AVZ Discussion 2022

[Winenut]

All good

I didn't want to get into the valuation.....too bloody hard!

If AVZ's effective interest in Dathcom is bought out I guess the board can decide to push on to other projects all cashed up and ready to go....or pass the cash on to all the shareholders and ride off into the sunset

That's a couple of scenarios straight off the top of the head

There's probably a hundred more.....

Apologies!!

I hadn't read Mr Dangers thoughts before posting mine

So it seems there a couple of obvious possibilities in the wash up of this shit show

 

[Sparrowhawk12]

Frydenberg spoke of 'secure, resilient and sustainable global supply chains' when giving his preliminary view on why the 2019 Yibin deal was unlikely to be approved. It is unlikely this criteria has changed at FIRB. Therefore concerns of control of AVZ and its 'significant interest in the Manono project' applies only to China and not the USA imo

That being said a buyout of AVZ's 75% of Dathcom is the most likely scenario. This deal would include all legal challenges being dropped and will be before the mining licence is awarded imo. I can't see the DRC government suddenly deciding to give us the licence just so AVZ shareholders can get more money. The awarding of the licence is their leverage and they will use it to benefit themselves. Not us.

As for what management do with the proceeds of a hypothetical buyout of AVZ's interest in Dathcom there are two main options. Wind up the company and payout all remaining funds to shareholders. Or pay a special dividend and continue operations with remaining funds and look for new tenements in more regular jurisdictions. The latter is more likely imo

Would a TO pre-ML cause delays in ML for the buyer? Surely so, even with greasing Gov wheels from brown paper bag grease. A deal is a deal - wouldn't it be smarter for DRC to award ML to AVZ, immed followed by pre-agreed TO? That would also be a more spinnable story for DRC Gov to try keeping the IMF, WB, international investor gravy train running? Could be why a deal is taking so long to construct & agree on? IMO.

 

[Carlos Danger]

Would a TO pre-ML cause delays in ML for the buyer? Surely so, even with greasing Gov wheels from brown paper bag grease. A deal is a deal - wouldn't it be smarter for DRC to award ML to AVZ, immed followed by pre-agreed TO? That would also be a more spinnable story for DRC Gov to try keeping the IMF, WB, international investor gravy train running? Could be why a deal is taking so long to construct & agree on? IMO.

Why would AVZ sell if we get the ML?

 

[Bray]

*Don't Shoot the Messenger, Cos the messenger is going to

Just like the rest of you after reading this pile of


View attachment 38633

 

[TDITD]

What do you think a fair TO price would be Carlos - my guess is a tick above $2 and happy to be ridiculed for it

Agreed $12 USD

 

[j.l]

Frydenberg spoke of 'secure, resilient and sustainable global supply chains' when giving his preliminary view on why the 2019 Yibin deal was unlikely to be approved. It is unlikely this criteria has changed at FIRB. Therefore concerns of control of AVZ and its 'significant interest in the Manono project' applies only to China and not the USA imo

That being said a buyout of AVZ's 75% of Dathcom is the most likely scenario. This deal would include all legal challenges being dropped and will be before the mining licence is awarded imo. I can't see the DRC government suddenly deciding to give us the licence just so AVZ shareholders can get more money. The awarding of the licence is their leverage and they will use it to benefit themselves. Not us.

As for what management do with the proceeds of a hypothetical buyout of AVZ's interest in Dathcom there are two main options. Wind up the company and payout all remaining funds to shareholders. Or pay a special dividend and continue operations with remaining funds and look for new tenements in more regular jurisdictions. The latter is more likely imo

Thanks Carlos appreciate your insight as always.
You answered the question I was trying to ask

Your answer has jogged a memory from either the last AGM or Perth RS in which Nigel mentioned pulling the pin and chasing another project (hazy memory but I think it was in the context of AVZ being unsuccessful in getting the ML).

 

[cruiser51]

Why would AVZ sell if we get the ML?

Simples if it is part of the best deal AVZ can get, at the end of the day, a deal is a deal.

 

[Samus]

If they sell they better not decide to keep our fucking money. I'm not following these lying turds on another pied piper adventure. Ffs.

 

[aanti.dumb]

Apologies if this has been discussed already but I have been doing some reading on the Martin Fayulu. I wonder if NF has considered having a meeting with Martin to discuss the AVZ situation. Getting the political opposition to apply some pressure on the Gov cloud help shed more light on the corruption and hopefully force the corrupt ministers to follow the law. Also if he wins AVZ situation will be top of mind.

Looking at the 2018 election results seems like he was close to a majority but due to some shady actions and possibly some brown bags and snacks in the right places a deal was done and a coalition was formed and Tshisekedi declared winner.

Watching this interview with him and he seems very PRO US/ EU/ Western countries.

 

[Carlos Danger]

If they sell they better not decide to keep our fucking money. I'm not following these lying turds on another pied piper adventure. Ffs.

A lot of people make the mistake of thinking that the lesson of the pied piper is to not trust strangers. But it's not. The moral of the story is to always pay people what they are owed.

