Kibo Energy Share Discussion Threads

[tadtech] 28/11/2014 15:45

Once again a reminder of what the CEO said recently.......

'Make no mistake, we are on the threshold of unlocking tremendous value in this company'

[ertugrul] 28/11/2014 15:34

Only blue share is KIBO on my entire watchlist

[pj787] 28/11/2014 15:22

Should be an interesting last hour of trading! Gla

[california joe] 28/11/2014 15:04

African Barrick is history, changes name to Acacia Mining
Cecilia Jamasmie | November 27, 2014


African Barrick is history, changes name to Acacia Mining
The London-listed miner tried for years to establish a more independent identity from parent Barrick Gold, and the name change seems to emphasize that.

Barrick Gold’s (TSX, NYSE: ABX) subsidiary, African Barrick, said Thursday it is now known as Acacia Mining (LON:ACA), a company still focused on the African continent and 64% owned by the Canadian gold giant.

Unveiling its long-term strategy, Acacia said one of its first moves will be moving its operations at North Mara — a constant target of small-scale gold looting by locals—underground, which should improve security and extend the life of the mine, the firm said.

The project is expected to produce 450,000 ounces of gold over a five-year mine life at an all-in sustaining cost (AISC) of under $750 per ounce.

Buys new project

The renamed gold miner also unveiled it had inked a deal with West African gold miner Sarama (TSX-V: SWA) to buy into its Burkina Faso field. The agreement could see Acacia acquire up to 70% of the Sarama's Houndé project.

The mid-cap gold miner, which spun off from Barrick Gold in 2010, has been tightening its belt since 2012, as it has been hit hard by low bullion prices and higher costs. At the same time, it has tried to establish a more independent identity and the name change seems to be a way to emphasize such sought-after autonomy.

Last year Barrick Gold failed to complete a potential deal to sell the Tanzania-focused company to a Chinese buyer, but did sell down part of its holding in March.
Last year Barrick Gold failed to complete a potential deal to sell the Tanzania-focused company to a Chinese buyer, but did sell down part of its holding in March.

An acacia tree is hardy and resilient and thrives in tough environments. These certainly sounds like the attributes a gold company would want in today's market condition, with prices hitting four-year lows.

Other than North Mara, Acacia has two other producing mines in northwest Tanzania – Bulyanhulu and Buzwagi. It also has exploration projects in Tanzania, Kenya and Burkina Faso.

[california joe] 28/11/2014 15:02

Barrick Gold are ina bit of a bother. Changed their name and trying to flog off a few assets!

[pj787] 28/11/2014 15:01

1 1/2 hours left will we see flurry of trades before close of day.

[michaelsadvfn] 28/11/2014 14:17

Just think we only need 100 PIs each with 2.34 million shares...

lol, that's almost spot on my holding(2.31m).

There are others with a bigger holding.

[gilbly] 28/11/2014 14:12

When news does come the PI's may be in a strong position if they continue to hold. Look at the percentage of shares each of you hold. I have kept adding over the last few days and just added 275K today, then just realised the % of shares in my kitty.

Fully diluted and allowing for Metal Tiger (21Nov 2014 RNS) and their warrants (20 million) there will be only approx. 285.7 million shares. It may prove very interesting to see where the PIs stand re shares accumulated.

If BOD (7.61%) along with others hold approx. 11% (this may be old now) that’s 31.43 million and Metal Tiger have 20 million incl. warrants. So Investors will have 285.7 - 51.4 = 234.3 million shares.

Just think we only need 100 PIs each with 2.34 million shares and the stock may be ours with the institutions stuck on the side-lines. However the institutions must surely be snapping up some shares by now especially with all the news to come and if they are it is leaving less for the PIs.

Probably only a hypothetical situation but interesting development if the small investor came out on top, but would we hold for long?

Gil


Edit - Just noticed that the above 31.43 is probably out by 2M as the 11% will apply to the 265.65 FD shares as below from the web site.

Share Capital (last updated on 24 November 2014)
Issued Shares: 264,238,757 *(& 1 291 394 535 Deferred Shares)
Shares held in Treasury 0
Outstanding Options & Warrants: 1 406 892
Fully Diluted: 265,645,649
Shares not in public hands: 11%

[ertugrul] 28/11/2014 14:10

Buys hidden in isdx again


28/11/2014 13:38 146,458 @ 2.02
28/11/2014 13:33 5,311 @ 1.922
28/11/2014 12:47 49,504 @ 2.02
28/11/2014 11:45 40,437 @ 2.02
28/11/2014 11:23 275,000 @ 2

[ertugrul] 28/11/2014 14:01

Yeap, very good. Thanks for that Gil

[10009504] 28/11/2014 13:38

Good summarry

[gilbly] 28/11/2014 13:19

I keep forgetting about this RNS fact.

