Member Info for OldRascal

I feel let down by our government rather than by Sirius Minerals. That said, I accept the part that I played too.

The Project pre-qualified for an IPA (government) guarantee in 2016. The company most likely sought to transfer risk to the contractors in order to secure the guarantee. This lead to a $600 million increase to the tunnel cost and who knows how much to the other contracts.

The government wasted £billions on HS2, Hinckley, defence etc.. and was keen to support banks in the banking crisis.

The government is also keen to support our outdated and uncompetitive steel industry. It supports foreign firms that make cars.

The government chose not to support SM but Simon Clarke and Ben Houchen are ever so keen to link their names to any good news stories regarding SM.

I’d like to see a Public Enquiry. The Conservatives don’t like miners.

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When CF spoke to The Times he used the term ‘shareholders who have LOST money’ rather than ‘shareholders who are LOSING money’.

Semantics I guess.

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... we used to see that there was an RNS and eagerly clicked the ‘SXX Live RNS’ Button.

Now I just look at the ‘SXX Share News’ button.

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Of course. But only future losses.

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I’m sure shareholders will get a vote. PIs will be outvoted and the sale will go through IF we get to tat point.

I think 5.5p is a red herring. I see three options...

1) A second bidder forces the price higher.

2) No second bidder and Anglo American offer less.

3) (In my dreams) SM find another way to fund the project with a government guarantee.

I’m holding.

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The people with the money will steal your eyes and come back for the sockets.

That said, we just need another party or two to enter the game.

Maybe a shareholder protest at Woodsmith would get some press attention.

I may well relinquish my membership of the Conservatives.

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I still hold half of the shares that I held before Stage 2 was pulled. I’ll continue to hold until the death.

I hope another buyer declares an interest before 5th February otherwise I don’t think we’ll get 5.5p from Anglo American.

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... since 27th September 2019.

There’s just no pleasing some people.

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Who are they?

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Where did ‘ratepayer’ come from? It should read ‘rather’

It ratepayer depends on what the sp does between now and any potential new issue (if there is one). If the sp rises to, for example, 6p then the offering could be at a price in excess of the current sp. on the other hand, if the share price is broadly similar to the current price (or lower) then the offering would be at a discount to today’s price.

I sold half of my shares and hold the cash in my ISA account ready to buy back IF shares are offered as part of any Stage 2 financing package.

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We know what is best. A government guarantee and treasury-backed bonds issued to raidpse the funds by debt.

What is bad is ALL funding raided by dilution.

We know what is worse. The company enters administration and is sold to one of the potash cartel or somebody else seeing Shareholders losing 100%.

Even worse. The company enters administration and no buyer is found seeing the project abandoned and the sites returned to nature.

More likely, a mix of debt and dilution to fund the next stage followed by more debt in 6 months time.

My point to IBAB was that issuing £500 million in new shares would be 200% dilution rather than 66%. In fact, it would probably need to be 300%+ as new shares would be issued at a discount to the prevailing share price.

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IBAB, I make it near it nearly 200% dilution required.

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Aubery

What I mean is that progress has been made with construction. That has reduced construction risk. However, I recognise that the riskiest part of the build is the shaft sinking and that has NOT been reduced. It is mitigated by history with the shaft sinking at Boulby and by a more modern, safer sinking methodology. But the greatest risk remains.

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Investors will steal your eyeballs and come back for the sockets.

Be prepared for the worst and hope for the best. But be prepared - at least mentally.

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Construction risk has NOT increased.

The company have been led up the garden path by the IPA imo. Either that or the company has misunderstood the IPA’s signals. Unlucky with political issues spooking investors - Brexit-Remoan uncertainty and delay - USA vs. China tension. Lobbying by competitors will also have played a part.

This BB shouldn’t just be a home for yet he happy-clappy brigade. myo’s factual posts highlight the progress that this amazing project has achieved. But we also need the devil’s advocates to temper the enthusiasm.

I listened to the company, I did my research and I believed that the government would provide the loan guarantees. I was wrong on the last point. The new government with a clear majority and with Brexit uncertainty removed now has an opportunity to help this amazing project. The government will not be able to hide behind these issues. If shareholders are wiped out (which I rate as greater than a 50% possibility) then I will consider it a failing by the government first and foremost. I hope that the team can deliver the project DESPITE the government’s lack of tangible support.

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The mine ‘could’ open next year. Having been here since 2013 it should be soooo close.

Fingers firmly crossed but I’m mentally prepared for bad news.

Good luck..

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Anyone tried selling SXX shares recently? Halifax go to ‘negotiated order’ when I try to sell 30,000 or 3,000.

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Libby should read live.

Gotta love autocorrect.

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We have to Libby in hope, especially at this time of year.

In less than two weeks we should have been looking forward to the mine opening ‘next year’. Sadly, I doubt that will happen and I fear there may no hope left for shareholders this time next year. But, I hope that I am wrong.

Good luck.

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