Member Info for Phoebus

This has been on my peripheral radar for a while so I'm quite familiar with their oil licenses. The price action of the last 24 hours and director presentation has made me take another look. I can definitely see the potential from an oil perspective, but the more I read the more uncertain I am about their financial situation, which is making me reluctant to invest.

I will look again in more detail later, but a cursory look highlights at least a few issues. Jan placing funded general costs until end June 2021, with only £50K raised for that since then, so that likely won't last long. Habit of placings in lieu of fees. Drill funding of considerably more than TRP's entire market cap is still not in place and depends on a farm out, which though perhaps close may or may not happen. TRP is already in debt and more concerning is that the Pegasus loan facility seems to indicate that Pegasus is already entitled to a 25% share of TRP's production royalties on the Thali licence, and potentially already as much as 50%.

https://investegate.co.uk/tower-resources-plc--trp-/rns/extension-of-loan-facility/202103040700050881R/

I've only had time to scan through this, so I may be incorrect on these points, but there do seem to be quite a few financing red flags here. If anyone else has looked at it more thoroughly and can shed any light I'd be grateful. Cheers.

I had a good look at this tonight and wondered what people's thoughts are on their lithium assets. The admissions document details 7 lithium projects all exploration stage of which only Burro Creek East has a Mineral Resource Estimate. Total LCE net to BHL is around 185 KT at 0.43% LCE (0.0818% Li). Based on my research this looks to be pretty much the smallest and by far the lowest grade of lithium resource listed on the LSE and is only in the inferred category. There is also no feasibility study as yet. Despite this, at the current market cap the resource looks more expensive on a $ per kg LCE basis than several much larger, higher grade and more advanced projects. On the plus side, it's US based, near-ish Tesla and some drilling is underway. How does everyone else see it?

Thanks SI. It makes sense given the large BOD holding and high COS of the project.

Feels to me as if the placing shares are still being offloaded and they account for over 80% of total shares in issues, so I guess there is a considerable overhang.

I bought ADV, EME and CHAR in the last couple of weeks around their placement prices. They all have medium to high COS drilling pending and look cheap relative to their risked drilling upside. It's quite surprising therefore to see them languishing like this particularly given the number of drillers that have soared of late. Perhaps current softness in the wider market and oil is having an effect, which is unfortunate timing. That said, I see no justification for further downside from current levels on a company specific basis for any of these stocks. GLA

I bought ADV, EME and CHAR in the last couple of weeks around their placement prices. They all have medium to high COS drilling pending and look cheap relative to their risked drilling upside. It's quite surprising therefore to see them languishing like this particularly given the number of drillers that have soared of late. Perhaps current softness in the wider market and oil is having an effect, which is unfortunate timing. That said, I see no justification for further downside from current levels on a company specific basis for any of these stocks. GLA

I would expect a strong move higher in a share prior to a demerger as investors buy in to get the rights for shares in the demerged entity. The more shares they buy before the cutoff date, the more shares they should get of the demerged entity. I would not be surprised to see an over swing to the upside followed by a partial pullback. The current move to the 22-26p range looks to be due to the lithium farm in deal. I would expect a separate move for the gold demerger as details become clearer.

AG, I see you're interested in WSBN, ORR, CORA, OMI and ECR, which is uncanny. All on my shortlist of gold stocks too.

It's just a hunch. Given the large number of decent intercepts it certainly seems plausible that a bigger company might at least be interested in a JV although I was thinking big relative to CORA not necessarily mega cap. I think OMI only had around 0.5 MOZ JORC when Newmont and Agnico farmed in, but perhaps the overall OZ target at Anza is greater than Sanankoro, so it might be more suited to a mid tier partner like CEY.

A JV would certainly bring cash to accelerate things, but as you suggest CORA doesn't need it, which is another reason why this seems so attractive. Personally, I hope it stays 100% CORA as that would likely maximize SP upside from here unless there was an outstanding deal. Still any news of interest could well push the SP and help CORA strengthen its own position.

Moreover, with result like these it's not beyond the realms of possibility that a big fish suddenly comes knocking at our door and then it really would be game on.

'Let me come in, let me come in.' 'Not by the gold in the box, Shawn.'

Hardly pumping. We had a superb intercept and it was market up 50% plus before I could even get a quote. The intercept is hardly a fluke either as there have been a large number of other very good intercepts on the project, which is what attracted me to CORA in the first place. The 19m @ 31.6g/t merely hints that this gold field might be about to go from excellent to epic.

While it might be tempting to sell and buy back lower, the excellent results, small market cap, lack of liquidity and wide spread mean you could easily be locked out if the price suddenly turns or there is another huge gap on news. Plenty is pending. I'm not prepared to risk my core holding for the sake of a couple of pence and will look to add on dips rather than risk playing for a lower entry.

Complete fabrication Harel. Nothing to do with me whatsoever. The only hedge I've ever seen has green leaves on it. If you look at the posts the user ID is spelt differently from mine. Admin appear to have deleted all of that users posts, but that is the very least they should do IMO. Thanks for asking.

Thanks for the notes Karl. Does anyone have a video link for today's presentation that doesn't require registration?

:D

Expru, ignore the TSX listing. The daily volume is absolutely minuscule. Only 11.5K shares traded today. Not even £2.5K. It's completely meaningless.

This was 9p last Wednesday!

https://www.londonstockexchange.com/news-article/MATD/open-offer-of-ordinary-shares/15059319

Not nice if you bought in the last 3 months.

https://www.londonstockexchange.com/news-article/MATD/open-offer-of-ordinary-shares/15059319

Not nice if you bought in the last 3 months.

RNS clearly telegraphs that news is on the way.

RNS clearly telegraphs that news is on the way.