RE: Re: Many Thanks29 Jun 2018 12:46
Yes many thanks for relaying the info guys.
Just read a post on another site which pretty much confirms the positive vibes felt at the AGM.
From poster Temelco ( sorry for nicking it but all goes towards helping the share price)
What an AGM!
There’s only one word for the AGM today – WOW!
Most AGMs are dull and uninformative, this one was anything but!
Martin Rosser gave a very good presentation on all the current initiatives, but also said they were very busy with other things, which they could not mention as they had not made any announcement. There would, he said, be more " in the near future".Part of the presentation today described the impact that electric vehicles were going to have on world requirements for copper, cobalt and other so called “technology” metals – it will be explosive and huge.
But the two really important things were the project with Accudo and the announcement today about Sivas.
The Chairman, Alan Clegg, gave a detailed description of this project. He was talking about things happening Q4 this year and Q2 next with production of 50-75,000 tons “well within 3 years”.
Forget all the bits and pieces – focus on the present price of copper which is around $8000 per ton. Multiply that by 50,000 and take 2.5% ( royalty) That is $10,000,000 pa. It’s easy to work out the present value of that to AXM and consequently where the share price ought to be.
Accudo is, they believe, close to bringing their project to fruition, and whether it or Sivas would be first to produce income was a moot point. The Chairman plumped for Sivas. He mentioned that 99% of the due diligence and funding by DSR was in place. As an aside, Clegg is a seriously well connected gentleman, and a definitive go-getter who, I believe, is in the process of transforming AXM. He quite rightly pointed out the deeply conservative nature of mining companies. As he said, the first question they ask is “ Where is it operational?”
Now, with Sivas, they are going to be able to say “ Here.”
He agreed when asked that Sivas was “ The breakthrough” they had been working towards. He also agreed that once it was up and running, he felt sure many more mining companies would want to engage with AXM, which I don’t doubt.
All in all, I would rate this as very good news and an excellent AGM.
Oh and I actually forgot perhaps the single most important thing.
There is no value in their balance sheet ascribed to all the R&D and IP they have bought and paid for. According to BDO, as long as they do NOT have a working site, they cannot add any of this to their balance sheet. But the minute they do, they can. So when Sivas goes live....Their CFO when questioned, agreed that the sums involved were not " hundreds of thousands" but "millions"
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