Red Rock Resources Share Discussion Threads

[noirua] 16/8/2019 12:42

The legal and administration fees are stated in the last sentence in the header. What they are at present, liabilities of course, I do not know.
There are ongoing costs in DRC, another figure I do not know.

Look forward to your header arriving on scene. You cant complain if you are not up to the task.

The CLN figure is correct as interest is rolled up.
UVEL

[torp] 16/8/2019 12:31

Noirua: "Torp, why is your post so long? "

I guess because you persist in deliberately omitting so much salient detail
in your header that it takes pages to highlight the errors and omissions.

Noriua: "The liabilities at present are not known "

This is an utterly farcical statement and exemplifies everything you do here.
The liabilities are known only twice a year. Once with the Annual Report and
once with the Half Year Report. There is no other time you will know the
extent of the liabilities. There is thus no choice but to list the last reported
total current liabilities. It's what the company has published.
Your deliberate omission of this crucial element in your fantasy "sum of parts"
header nonsense is all readers need to know about your sincerity here imho.
Put it in the header and stop being an imbecile about it.

You formerly waxed lyrical about it in the header when you mistakenly believed
there were no liabilities. A very bad mislead to readers that was ! Put it in.

Noirua: "The CLN figure is the 19 Dec 2019 figure including the 10% pa
interest and that rolled over from the previous year."

Yep and I've given you a later RNS, that of 2nd Jan which stated that the
outstanding CLNs were about £900k. Go read the RNS.


Noted also that you make no subsequent comment on either El Limon royalties
or the £1.1m loan to Steelmin which the PWC indicates is obviously lost now.
Your header still presents it as if there is £1.1m coming RRR's way at some
point. Misleading.

BTW you highlight in your header that RRR are paying Kenya Legal and regulation
fees. Would you care to put some numbers to those? . . . . .

[kemche] 16/8/2019 12:11

NoiruaEttieGold, "contains info posted countless times by yourself."

Irony?

[noirua] 16/8/2019 11:01

Torp, why is your post so long? Also contains info posted countless times by yourself.
Everything current is in the header with some minor interests in oil and gold left out as valued at zero.
The liabilities at present are not known though the CLNs are mentioned in the header: Greenland liabilities, and ongoing legal costs. If you can tell me for sure what the other liabilities are, other than short term that every company has, please list them individually.

The CLN figure is the 19 Dec 2019 figure including the 10% pa interest and that rolled over from the previous year.
CLNs outstanding £1.1 million on 19 December 2019 - unless converted at 0.8p or flipped.

As said many times: You can start your own header and I will add a link here going straight to it.

[torp] 16/8/2019 10:43

Your header info remains misleading and deliberately steered towards trying to
make people think the company is worth more than it is imho.

You're still trying to play the "sum of the parts" sleight of hand valuation
without providing all the parts in the equation and whilst misrepresenting
certain of the parts like El Limon.

You should come clean about the El Limon royalties and tell people the ridiculous
number of years it would take to recoup that $3m. So much so that imho RRR will
never recoup that money imho.

You should come clean about the Steelmin £1.1m loan. You present it as if it's
£1.1m waiting to be returned to RRR.

Pricewatercooper's document stated clearly that Thalos (Thalos Investment Platform S.A)
has control of the Steelmin assets thus:

"As a result of the sale of the assets of the Company the secured creditor,
Thalos, has recovered 98% of its debt and has released the Company in full from
any liabilities and obligations owed to it under the financing arrangements.
Thalos’ lending as at the date of the administration was c. €9.6m and is secured
by a debenture dated 20 February 2018. This security gives Thalos fixed and
floating charges over all the Company’s assets"

They go on to say:

"We don’t think there will be any dividend for unsecured creditors of the
Company based on what we know currently"

RRR is listed as an UNsecured creditor in their document owed £1.1m




I also beleive you have the CLN figure incorrect. Some of the CLNs were
converted ages ago and so I think the amount outstanding is only about £900k.
RNS 2nd Jan refers:

"£585,000 of the Series 1 Notes and £325,000 of Series 2 Notes, for both of
which the redemption date is now 19 December 2019, are therefore now outstanding.


