Hi Veselin,
On the decision for Bres, could I ask if you could kindly review the following ?
With the rise in share price and expectations of non dilutive funding from the US govt, awaiting assays on 200+ drills with the expectation of a significantly enhanced Jorc which will feed into the DFS. Visual inspection show graphite to 100 metre depth, previous drills to 30 m only.
Significant increase in valuation expected.
Recent rns
EU Safeloop project
"SAFELOOP is a unique and highly strategic Western offtake opportunity. Tier-one partners such as SAFELOOP are few and far between, particularly with the scope for offtaking large volumes at premium pricing.
āSAFELOOPās projected graphite requirements are substantial - enough to make it a potential cornerstone offtaker for Orom-Cross as both projects ramp up to commercial scale levels. Just as importantly, because SAFELOOP testing has been conducted exclusively using our graphite, we are building a unique and dedicated sales channel that peers simply cannot replicate.ā
UK offtaker about to be announced.
#BRES research - 13mil mcap - company defining months ahead
⢠At the final stages of there DFS - all the previous 6700meters PFS drilling was to 30meters creating a 24.5mt resource with a 492mil NPV - the additional 7000meter drill campaign finishes this week.
230+ new drill holes have been completed, 70 have been in the labs for 7 weeks and would expect first assays over July - the new 3 - 4x deeper 120meter holes have all been finishing in ore which in Mikeās words āCan extrapolate the DFS figures considerablyā
⢠Another 750k trance of the $5mil US government money is due anyday now. There not receiving these non dilutive cash grants for no reason - but because the US Governmentās DFC are set to be BRESs cornerstone finance partner post DFS.
⢠News on a UK offtake and finance partner are expected in July also. Financier alluded to being the UK export finance
Rest of Q3 into Q4 - further offtake agreements via Safeloop were bres are the Exclusive supplier - Funding updates from the European investment bank, the AFC and DFC + the UK - Jorc increase then DFS completion.
The DFS will include the increased tonnage -the increase from 100,001 to 200,000tpa, the SPG uplift, a reduced AISC and higher avarage selling price, any increase in grade from 6% would also be a huge +. Should see the previous 492mil Npv conservatively increase to a 1bn+ NPV with a 55%+ IRR followed by full project funding.
āThe DFS is expected to play a pivotal role in unlocking value through strategic offtake partnerships and securing project-level funding - such as with DFC - and other parties already engaged in early-stage discussions that could see full-scale development financing aligned to the Definitive Feasibility Studyās completion.ā
Is it possible to reconsider or could I ask what would the company need to do for you to feel comfortable with an increase ? The current share limit in £ terms is only £1582 based on the current SP.
Many thanks
Nigel