George Frangeskides, Chairman at ALBA, explains why the Pilbara Lithium option ‘was too good to miss’. Watch the video here.
Needalife @ 9.09 - must admit that did make me laugh. Took you 1,800 posts.
Tesla, I think who they place the shares to will be telling and could light a fire under the SP. If Jiangxi are serious buyers here at a price SOLG have an indication of, would they not jump at the opportunity to acquire another few for cheap?
The board will also have a pretty good idea how close they are to a sale. They might feel confident they only need another 3 months of runway, which these shares could cover.
There is also the possibility - though not my preferred choice - of another royalty deal. How likely or feasible this is none of us know.
What we do know is that it is absolutely not in the interests of management to place more shares and dilute their own holdings. They are aligned with PIs, which is a positive.
Tesla, you are being more than a little over zealous here. The company has 157m shares held in a subsidiary that it can place with a strategic investor if there is appetite. This, dependent on the price we raise at, is IMO the likeliest and most sensible source of funds. The company have suggested this is their preferred option on more than one occasion.
And if you look close enough, you can see the pigs flying in the distance, too.
You must be new here...
Hi Bozi, NMM, violent agreement over here too! Very strange.
Late to the party after a hellish morning at work, but great to see we've released what looks like a decent, improved PFS. Now it would be nice for the company to provides *some* guidance on timelines for the various other workstreams. I understand we are applying for a new IPA - when can we reasonably expect this to be concluded?
Personally I would rather see the Subsidiary Shares sold to one of our strategic investors rather than do another royalty deal (were the Subsidiary Shares mentioned in the MD&A?)
Who said he was well respected? And given that SOLG is nowhere near a producing mine, let alone starting development, no I wouldn't expect him to post it there.
Quady, there is more chance of you losing your remaining investment here altogether than SOLG taking this into production.
Quady, we are not renewing the lease on our corporate headquarters, which runs out in July of this year. Absolutely everything this company has done over the last 12 months has pointed to a winding down of all operations to conserve cash and prepare for a sale. Dramatically reducing headcount. Stopping all exploration. Indefinite prioritisation of the regionals. An indefinite strategic review. Read the MD&As, objectively, and wake up to this reality. This is the antithesis of how a company gearing up for a long mine build and production behaves. If you don't realise that, you shouldn't be invested in this share.
Monochrome, the money I have invested here now I'm fine with losing. It wouldn't be ideal but I'm not going to lose any sleep over it. It's a punt, not an investment for me.
The company has been discreetly signposting the fact that the outstanding exploration spend at Cascabel is what is holding the new IPA up. If BHP want this asset, they will be using the fact that we owe the Ecuadorian government c.$170m (with less than 10% of that in the bank) to convince Nabao we are not the team he wants building a flagship mine.
We are in a serious pickle IMO.
Wow. Have just waded through the first few pages of the MD&A. We are now having to apply for a new IPA and "amend the investment schedule" for Cascabel exploration. No timeframe given for completion. Reading through the lines here, I am increasingly worried we have a huge debt without means to pay it.
They should get someone to redo the website. Again.
Rashpurchase, ortherncopper is one of the most bearish and negative (though arguably realistic given the state of affairs there) on the SOLG board. You're talking rubbish.
Morning Bozi, agree with all that. I do think they will eke things out as long as possible though before trying to go it alone or JV the asset. We could be here well into Q3/Q4.
Bozi, the only acceptable deal for Mather & co is a sale of Cascabel (or the whole company) that provides them with a return. In my mind, this is not a proper strategic review as they have already decided the outcome they want. They will buy as much time as they can until this materialises, and keep cash in the bank via a sale of the Subsidiary Shares for as long as possible. I agree that a sale takes time and that pride will ultimately have to be swallowed.
Fort - there is nothing stopping the company placing the shares to Jiangxi at a premium if the appetite is there. This makes much more sense for all involved than another royalty deal.
We have known for some time now that SOLG wants to sell Cascabel. Cuzzubbo has literally claimed this in COURT DOCUMENTS. The man has no reason to lie as doing so would have his claim for unfair dismissal chucked out of court and ruin any chance of winning the $2.3m + options he is seeking. There are now a host of SOLG ex employees who - depending on their feelings towards Mather, current management and the future of SOLG, could quite easily corroborate his claims.
Incidentally, I think our chances of receiving further funding from Franco Nevada went down the drain at a similar time to his dismissal, given that we opted to go with Osisko instead, and Sangha allegedly went berserk at DC when he informed them before the Osisko deal had been made public.
We seem to have forgotten that we have a reputation in the mining world for awful corporate governance, which further reinforces my belief that we have absolutely no hope in hell of being able to raise finance to develop Cascabel on our own. And given that every man and his dog knows we want to flog our main asset, what serious, institutional investor would bet - and it is a bet - that SOLG's current management team is the right one to build a block cave mine in Ecuador?! The prospectus would be passed around the office like a bad joke at this stage.
It's a case of keeping the lights on with the Cornerstone shares if required until someone either buys us out entirely or takes Cascabel.
There isn't one because it simply doesn't take 12 months to evaluate the best way forward with Cascabel. The fact that it is 1) indefinite 2) we haven't heard anything at all in terms of progress either implies that there are no good options, or that the SR is a tactic to buy time while management pursues a sale at all costs. To me that explains then persistent downward pressure on the share price, and leaves us vulnerable and praying for a sale. PFS3 might be our way out of the pickle, if we are able to demonstrate a phased approach that we could feasibly fund ourselves.
Remember, PFS3 is a separate workstream to the SR, and only came about when "fast and smart" died a (quick) death and Caldwell pivoted from "Cascabel has been adequately studied" to "we are producing another study".
The MD&A should be quite something in absence of any news beforehand.
Not great news RE rate cuts today following US inflation figures. Rate cut probability cut from 50% to 30% for May. Conversely, I read that in the UK the BoE expects inflation to return to the 2% by April.
am i the only one wondering why two keyboard warriors who both claim they don't need anymore money are spending their time arguing about climate change, almost on a daily basis, on a lse investment board?
it is so beyond tedious. we are at a critical stage of solg's development and today's bizarre trading *might* imply something is afoot. please just swap emails and **** each other off elsewhere if you genuinely have nothing better to do.
Turnaround? We are sub 8p still.