Member Info for scrwal

" The $64000 question is when does a Possible post balance sheet event cease to be post balance sheet event". A post balance sheet event will always be a post balance sheet event irrespective of whether it occurs or not. The nature as to how it is reported will change depending on events but it is important to realise that if it crystallises after the year end it will be accounted for in the following years accounts - the prior year accounts cannot be restated to fully include transactions/completions occurring after said year end unless they were negative and impact going concerns and valuations that require downgrading.

In Predators case the events hopefully will be beneficial and therefore cannot cause significant restatement so all that happens at the year end is that the post balance sheet event is known and any income and costs incurred to that date can be classified with 100% certainty. There will be a note to the accounts explaining the event but it would be somewhat simple.

If the event has a major impact then this can be disclosed in what ever detail the directors want to by way of a description in a strategy note or similar that forms part of the directors report or even a separate part of the year end accounts before the auditors report and the financial statements.

BunsenB - you are wrong and should reread what nomlungu actually posted.

Verkhuba is split into two parts as clearly shown in table 2.3 of the AMC Resource Estimate dated 22 April 2024. These are the Open pit and the Underground.

nomlungu is only referencing the open pit part of 7,006kt. The underground is a further 14,010kt. The total value in the ground exceeds $3bn when the other non copper elements are included

Unfortunately given the complete news blackout we have no idea when any results will be issued. All we know is that drilling started by 17 June presumably at Rulikha - since then we have heard nothing, no posts on X ( in the past we have had updates and core pictures). We don't know if drilling has even finished at Rulikha and started at Talovskoye. How will results be issued? Each site individually or together. If together then 3 months from now takes us to mid November and that assumes Talovskoye has been drilled which is very unlikely.

The change in the communication flow compared to all previous drilling campaigns is surprising and you are left wondering why. Not a good look really.

The only thing we know about current operations at MOU-3 is "The planned operations have been scheduled to be executed over a period of ten days." nothing more. There is no reference made to when any results will be issued. The next bit of news is likely to be a confirmation that the work has been completed and results will be issued when fully analysed.

Major-Tom

I don't think a rising copper price really bridges any gap as presumably the company's valuation would also increase. I was disappointed with what happened last year. Expectations were high that a Verkhuba sale could happen but there was silence until we were told they were now leaning to a JV with more silence then we find out there was no deal because company expectations weren't met and that there was another anomaly below Verkhuba which could increase the value. They then announce a 3.000m drilling plan to connect various lenses which would be started before winter and completed right after winter which hasn't happened.

Not sure if any suitors would necessarily look at Verkhuba currently especially if they were involved last year as there was a disconnect between their expectations and those of the company which presumably would still exist. I actually think that Alex has deliberately delayed Verkhuba because he is hoping that he hits on at least one of Rulikha and Talovskoye which gives him the leeway to acquiesce to the lower price expectations for Verkhuba - it's almost as if he was nervous that selling Verkhuba was scary because that may have been their only viable asset with nothing else.

They should go back and finish Verkhuba - that was the original plan at the end of last year. Wouldn't be surprised that they they return to Rulikha and Talovskoye when they have those drill results.

Snowy may wait till 2026 otherwise the company may be downgraded again by the market because it would give the impression of constantly changing priorities with nothing being finalised eg Verkhuba.

EST is not for sale - the directors and major shareholders would not accept an offer.

Verkhuba should really be sold even if it doesn't reach Alexs' valuation as it should release significant funds which would cover all current and future drilling campaigns including JORCs with no need for any placings.

Given we have two targets being drilled, plus the possibility of Snowy and the known Verkhuba it is impossible to come to any valuation for EST and Alex has always believed there should be a ten fold price increase as a minimum. So anyone saying the company will be sold for a low single digit figure is way off the mark.

Well ii have reduced my subscription by 10% and have repaid it into my ISA .

It's good that they will accept all the offers made by investors and not pro-rate anything . Also means that smaller investors aren't necessarily diluted which makes a change.

