AFRICAN PIONEER: Discussion on Mr Bird, Chairman re: NW ZAMBIA projects.17 Feb 2024 15:24
-----------COLIN BIRD:CHAIRMAN: HIS CO'S --XTR ---GLR ---AND AFRICAN PIONEER, ALL AT NW ZAMBIA--THE WEST FORELANDS CHASING PACK --ADD IN RIO, ANGLO, IVANHOE, FIRST QUANTUM etc [MAJORS]:-----
Mr Bird in an interview: "5 are CHASING THE WEST FORELANDS, 1 HAS TO HIT THE JACKPOT. Is that possible? That is something known - Zambia is copper rich per the Head of State etc & proven by all the majors with Sentinel, Enterprise mines etc. Who are the 5? Mr Bird has 3 CHASERS in AFP, GLR and XTR vs Anglo [JV], Ivanhoe , Rio ---vs KOBOLD [Bezos, Gates etc private co that has ALREADY HAD A BIG COPPER DISCOVERY in NW Zambia, hence the chase?
GLR FORUM:
One poster said: "My issues with the AFP side is: If FQ WALK away they will receive NOTHING upfront. 2ndly if the DECISION TO MINE happens, FQ owns 75% of the mine and finally AFP have tied themselves to FQ and FQ CAN BUY THEM OUT IF & when they chose. AFP will NOT see any money for at least 4 yrs." " Both GLR & XTR can prove up their licences & if there is anything worthwhile they can get a better deal and NOT BE RESTRICTED TO FQ." [Posted Sat, 17.2.24]
AFRICAN PIONEER:
Above are valid points and for that reason, I CHECKED THE ORIGINAL AFRICAN PIONEER [AFP] RNS OF THE OPTION DEAL WITH FIRST QUANTUM [FQ] DATED 20 Jan 2022 entitled: "ZAMBIA PROJECTS OPTION AGREEMENT."
[1] "From the table of timelines/agreement: 2 YEARS TO PREPARE A TECHNICAL REPORT ; 1ST EARN IN & 51%.
[2] "2ND EARN-IN : Complete met, development studies, public announcement DECISION TO MINE, earn in 75%.
[3] "FQ at 75%, parties have to FUND PRO-RATA, or diluted to 10% , then it converts to 1% royalty, 0.2% to minority s/h and 0.8% to co."
[4] First Earn In= JV."
----------[5] " S A L E RESTRICTION: CO NEEDS FIRST QUANTUM APPROVAL TO SELL & must give First Quantum FIRST RIGHT OF REFUSAL & FQ CANNOT SELL WITHOUT CONSENT OF CO."
["If FQ wants to sell their AFP shares to a 3rd party, then minority s/h can require 3rd party to buy their shares on same terms."
FACT:
[1] All the above are verbatim from the ORIGINAL AGREEMENT RNS, 20.1.23 from AFP. Yes, FQ can walk away BUT AFP RNS , FRI 16, FEB 2024 , FQ HAVE DELIVERED A NOTICE to exercise OPTIONS ON 2 OF THE OTHER LICENCES =4 in total.
"THE PARTIES AGREED 1ST EARN IN PERIOD: TECHNICAL REPORT, Indicated at least 300,000 tonnes of copper for FQ to earn 51% of agreement has been EXTENDED TO 28 FEB 2026 [1st earn in period]."
[2] "Colin Bird, AFP RNS, 16 .2.24: 2 7 7 6 7 ---&--- 2 7 7 7 1 already exercised on 23.10.23. Now , 2 7 7 7 0 & 2 7 7 6 8 also EXERCISED by FQ " [All 4 licences taken].
[3] "WORK COMPLETED DURING INTIAL PERIOD OF OPTION: SOIL SAMPLING, GROUND GEOPHYSICS-------.>>AIR CORE DRILLING--->>>>DIAMOND DRILLING in excess of the minimum $500,000 exp. on each of the 4 licences."
QUESTION:
To me, it is 2 YEARS to 28 Feb 2026 for a Technical Report by FQ as above. 2ndly, AFP ------>>>CAN SELL--->>>SEE ABOVE ORIGINAL AGREEMENT OF 20.1.