty coincidental that the default notice was given almost 3 years to the day that the 3 year time limit was set, and the reason BMR finally disclosed in the interims for the licence revocation was failure to commence mining operations in accordance with the approved plan.

I'm hoping that this means there's a much better chance of getting the licence back. Looking through the history of it on BMRs RNS is not hard to see why the Zambians would have lost faith with BMR. With JLPs proven ability in recent projects to get them operational, it brings in a new level of certainty for the regulators to consider. A short summary of Kabwe from BMR RNSs: 1. 19th August 2014 - Environmental Approval given subject to project being implemented within 3 years 2. 6th October 2014 - "Kabwe Final Stage" RNS - gives the impression its going to be in production soon 3. Fast forward to 2018, and then we're told that on 24th August 2017 a default notice sent (claimed to have been received 26th Sep 2017 - Default notice sent 3 years after permission granted requiring project to be implemented within 3 years. 4. 23rd October 2017 - JV with JLP announced, with JLP to provide funding for the works programme to be implemented subject to due diligence (A month after BMR subsequently claimed to have received the default notice) 5. 6th Feb 2018 - JLP completes due diligence and confirms we will progress with the JV 6. 7th Feb 2018 - BMR claims it received a letter on 6th Feb 2018 terminating the licence, which was dated 19th Dec 2017 7. 29th Mar 2018 - BMR interims claim to have been complying with the licence and approvals and try to divert attention with claims of rouge factors, but make no mention of the 3 year time scale put into motion in 2014. The timings all look to be a bit too coincidental. If you didn't believe what BMR say, it almost looks like in August/September 2017 they realized they needed a paddle to get out of a brown creek, and hey presto, a possible JV with JLP is announced a month later, with the revelations on the licence status only to emerge once the JV is agreed.

An article from August 2014: http://www.miningweekly.com/article/berkeley-receives-enviro-nod-for-kabwe-mine-tailings-project-2014-08-19/rep_id:3650 The article states that the tailings project approval was "subject to Enviro Processing implementing the project within three years" That was August 2014, and when was the undisclosed default notice served on BMR? Looks to me like it was served on the 3 year mark.

Good summary there. Hopefully this is finally the start of something good here. Very lacklustre market response, but the mcap can't get much lower than it already is, and huge potential if the money starts coming in. I wonder if we'll get some more updates soon. End of year results due by end of July, which could be pretty poor, �600k from philite after year end and HTVS hadn't generated any revenue during the year as of the November update. Hopefully some progress will have been made by July to offset any bad news! I remain sceptical about this 9 figure transaction though, can't see why it should be taking so long how it can still be live, surely the person/business wanting to transfer that sum would have lost patience after a couple of days and gone elsewhere. Emexgo's website says same day money transfers.

Interesting find. Don’t know what the status is with the disputes mentioned, but hopefully doesn’t have an impact on our project. Sounds like the issues are/were related to plans for underground mining, and would be relevant to the large scale licence. We’re processing tailings at surface using the small scale licence. But not surprising to see that there may be some more skeletons in the closet at bmr and Kabwe.

Maybe another company got involved who wanted the licence and is the "rogue" BMR refer to, and they organised the licence revocation process to start and arranged for the letters to get delayed for months in the post. But I don't buy it. Even if someone else were to be granted the licence, BMR still own the tailings. It'd have been far easier and less risky for the "rogue" just to buy kabwe and licence off BMR or buy the whole of BMR. Sounds far more likely the Zambians didn't believe BMR would actually process any tailings, and they were running a long way behind the agreed timescales. BMR have raised plenty of funds through placings to build what they planned to be a pretty small unambitious plant, and its not built a year after they were supposed to have commissioned it. Hopefully with JLP on board, who can evidence successfully commissioning similar projects and producing, there's a good chance the licence will be restored.

Looking through BMRs updates on Kabwe in 2016 they talk about the plant being commissioned and producing in early 2017. And the reason for revocation they’ve told us today is failing to comply with the approved plan. We know that the plant isn’t commissioned, it’s now early 2018, and JLP will now be finishing or constructing it to get it commissioned. So despite what BMR claim about rouge factors, it does look that on the face of it the revocation may have been justified. I guess the critical factor will now be whether or not the Zambians believe JLP will get on with it.

sorry forget that, the answer is in BMRs RNS. JLP missed out the word "or". The date is extended until 30th April OR 10 days after the date the licence is restored.

Does this mean the date is extended to 30 April, or its extended after 30th April until 10 days after the licence is restored?

I believe a company can carry on operating as normal whilst trading in shares is suspended, so yes they could sell JLP shares. But worth remembering that directors are supposed to be acting in the best interests of the company. JLP as by far the biggest shareholder will no doubt have something to say if they start selling JLP shares. We know that CB/LC view JLP as undervalued at current price, and the JLP shares are probably BMRs most valuable asset in the absence of a licence for Kabwe. It’d be a tough case to argue why the companies most valuable asset is being sold off for below the value the biggest shareholder thinks its worth.

BMR RNS today for their interim results, and covering the kabwe licence fiasco. Summarised very briefly as 'not our fault, honest'. They have given the reason for the revocation though as "failure by EPL to commence mining operations in accordance with the approved plan". BMR are disputing this saying that they have complied with the requirements, and imply that "rogue factors within the Zambian mining sector" have colluded against them. They conclude with "we are confident that our position will be properly recognised and that the licence will therefore be restored shortly"

Good find, sounds promising. But many of the previous statements and acquisitions from box have sounded promising as well. What's seems to be different in this move is that his allocation of shares in lieu of payment is conditional on earnings being brought in to the company. No shareholder ever wants to see dilution, but in this case box is practically worthless at the moment, so its a win-win situation if he can drive the sales and get money coming in.

Any thoughts on what and when will be the next news? We've got quarterlies due, and the last few have been in the last week of the month following. So brings us to around 23rd to 30th April if the same pattern is followed; News on platcro - the last webcast suggested it might be with the quarterlies; News on DCM platinum - waiting for approval on plant design to go ahead; Kabwe licence - no time frame; Next project - hinted at being copper/cobalt in LCs shard interview. Unless something happens with kabwe, my guess is most of the news above will be included with the quarterlies at the end of April. But hoping for a surprise bit of good news in-between now and then.

Haven’t tried buying, but very strange. A big order being filled or no one selling at this price and mms have no stock? Either way strange the price isn’t moving much. Trading update was a bit of a surprise, most had probably given up on seeing an update.

We had the interims a few weeks ago, they’re running ahead of time compared to last year.

Looks like good news. Not amazing figures mentioned, and this 9 figure sum box are supposed to have been processing for 9 months is all a bit of a mystery. But the business is still running, money is coming in, and a new person has been bought on board in Mark Harris. Its encouraging that the share based payment to him for his services is conditional on money actually being made for BOX. And 13% of a company currently worth �2m in return for bringing in �1m earnings over the next year doesn't seem so bad. Also good news that Philite has paid some of the money owed.