Member Info for Simms45

Ask is ticking up nicely and with webinar ahead i think we will close this finance without a placing, possibly a loan or something else but Harry looks to be setting the scene for the final closure and hopefully get more clarity from update.

Need to also bear in mind DP and board took invested a decent amount in the .5 placing and their stafff are all in quite deep at higher values so I have faith that the board will deliver but just not in the timeframes we were led to believe. If you remove the shareprice angst today (which is terrifying really) the company is doing a massively good job on so many measures in regards to sales, marketing, PR, IP and global footprint. We have done that with huge success. Sadly the little issue of financial closure and project completion has been a bugbear. These are biggies butwe are close to realising a far faster growth curve with the model they are evolving. If we get Italy and Croatia operational and to a point of stability we will be motoring ahead as these are real projects making decent returns and will be easily saleable to green investment funds that are desperately looking for homes to invest billions in greentech that can deliver stable returns. These billions are not looking for risk capital but Eqtec could find itself very quickly arranging large financial support to speed up deployment of Eqtec technology. just please hurry up and tell us Italy is flying and Croatia is close.

We have the proof of the technology working but what we need is realworld commercial success stories that the MDCs are going to provide. We have at least 13 projects in different states and Italy was my hope to be the catalyst to speed up the whole delivery as it starts the proof of our delivery. We are very close but announcing Italy and now silence is poor and we need to deliver commercial outcomes rather than hot air from DP. For me if we get Italy live we will start motoring and a penny will seem a distant past as the shere number of potential projects will run not in 100s but 1000s globally. There is simply no incerators getting planning easily and in the right supply chain setup gassification is a big part of the answer. today could be the low of lows.

Its funny really as one of my reasons for investing in Eqtec instead of many below was the spread of potential projects as too many others on that list suffer from too many eggs in one basket. Look at how Simec went down backing a one trick pony and the planners said no. However the counter argument is now and perhaps why Eqtec has suffered more than anyone slse is that in times of not strife to raise finance holding onto 12-20 projects all floating around in different states is now a ball and chain and i think this is how the market sees it. I am more confident projects will complete and like the Italy project start to bring in a little revenue and be able to be sold operational and that confidence will trickle down to financing. While we almost have no commercially operating projects finance is risk averse but as soon as we prove ourselves funding should all come together at speed and at scale. It cannot be understimated how important we get operational commercial projects live and not just demonstration projects. Lets break the impasse and get Italy online and robustly working with 87% uptime.

Wow. Those numbers are not dissimilar to Condor with 200k ounces a year, except the valuation as Condor are £30m and Sabina just sold for £740m. Nice. Would be have with 20% of thet valuation. Goes to show there is good money looking for a home in the gold world.

Sb i appreciate the fear of what you sense as we have been in a similar position before but would say Kefi has held out longer in the past even when financial closure was nowhere in sight (in retrospect) and even our biggest holders are now underwater and the key to the future is triggering the 1.6p warrants and 2.4p warrants to power us onwards. i suspect if kefi cannot run on fumes, pay in shares, take salary sacrifcice then we will get a convertible loan from our major shareholder so as to not upset all the technicalities on the warrants. Share price is back to .8 and we valued at £30m so i have always said of we did not have TK and only Saudi assets we would be much higher than today. TK has ripped the credibility of Harry and team they could find a 10 ton nugget and market would take no notice. I think deal will be signed prior to mid March and something could be close as all we need to know is MOM signed us off and now waiting on credit. We can wait on credit for 1 month but we already know they have agreed subject to a few details, mainly govt related. Therefore if we get some positive news loans will be more available as waiting in credit and AGM will be easy part. Waiting on government is the one thing we cannot estimate.

