Member Info for Moneymaker2015

I’d probably join you there as it would give us an mcap of £30m/£40m, which unless something changes, I’d be surprised if it can top.

As you say it’s just a case of patience here. Realistically, it’s unlikely the share price is going to budge a lot until the farm-out is sorted. The news on Graff-1’s discovery and anything positive from Venus-1 would definitely make PEL0094 a lot more attractive.

The main thing here is that the mcap is still only £6m. Yes, there’s still risk. However, should we get news on a farm-out and then news of a discovery later down the line, the potential reward is going to be significantly higher than £6m!

To be fair, it’s not even been a month since the last operational update. Many companies go months at a time without an update. Plus, the only thing that’s likely to have an substantial impact on shareholders is the results from the lab, which could be weeks or even a few months away yet. There’s no need to inform investors of things like the drill hitting target depth or it completing without issues as it’s no price sensitive information. Investors only require informing if something hasn’t gone to plan. That would be price sensitive as the company wouldn’t have achieved what it planned to do / told investors it would do.

It’s just patience that is needed here. We all know the KSZ has huge potential. Think of the Guinness advert: Good things come to those who wait!

So we’ve gone 13% up, off the back of 2 sells? Interesting…

To be fair to JMK, he has always responded to my emails within an hour of them being sent. Granted, sometimes the response has just been “an announcement will be released in due course”, but he has responded nonetheless. If he hasn’t responded to your email, it could be that it has gone to his junk mail folder or the like…

It’s up 34.24% now, I didn’t realise people wanted to look at a new website so much!

Erland, your views mirror my own. The reduced news flow over the last 2 years has hammered sentiment here and I’m sure many have sold stock in search of quicker profit elsewhere. I just look at what has been achieved: permits for both mines, non-dilutive funding arranged, agreed an all share deal with SAU to purchase its 50% for much less than 50% of the mcap at the time, sorted the prospectus, signed a gold sale agreement and now released a new website.

The things the company has achieved could be huge for investors in the long term. There’s also been little negative news over the last couple of years (if any). Plus, as you say with salaries being taken in shares there’s been little dilution compared to many that do raises for “general working capital”.

The signing of the gold sale agreement in November is a huge milestone that seems to have been overlooked. It was only a small caption in the Prospectus but has a huge impact on the company. It couldn’t go into production until this was sorted as it is the mechanism to release funds. The fact that it has only just been signed also shows that even 18 months after funding was agreed, Auric are still interested in providing the funding to get the mines up and running.

Even more so that the independent expert used a gold price of USD1,440/oz, which was then discounted by a further 15%, to determine the NPV of the mines. Then, BMV got a 10% discount on the whole price as part of the terms of the JV.

As the mcap is below NAV, there’s a lot of upside potential here. Ultimately, it’s going to be news of a production plan that eventually gets the share price moving.

Well spotted.

It’s nice to see the 3D modelling of Kohchang, shows there’s still a lot of exploration potential.

As I’ve said all along, whilst BMV may not be the fastest mover, the BoD do eventually get things done. A couple of people said BMV would agree terms with SAU, terms were agreed. The same people said a Prospectus wouldn’t get approved, it got approved. Same people again kept saying the BoD were not able to get a new website up and running, the new website is up and running… There has been a lot of positive progress over the last 3 years, albeit just fairly slow progress. The main thing is the company is heading in the right direction.

To be fair to Putin, he has been saying all along that it is a military training exercise. Plus, they keep saying the Russian troops are on the border of Ukraine, but the majority that have been cited are on a training area quite a distance from the actual border.

Only time will tell, but to date there’s been no credible evidence that Russia have been planning an invasion. Its just pure speculation.

I read this on Bloomberg yesterday. It’s thought the reason for the huge increase in Nickel prices is down to someone stockpiling large quantities. This works in KAV’s favour should it make a discovery.

I’ve jumped back in here for a “punt”. If finance gets sorted and production heads towards the planned levels, there’s some good upside potential here. Obviously, it’s VAST, so there’s always going to be a big risk!

Worth a “punt” though…

Either way, it shouldn’t be long now until we receive the JORC and NPV. I can’t imagine it taking too long for EUA to review the CPR and if any amendments are required, you’d like to think these will only be minor.

It’s more a matter of patience here than anything else. There’s already been a phenomenal start to the year with the gas discovery and the solar power project for Tharisa. Once either of these heads towards production it is inevitable that CHAR’s mcap will increase.

