Member Info for prickly

Mr T. The valuation figure of 40mAUD is of course a guess but I have heard this figure bandied about .I'd assume they would want to raise cash at the IPO say offering 25% new shares and we would either be diluted or subscribe. But should then have a quantifiable asset. As minority shareholders we do not have much influence at the moment as you point out.
An IPO or a trade sale would probably not happen until the copper price recovers to $4usd -$5 usd per lb. I got the impression at the AGM that CB was not expecting to be involved and would leave it all to Geoff Gilmore .

Hi Tradedesk.
The value of our share of Mankayan based on an IPO to raise 40M AUD (which is possibly what will happen) would give BZT shareholders around $10M AUD,
As to the economic viability of Hope Gorob the best answer is to look at the RNS of Aug 8th. The most recent update which gives a pretty good idea of the prospect. Bear in mind this is open pit near surface operation. Our chairman is very enthusiastic about Hope Gorob after a recent visit.

Mr T CB explained that many mining companies had applied in the past for exploration licences and then sat on them for decades. They were fed up with inactive companies and hence we have been told to poop or get off the pot.
He also said in the subsequent XTR AGM that his company was quite popular with Mozambique govt as XTR was paying taxes (unlike some South African operators). Very handy to he known as an honest broker and a good reputation to have.

Should read press the button regardless
and finance is now available as soon as projects look viable.
Apologies . Hope the rest is intelligible

After the statutory stuff Colin launched into his review and after a little diversion about Covid and China we got straight into Hope Gorob. This seems the main focus. The prospect of a huge mining operation to be eventually sold on and the small one we operate ourselves excites him.
I asked about financing and he said that a middle eastern investor is very keen to back the venture in return for a share of the profits . CB said with our current SP at £5m there is little prospect of raising equity funds so this is the best option.
I asked if this was a J/V and he said not really as in this case one party puts up the cash and the other does the work.
Apart from digging and trucking, the costs involved are a local plant on site to separate and upgrade the rough ore. . A spiral concentrator to reduce the ore to a manageable proportions so it can be trucked economically to a processing plant. This is being planned 200 km away. I asked why such a distance and apparently it works for other interests with operations in the area. The trucking would be across the desert and have no impact on tourist interests
This processing plant will be used to service several mines in the vicinity . Plans for this are well advanced.
CB claims the gold content alone in Gorob is significant and will make the mine economic to the point where the copper will be virtually free. He gave figures to back this up, based on current gold price.
The cost of the spiral and jigging plant will be $1.5musd and can be constructed in S Africa and paid for by Mid Eastern investor and will not take long. Like wise the processing plant will be financed without BZT shareholders being diluted.
The timelines are still expected to be adhered to and mining will commence next year. We are under pressure from Namibian authorities to get a move on and we are expected to be told in September to show progress towards a mining operation
Manganese.. Local operators have been digging up the license area for brick material. These excavations have recently exposed more manganese and it is 55% which is apparently high grade. This bodes well and chimes in with Guyani findings nearby.

Mankayan.. CB still expects either a trade sale or an IPO later this year. Although mining stocks are depressed in OZ. He retains great faith in Geoff Gilmore, the entrepreneur behind IDM. When I suggested we may have given away the crown jewels CB retorted we may hear more before Christmas and was adamant that the deal we did was the right one as we had not the expertise in house.
Cyprus
CB claimed Jubilee will definitely exercise their option despite being distracted by bigger projects elsewhere. He later said there were other options apart from Jubilee i. I had thought JBL were key to the project but he said as soon as he was confident that we have an economic mining business he will push the button re
My main takeaway is that finance is now available as soon as projects look

Yes I was there Mr T and will attempt to summarise over the next day or so. Mostly good news I am pleased to say.

The RNS states the Cuenq value was based on a $1800 gold price (actual is around $1800) and $9000 per tonne Copper . Cu currently hovering around $7900 ( $3.60 LB) so some way to go but still inching up from its recent $3.25 floor) .
When we get back to $9000 ($4.10 Lb) I think the finance taps will begin to flow again. The Hope project certainly looks viable otherwise . I will ask at the AGM what price CB considers Cu needs to be to secure finance for our projects . Res paribus as we say.

