Member Info for Piscator1

For info I just had this corporate event notification from II:
Stock BLOCK COMMODITIES NPV
Event Type De-Listing
Description Trading Status - Update

Market affected: AQSE Stock Exchange

Please be informed that Block Commodities Limited have advised that they are currently not in a position to appoint an AQSE adviser at present so are no longer listed on the exchange.

The company are still working on a potential reverse takeover with a view to being readmitted to an exchange which may or may not be the AQSE Stock Exchange. However, at present there is no available timetable for this.

ISA and SIPP customers may receive additional updates regarding the status of this stock due to the ineligibility of holding delisted stock within these products.

Is very good news for the economics of Ka****u: https://www.mining.com/web/zambia-announces-mining-tax-breaks-pares-deficit-in-2022-budget/
And a reminder from the note by Shard Capital back in July:
Galileo’s target.
Galileo believes that potential remains for a large (+50Mt) low grade (2-5% Zn) open pit-able Zn silicate resource, with further potential for a relatively small (0-5Mt) high-very high grade (>25% Zn + Pb) pods and lenses of Kabwe style mineralisation in the area.
º Near-term revenue prospect. Ka****u has a number of attractive aspects including the fact that Galileo believes that there could be potential for a larger deposit than at Star Zinc. Galileo believes that Ka****u mineralisation has the potential to be processed at Jubilee Metals Group Plc’s (AIM: JLP) integrated Sable Zinc refinery situated a mere 6km away. This potentially offers potential to fast track Ka****u into production. Previous work suggests that high grade zinc mineralisation occurs at a shallow depth which could translate to simple, low-cost open pit mining. Ore could then be trucked the short distance directly to the Sable refinery on the back of a commercial agreement with Jubilee. This would be a low capex start-up option for Galileo, with minimal on-site infrastructure needed and the construction of a costly processing plant not required. This development plan could provide meaningful near-term cashflow to subsidise further exploration at Ka****u or be applied to Galileo’s KCB project. The current LME zinc price is US$2945/t. This represents an increase of 45% from $2,035/t 12 months ago (July 2020).
º The Sable refinery. Jubilee has been refurbishing and expanding the Sable refinery since acquiring it from Glencore in a transaction concluded in August 2019. The refinery is now fully operational and is producing copper cathode via the processing of copper concentrates. Ultimately, Jubilee expects the facility to have the capability to produce cobalt, zinc, lead and vanadium in addition to copper. Jubilee states that the Sable refinery will have the capacity to produce up to 8,000tpa zinc.
Jubilee has announced a target to complete the zinc refining circuit to produce a zinc concentrate by Q4 2021. The zinc circuit will target the processing of both third-party zinc ore supplies within the region and the Kabwe tails located adjacent to the Sable Refinery
º Galileo’s exploration and development plan. Galileo is planning an exploration programme for H2-2021, including a new drill programme to test the grade and continuity of Ka****u mineralisation.

Yep, and let’s not forget that Royalties can be capitalised too with this company buying up a lot of them: https://tridentroyalties.com/
Would fit in nicely with a scenario in which CB eventually liquidates most if not all of the assets.

My bad Oiltap. I meant to refer to Ka****u

I’m just thinking that they are now incentivised to sell off the assets one by one until they are just left with the copper. Then sell the company to Sandfire or another copper producer once they have proved up a resource. Hence any decent drilling results should have a very positive impact if that is the strategy. CB setting things up nicely for his retirement imho.

https://www.reuters.com/business/cop/mideast-green-initiative-invest-104-bln-says-saudi-crown-prince-2021-10-25/

The incentive scheme together with the disposal of Glenover and CB exercising his warrants says it all to me. mThere are going to be a number of corporate events which will bring huge rewards to us all and selling off Glenover is just the first step in streamlining the company for sale.

Ferber next anyone, then Star Zinc and finally the copper once drilling has been completed?

Thanks for the feedback CE. Seems that GLR will soon be in a very strong position to scale up the drilling in the KCB and subsequently produce a hopefully mouth watering MRE. What’s not to like about that?

My 183k top up showing as a sell so don’t be put off by that!

