Emmerson Share Discussion Threads

[makingmillions] 09/7/2020 13:17

And I can confirm that I am apfindley. Sorry couldn't resist. Lol.

[apfindley] 09/7/2020 13:11

I can confirm to everyone that I've spoken to kcaco and that he's a very honest person. :-)I've not yet spoken to Micky , but as soon as I do I will confirm that he is himself.

[kcaco] 09/7/2020 13:02

Lol .we all want EML to work that’s what we all have in common .....but if doesn’t turn to be what we all believe ... some of you can go and make a living by being Private Investigators and sone of you could be accountants. Some of you really know your figures . I reckon I’m the greenest green men on here . I am very genuine and have no worries accepting that . Some of you really do good research .👍

[micky67] 09/7/2020 12:37

I’ve noticed over the last couple of months that I reckon there are dual identities on these boards but I can assure you I’m genuine and don’t have any other accounts on this board. My account on LSE is Micky1 as couldn’t get 67 for some reason. Why on earth would I have posted loud and clear re the isa situation if I was a fraud.
End of any animosity as this is ruining a good board with decent people.

[sportbilly1976] 09/7/2020 12:34

nice couple of 500k purchases this am.

could have saved a few ££ by splitting them though as 250k is just sub 4.9p

[micky67] 09/7/2020 12:30

As advised the figures mentioned were off the LSE board. I think SB is spot on re the debt financing as likely to be a combination of both off-take and also an increased share price before any share issue were to be considered. Reckon an off-take MoU will be forthcoming first then once permitting is approved both of these should increase the share price If finance also mentioned the share price would see a dramatic increase. AP, I’m a green stock market investor so hence the query I raised earlier subsequent to the post I copied over from LSE. Anyway, with regard to the other digging I’ve done previously re the project that’s the reason Ive put all my savings into this as I’m very confident this project will come to fruition now that they have an experienced mine engineer on board as CEO. Going back to a previous interview Hayden made it clear he would need other technical personnel involved to complete the pre and actual construction stage works so let GC, Hayden and co do their respective tasks and all will fall into place.

[makingmillions] 09/7/2020 12:29

Just goes to show how easily these situations can get out of hand. You can see my account details and posting history. I hardly post a lot and certainly don't want to, let alone pretend to be someone else to do so.Won't say anymore on the issue but do take exception to your insinuation.

[cyberbub] 09/7/2020 12:22

Ok AP, I agree with you to an extent but the 'Micky ISA storm' is behind us now, can we all stop talking about it, even you?Micky has already admitted he's relatively new to this game, we were all there once.

[apfindley] 09/7/2020 12:17

So makingmillions is actually Micky?Why do you feel the need to post from a second account to confirm your own integrity?Very sad.Nobody cares about the isa transfer , so stop cluttering up the board with meaningless talk between multiple accounts. Nobody gives a toss if you have 10k shares or 1million shares, it doesnt affect the company.

[makingmillions] 09/7/2020 11:51

Hi. Hopefully you are not questioning my integrity. I posted a confirmation of a situation as it seemed I was being asked to and gave my view of the situation. Have been investing and using these boards for many many years although not posting a lot and certainly not wanting to get into any confrontations.Anyway back to watching and learning till I can live up to the name. Lol.

[apfindley] 09/7/2020 11:26

137mill vs your 4.8bill is not the same.One is within allotted capacity, the other isnt .The 137m will only be for corporate level use and administrative, expenses, etc, possibly it will cover the director warrants. it will not satisfy project level requirements, that's why debt finance and offtake agreements will be used.I'm not sure if your clever and pretending to be out of your depth or whether you genuinely are green to it all.

[sportbilly1976] 09/7/2020 11:18

micky,

I would be amazed if they don't use the 137mln shares in some form during the finance discussions. The question obviously is how many and at what price.

From Indaba earlier this year Hayden said they had indications that $230-270mln of debt finance would be forthcoming, and this was before the enhanced FS was released and he has commented that this could well lead to increased debt finance being provided.
On top of this there are the potential offtake agreements for a portion of the remainder.

At a 5p issue price they only get just over £6mln ($8.5mln) so imo they'll want to ESIA and permits granted before committing to this to reduce any potential dilution.

topped up with 25k this am on the back of top-slicing a few EUA

[micky67] 09/7/2020 10:50

AP,

One of the AGM resolutions mentioned a possible raise of an additional 137M shares which hopefully won’t be required as they are looking at increasing the NPV level to $1.8Bln by completing a further DFS for the SoP and possible additional resources so even at the current $1.4M NPV would hopefully alleviate the need for a share issue.

