Member Info for scrwal

The "campaign" for Verkhuba isn't fully funded, only the drilling. Alex has not confirmed what additional work is expected as he doesn't know. Once the drilling and assays are in - maybe mid Q3 - the situation will be reassessed with a high probability that they will need further work unless they can sell it at that point but there seems to be a major disconnect between company and buyer expectations.

Furthermore there was a small hint that if the lenses etc matched then the copper content increases making it more efficient and effective for a smaller miner to do the open pit ie EST.

The tweet on 12 Dec said they were hoping to make a reasonable dent in the 4000m before the winter break. By now they must know how much has been drilled but haven't given any info so are they a bit behind. Given the poor pr last year you would have expected the company to up their game but they haven't.

It is important as the expectation given is for solid results to be out "early this year" but if they don't restart drilling until mid/late Feb then you are looking at 2/3 months until that is completed and then the assay work needs to be done so the final info won't be ready until late Q2 at the earliest which to me is behind yet another one of their provisional time frames given.

Probably not but they could have confirmed it really.

All the samples of what has been drilled so far have been sent to the lab. We don't know how much of the 4,000 feet has been drilled , nor do we know if they are still drilling or have shut down for the winter.

Yes the company is debt free. Debt is bank loans and other fixed term borrowings which the company doesn't have.

The current liabilities are clearly disclosed in note 13 of the interims.

The nature of the long term provisions are disclosed in the 2023 accounts note 16.

Technically the year end is the end of this month so sales etc early next year aren't applicable. Having said that I think $30m will be the final dividend.

Currently we have no idea of the terms for selling pipeline oil especially on payments to us but it is likely to be detrimental to cash flow initially. Also it's likely that a chunk of cap ex needs spending as maintenance has been kept to a minimum.

The reasons for having the unproductive assets are obvious and are out of the company's control. The board has taken the right action so far and is unlikely to splurge cash on dividends unless a miracle occurs and the receivables in arrears are paid promptly. Any big changes to dividends won't occur until the next interim at the earliest and the pipeline opens with monies being received as per any agreements signed.

Lease details are on their website drop down About us - Company info.

Emirates planes are paid off by lease payments with the junior loans hopefully covered by plane residual values.

With the Thai planes all monies have to be used to pay down the debt currently which is why the plane valuations exceed debt by $100m - these planes don't provide any funds for dividends.

The final dividend will be announced when the finals are released. The company has already issued guidance that they want to have an interim and final dividend which may be modified once the pipeline is opened.

The RNS states this "As our liquidity continues to improve, we are today setting out an

updated approach to shareholder distributions in the current local sales environment, which

includes plans to review the Company's capacity to declare an interim dividend on a semi-annual

basis around our Full Year and Half Year Results."

So any the next divi will be announced when the finals are released.

The RNS also states this "Following the reopening of the export pipeline and normalisation of payments by the KRG, the

Board plans to provide an update on the Company's approach to distributions."

The 8 October RNS explains their approach.

The rns update on shareholder distributions explained what would hopefully happen. The intention is - "includes plans to review the Company's capacity to declare an interim dividend on a semi-annual basis around our Full Year and Half Year Results."

There is an important legal distinction between an interim and final dividend in that a final dividend needs shareholder approval and an interim doesn't. A lot of smaller companies class all their divs as interims even if one relates to the final results as it minimises paper work and can be paid out before an agm.

I don't think we have actually done any drilling yet.

The next results should be for Ayogaz and Snowy.

There haven't been any tweets about any drilling targets or mobilisation of equipment and preparation of a site.

Crofton - spot on. There is a major disconnect in communications at the moment. Even now Alex is trying to rein back expectations re commerciality needing to be proved rather than previous exuberance of how cheap the open pit would be.

3rd parties didn't want it proved up - they were only willing to pay what they thought it was worth with conditions. The board disagreed and also took the view that if they sold the buyer would only spend to prove it up and just sell on so it was decided that EST would do the proving up and then reassess -this was in the Q&A bit.

Alex didn't state any definitive $values and backtracked on any values given as they couldn't be confirmed.

He was also defensive about the communications or lack of indicating there was nothing that needed a rns. To me this is wrong as there were no official updates on Verkhuba even though Alex posted on a Telegram board.

My take on the Verkhuba process is that it was a waste of time as the board had very clear views on what was going to be acceptable and from Alexs' comments there was no chance that any of the offers were close to being acceptable - this should have been identified at an early stage. Furthermore he made zero reference to a JV so it seems that no-one was interested.

Bunsen

Why would there be any deal at 5p?

Do you mean that the share price will increase to 5p as a result of the JV?

They aren't selling the company - just trying to do something with Verkhuba only.

If there was any sort of deal in the pipeline why would they do the flyover tweet on 2nd Sept - all us shareholders know about the JORC etc.

I'm with ii but can't vote yet as the respective forms do not include my purchase on 12th Aug. I have messaged ii and am awaiting a reply.

Anybody with ii should check that the number of votes showing on the respective forms accurately reflects what their holding is.

Yes there will ultimately be another income stream but we are now on the hook , potentially, for even more cash expenditure relating to the 50% interest before any revenue comes in.

RJ - do you mean a total of 4 tests , 2 for each zone at 7/8 days each. If so that takes 28/32 days moving things into Sept at the earliest.

Nope, not me, as the company tweet on 13 Aug clearly stated that the EWT hadn't commenced.