George Frangeskides, Chairman at ALBA, explains why the Pilbara Lithium option ‘was too good to miss’. Watch the video here.
21 accounts show a £1.65m provision for the increased mineral tax as a conservative measure with the court case trying to have the tax rate reconsidered. If it is then it frees up some cash.
I assume the higher tax rate and lower Pt grades at WK may be why there is a stop on production, makes more sense then stopping all production while awaiting sale.
Grades in 2018/19 were 0.85g/t.
2021 0.332g/t.
2022 0.454g/t.
Is time the only obstacle?
News today of AA cutting jobs in Africa along with Sibanye and Implats due to Pt price.
Sibanye is also cutting jobs in the US due to Pd price.
Pd at a 5 year low, Rh was $30k oz, now $4.4k oz, Pt down 16% this year and Citygroup analysts saying demand destruction for PGM's going forwards due to EV's.
A consortium including NN?
Do these people still believe in Father Christmas?
What does EUA have that NN would be interested in when NN have walked away from the area which they have explored and mined the best bits of.
Investments into Urals Alluvial Platinum Ltd have been ongoing since at least 2017 at £1.132m each year.
Registered in Cyprus company ref HE141187, first registered 2003.
Directors: CS, DS, William Anderson (EUA geologist 2001-2005) Alexander Agaev (EUA company secretary) Eleni Droysioti and Eleni Petroy.
It's described by EUA as a holding company that controls other subsidiaries within the group but no detail on what subsidiaries.
Not sure why a holding company needs these payments.
Wonder what a question raised to EUA for more details would yield.
Just to add some more bits from 2022 accounts.
Another comment was "The amounts owed by subsidiaries are unsecured and receivable on demand".
Relating to the hearing in Russia "Mineral extraction tax contains provision of £1.65m reflecting a recent change to mineral tax legislation and it's application to the product of WK. Conservative measure as the group is taking the necessary steps to have the decision reconsidered".
Also under investments into subsidiaries was £1.32m into Urals Alluvial Platinum Ltd "which in turn controls other subsidiaries within the group".
Urals Alluvial Platinum Ltd is a holding company listed in Cyprus.
Whilst I may be felt to take issue with rampers I also took issue with PATT about many of his comments which were not based on fact. Remember all his talk of the Italian villa with saltwater pool as well as what road he lived on in the UK, kids doing well at Uni etc.
Hi Outofreach,
The Sinosteel contract is for MT so to me a loan to KK doesn't explain that. Also AC (from memory) arranged a second deal with Sinosteel to cover the upfront payment EUA needed to kick off the deal so that EUA didn't have to dilute with a raise to make the upfront payment.
I assume the loan to KK is to prove up the flanks at WK. I also suggested KK may have needed to have funds in place to satisfy conditions of their application for the exploration licence for the T part of NKT to show they had funding to explore.
I guess without detail, no surprise there, we are left to guess.
Annual accounts 2022.
"Recoverability of the loans is dependant on the borrowers ability to transform them into cash generating units through discovery of economicably recoverable reserves and their development into profitable production".
Did Mr Wolfe get destroyed and owned by gmf78.
Mr Wolfe suggested gmf78 wouldn't be back and my understanding from that was wouldn't be back claiming sale for billions.
gmf78 came back and said he now has no expectations on a sale price.
Seems Mr Wolf was right.
The missing thread had gmf78 saying he was happy holding but "without any timelines or expectations on when they achieve asset sale(s) and for what figures".
And that from someone who was all about the figures and figures in the multiple billions at that.
So, court hearing after KK were considered to have a tax underpayment of 9.3M roubles and accrued penalties and fines of 1m Roubles which they have appealed against, refused 3 times but now moved to an appeal in the Economic Disputes of the Supreme Court who consider the case worth hearing as it affects a number of other companies in a similar way to KK.
Dispute seems to be over concentrate v refined pure metals. Concentrate produced has all metals bound together which when refined seperate all metals. As WK has a very small % of gold in the concentrate then taxing gold at 1 Krent (6/6.5%) and the other metals at 3.5 Krent is unfair and works against the reasoning of why the 3.5 Krent was applied as a tax and causes a far higher tax burden on companies like KK where gold is a very small part of production against mainly gold producers where gold makes up the vast majority of production and associated metals such as PGM's only a very small part. Seems a logical reason to appeal and be heard.
It's not just the lack of publishing the DFS at MT, they didn't publish the FS at MT in 2017 and didn't want to reveal how much of what is at MT is in the 2 pits. Is that why, despite opening the door to any wouldbe buyer since early 2015, nothing has come of it so far despite a number of companies doing DD?
There's also been a lack of detail on expenditure at MT more recently. No expenditure 2017-19, £9,600 in 2020, £682,469 in 2021 and more 2022 for the DFS. There is mention of infil drilling at MT and NKT 2021 but no drill results given despite it being a listing requirement. Recalculation of MT and flanks resources mentioned in 2021 annual report.
There is potential to increase the WN pit as it was open into the NKT area but that would be step out drilling not infil.
Hope we see MT DFS in full, not just their normal giving of the bits they can spin.