Ncondezi Energy Share Discussion Threads

[cl0ckw0rk0range] 16/11/2020 09:39

$1.8m Agreed CMEC Accelerated Development Budget 16 November 2020: Ncondezi Energy Limited ("Ncondezi" or the "Company") (AIM: NCCL) is pleased to announce that further to the announcement on 12 November 2020, it has signed a Supplementary Agreement to the Joint Development Agreement (the "SA") with China Machinery Engineering Corporation ("CMEC") pursuant to which CMEC will fund specified accelerated development works at the Ncondezi 300MW coal-fired power project and coal mine in Tete, Mozambique (the "Project"). JDA Supplementary Agreement · The SA sets out the agreed basis for accelerated development work to be carried out on the Project · Provisional budget of US$1.8m approved by the parties and to be funded by CMEC · Accelerated development work will focus on a number of milestones, including:o Additional survey drilling required by CMEC to complete Chinese Government approvals for their investment in the Project o Ensuring key agreements such as the Engineering Procurement and Construction ("EPC") agreements are compliant with Mozambican laws · The SA is a supplement to the Joint Development Agreement announced in July 2019. The provisions of the JDA remain in full force and effect · Funds drawn down as part of the SA will be treated as pre financial close Project development costs, to be reimbursed at Financial Close along with the Company's approved historical development costs or by the Company or its affiliates in certain circumstances including the Company achieving financial close with a third party, or on the sale or liquidation of the project company holding the mine project or the power project · Ncondezi and CMEC to agree a form of share pledge as security for funding made by CMEC as part of the SAo Ncondezi will pledge shares in its wholly owned Mozambican subsidiary that holds the power project ("PowerCo").o The number of shares pledged will be equivalent to the amount funded by CMEC, divided by the nominal value per share of PowerCo's shareso The total nominal value of all PowerCo's shares is US$15.7m, so assuming CMEC funds the full US$1.8m, Ncondezi would need to pledge approximately 11% of its shares in PowerCo to CMECo Pledge will be released upon achievement of Financial Close with CMEC as strategic partner Ncondezi Chief Executive Officer, Hanno Pengilly said: "We are delighted to have signed the Supplementary Agreement with CMEC. The approved US$1.8m development budget will be funded by CMEC. This provides the strongest signal to date of CMEC's commitment to the project, targeting its 60% equity stake, and we look forward to them leading the debt financing negotiations with Chinese financiers. Consultants have been instructed and work has commenced. We look forward to providing further updates in due course."

[extrader] 15/11/2020 18:07

Hi yogaboy,

The bar, unfortunately, isn't very high...;-<<br />
ATB

[yogaboy] 13/11/2020 15:52

Pretty sure he was the most aligned in the room before this!

[cl0ckw0rk0range] 13/11/2020 12:05

I'm sure Scott knows..

[cl0ckw0rk0range] 13/11/2020 12:04

NT naturally

[extrader] 13/11/2020 11:06

Hi all,

(1) Scott has to up stake from 57m to 65m shares before options become available;

(2) Leaving aside 'loan trigger' he gets 5m @ 3p if share price is 5p, 2.5 m@ 5p if share price is 7.5p; and 2.5m @7.5p if share price is 10p;

(3) These share price levels will trigger exercise of some of the existing options, easing/eliminating funding concerns;

(4) Max dilution is 10m shares agst 350m currently, so dilution is minimal...and (go back to point 1) he only qualifies once he's bought 8m from the market...

On the face of it, 'serious alignment', IMO.

What's not to like ?
Others take note !

ATB

[soultrading] 13/11/2020 10:48

Very positive and implies, given he would have agreed the terms, that he is likely to be buying shares open market as soon as allowed.