I think the company resilts are April. Frankly the management are entirely to blame for current share price from previous dubious activities through to complete mismanagement of company PR and transparency. The last 18 months of Covid in china have clearly taken their toll on revenues. However if you read some of the latest news there is plenty to be confident about. In one recent news after saying they are working on 3 battery related projects :

“ These contracts have opened up the application market of ethanol products in the field of lithium battery electrolyte for the company, and opened up a new energy business growth point. We believe that with the maturity of our company's technology and the demonstration effect of the above projects, we will attract more and more customers and bring new orders. ”

Also they talk positively of oversea expansion so CNEL in next 12 months can easily bounce back to historic revenue and profitability but really that share buy back is long overdue and this is a tiny cost to the business having raised money 3 years ago at 9x cost so a bargain. If they bought back now at .1 in 12 months maybe they can do a 20% raise at .9 and have same. number of shares as today but considerably improved cash in the bank. I am holding next 6-12 months to see if finally company can do one thing right for pis. Frankly i dont hold much hope but if all doors for management are blocked to get money out the side door and auditors watch closely friends and family contracts they might conclude taking a dividend is only way forward.

“The epidemic is gradually returning to normal. Projects in Thailand, Indonesia and Myanmar, which have been suspended for a long time, are gradually resuming implementation. Overseas business development is also gradually returning to normal. Currently, we are negotiating with China Energy Construction International Construction Group Co., Ltd., a well-known enterprise in the energy field, for some overseas projects. cooperate.”

well the day turned out very positive and such a sell would sink the shares given the size of the trade. The more plausible answer is that the shares changed hands in an agreed manner as there is no MM or support for such a size of sell. Onwards to the finish line and we will only get a placing if Harry thinks financial closure is 3-6 months away as in the meantime Harry can arrange convertible loan and so on and board can take a pay salary. We need a investor webinar to get some sense of the lowdown and surprised we are still not offered one. Its possible something is going on that means radio silence. Maybe Artar offering $200m for 30% they dont own in Saudi :)

It would be helpful to hear from DP that is not planning to use his company Altair (held through Oracle) to convert loan into shares at these levels but if you were in the same position it would be tempting taking his stake through Altair towards 29%. I appreciate it is not all his but we dont know the exact ownership details as its all held offshore. He needs to be transparent with shareholders as he has a conflict of interest, especially agreeing a £2m loan with 666m free warrants on the side. as if the interest rate was not already compensation enough. He can make £17m profit if share rises to 3p with no risk as its free warrants on a £2m loan. Personally if he converted now h it would be almost criminal so i suspect he will wait for shareprice above .45 that is price for staff and last raise was .5 so it just would be outrageous to take advantage as staff would also be cut out. Deeside is key this month as long stop was 28th Feb. we will see if DP is true to his word and has the skills to convert projects into reality rather than going through the PR motions.

Harry and curveballs go hand in hand but d that always happens if you do not get things finished as something will happen and we have been waiting years with similar rhetoric. The latest is the MOM leaving and a new one being appointed. The new MOM is just getting his feet under the table and probably has some shoveling to do but Kefi must be near the top of the pile. I do not think it will be just Harry chasing this but also the communities that will benefit from the development, contractors and regional governments. We are lead to believe the new MOM is onside as the previous transport minister that Harry noted was positive. The whole point of the syndicate meetings is to get everyone to work lock step and keep everyone in line to the finish and create relationships so syndicate members can call one another etc. Credit sign off is the biggie but subject to steps needed by the MOM and government. We are lead to believe everything else is in place. I feel that the next 4 weeks should have some proper resolution so credit can signoff and once that is done the rest is signing and getting the wheels in motion. Certainly it feels this will happen but surely the government understands that everyone cannot wait forever. This is capital waiting to be deployed in many cases so is wasting on the sides.

