Kefi Gold And Copper Share Discussion Threads

[unionhall] 04/6/2021 12:21

Indeed, except that they are so inept/careless they didn't know that in April when they drafted the 14 April RNS ?

[scrappycat] 04/6/2021 12:18

The documentation can only be executed (i.e. finalised) when the shares necessary to do so can be issued. This can only be done after the authority to create and issue such shares is given by the shareholders at an AGM/EGM. Nothing to get excited about imo.

[pensionplanner] 04/6/2021 12:10

The market seems to have reservations but I’m happy we have a new contractor so high up the African pecking order and which must appeal to EG.

It’s still the “progress̶1; rather than the signed and sealed deal which I suspect is holding price back but where if it is signed and sealed I doubt it would be easy to buy anywhere near current share price As ever it’s risk reward ratio.

[unionhall] 04/6/2021 11:59

...what digger2779 said in 13482.....

Plus.....

New Mining Contractor Corica with whom Kefi have a "LOI"..

but in April 14th RNS the "mining contractor" was front and centre
"Mining Contractor to supply fleet within mining services agreement, c.US$60 million"
"mining contractor to invest in KEFI shares."

Are those commitments still in place with Corica ?? Why is it not specified?
Did Kefi know of the re-tendering at that time 14 April ? If so the 14 April RNS is totally misleading.
If not - how did they get such a complex re-tender executed in six weeks?


Also re financing

in April 14th RNS....

" The key steps to progress the development of the Tulu Kapi gold mine during the first half of 2021 include the following:
o approval and execution of detailed finance documentation;"


Today's RNS ....

" Responses are up to date in respect of the senior lenders’ due diligence requirements for credit approval. The timetable for Project finance remains for execution of detailed documentation as soon as possible after the KEFI AGM on 30 June 2021 "


ie execution of detailed finance documentation has moved from "first half of 2021" to "after 30 June 2021".


How I wish they would someday issue an RNS which is clear, unambiguous and not full of contradictions and riddles.

[robjm66] 04/6/2021 11:50

Whu319

“The Options expire after 4 years and, in normal circumstances, vest in three equal instalments, the first after one year, the second after two years and the third after three years from the date of grant.”

“The Company’s practice over many years was to make an annual allocation of options at the end of each calendar year. However, allocations in recent years were deferred pending the announcement that the project financing was proceeding for the Company’s Tulu Kapi Gold Project.”

Find it reassuring that people are taking options rather than money (in some cases) in expectation that TK is going ahead.

As for the “re-tendering” we can argue the pro’s and con’s and that us nervous Nellies should have been told before, if we had been though some people would have gone into total meltdown and simply would not have believed any reassurance that the problem could be sorted quickly and the shareprice would have cratered before it bounced back on the news that the problem was solved.

Personally just relieved that the problem got sorted out quickly and it looks like things are still on track.

[goatherd] 04/6/2021 11:36

Topicel,

I agree with your statement of facts.

I was not implying you lied. What I was stating was that you did tell me what you say you did; but I did not know it of my own knowledge. Therefore you cannot use me to prove your statement. I was not impugning you in any way. But nor could I support your statement other than by saying "yes, that was what you told me".

And, no, I do not think that putting anything out to tender, or retender, is worthy of a RNS. The result may well be - and that is what we saw today.

[topicel] 04/6/2021 11:35

From Rob's Mining Weekly link -

"A new mining contractor, Corica Group, is replacing the previous mining contractor on better terms after re-tendering of the contract.

A letter of intent has been signed with them covering the major works package due to start its procurement any time from July."

Who knew we were out to re-tender? Is that not worthy of an official RNS? A line on the website in the non-existent news page or, even a pithy webinar comment?

Nope, let's just go ahead and do it and tell 'em when it's done. Bury it in the middle of an RNS and not worry about what is involved when it is just a LOI for now. No idea what the terms will be once Corica have done months of due diligence.

Or have they already done all that? Or is it not necessary? In the past we are all told such matters take time...

"The early works programme with principal process design and construction contractor Lycopodium has started this month and the major works package has been agreed to start any time from July."

We were told similar in 2018 about Lyco and it was all being done in Perth 'virtually'. It is now 'starting this month'.

"Responses are up to date in respect of the senior lenders' due diligence requirements for credit approval.

The timetable for project finance remains for execution of detailed documentation as soon as possible after the AGM, then equity subscriptions for launch of full development, followed by debt drawdowns during the fourth quarter this year."

Mmm, I'm reminded of the excitement when Harry announced the bond was being pursued in Sept. 2017 (18?). That was trumpeted and responses were up to date yet silently, a couple of years later, it drifted away. Nobody in the bond markets in Switzerland had ever heard of it...

And doesn't 'equity subscriptions' have just a ring of ANS about it? What happened there...?

Harry needs to do one of his sit down chats with Brr Media or whoever and explain some things before I'm convinced. Once bitten (once?) and all that...

Topicel

[whu0319] 04/6/2021 11:27

Now I can see why HAA offered 2.55p Option to his team for locking in 4 years without followed up with funding confirmation as otherwise the team will be falling apart too! Cunning move , no?!

[rich1e] 04/6/2021 11:15

I wonder if Corica groups current clients include a ftse 100 company?

