Kefi Gold And Copper Share Discussion Threads

[enter] 01/3/2020 19:32

I just think that the fall in the share price is overdone. More delay that we didn't want but I don't see why the EG or ANS would want this to fail. Too much time and effort has been put in to this to see it fail. Also there is significant value in Hawiah that isn't being recognized in my opinion.

[1deedee] 01/3/2020 19:05

I've always been an avid reader but can't spell to Save My Life dyslexia from a very early age but when I read estseon and I've been reading his posts for a very long time. say say the liar I think it made me feel this was a bad investment you've always been up beat on the spot calculations and very optimistic how times have changed we need this funding soon as possible bring everyone back into the game and give us value for money just my thoughts

[molatovkid] 01/3/2020 18:31

Is that the same money we're waiting for now?

[outlawinvestor] 01/3/2020 17:58

Boy, KEFI history is sure full of some amazing announcements! Check out 28 Jun 2019 and imagine the relief, elation, tail wagging (and of course total disbelief from the doubters) when this was released:

ANS Mining has confirmed its first instalment of US$11.4 million (Ethiopian Birr equivalent) will be released to trigger community resettlement and other development tasks, upon the satisfactory receipt of the aforementioned updated independent reviews. It has also now advised KEFI that it has assembled the full US$38 million (Ethiopian Birr equivalent) for its beneficial interest of 33% of Project company, Tulu Kapi Gold Mines Share Company ("TKGM").

Ethiopian State Minister of Mines and Petroleum, Ato Assefa Kumsa, commented, "The Government welcomes the commitment by KEFI and TKGM to this priority project for Ethiopia and we are pleased to work closely with them to regulate, to protect and also to invest."

Director of ANS Mining, Ato Demissie A. Demissie, commented, "ANS Mining is pleased to be working alongside KEFI and the Government and is ready to proceed with its US$11.4 million (Ethiopian Birr equivalent) subscription to TKGM for the first stages of the Project development in accordance with the agreed terms upon satisfactory completion of the independent reviews and within this tightly disciplined framework."

KEFI and TKGM Chairman, Mr Harry Anagnostaras-Adams, said, "The decisions taken with our partners and the Government strengthen our preparations, tighten security and preserve production target of mid-2021. Overall, they shield our Project from heightened anxieties in the country at present, which everyone is nevertheless confident will abate quickly."

[enter] 01/3/2020 17:38

All the blame is being placed at ANS door but we don't really know what's going on. Harry says that the federal government has set up a regional government investment fund for mining and they are now working with ANS to execute the agreement in March. It all comes back to this public private partnership which is a new thing in Ethiopia.

[1deedee] 01/3/2020 17:23

Tops I make you so right good post tick up from me

[1deedee] 01/3/2020 16:44

Just one of the many questions I've asked brr to mention to Harry for the webnar I know it's not constructive but I'm not really caring anymore

I'd like to ask Harry is he just going to pick the questions that he wants to answer or is he going to answer the real question of dilution and share value destruction

[mab] 01/3/2020 13:59

If tulu kapi worth $100m plus why dont kefi sell a few % of project to ANS or eth gov which would eliminate further share dilution and undepin the share price perhaps.

They did this for the hawaih project..

But then again the admin would delay the project for another 3 months lol

[matthew stone] 01/3/2020 13:44

I would say it's almost a certainty that the contractors will have already sold their shares at the earliest opportunity - they could of done this at 10-20% higher than the issue price, so a nice little uplift on their wages.

Unfortunately, the directors are in the same position as the rest of us - they can only wish and hope the share price will be higher than 2p by 30th April. The only exception would be if there is a clause in the ANS 'unconditional' subscription agreement which states payment must be made by this date? Let's hope so, but if there is, why could this not be spelt out in an RNS?

[matthew stone] 01/3/2020 13:35

I don't think we will 'go under', but any further delays WILL necessitate further dilution. It is obvious the market is anticipating this and this will drive the price for any such dilution down still further. We know we need half a million a month just to keep the show on the road now, and we must have some Saudi exploration costs to add to that.

I appreciate I'm 'lucky' enough that the vast majority of my purchases have been post-consolidation, so in all honesty the dilution thus far doesn't phase me too much. I still think there's major value to be had here, and there are any number of no-hope AIM mining shares out there with 1/10 of our assets with 5+ billion shares in issue.