Now let’s assume EML receive the full lot of $387M + $24M ($411M) of debt finance what would the share price be assuming the corporate investors even took a 50% cut ? Would this type of funding alter the amount of shares which is currently 686.13M ?

Just questions to enlighten the newbies.

Regards.

[apfindley] 09/7/2020 10:03

It doesnt work like that. They cannot issue that ammount of shares. The alloted share capital doesnt allow for it, and also they they would still be unable to issue such an ammount relative to the currently issued capital. It would have to be a staged release at an increasing price. So i would avoid making the mistake of following whichever idiot posted that hypothetical claptrap on lse.

[micky67] 09/7/2020 09:50

Found this on the LSE board. Made it into straightforward read.

On a PE of 15:1 as of the current share price this gives an MCAP of $4.5B, and using present shares in issue, gives share price of £5.53. If we assume a raise of debt finance required of $300M, is raised by share issue (which won’t be required as finance houses will probs fund the project) then hypothetically to raise $300M would require the issue of 4.8B shares @ 5p each,, totalling 5.45B in issue, giving a share price on the metrics above of 83p per share. A 1660% increase from today’s share price

[micky67] 08/7/2020 22:55

Not called for. Asked for some help and SB and one other provided it. HLands due to current pandemic are not doing bed and isa. I’m being polite as generally everyone has been great on the board which I enjoy reading as we all have a huge interest in keeping tabs on any news or opinions for EML.

[apfindley] 08/7/2020 22:19

So now we have one random newcomer poster having his integrity verified by another random newcomer to the board who he's being sending mp's to, to discuss his plans for fannying about switching shares from dealing to isa in a long drawn out and very public manner.Everyones jaws are on the floor in amazement.

[sportbilly1976] 08/7/2020 17:25

no chance...

maybe Liguria / Alpes Maritimes cycling if EUA and then here come off :)

[micky67] 08/7/2020 16:29

SB, Christ you’ll be in Spain golfing with me mate if this works out - 4 lol :-)

[micky67] 08/7/2020 16:23

hope so mate. Just got a good feeling about the way things are moving and with the work I’ve done behind the scenes I’m in with 444492 shares. So if this even hits 30p which will be eclipsed I’ll be worth a few quid. As I’ve said all along I’m in this to retire sooner than I had hoped for.

[sportbilly1976] 08/7/2020 16:20

yas,

bloody hope so...just over 1.5mln of these now. Hoping to very pleasantly surprise Mrs with transfer to pay off mortgage with gains here hopefully in 2021/22

[yasyas1] 08/7/2020 16:04

You are going to be super rich good luck

[micky67] 08/7/2020 13:36

Company focus now shifts to moving Khemisset towards "shovel ready" status including operational capability build-out, Front End Engineering and Design ("FEED"), detailed design and financing
o Permitting process is well underway including stakeholder engagement, socio-economic impact assessments and the Environmental and Social Impact Assessment ("ESIA")
o The FS, which confirmed a post-tax NPV8 of US$1.4bn and robust financials including over US$300m p.a. in EBITDA, provides the catalyst for engagement with various potential financing groups to commence detailed due diligence
o Detailed examination of various complementary growth options including:
§ Developing a scope of work for a Pre-Feasibility Study ("PFS") for Emmerson's Sulphate of Potash ("SOP") Project, which could take the combined post-tax NPVs for the Company's suite of projects to over US$1.8bn
§ Technical and market impact of upscaled production of the salt by-product in the first five years of operations at Khemisset
§ Bring the vast remaining resources at Khemisset into the mine plan by extending the overall mine life or offering the option of increasing production in the first five years of operations

Hayden Locke, CEO of Emmerson, commented:

"We are pleased with the results of the Feasibility Study, but now our attention must turn to the next phase of development as we seek to move the Project one step further towards our goal of becoming an independent potash producer.

"Despite the impacts of the Coronavirus pandemic, we continue to make progress with our ESIA, which is one of the key workstreams required to be completed prior to our application for a mining permit at Khemisset. Our objective is to have it ready for final submission to the Government authorities by the end of Q3 2020, in line with our original schedule. While we know this will be a challenge, our team has proven itself to be adept at continuing to move key workstreams forward regardless of the circumstances and I am sure this will be no exception. Once the ESIA is signed off by the Government, we will be able to apply for our mining permits.

