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Well that was just the RNS we've all been waiting for wasn't it - Another mouth to feed... covered by a lack of substance in the RNS as per usual. Who proof reads these things?
Is he salaried, working for free as an old mate, awarded shares in future, paid when he achieves a milestone target etc...
Why have RRR specifically brought him in, what due diligence was carried out?
What was the scope, exam question that DL can deliver on?
Why don't they already have the expertise?
Why wasn't the skills or knowledge gap covered in the strategy / Finals RNS?
What are RRR expecting from him?
How long is his appointment - permanent / fixed?
I would also like to know what RRR considers 'a new phase of growth' to mean. Does it mean growth in the amount of shares in issue, growth in the employee numbers, growth in the amount of debt the company will incur.
Be specific RRR, say what growth is...
Let's not forget only 3 months ago the clear message was judge us on our exports followed by and RNS stating 1st export complete. Public information suggests RRR still owns that 1st export and has no buyer and has bought the cargo from an unknown 3rd party rather than mined it through one of their own licences because they state the costs are similar / more favourable...how on earth can that be?
Still no DRC payment which was days away over a week ago.
Helpful, What deal making should speed up?
AGM 2 weeks from today...DYOR
BB - Apologies for delay in reply...
Firstly, I'll be out before Bell gets any further share dilution away, but I'd take your double up now projection and run for the hills if it comes up... No DRC payment before AGM and I'm gone anyway, I'd be surprised at anyone else not also thinking the same.
I'm not entirely sure on the loss on the 200mts as the initial RNS'd detail was far too vague but no doubt it seems a waste of cash reserves without having a buyer lined up in advance. The finals RNS does state they have factored in a 2-3 month pipeline payment cycle which is now close to missing that time frame.
So a failure to deliver as per a revised strategy is how I read it - shame they didn't factor in CNY before committing to buy and export to China and without a buyer signed up. I do not see the logic.
What seems certain with present info in circulation is that we are sat on the purchase of 200mts without a buyer and paying port costs which appear totally unnecessary.
I think I learned RRR had acquired the 200mts from another party rather than direct mined it themselves from a poxy youtube interview rather than the RNS which in itself seems to be embarrassing. Detail via RRR always far too vague for me.
Does anybody yet know who we've bought it from???? Payment terms etc...
Then we have the RNS stating RRR made their 1st exports which we now know to mean driving some cargo they have just bought off someone in a truck 200 miles down the road from Zimbabwe in to Mozambique. This seems like a face saving RNS that I would rather they sat on until details were clear and a buyer was agreed. I still question whether this is misleading and the reasons for not clarifying what is perceived to be an export.
Had the RNS come out saying RRR have bought 200mts off someone else and are going to keep it on a port in another country for safe keeping till RR finds someone who will buy it then at least the shareholders have better clarity on what on earth is going on.
Side note - Don't get me started on those stockbox interviews either....I'd love to see a Bloomberg style grilling of AB rather than the fluff pieces they put out.
Stockbox (if you read these boards) try and press the flesh a little more with your question sets and follow up questions rather than folding when you get a waffle answer.
No DRC payment RNS at 07:00 this morning.
I'm mildly disappointed but not surprised... but as RRR once stated in an RNS:
The game is worth the candle, but it is sometimes a long game. When a gap appears in the clouds, the sun can suddenly shine, and then the opportunities are realised.
Without consolidation and without DRC/ELEP, will this share price ever significantly rise again?
I'm talking 2x plus from todays levels.
Maidit - I estimate you need a 200+% rise just to get to break even?
How much do you think this will rise in order to justify your ongoing faith in RRR?
p.s... I genuinely hope you are right and RRR gives me an opportunity to exit without a bloody nose in the next 19 days or less.
Thanks BB - how long do you think before the 1st raise is absolutely required. Clearly there is intent with the issuance request at the AGM but would you think it is required immediately upon passing at the AGM.
I'm trying to ascertain current burn rate per month as I cannot find much on this in the releases.
Clearly there will also be a large one-off lump for the 200mt purchase and no sale yet agreed but optimistically expecting partial recouping of outlay in March for this.
Simple question to all - given the recent raises, how long can RRR continue without a further raise?
The scenario excludes receiving the illusive/elusive (take your pick) DRC payment which I interpret to be supposedly due in 3 days or less.
BB - I must correct you - we have already exported (sarcasm of course). Extract from RRR release below:
We are currently funding our product pipeline from mine to bonded warehouse in the destination port. The working capital requirement of funding a 2-3 month pipeline before getting paid for product means that we are starting on a modest scale, with 200 tonnes of ore. Once we have established that the pipeline is working efficiently, and that customers trust our product, we shall aim to sell product before arrival at port and so shorten our payment cycle and reduce our working capital requirements.
I have read the above statement multiple times and it really does insinuate the 200mts is an RRR mine to port funded operation and not that RRR acquired 200mt of mined product from a third party.
RRR also quantifies an export as simply driving the cargo they still own across the border and dumping it at a port where they incur ongoing costs.
If I drive a little north into Scotland and leave my tele at my mates house I've essentially completed an export too on that basis - although my export would cost me less than AB's current venture.
I don't expect to see DRC payment before the AGM but I sincerely hope it is days away. I'll not be hanging around for the AGM either way. Clock is ticking...
BB - agree the wasted costs are potentially insignificant in the grand scheme but it just further highlights the lack of ownership on the spending. Why incur it if you really don't need to - just leave the cargo where it is and pick it up once you've secured a buyer surely.
As others have stated, why is RRR not looking to extend the life of the business by cutting down on pointless costs in preference of continually issuing more shares.
