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Should have also said the Afrimin application is now validated and pending MLC decision.

Something has chaned with the Zamsort license area.... its now active rather than pending but the area is different.... could be a mistake or....

Hopefully we will gain wider exposure during the current mining Indaba. Nice timing that there is a new broker note out.

https://www.mining-journal.com/pgms/news/1407177/pgm-miners-now-‘vastly-superior-investment-opportunity’-hambro

“ Im not being negative! Stating the fact! Im still in! i have not sold we need eome new information so we can get the ball rolling”

You know we can see all your previous posts right?

We don’t know if this planned exploration is being done at the request of AA before a firm offer is agreed but, if it is, then it seems unlikely to me that we will be entering a joint venture and much more likely that it will be an asset purchase. In that case its the value of the assets which is all that matters, not the market cap. After all would Rothschilds get involved with a minnow like us unless there was a very significant deal to be done? I don’t think so.

All speculation of course, but there’s not much else to do at the moment!

Just for reference here is the RNS from Arc’s previous airborne survey. Hopefully we will see another one in the near future!

23 October 2018

Arc Minerals Ltd

('Arc' or the 'Company')

Arc initiates Airborne Geophysical Programme

Arc Minerals is pleased to report that it is this week to commence a comprehensive high resolution airborne geophysical survey over its Zamsort Copper-Cobalt Project ("Zamsort"). The airborne survey will cover c. 1,000 km² which hosts a number of targets in addition to the Kalaba copper cobalt prospect where the Company is currently conducting an 11,000-metre drilling programme.

The Ultra-Low-Level Magnetic and Radiometric airborne geophysical survey will be completed by Xcalibur Airborne Geophysics (Pty) Ltd ("Xcalibur"). The survey will be conducted over the entire Zamsort license area and comprises 5,218 line-kilometres. Flying will commence this week and is expected to take around 2 weeks to complete following which the data will be processed, and further targets identified.

Nick von Schirnding, Executive Chairman of Arc Minerals commented:

"Zamsort has a large license area and this comprehensive high resolution airborne programme will be used to rapidly highlight further geological structures associated with known zones and potentially new zones of mineralisation and to prioritise areas for further drilling and possible joint ventures with other mining companies. The results of the airborne reconnaissance programme, which will be completed for less than $100,000, will be correlated against Arc's existing soil geochemical data sets, the finaln parts of which are currently being analysed."

I also did a bit of digging into Golden Square / Chun Can Capital. Although it appeared that Golden Square had sold the majority stake in Casa on to Chun Can, I discovered that Golden Square also bought the majority of ordinary shares in Chun Can late last year... so in reality they still own Casa. Something definitely smells fishy with that deal.

I find it interesting that this Afrimin license application (dated 15/03/20201, the day before the surrender of options was announced) is very clearly designed to exclude all of the major exploration targets. It could, as has been said already, just be some chancer hoping to pick up a bungled application, but if that was the case surely they would apply for the whole license area not just the low priority areas?

What if ‘another company’ is planning to apply for a Large Scale Mining license for the high priority targets, leaving the rest to be explored by Afrimin.... could Afrimin be Arc in disguise? Probably not but just musing on possibilities!

The Inyoni page of the Jubilee website states that an estimated 3M tonnes of tailings contains an estimated 224,000 oz of PGM’s, which at 1223 $/oz would be an estimated $274,000,000 in attributable earnings.

My take on the surrender of options is that it was done because they knew they would have to do the cash raise for further exploration, either at AA’s request or in order to get a better deal. Doing that as a pre-emptive measure they hoped to take some of the heat out of the situation when it was announced. Also they still stand to receive nearly £3,500,000 in cash or shares for surrendering the options, just delayed to a later date.

From what I understand of the Casa Mining deal, we sold to Golden Square Equity Partners (a private investment company), who then sold a majority stake to Chun Can Capital (publicly listed in the US OTC) and kept a minority stake themselves.

“Golden Square will assume all existing liabilities pertaining to Casa, which were £1.95-million, or about $2.3-million, as at the end of September last year. An amount of $5-million will be paid to Arc on Thursday, in the form of a loan note that will mature on March 19, 2021. In the event that the share capital of Casa is acquired by a publicly traded company, Golden Square may discharge the $5-million liability by delivering shares of the public company with a market value of $5-million to Arc.”

I’m not sure if this means that we could be paid in part in Chun Can shares or not. I presume that Golden Square is still liable for the full $5 million but who knows?!

https://www.proactiveinvestors.com/companies/news/944956/jubilee-metals-group-says-four-fold-jump-in-profit--driven-by-dramatic-increase-in-operations--944956.html

I think we could read NvS’s comments in two ways:
1. He genuinely intends to push ahead with exploration in order to prove up the assets and thus massively increase their value, or
2. He is putting pressure on AA to put something on the table / improve their current offer, all the while with the clock ticking.

Either way it looks like a win to the patient investor as far as I’m concerned. It shows the benefit of spending time to investigate a company and understand what the potential, which the herd who have just bolted clearly didn’t do.

I don’t think a 20% fall has anything to do with tidying portfolios... it’s panic pure and simple.

From the last corporate presentation:

“Signed exclusivity with Anglo American
•2,500 soil samples assayed using ALS ME-MS61L Super Trace Lowest Detection Limits 4-acid digest.
•Initial results confirm Muswema as a high priority target
•Further Fwiji, Cheyeza and Lumbeta confirmed as additional targets of major interest”

So it seems Muswema is number one target at the moment.

I took a degree in Geophysics (many years ago!) and ended up working in marine surveying but haven’t got any experience in airborne techniques. Frankly I’d rather stay closer to sea level!

https://www.bbc.co.uk/news/technology-56512430

Definitely a good plan to have more a more even spread of global supply.

I was looking at examples of airborne surveys over mine sites to get a feel for the timescale involved and found that Anglo are due to start one next month over the NE coast of England (Whitby). It’s due to last about 2 weeks:

https://uk.angloamerican.com/our-community/airborne-geophysical-survey

It seems like we are already in the planning stage of this survey so assuming we can mobilise a crew relatively soon, we could be done before the end of April, maybe sooner. Of course weather may have a part to play in that but hopefully the rains will be easing off pretty soon. I can see a couple of airborne survey companies with bases in Pretoria so mobilisation could be relatively rapid.

I’m not sure how accurate that is to be honest but in the past its been pretty reliable. Either way, tomorrow or Friday, I’m not going anywhere!

According to the company details in my ii account, the half yearly results are due Friday 26th March.