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In spite of all these unsubstantiated claims, it’s being overlooked that the BoD has a very large share holding, has been sacrificing its salary in lieu of shares and that Colin Patterson has his “retirement fund” riding on BMV being a success.
It goes to show, it does happen!
I definitely think KAV are doing the right things, especially drilling down to the Proterozoic. It opens up so much more of the KSZ potential. It’s going to be interesting to see what the “f*cked-up” rocks come back with. I’ve not seen samples like that before from any company I’ve been invested.
Not too long to wait now until we know what lies within the KSZ either.
As far away as 2p appears, given the current share price. It would still only be an mcap of £20m. You only have to have a look at what MNRG has going on to believe £20m is a believable target:
- BritNRG has huge expansion plans and aiming for 1000bopd by the end of 2022. Operating costs are lower than $20 per barrel and Brent is now >$85.
- Goldridge is difficult to put a value on, but now appears to be considerably larger that MNRG initially anticipated. Once a decision has been made on how to proceed at Goldridge (potentially in December), investors should hopefully get an idea of the scale of the project. Meanwhile gold prices have crept back above $1800/oz.
- MetalNRG Eco Ltd due to commission it’s first project in Q2 2022. It’s 26% stake in the project will likely be worth over £1m once it is commissioned. It’s also looking for “shovel ready” sites for capex between £5m and £15m, to bring into production.
- Kyrgyzstan govt currently reviewing the Uranium ban. At the current price, the Uranium project will have an EBITA of $11m and MNRG still has the option to increase its stake to 51%.
Whilst I think your 2p by Xmas may be a bit of a stretch, MNRG has so much going for it at the moment that positive news on any one of these projects could put the mcap at £20m.
An uptrend in gold now would be very good timing indeed. Many of forecast the I’ve seen have it $2k+ by the end of next year. I’ve seen a few with it over $3k/oz in 5 years time. If that were the case when this hits 100k oz per annum, surely the dividends alone will be higher than current share.
I notice there’s a few green boxes today. I’m guessing Braindead is spouting the same again…
I don’t know if I’d go as far to say £1 would be a disappointment. However, if EUA was to mine the region themselves, at 100k oz per annum it would have made a gross profit to that sum in 3-4 years, so £1 doesn’t look such a good deal after all.
There’s quite a few rumours about the Kola Peninsula, although the dominant name tends to be NN.
Regarding the KSZ, I think one thing we can all agree on is that if any of the big players names get announced, it’s going to have a positive impact on the share price.
With the share price being so long, I think any of those could quite easily move it back up towards 3.5p. Although, I think the main catalyst will still be a production start date. Hopefully, once management has been to SK we will get more news on that front.
No unfortunately the Eqtec transaction hasn’t yet paid off. The shares were issued at 1.79p. Currently Eqtec is trading at 1.47p, so on the books it is seen as a loss of nearly £100k. Long term though it is a very good transaction for both MNRG and Eqtec.
So the Bank of America has now forecast oil at $120/bbl by June 2022.
At the current production level of 4,000 bbls per month, it would give BritNRG revenue of $5,760,000 per annum. Considering the BritNRG’s costs are below $20/bbl, it would be making over $100/bbl gross profit!
Not even taking into account any BritNRG increased production or indeed another of the other projects MNRG has. Just how things currently stand it’s mind boggling how MNRG’s mcap is still £4m…
Welcome surprise this. I thought they would have waited until Monday to release this.
Yes Capt, the balance sheet is looking very healthy indeed! It’s probably trading at NAV all things considered. Remember the $19m is usd and no gbp. Plus, when the 150m shares are issued it will increase the mcap by £5m.
The positive with trading at NAV is that, bar an unforeseen disaster, there’s only one way the share price will be going.
Trump, you seem to have glazed over the facts in your timescales below.
Q4 2019 production was on the basis that the permits came through in April 2019. The permits, which were out out BMV’s hands, didn’t land until December 2019. The very earliest it could have achieved production was therefore pushed back to August 2020. In August 2020, SAU put its 50% up for sale, meaning no progress could be made to head towards to production until after 29th June 2021.
