Bezant Resources Share Discussion Threads

[eswr] 12/7/2012 15:51

My analysis is very simple as stated by the Company

"In the event that the Option is exercised and the sale and transfer of the issued shares in Asean is completed the Company anticipates that approximately 50% of the gross sale proceeds will potentially be available for distribution to Shareholders. A return of cash to Shareholders will be subject, inter alia, to obtaining professional advice from our financial, legal and tax advisers and prevailing exchange rates at the appropriate time, and taking into account the view of Shareholders at that time (as appropriate). Of the 50% of funds retained, all taxes will be paid out of this sum with the remainder being retained to progress the Company's copper/gold exploration portfolio."

So we may received $63m/1.55*50% = £20 cash back to shareholders = circa 32 pence per share

So I make a 50% return by early next year IF the option is exercised and I am riding for free on the Eureka project which will also be cashed up to make more progress.

Based on my analysis of Goldfields Far South East/Mankayan project

- All technical and legal DD has been done and Goldfields is doing more infill drilling to move the resource from inferred to indicated (based on discussions with CEO)
- - See also the goldfields short form 2011 report and page 12 about the option with Bezant for Mankayan " The Mankayan project is immediately adjacent to the Far South east project and contains a significant buried gold-copper porphyry deposit located at Guinaoang about four kilometres east of the FSE deposit. Diamond drilling is planned at Mankayan in 2012."
- there should be material cost savings if the Far South East and Mankayan projects are run as one operation using where possible shared infrastructure
- Goldfields has exercised its option over FSE and now has 60% - it all looks very promising

[buywell2] 12/7/2012 12:08

folks who don't like what the chart shows are in 'denial'

the chart shows what the market says

the market is a reflection of the ''balance'' of sells v buys based upon company news, trading and future prospects

[tiger60] 12/7/2012 09:46

tbg, your 40p is rubbish -and you know it - your calculations based on total incoming revenue without reference to prior and current year operating losses. What are your qualifications - are you an accountant?

I am also seeking opinion from Bezant as to expected net amount and will get back to you but your scaremongering is banal.

You got the cash balance wrong by 3m and Eureka being worthless is completely unfounded. i recently posted an article relating to continued foreign funding in a large resource project. Bezant reflects macro economic sentiment.

[tbg123] 12/7/2012 08:29

got to love the accuracy of charting. bzt true to form remains in the primary down trend that will see the shares continue towards 18p in the short term.

perhaps a few investors realising 40p is not quite 70p!

[tbg123] 11/7/2012 12:21

tiger legally they cant! even if they could goldfields was considered the best offer after almost 2 years of trying to sell the asset. you really better hope goldfiels take up the option otherwise there may not be anyone else willing.

[tiger60] 11/7/2012 12:12

Dont get that. THere is nothing to stop them from planning - formal talks maybe but you are naive to think that they wil not be have quiet chats to the relevant people.

[tbg123] 11/7/2012 12:08

tiger do some research, bzt have entered into a binding agreement till the end of jan 2013. they cant even talk about mankayan to another party let alone try to sort out a deal if gold fields walk away.
as you can see from my number there is not much upside even if they do take out the option.

GEONG (GNG) is not any thing to do with BZT! yes sir is ramping another share.

tiger i take no pleasure in the fact your not making money, all i am tying to do is point out the reality so people dont buy in on the 70p hype. its not true. 40p sound alot less grand and may make poeple question if the risk is worth it!

[tiger60] 11/7/2012 12:03

Yessir - what does it say?

[tiger60] 11/7/2012 12:01

What is not in doubt is that the share price has fallen to near lows and unless you got in recently like me you are sitting on a loss.

The last update was on the 18th April maybe due another on the 18th July as to the authorisation process in argentina and comment on the option. At least to state that they have a plan B in place if Gold Fields were to turn down the option. IE they are in contact with the other 'interested parties' that lost out when Gold Fields were selected.

A bit of a Pr push would not go amiss. However, you look at it TBG is making money and we are not!

[tbg123] 11/7/2012 11:58

ok tiger you have it at 30%, i have it at 35% from the Philippine government website on tax.

please dont take me for a person that cant divide £ 6m by 73m tiger! i have been generous with my cash allocation of 10p a share. £6m cash would only give a share price of 8p. if i only gave £6 m cash it would come to 38p a share.

BZT will need to pay tax on the Philippine operations if the project is sold through its Philippine subsidiary.

BZT the listed AIM company will then report a profit from it interest in that and pay corp tax here in the UK. they are not paying double.

