Member Info for moneyhawk

Hi rosewall, my apologies, and yes a more comprehensive update on the project would always be good. I’m guessing it’s what would be best described as a fluid situation right now. With the new developments the path is cleared for us to progress without having to consider what bmr can and can’t afford, and avoid extra delays while their chairman dreams up fantasies about placings at 3p to pay for their share. Notice in today’s RNS the end of Q3 is now mentioned for final designs, rather than end of August.

Rosewall, I don't think there's much for the Zambian Government to be involved with as a result of this at the moment. BMR still exist, they're just a private company now not a public company. The licences and tailings are held by BMRs Zambian registered subsidiary, no change in ownership for that company. And the project is being run through a joint venture company, who are funding it and will be receiving any profits. It looks like we'll be gaining a much larger % of that joint venture company. The previous agreement put up the Zambian registered subsidiary (i.e. the licences and tailings) as security for our funding.

Good news on the conventional increase, and that's from just 25% of the acreage covered by 3D. Could there be more to find?

However, the HRZ potential has also been reduced to 0.8-2B barrels, although that's still based on only 271,000, not the 475,000 acres we now have. Again could be more to come, but it is starting to look like the conventional could become the primary objective now.

RNS looks to confirm several key aspects:

1. Kabwe is going to cost more than £2.3m, otherwise we wouldn't be having to fund extra.
2. BMR have no access to any funds apart from asset sales
3. We'll end up with more than 40% of kabwe. I suspect it'll be a large majority.

Sorry to hear the news for the holders here. I doubt there'll be any more RNS's from BMR now, may be more likely to get some news via JLP due to the 29% JLP hold. Hopefully an update soon wherever it comes from to explain a bit more on what's happening at BMR and kabwe.

Better cancel those plans to buy some bmr shares!

Difficult one Sumo. SLP are a good comparison, the business models are very similar, but with some key differences. SLP have been making profits and are producing more PGMs than us, while we are someway behind and look to be on the verge of becoming profitable after years of loses. But SLP are still focused on PGMs, while we are diversifying into other metals, and our cost price per pgm oz appears to be lower than SLP. Which in my view points to better long term prospects for JLP as pgm production increases and other metals start to be produced.

MVZ, you do know that its now August don't you? My posts were about the SP staying fairly static during the past month, i.e. during July.

We can play this game forever by picking select dates to support an argument that either the SP has performed well, or badly by altering the dates we look at each time.

For example. I could refer back to the SP towards the end of 2014, and say the SP has risen a lot in 4 years. Likewise, you could then move the goalposts again and point to the SP in March 2017, and say anyone who bought in then has lost a lot of money in 18 months.

I'd suggest that anyone who isn't comfortable with the possibility for wide swings in the SP would be best off settling for a minimal % return from a bank account, or at least investing only in large cap companies.

Daily close prices on JSE for the past month have been in the range of 40-44c, with an average of just over 42c. Sorry that the facts do not support your agenda of disinformation.

Wow indeed, the price goes down and also up, and the price fluctuates during the day. And the current jse price, around 42c, where it’s been for about a month now.

Pretty poor show, looks they they knew KPMG wouldn't sign the accounts off which is why they took the unusual step of publishing unaudited accounts 2 days ago to give the impression everything was ready to go.

Platcro timescales for delivering earnings depends on how you look at it. It should start processing in Feb 2019, so in about 6 months. Assuming there's going to be a period of ramping up, it might take another few months to get near to the target capacity. But that's a bit of an unknown, its not a new plant being used, its a refurbished plant so it might not take that long to get up to speed.

The first revenue from it will probably start to come in around April 2019, but the first full year revenue for it will be for the year ending June 2020. So 2 years away from seeing the first full years worth of earnings is about right, but we should be generating earnings from it long before that.

Kabwe and BMR is a huge question mark. Potentially very profitable, but very unclear at the moment how long its going to take and whether BMR are going to be around for much longer. It might be we end up with more than 40% of kabwe, but also looking just as likely at the moment that it could go very wrong. Might see BMR either delisted or come out of suspension this week, and an update expected on the kabwe plan expected by the end of the month, so some of the issues may start to become a bit clearer by the end of august.

It does appear that the slowdown at DCM is just temporary, will have to see at the end of the year once the work is complete, but also still waiting for news on the pgm side.

Looks like a major point is being missed here. The ultimate aim that has been set out is maximising shareholder value by proving up the reserves and selling out, and not actually becoming a large oil producer in the long term. (might not pan out that way, but that's what I understand the goal to be).

If 50p a share is reached, that's £16m for DW. Is £16m not a big enough incentive for someone to do everything possible to maximise shareholder value? How about £32m with £1 a share? Then there's all his options, could be a lot more than 32m shares once those are exercised.

The point is, we've someone steering the ship who's shown himself more than capable of finding undeveloped and potentially very large resources, being able to negotiate good deals, and has a huge incentive to get the best deals to maximise shareholder value as quickly as possible. It might be that some people want that to be done tomorrow, but the best deals to maximise that value might require a bit of time to get there. I'd rather wait another year or two for that chance instead of having 3-4p tomorrow.

It does look like it's heading for bmr leaving aim. If they really had been in advanced discussions with a new nomad you'd have thought it'd have been sorted out by now. Without being able to raise funds through share placements, asset sales will be the most likely source of funds to keep going, so could be an interesting few months ahead.

Lol mcmac, the person who reliably reports the jse price movements of course only reports intraday downwards movements. Jse price currently showing as 42c, and of course you’re right, this doesn’t correspond with the %decreases that the poster keeps stating. The current jse price looks to be slightly higher than the equivalent lse price.

That works out to around $2.3 per barrel with roughly the same size acreage as Icewine, and roughly the same amount of oil from the estimates made prior to adding more acreage. We could potentially have more oil once the new acreage is assessed. Big difference though is that what bp have bought is already in production. But an encouraging sign nevertheless that the majors have the appetite for big deals.

MVZ, what is the point you are trying to make?

The LSE price remaining static plus the current exchange rate will no doubt result in the SP falling further on JSE until the two prices on the two markets equalise. Will we have the benefit of a running commentary on the price correction?

No change on lse. However, BHP is down. Is JLP performing better than BHP? Is it relevant? No - just daily activity on a stock market.

Looks like few want to sell at these levels, and also looks like few want to buy until the next steps are a bit clearer. A decent farm out deal could dramatically change things here. But also possible for more fund raising to pay for more drilling ourselves so that we can get a decent deal. But plenty of options on the table now. Maybe the first farmout won’t be huge, but that could provide the funds to start proving up other leads to get better deals further down the line. Will certainly be interesting to see how it plays out.

well the bod at BMR have given people lots of scope to speculate! I've no idea if BMR will delist or get a new nomad in time, but safe to say time is running out and there's likely to be a few more twists and turns in the story before kabwe gets into production.

JLP don't appear to concerned about it though, given that we're pushing ahead with part of the construction and funding it.