I'm no longer worried though as AB has verbally stated the DRC payment will be made in days so I've only got to wait till next Thursday latest for the sun to shine again on this investment apparently.
Given imminent has turned to days then surely the only thing holding this back now is an unprecedented pen and ink shortage.
Just a thought on this quiet morning...
Why did RRR bother sending the trucks to the Port of Beira just to incur port rental if they had no firm plans on shipping cargo until after the Chinese New Year. It seems an ill advised waste of the very little funds RRR has.
If RRR now has access to cargo from a 3rd party, which as they state is cheaper than own production then why not buy it and move it once they've aligned with a buyer in China.
Shipping cargo in containers is nothing new and not difficult at all. Beira is well connected so no need to rush the cargo in.
It may have actually have been cheaper for seller to stuff the container at point of origin too rather than RRR taking on these costs at the Port using port stevedores with profit margins on top. Would be nice for AB to give further clarity on the decision making.
Over 2 months of port rental incurred and counting...money just dribbling out daily until shipped. Why didn't RRR just send the trucks to one of their locations to store it FOC until shipping plans had been sorted to save on port rental?
Helpful - I am a shareholder and would love this share to succeed but the form has been poor and therefore my view reflects this, this is not trolling.
What is your interpretation of AB now stating 'days' away from receiving DRC and will you be buying more at this juncture given days really should mean 7 or less?
Separately, why do you think the market is not pricing RRR as in a 'good place' given they believe they are days away from receiving payments far greater than their current market cap?
(helpful stop reading here...the rest is opinion only)
My view is that 'days' will still be more than 7 and therefore into weeks and likely more than a month so again should not be misleading the investor with such wording given AB has overused the word imminent over a prolonged period already on this matter.
I hope it is days to give me an exit opportunity as I suspect/expect/believe any spike will be very short lived. But if I were to bet it will not arrive before the AGM.
‘Recommendable investment’ – something I believe will make me money short, medium or long term. I note your point on exploration being high risk – with that I would always look for ‘fully funded for year x’ to give me some degree of comfort. RRR provides no such comfort - the share value erosion seems extraordinary even for AIM.
Having seen the quality of RRR’s vague RNS releases and the performance of this company over just 6 short months I no longer believe I will see a positive return on my short term investment. Hence, not recommendable.
I expected the payment on DRC was truly imminent last July to create a short term spike so I invested – I was wrong and will be exiting soon regardless.
Helpful - it is called debate. Why read posts if you're not interested in opinion otherwise why are you here...
My opinion differs from yours and that is fine. However, I am sure we can both agree RRR is presently not a recommendable investment. Share price erosion has been consistent and I am yet to hear the views of anyone in positive territory on this share.
I am simply asking why a long term 'mega trend' in gold prices is relevant to an AIM stock that may not be around in a year without further significant dilution to shareholders.
Ignoring that - As you are an investor looking for a positive return how do you see RRR being funded for 2024?
Finally, if you have a QBA degree what hard data are you reading to see such long term positive futures in RRR given it's history and data provided to date.
Those sorts of insight may provide more meaningful discussion rather than endless link posting without context linking to RRR (my opinion of course :) ).
A 53 year gold chart being spouted as the opportunity of a lifetime...
Helpful - do you really think RRR is going to live long enough to see gold at 10-15,000. I personally don't think anyone on this board will live long enough to see that...even if it does we have no substantial amounts of gold to sell.
If you apply logic that most on this board bashing the state of RRR are 'trolls' then you have to concede under the same logic that you are a blatant ramper.
No matter what new lows RRR hits or how many times they dilute shareholders, you still refuse to agree this company is run poorly and not in the interests of shareholders and that you are currently the odd one out on biased views of RRR.
I'm presently still a holder and would advise anyone considering buying this share to steer well clear. It strongly appears to be a terminally ill dog with very little time left before yet another dilution will be due.
DYOR.
BB - I tend to agree. I was highlighting that if not in containers and moving on the water then it would not be viable to simply store product in a container on a port - Shipping lines do not like equipment (containers) tied up so they place extortionate detention fees (rental) to eliminate this. Therefore RRR must have shipped or are storing the cargo in bulk on the Port which will still be attracting some form of cost - of which they have already advised they are picking up all the costs... the lack of update on this along with continued excuses on DRC is concerning... sad state of affairs when talking about a pathetic 200mt shipment is the only activity likely to flip us a nickel in the coffers short term.
Still preying on a miracle spike to 0.15 before the dog dies...
Port of Beira is well connected for container lines with multiple routes daily/weekly to varying Chinese Ports.
Typical container sailings on this route are 38-48 days with 1-2 days each end required for load and discharge. Factor in another generous 7 days for the initial loading of cargo to container at Beira means it should be any day now given trucks set off for the Port on 15th November. Container storage on port is extortionate after the initial FOC period (normally 3-5 days for small shipments like this) and can run in to the thousands in costs per container per week - the lines set the prices (not the port). Therefore it wouldn't be wise to sit a container at load or destination port if no plans to devan or sell the cargo within a week of arrival.
BB - can we even class the 200mts as 'our' (an RRR) operation... had thought this was acquired from an unknown other to save face on lack of RRR's own resource.
Interestingly, RRR could now have shipped the so called 200mts round the world and back again in containers since the last announcement was made of a truck en-route to a port...
The money for the dog's life support is running out, must be close to pulling the plug and letting AB enjoy well earned retirement ? :)
Thanks BB - I suppose the only small silver lining is that AB continues to dilute himself to keep the leaky ship afloat.
Albeit his salary probably keeps him from losing sleep on this matter.
Would like to see the same broker run the same report today - be an interesting read.