Well cnel went to all the considerable trouble of first listing in London and then HK and raised money on both occassions. They are clearly keen on getting investment in just not paying it out. I understand the $30m or so is used to front up bigger projects so i can see why they dont want to pay dividends however if they raise capital on markets and sign legal agrements on conduct expected then they face a significant long-term damage as seen by Cnel delisting and market cap of a semi in London. Their only saving for themselves is their controlling interest and how that might have enabled them to extract incomes through 3rd parties in the past. Going forwards they have limited options but play clean and RB, while can be seen as the useful idiot, i am sure he is trying to bring basic manners to how investors are treated. all i know if we have a £7m valuation and if they sold up today we would have £25m at least in cash leftover. Ivy has said future is good and how can it not be? Ethanol is booming all over the world and while DRC has locked down badly surely their will be pent up demand that should mean Cnel recover revenues and more. The only thing i hope is cnel buy back 20% shares at 90% discount to IPO and in so doing the owners shareholding will rise by the same proportion and share price will recover to maybe 2-5 HK. i agree i learnt a big lesson on transparency as i simply have never come a company that hides its wins and benefits to the market making its life considerably harder. The most baffling, shoot yourself in the foot, company i have ever come across.

I think as we are sub £25m market cap and the issue is not sales as we had a massive global pipeline, it is funding of projects and delivery. I expect that on sorting Italy and Croatia and update on France, Northfork and Deeside with positive outcomes we will leap past 1p as the delivery of the pipeline is going to place market cap easily above £200m and downside today is really just concern at cashflow but as soon as that is clear we will rapidly ascend.

What we do know is that as soon as MC is able to update on the sales process he will. as we saw with Shanta it is not ok to say there have been multiple offers that the board are seriously looking at and if he says that we know that is more than $100m. He does not need to state amounts but simply even letting shareholders know the board are "seriously" looking at offers tells us plenty. On the other hand a white knight partner might come in and take a 40% stake in Condor together with the full finance and crack on. So many major miners have billions in the bank and nowhere to park it and here we have a readymade mine that can be up and running with 12 month payback on the investment. Not many of those types of projects around so i am feeling confident the next RNS will be positive and head back to 30p where we should be along with Calibre and all the rest of the gold miners that are firing higher on gold above 1900 and 2000 seems very likely in the coming weeks.

iF Harry sees a pre April financial closure on TK the directors will batten down and get us there taking salary sacrifice and paying contractors with shares if need be as they have done several times before. Fortunately i feel we have far better standing for lending and we have had secured loans in the past so even an unsecured loan is going to be preferable as any dilution will make the warrant exercise less likely. There is everything stacked in favour of no dilution until TK funding and since we raised £8m only 10 months ago i am sure they can work that to last more than 10 months. The last thing Harry can afford to do now is dilute. Also remember that once financing is completed a lot of money is heading in the direction of Kefi that will give us a nice buffer and funds to ramp up. Very frustrating as usual as you think you are so close and then something else pops up. It can be argued the MOM corruption charges were a curveball and set us back a month on the paperwork and Ethiopia just had some holiday time. If we can secure the 2020-2022 signoff and other government paperwork this month then there is no reason this cannot conclude quickly afterwards as surely everything was lined up for December and the only holdup does appear to be the Ethiopian government not providing everything the credit team at the bank needs to sign off the bank loan that has been agreed in principle for sometime. Gold is rocketing towards $2000 so that should be a fanfare and growth in gold globally and with that will come greater buzz for everyone to finalise this as that is over $1000 clear cashflow per ounze that i am sure everyone in Ethiopia could do with in relation to the jobs and hard currency.

We raised £8m back at end of April 2022 and that was designed to cover a 12 month OF expenses. On top of that it is not uncommon for Kefi to pay some contractors with Kefi shares and for Harry and team to do the same and not take wages until done as they did in 2021. He has stated more than once in webinars no raise is needed before financial close but appreciate that was expected end of December. The key update we need from the webinar is to confirm his commitment of no further raise before TK financial close to put this to bed but April must surely be the deadline. Also keen to understand how soon our 2020-2022 investment as part of our capital commitment will be signed off and why Harry assumed that would have happened in December? Obviously finding out Tekele was caught for corruption and ousted i am sure plays a big part. The new MOM we hope is going to play a straight bat and do everything he can to fulfill the governments commitments and not play games leaking news as Tekele used to do for reasons that is now very clear. Getting this to credit is now key and Harry has got to stop with over promising and under delivering. Investors can handle realistics timelines but cant handle waffle and missed deadlines.

