Member Info for Simms45

Does anyone know the amount of money needed to get the mine into production and how soon this might be? This is the second placing in a few months at £1.2m a time with a good measure of warrants attached. Mines are notoriously expensive beasts to bring to production generally but i know the Clogau mine is more on a smaller scale and welsh gold has a healthy premium so it should be able to get into production far sooner but given there is no revenue today all income will come from placings. My red flag is generally when placings are made with warrants attached as you can be sure if they ever do a placing on primarybid those warrants will not exist. Warrants at this early stage is to line early investors pockets. Still looking to invest here.

Looks like the moons are aligning for takeoff for Eqtec that is now close to liftoff. Billingham standby, aries hit the dust standby, order book off the scale standy, RNS confetti standby :)

Certainly some bargains to be had today. As seems to be run of order gold falls on some vaccine update for around 12 hours and then swings back on the reality of the tsunami of cash being printed and planned to be printed by Biden. i seem to remember Condor being similar share price 2-3 years ago when gold was 1250 and we are nowhere near today and it was very profitable then and a magnitude higher today whether gold is 1600/1700/1800. Just need to focus on the prize and hope that MC presses the button on toll, land and mine and we are good to go. I am still confident that a triplet of RNS covering the above we will be £1+ as that still only values Condor at £110m, a bargain given we could recover a good proportion of that in profits in the first year. MC must be hoping to tie up things up pre christmas to meet his plan of 2021 being transformative. We are very very close imho.

As far as i can read the TPLF have no friends and even the Tigrayan population is fedup and wants change. Abiy i would say has called it right to replace them for moderate Tigrayan officials aligned with the pro growth/peace angle. Would be nice to see peace in this neck of the woods for our own sake but as Harry has said the trouble is over 1000 km away and while it cant be helping Harry has not changed his plan to close TK finance. Abiy’s government will be wanting to make sure the country does not slow down so i am sure they are pushing hard to also get this finance closed and TPLF will either have new leaders soon or peace talks. Both options will calm the region but Harry knows better and he has stated it will not impact finance so until that changes we should expect closure.

Just on major shareholders this is the list i found.
The BOD and senior managers i can tell from website have 32.59% but there are several marked as unknown that are probably highly connected to the business and that would give 65% but can anyone fill in the blanks.
Report date Holding Change % Held
Yu (Weijun) CHAIRMAN Sep 23, 2020 102.1m 3.1m 17.31
Tang (Zhaoxing) CEO Oct 9, 2020 51.1m 0.0 8.66
Liang (Hongtao) UNKNOWN Jul 15, 2020 48.0m 0.0 8.14
Hongtao (Liang) UNKNOWN Dec 31, 2019 48.0m 0.0 8.14
Chen (Wan Ling) UNKNOWN Sep 23, 2020 44.7m 0.0 7.57
Ling (Chen Wan) UNKNOWN Dec 31, 2019 44.7m 0.0 7.57
Jiang Xinchun, General Manager Sep 23, 2020 35.2m 3.1m 5.96
Bennett (Richard) EXCE Sep 23, 2020 3.9m 3.1m 0.66
OTHERS 35.99%

There is a strong argument that now the BOD got £8m from the IPO at 10p they could do a share buy back at 3.5p and effectively once done cancel the shares. The benefits are the BOD would increase their overall share of the company at the same time as boosting the shareprice but importantly at a 70% discount to the investors investment so not a bad deal if they went down this route.

be interested to know where this news that Richard B said these things. Can anyone fill me in? Ultimately if they were holding news back it would be against the law and they would be shooting themselves in the foot. So many sales leads and closings of deals happen on the back of positive company news that gives clients confidence as these relationships are 10 years or more and as a buyer you need to align with the right company. Ultimately my biggest concern is that their lack of news has meant we are not securing as many contracts as we could but the final results are due in January. It must be a likelihood that a final dividend might well be announced as all staff options and share plans are now in place as of October and if their profits are not dissimilar to previously they would have had pretty robust and strong profit growth for 4 years and you would think it was the perfect time to reward their shareholders, BOD and staff with a dividend and that alone will look to address the share price as frankly to be valued at a PE of 2 is a terrible place to be. Most BODs would be removed from office for this spectacular short coming but equally they face a likelihood of being a takeover and the BOD will have not built up goodwill with investors to fight them off. The BOD now have less than 50% of the company so they no longer have such a strong hand.

