Member Info for Tray556

Sol001 .... the company trades at an illogical 40-50% discount to NAV and we have even seen selling over the past few weeks at a discount to CASH!

Nothing has been leaked here .... 30p+ is fair value at present. This is just the road back to fair value if a few logical investors are now taking POW positions.

POW have released so much positive news over the past 12 months (UCAM JV, GMET x12 return etc.) ... this is simply just a delayed response to that news in my view.

There was even a 48,500 trade on the OTC today ... the biggest trade since they joined the OTC last year!

Any sort of serious volume and logic arrives into the junior exploration space, and POW will do extremely well from these levels heavily discounted levels.

More cash and a larger balance sheet than almost all their peers. POW are a safe way to play the risky junior exploration game and they will have their day in the sun.

Never been so relaxed with my POW holding and I've been here a while!

Yes me too Icarus - interim results for the period ended 30th June 2025 will be due no later than 30th September 2025.

Should say "Hard to argue that an exciting back end to 2025 ISN'T on the cards for POW."

Can't really guess when the Fermi / Uranium news will land as it seems to me that UCAM want to stay as quiet as possible until they have tangible results to talk about. Looks like Fermi are happy to proceed without even a website.

My guess is that maybe the first tangible data from drill will be landing in the next few weeks. Could land around the same time as the GMET proceeds land and from the wording of the RNS the other day, it seems as though some nice opportunities are potential available for POW to pursue.

Plenty to like here, and the market still only values POW on the same amount that is shortly going to be in it's bank account post-GMET sale.

Hard to argue that an exciting back end to 2025 is on the cards for POW.

Was thinking exactly the same earlier Doc83 .... the market is nuts!

POW just need a stronger float. Liquidity certainly flowing into the sector today. The best I've seen it in a long while.

Covmutley - I don't blame you. The POW SP is a frustrating watch but if you haven't overleveraged yourself and you have capital, it's surely a no brainer at these levels to add.

Approx £18,000,000 in the bank now post GMET sale. 115.9mil shares in issue. That's 15.6p a share now in just CASH.

With £18mil in the bank, the following quote on the latest RNS should be creating serious excitement "gives us considerable firepower now to pursue other opportunities, a number of which have presented themselves to us in recent weeks." .... the fact the SP is still trading at a discount to CASH, is an absolute gift of an opportunity here as the market continues to act in an extraordinary inefficient manner towards POW.

The fact POW can turn £2mil into £23mil within 27 months via their GMET investment clearly validates that Sean and the team are working wonders with POW's working capital. If they can work this £18mil cash over the coming years and even manage to somehow double it to £36mil .... we will all make a very solid return from these prices. The optimist in my is hoping for a lot more but POW are now financially self-sufficient for multiple years. 99% of AIM companies are reliant on the market every 6-12 months for finance.

As far as junior exploration investing goes on AIM .... POW are surely as low risk as it gets from 15p and with £18mil in the bank, a cash up Uranium JV, a 44% stake in FDR and Power Arabia pushing forward etc. etc. .... the potential reward is pretty high too!

Yes please continue Nano. Very informative.

The POW bank will shortly have £18mil alone. The MCap is £17.6m right now.

So at the moment, for every 98p invested into #POW, you get exposure to £1 of POW's cash. You would have thought turning £2mil into £23mil in 27 months via their GMET investment would have created some sort of excitement in regards to what POW are going to do shortly with their huge bank balance.

Sellers are currently getting 98p for every £1 of cash they had exposure to. Yet POW have £4mil of listed investments as well (FDR & FCM), a cashed up Uranium JV and much more.

Logically there should be no sellers down here and a host of buyers! AIM is anything but logical but here lies the clear and obvious change to pick up cheap POW shares whilst you can. Someone will soon enough.

It's not a mystery in the slightest sol001. It's just simple demand & supply rules.

The POW float is in dire straits and needs addressing ASAP. GMET & FDR are held by 50%+ non-retail investors. POW is held by 90% retail investors.

GMET & FDR are tightly held floats with huge non-retail backing. POW the total opposite hence the weak price action.

Excellent posts NanoCapInvestor!

PaulBrains .... great question! I've had a quick look into a possible taxation impact on the sale. It's only my view on it and could be totally incorrect.

A company can carry trading losses forward to deduct from profits of future accounting periods as long as the trade continues. POW have an abundance of trading losses (£18.9mil per the 2024 accounts) carried forward for tax purposes due to multiple loss making years!

Before 1 April 2017, trading losses could only be used against profits of the same trade, yet after 1 April 2017, trading losses can normally be used against your company’s total profit including capital gains.

There is an ‘annual cap’ on loss relief though of £5 million and if brought forward losses arising from 1 April 2017 onwards are over £5 million then only 50% of the excess loss can be relieved. For example, if a company has £10 million of profits and £7 million of brought forward losses, only £6 million of the losses can be used against the profits (£5mil + 50% of the £2mil excess losses).

Very difficult to give an accurate answer without seeing the POW books and actually being in their finance department, but gut instinct would be that historical trading losses would cover at least a good chunk of their £20.9mil GMET gain to minimise any tax liability.

Nice for an AIM company to actually have a bit of tax headache .... normally tax / profits are no issue to an AIM listed company haha

With no liquidity on the OTC market .... many US buyer will just buy directly on the LSE so the transaction will not post on the OTC and just post directly on AIM instead.

Looking at the OTC transactions is not a full picture of US trading activity in POW.

