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I do love Telfer, the gift that keeps giving!
NCM had the Telfer Imperative to get some economical ore to the plant so that they could kick the ball further down the road and avoid the closing down/remediation costs. This is why HAV has had so much cash spent on it in short order. We have a (nearly) mine due to this.
Now NEM don't see Telfer /HAVas part of their going forward strategy = opportunity.
Tailings dam problems look expensive = much bigger opportunity.
NEM likely want rid of Telfer ASAP. Difficukt to sell alone - almost impossible without commercial grade ore available I would say. So it would make sense to parcel it up with HAV.
So, in short, Telfer alone is too high a risk proposition for anyone to take on.
Telfer/HAV can work as the future upside can afford the risky costs of Telfer. It now becomes an exercise in cashflow managment (how much funding is needed prior to break even on production is achieved).
The biggy is that the Telfer imperative (NCM's problem child) has given us the right os last refusal on the remaining 70% of HAV = massive opportunity.
We just need to wait it out a bit until there are some predatory bids for the package by a.n.other - then pick up all the pieces (As always, subject to funding to include cashflow funding).
Tailings dam problem are highlighting the risk and driving down the value of Telfer.
Time to Shine @SD.
Share buy backs are a multi faceted tactic.
It reduces the number of shares in issue. This should recalculate the value by spreading the same market cap over a lesser number of shares.
It uses some profit that would otherwise be available for dividends/investment in the business. This is tempered by the expected increase in value of the remaining shares.
I do not have enough knowledge to gauge if there is any tax benefit (or cost) to the company, but for PI's it will exchange some (taxable) dividend income for (only taxable if realised) capital gains.
It may have an effect on liquidity. Assuming that the II's generally see buybacks as positive and hold onto (even increase) their holdings, then the buybacks have to come from the market, thereby reducing the number of shares in the (more liquid) pool of private investors. This, in turn, can feed into increased value. Of course, if the company can negotiate a block purchase from an II, then this may well increase liquidity and reduce value.
Consideration should be given for a consolidation before a buyback scheme is implemented.
Generally, I would love a defined buyback scheme being introduced. it would encourage me to (at least) hold and likely to increase my holding.
"Welch", "loosing"?
Really? - get spell check program if you can't spell yourself.....
Check a dictionary too - welch has a completely different meaning to Welsh!
Still a neanderthal, obviously.
"whot"?
Neanderthal.
If the quarterly payments were just interest, then I'd be unhappy over that dilution.
Read the RNS carefully, £2.55m is repayment of the principal sum - only .62m is interest. The repayment of the principal sum is only marginally dilutive as that is effectively increasing our share of the asset (i.e. if it were to be sold, less capital will be needed to close off the loan, more retained).
In time, (with a fair wind and good news from FDA/deal(s) etc.) this funding may well prove to have been a good option. With an increased share value, fewer share will be needed each quarter. The full 'cost' will not be known until all is done and dusted, but may well be less than having to raise cash initially rather than with this arrangement.
Just focusing on one part of the deal is useful for FUDsters to sew panic!
Will be very interesting to see the 'beyond those included' data.
@Tinners
You've hit the nail on the head there. On it's own, Telfer is too big a risk.
To make it saleable there needs to be some upside.
The only (potential, we still don't have a DFS and decision to mine) upside is ore from HAV, or rather their 70% of HAV.
So, not an easy sell to a 3rd party.
However, if they do find a 3rd party buyer, we have right of last refusal on the 70% of HAV (maybe even the stipulation in the JV re processing at Telfer at cost + 10% being preserved!).
So any 3rd party buyer could negotiate right up until we walk away with the whole of HAV, leaving them with a processing plant and problematic ore production at Telfer!
This is why we get the cheshire cat smiles and very excited execs!
We just need to work out the final price, what is included (legacy JV's + shareholdings in the area), and sort out how to pay for it - Simples!
Ditching Telfer will leave them with a lot of JV's (and some shareholdings) with various projects/companies in the area which will need unravelling.
Subject to funding (obviously) there will be some interesting opportunities for GGP to pick up.
There must be some tenements that Calum would have liked to get hold of and which may now come on the market (via JV's or distressed sales).
Interesting times.
5RINGS, keep your flesh to yourself, please.
It's a webinar - no in the flesh meeting at all!
please stop displaying your ignorance - each time you try to push this insane idea, you make my flesh crawl.
Have a look at today's RNS.
You can ask your questions directly to the company in their Q&A as announced.
This type of FUD isn't going to work this weekend!
Late afternoon RNS, following a video released on 'X'.....
Interesting.
Anything else about to pop up? Who knows.....
!0 mins left, do you want to be short on stock?
Tick follows tock follows tick.........
Perhaps he thinks that he can simply look at a lab, maybe even peer down a microscope , and will then somehow absorb some sort of epiphany moment and will be able to 'see' if it works or not?
The concept of proving a drug through properly designed and regulated trials (that happen in the hospitals/clinics where the actual patient is) doesn't play any part in this brainless thinking.
Examining the lab will inform you of nothing. You can look at the drug in a microscope, but that won't tell you if it works or not....
Such inept thinking......really?
I've read some really stupid things on this board, but this.........
Oh dear - this is the most idiotic idea ever.... Investing isn't for, sweety, is it?
Perhaps it didn't have any foundation?
Touk.... bigger is not always better!
A glass of red wine with your evening meal each day can be beneficial. 5 glasses - borderline alcoholic - will have detrimental effects and shorten your life!
Targeting a toxic drug to only the site where it can be most beneficial, little and often may well be better - you just need to find out in trial. To dismiss it out of hand is so lame!
More potent warheads...... A very interesting comment.
Don't forget this phrase will encompass not only those 'warheads' currently approved and in use (with high toxicity and consequent restrictive dosing) but a whole host of 'warheads' where BP has invested large sums and which have failed due to toxicity issues.
The latter can be revived and their trials restarted. An opportunity for BP to recoup/capitalise on currently lost investments.
That part of the Holy Grail would be of great interest to a BP predator who wants this!
Drop is unlikely as the REX share are only issued to existing holders. They can easily sell their existing holdings with the knowledge that their sales will be replaced with 50p shares once listed. So, if they were mindful to take some 'profit' they can do so without pressure to beat any drop caused by speculators selling (as there are no speculators getting any REX allocation).
You never know, though, but it may well go the other way - up!
Last chance now, then. Nothing left to keep the price down near the 50p level.
I'm expecting a nice steady rise now the funding issue is behind us.
Have no idea why the last post stripped out all my capital letters!
so, after the initial shock and a good sleep, i had a plan.
i had a good size holding (in the low 20k region). i bought more the next morning at 52p.
this did 2 things, it reduced my average by 30% and increased my holding to around the 50k mark.
nothing has changed as regards the science (communications are a bit awry atm.) there has to be a good reason to go for a placing rather than looking for other sources of cash (licensing, loans etc.), you don't make such a drastic move without good reason.
there is (or should be) some good news flow (aacr etc.) coming up so i expect a recovery.
playing around with some numbers, once the share price recovers to my new average (a very reasonable target). i can sell enough to recover my additional post 50p top up leaving me with 20% more shares than i had (slightly over compensating for the 17% ish dilution) whilst keeping the new average at the new increased holding.
so, with a fair wind i will be in a better position than i was before.
took the shock, didn't ***** and moan, but made a plan and acted. happy falcon.