[rich1e] 04/6/2021 11:01

Hopefully not far off naming names. Should the ftse 100 industrial turn out to be a mining company, then the market will probably put two and two together and get 4..... p

[scrappycat] 04/6/2021 10:50

Topicel,

You put your interpretation on things, I will stick with mine. It seems my long held prognosis that the mine will open is about to come to fruition. Yes, there is likely to be more dilution to achieve start up, but what else can we expect. It is an AIM share after all.

[goatherd] 04/6/2021 10:49

Topicel,

In your 13471 you say, in order to add support to your post , "They told me - as Goatie knows". I know no such thing.

You did tell me that they had said that, sure. But it was purely hearsay, and hence I cannot support your comment.

[robjm66] 04/6/2021 10:44

Do not blame Ausdrill if they lost patience or could be the Ethiopians wanted an African contractor for political reasons. If there had been a major delay would have expected the AGM to be pushed back substantially whatever the rules are.

[scrappycat] 04/6/2021 10:41

Topicel,

Does anyone really care what Ausdrill thought. It is probably only hearsay evidence anyway. Kefi state they have a better deal in the RNS, so I believe they do. That can only be to Kefi's advantage.

[topicel] 04/6/2021 10:30

Rob - Ausdrill had left in all but spirit ages ago. They were no longer participating in share options etc. for some time.

They told me - as Goatie knows - that they were not happy at a 50% loss in 2018 and the interminable delays and were just being patient using another Aussie-ism about the gestation period of an elephant...lol.

So now baby elephant has started growing some tusks they're off. That was all I'd say the EG warnings were about and, as I have wondered, will the LOI with the new lot be followed by six months due diligence?

Or does it not work like that? New outfit, nobody was told about, and we hear on a Friday hidden in a lot of other random info about AGM's maybe being convened...it all bears the usual hallmarks of nothing happening to me.

Hope I'm wrong! 5p with another billion shares for this year will be hard to see any time soon, no matter what gold does.

Topicel

[whu0319] 04/6/2021 10:28

"Whilst final approval of this updated plan is awaited as a condition precedent of the Project financing, TKGM has exchanged formal confirmations with the licencing authority regarding TKGM's commitment to honour the already outlined Project timetable;"

Ask your self , if Kefi was not given Warning by the regulator before, why all of sudden Kefi talks to the License Authority to "assure its commitment " with ZERO Money ??? Did HAA told us all true and has Kefi been given the guarantee that EG will not revoke its License ? Placing way below 1.5p is definitely on the cards and the whole thing drags on after July when rain season starts so nothing will be done on site ! GLA

[scrappycat] 04/6/2021 10:27

Topicel,

I cannot be bothered to dissect the majority of your recent postings, which continue to reflect your negativity - despite the risk/reward ratio going very firmly in the reward direction.

However, i would like to address one point. It concerns Ausdrill/Corica. From the RNS, this involved a retendering process, viz:

'A new Project mining contractor, Corica Group, which is now the largest mining contractor in Africa, has been appointed, replacing the previous mining contractor on better terms after re-tendering of the contract.'

Ausdrill obviously lost out in the tender. There is no evidence whatsoever to say the were 'spooked' and withdrew. It as Kefi who requested the retender - much as you might do periodically when you review your power suppliers. Nothing dramatic, but the change of contractor does seem to require the amendment of the feasibility plan. I doubt this will prove an issue, but did require to be mentioned in the RNS.

[robjm66] 04/6/2021 09:58

Topical expect formal confirmation of the date time and place next week Kefi were probably desperate to get the news out that the AGM would be taking place this month. Where and when if it’s online or not might be down to covid restrictions.Think the rns is a bit rushed maybe they also wanted to get out the info that the contractor had been replaced before anyone knew they had left.

formal confirmations... to honour the already outlined Project timetable. Basically think Kefi are reassuring the Ethiopian government that things are still on track could be the the Ethiopian government was annoyed by the fact news would be coming out post election but thats only a theory.

procurement any time from July 2021;...well AGM is on last day of June...Kefi will have the mining and construction plan and not as if they will need every bit of plant and machinery from day one.

Responses are up to date in respect of the senior lenders' due diligence requirements for credit approval....means the banks and so on are still happy to lend the money without a whole new round of due diligence

150 local personnel...compensation procedures...starter homes..

Photos well there are some security risks and the company has provided some photos in the past, main plus is the company is spending to do these things which is probably the best indication

[katsy] 04/6/2021 09:56

I don't know what to make of that RNS and by all accounts neither does the market. On the face of it it all looks good but closer inspection tells me it's another can kick RNS. Still no idea who this £billion company is!

[belfastboyo] 04/6/2021 09:44

Hmmm...I was hoping that we would get the full finance closing RNS...but on balance this is still a very positive RNS...employing 150 locals and starting to move local families must mean this is going ahead & the EG & local Gov. are supportive. New contractor is interesting...but I will reserve judgement until I see the AGM resolutions & final funding RNS...TBA.

[topicel] 04/6/2021 09:37

You would have to suspect with the surprise change of operator that many would be wanting out and sitting back.

MMs are making it possible perhaps. I hope not but there are too many developments today - a Friday for goodness sake - and it seems probable this was the root of the EG warning too.

They know this will not be a quick fix. How long has Harry known Ausdrill wanted out?

Like I say, reasoned and non-emotional answers are welcome, I don't want this back to 1p to keep the lights on. More averaging down is not what anyone will want, but can we hold out until end of June - or 'anytime from July'...?

The share price is all I care about now (as ever).

Topicel