Member Info for zumore

Your numbers are quite misleading because If RRAL were listed on the TSX and their market cap was either £7 million or £25 million, you wouldn't say 50% to Red Rock so that's worth either £3.5 million or £12.5 million to Red Rock.

Clearly once listed there would be many other shareholders plus many millions of funds would have been raised leading up to any listing. So how many shares Red Rock would own in RRAL by that stage none of us yet know.

I thought in that stockbox interview at the end of March Bell said that he was getting his toothache sorted before travelling to Africa. So did he go to Africa?

A day or so after that interview it was announced that from 9th April Kenya would also be going on the list of quarantine countries. So because Congo was already on the list of quarantine countries that would mean that Bell would almost certainly have to quarantine in an hotel on returning from Africa to the UK.

So did Bell put himself before the Red Rock business and decide not to go to Africa?

Last post taken from Power metals February's warrant update RNS:. https://www.lse.co.uk/rns/POW/warrant-update-extension-of-insider-warrants-0rqsionf5cw6jk3.html

Above RNS says Red Rock will also be exercising their 20 million 1p warrants (cost £200,000) by 18 May.

Robins, by 18 May 2021 Andrew Bell will be exercising his 10 million 1p POW warrants. So he's willing to use £100,000 of his own money for that.

They each get £3,600 in free shares. Then if they buy £1,800 in RRR shares they get another £3,600 in free shares. So to get £9,000 in RRR shares it will cost Andrew Bell £1,800.

I always say personal shame (not free shares) should be Andrew's incentive because under Andrew's guidance this company's share price is many multiples smaller than it once was.

Strange comment. But in numerous interviews Paul Johnson always looks like he really struggles to breathe through his nose. So in his next Q&A somebody please ask him if in his nose he has a deviated septum.

Alternatively he may have upset an investor over the years, who punched him on his nose, damaged it, now he can only breathe through his mouth.

Half year date was 31 December 2020.

So I guess it will be interesting Red Rocks cash position at that date. Also final results revealed $1.4 million had been drawn down on their cash facility. So it'll be interesting if half yearly reveals if Andrew maxed out the $2 million facility.

(1) In December 2020 final results it says through a Red Rock subsidiary company (RRR coal ltd') RRR took out a $2 million loan facility with YA and Riverfort. In December 2020 $1.4 million had already been drawn down. Repayments will begin over a 6 month period starting from June 2021. Where is the money for repayments?

(2,) In November 2020 RNS it says RRR had given Kansai mining a $1 million promissory note. This can be cashed in 15 months after issue. Which would be February 2022.

(3) In February 2021 POW RNS. It says Red Rocks warrant exercise date had been extended to no later than 18 May 2021. The RNS hinted RRR would be exercising their 20 million POW 1p warrants. So it will cost RRR £200,000.
At today's POW share price this may seem like a no brainer for RRR. However to me this is like a £200,000 gift from RRR to POW because with Bell also being POW chairman I cannot see him for many years selling Red Rock's POW shares. So to me it would be tied up money that could be better used elsewhere. Though I do think Bell will be finding the £200,000 to exercise the warrants.

(4) I notice recently listed Victoria Goldfield companies share prices have done appallingly since being listed. 'Helpful' highlighted Australian listed TRN a couple of days ago. They listed in January. They hit highs of 0.34 but are now 0.16. Likewise Canadian listed LVX listed in early February. They hit highs of 0.99 on first day but are now 0.38. Even the once Victoria Goldfield darling company, Fosterville South, who Helpful, Bell, Johnson once couldn't stop talking about. They listed on the TSX last year multibagging and rocketing to around $5.40. However yesterday their FSX share price was $1.14. So could the enthusiasm for Victoria Goldfield companies be waning?

(5) Bell also not attracting a partner for the Kenyan assets has been very costly for RRR. They have had to pay off millions to Kansai themselves + with no Kenyan partner they will have to pay 100% of all exploration costs themselves.

(6). Andrew Bell is in my opinion appalling at interviews and is an expert at writing boring RNSes. He was 49 years old when he first joined Red Rock. He was 66 years old in February. We have to hope when he's still in charge at 85 years old he will have got better at both.

My post was tongue in cheek. I was expecting some to say that I didn't speak on their behalf. :)

I know occasionally we have squabbles on this forum. But on some rare occasions we can all come together. This is that rare occasion. :)

So I think I speak on behalf of everybody. It's good to see him back. :)

In earlier interviews on Kenya Bell often mentioned he'd have no problem attracting partners. In this interview after the 3 minute mark he briefly mentions the Chinese. https://m.youtube.com/watch?v=MVUjrfZEGY4

Here's a photo:.
https://mobile.twitter.com/RRR_RedRock/status/1138109907809579011

At the 4 minute mark in this earlier proactive interview he briefly says "we have potential partners lining up". https://m.youtube.com/watch?v=sN0qEQc-Epg

After these interviews the gold price surged leading up to the Kenyan licenses renewals in August 2020. Yet Bell still couldn't attract a new partner in Kenya. Which meant $3.5 million paid to Kansai + RRR will have to pay all new exploration costs themselves.

