Aquatic Food Share Discussion Threads

[barred] 30/9/2005 15:15

some nice chunky buys starting to go through............

[folderboy] 30/9/2005 14:52

T.D. Waterhouse will not sell me even 20K online - have to ring.
(Maybe they don't know it's no longer suspended)

[tyranosaurus] 30/9/2005 14:40

I hope so!
Brings my average cost down to a fraction under 5p.

[barred] 30/9/2005 14:38

Anything below the equivalent fundraising price of 5p has got to be a bargain.....

[tyranosaurus] 30/9/2005 14:32

I just topped up as well, at 4.3p. Mine is the 25k

[barred] 30/9/2005 14:28

Just had to top up, 4.3p!!

[wstirrup] 30/9/2005 14:10

Right you worriers..

I thought I'd put some meat on the bare-bones we have been given.

Mwana last year produced 11,000 tonnes of Nickel(OK 10,500), and 30,000oz of Gold.

At today's prices ($1.76/£1.00)
Nickel(lb) $6.10
Gold (tr oz.) $470.00

That equates to £93,640,114.00

Now if we can expand the Inez mine to produce 20,000oz,
and the Freda Rebecca mine can be increased to its full capacity of 100,000oz pa., then we have another 120,000oz at $470 per ounce (£32,045,455 p.a.)

Add in the estimated 50,000 oz p.a. from Konongo (finger in the air guesstimate, given the closeness to the surface/densities (g/t) values etc ) then we can add another £13,352,273 to our turnover.

...£93,640,114.00+
...£13,352,273.00+
...£32,045,455.00
=================
..£139,037,842.00 turnover.

Admittedly not all the turnover would accrue to MWANA, but most of it would, and we haven't even mentioned Akrokeri, Ahanta, Banka, the other locations in Konongo, Other licences in D.R. Congo, etc. etc.

Now forgive me if I'm an optimist here, and we might not achieve that in one year but let's say we achieve 20% of that...improvement... We still have a damn site more chance of turning over £100m a year, and a capital gain given today's rising commodity prices, and the BRIC's appetite for natural resources at the moment.

W.S.

[barred] 30/9/2005 13:27

mm's appear to be very nervous, as soon as a few sells appear then they dump the bid bigtime..........just hang in there and let the market digest the implications of this agreement. I'm sure over the next few weeks we will see a recovery and hopefully the start of a sustainable rise as traders leave and investors climb aboard.

[bennie buffett] 30/9/2005 13:24

Freda Rebecca was an Anglo American mine and so was Bindura Nickel - all the new management is ex-Anglo thus they would know better then anyone what these assets are like. Also be likely they will buy other assets from Anglo. All good in my eyes.

[wstirrup] 30/9/2005 12:38

Tyro,

Forgive my exhuberance but despite the consolidation and dilution, we are now more likely to grow as a company, with rising prices for our minerals and a more secure financial future WHAT is worrying you?

W

[wstirrup] 30/9/2005 12:34

Tyro even if it has only a few years left, those years will fund the development, and expansion on Konongo, and banka sites which have a lot more life in them.

Remember the Banka site has a 25metre wide zone stretching for almost 8kilometres...which if it averages 3g/t (conservatively estimated) then we could be looking at a multi-million ounce resource. It also has several other zones that shear off it (across at various angles) that have produced mineable results. Not to mention Konongo's other finds, and the 2 other sites at Akrokeri and Ahanta together with the Mwana's Nickel production producing 11,000 tonnes.

The progress that Mwana have made in 3years has been tremendous, imagine what they can do with sufficient finance and the right sites.

And as politically correct as it can be... no more $1,000 day from J.T. so we should see sharp progress and as the existing mines are already producing 30k oz, and capable of upto 100K oz, with Inez producing 20k oz+ as the refurb has taken place over the worst of the economy. Then the upside from here is EXCELLENT!

The next 2years could see Gold rising to around $750oz if the inflation rate takes off as I suspect it will.

W.

[tyranosaurus] 30/9/2005 11:56

I remember the Freda Rebecca mine. It used to be owned by Ashanti Goldfields but they sold it as it was coming to the end of its life. It was too small for them and in the wrong country.

[plunge] 30/9/2005 11:35

Black Economic Employment financed by London has to be very politically correct. Accordingly, this new setup will attract a lot of ethically motivated fund managers.

Also, I am sure Bob Geldorf would approve.

[frankg] 30/9/2005 11:32

I still don't see why this share will be up on the day or indeed on Monday. If it's all that good why aren't the big boys buying this share hand over fist. I'd welcome it if they did but it all looks very worrying to me....

[barred] 30/9/2005 11:14

I reckon we will be up come close of trade Monday. Weekend press can only be positive and I think there will be a great deal of interest in the coming weeks as peeps realise the potential/influence that Mwana Africa has throughout the continent. It truly is an African Company to which we are lucky to be part of.........100,000oz per annum at $470+ .........Mmmmmmmmmmm

[sawbones] 30/9/2005 10:59

Actually on further reading and thought WS and barred make some excellent points(as usual). I had overlooked the fact that the new shares will be equivalent to 50p each so no worries there for me although I am still sitting on a loss at the mo.... Essentially the shares are still worth what they were before suspension but it would have been nice to have had the opportunity to trade on peoples expectations over the past 3weeks to make up my losses. Ho hum 3 years so far so whats another two with better prospects and contacts? If it falls below 5 its worth topping up I think.