A bit surprised by the placing as Alex has always stated in the various interviews recently that the 2025 drilling campaign was fully funded.

Still think they should had completed the drilling on Verkhuba to prove it up and then sold it, even if they didn't get what they thought was full value, as the proceeds would have been enough to drill and progress to a JORC all of Talovskoye, Rulikha and Snowy plus anything else that was discovered in the next 5 years.

KeithOz If the site censures a single word the whole post is reduced to lower case.

bunsen-

lots of could,if,possibly.

in what reality is the further 3000m of verkhuba drilling more expensive than what will be incurred at either talovskoye or rulikha.

you seem fixated on news flow,narrative and momentum but we were there last year in april with the news about verkhuba and a sale or jv and alex completely dropped the ball, tanked the share price and created a reputation for not being able to monetise an asset. the market as far as east star is concerned doesn't want new drill stories it wants results about verkhuba.

momentum and narrative strength will do **** all regarding any value increase for verkhuba and neither does any success at rulikha etc.

if as you say alex is gambling on upside, which he probably isn't, then the real play is snowy under that criteria not vms copper.

any success does not increase leverage in a jv or raise because the company needs the funds and the 3rd parties could still play hard ball by saying you need us now but we don't have to act fast.

The results are promising but I found this to be concerning as per the rns "The drilling contractor has been notified that East Star intends to drill the Rulikha and Talovskoye target areas prior to recommencing work at Verkhuba. Mobilisation of the drill rig is expected to commence in the next two weeks, with drilling to commence shortly after."

So they are now delaying the proving up of Talovskoye for what will be a significant time resulting at face value in no JV or sale being arranged this year.

It wouldn't surprise me that drilling Talovskoye and Rulikha may last until September. This is because you have two targets and unknown drilling sites and parameters. There will be initial holes drilled as a sample and more then drilled to firm up the results. Final assay results will be late Q4 at best.

There will be no funding for 2026 unless there is a share raise.

I would have concentrated on Verkhuba with a view to selling it which would result in significant funs for years to come including drilling the 3 new prospects which would be done in 2026- the third is Snowy.

Being really pedantic you don't have to be snookered. You get the free ball after the foul if you cannot directly hit either side of any red ie you could see only 90% of the ball but can't hit the hidden part so it's a free ball.

So why wasn't there a re-rating last year when AMC released the Verkhuba Mineral Resource estimate as of 31 March 2024 which was reported in accordance with the JORC Code.

It's a very big if. After the damp squib of 2024 the share price will be difficult to move. Verkhuba dragged on and nothing happened causing the market to turn against the company and push the price south as neither a sale or jv materialised. Even proving up Verkhuba is meaningless if the same valuation disconnects occur again with company or third party expectations not coinciding.

Lat year the company realigned itself as being copper focussed because of the porphyry but now it is being marketed as copper and gold. The presentation gives zero additional information on the copper porphyry prospects and instead looks only at Snowy gold and silver.

Talovskoye was a priority target at the start of 2024 and then nothing.

Alex has been bullish over prospects but 2024 was a pr disaster so he needs to somehow monetise Verkhuba this year.

Lonnys X account has been deleted - wonder why?

Whatever it is it's nowhere near the rig and could even be something obscured by the treeline in the background.

I think this is good pro active info from the company indicating that at least one well has restarted. This would indicate that there is optimism that the other six will come online soon. We should get better info on production rates once the wells are fully functioning - they were all shut when they were acquired.

It is probable that the flow rate is minimal and will be increased after each well has been fully appraised following its reinstatement.

Totally wrong. Nothing has been confirmed and even Alex only goes as far as saying "potentially grow the resource and improve the economics".

The results were sufficient to not be negative but as Alex also stated "It is important to note that the three drill holes completed were not targeting the thickest, shallowest or highest‐grade portions of the resource" . So as expected with still 3000+m to drill at lot needs to be done.