You also make no mention of Shoats Creek project which of course failed and is
being written off. On a side, do you know whether RRR still has to pay any kind
of maintenence or management costs there? I seem to remember another poster
mentioning this quite some time ago but can't remember so can't confirm either way.


Another epic failure of trying to present a "sum of the parts" picture, is to
deliberately leave out the known Current Liabilities. That is disingenuous at
best. Total Current Liabilities were £2.7m as at end Dec. This should be
clearly stated in your header. That figure may have increased or decresed since
but it's the only figure shareholders have so it should go up there. Not doing so
is, as I said, wholly disingenuous and misleading.

You also make no mention of the expenditure on salaries and expenses which is
astonishingly huge. In any sum of the parts valuation that is a very key
component.

The company raised over £15m from placings from 2012 to 2017 and expended over
£11m just on Admin and other expenses in that same period. That's close to
75% of available cash lost to salaraies and expenses. On that basis I have
issues valuing the JMS shares at £4m. Yes they might have £4m face value but
if this BOD are going to fritter 75% of that on salaries and expenses then
there's not a great amount of value left for actual shareholders here is there?!

Look forward to seeing you add the missing parts to your header as I know
you're a sincere and honest chap . . . . .


DYOR

[noirua] 15/8/2019 23:49

Header generally modified and shortened.
Torp, added your comment at bottom of header about loans etc., that may not be announced by RNS.

[torp] 15/8/2019 19:47

lol Noirua. Keep dreaming





Tick tock . . . . .

[noirua] 15/8/2019 19:02

No Torp. It mean't I was too bored to read the much repeated info. Good luck anyway. All passes the time awaiting DRC and Kenya anns.

[torp] 15/8/2019 18:42

So you're saying you knew about the Amulet loans and Steelmin loans at the
time they occured even though they weren't RNS'd to the markets?

Interesting. Useful to know. Thanks.

[noirua] 15/8/2019 15:59

Apart from 30 lines in your long post Torp, I agreed with everything.

[torp] 15/8/2019 15:38

Noirua : "Also accepting quoted shares are worth about £4.5 million so Red Rock has no ultimate funding concerns - only the possibility of a discounted placing if quoted interests are not sold or an interest in DRC assets."

The truth is you have no real clue what the finance situation is so your
valuations and speculations are meaningless at this point.

1. You didn't know at the time that RRR had loaned money to Amulet Diamonds
It wasn't RNS'd

2. You didn't know that RRR had loaned Steelmin a further £1.1m
It wasn't RNS'd

3. You didn't know how much money Topham had loaned to RRR


Therefore how do you know whether or not RRR has borowed money from someone
or some company and maybe secured it on the Jupiter shares?

The JMS shares have been pledged before more than once. Most recently with
the original Steelmin loan. In previous iterations it became evident that
JMS shares had been pledged away for a YA loan only in the small print when
an Annual Report came out.

If you are going to be honest you must concede that everyone is in the dark
here because the BOD have demonstrated their willingness to make loans and
transactions with other companies which they don't RNS. Personally I think
that's an appalling and arrogant situation but it is what it is.

You have no clue what the liabilities are at this point.

They were £2.7m as at 31st Dec, that may have increased now, or may have decreased

Cash at 31st Dec was just £27k

Will they start selling the family silver to keep the lights on and pay
Bell & Co's lucrative salaries and the ridiculous expenditure on Admin Expenses?

Or will they simply dilute shareholders with more confetti or CLNs?

Either way it's a bad result for shareholders.

No value here that I can see

Uninvestable

BOD must go before anything good can happen imho

DYOR

[noirua] 15/8/2019 14:29

POW - The company has very good exploration prospects but little chance of raising funds at the present market cap to take the prospects very far. This despite partners etc., who cant themselves raise sums like US$48 million. So the investment by RRR will only work out well if POW can flip an asset at some stage or shares in the same.
May work out very well indeed but may not.
A lot of fancy looking tweets going bye the bye. On the other hand one director is working his socks off and that is a plus in itself. Good fortune to him.