“Pursuant to the terms of an inherited agreement with Barrick East Africa Exploration LTD (BEAL), Kibo currently has an effective 90% interest in the Imweru Project, with Barrick having a 10% carried interest up to a decision to mine at which point they have to contribute or be diluted to a 2% net smelter royalty. BEAL also has a first right of refusal pursuant to which they can buy the 90% interest in the project at an agreed market related value after completion of a Bankable Feasibility Study. Kibo remains the operator of the project.”

RE decision to mine, I wonder if the decision to mine is official as Barrick will then have to contribute or be diluted to the smelter royalty.

So based on the above statement we would appear to have a possible buyer, at least when we get to the BFS stage, when the resource will be worth so much more, even in the ground.

Forgetting about the Coal JV and the Nickel and Uranium JV and the other Gold site, the absolute minimum value of the gold at Imweru is higher than the existing share price.

At Imweru, Kibo's 495,000 oz resource at $1200 / oz is worth $594 million and with 265million shares say, the resource value per share is about $2.24 or £1.37 out of the ground.

However assuming a pessimistic viewpoint that the gold in the ground value is priced at much less, typical values from Stockhouse.com (old values so % used and rounded up) are:

a) The ‘Inferred̵7; value is quoted at 2% of the gold price. (about $24p/oz)
b) ‘Measured and Indicted’ value is 3% of the gold price. (about $36/oz)
c) ‘P & P’ is 15% of the gold price. (about $180/oz)

Then from above:

a) If the resource is ‘inferred̵7; the resource share price = 2.73p
b) If the resource is ‘M and I’ the resource share price = 4.1p
c) If the resource is ‘Proven’ the resource share price = 20.5p

We have inferred and indicated resource so a share price of 2.73p for the resource would be an absolute min. So this would be considered if the decision was taken to sell and we should achieve much more than this.

From the foregoing it just illustrates how undervalued the current share price is and we still have the Rukwa JV deal to come, Lubando's 168,000oz of gold, the nickel project at Haneti and the Pinewood's uranium JV, which is currently undergoing the 90 day ‘Due Diligence’ by Metal Tiger Plc before finalising the JV.

Proving the resource would be so much more valuable to Kibo as shown above even if it was to sell on to Barrick at the relevant market price.

Gil


Edit - Highlights added

Note: RE the 21 November RNS on the MoU with Metal Tiger, the Kibo highlights are quoted as:

“The MOU further marks another major achievement by Kibo over recent months, during which the Company has:

1. Initiated three feasibility Studies i.e:

a. Rukwa Coal Mine with Phase 1 Stage 1 of the Rukwa Coal Mine's pre-feasibility study already complete;

b. Rukwa 300MW Power Plant on which the full pre-feasibility study is expected to be completed by 30 November 2014; and

c. Preliminary Economic Assessment on Imweru Gold Project set for completion during early December 2014.

2. Made considerable progress towards securing an appropriate development partner for the Rukwa Coal to Power Project

3. Commissioned a Geochemical interpretation of latest exploration results on the Haneti Nickel Project;

4. Now re-activated the Company's Uranium portfolio with an active exploration program to commence during 2015; and

5. Stabilized the Company's cash position”

[ertugrul] 28/11/2014 12:46

isdx trades

28/11/2014 11:45 40,437 @ 2.02
28/11/2014 11:23 275,000 @ 2
28/11/2014 11:12 100,000 @ 1.95

[supertag] 28/11/2014 11:40

Yep, Just bought @ 2p.

[ertugrul] 28/11/2014 11:30

Exactly. buys at 2p....

[pj787] 28/11/2014 11:26

The spread would suggest the the 2p trades are buys!

[pj787] 28/11/2014 11:24

I would say as ball park figure 70m odd traded excluding isdx exchange !

Interesting times indeed.

[eye2] 28/11/2014 11:19

M advfn yes the vol last 8 days has been unbelievable any been keeping account of total vol ???????

[wrighty46] 28/11/2014 11:17

Sell 750k 1.95Buy 525k 2p

[vivgav] 28/11/2014 11:14

Typo

I think they meant ASDA (Black Friday sale)


ertugrul 28 Nov'14 - 10:18 - 16207 of 16222 0 0

Someone said LC went to Asia this morning, is that mean JV going to be signed.]

Could be that sort of leak

[pj787] 28/11/2014 11:03

Just a theroy kibo look attractive currently, jv project of uranium , new website coal and gold news imminent so potential predator could be looking to takeover!

Just a thought DYOR.

[michaelsadvfn] 28/11/2014 11:01

The trade sizes over the last few days have increased.

It wasn't so long ago that a 250k buy grabbed attention, now it's become the norm.

[daddy warbucks] 28/11/2014 11:00

Have a good weekend bill. You will have to wade through 500 posts when you get back. lol,

[bill182] 28/11/2014 10:55

well, I'm off now for the weekend. Have fun, and let's hope to see a bumper RNS on Monday morning at the latest.

[ertugrul] 28/11/2014 10:53

Someone bought 5 times £5000 worth of shares....