Savannah Resources Share Discussion Threads

[edgein] 23/7/2018 14:18

Pale,

Moz shouldn't be free either, especially after the upcoming DFS. I think it'll catch the market totally unawares. Given the three assets here I still see this one cheap as chips at this level.

Regards,
Ed.

[paleje] 23/7/2018 14:03

FWIW I think the mcap is about right for the stage we are at, very roughly about a third of NPV seems to get attributed to resource stocks, some a bit higher where the visibility is good, I personally think that could and will be the case here. But it will properly re-rate upwards as news emerges and numbers upgrade and cash generation gets closer. When belief really starts to take hold the upward movement will accelerate and some of us will wonder why we didn't buy more.

Oman would give the share price a kick I think.

[themightyali] 23/7/2018 12:31

Errie silent on sp, no fluctuation at all, are some volumes being bought and sold by big establishments behind the scenes if the pros amongst you can see?

[edgein] 20/7/2018 12:45

Ged,

Thanks for the clarification, that's that sorted then. So I guess the "in the money" options in September will also add more cash to the coffers. Its interesting when DA talks about what's funded. All these rigs working flat out and he expects 2 more resource upgrades this year. Not only does the current share price not reflect the current NPV of Portugal it certainly doesn't reflect 2 more upgrades nor Oman and Moz. Progress there may catch some of these new investors unawares. I reckon the feasibility study for Moz will be an eye opener, the scoping study was very tasty. Feasibility for Moz and eventually Portugal gives these quite explosive upside, we could be pushing for 20Mt with a big portion of that measured on the next reserve upgrade given the latest assays.

Regards,
Ed.

[broncowarrior] 20/7/2018 12:38

Thanks all.

[ged5] 20/7/2018 12:31

Bronco,

In addition to sc2000uk's post and Ed's reply:-

9th August 2017 David Archer 31 645 537 shares 20 968 255 Warrants and options.

11 111 112 warrants were due to expire yesterday so he converted them.



31 645 537 + 11 111 112 = 42 765 649 which was the figure given in yesterday's announcement.

No increase, no decrease for DA

Next expiry date is in September.

[ged5] 20/7/2018 12:16

Thanks IB.

There are 2 new interviews on the SAV website. The IG one is a useful summary of the last few announcements whereas the ProActive one gives more detail about the acquisition.

Interestingly the interviewer suggests the market cap is too low compared to the NPV for Portugal.

What does that say about the share price if you also take into account of the NPV for Mutamba?

Base case NPV of of $154M
Potential case 2 NPV of $335M

[edgein] 20/7/2018 11:57

Bronco,

Its due to the £12.5m placing and the warrants. He now holds 5.03%. He also holds 1.16% in financial instruments which I guess are either warrants or options.

Regards,
Ed.

[broncowarrior] 20/7/2018 10:51

Can anyone work out DA's percentage being reduced? Has he sold some shares or is it because of other investors coming in?

[inbrackets] 20/7/2018 07:25

A more useful interview. Starts to place SAV ambitions on the table and does the 'heavily oversubscribed' placing give further credence to its possibility.https://players.brightcove.net/2830693144001/default_default/index.html?videoId=5811077273001

[themightyali] 19/7/2018 23:36

Ah I see, thank you sc2000

[sc2000uk] 19/7/2018 22:23

The 9% on DA's last Holding Notification as a result of his direct activity increased the holding to 9% (including options/warrants) on 09/08/17, this was based on a share issue of about 559M shares. The latest Holding Notification is based on the new Shares Issued amount of about 850M. So yes a reduction in Holding % but only because to have kept the same % holding would have meant increasing the shares held (including options/warrants) to about 76.5M up from the 52M now held including Options/warrants. Not a % reduction due to selling shares just because of the recent shares issues & warrant/option exercises.

[themightyali] 19/7/2018 19:56

Oh dear. I wonder Why has DA cut his stake from 9 to 6 percent

[broncowarrior] 19/7/2018 17:09

Yep, three drills on site as well, being progressed to the max.

[edgein] 19/7/2018 17:01

Bronco,

Yeah they got them cheap but then again they were awarded long before they transformed the assets. Its still a vote of confidence that they're putting in decent cash to the company. We're all gonna multibag again many times before we see the end of Portugal so management deserve the odd bonus for progress to date and being made. From extensive rapid expo drilling to breathtaking scoping study towards feasibility in a little over a year is stunning progress.

Regards,
Ed.

[broncowarrior] 19/7/2018 15:19

Options at 3p look a bit ludicrous now. The recently issued ones were also a bit on the low side.

[edgein] 19/7/2018 12:44

Interesting, management have just injected another £600k or so with the conversion of those options. Good to see them up to around 7% of the company as they're more aligned with the rest of us.

Regards,
Ed.

[ged5] 18/7/2018 12:13

Indeed I did, Ed. As others have said, it seems a sensible move.

Some time ago I requested the company give an English version of the community newletters. Only just realised (this beautiful summer weather must numb the brain or maybe it's the associated pleasures), they have obliged by giving the June community presentation in both languages. Bottom presentation on this page.

[edgein] 18/7/2018 11:32

Ged,

Yeah I guess you checked out the pdf as well as the RNS, the blue areas are quite substantial when compared to the yellow areas. Also block C seems to be not within the current known bands of lith so would be interesting if field work throws up some outcroppings over there too. Its a decent expansion to our expo potential for sure. Reservatorio may indeed continue onto the new licence area.

Regards,
Ed.

[ged5] 18/7/2018 09:48

Hadn't realised they'd increased the ground at Mina do Barroso by 54%.

This morning's tweet:-

$SAV to increase #lithium ground by 54% in key #MinadoBarroso pegmatite field in #Portugal with option deal - multiple #spodumene #lithium bearing pegmatite swarms.

[ged5] 18/7/2018 08:36

The option over the Aldeia ground will be accretive to the overall development of Mina do Barroso as it opens the opportunity to secure potential strike extensions to the existing Reservatorio Deposit whilst also offering the potential to discover additional deposits. These extensions and discoveries could, in turn, increase the overall resource of the Project, extend the current defined mine life of 11 years, and/or potentially increase annual production. In addition, this will give us
additional flexibility in terms of configuring the layout of our site infrastructure and provides an opportunity to reduce the costs for the Project at the same time.

So increase in size of resource
Increase in mine life
Reduction of costs

Sounds good to me!

How's your Portuguese?

[highly geared] 18/7/2018 07:57

Very keen (for obvious reasons) to grow Portugal into a significant asset, suggests the total resource, in time, will move well beyond where we are now.

[edgein] 18/7/2018 07:54

Bronco,

Definitely, good to see DA thinking ahead. Block B certainly covers most of the lith corridor south of Reservatorio and will given good expo potential for life beyond Grandao. Block A also has the potential to become Grandao East too. So a very good strategic move to secure this option at an early stage as I'm sure larger companies will be looking at the expo licences around us.

Regards,
Ed.

[broncowarrior] 18/7/2018 07:45

Sensible move.