[wstirrup] 30/9/2005 10:44

Smudge,

I wholeheartedly agree...


Back in 30mins or so...Now off for a mid-morning breakfast.

W.S.

[no1smudge] 30/9/2005 10:39

My guess would be this to return to green certainly today..Look for News snippetts this weekend...Its all going GOOD!

[richgit] 30/9/2005 10:24

/Sorry-Sold

[no1smudge] 30/9/2005 10:20

This is also TRUE

Mwana Africa Plc, has an opportunity to become an African Major with exploration, development and producing assets across the continent"

[enewman36] 30/9/2005 10:16

Now that makes more sense Bennie thanks, so no matter what the share price is you just get 1 new share for every 10 shares you own, therefore meaning that no further dilution of your holding takes place.

Sorry folks, I'm not quite with it this morning, just neet to push the right buttons in the head :-)

[wstirrup] 30/9/2005 10:15

Africa through purchase of Mwana Group

Proposed acquisition of Mwana Africa Holdings (Proprietary) Limited
New management team
Re-admission to AIM
Placing of 8.7 million Ordinary Shares of 10p each at 50p per share
Consolidation of Share Capital
Adoption of new articles of association and
Change of name to Mwana Africa plc
Notice of EGM

London, 30th September 2005 - African Gold plc ("African Gold" or "Company"), the AIM listed African gold explorer and miner, today announced that it has conditionally agreed to acquire the entire issued share capital of Mwana Africa Holdings (Propietary) Ltd ("Mwana")("Acquisition"), a privately held mining company with producing assets in Zimbabwe and exploration and development assets in the Democratic Republic of the Congo ("DRC"). The Acquisition will bring to the Enlarged Group three new Directors highly experienced in the mining industry in Africa, all having previously held senior management positions within Anglo American Plc.

Immediately following completion of the Acquisition shareholders in Mwana will hold 110,681,366 Ordinary Shares representing approximately 70.8% of the enlarged group's fully diluted share capital. The acquisition of Mwana by African Gold constitutes a reverse takeover of African Gold under the AIM rules and therefore requires the prior approval of African Gold shareholders at an EGM. The Company is also seeking authorisation from shareholders to consolidate its share capital so that every ten 1p ordinary shares will be consolidated into one 10p ordinary share and to adopt new Articles of Association. A circular in respect of the Acquisition and re-admission to AIM was posted to African Gold shareholders today and it is expected that African Gold's shares will be lifted from suspension and re-commence trading on AIM at 08.00 today.

Canaccord Capital (Europe) Limited is Nominated Adviser and Broker to African Gold Plc and will act as Nominated Adviser and Broker to the combined group. Copies of the circular will be available at the offices of Canaccord Capital (Europe) Limited, 1st Floor Brook House, 27 Upper Brook Street, London W1K 7QF.

Summary

Proposed acquisition of Mwana for 110,681,366 Ordinary Shares
Transaction will transform African Gold into a cash generative production and exploration company
In 2004, Mwana produced 30,000oz gold at Freda Rebecca mine, and 10,500 tonnes nickel at the Bindura Nickel operation, Zimbabwe
The Acquisition brings opportunities to capitalise on new development and exploration opportunities across Africa and access to substantial acquisition opportunities in Ghana, Zimbabwe, The DRC and elsewhere in Africa
Proposed new management team highly experienced in mining in Africa
The enlarged group will change its name to Mwana Africa Plc (loosely translated in a number of indigenous Southern African languages as "Sons of Africa")
Kalaa Mpinga, Mwana Africa plc Chief Executive, commented:

"There are some valuable assets across Africa that with the right management and appropriate investment can be made highly profitable. By combining the AIM listed African Gold and African-based Mwana we are creating an entity to seize this current opportunity in the African resources sector. We believe that Mwana Africa Plc will have an exciting combination of entrepreneurship and experience positioning it well to create real value for its shareholders"

Oliver Baring, Africa Gold's Chairman, commented:

"This is a truly transformational transaction. It brings together two complementary sets of assets and fulfils the strategic targets of both companies for their next stage of development. Crucially, it enables the newly combined management team to pursue ambitious plans to acquire valuable exploration, development and production assets on the ground in Africa, supported by the financial backing and governance of a London-listed company. Mwana Africa Plc, has an opportunity to become an African Major with exploration, development and producing assets across the continent"

[hands_solo] 30/9/2005 10:13

Long overdue IMO. You've got to break a few eggs to make an omelette. AFG was going nowhere under the ancien regime. Management control is consolidated in the hands of professionals, we gain entry to the vast, unexplored potential of the DRC (which I think was beyond JT, despite his talents) and the merged company is bound to attract more interest from institutions