I agree that this board is blessed with some very well informed posters and Millsy is one of the best. I am grateful to him and Iceberg and the many others who interpret and give their measured views. I hope they will turn up at the AGM as CB and his team are always very prepared to answer any thing thrown at them . I am hoping for a breakdown what our total African income is expected to be over the next few qtrs. Gold prices have been steady and should bolster the SP whilst the future of BR is debated. Is our annual income from Gold now expected to top $5M this year?

I have to admit that I like CB and think he is a hard working and shrewd chairman. However he has not made me any money as I have a large holding in BZT and as far as I can see the future at BZT is hugely determined by copper price.
Here at XTR we are less vulnerable to current copper prices given our African gold resources which will only increase in value as the current market crises continue. Lets not pretend that the future prosperity of XTR is in ours or CBs hands ... we are in the grip of two increasingly desperate dictators one of which is intent on destroying his neighbour and the other has unleashed a massive property slump which has torpedoed the copper price. Xi Peng is also looking to destroy his neighbour . These two thugs have an enormous influence over world events and the world economy. And we are all worse off because of them.

The trickle of illegal immigration will swell into a torrent as thousands try to escape the tyranny of the brutal Communist regime and we will have to take a much larger share of refugees.

I see the seller of a million a day continues his trading regardless of price. I wonder if he or she would like to identify them selves . Maybe I could take some of them off his hands and save the commission .

A steady gold price and signs that Copper has inched off its bottom augur well at XTR. Once we get back to $4.00 lb which CB and Iceberg agree should be Sept Oct then normal service should be resumed . The Sp will reflect a small gold producer and large copper explorer . The cu price predictions are all over the place and the likes of Goldman Sachs are forever trying to explain why their estimates were so wrong . My guess for copper price is somewhere between $4.50 and $5.00 for a year from now. I am an optimist and think the war will end in the winter with both sides claiming victory and Russia clinging on to large chunks of mainly destroyed Ukraine . China will finally open up its economy post Covid (also having declared a victory) and Rishi will be PM. I hope some of these are correct. But I voted Remain and backed Hunt in the tory leadership ballot so my track record is poor.

Pricey was busy all week and had limited time to write up notes and Ricard who distributes to members only retuned from an extended US trip today. Meeting was over an hour so takes time to write up MR T.

Hi everybody. Bag call went ahead yesterday and Pricey will be sending out the notes in a few days as Pricey has holiday commitments but will prioritise us. . AGM notices will announced imminently , the delay was caused by illness of the accountant who has since recovered. I wont pre empt the notes but will happily engage once publicised which should be available a week.

CB has just asked us to reschedule our call til 10.30 on tuesday.
Thanks for sending in the questions... we shall include them all.
As to which of his companies would he invest in... I think he mentioned BZT at the XTR presentation last year. Quite a boozy affair !

While copper continues to plummet ($3.30LB) it is good to remind ourselves as Iceberg pointed out... we are a gold producer and a copper explorer. With China in the grip of a self imposed lockdown and recession beckoning worldwide .I would be surprised if any major would commit to BR in this climate. Bring on the gold... It is holding up reasonably and will keep us afloat whilst others may give up.

Thanks Smiller . Rude and objectionable remarks are your trademark on this BB.
Of course we ask CB what we want to know and probe where and when we can . Your Jeremy Kyle line of enquiries of insults and put downs is not our style. We take the view that we are all in the same boat (CB has 175 million shares) and most BAG subscribers have a few million. We are all very keen to make a success of this business. Please do not mistake courtesy for weakness.

Mr T you are right we had originally scheduled for the end of the month as one of us is away in US. However with so much going on in world markets and in our sector we decided not to wait.
CB as always has made time available .
CB is no shrinking violet and is happy to answer whatever we put to him. Our focus this time will be the two key projects and what impact the current turbulence in commodities will have on them.

Morning all. CB has agreed to take a BAG call later this week so you should be hearing his take on events shortly. I imagine he is as displeased as the rest of us at the downturn turn in SP . He recently purchased a chunk on the open market and the chairman would not do that if he were not confident in the business prospects.

If i may oversimplify things…assuming cost of production at $5000 usd per tonne then a reduction in selling price of copper from $10000 to 7500 would halve our profit and I would expect the SP to reflect this. Which it has.