Stratex Share Discussion Threads

[bastiat79] 11/9/2017 16:31

hxxp://www.regisresources.com.au/Duketon/moolart-well-gold-mine.html

Open pit gold mine by a mid-tier aussie gold producer paying aussie wages profitable below 1gpt.

[bastiat79] 11/9/2017 15:55

open pit mine at 1.14gpt is fine so is $100 million to develop the project. Sounds very resonable.

[goldenshare888] 11/9/2017 15:30

I'm voting all my shares behind a new board who will ditch this deal.

Stratex don't need another potential hole with only c 1gpt, we already have a selection of these.

I would rather see the money go into Thani-Stratex.

[broken_arrow1] 11/9/2017 15:16

Would have thought the people behind the requisition request would have declared their hand by now.

Can you imagine what would happen if they have in place a new BOD with plans which the market adored! It happens.

Stratex £5m or £6m cash might be appealing to someone.

[goldenshare888] 11/9/2017 15:13

This looks like a stink-hole of a deal for Stratex shareholders.

It seems to me that our new chief has mugged away a valuable share of a producing mine only to propose paying off debts of an Australian Co with a stranded asset, which requires c $100 MILLION of DEBT to dig a hole to hopefully get c 1gpt!!!!!!!!!

JEEZ!!!

[goldenshare888] 11/9/2017 15:09

I reckon Stratex were the only potential buyers of Crusaders potential hole and therefore could have struck a MUCH better deal for Stratex shareholders!

[charles clore] 11/9/2017 15:03

What a shambles we have here!

Bastiat - borborymus may be undervalued in your opinion but the market will not value it at a cent more than it is worth. It is a non producing asset years away from production and in desperate need of cash to save Crusader from receivership from which I am guessing shareholders would get far less than they are getting under the Stratex deal. We can only hope the management teams have done their jobs and settled on the best possible deal for both sets of shareholders.

[exbiz] 11/9/2017 13:50

Bastiat we already have gold with JORC resources at ThaniStratex and Goldstone and Muratdere and I seem to think we also have a JORC resource at Karagaac too. Marcus isn't particularly well respected here as in spite of his initial insistence when he took the reigns that all directors interests should be aligned with that of his shareholders neither he or any other member of his board have invested so much as a brass tack in the company. He has sold out one production asset which shareholders here waited for many a long year to come to production and all so that he could throw money at Crusader who to be fair are still years away from production. You seem like a decent investor who clearly believes in the future of Crusader as long as they can finance themselves through to production, but that's a long and difficult road as we have all experienced, and when the directors have no skin in the game and help themselves to any asset income that becomes available trust quickly evaporates. I think most Stratex shareholders would much rather we had a cash distribution instead of instant dilution and share in the spoils of Altintepe, either that or see the money put to better use by investing in our best asset which is ThaniStratex and increasing our holding so that when it is listed, as is planned for this year, we can see a quick return on investment and not see our funds frittered away on drilling programs in Brazil, regardless of how good the asset may or may not be.

[bastiat79] 11/9/2017 13:40

More downramping from investors who want to keep the Stratex money to spend on directors salaries and projects years away from producing a return while a massive gold mine in Brazil (which has rightly been shopped around for the valuable asset it is) is completing all permits and studies in preparation for development.

All accusations of dodgy deals when you can look into all the Crusader Directors and Marcus Engelbrecht and realise that they have great records at other companies.

Here is a nice interview for people who believe in the deal;

hxxps://equitystory.com.au/exclusive-interview-crusader-resources-ltd-cas/

[bastiat79] 11/9/2017 13:27

Facts;

- Marcus Engelbrecht has a great track record working with big miners like BHP Biliton & OceaniaGold. (why would he suddenly turn into a crook). By the way he is a South African not Australian but who cares as long as he does a good job.

- Borborema looks to be a great project so why would we not shop around for the best offer and expect it to be valued closer to what its true value is not what the market has put on it.

- A report referenced by Equity Story as being produced by Hannam & Partners values Borborema as US $104.5M which makes it a better deal for stratex holders than crusader shareholders if true.