The problem is we have no leverage with ANS. I appreciate that if one of your partners is the government, you are never going to be calling the shots, but HAA has got us into a situation where we are by far the weakest partner of three because of our desperate continual need for working capital. You could argue that, had we been in a stronger position, given the gold price we should be looking to negotiate ANS' subscription upwards!

[enter] 01/3/2020 13:12

I don't disagree that this has been a farce but getting a gold mine up and running in Ethiopia was never going to be easy. Kefi probably has no choice but to do this deal with the Ethiopian government and Ethiopian partners. Anything else would be considered robbing the country of its resources. What is he going to do? Storm into the meeting with EG and ANS and say I want the money now? All that is going to do cause bad blood and more delays.

By the way I'm not happy with all this either but you either have to be patient or sell up.

Another point is that 149,000,000 shares were issued in January to pay contractors and directors. It's in everyone's interests for the shares to do well. The directors took £600K of shares at 1.25 so the last thing they want is for the project to be delayed. Also why did they issue warrants at 2p with an expiry date of 30th April? The directors must believe that the price will be higher than that.

[scrappycat] 01/3/2020 13:09

Personally, I am as frustrated as anyone by the failure to finalise funding, but I am not interested in dragging up the history. I want the show on the road. With the TKGM project, continually dragging its heels, why not go for the development of the Saudi project.

The Saudis want to develop their mine potential, and have plenty of cash to promote this. Why not try for a debt financing package with the Saudis, for the rapid development of the shared Kefi interest there. Also, I seem to remember offers from other African banks to fund Kefi. Any talk of going under seems very premature to me - but then I am an optimist.

If Kefi could get the Saudi project up and running, the that should provide funding eventually to get TKGM of the ground, irrespective of Ethiopian funding, and might well apply some pressure to them to get on with things. They surely want their interest in TKGM/KEFI preserved. Even the threat of such action with the Saudis might prod the Ethiopians into action. Am I being too simplistic?

[mab] 01/3/2020 12:50

from harry interview on friday..

- nothing high level has changed
- plant location moved slightly leading to new construction and debt finance signoffs
- closing of bank debt finance moved slightly from may to sep because of elections,
also coincides with start of dry season
- project equity: federal gov shareholder being replaced by regional gov investment
fund for mining

slow progress but harry sais it's syndicated and combined for "best fit" all intended to "work even better for us"

unfortunately hasn't worked out very well for kefi shareholders and the death by 100 share dilutions over the past few years.

[matthew stone] 01/3/2020 12:41

This was my point earlier - we have had no indication as to ANS' true intentions, and has this rumbles on you can't help but wonder what their game is....

I appreciate this won't be a popular view, but on the basis that I would rather have 20% of something rather than 100% of nothing, it's got to the stage where I would rather they sold some of their interest in Saudi and if possible raised enough cash to be able to proceed with TK without ANS if necessary. We may then see if ANS are as keen on supporting this project as Kefi tell us they are....

[topicel] 01/3/2020 12:17

Matthew - Harry was advised in 2015 when he did a raising to make it much larger then.

As with the missed opportunity at stupid low interest rates, the austerity view was taken and the problem of needing more investment cash remains, so it does with not having taken much larger dollops of funding at 5p - old money - when TK was being programmed.

That was the time to take the hit. Instead he went to loan sharks, in all but name, and then consolidation, then more of the same, then dilution again in dribs and drabs.

I ask why ANS are not being sent a bill for their procrastination?! If they knew we were likely to go under, and the deal was therefore dead anyway, would they care?

It looks like they wouldn't, which makes them far from an equal/trusted partner as they've been described.

Topicel

[topicel] 01/3/2020 12:11

I consider the London meeting folk too just yesterday Digger.

They were given plenty of reasons to be confident and some reported on here they were satisfied. The trouble is, are they just the type who are easily satisfied and as with most company and political heads, people will always accept what they say? They get very practiced at it, after all, being economical with the truth!

Estseon was blunt and it shocked me when he basically said he would not be listening to Harry's lies on Friday.

How much more does anyone need to be convinced this is just intolerable now?

