Member Info for observer842

I too think it's likely the JV's need to become 100% owned for the project to look truly attractive. That goes for both Sonora and Yangibana. I wonder if we are playing the waiting game, perhaps playing them off each other even? We can wait it out. Probably! ;-)

@news
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The Founder said from recall that the agreement or contract drawn up allowed REM to sell their share of the JV w/o by your leave.
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If the terms haven't changed then from recall that is essentially the case - we can sell our 30% JV to whomever we please. However, BCN have a right to match the offer. It gets more complicated (and it gets more likely to be incorrect) than this though, for if BCN want to sell their 70% share they can "drag" us along at whatever price, unless we match the offer and take their 70%. But wait there's more... It was never resolved to my satisfaction whether we could also "drag" them along with the sale of our 30% share - I found precedent for a junior partner doing this, but some were adamant this was unlikely to be possible in this agreement. But a loophole is a loophole... ;-)

All from memory so may not be accurate, and the agreements may have changed on re-domicile! We really should find out the current legal situation...

@news
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6)Lenigas told investors years ago, that the BCN JV was structured in such a way legally, it could be SOLD without BCN*s approval. Need to confirm or re-check so dont quote me. That is what I recall.
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This is a bit of a contentious topic - I've been over it several times over the years. However, whatever was the case when BCN was domiciled in Canada, isn't necessarily the case now they are based in London.

@news
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Did you see the dots from Cameron McCall ? Pic 1 - Suckling in a restaurant : "TALKING DEALS"- looks like in London and tweeted by him. Pic 2- Cameron tweets he is at Cadence in London right now with map. Date: 28 & 31 Oct 2018. 5 months later, the Glen deal. Cameron LIKED the 3 tweets : Story 1- pic 1, Story 2-pic 2 and Story 3-Pic 3 last one or two nights ago. He liked all three of the story of the pics leading to the deal. Nice.
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That's some great detective work. It certainly is not what you know, but who you know. But I know you know that ;-)

@news
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How big is the JV area - then we can get an idea of multiples or the same as the Stage 1 project.
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The JV map can be found on page 19 of this report (and elsewhere!)

"APP Securities Company Research - HAS" (26 March, 2019)
https://hastingstechmetals.com/
https://hastingstechmetals.com/download/46/research-reports/4914/app-securities-company-research-has.pdf

From that report you should be able to get an estimate of how much of the current resource and reserves are attributable to us. My estimates are ~7% and ~6% respectively.

@news
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4)Alan Green said "more news flow" and right enough, last night the Hastings ANN, 27 Mar 2019. I checked the NAIF and they do not usually lend to biz of that size. The Queensland Treasury is in charge. The infrastructure funding eg $50m for an airport. So, not sure how they managed it. So, NAIF is doing due diligence. This may be the 1 PROJECT on the go.
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I certainly found last night's HAS news interesting. I was fairly surprised that the Australians didn't seem phased though! Perhaps they need a day or two to take on the news...

@news
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MY OVERVIEW - Observation:
1) Notes - From what you posted on BCN, lets say the notes are $4.78m = £3.67m
This has to be paid by early Dec 2019. It could be re-financed again, one cant rule that out.
However, lets say it is paid via the norm. Or they could even get a strategic investors like the Sheikh etc?
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Come early next week we should have paid back a third of the total. A strategic investor on board might be interesting. Though I suspect we'll either realise some decent profit from one of our assets, or alternatively if we are able to get a good move on developing one of our up to 100% Australian assets then we might do a placing on the back of share price appreciation as the value of our direct assets begin to be better reflected in our market cap - assuming all goes well!

@news
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Sonora is now waiting for funding.
Advancing.

EMH is behind - Europe is going to be next.
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It wouldn't surprise me to hear that unlike what BCN is posturing, EMH has no intention in taking it to production - their game plan edging towards a sale to a major or an EV company - meaning we could realise our potential there sooner than our JV's in BCN which might be destined for the long game...

@news
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The Founder said he did not agree with the name change.
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I don't remember him ever saying this. He seemed quite happy with the change of name to KDNC from what I remember. Got a link?

