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I'm not so sure with links to Noble. They are two financially independent companies just happen to be drilling in the same rift valley. There was a collaboration agreement to share a rig where HE1 would drill first. That isn't now happening and if there was a chance Noble used the HE1 Predator it now isn't as they have the drilled and will cold store it. It therefore isn't clear what if any collaboration agreement there is with Noble. It's possible that means sharing appraisal kit nothing more but that is just an example of a nuance.
Clearly timelines to drilling are key here otherwise they could share a rig and drill before the wet season. I can't see the benefit of waiting for Noble as for example if they did drill first and found nothing the HE1 SP would get hit as well so any raise in the future made more difficult. First mover advantage is key here inmo more so as we had helium shows and they think they can get a discovery. The risk of drawing a blank is mitigated for HE1 as we own the rig and can lease it out for geothermal projects etc etc to generate revenue. This isn't a first date it is a third so just get on with it. Long lead items or BH Mud kit more likely a reason for mid sept chat.
Exactly Sinequanon I expect Lorna B to under promise and over deliver here. Clearly she has already factored in contingency hence the messaging. Funny a few weeks ago we had no rig at all and there it is sat on the well pad and we own it. Excellent job!
Great to see the new post of the Rig up on Twitter. What a beast. A day closer to Spud and with real progress being made. FUD merchants being ignored my end. This rig capability is a game changer vs the old mineral rig that is better suited for making holes to plant potatoes. Well done HE1
Exactly, if you think the SP will be higher before Spud than it is today especially after last weeks drop then it's an easy decision. Buy low sell high!
Crew and Rig news next up I suspect. I think many overlook how close they were to confirming a discovery last time and are considerably better positioned this time round. Whether that discovery turns out to be commercial is another question but this is why achieving a discovery in the same area as the last drill with all the info gather to date isn't a Hail Mary. All the placing chatter doesn't factor in we own our own rig that can generate revenue or what needs to be done to get a discovery. Achieve the latter and JV's, off takes etc etc are all on the table as funding options. DYOR 100k taken at 7.8 this am.
Nobel have no CPR, no rig to lease out and generate revenue, no helium shows as they haven't drilled in the location before. Perhaps they had no choice but to de-risk now. Let's see what they say but with a raise it suggests they can drill a second well.
Bladey I think that is exactly what has happened some profit takers from 5p hardly a surprise. Re the rig cost to be fair to management they had stated previously they didn't want to disclose the rig cost publicly due to fact that once disclosed it might limit any future lease agreement ie limit what they can charge. Seems reasonable if that is correct. If so they could have explained that better yesterday. Ultimately if it is a net saving vs leasing and shipping that is a win.
Craig news your posts below
26th July - Crew Sorted
9th August - That said, they may drill it earlier, and the next announcement we hear will be of a discovery, they are under no obligation to release any news prior, as all required information is in the public domain
As LB said, she will update the market when it is 'worth of announcement'. I firmly believe that the rig will be drilling next week, and come September, they will announce completion of drilling, not starting.
Conclusion = Nonsense
Nobel are doing a raise but so what? How is that linked to HE1? Noble have paid a lot of money to lease the rig and get it shipped. HE1 bought one and saved money, that doesn't sound like collaboration. This talk of JV makes little sense now 2 rigs are in play. Leasing them the rig in the future using a 'collaboration agreement' seems more likely. Nobel haven't drilled at all in their area so I'm not sure why you would want to do a JV with them based on little to no data? What is the benefit to HE1 when they have their own locations to drill. There is a lot of unsubstantiated chat right now isn't there and that should be challenged not swallowed.
Can we move on now?
1. No headroom as AGM removed the ability to raise cash without a vote (likely protection for those taking part in the raise earlier in the year)
2. Company stated multiple times the drill is fully funded but post that further drilling will need funding. Hardly a surprise.
3. Given the last raise was at 5p who is going to take the risk now nearly double the price without results? Do a raise post results much higher for less dilution and assuming positive no one will care as everyone has made money that is the sensible approach if they are confident they will confirm a discovery
4. All of this could be a moot point if a JV or deal is done post discovery.
5. Facts are we drill next month all is going to plan and the SP should rise as we get closer to spud.
6. In the event of a duster the answer is simple.... you lease the rig out and raise cash that way. Perhaps this is the insurance policy for HE1 and not just reduced drilling and leasing costs for themselves.
