Member Info for moneyhawk

Or it could be our new broker is just doing their job and has highlighted the growth potential to someone who is willing to put done £105k in one go on an AIM company.

TT 9.07, "I get that Toobs does not like JLP, what I don't get is this - if you are not invested and you don't like a share , why not just move on??"

This may help answer that one:

https://messageboardfools.com/bashers.htm

Agree JofH, the revised location from the presentation does look west of the existing permit for Charlie, and in the leases picked up after the original permit application.

It would be very interesting to see how the current PGM prices affect the viability of Tjate.

Going back to the resource statement from 2009, prices used were US$1,200/oz Pt, US$200/oz Pd, US$1,450/oz Rh, US$400/oz Ir, US$90/oz Ru and US$900/oz Au

Palladium and Rhodium are significantly up from those prices. Surely its got to the point now where those prices counter the fall in Platinum in the average basket price.

http://jubileemetalsgroup.com/investors/rns/tjate-resource-statement/

You seem to be rather missing the point toobs. The last placing directly resulted in increases to both the Mcap and SP.

The placing before that raised approx £1.3m to part fund the Platcro/Windsor acquisition, and which is operational and adding approx £4m a year in earnings. Raising £1.3m to earn £4m a year seems a good deal to me for shareholders.

Not that I really believe your fear and speculation, but what would be the problem with another deal that does the same?

Doesn't really seem to be much concrete evidence of a placing there, just speculation and fear. Perhaps if someone has a fear of investing in a company that is growing and adding value then they should look elsewhere.

The last placing announced 21st March raised £11.07m at a SP of 2.25p to part fund Kabwe/Sable, and has significantly increased near term earnings potential (probably at least £20m+ extra earnings per year in next 1-2 years). The MCap subsequently increased by approx £25m-£30m and the SP has been around the 3p range since then, or approx 30% up before we've even started production. Once production starts at kabwe and those earnings start to come through during the next 6 months then there'll be further increases on the way.

Toobs is suggesting a placing nearly 3 times as big. That would be a huge and very significant project for us. If that means adding more value and earnings on a similar ratio to Kabwe/Sable then whats the problem?

Any placing now won’t be for working capital, it’d be for an acquisition. 1b shares at about 3p is £30m. The purchase of Sable and capex for Kabwe was approx £18m, raised through cash, finance and a placing.

Doing a placing to raise over 50% more than the total cost for Kabwe and sable to get into production would be a massively significant new project, especially considering it’d probably be part financed through cash and debt in the same way as Kabwe.

Cant really see the problem with that myself. If it was true. But probably not.

It will be interesting to see if the state of alaska look to introduce new incentives or other forms of help for explorers to get new discoveries into production. A company like BP selling out of the state completely must be a bit of a wake up call that the oil revenue they rely on isn't as certain as they thought it was. The news reports suggest Prudhoe Bay still has about 1B barrels. So production there will last a while longer, but its only a matter of time now before that field isn't viable.

Plenty of exploration going on, but the state hasn't really helped matters by hampering exploration when they decided to freeze the tax credits payments.

11.07 - Future development might be funded through borrowing, similar to how premier are funding development of other discoveries. Or might be a further farmout or sale of WI in it, perhaps even from both us and premier, as oil search are planning to do with their north slope leases.

The 1b barrels isn't that helpful though, Premier have given that figure for oil in place not recoverable oil. But it seems likely to me that is based only on the middle stella discovery and may not include the other 6 targets for Charlie 1. If all are good, the figure for recoverable oil could be a lot higher than the figure premier have given for oil in place.

Good to see the price has stabilized now, and will hopefully make up some of the lost ground now anyone who was desperate to leave for the time being has had a chance to do so.

Interesting seeing whats happening on a couple of other oilers in the news again today. One has 12B shares and a smaller working interest on a smaller resource than we have with Charlie, and doesn't seem to be suffering as a result. So no reason to panic here, just need some positive results from the drill. Premier have a good track record in that respect, and I'm sure they would have carefully studied the data and location to give the best chance of results.