@news
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All the caps I got of the Aussie firms are from tonight*s Hotcopper ASX site before their open.
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Thanks. They might have the wrong number of shares, but more likely they are using the bid not the mid, to calculate the cap.

@news
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I have listed REM>KDNC*s 10 projects but not Clancy as I seem to not see it on the KDNC website.
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We may have sold out, or my records could be wrong, but for your information in addition to what you have listed I have us down as owning:

CLY: 140m shares
NMX: 160k shares
LGC: 749,817 shares

Additionally we own some of Leogang, 10% I think, but I presume that project is parked for now.

@news
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JOINT VENTURE
1)Bacanora Lithium [BCN,London] 2.77% & 30% JV [not Ventana, Mexico 100% BCN-Stage 1]
Status: Awaiting Financing
19.75p, Mkt £26.56m.
NPV US$1.25b
...
ASSOCIATE CO:
European Metals [London EMH] - Cinovec, Czech Republic Lithium {Largest in Europe]
19.2%. Kiran Mozario sits on the board, hence with 19.2%, classed as Associate co per a/cs.
16p. Mkt Cap £23.46m
NPV US$540m [approx]
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Might be worth clarifying that the Sonora NPV stated above is pre-tax and based on $11,000/t LCE whereas the EMH NPV is post-tax and based on $10,000/t LCE.

@news
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2)Hastings Technology Metals [HAS, Australia]
Joint Venture [Stage 2] -YANGIBANA Rare Earths, Australia
A19.5c, Mkt Cap A$136.1m
NPV A$447m, Annual av free cash flow A$137m.
News: NAIF [Australia Infrastructure Fund-Potential Funding-Due Diligence] 27.3.19
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I've got number of shares in issue as 778,075,683 which @A$19.5c give a market cap of A$151.7m

I've had a quick look through and it all looks about right to me from memory! Good work.

@news
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Investments:
1)Macarthur Minerals 10.1% [Canada] - Iron Ore project in W.A {Deal with Glencore 21.3.19}
C11c, Mkt Cap: C$32.7m.
NPV: $2.65b {12.2.18} . Capex: US$335m
Status: BFS & Financing etc
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I believe we have 30m shares. There has been dilution since we purchased. I'd stick with what we are reporting in our RNS's "Cadence holds approximately 10% of the issued equity interest in Macarthur" rather than your 10.1%. Or use 30m shares if you are valuing based on shares.

I'll see if I can spot anything else worth me commenting on.

We should find out if our licence renewal was granted soon. Take a look at:

https://www.govmin.gl/en/current-licences-and-activities/status-for-licence-applications

Perhaps as early as next week. Fingers crossed! ;-)

Although I should say my knowledge isn't great on Clancy or the Australian or Argentinian assets (yet!).

@news. Sure. I'll help where I can.

I agree about the liquidity event to realise full value. I suspect KDNC still do hold, but wouldn't be surprised if they didn't as the true value to KDNC from Sonora is in the JV's, not the shares they held/hold as most here know which way lithium demand is heading over the next few years. The way I see it is that if the 17.5ktpa LCE plant can get off the ground, it will be quick step to 35ktpa and beyond bringing the JV's fully into play much sooner than the 19 years in the current plan - which only partly pulls them into play. This looked like it might have happened when NextView were on the scene.

Take a look at some of the links I posted earlier on the KDNC board re Lithium demand outstripping supply in the next few years - Simon Moore videos.

Indeed @garyn. Though I think they'll see a decent sale in the coming months from one or more of their long standing investments, and it will be about time too, perhaps when BCN completes its funding scheduled to complete in H1 this year! I could name others, but not here, over on the KDNC board if you are interested.

Worth a flick through:

"APP Securities Company Research - HAS" (26 March, 2019)
https://hastingstechmetals.com/
https://hastingstechmetals.com/download/46/research-reports/4914/app-securities-company-research-has.pdf

Interesting to note that they are placing an NPV in 2019 of A$570m = £305m on the project

Going by the current mining plan I'd say we have around 3.5-5% of that valuation attributable to us.

Call it an educated finger in the air £10-15m. I'm not saying we'd realise that value from a sale though - but we might!

Ob.