Assuming once the GMET sale is done there is £18mil cash in the POW bank account.

That's a "cash per share" value of pretty much 16p a share. Even in a totally dire market that values everything POW touch as £0 .... there should be a base of 16p a share here just to reflect the cash position alone.

FDR worth £3.3mil and there is a cashed up Uranium JV currently drilling all summer with £10mil in the bank (they will have spend quite a bit of that though by now). Should be all sorts of news flow coming from the Uranium JV in the next month or two.

Sean already proved he can turn a £2mil GMET investment into £23mil within a 2 year period. Let's see what he can do with £18mil in the bank!

Yes, surely a buyback on the cards here!

Fundamentals in a fantastic place.

GMET stock = £13.7mil

FDR stock = £3.3mil

FCM stock = £0.4mil

GMET + FDR + FCM stock alone = £17.4mil vs a £16.4mil market cap.

- That leaves the Uranium JV - IN FOR FREE

- The £4-5mil cash in the POW bank account - IN FOR FREE

- Power Arabia with its four major earn-in type agreements already signed plus several others close to completion - IN FOR FREE

- £650k due from RRR - IN FOR FREE

- 75% ownership of GSA Environmental Ltd - IN FOR FREE

- 88% ownership of Molopo Farms - IN FOR FREE

The discount to NAV on offer here is at 50% and at an extraordinary level. The gap will soon enough, it simply has to.

All the Uranium licences sit in a Private Equity Joint Venture.

The JV is 70% held by UCAM, 30% held by POW.

The Private Equity JV vehicle is called "Fermi Exploration"

Sol001 - again your comments below just appear as if you don't understand the POW model in the slightest and are just looking at the SP. Every KPI that POW are focusing on are point in the right direction.

PJ never got POW's NAV to exceed about 17p a share per the financial statements. POW's NAV per share is pretty much at all all time high right now (circa 28p). That's the safety net here as a POW shareholder. You know you'll make decent money some day when a business is in good hands, is balance sheet focused and there is year on year balance sheet growth. Either the market gets it and the SP moves up soon, or the POW board just decide to call it a day in the medium/long term, sell up the assets and give everyone a nice return.

The SP was higher in the PJ days in 2020-2022 as the whole sector went on a run. It was 99.9% due to sector sentiment. Take a look at all junior exploration companies in that period. POW moved up 1000%+ in about 9 months, which was about par for the sector at the time. POW built very little shareholder value (if any) during that period .... the SP did well due to increased sector liquidity due to covid handouts etc. It rightly crashed back down. The opposite should be happening now and it should be moving swiftly upwards again. Unfortunately, there is no liquidity around and the POW float is in the hands of a bunch of buffoons.

When the discount to NAV is around 50% ....this is simply where you make your money buying stock now. Not when POW was at 60p a share in 2021 whilst the POW NAV was sat at 5p.

Sol001 again you lack a major understanding of the POW model. For the past week you have now turned your attention to the "number of shares in issue" as your latest thing to moan about. It's not the number of shares in issue you should be focusing on if you understand the model. Its the Net Asset Value (NAV) per share. The NAV per share is the key KPI at play here and it is what will make POW holders a very good return in the medium/long term.

If you raise £1mil and turn it into £2mil of assets, it doesn't matter how many shares are in issue. You are raising capital and turning it into more value for shareholders. This is exactly what Sean has managed to do in his tenure in POW so far hence why the NAV per share is growing at a impressive pace and is pretty much at an all time high whilst the SP isn't far off an all time low. The perfect place to add POW stock in my view.

The NAV per share now sits at around 28p now vs a 14p buy price (a 50% discount to NAV). 28p is the theoretical return POW shareholders would get today if POW decided to liquidate everything they owned. Keep growing the NAV per share until its 50,60,70p and if the market still doesn't want to engage with POW then I'd be happy to see the POW board liquidate everything and I see a 50,60,70p return which would be a solid return from my 15p average.

POW now in the solid low risk financial situation where they can turn £1mil into £2mil in the future through their own investment profits and are not reliant on the market. They can also buyback some of their stock which should have a positive future effect on the NAV per share if Sean can continue to pull off solid commercial deals and we get a bit of luck with the drill bit along the way.

The stock market is one of the only places where people are not interested in a half price sale, but are more than happy to buy when things are overvalued. POW is on a complete fire sale here but until the stock sees some liquidity, the SP will go nowhere as the float is in such poor hands.

That's exactly my point Pete. AIM is a dire marketplace so basically ignore it for the time being and build the business. POW can do that with their cash balance.

POW have to just solely focus on the balance sheet and take it to £50mil+ for me over the next few years. Do that, and then the company has real options in terms of shareholder returns. If the marketplace remains uninterested, then the business will just put £50mil+ cash into a bin bag and distribute everything out to shareholders (£50mil = 43p per share, £75mil = 65p a share, £100mil = 87p a share etc.) and we all make a very nice return from current levels.

Its why the buy back is so key at these levels too. It massively changes the goalposts for when the balance sheet pushes on. If POW can cheaply reduce the 115mil share float down to say 75mil in the coming year or two .... then a £50mil balance sheet is 67p a share, not 43p a share at current float levels.

Of course, the market may turn over the coming years and more longer term investors may step in. At the moment when the market is just not interested in POW, I'm happy to see them build the balance sheet, ignore the marketplace and almost guarantee a solid return in the medium to long term.

"This company rests solely on a commercial find." ..... Yet another comment which just proves you still have no clue about the POW business model.