[cl0ckw0rk0range] 13/11/2020 08:41

13 November 2020: Ncondezi Energy Limited ("Ncondezi" or the "Company") (AIM: NCCL) announces that in lieu of salary and to further align Non-Executive Director, Scott Fletcher, with the Company's long term ambitions and the wider shareholder base, the Company's Remuneration Committee has agreed to grant Scott Fletcher share options which will vest at any time over a three year period from the date of grant subject to the following conditions being satisfied: · 5,000,000 Shares at an exercise price of 3.0p per share upon (i) the Average Share Price equalling or exceeding 5.0p or (ii) a fundraising in one or more tranches of more than £250,000.00 in aggregate has occurred at any time after the Date of Grant whilst this Option subsists at or above 5.0p per Share and before any participation in the fundraise by Scott Fletcher or his direct family either directly, through a majority owned company (taking into account all direct family holdings) or a family trust;· 2,500,000 Shares at an exercise price of 5.0p per share upon (i) the Average Share Price equalling or exceeding 7.5p or (ii) a fundraising in one or more tranches of more than £250,000.00 in aggregate has occurred at any time after the Date of Grant whilst this Option subsists at or above 7.5p per Share and before any participation in the fundraise by Scott Fletcher or his direct family either directly, through a majority owned company (taking into account all direct family holdings) or a family trust; and· 2,500,000 Shares at an exercise price of 7.5p per share upon (i) the Average Share Price equalling or exceeding 10.0p or (ii) a fundraising in one or more tranches of more than £250,000.00 in aggregate has occurred at any time after the Date of Grant whilst this Option subsists at or above 10.0p per Share and before any participation in the fundraise by Scott Fletcher or his direct family either directly, through a majority owned company (taking into account all direct family holdings) or a family trustIn addition to the vesting conditions listed above, the options shall not vest unless on the date of vesting it can be demonstrated that Scott Fletcher is beneficially interested in at least 65,000,000 shares in the Company (either directly, through a majority owned company or a family trust) and such holdings have been properly disclosed as required by the AIM Rules. Scott Fletcher currently holds 56,913,197 Ordinary Shares in the Company."Average Share Price" is defined as the average mid-market closing price of the Company's shares for the dealing days in any four week period following the date of grant as derived from the Stock Exchange Official List (AIM section) but excluding any dealing day on which the shares of the Company are suspended. Ncondezi Non-Executive Chairman, Michael Haworth:"Scott's option packaged has been designed to reflect his further commitment to the Company at this critical time in its development. The Board and I look forward to working with Scott as we continue to progress our financing strategy as well as progressing our various workstreams both for Ncondezi Energy and our C&I subsidiary." Ncondezi Non-Executive Director Scott Fletcher:"I am excited to have joined the Board of Ncondezi at a pivotal time in its development. My remuneration is aligned to a positive outcome for all shareholders and will be focussing on increasing shareholder value. I look forward to working with the Board to address our funding requirements as we look forward to the next few months."

[cl0ckw0rk0range] 13/11/2020 07:24

And thats the financing sorted

[cl0ckw0rk0range] 12/11/2020 14:57

It's the most advanced CTP project there. Apparently.

[garykc] 12/11/2020 13:09

Only in with a relatively small punt of £5k and just about in profit. Did all the usual research and saw a great little company here in the making. Certainly better than the incompetent nannies that run EDL!!!!

[cl0ckw0rk0range] 12/11/2020 13:04

Should see some more meat on the bones soon, and once the finance has been announced of course.

[garykc] 12/11/2020 12:43

Up then down by the looks of it. Possibly short termers taking some profits.

[soultrading] 12/11/2020 12:28

CMEC are covering costs and lending money early so we can get this going!

We are finally about to see some action!

[cl0ckw0rk0range] 12/11/2020 11:48

Seems Scott's appointment is moving things along at pace... a flurry of RNS of late.

[extrader] 06/11/2020 21:13

Hi all



Interview with Hanno + Scott, the latter a down-to-earth guy...

ATB

[soultrading] 06/11/2020 09:32

Theses tiny sells seem to be someone trying to give the impression of selling.

[cl0ckw0rk0range] 04/11/2020 14:04

20p with fair winds

[emzeegary] 04/11/2020 10:02

Hi Scott, is the plan to sell the company? This is the only way I can see a 10 Bag here

[soultrading] 30/10/2020 14:44

Good to hear from Scott. He seems confident in his investments here.

[scottf] 30/10/2020 11:32

No I am not an expert but I do understand complex capital structures and have been through the capital structure and cash flow projections

Whatever way you look at it - once we have the PPA in my opinion it’s worth a lot more than currently hence why I think it’s a fair risk reward from here and have continued to buy