Don’t forget, in this period BMV secured a very positive finance deal and obtained SUA’s 50% on very good terms.
How can you say investors are left clueless if the mines will ever get into production, when the last RNS literally reads:
“ Construction work to commence at Kochang gold mine
· Korean funding partners remain committed to the Company bringing about gold production”.
It’s easy to talk down a stock when you dismiss all the positives and all the facts.
10 green boxes today… I only filtered one person!
With regards to an update, I will be happy with a simple one liner saying “a Contractor is on-site de-watering the mine and production will commence within the next 6 months”. Obviously anything better will be a bonus.
Without knowing the reason(s) for the dissolution you can’t really base any assumptions on that being a issue.
A number of consultants I work with set-up a new company for each project they are working on and then dissolve it once the works are complete. Similarly, if a company is part of a merger or takeover it may be dissolved in order to accommodate a new company name and Branding.
The problem is there’s no explanation to it. We don’t actually know if it’s a positive or negative move. It could’ve been to enable BritNRG to move forward and that will be his sole focus, there could have been disagreement within the BoD, he may have received a better offer elsewhere or it could have been for family reasons etc.
I understand the requirement for releasing price sensitive information, but with something like this, it’s the context for his departure that is the price sensitive part.
The thing I find most odd is that PR had mentioned about big news being released in Q4. I have a feeling the end of Oct may have even been mentioned in one interview, although don’t quote me on that. Then he goes and resigns from the board. Very strange indeed.
Well, considering he was the pushing forward BritNRG, this resignation certainly requires an explanation and some light shedding on what they plan to do in his absence.
Regarding SAU’s 40% holding, I personally see it as very beneficial for BMV. SAU already stated that it has no intention in getting involved in how BMV runs Gubong / Kochang, as SAU are a team of explorers and it is BMV that are the experts in production.
From a future perspective, SAU would likely have sold its other projects to the highest bidder, once a resource had been proved-up. Now it has such a large holding in BMV, it would be in SAU’s interest to sell these to BMV for a substantially lower sum and for them to be brought into production. This would also enable BMV/SAU to remain as the dominant gold miners/explorers for many years to come… or until a very substantial offer comes in from another party.
I didn’t want to filter Braindead, as I actually find that people de-ramping a stock often stimulates positive counter-arguments by others.
Unfortunately, the stuff that is coming out of him these days is absolute tripe! Plus, he’s already proved he’s not a very good investor from when he admitted selling the week before the deal landed, then had to buy back in at a higher price when the deal was announced. So, it’s not even as though his remarks are coming from a reputable source.
I wonder what the NAV will be valued at in the next accounts?
Considering an independent expert valued SAU’s 50% at $11.05m, which BMV acquired for $9.945m. Theoretically, BMV’s NAV should be $22.1m / $19.89m respectively. Both of these are actually higher than the current £12m mcap.
Why would BMV rush to get a website up and running? It wouldn’t have any new content to upload until production is near enough imminent. Time and time again I’ve seen juniors and explorers waste money on new websites, when really it should be putting all available cash into the ground.
Regarding the Prospectus: BMV has released one previously, so I think they’re fully aware of what is involved and how long it takes. Similarly, why would they ask Hill Dickinson LLP to rush collaborating the Prospectus for the remaining SAU shares to go on the market. What would be the benefit to BMV of increasing the number of issued shares quicker than it needs to?
The current mcap and share price here seems to be defying logic now. Oil prices are continually rising, energy prices are rising and gold prices are holding strong just below $1800 (but still much higher than 2 years ago). However, MNRG is going down in value…
It literally doesn’t make any sense whatsoever. If my funds weren’t tied-up elsewhere and I didn’t have a hefty tax bill to pay in Jan, I would be having a very big top-up here. There’s physically only so long that the share price can continue to drop, given the fundamentals are getting stronger by the day. I’m literally preying for EUA to announce its sale now, solely so I can throw a huge chunk of it here. The mcap isn’t much higher than NAV at the moment so it would be a no brainer because the risk is so low compared to the potential reward.
Apologies for the rant… I may have had a tipple or two, or 10…