Member Info for observer842

You got me glancing through it now. I notice this is wrong on page 15: "8.8 Mt of LCE resources at Sonora, open-pit mining (0.9 Mt attributable to Cadence)" We have 0.9Mt of "MEASURED AND INDICATED MINERAL RESOURCES" attributable to us, but that 8.8Mt includes inferred too where we have 0.56Mt associated with us. So the line should read:

"8.8 Mt of LCE resources at Sonora, open-pit mining (1.5Mt attributable to Cadence)"

https://www.cadenceminerals.com/projects/sonora-lithium-project/

Sounds like you have the special edition? What's different?

Indeed it does - I've been biting my tongue until we get to 20% to truly shout it out! LoL.

Perhaps I do!

https://www.cadenceminerals.com/wp-content/uploads/2021/01/Corporate-Presentation-KDNC-JAN-2021-PUBLIC-1.pdf

Linked from:

https://www.cadenceminerals.com/

Don't you mean page 12? LoL.

99.9% owned ;-)

Hopefully @tomcat. You of course mean book value of "PBA" (the Joint Venture company Pedra Branca Alliance Pte Ltd.) not "dev" :-).

Something like that @Barksy. But I don't think it matters much either way, they seem intent on focusing on their 100% owned areas. Can't blame them really.

That's correct @tomcat - it does tie in nicely with the JRP agreement. Nothing about the JV agreement though. ;-) Perhaps I'm overthinking it...?

I know @tomcat - but as you have noted, there is the JRP agreement (which we have seen) and then there is the JV agreement (which we haven't). Who knows what's in the JV agreement. The concern is that the JV agreement doesn't stipulate the price of the 22% allowing someone to bid high for it. At least it would cement the value of our 27% if so! ;-)

Good question. Some believe it is likely to be the $24m mentioned in the corporate presentation, but we haven't been told and the wording in the RNS's do not enlighten, in fact quite the opposite. For example, if we don't exercise our option do we get to hold on to our 27%? Can someone offer $240m for the 22% available, valuing our 27% at $295m? Presumably we'd have to raise $240m to match if we wanted the additional 22% if so. But how would that play out in practice? Personally I'm hopeful it's simply a matter of $24m for an additional 22%, which we have first right of refusal over, taking our holding to 49%.

Well, if we are being fanciful @mr.james, I've got a £5-10 pound share price target on KDNC at production if we own @49% and everything goes our way with all of our assets, prices, politics etc and I wonder whether I should hold my shares until then. LoL. Once we get to £100m mcap, we'll be setting our sights on £1B, we better be! ;-)

Feels impossible from here, but from £100m? £200m? Sure it'll feel possible. Be possible. Dream big! :-)))

If EBITDA of Amapa was £300m per year. £150m to KDNC on a 10x EV to EBITDA multiplier is £1.5B mcap = £10 per share if no further dilution (because we sold an asset to fund taking us to 49%)

Ob.

LoL - I don't think my last post would have helped at all! The equivalent of talking slower and louder. Apologies...

@Nick. Yes, they would make an announcement: therefore we haven't taken the 20%. As to this on the website which you are questioning: "Ownership: Right to acquire 27% with a first right of refusal to aquire 49%". It simply means we have a *Right" to acquire up to 27%. But a "First right of refusal" to acquire 49%.

My understanding, and it is just that - please correct me if I'm wrong! Is that we can take our 20% ownership of "Amapa" at any time by releasing our $2.5m in escrow. However, we'd be crazy to do this until the first set of preconditions, *our* preconditions are met. Similarly so to take us to 27%: we could raise and contribute $3.5m to the project at anytime and take our 27% (assuming we've already taken 20% of course!), but why would we do that until the preconditions we have insisted on completed? In fact we've already contributed funds towards the $3.5m, some of which (all? None?) is accruing interest at 18%.

The current expectation, as outlined in the corporate presentation, is that we'll take our 27% some time after 7 months after when we take the 20%, though hopefully they are being conservative with these timelines having been bitten by the banks tardiness to date, wrecking pretty much all previous timelines! ;-)

Ob.

What do they know? What have they seen? Who've they been speaking to?

Anyone else getting the impression someone is confident Amapa is going to complete, and soon...?

Are you sure you have the right end of the stick @tomcat? Looks to me this is referring to release of our $2.5m (DIP A) in escrow to pay the creditors, which can happen immediately after completion with the banks - which was/is scheduled for January 2021 according to today's update. I'll believe it when I see it though! LoL. ;-)

That sounds ominous @tomcat. Care to elaborate?

@EV_Bull. Just checking you realise that the 1-6 month block is the "Commissioning timeline relative from the fulfilment of the investment conditions", not from the date of the presentation or months into 2021 as some seemed to misunderstand it to be...

It is true that the bank settlement is imminent - but to see it written down as foretasted to complete in January 2021 is new :-)

However, having said that I too don't believe an RNS is necessary until they complete... Unless of course the share price goes ballistic tomorrow on the back of this forcing a response!