The next focusIR Investor Webinar takes places on 14th May with guest speakers from WS Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund. Please register here.
What an arrogant bitter man you come across as Apache. Apologies if I’m reading it wrong I remember the day when we both had posted the same amount and now look where you are .... 1500 extra posts that haven’t contributed anything apart from bitter twisted vitriol From one that professes to be invested here I am yet to even notice one bit of positivity from even one of these posts. Cue the one liner derogatory reply without foundation
Cmon boys is there really any need for this fighting. It’s not going to make one iota of a difference. As far as I can see Tarry makes valid factual points. From the information we were given by the BOD it is easy to see how we have been shafted. The question is though did they have any other option available that would have brought value to the company in the short term. I believe they never. We had no income,no finance and could no longer be considered a going concern. What they pulled out the hat allows us to survive and the deal at least allows us to prosper on the coat tails of a well proven and financed company. To be honest Drewky for someone that professed to be in business you never seem able to objectively look at the facts and deliver a balanced prognosis. Ever since you started your blog then it became your baby and you would never allow anyone to criticise your beloved baby. In the time I’ve been here not at any point have you done anything other than show undying support even in the face of adversity. All very commendable but hardly an ideal mindset for investing purposes We have what we have now. Looking good for the near future so let’s put aside our differences now and get behind the Company
So tank right at the moment Aminex market capital is 67m. As you say rvuma share 20m plus 40m from sale leaving a shortfall of 7m which is more than covered by our other assets So now we have a company with free carry to production whereupon it’ll be worth many multiples. Everything is derisked. What’s not to like?? Yes I know if we hadn’t had to farm out then we would have had more but the more I look at this the more I think we done the right thing
So where do you value the 40m then tank. That becomes an asset of Aminex We have rights to 25% of Rvuma. We received 40m for what we gave away. We have both not the £20m valuation in respect of sale. How much do you consider 25% of rvuma monetised to be worth then??
Yes tank but the £40m ( £35m carry + £5m cash) is now an asset 100% owned by Aminex. This means that the £35m carry on 25% equates to £140m for FFD that we would never have been able to do at pace without massive dilution.
Your maths are totally wrong tank. It’s better to be thought a fool than open your mouth and remove all doubt. Aminex gave up 2/3rds of their share of Ruvuma which they had 75% off and solo had other 25%. Now Zubs have 50% Aminex 25% whilst solo still have 25%. In effect we gave away that 2/3 for 40m so that put a valuation of Aminex Ruvuma asset at 60m Further value can be allocated to Aminexs others assets ala kiliwani nyuni etc Important thing is we are now derisked with the likelihood of Ruvuma getting developed at a far greater pace and quicker monetisation. All in all great value now for serious investors
Rxdav. I’d be the first to agree with you regarding optimism which some never tempered with reality however now I cannot see any downside. Any share price fall in my book is guaranteed to be recovered as Ruvuma is developed
Although not the best deal we could have had by a long chalk it has all but guaranteed success to long term holders. Moan as much as you want. Drag the share price down further as I don’t give 2 hoots. I’ll buy more and double triple quadruple my investment without the risk of losing it.
I would imagine it would be better to have the carry for the full amount although in theory should make no difference. One slight problem that may arise is say CH1 produces at 40mm and triggers the 12.5% then we may be caught out with a lack of cash for immediate further field development. Just a thought
I would imagine when the farm out is signed sealed and delivered then we will miraculously see progress and a resumption of income allowing us to move forward and develop our other assets or am I just being too cynical;-) Exciting times ahead methinks.
Yeah that’s right tarry but expecting production by early 2020. Any shortfall will be made up by receiving 25% of apt share. Effectively meaning both will be receiving 37.5% until 35m is reached. Possibly within 18 months we will have received £5m plus starting to receive from CH1 and the likelihood of KN1 prodhucing again. Should be in a much better position in that timeframe. Just my opinion
Cmon Pete your a clever man. You well fine know that Aminex’s route to EPS and FFD would have been likely very protracted and with considerable dilution.All these conversations assume CH1 is 100% guaranteed. Dangerous!! What if anything went wrong?? More fund raising? More dilution? More delay? Now we are risk free with carry to production with funds in the future to develop as a company. What’s not to like?? As this sinks in and we move forward it is easy to see how this can result in a major rerate of share price. Just my thoughts