That will do nicely. Not if but when and now we know
“ the Parties acknowledge that the legal execution of the Option Agreement (the "Agreement") is at an advanced stage, with the majority of the commercial material terms agreed. The Parties agree to use all reasonable endeavours to finalise legal execution of the Agreement no later than 18 December 2020.”

I agree. I am in the "no news today, good new monday" brigade as like you say if the deal is weeks or months away they knew that already and no reason to extend and why only extend for 2 months last time. However in the same breath if the deal was close before last extension you might have hoped to have announced by now. frankly it would be nice but the deal is happening and i am a lth so really it is not all that important as plenty of other deals on the pipeline bubbling up.

While i fortunately had most of my shares with IB and been able to trade for some months i did have some shares with HSBC Invest Direct and they have been very helpful but the HK register has for last few days been making all share transfers and the ones i have not had access to will be cleared on the 24th Nov so most people will have access by the end of next week based on this. Given CNE is trading for almost less than cash, certainly a fraction of its shareholders equity, and a silly PE of 2 we are trading at a ridiculous level. Lets hope that the BOD will address the need to properly engage investors as their shareholder communication is probably the worst i have ever come across and their order book is very impressive so there is plenty to actually report to the wider market. i suspect if they do not evolve their strategy they might be a tasty morcel for a takeover.

Have i missed an RNS or something? Billingham will either be announced or a further extension i guess my tomorrow? The project will happen just a matter of when as i know so many council related activities have become dysfunctional. In the meantime i think all investors could do with some contract news to get us out of the .5p bermuda triangle as we have been circling for sometime and would be nice how to see some of that £10m raised deployed into high return projects as opposed to sitting in a bank account. I would not discount a decent update tomorrow or monday but regardless this is one project amongst many and while its a biggie there are plenty of others that i would like to hear about also.

I received a small update from CNE yesterday that is below and CNE look to be at least pursuing some financial PR representation in HK but it should not really take 6 months to resolve when they had the prior 6 months before joining the HKex to get the transition right. The company needs to address the black out of news relating to new contracts signed and provide outbound confidence to reinvigorate investor confidence and find new investors in HK and China. It is hard to fathom the reluctance of the BOD to address this matter as ultimately it hurts the sales process to find new customers, potentially those abroad. if you just look at companies like Eqtec their outbound positive news has meant they have secured relationships and contracts in every continent of the world and CNE equally could considerably improve its sales conversion by embracing some outbound confidence, which with all their patents and proven technology and their clean tech credentials to bring cleaner fuels and ethanol to the sanitiser market must be strong areas of potential growth.

"I know the UK investors have received their new share certificates and then turned them into e-share to sell recently. We have updated some news in our website (http://www.zkty.com.cn/ ) but not in HKEx's website because the RNS rules is a little different from LSE. We need a PR to spread all of the news to HK market and we are looking for it now."

That would be far too sensible for a government. it is all about where the big money trail leads and nuclear and Turbines just happen to be way to drop billions of pound drops and big lobbying golden handshakes. Same reason why Boris wuld never tell the general public to use mouthwash for Covid as was advised in Hong Kong and guess what it worked. However that would be too easy. Much better to sign off 300-400 billion pounds of cash printing and award ridiculous contracts to mates of the government and reward their sponsors who helped them get into power. If David P could go to the government and say we can help you spend £5bn very quickly and create a nice photo opportunity and pay the greasy palms of lobbying power then maybe Eqtec would get that backing. Anyway all eyes on Billingham as maybe that news could help leverage some government backing as its a no brainer to turn our waste into energy and do so without carbon emissions rather than send it half way across the world to get dumped in the sea or incinerated.

it looks that 5% is needed for extraordinary shareholders meeting but you can read some of the rules here :

https://www.hkex.com.hk/-/media/HKEX-Market/Listing/Rules-and-Guidance/Other-Resources/Listed-Issuers/Practices-and-Procedures-for-Handling-Listing-related-Matters/gm_guide.pdf?la=en