The word 'nearology' became well banded around in 2012 on the big nickel/copper find at Nova and Bollinger in the Fraser Range, WA. No company has found much so far despite being in adjoined tenements.

[noirua] 15/8/2019 13:57

Jupiter Mines ASX:JMS. Profits from South Africa will drop off if the current price of Manganese remains at about the US$4.60 per dmtu level. So a dividend, last year 7.5c, is likely to drop by 40% to around 4.5c. At 37.5c a share the yield to Red Rock would be 12%. Still a healthy return. Concerns about the Northern Cape of South Africa where the SA government is not trusted in terms of new laws and regulations that could arrive.

[noirua] 15/8/2019 13:17

I did remove the video by AB in the header for the following reason: There was no mention of the £1.4 million loans to Steelmin ( in administration ) and Amulet. It had nothing to do with DRC or Kenya despite extended delay on both. Also accepting quoted shares are worth about £4.5 million so Red Rock has no ultimate funding concerns - only the possibility of a discounted placing if quoted interests are not sold or an interest in DRC assets.

[noirua] 15/8/2019 12:35

This is AB's new car it's rumoured. Quite difficult to see what is going on inside: Whether that is DRC or Kenya, or indeed loans to Steelmin and Amulet.

[kemche] 14/8/2019 23:55

If it looks like, smells like it.................

[torp] 14/8/2019 23:14

Like I said. . .

feel free to put a frilly dress on it. Whatever helps you get through your
substantial losses here.

[noirua] 14/8/2019 21:21

Ebola does not cover all of DRC which is one of the world's largest countries by area. More homework for you.
Glencore closed their world's largest cobalt mine not only on cobalt prices but to help their small mines. Two of which are at Musonoi.
The Kipushi mines have higher amounts of zinc and low copper or high cobalt and low copper. Musonoi has high copper and low cobalt, a quite different kettle of fish:

[torp] 14/8/2019 18:47

Close but no cigar shameless ramper.

The above is about Cape Lambert's financiers not providing funding because
(in Cape Lambert's view) of the "failing economics of the project in the
current environment"

That's the salient point. Cobalt at least for Glencore and Cape Lambert is no
longer an economincally viable mineral to mine in the DRC in the current
environment. How many others are going to follow??

Oh and the "challenging security situation and the yet to be controlled
Ebola outbreak" isn't going to help cobalt miners either imho.

It is what it is. Dress it up in a frilly blouse and the facts still
remain. Sorry.

DYOR

[noirua] 14/8/2019 18:07

The above is all about Paragon not being able to obtain financing to secure a Joint Venture agreement.
The Kipushi main Zinc and copper mine areas are owned by Ivanhoe and the state owned Gecamines.

[torp] 14/8/2019 17:16

More nails in the coffin for DRC Cobalt Mining, as I predicted would happen

Courtesy of Orion on LSE:



Cape Lambert Resources

ASX Announcement 14 Aug 2019


"After an exhaustive effort the company has been unable to source project
funding for the development of the Kipushi Project in the Democratic
Republic of Congo (DRC) (see announcement dated 12th July 2019). Whilst we
are not privy to the financier's decision making processes, we believe it is
mainly due to the failing economics of the project in the current environment.
When the project was first introduced the Cobalt price was approximately
$US95,000 per tonne, but now trades at less than $US40,000 per tonne.
Together with the challenging security situation and the yet to be controlled
Ebola outbreak, it has made the DRC a very difficult jurisdiction for the
Company to work in. "


So Glencore are mothballing the world's largest Cobalt mine at the end of 2019
because it's not economically viable anymore in the current market environment.

Cape Lambert clearly feel the same way and can't secure funding for their
DRC Cobalt project again due to failing economics.


Doesn't auger well for RRR's DRC cobalt interests imho.

DYOR

[noirua] 14/8/2019 14:21

Off topic:


Primed for performance. An awful lot of priming going on and burying the dead contracts and assets.
March 2019
On topic:

Time for Red Rock to own up on their present loan book and cash shortage.

Will DRC and Kenya save the day????????????????????????