Member Info for Ortus

We might get a deal confirmed within the original 6 month period. That would be nice.

The exclusivity could remain in place after a deal is confirmed too. For example an acquisition or partnership for Zaco or just Fwiji confirmed this month and the EA extension remains in place for a Zamsort deal. That would be very nice.

I found an old Ortac presentation the other day and it put some perspective into how close we could be to something big and how little we need to wait to find out.

Zamsort / Zaco history:

Kalaba prospect first reported by the Rhodesian Congo Border Concession (RCBC) in 1928.

The Roan Selection Trust (RST) investigated and explored the area in 1958-60.

AGIP explored for Uranium in the area in the 1970’s.

The Anglo-Equinox JV ‘re-discovered’ the Kalaba Prospect in the 1990’s and carried further exploration across the Kabompo Dome, including ARCM's current license area.

2002 Anglo leave Zambia including selling their stake in the Konkola mines (ouch).

In May 2006 Zamsort Ltd was issued with Small Scale Mining License (SML) and later on in the year applied for the Large Scale License Area (LPL).

2013 Anglo want back into Zambia but we now have their old licenses.

Equinox subsequently challenged the grant of the LPL but after a fight it was finally granted to Zamsort on the 15th August 2014 after instruction from the Attorney General. Game on for Ortac / ARCM shareholders!

2018 / 2019 Zamsort was split to allow the formation of Zaco to satisfy Zambian mining regulations.

2020. 18 years after leaving the country and after 8 years of unsuccessful exploration elsewhere in Zambia (! ? !) Anglo have returned to Zamsort / Zaco and they want the copper back. What other options could they have?

93 years on from when it all started it feels like we may be entering the start of the end in that a major is very likely getting on board to take steps towards mining the copper if they offer the right price.

If the BoD decide there's more value to give it another year or to offer the assets out to other majors then so be it because that will be in our best interest. Either way the SP will surely be many multiples of what it is today soon enough.

Heads we win tales we flip again, and again, and again etc.

I believe CGT will apply for profit above the value of the shares at the time they were suspended (whilst not held in an ISA).

That's my take which seems logical to me, but I'm not an accountant either.

Hi SmallHolding

It doesn't matter who's right or wrong I'm merely pointing out what some people believe to be true based on questions answered directly by the company. This doesn't reflect my own view on what should happen because it's obvious that some confusion exists, and I agree with the 4 potential outcomes you listed and the way the comms should happen.

For what it's worth I think there should be an RNS at the end of the exclusivity period (whenever that is, not necessarily 14th Jan) maybe for no other reason than to avoid any confusion.

Anyway I think I'm going to retire from the specifics of the EA / extension debate since it's been discussed a lot now. The only reason for my post was to share what I believe the company have confirmed to be true.

SwanseaRich
In answer to your question yes someone has contacted the company and the reply (as I understand / read it) was that we have effectively entered into a period of due diligence that is now allowed to extend beyond the original 6 month EA period.

As such I don't believe the company see's the need to make any announcements at the end of the original 6 month period, since the RNS's of 14th July and 7th December cover this already.

Semantics to a degree, but not if people are planning to buy / add subject to expecting news around 14th January to confirm that AA are moving closer to making an offer. For me that news landed 7th December so I'm personally not expecting that an extension confirmation RNS in January is required.

And do we know that 14th January was the 'deadline' since we can't be sure the EA started on the same day as the RNS of 14th July?

Looks like it nudged us into the blue.
Maybe we should be buying in 250K blocks!

Thanks for getting back to us with that Lovelyboy. Lets see what the next few weeks brings with news. It's good that a bit of excitement is coming back about the prospects of BOU.

GLA

Lovelyboy

How did that hunch pan out?

I expect the prospect of low ball offers would have been quashed before due diligence. Don't you think the deal would have been agreed in principal based on the technicals / data before AA being allowed inside to perform DD on Zaco and Zamsort?

It seems to depend how we interpret the released wording but my opinion is that 1) Graham and others are correct in that the exclusivity period ** has already been agreed to become extended once 6 months have passed ** and that the RNS details cover this already without the need of another release. OR 2) that the plan is to confirm an offer or complete a transaction within the original 6 months which feels possible if the tech review ended early December. In which case talk of an extension will become irrelevant.

Either way I believe what has been announced covers that an extension has been agreed already in the event that DD / offer / transaction etc will exceed the initial 6 month period. I also believe Arc have clarified this to be the case when asked but best to make our own enquiries to confirm direct with Arc.

Let's say as an example they need a maximum of 2 months to complete DD plus a transaction. They're going to agree on that as a separate set of activities with their own timing. They won't wait until the EA expires when they already know it might take up to 1st week in Feb. So there's no logic not to agree an extension when DD starts, if one is needed.

Also I don't think Arc have referred to Jan 14th (please say if incorrect)? Haven't we added 6 months onto July 14th AA RNS ourselves to come up with this date? Could the EA have started earlier than this as I don't think Arc would need to release the RNS on the same day, just within a timely manner?

There's no way to type messages. Do you need to activate something JP?

Thanks Neilin62 your gallant efforts are massively appreciated

Private group is a great idea.
Does anyone have preference for Telegram v Twitter?

Maybe a resolution to vote on adding neilin62 to the board?

;O)

I'm expecting people to be taking or adding to positions from now and further into December if they have time before the next news lands.

I think Doubleup is correct in that the 6 month stated in the 14th July exclusivity agreement RNS that would take us to 14th January was for the technical review, which is now complete several weeks ahead of this date.

Whatever we thought could happen after 14th January relating to a commercial transaction is already underway now according to the 7th December RNS. This was the notification we've been waiting for that AA are going ahead subject to DD.

An early announcement could be take us by surprise here I reckon.

I've not read too much into the Geo job to be honest because I also noticed that Zambezi is where AA have licenses. But the other job for Discovery Manager isn't located at Zambezi.

The new Discovery Manager tasked with dealing with new JV partners (most relevant points for me as pointed out by Fulmar) must surely be linked to someone else's licenses and ARCM is the only candidate I can find with references to such a partnership, and I've looked.

This isn't jumping to conclusions or ramping because explanations have been given from deductive reasoning, backed up by AA having just completed a successful technical review on the copper assets and moved into DD.

Deadline for the Discovery Manager job is 19th December and those being interviewed will be given details about the project that could be market sensitive unless announced beforehand. Maybe an interesting date for the calendar.

Graham miners aren't expected to drive the long way round other peoples licenses to get to their own. Access rights are allowed. Plus holders of exploration licenses don't automatically own the land, they just have the rights to the minerals until eventually a mining operation gets underway.

By conventional means I imagine Graham

Some may have noticed that Zaco and Zamsort each have 3 licenses. Fwiji has it's own exploration license which I find interesting considering the AA interest there. It seems that Fwiji could be sold on its own without needing to mess around with rearranging licenses.

How about $300M / £225M for Fwiji then we drill the life out of the remaining 13 targets?

Yes SH, I think we're going to be surprised by a pre-Christmas announcement. As soon as DD completes and final decision made they can announce it I imagine, even if some time is needed afterwards to conclude on formalities.