What we need is Harry to talk us through every step holding up TK finance and explicitly state approximiate timings. If he was so confident of December he must have a very good understanding of time remaining and needs to explain what is happening.

Stock market is starting to make sizeable jumps for many gold companies but we are still languishing 50% down and i note Calibre have doubled from their lows. I think we are now just 10% of value of Calibre so it would be almost immaterial for Calibre to make an offer as they are flying along. We certainly cant be waiting much longer for an update unless they plan to simply state asset is sold or some other alternative strategy. We are now into third month of sale phase and surely by now serious interest would have showed their hand and MC has to stop timewasters counting down the clock. decisivness is key and never had “speed is the essence” have more meaning as 3 months of nothing is a long time and with only a handful of trades we need some update to confirm number of offers and guidance sale price or simply crack on as $2000 gold is a very real likelihood.

I am very keen to see if our MDC in France will get funded as last RNS confirmed it requires €30m to recommission and will generate €10m a year. Update was expected in Q1 and we are pushing on at pace. Also Longstop on Deeside is end of month so it could just be a busy month, not to mention many other projects that are so delayed updates must be starting to surface. I am hugely optimistic on Eqtec regardless of the shenanigans of Altair building a sizeable stake for very little investment and benefits hugely from warrants while primary bid investors get very little. Any one of the many many projects confirming financial close, SPV sales or operating plant will all point us in the right direction. The fall from 3p was precipitous but the rise could be equally if we get the newsflow we were expecting in 2021/2022. I hope next year i dont repeat myself and 2023 is finally the year Eqtec lines up the little duckies and gets the bazooka out.

The preferred route for me has always been to finance TK and then split Hawiah and JQ into separate vehicle with Artar and float that 100% clean on Saudi. That would be exciting. For me financing and operating in Saudi with Artar is a dream ticket. Failing that and what i am hoping is ae dual list on Saudi and then sell off the TK asset in 2025 and then Kefi will have 2 producing mines in Saudi and probably plenty more in the pipeline. This is what i suspect he is thinking as i am sure Artar have probably said they are not interested so this is next best plan. Its great he is serious and as long as Harry is camped putside the MOMs and not leaving until he gets everything i will be happy. Even back in December he must have known the 2020-2022 Kefi investment was not going to be signed off along with whatever else needs signing off. Harry has got to come clean and keep investors up to date. How long will this additional sign off from MoM take? Few days? Few weeks? Months? He must have some idea how quickly This can be sorted and get credit sign off. i still hope this month we can get that EGM sorted.

When you say Altair you are really saying DP. The only shareholder of Altair Group is Origen Capital and that board is made up of DP and chums. Basically DP is lending himself money with 666m freebie warrants for that £2m loan at conversion of .45 and he has option at anytime to pay in shares. Obviously since he is paying himself, to a large extent, he will do what is best for him. While we needed a loan i am sure the freebie warrants would be enjoyed by anyone else. If Eqtec gets to 3p share price those warrants are worth £17m profit. Given 3p is actually not hard to imagine then a loan of £2m generating 8% interest and obviously paid back in cash or shares is a nice little earner. All for making stellar returns but DP is largely lining his own pockets and hardly arms length. He could have raised same loan with no warrants but a higher interest rate and be secured as we have a ton of equipment of value. Anyway i dont think DP is using Altair to keep Eqtec shareprice down as u understand Altairs shares have only ever increased but happy to be proved wrong but i do not think Altair can sell shares as it would have privy information as DP is basically operating Altair through Origen capital. Again correct me if i am wrong.