Nevertheless, if you are genuinely aggrieved then post a question here and then put it to BRR on Friday and we will see what is what. Harry should answer or we'll know it is probably as much as a delaying tactic as with Covid19 to stop panic while he gets sorted to move into Saudi again. After all, that was all TK probably was about anyway.

Topicel

[matthew stone] 01/3/2020 11:49

Don't get me wrong - I'm way past defending Kefi's opaque way with an RNS - I don't think I've read a single one of any import which didn't prompt more questions than provide answers..A cynic could argue TKGM was created precisely to enable this lack of transparency to shareholders.

None of which matters if things are progressing as stated, and this month is the month everything happens. My guess is there will be a small raise in the next week or so (surely they will wait until after the webinar if they have any sense?) and the size of this will give us a clue as to when monies are expected. If I'm wrong, and we get to a few days after the webinar with no dilution, then I would see that as a good sign that monies are truly 'imminent'..

[digger2779] 01/3/2020 11:38

Saudi won't happen if TK fails. Where's the money coming from? More dilution at a millionth of a penny at this rate.
I just wished he'd keep his trap shut if there is no progress to report instead of spouting all this "no news" wrapped up in double speak. It seems the only plan B he has is thumbing through the Yellow Pages equivalent of death spiral financiers willing to take PI's money.
Wonder what the guys on here who went to meet up with him in London are thinking now?

[enter] 01/3/2020 11:14

Nobody is happy about the delays but if ANS are working with the regional government investment fund to get the paperwork sorted during March we are moving forward. In fact it could be argued the government have caused this delay. The fact that this is a public private partnership makes it a bit trickier than just a private partner. This may even be the first public private partnership in Ethiopia.

Plus we have good results coming out of Saudi. Another project that could be worth even more than TK and will be much easier to execute.

[topicel] 01/3/2020 11:01

Matthew - of course there is commercially sensitive, but we are a public company and he says things via RNS that are unclear and misleading.

He needs to act as a proper managing director and represent our interests which in turn means being frank after years of meaningless words on all sides. Of course we all want this 'done' à la Brexit, but as with that farce (there is always someone we don't like telling us what to do!) we now realise it won't be 'done' unless we set an end date and/or play a little hardball.

Harry has been far too desperate, and in turn it has made us all poorer. The deal is off time was over a year ago. Post a pithy question for him on here and copy it to BRR media site for Friday's webinar.

Let's at least now call our own CEO to account for his actions/position. He owes us that; the next dilution must be a killer for six more months unless he gets ANS to show some commitment and he should tell them and the Ethiopians the company will go bust without their first tranche payment in March. End of.

Topicel

[mab] 01/3/2020 10:56

Seems like the latest goalpost moves is down to the shift of the elections from may to aug. Bank finance wont commit untill after elections hence the delay to start of major works from june to october 20. What i take from Harrys interview on friday anyway...

[topicel] 01/3/2020 10:51

"Why have we agreed to ANS paying less in the first tranche than originally?"

"Does it still apply that any ANS monies paid are refundable by Kefi if the TK project does not proceed to full production? If this is so, why doesn't Kefi ask for a goodwill payment?"

"When the ANS involvement was first announced in August 2018, Harry said there were three main players who personally wished to subscribe $3m into the project equity. Are these fellows still involved and so inclined, and if so could they not show leadership and goodwill by placing their commitment in an escrow account?"

"Would it be true to say the fact there is a 'moneyback guarantee' to ANS that any demand that their payment is 'unconditional' is ultimately not worth the RNS paper it is written on?"

"Can you confirm that the 'unconditional payment' of the first tranche monies, as announced in the RNS, is written into the legally binding agreement that was apparently signed up to by all parties in general meetings at the end of January and 14th February?"

"Aside from administrative hurdles, has Kefi at any time required a date deadline with penalties for delayed promised first tranche payments given the costs to Kefi and its shareholders that result from such delays in the raising of funds time after time?"

Topicel

[matthew stone] 01/3/2020 10:44

I'll tell you now he will not furnish us with ANY specific details of the contract with ANS - that will be deemed 'commercially sensitive', or somesuch...

Unfortunately, this is exactly the sort of information we shareholders need to enable us to make informed investment decisions..