Seems to be an unusual amount of downramping from shareholders on this tread and calling for the sacking of a great CEO in Marcus.

Crusader needs cash and Stratex needs gold. Seems to be the way forward for both. Can't get my head around the negative attitudes to this deal on this thread.

[goldenshare888] 11/9/2017 13:14

Perhaps a board of directors who can negotiate a deal which values Stratex above cash would be a small start!!!!

FFS!!!!

[romeike] 11/9/2017 09:19

What can I say? If Crusader is in such difficulties why aren't we paying 0.12 cents and doing a fair split merger? Fairs fair. This deal isn't. When did Stratex become a fu&^ing charity?

I really hope AngloGold +Teck have something better to consider.

[tadtech] 10/9/2017 15:22

romeike

Everything in your post has been pointed out by myself, both verbally and in written communication to Englebrecht, make no mistake I made my thoughts more than clear about the proposed deal in the early days.

The replies I received partially convinced me, he thinks the new entity could increase via market cap quite quickly, note the 3.2p recent broker target. He suggested Crusader was significantly undervalued due to difficulties obtaining suitable finance for their projects and being valued as an Iron Ore producer.

Unlike others I did not buy Stratex stock near the top of the last mining bull cycle, namely at prices north of 5p, most buyers in recent years have paid no more than 2p. There are clear divisions as to what each existing shareholder needs by way of return.

What I want to know ASAP is who are behind the requisition, is it a gaggle of disgruntled shareholders with no forward plan or is is the likes of AngloGold or Teck who would have thought the matter out professionally and have replacements lined up. I am hoping it is the latter.

This could get very interesting, more-so as Stratex is valued below cash currently and the break up value is conservatively worth around double the current market capitalisation.

[goldenshare888] 10/9/2017 12:30

You have hit the nail on the head romeike.

Looks to me like Stratex shareholders getting dry-bummed again!

VOTE NO to a deal valuing Stratex less than cash.

Why give away more STRATEX ASSETS for nothing?

VOTE NO

[romeike] 10/9/2017 09:53

And Stratex' own house broker claimed for years that Stratex was worth 8p. All fantasy to encourage investment. The fact is the market values Crusader at half the value you say. So why exactly are we paying 0.18? Why are Stratex assets reported as so glowingly valuable in post merger co. but seemingly worthless in the deal? Why should shareholders be happy to be diluted into oblivion and left hoping for a major rerate in share price just to get back their pre deal capital? Why should we trust a CEO and his aussie chums when he fails to buy into his own co., flogs its main asset for half price amid some waffle about Turkey being too risky and then proceeds to practically give the whole company away for less than cash.

If something looks and smells fishy it usually is.

[romeike] 10/9/2017 09:47

. 20 you're dreaming, it hasn't been near that valuation in over two years.

Not only is Stratex paying way too much for Crusader and has conveniently valued itself at less than cash it turns out that Stratex shareholders will also be on the hook for two significant Crusader liabilities as well.

To be honest I wouldn't be suprised if this group asks the regulator to investigate what has gone on here.

[bastiat79] 10/9/2017 07:28

The average grade of a profit producing mine is 1.06gpt. Borborema is 1.14gpt. I believe there is no incentive to increase the share price until post merger. As noted a previous broker report valued crusader at 0.20 centa per share. I think that crusader share holders can feel they have got the worse end of the stick. Can't understand stratex shareholders not being on board with this. Look at the glowing report posted by tadtech. Ultimately I think this will fly post merger.

[tadtech] 09/9/2017 10:32

There are a number of pitfalls which the requisition entities can fall into, the most obvious is the nominee account situation, if any shareholder has shares in a nominee account they do not initially count in a requisition request.

Looking at the Conroy situation (the most recent example on AIM) they stated in the 1st RNS the aim of the meeting, namely to replace X, Y, Z directors and appoint A, B, C, new directors. There was a clear proposal from the shareholders which had been thought through and seemingly had the backing of the majority due to Conroy's woeful share price performance.