The company is valued almost less than the cash we have in the bank and we are on a multiple of barely 2. The BOD need a good kicking to put out some news and communicate. Surely the investors in HK who bought in at 1 HK must be pretty angry as they have lost 70% in a matter of months and that was close to £10M. The value i believe is still in the company but unless the BOD releases positive news or announces a dividend at the year end the share price will not go anywhere. For me i hoped the last boot filling by the BOD and staff share pool take-up would precipitate a change in behaviour or maybe the BOD are looking to sweep up some more shares at these levels i simply cannot fathom their motivation. The other issue is that the BOD i believe hold around 50% of the company so there is no possibility of a takeover. It does seem counterintuitive that a BOD wants to drive the share price down as they used to complain in the UK that the AIM market did not get them and moving to HK was the magic bullet and guess what it was not. The BOD must surely know that communication is key. We have vague contacts with Bennet and Ivy but they historically provided very basic responses. I do think Bennett went into the last shareholder meeting and presented some thoughts but i never heard from him of what was discussed or any outcomes from that shareholder meeting. is it not a legal requirement to share the minutes from the last shareholder meeting as were we not supposed to be allowed to attend? is there is shareholder minimum % that can call a extraordinary general meeting or demand some action from the BOD. You would have thought the new investors in the local market would have done that by now. Really frustrated that the company does not even provide any courtesy to investors and provide basic news updates.

Its an interesting point that the risk team for the bank would look at the financial stability of Kefi and could have raised the issue of long outstanding debts as a requirement before the bank could sign off the bank finance. I was personally surprised the placing was largely at the average current share price over the last week and if they were about to confirm bank finance agreement they could not be seen to be doing a deeply discounted placing and in knowledge of the bank finance. Perhaps this non discounted placing smooths the way. The RNS confirms his plan to complete finance so if that is still to be achieved quite a lot should have now been achieved and a further update could be due.

Certainly Guardian also support that TPLF are trying to strengthen position in coming peace meetings so the TPLF get some seat at the table as back in 2018 they did not support the Abiy progressive government and since that point have been sidelined. I think Abiy on one hand wants them gone for good but at same time it would take Tigray citizens to do that properly.
https://www.google.com/amp/s/amp.theguardian.com/world/2020/nov/16/ethiopian-troops-liberate-key-town-in-tigray-claim-officials

Spot on T123 and thats why im holding until production as if someone has not made an attractive offer by then the re-rate on production compared go Calibre is quite likely 10x from today. If we factor in the underground and a toll deal we could be nudging 170-200k ounzes a year. that is something to look forward to. Just a few small hurdles but with MC at the steering we will get their.

Kefi has largely dropped from 2.6 down to 1.7 on the back of Tigray unease and TK hope value of finance conclusion. In reality the unrest is 1000km away so somewhere in Northern Italy and the rebels appear to have few friends, even locals who are keen to see the back of them. They are largely on a losing ticket, how soon we will know but they do not seem too smart and attempts to try and pull in others will not work. We are still in bargain basement territory if we get the bank finance sign off that could be any day and i suspect pre December as they were sitting with bank in Ethiopia back at the end of October and there was confidence in all aspects. Buy when others are fearful spring to mind.

I hope you also went through all RNSs but back in July Eqtec did a placement and raised £10m. While it is not certain this was earmarked for Billingham this has been bubbling along for 12 months and imminent in my opinion. Billingham will be part funded from the placing and from finance specialists/partners. Eqtec can also inject equipment into the mix as it has done in North Fork. Clearly as long as the placings are deployed into high ROI projects i am mot averse to placings as they are there to grow the business in the case of Eqtec wheras most companies have placings to sure up the balance sheet and clearly negative impact on pis. However Eqtec is going to be highly profitable this year if estimates are correct so while you can discount a placing you can at least know it would be for value creating reasons. However i cant say the last placing was smooth sailing as it happened at a peak of optimism and price has been trapped at 50p but at same time the £10m does not appear to have immediately been put to work. If it has and a nice RNS accompanied would be a different story. I think the £10m was earmarked mostly for Billingham and news could be imminent.

Its a great article. Like the last paragraph as it is all about a district play and hub and spoke operation with Kefi at the centre processing ore for a very longtime to come.

Harry has stated the Tigray activity is not impacting progress so unless he says otherwise we should get news shortly.

“Over the long term KEFI’s vision is to establish Tulu Kapi as the centre of a mining district, with several mines operating. KEFI has also agreed with the Government to jointly institutionalise industry training schemes in the district for the benefit of the region and the sector in general.”