Yes it looks like BP are completely exiting Alaska. More on it here:
https://www.adn.com/alaska-news/2019/08/27/bp-will-sell-all-its-alaska-assets-to-hilcorp/

Vast majority of tax credits owed will also relate to exploration on the hrz, not the conventional on 40% of the acreage that has been farmed out. We've had little expenditure on the conventional.

Looks like the rumours were true, bp has sold their stake in prudhoe to hilcorp for $5.6B

https://www.bp.com/en/global/corporate/news-and-insights/press-releases/bp-to-sell-alaska-business-to-hilcorp.html

Talking of funding, the tax credits case is listed for 12th September in the supreme court. Any ideas how long it could take for the payments to be made if the State is successful? The hearing is listed for 30 minutes per side so it'll all be over pretty quickly, but would assume there's a possibility the judgement will be sometime after that.

https://public.courts.alaska.gov/web/scheduled/docs/oac-sc.pdf

Two possible updates are coming aside from anything else about the conventional farmout based on the 23rd May update. That was over 3 months ago now, so there could have been some progress with both of these since then.

From that update:
HRZ - "The forward program consists of accessing material from regional wells in order to conduct additional FIB-SEM analysis to confirm improved effective porosity and connectivity. Consequently, the formal farm-out process will be deferred until 2H 2019 to allow for this work to be completed. The Joint Venture continues to field unsolicited third party interest in the HRZ shale play and an informal farmout process is underway."

Yukon - "Discussions have been initiated by the Company with nearby lease owners to optimise the monetisation strategy for existing discovered resources located in the vicinity of the Yukon Leases."

16.19 - let’s hope so. Like most I’d hoped that the farmout would have reduced the need for finding more funding in the short term. Not worked out that way, but we have drilling fully funded on a potentially huge commercial discovery, so it could be a lot worse.

And it doesn’t appear to be an emergency situation where we are at risk of running out of cash imminently, but we will need more funds at least by the time the next lease payments are due next year. A lot can happen between now and then.

And only thing we really know for certain is that DW has known the farmout terms a lot longer than any of us, will also have a much better idea of what the options are, and what cash we need and how soon.

Interesting article on Richard Rose, PMOs finance director. Also gives a bit of background to PMOs recent history and how they're managing their debt.

https://www.financialdirector.co.uk/2018/12/05/premier-oil-cfo-on-deal-making-under-pressure/

Maybe they just want to finish early to enjoy the bank holiday? lol

13.43 Good to consider other view points, thanks for sharing the link. Although he does rather demonstrate a lack of insight and knowledge of this farmout when he says he has no faith in the unconventional because Premier haven't taken an equity position in it, and assumes Premier have little interest in it.

It would have been surprising if they had taken a stake in it since it wasn't something on the table for this farmout. It was always clear from the start that this was only for conventional, and unconventional would be a separate farmout with a smaller group of parties.

Mind you, I'm probably just one of the deluded fools on a bulletin board he refers to, so what do I know :)

Just listened to the proactive interview, and some slightly different figures given, capacity up to 9-10,000 tonnes for zinc instead of 8,000 tonnes in the RNS. Also, the addition of cobalt is now in the plan as well.

The thing is though the numbers and what LC says do not stack up with what CB/GLR are saying.

LC says the capacity is 'fully committed' to the processing of our material, and they are constantly reviewing high grade material to compliment that. LC doesn't say either way about taking star zinc ore, but is somewhat different to CB basically saying GLR have an off-take agreement with JLP.

And then theres the figures given, CB says 12,000 tonnes of zinc per year to kabwe from GLR. It doesn't appear we have the capacity for that even with higher figures given by LC in the interview, and what capacity we do have is already 'fully committed' according to LC. Of course what gets produced will be dependent on the grade of what goes in, and star zinc should be a higher grade for zinc. But we can't just stop processing all our material in favour of star zinc, or we're not producing vanadium which is more valuable.

Could be that LC is massively understating the capacity for what could be produced. That would be a pleasant surprise, but would be the first time he's done that.