IF the requisition has been called by the likes of Teck or AngloGold we are in business as there should be a clear plan for the company if the Crusader deal is aborted. It could get exciting and there maybe a very positive market reaction.

In respect of compensation to Crusader should the merger fail, the deal ALWAYS had to be approved by both sets of shareholders, my understanding is that compensation (limited to $500k on both sides) would only occur if either company pulled out before the shareholder vote was taken.

There may be more news next week.

[happyholder123] 09/9/2017 10:27

HNR -
TWO wells successfully drilled with abundant oil and gas in samples extracted!
Fracking and FIRST OIL next month!
Don't miss this train!

[goldenshare888] 09/9/2017 10:18

This Brazilian hole has the whiff of Red Rock Resources foray into Colombia at El-Limon (THE LEMON) - I think RRR gave it back to the locals in the end!

[goldenshare888] 09/9/2017 10:12

Every Stratex shareholder we know is voting NO to this bum deal!

[tadtech] 09/9/2017 10:11

New publication by Equity Story


08 Sep

Crusader Resources (CAS) A Golden Stock?


We Think This Might Be An Undervalued Story!

We have just come across a research report from Hannam & Partners, an Equity Research Company, who have put together a very comprehensive review of Crusader Resources (CAS) who have recently been in talks with Stratex International Plc (LSE:STI) regarding a merger.

Once the merger completes, Marcus Engelbrecht, CEO of Stratex, will be the CEO of the combined group. The aim is to focus on Borborema, a key asset based in Brazil with a resource of 2.43Moz @ 1.14g/t, and combined with other assets, the aim is to target production of 200 koz pa within the next 3-5 years.

Now that’s a LOT of gold. And that’s just Borborema.

Hannam & Partners have placed an NPV valuation on Crusader’s Borborema Gold mine at US$104.5M based on an assumed gold price of US$1,275/oz; assuming a production of 68koz pa over 11 years. That NPV alone is 3-4x of CAS’s current market capitalisation, and using a gold price that’s currently below current levels of ~US$1,350; this raises some questions on whether our market has yet to discover this little stock that looks seriously undervalued.

Borborema – a 100% owned asset by CAS, is close to finishing up a Bankable Feasibility Study (BFS) and the combined entity are aiming to get construction in within the next 12 months. Infrastructure around the area is already set with excellent road network, power network, availability of trained employment (20km away from two mining schools), and previously Brazil being a tungsten focused region, they have the ability to move really quickly. So production isn’t too far off!

Brazil isn’t very well understood in the ASX market, and gathering funds has been the biggest challenge for CAS given the lack of knowledge of the jurisdiction. Having come across Stratex, who have expressed huge interest, CAS will be able to receive the funding they need to get things going. CAS also brings to the table a decade of experience in Brazil that, as the combined entity, will be extremely valuable moving forward.

Marcus Engelbrecht also has a phenomenal background in mining, with experiences in Oceana Gold, and BHP Billiton, and doubt this brings an array of expertise that could push CAS into production, and hopefully huge value to existing shareholders, both CAS and STI. Access to the London capital markets, existing cash in Stratex, and other mines we haven’t even talked about…

Just briefly on Crusader’s other mine, Juruena. Too many excellent gold hits for now creating the problem of not knowing where to focus, and whether to target the open pit vs underground… The merger will provide the funding to advance this, and likely this might be as big a gold mine as Borborema! Drilling results will tell us.

Overall, it sounds like the merger with Stratex could seriously help Crusader advance their projects, ones that seem to be heavily undervalued, and overall could be huge value to existing shareholders of both entities!

[goldenshare888] 09/9/2017 10:10

Crusader can keep their low-grade potential hole in the ground in Brazil. 1.14gpt FFS!

Stratex would be better off funding GRL & ThaniStratex than this $100m debt dirt hole, in our view!

[goldenshare888] 09/9/2017 10:10

Crusader can keep their low-grade potential hole in the ground in Brazil.

Stratex would be better off funding GRL & ThaniStratex than this $100m debt dirt hole, in our view!