Chen, it’s the extent of the dilution you tend to see through IPO’s in comparison to an internal raise that is the issue. I’ll use my example of KAT, plus they’re a JV partner of POW so it won’t be too dissimilar as I imagine Haneti will eventually be IPO’d also.

KIBO owned a number of exploration licences, alongside its power projects. To assist in funding exploration it IPO’d KAT. The result was that KIBO the owned just 50% of KAT, so effectively now 50% of the exploration licences. Move on a couple of years, KAT has had to carry out a number of its own raises, which KIBO couldn’t afford to participate without doing a raise of its own. KIBO now holds just 20% of KAT. To add to this, KAT is looking to IPO its most progressed project out of the two it has, whilst retaining an initial 45% interest. The default is that rather than diluting itself, but retaining 100% interest in a project, KIBO will now only own 20% of a 45% interest. Yes, it has avoided overly diluting itself, but it would have retained 100% interest. Now, due to IPO’s it has a near worthless interest in a project.

For reference, I am a holder of POW also, but do not see the IPO’s as the most beneficial means in the long term. POW would be better moth balling a number of projects until it has made a decent sum through a sale on another.

Following my earlier comment, KAV already have funding to drill the KCB. It would likely be more advantageous to carry out the initial drill, then see what options are available. Rather than IPO Kanye as Paul Johnson has indicated a number of times as both KAV and POW would lose a significant interest, unless they participate in the raise.

In a simplistic manner, each time you lose 50% interest through an IPO, you have to double the value of a project just to return to your starting position.

I hope they don’t IPO Kanye, you only have to look at KIBO / KAT to see the risk to investors. It hugely dilutes investors stake in a project from the outset and even more so when the project requires further funding. In the case of Kanye, KAV/POW would be much better drilling the project and then looking for a potential buyer if they can’t afford to fund exploration further later down the line.

Funding was only officially secured in Nov 2021 when it signed the gold sale agreement with Auric, so not long ago at all in relative terms.

It’s the fact that the funding has only just been secured, ownership has just been obtained, the fact that only 7 weeks ago we got an announcement saying “we look forward to commencing work in the new year and progressing towards gold production”, and that South Korea has just been hit by its worst wave of Covid yet, that for me personally I don’t actually have any concerns yet.

As much as people do want news immediately, it was only 7 weeks ago that the Prospectus was issued, which contained a hell of a lot of information. BMV was unable to do anything at all on site until this was passed by the FCA. Now, it needs South Korea to ease Covid restrictions and for Auric to provide the funding before it is able to make any meaningful progress and/or issue an update.

I’ve been wondering when they may mention that option. Even though Simon Mitchell had said it wasn’t their intention, SAU have been absolutely haemorrhaging money and are yet to find anything of particular interest. It has got probably two years maximum at its current burn rate. It may be less than two years, given their announcement says they were unable to get people into South Korea during 2021. When they do start getting people into the country, they’ll be burning even more funds.

Strangely, the announcement also says:

“As the largest shareholder in BMV, we clearly have alignment with the BMV Board to have funding in place and people on the ground in South Korea to develop the Kochang and Gubong mines”

Slightly contradicts them saying it has the ability to reduce its BMV holding as appropriate.

I wouldn’t trust the information Brain comes out with, especially if he’s talking about the FCA again.

Months ago he said that he’d reported BMV to the FCA and that the company was then under an FCA investigation. He then started saying that the FCA investigation was coming to a close and that BMV were going to get delisted.

Ironically enough, BMV never did get delisted and less than 2 months ago it was the FCA itself that approved BMV’s prospectus.

Last year he admitted that he lost money on BMV through selling because the company wasn’t going to reach a deal with SAU. A week later the deal was announced and he even wrote on here that he was struggling to buy back in. Now his attitude has completely changed towards the company and he’s adopted a scaremongering approach. I’m not quite sure why, as it has no advantage to him so seems like a wasted effort to me, but each to their own…

I know the feeling. Only to click on the red dot only and find the biggest anti-climax of “Total Voting Rights”!

Ah well, maybe tomorrow…

Being a holder of VAST as well, I’m 50/50 on this news. VAST needed to get out of this deal and get its current producing mine in order. BOD need this transaction to go through to speed the process up of becoming a producer. If all goes well, in the long term I think it will be better for BOD not being VAST’s partner.