 

[Samus]

A lot of people make the mistake of thinking that the lesson of the pied piper is to not trust strangers. But it's not. The moral of the story is to always pay people what they are owed.
View attachment 38639

Put it this way - I'm not interested in following Nigel off a cliff like a fucking lemming (again).

 

[Winenut]

*Don't Shoot the Messenger, Cos the messenger is going to

Just like the rest of you after reading this pile of


View attachment 38633

Why isn't there an "oh fuck me are you kidding?" emoji

 

[Onthefm]

Dead right.

 

[Onthefm]

A lot of people make the mistake of thinking that the lesson of the pied piper is to not trust strangers. But it's not. The moral of the story is to always pay people what they are owed.
View attachment 38639

Dead right

 

[Winenut]

Thanks Carlos appreciate your insight as always.
You answered the question I was trying to ask

Your answer has jogged a memory from either the last AGM or Perth RS in which Nigel mentioned pulling the pin and chasing another project (hazy memory but I think it was in the context of AVZ being unsuccessful in getting the ML).

It wasn't about pulling the pin and chasing other projects....it was about becoming a fucking serious mining player on the world scene on the back of Manono and then expanding from there......well.....at least that's what I thought at the time

 

[pow4ade]

Why would AVZ sell if we get the ML?

Sheer fatigue for a start. Hard to imagine Nigel and the BOD would have the required appetite and stamina to now build a mine after enduring the head-fuck they've had to go thru just to get a ML. Armed with a ML the prospect of a decent TO presents as a get-out-of-jail card. Forget the DRC and GTFO. IMO.

 

[Frank]

It wasn't about pulling the pin and chasing other projects....it was about becoming a fucking serious mining player on the world scene on the back of Manono and then expanding from there......well.....at least that's what I thought at the time

*Fyi, Hot off the Press at Media Congo / Economie

Manono lithium project: AVZ sues Congo in Washington court over mining license

AVZ Minerals has accused the Democratic Republic of Congo of having acted illegally by refusing to issue it an exploitation license for a large lithium deposit located in the south of the country.

The Perth-headquartered lithium explorer said late Friday that it had filed for arbitration with the International Center for Settlement of Investment Disputes in Washington, DC, seeking unpaid remedies. specified on the part of the DRC, which would not have respected its own mining code.

“The company considers the conduct of the DRC to be illegal and the company, together with the plaintiffs, will take all necessary measures to protect the interests of its stakeholders,” AVZ said in a statement.

The company, which had a market capitalization of $2.75 billion, was suspended from the ASX in May 2022.

The explorer faces separate legal disputes with two of its joint venture partners in the DRC – Dathomir and Cominière – as well as a dispute with Chinese miner Zijin Mining.

In Australia, a class action is being prepared by Omni Bridgeway on the grounds that AVZ allegedly failed to disclose disputes over ownership rights to the DRC project, known as Manono, to investors in 2021.

The former lithium industry darling declined to answer earlier questions about the options it has to sell its ownership rights to the Manono project under the joint venture if it fails to secure an operating license mining.

It also declined to answer questions about when it might return to the market and what steps it has taken to obtain a mining license, as shareholder frustration mounts.

Cominière, the Congolese state mining body, reportedly notified AVZ of its intention to end their joint venture partnership to develop the Manono project in December.

However, AVZ refused to agree to the termination of the project unless ordered by the International Chamber of Commerce.

On May 5, AVZ said an ICC arbitrator had granted it an injunction to prevent Cominière from taking steps to dissolve the joint venture in DRC courts.

However, Cominière is seeking US$566 million ($843 million) in damages from AVZ for what it considers financial loss resulting from the company's alleged mismanagement and breach of the terms of the agreement. joint venture agreement.

Separately, Zijin Mining has asked the ICC to investigate a complaint against AVZ for what it claims is a non-recognition of its 15% stake in the project and is seeking US$850 million in compensation.

A hearing to determine whether Zijin is entitled to file a complaint against AVZ with the TCC is scheduled for July 3.

 

[Winenut]

Sheer fatigue for a start. Hard to imagine Nigel and the BOD would have the required appetite and stamina to now build a mine after enduring the head-fuck they've had to go thru just to get a ML. Armed with a ML the prospect of a decent TO presents as a get-out-of-jail card. Forget the DRC and GTFO. IMO.

Exactly what "Chynah" wants

Fuck me

 

[Frank]

*To Remind, Unfortunately it won't let me Translate from French, but you'll get the Drift of it easily enough

Bradage des actifs miniers de la COMINIERE : Jules Alingete accable Adèle Kanyinda et les dirigeants de cette entreprise

Un vrai scandale ! Un rapport de l’Inspection générale des finances (IGF), daté 30 novembre 2022, dont Exclusif s’est procuré une copie, met à nu le bradage planifié des actifs miniers de l

exclusifrdc.com

 

[Frank]

Exactly what "Chynah" wants

Fuck me