CJjohn- what money after the special dividend? there is none! after all tax is paid BZT are left with £23m, that is what they have said they will return to shareholders. after the SD there is no cash other than what they have left from the placing.

[cjohn] 11/7/2012 11:36

Hi TBG 123,


1. Why would BZT pay double corporation tax?

2. You're assuming ZERO value for the 21m sterling not handed to shareholders. But not all that money will be put into Eureka - which I agree with you has very significant political risk asscoiated.

[tiger60] 11/7/2012 11:32

I have corp tax at 30%. The accounts will adhere to UK accounting poicy and they will be able to set off against losses from previous years. I am pretty certain your simplistic representation is inaccurate but I will check.

Last cash balance reported £6m not £3m so will you change you 10p to 20p.

Disagree on Eureka

[tbg123] 11/7/2012 11:09

in some countries you can offset capex against future profits, not in the Philippines ( or not in many other countries for that matter).

see if you had just sat down and gone through the number daytraders you would see that they will not actually get that much money.

[daytraders] 11/7/2012 11:04

And dont we offest alot of that with previous years losses, surely we must have some of them.

[daytraders] 11/7/2012 11:02

are you sure we would pay both taxes totaling 58% even ?

[daytraders] 11/7/2012 10:54

and what you on about no value for Eureka, we put millions into that already, and your forgetting our other assett as well, it all adds up.

[daytraders] 11/7/2012 10:51

forget my post, i misread.

[buywell2] 11/7/2012 10:42

Goldman Sachs are long GOLD and COPPER as are Morgan

Goldman has $2175 on GOLD for 2013 and Morgan circa $2,000 other banks are lowering their forecasts

They could end up losing a packet if they don't unwind positions before a major pullback

[tbg123] 11/7/2012 10:37

sure thing tiger, so BZT have said they may give a special dividend of 50% of the £42 m ( $63m/1.5-50%) = £21m = 30p, the other $6m ( £4m) will be used to fund further developments at eureka and general running costs.

so 30p special dividend.


Corp tax Philippines at 35%- ( 35% of $70m = $45= £30 m


Corp tax UK at 23% - ( 23% - £30m = £23m

so after tax BZT get £23m - SD of (50% of $70m/1.5=£23)

net cash after tax and special dividend = £0

from last years years accounts the company had around £3m cash or aprox 5-10p a share.

30p dividend- 10p cash brings me to the sum of 40p tiger.

i dont ascribe any value to eureka as i think they may have to walk away from that project given the political situation in Argentina.



*SEC. 28. Rates of Income Tax on Foreign Corporations. -
(A) Tax on Resident Foreign Corporations. -

(1) In General. - Except as otherwise provided in this Code, a corporation organized, authorized, or existing under the laws of any foreign country, engaged in trade or business within the Philippines, shall be subject to an income tax equivalent to thirty-five percent (35%) of the taxable income derived in the preceding taxable year from all sources within the Philippines: provided, That effective January 1, 1998, the rate of income tax shall be thirty-four percent (34%); effective January 1, 1999, the rate shall be thirty-three percent (33%), and effective January 1, 2000 and thereafter, the rate shall be thirty-two percent (32%).

[daytraders] 11/7/2012 10:18

Lol videos like that have been doing the rounds the last 4 years, and they have got it wrong every time.

[tiger60] 11/7/2012 09:52

tbg, you still havent given me a breakdown of your 40p a share figure if the option is taken up - care to enlighten us?

[tbg123] 11/7/2012 09:10

a must listen.

[mazag2] 10/7/2012 23:45

Interesting news taken from Bloombergcom

Investors decreased bets that copper prices would fall. As of July 3, net-short positions totaled 1,749 contracts, compared with 13,770 a week earlier. The metal is up 4.9 percent since reaching this year's low on June 4.
Goldman Sachs said copper usage probably will keep climbing in China, the world's top metals consumer.

A 50 percent jump in June property sales in eastern provinces of China compared with a year earlier will support metals demand, Goldman said in a report yesterday. The Copper Development Association says construction accounts for about 40 percent of demand.

"In a multitude of commodities, you have long term, supply-demand constraints," said Michael Cuggino, who manages about $17 billion at San Francisco-based Pacific Heights Asset Management. "A lot of this negative sentiment is already priced in, which from our standpoint would argue for a long-term buying opportunity."

[currypasty] 10/7/2012 16:21

the better the bargain seems, the more likely they will take the option