What interiew? It was the AGM today so I am not expecting an interview, but given the lack of feedback I am assuming that no-one from this board or Advfn bothered to turn up. Long journey for me so that's my excuse.

Sharetime, first of all placing shares are rarely issued at a discount of more than 15-20 % to the prevailing market price of the stock, and warrants are normally priced at around double the price of the placing stock to encourage long term holding. There are good placings e.g to fund an acquisition or to install plant for production, and bad placings which just help to pay salaries, and the market will respond accordingly with the share price often falling below the placing price for a 'keep the lights on' placing. Trading does not cease and in the event of what is perceived to be a 'good' placing investors will often see this as an opportunity to hoover up cheap stock provided of course that more news of progress is anticipated in the near future.

With warrants holders will often sell, as has been the case here, in order to bank an easy profit where the sp exceeds the exercise price and that explains the downward pressure on the share price, but the last date for exercise of the warrants issued in the 2019 placing is November 1st and I suspect that we will see few if any further exercises prior to that date owing to the complexities and timescales involved in exercising them . For your info when I have exercised warrants in the past with other companies the process has taken a minimum of one week and in one case more than two months.

Colin Bird has clearly exercised his warrants on a 'use it or lose it' basis and intends to hold for the longer term, so I see that recent RNS as a positive and perhaps a message to any holders of outstanding warrants, so in the unlikely event of further exercises prior to the cut off date I would expect the holders to retain the stock for the news which is to come. I hope this helps.

CB is now hugely incentivised to increase the value of GLR and has had cash through the door from Sandfire, warrant exercises, and more to come from Star Zinc. I therefore suspect that with the metallurgial testwork completed at Glenover he will be looking to set up a plant to process the phosphates, given the massive recent price rise in that commodity. Not sure if the same plant could process rare earths but becoming cash generative should attract a lot of new investment here. imo, so I am adding whilst the sp remains in bargain basement territory.

Well there are some exceptions under the model code which might allow this to happen Ella, in particular this bit:
“ Exercise of options
14. The chairman or other designated director may allow the exercise of an option or right under an employees’ share scheme, or the conversion of a convertible security, where the final date for the exercise of such option or right, or conversion of such security, falls during any prohibited period and the director could not reasonably have been expected to exercise it at an earlier time when he was free to deal (see also paragraph 20(h)).
15. Where an exercise or conversion is permitted pursuant to paragraph 14 or 20(h) of this code, the chairman or other designated director may not, however, give clearance for the sale of securities acquired pursuant to such exercise or conversion.
Qualification shares
16. The chairman or designated director may allow a director to acquire qualification shares without regard to the provisions of this code where, under the company’s Articles of Association, the final date for acquiring such shares falls during a prohibited period and the director could not reasonably have been expected to acquire those shares at another time.”

I am assuming that warrants would be regarded as convertible securities or rights under this section.

Whatever way you look at it it is a Director buy, and unlike the other warrant holders there will have to be a RNS should CB sell any stock. It should therefore be taken as a positive. These warrant exercises will have brought a lot of extra cash into the company and the latest makes me wonder if CB is planning another acquisition or preparing to get Glenover up and running.

If Directors had sold any it would have to be RNS’d. These will be contractors or low level staff selling a few to feed their families imho.

Easy enough to fly to Malaga, hire a car and drive to Tarifa for the ferry to Tangiers. Did it myself about twelve years ago. There’s a very nice hotel in Tangiers based on the Ritz but a lot less expensive.

Yes, perfect time to buy imo with a duster now fully priced in. I’ve added two tranches today.

Long term price chart of copper here showing how it has performed during and immediately after recessions: https://www.macrotrends.net/1476/copper-prices-historical-chart-data

The direction of travel seems clear and the majors should be trying to gobble up all the assets they can.

There was clearly a zero missing in the quoted prices!

The news might not move the sp much but it is all part of building a picture of a new gold province, and it is inevitable that majors and mid tier producers will now be starting to take an interest based on what ORR have been discovering in Cameroon imho.

Anyone able to go to this and ask a few questions?
https://mobile.twitter.com/ZaksTradersCafe/status/1444923912614203394