Red Rock Resources Share Discussion Threads

[martyn9] 14/5/2014 16:18

Soul, the only way bell will succeed,is if he dies and comes back as a budgie!!!

[topicel] 14/5/2014 13:52

What about it AB? Buy some shares in the open market - a reasonably significant amount too, please!

Show the market that you are confident this period of DD will eventuate in the deal as announced being closed...

Topicel

[johndee] 14/5/2014 11:43

Makes one wonder what he does with his wealth!!!

[darren81] 14/5/2014 10:23

the lack of faith bell has in this company is telling, the shares he owns are due to (dire) performance related awards. He really needs to put his money where his mouth is - he has no qualms asking others to invest in the companies that he runs but he doesn't want to invest in them himself!! He can't be in a permanent closed period!!!

Why not purchase now when we are at historic lows bell? surely you must think the shares are worth 0.27p????

[nash81] 13/5/2014 21:59

thanks rrrRRRrrr2

SOLG went up multiple bags on feasibility studies of gold. if anything, kenya alone which has about 1.193 MOz Au at the moment, should be half of solg market cap (now at 50m)

but solg directors own large chunk of solg while AB owned RRR almost negligible. time for AB to react!!

[kezman01] 13/5/2014 21:48

rrrRRRrrr2

Care to answer my question to you (post 4765) ?

[rrrrrrrrr2] 13/5/2014 21:41

Nash. Listening to abs interview today, Kenya study due very soon.

[nash81] 13/5/2014 21:11

anybody know when will feasibility studies for kenya gold completed?

i think it was announced in jan 2014??

[maharees] 13/5/2014 20:52

would have been better buying a mine in Columbia

[soulsauce] 13/5/2014 20:34

I think anyone who thinks Colombia was not a massive fail is deluded. Unfortunately Bell fails more than he succeeds. He only succeeds in a rising mining market and that's what the whole pack of cards is built on.

[kezman01] 13/5/2014 20:16

Again you miss the point.
Whether it's 2010 or 2020 is irrelevant.
The assets are only worth what someone will pay for them, while at the same time being used as collateral against loans.
Therefore when your outgoings are in excess of the proceeds of sale, your business model fails.

You say you believe in the assets, therefore you must be comfortable that those assets when sold ( that being the Red Rock Business Model) will generate a profit.

I'd be very interested to see your numbers in respect of Greenland, for example.
One of the assets you believe in, therefore you presumably know the amount required to be generated to achieve a tick in the business model box ?

[mikestamp] 13/5/2014 20:11

rrr, what assets ??

[rrrrrrrrr2] 13/5/2014 19:50

Kezman. With the same respect. It is not 2010. Mining is in a slump now. Out mcap is shot to pieces. I still believe in the assets though. So I continue to buy. You guys cannot have it both ways though. You lot have been stating Colombia is worthless and now with the whole mine being valued at $10 million, you say it's not enough.

[soulsauce] 13/5/2014 19:45

Flawed - floored just like it's shareholders.

[kezman01] 13/5/2014 19:43

rrrRRRrrr2

With the greatest of respect are you deliberately missing the point ?

In 2010 El Limon was being punted as the buy of the century with untold potential, and was to generate enough income to leave an share price in the teens behind for ever.
150 tpd was the target from memory, pictures of the first gold production were posted for all to see.....happy days indeed.
Fast forward 3-4 years (ignoring all the BS spouted about improvements etc) and the proceeds of sale will cover the outstanding loan and at best appx 30% of the initial cost of the mine.
Bearing in mind that it is also being held as security for a YA loan, please explain how this is good business.

Furthermore if the above is an example of RRR's business model , would you not say that it is somewhat flawed ?

[hopeless698] 13/5/2014 19:23

The Price of Gold is forecast to go through the roof in the not too distant future so maybe it would be a good thing if the colombia deal did fall through?

[rrrrrrrrr2] 13/5/2014 18:51

So more than the 0 you said then.

[bam bam rubble] 13/5/2014 18:36

The value of the mine remains uncertain even if it completes as the consideration
is so low it may be being bought for equipment resale value rather than as a mine.

The terms are for a buyer to acquire the 50% joint interest in Four Points Mining
for $1.2m (£0.7m) and accelerate the repayment of RRR's loan receivable of $2.8m.

It will mean another half million or so impairment to RRR's accounts, even though
the assets were already impaired by several million last year. Not so great then.

[rrrrrrrrr2] 13/5/2014 17:56

Bam bam. So effectively it is a lot more than the 0 you said it was worth. Great.

[staffiex] 13/5/2014 17:37

He is - p/x on the colombia deal.

Maybe he can chuck in some Ayahuasca treatments for his poor PI's...

[roger ring] 13/5/2014 17:24

Andrew sounding a lot more dynamic than of late . . . could be on drugs :-)

[bam bam rubble] 13/5/2014 15:31

More a bringing forward of RRRs loan receivable than a cash generative disposal

The receivable by Aug 11th 2014 (2013 balance plus 5% interest) will be £1.720m
Whereas the terms of sale is for RRR on closing to get £1.275m after commission

Leaving £0.445m still to recover to recoup in full, payable a year after close,
alongside a further sum of £0.445m ($750,000).
That surplus sum and the 3% royalty is effectively what RRR gets for the mine.

Adding the loan to make it seem a better deal is a poor show but to be expected