7. Move on from the funding circle of noise and listen to the guidance we have from the company.
A little more patience required here. If you have efficacy supported by data you can go and ask for whatever you need and all discussions are much easier and less risky for all concerned. Why give a way too much too early when you can simply progress through the trial and then leverage your efficacy data. There have been signposts for over 18 months now, just a few as a reminder
1. 3996 selected as the second prodrug (Neil Bell stated months earlier this would only happen once MOA was confirmed)
2. MOA again confirmed at the start of this year
3. MTD not found in the first 4 cohorts = a good thing as Pre/Cision is more targeted than expected in Humans
4. Biopsies confirming therapeutically relevant doses in the tumour
5. IC50 Numbers on the Science day deck show in black and white AVA6000 impact
6. 30+ Patients now dosed (over double the originally planned numbers for 4 cohorts
7. 'Several patients remain on trial in different dose cohorts and continue to receive AVA6000 as their disease have not progressed'......
8. STS patients being treated in C5 & C6 to get more data before P1B
9. Efficacy being seen in a P1A trial designed to look at safety and tolerability!
10. Dox = Dox but in higher concentrations in the TME
What happens next? SP much higher than it is today is my view. Short term noise is just that noise.
Lotus re your question 3....In the interview today Lorna stated that this drill will have 7inch casing installed so that it can be appraised at a later date post discovery. Therefore a separate drill hole isn't required to carry out the initial appraisal. That is my understanding from what she has told u. It is obviously possible they do a second drill for an appraisal from another pad as well. Happy to be corrected.
No worries GMCC.
I agree the potential upside is huge here and overlooked by many. It is worth reviewing the 'Pipeline' section on the website for those not familiar with what is in play. 2 JVs with LG Chem and Daewoong. 3 key targets under the Daewoong JV detailed below are particularly interesting. I'm looking forward to hearing more about each of these and the impact Affimers are having. It has been said before AVCT has many shots on goal and it really does they just have to deliver them now.
1. Solid Organ Transplant
2. Graft vs Host Disease
3. Multiple Sclerosis
Metis if this was a major concern why would they bother going back to Tai spending millions?
My view is the Helium source is deeper and below the key seals which is where they need to go to look for the jackpot. This wasn't completed last time but if they didn't have enough information and data to date to think they could confirm a discovery why would they go back? They now have the right kit, read the 'how not to mess up a drill' manual, had time to analyse the data for Tai and know the HE1 is still in the ground somewhere in the locality. Roll on Spud.
GMCC / Rorkesdrift - great find.
I'm not sure if either of you were at the AGM but they had posters to view for each of the key products / technologies in the AVCT stable. The Affimer one had to be pulled at the last minute as there was an update to it that was commercially sensitive and they were in the process of patent protecting it and therefore didn't want to disclose publically. We haven't heard anymore about this just yet but it suggests that at some point we will be revisiting this to learn what the Affimer progress here was. It may be unrelated to the specific application of affimers in your post but FYI if unaware as clearly progress is being made outside the Affyxell JV. I'm sure anyone else who went to the AGM can confirm my point above as it was in one of the communal sessions.
Worth remembering the CEO put £100k of is own money on the line back in Feb and bought more shares. You can buy them cheaper than he did right now! How long will this last?
Extract from Feb RNS below.
London / Vancouver: February 14, 2023 - Mkango Resources Ltd. (AIM/TSX-V: MKA) ("Company" or "Mkango") has been informed that William Dawes, CEO of the Company, has purchased 800,000 common shares without par value ("Shares") in the Company, comprising 400,000 Shares at a price of 12.95p per share and 400,000 Shares at a price of 12.75p per share.
Following the purchase of the Shares, William Dawes is the beneficial owner of or directly or indirectly controls a total of 9,521,443 Shares in the Company, which represents 4.42% per cent. of the issued share capital and total voting rights of the Company. William Dawes holds 975,238 Shares in his own name, with 8,546,205 of the Shares controlled through Leo Mining & Exploration Limited, a company in which William Dawes is a Director and owns 17.3% of the issued and outstanding shares.
Dai great post with the interview with Ian Stalker. I hadn't seen that one circulate the other week but it is worth a listen for anyone who hasn't seen it. Clearly still committed as a shareholder and keeping very busy.
A solid RNS this morning, civils complete, mobilising the rig to the pad and getting things ready to drill in the coming weeks.