Stephan Bernstein, CEO of GreenRoc, details the PFS results for the new graphite processing plant. Watch the video here.
I just had a quick look and it seems like the company burnt around $20million in cash during the second half of Q3.
With cash of just over $13million at the end of the year I would expect another fundraise around the time that the full-year results are published. The company obviously can't risk allowing it's cash holding to run too low before raising fresh funds
They probably won't take on another project for the time being. The priority will be to concentrate on production from the existing projects and realising the outstanding $8million from the sale of the tantalum project
As I pointed out earlier there won't be an equity raise as the company cannot issue new shares.
I don't know who has been selling recently or why, as it could be for a number of reasons and nothing to do with the prospects of Kazera. The market for the shares is very illiquid so a small amount of selling will have a disproportionate effect on the share price.
On the other hand if positive news is released the price could recover quickly if there is some decent buying pressure.
As an AIM traded UK registered company, Kazera Global plc is subject to the UK City Code on Takeovers and Mergers.
If AMS goes above 30% it has to make a mandatory takeover offer for the company at a price at least equal to the highest price it has paid for shares in the last 12 months i.e. 1.5p.
AMS recently paid £4.2million for a 30% stake in Kazera and I would have thought it would be very unlikely it would pay such a large amount unless it was certain that the company could be adequately funded.
There's lots of options if funds are required, not that I think there is currently any urgency, that don't require an issue of equity e.g.
Further funds received from the sale of the tantalum mine
Funds advanced by an offtake partner
Loan advanced from AMS as a strategic shareholder or a loan arranged by AMS
A placing is very unlikely. The AGM has only just been held and the standard dilution resolutions were not passed so there's no headroom to issue shares. AMS will clearly not allow fresh equity to be issued at such a low share price after it recently bought a strategic stake at 1.5p
Good to hear they are back up to full capacity at Kouroussa and that presentation was a couple of weeks ago.
They must be very close to or already mining the high grade orebody so hopefully we'll get an update shortly
I see VAST has announced a general meeting today to vote on a share CONsolidation and authority to issue a large amount of new shares. Of course they are still saying the delivery of the diamond parcel is imminent: 'Whilst it is appreciated that there has been a considerable period of time since the delivery of the historic parcel was first expected, the Company has good reason to believe that finalisation of the delivery of the parcel can still be finalised in the close future'
Hopefully, as with VAST the finalisation of RRR's DRC payment can still be finalised in the close future.
it's interesting to read people reminiscing about past rrr escapades. doing a quick google search lead me to read this article which is very entertaining https://www.guerillainvesting.co.uk/2017/07/03/red-rock-resources-laughable-ramp-tom-winnifrith-*************/
I've seen lots of AIM companies involved with these type of oil plays in the USA but none of them ever seemed to make any money from it and most ended up bankrupt. Nighthawk Energy, NTOG, Magnolia petroleum, Northcote Energy, North American Petroleum are examples that spring to mind
'The Company anticipates that the 2024 Cobre sales volumes will be over 50,000 tons (17,965 tons in 2023) with revenues expected to exceed US $3.5m (US $1.6m in 2023).'
That's excellent news for Cobre. If they can follow this up with some positive news on the other projects we should see a big recovery in the share price
He brings balance to the discussion and it's good for potential investors to hear both sides of the debate before making an investment decision. He is clearly a knowledgeable person with professional accountancy experience. Given the share price history there must be quite a few people that are grateful for his contributions to the debate to help them avoid painful losses.
It does make sense for the company to release an RNS to generate high liquidity to allow the placees to sell out at a profit so they can reload in the next fundraise
So just to recap: RRR's 50.1% owned licence was sold for $20million to Gecamines, one of the largest mining companies in Africa. RRR is owed $10million for its share of the licence plus the court has awarded RRR damages of $2million plus legal costs against VUP the JV partner. VUP has already been paid $5million and is owed a further $5million but potentially the damages owed will be deducted from this.
The payment is owed by the state owned company Gecamines. Bell has always maintained that Gecamines is ready to release the $15million payment as soon as the arbitration process has been finalised.
Once this payment has been settled Bell has said he will commence a much larger legal claim for damages due on the amount by which RRR has lost out after the licence was resold to Glencore for around $400million