"Financing will continue to be a focus for Emmerson. The Feasibility Study is the catalyst for various discussions, across debt, equity and non-traditional financing products, to commence in earnest. Over the last two years, we have engaged with numerous potential funding partners and have identified several which we believe would make excellent partners for the Company in the development of Khemisset. We look forward to updating the market as these discussions progress.

"Building out a team with the operational capability to construct and operate a large scale mine is a challenge for any junior mining company, and I see this as one of the main execution risks to address. We will look to add additional members to our team in the coming months as we start this especially important next phase of our development.

"Clearly, our focus must be on Khemisset, but we are also aware that we have several growth options available to the Company, which can add significant value to our shareholders over the life of the project. One of the most pleasing aspects of the recent Feasibility Study was the profitability of the salt by-product. Given the 1Mtpa of sales assumed in the study represents less than a third of our total de-icing salt production - the remainder is left as waste - there is a clear opportunity for further improvement to our already first-class economics by increasing the quantity of salt sold. In addition, we intend to move our Sulphate of Potash project from a Scoping Study level of definition to a PFS level. And finally, as our current mine life of 19 years is based on only 43% of our total Mineral Resource Estimate, we will examine the potential timing with respect to bringing the significant remaining resource into the Project's mine plan, which could more than double our current mine life.

"We would like to thank our shareholders again for their support, and we look forward to the next phase of our development in partnership with you."

PROJECT WORKSTREAMS

The FS confirmed the world class characteristics of Khemisset including industry leading capital cost to production and a post-tax NPV8 of US$1.4bn based on industry expert Argus FMB price forecasts. Perhaps more importantly, it confirmed robust cashflow generation (over US$130m in EBITDA) and IRRs (nearly 15%) at potash prices well below the current contracted potash price in its target markets of Brazil, North West Europe, the USA, central America and Morocco.

The Company's focus will now shift towards the vital workstreams required to move Khemisset toward construction and, eventually, production. These include permitting, financing, operational capability build-out and Front End Engineering and Design ("FEED") before finally moving to detailed design and engineering ready for the commencement of construction.

In addition, Emmerson will re-examine the potential of the various growth and expansion options available to it including the SOP Project, de-icing salt expansion potential and Khemisset Potash Mine life extension. The SOP Project alone has the potential to take the combined post-tax NPVs for the Company's suite of projects to over US$1.8bn, based on the Scoping Study.

Permitting

On 22 May 2019, the Company released the permitting roadmap, which outlined the process required to obtaining the various permits for Khemisset. The major workstreams include:

· Conversion of existing Research Permits to Mining Permits, governed by the Ministry of Energy and Mines

o Requires the demonstration of technical and economic feasibility, to be fulfilled by upcoming feasibility studies

· Environmental Approval, to be governed by the Moroccan Government Comité National de l'Evaluation de l'Impact sur l'Environnement ("CNEIE"). The CNEIE will require the Company deliver:

o ESIA to Moroccan standards. The Company will also ensure this complies with IFC standards and Equator Principles

o An Environmental and Social Monitoring Program ("ESMP") to formalise ongoing monitoring and management of any issues identified in the ESIA

o A Public Enquiry period, during which relevant stakeholders can formally request information of the Company

· Water Usage Permits, governed by the relevant Water Basin Agency

· Temporary Occupation Permits for any Government land intended to be utilised

· Construction Permits for all structures and tailings facilities

[micky67] 08/7/2020 12:34

Thanks Kcaco, spot on re your comments. As advised all my previous posts re all information re the ESIA, Phenixa, financing and permits is spot on hence I’ve got my kitchen sink in here lol.
I reckon the off-take will be announced shortly and Hayden and GC will be looking at the financing options to narrow down the best option leaving EML and us with more in the pot.

[kcaco] 08/7/2020 12:26

You sound genuine Micky and your confidence is reassuring . And I honesty hope this comes off for you. I’d love to have the balls to chuck some more in . As I said previously I lost a life changing chunk at the turn of the century ( Cable and wireless shares ) ... so I am Very wary .
I just want to be part of something that moves in the right direction as I’ve never made money on shares . I lost a few quid again a few years back and I only picked up the remains of my share portfolio during lockdown . I found Emmerson by chance . But I think I have found a good company .And it looks like they will get moving this autumn or possibly sooner . I’m renovating houses so I need to keep my money for that even though the rewards here could be life changing . I’m hoping EML pays for a bathroom
extension and a kitchen re fit .GLA