In September 2020 Bell posted on this thread so I asked him if the $2.5 million payment to Kansai that was mentioned in a 2018 RNS still had to be paid.

The top post in his profile was his response:. https://www.lse.co.uk/profiles/andrewrbell/

The sell price was 0.85p a few days before last Friday's general meeting. So wasn't a massive surprise that the share price was pumped near to the 1.05p price by Friday. Otherwise Kansai could've felt seriously aggrieved if they had received an huge amount of RRR shares that were already at a 20% loss. On top of that 'Helpful' or Stephen Lundy's company 'Bespoke capital solutions' clients were meant to be buying over half of Kansai's shares. So again it was totally unsurprising that he was putting in extra effort in last week to try to pump up this share price.

When he tells people AB has been doing a great job this past year I don't know why some people believe him. For example regarding the Kenyan asset. Bell was saying he would get a new partner at the Kenyan asset. From that you could have assumed the new partner would have paid Kansai the $2.5 million. But Bell failed to attract a new partner so the consequence for shareholders is that in Nov 2020 RRR handed Kansai a $1 million promissory note, which could be cashed in 15 months later + they've also given Kansai another $2.5 million. So the new Kenyan licenses were renewed in August 2020 but Bell's ineptitude to attract a new Kenyan partner has cost RRR $3.5 million since the licences have been renewed.

TSX listed Victoria Goldfield companies share prices haven't been doing great lately.

Fosterville South (FSX) I believe IPO'd last year and went from around $1.00 to over $5.00. Now back down to around $1.30. https://money.tmx.com/en/quote/FSX

Leviathan gold (LVX) lPO'd last month and reached $0.99 on its first day but it's now around $0.45. https://money.tmx.com/en/quote/LVX

To point out when I say "let's not forget". The loan facility could have easily been missed by shareholders because it was first mentioned when it was buried deep in the 2019 final results RNS. At that time it was a $1 million loan facility and $200,000 had been drawn down. Then you found out in the 2020 final results RNS that it was now a $2 million loan facility and $1.4 million had been drawn down.

Let's not forget Bell also set up a RRR subsidiary company called 'RRR coal ltd' and then through that subsidiary he used Red Rock's assets to get a $1 million loan facility then recently updated to a $2 million loan facility with YA and Riverfort.

If I recall correctly buried away in the December final results RNS it said Mr Bell had already drawn down $1.4 million. So I think it's pretty sure by now he's fully maxed out the $2 million. The final results RNS says that repayments will begin in June 2021 and the loan must be paid back over a 6 month period.

Just watched the Andrew Bell interview from the other day that most were moaning about and I've got to agree it was a tedious rambling interview. He certainly loves his own voice does Andrew.

At the 2 minute 30 second mark watch the interviewer ask him a question and then he rambles on for 3 minutes and he doesn't even answer the question.

https://m.youtube.com/watch?v=YompXPouf6Q

Just an hunch. But I wouldn't be surprised if Kansai had little choice in accepting RRR shares.

Poster HELPFUL and his large shareholder friends had stopped RRR from disapplying the pre-emption rights, so RRR could no longer bypass the large shareholders to do another fundraise to pay Kansai in cash. Obviously Red Rock had to somehow pay Kansai a further $1.5 million. So HELPFUL (or Stephen Lundy) and his large shareholder friends through his company BESPOKE CAPITAL SOLUTIONS LIMITED bought over half of Kansai's shares.

Clearly Kansai would have preferred to be paid in cash because they sold over half of their shares immediately. I see no mention of a lock in period for Kansai so although the RNS says Kansai are excited and will be long term holders I'm not overly convinced they will be.

Regarding the above RNS.

I guess because Andrew Bell is also the POW chairman + RRR and POW are jointly involved in RRAL, I guess that's why they call Red Rock's warrants "insider warrants". For the same reason i guess that would mean that the shares RRR already own in POW would be considered "insider shares".

So to me it does seem to be a messy conflict of interest because on top of that Bell personally owns 22 million POW shares + he will also be eventually exercising 10 million of his personal POW warrants.

So with Bell owning POW shares + numerous POW closed periods + RRR / POW joint venture + Bell being POW chairman. To me it seems highly unlikely Red Rock will ever sell their POW shares.

What value do you give to Red Rocks POW shares if you don't believe Andrew will ever sell them?

https://www.lse.co.uk/rns/POW/warrant-update-extension-of-insider-warrants-0rqsionf5cw6jk3.html