Sapan Gai, CCO at Sovereign Metals, discusses their superior graphite test results. Watch the video here.
AA pay $30m for the 10% to move from 60% stake to 70%
NVS has up to 7 years of free exploration
And 30% of what they find
And some cash
That's a very very good deal ... as long as they find the stuff
"New geophysical data complements geochemical interpretations that Muswema target is high value, high priority target along with Cheyeza and Lumbeta. Existing high priority large target areas now further refined ..."
NVS does not comment on plans to follow up this new information with further exploration. Why? I would interpret that deliberate omission you NVS as a signal and evidence that the talks with majors about commercial deals remain very serious ones. Nothing guaranteed, but still on track.
All very positive. Another step towards the commercial transaction, most likely with the major Anglo American. Zambian courts done and dusted.
Actions in the uk courts are ceased as long as both or more parties comply with other agreements made - so in this case payments and land agreements etc
The "Tomlin" is legally binding on all parties.
That is my reading of it - good news!
Just to clarify earlier posts, because it has significance, NVS said:
"I'm heading out over the weekend and I'll be meeting a number of government ministers, ... and officials"
This suggests pre-arranged meetings, and at ministerial level, and directly with ministers.
My reading of the conference call is that Arcm are continuing virtually as if the exclusivity agreement with AA were still on the table and that the commercial transaction will be with AA. NVS says he believes that without the MM shenanigans the "same" commercial deal would have been signed and delivered. Vas is saying the bits and pieces of the geo physics air survey he has seen are "looking good", so should be at least confirmatory or better. Share price was already in range 6p to 8p prior to legal issues surfacing, so only surprise was that market did not comprehend much better the conference call on Friday, that was 100% positive in every component area as NVS read out his prepared statement. The commercial deal must be now at least 90% likely to complete (something can always still go wrong at the last minute until it is signed) and the commercial transaction must be more certain to complete now given the passage of time and "advanced discussions" than it was previously given the advanced discussions are more a misnomer as there is every signal that discussions are virtually complete. IMHO GLTA
https://m.youtube.com/watch?v=XSeHT2G3gec
F79 It's just find a fault, any fault to scaremonger, from their many aliases. No attempt at rational thinking.
We are getting heir scaremongering kitchen sink! Charting below 3p, heading to 1.6p, placing dilution, unresolved legal issues for years, management financially self interested, management lies on drilling, key leases given away. None of it balanced, none of it real. Must have a grudge against ARCM or Nick, Remy or Vas to try to daily systemically slur them and the company with such sustained effort and no substance at all.
Anyway knocking on 4p, majors interest, and Friday to look forward to.
Context
76m share options were surrendered ... and 54m were surrendered at a strike price of 3p or less
With negotiations taking place, share options were surrendered on the stated undertaking "NOT TO ISSUE FURTHER SHARES TO MANAGEMENT ... thereby avoiding diluting shareholders."
And the Placing was not for planned drilling, it was for extra deep drilling.
"the Company intends that the net proceeds of the Placing will be used for working capital; to fund EXTRA deep drilling at the Company's projects of Cheyeza and Muswema"
And raised at 6.5p!
From Vox
"Arc Minerals (ARCM): Dispute Settlements
We have recently been able to point to strong upwards moves in Arc Minerals, helped along by news announced late on Friday evening regarding the settlement of their ongoing disputes with ex-director Mumena Mushinge.
The details of the case and settlement are less important than the implications that the removal of Mushinge’s many legal cases against Arc may now have for shareholders; effectively that of paving the way for their being able to sign (potentially) a Joint Venture deal with one of the several parties showing interest in their vast copper exploration licences.
Arc’s ever energetic Executive Chairman Nick von Schirnding more than hinted at exactly than in his accompanying comments:
“I am very pleased to have executed the Settlement Agreement which allows us to move on from what has been a lengthy period of uncertainty. The settlement… allows us to focus on operations and also accelerate our discussions with interested major mining companies”
Whispers in the City are that there are some big players who have been waiting for favourable settlement of the various cases brought against Arc (by the disgruntled former director). The would-be Joint Venture partners would logically prefer not to have any legal liabilities coming with the deal should they choose to acquire part of or whole of Arc’s Zambian copper projects. Watch closely to see how this story unfolds, especially as we are now into the run up to an Investor Update Conference Call on Friday 25 at 10am. Investors usually like the run up to a tight potential newsflow window, something which could cause the stock to squeeze higher still."
2m buy at 3.95
Fair response by market but penny not fully dropped that this allows ARCM to now execute on strategy once courts issue consent judgement- ARCM do have a management team with quality - which is why they can engage with AA and Rothschild and now have "advanced" discussions with majors that can now "accelerate" - would expect some interviews and/or a conference call for shareholders within the next couple of weeks or perhaps after consent judgement GLTA
ARCM strategic thinking was always to prove up the assett or assets to a certain level and sell the lot. If there are varying offers I suspect that might still be the preferred route, maybe with some longer term incentives for arcm as part of the deal. That strategy also seemed to inform the bags they put certain licenses in. They may of course have had a change of heart or reappraisal after learning from the AA due diligence if in retrospect they believe they engaged with AA precipitously and now be looking more at JV routes. But other majors maintain interest and are circling, so I would still think its credible that they would remain favouring the disposal option if they can get it over the line.
I think this is a fantastic deal for ARCM with the key assets now in Handa, Zaco and Afrimin. MM has had to settle for virtually nothing of importance hence a small slice of cash/share options as a sweetener for MM really just to save his face a bit. Pragmatic. Clear road ahead now going forward. Lets see what the "advanced" discussions with the majors bring that can now be "accelerated". Hope the market "gets" the positive magnitude of this on Monday.
Drawing a line under it to now be able to accelerate discussions with majors whilst holding on to all the core and key licences looks a positive and pragmatic solution.
"I am very pleased to have executed the Settlement Agreement which allows us to move on from what has been a lengthy period of uncertainty. The settlement is in the best interests of the Company and its shareholders and allows us to focus on operations and also accelerate our discussions with interested major mining companies."
A post from the other board
"Upon renewal the licenses may be reduced by ~50% as per Zambian mining regs. It seems that another subsidiary company is used to claim the area that is omitted from the renewal process of the existing license.
Here's the history:
Kalaba Extension, became;
Zamsort + Zaco, which is now;
Zamsort + Afrimin + Handa + Zaco
So all 4 subsidiaries now make up the original Kalaba Extension license area.
It's possible that the AA deal announcement is waiting for a successful license renewal, since Zamsort renewal was due in September this year. Applications to renew can start 6 months before expiry so ARCM have done this as soon as possible which is good news.
The red dot is coming"
"Notwithstanding the ongoing exclusivity discussions with Anglo American, which have been very productive, we are simultaneously pursuing an aggressive and ambitious agenda ourselves"
"The Placing Shares are being offered to a limited number of specifically invited persons only "
Exercising of warrants is saying to AA we have all the backers we need who back with hard cash. An increasing insti share register who will back us. We have plan to get to production in early 22 without dilution for significant free cash flow. So dont take the pi**. Match our valuation or walk away. As we will build this company or sell to the Chinese. That's my take. Crunch time.