AVZ Discussion 2022
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Winenut
Go AVZ!
@Helios
My assessment is as follows
Costs associated with Tenements that are expected to be exploited are carried forward as an asset in the Balance Sheet until such time as the tenements are producing revenue (at which point I suspect the costs would then be progressively written off against that revenue by some appropriate methodology and in an appropriate timeframe)
AVZ have made an assessment on the costs it is carrying forward for tenements PR4029 and PR4030 and believes it can no longer carry those costs forward and have expensed a portion in the current financial year of $643,339 (costs written off/expensed through the the Profit and Loss)
Effectively they have assessed they are not going to be able to recoup that portion of costs in future years through revenue producing activities and therefore must be written off in the current financial year
That's the technical side of it
The question that is not answered (and what you probably want to know) is "WHY" on assessment this year has this portion of the costs associated with the tenements of $643,339 been written off?
There may be a number of reasons (part of the tenements have been re-assessed and are unlikely to be productive in the future, the company is abandoning plans to develop part of the area etc etc etc )
Going by other comments it may appear plausible that the size of the tenements 4029 and 4030 have potentially been changed
If in fact the case is that the tenements are now smaller in size then AVZ would have to proportionately write off some of the carried forward costs in the year that it happens (eg if the tenements were reduced in size by say 25% then one might logically expect 25% of the carried forward costs would need to be written off)
That example is probably a bit simplistic but you get the idea
So in summary going by what others have provided and what I've gleaned from the report I too suspect there has been a change in the boundaries for 4029 and 4030 and this has triggered the associated write off of a portion of the carried forward costs related to those tenements in the current financial year
Would definitely like to know the explicit reason(s) for the write-down of the asset and the methodology used to calculated the final $ value of the amount expensed through the P&L
Hope that helps a bit
Cheers
Nut
JAG
Top 20
You need to get back on the turps mate, that post was way too sensibleView attachment 17757
View attachment 17758
View attachment 17759
@Helios
My assessment is as follows
Costs associated with Tenements that are expected to be exploited are carried forward as an asset in the Balance Sheet until such time as the tenements are producing revenue (at which point I suspect the costs would then be progressively written off against that revenue by some appropriate methodology and in an appropriate timeframe)
AVZ have made an assessment on the costs it is carrying forward for tenements PR4029 and PR4030 and believes it can no longer carry those costs forward and have expensed a portion in the current financial year of $643,339 (costs written off/expensed through the the Profit and Loss)
Effectively they have assessed they are not going to be able to recoup that portion of costs in future years through revenue producing activities and therefore must be written off in the current financial year
That's the technical side of it
The question that is not answered (and what you probably want to know) is "WHY" on assessment this year has this portion of the costs associated with the tenements of $643,339 been written off?
There may be a number of reasons (part of the tenements have been re-assessed and are unlikely to be productive in the future, the company is abandoning plans to develop part of the area etc etc etc )
Going by other comments it may appear plausible that the size of the tenements 4029 and 4030 have potentially been changed
If in fact the case is that the tenements are now smaller in size then AVZ would have to proportionately write off some of the carried forward costs in the year that it happens (eg if the tenements were reduced in size by say 25% then one might logically expect 25% of the carried forward costs would need to be written off)
That example is probably a bit simplistic but you get the idea
So in summary going by what others have provided and what I've gleaned from the report I too suspect there has been a change in the boundaries for 4029 and 4030 and this has triggered the associated write off of a portion of the carried forward costs related to those tenements in the current financial year
Would definitely like to know the explicit reason(s) for the write-down of the asset and the methodology used to calculated the final $ value of the amount expensed through the P&L
Hope that helps a bit
Cheers
Nut
Nellie17
Regular
All in my opinion only -
The Cath extension announcement creates alot more questions than the simple delay of it all.
In my opinion maybe Cath are not to concerned about the percentage (24%) of the mine, but are more interested in the guarantee of supply of the product. So maybe they are willing to renegotiate?
With other parties reportedly now showing strong interest such as the Americans amongst others, maybe management is renegotiating the % owned in the Cath deal in return for guaranteed products. And then the leftover %, onsold to a new partner for a much better deal for our company!
I also don't think this extension should
have to much of a bearing on when the ML is issued, as long as the $$ are in order!
Things definitely feel as though they are getting bigger & bigger, but YES everyone, we need this fu.king licence!!
Just saying.
Have a good weekend all,
Cheers,
Nells
Samus
Top 20
I was going to say Wino for ceo! and get this project moving.I too was about to say that
I think there was reference to the paperwork in the agm announcement.
At 19.32 they talk about the Battery Council (CCB), I understand all is still in draft. (I prefer draft over canned
)Further they are going to build footbridges at the airport for people with reduced mobility.
To be continued.
Samus
Top 20
Cheers cruiser I must have wasted a day of my life watching this religiously every Saturday for the past 12 + months.At 19.32 they talk about the Battery Council (CCB), I understand all is still in draft. (I prefer draft over canned
Further they are going to build footbridges at the airport for people with reduced mobility.
To be continued.
Good to have the weekend off
Winenut
Go AVZ!
You need to get back on the turps mate, that post was way too sensible
I know, I know....I too was about to say that
I read my own post and it bored the shit out of me
Retrobyte
Hates a beer
I googled Sabrina Tab and I think if she asked me nicely I might let her
Carlos Danger
Top 20
It was nominations for a director. If we all get behind one candidate there is a slim chance of getting someone from this forum on the board. Worth a shot imo.I was going to say Wino for ceo! and get this project moving.
I think there was reference to the paperwork in the agm announcement.
I vote Wino or Wombat.
JAG
Top 20
Or if you vote me I will stand up for our god given right to have oysters and beer at every AGM
and I will have all those in Perth picked up in the KIA Limo
John25
Regular
Nut …is this a fuckin circle jerk ???? Just asking for a friend …not much doing down here …fellas seem keen
MoneyBags1348
Top 20
I would have voted for you JAG but seeing I like Jack Daniels, live in NSW and want to be picked up in Bogati, I’ll be voting for Winenuts (unless someone in NSW, possibly even a Novocastrian has a Bogati)Or if you vote me I will stand up for our god given right to have oysters and beer at every AGM
View attachment 17760
CATH will be hedging their bets.Happy with that to be honest cath obviously happy sticking by avz, and although it's next year we're sponsors of the forum. It's slow but I think it's definitely happening!
You can bet your life they have been in contact with those Chinese crims since before we knew anything about the 'purchase'.
D
Deleted member 1612
Guest
This is the funniest post you’ve ever written WN, literally cracked me up on this sunny spring day in Melbourne. Sun makes everything seem a bit better at least!!I know, I know....
I read my own post and it bored the shit out of me
grassseeds
Regular
I am not aware of DRC requirements, but for Australian exploration licenses you have a " use it or lose it " philosophy. At the end of your 5 year Exploration period, you can only apply to keep 50% for further exploration. In Australia, the company can select the area they want to keep.
AVZ may be having trouble with the DRC people on AVZ's selection of the 50% that they will get on the area which has been designated for renewing the Exploration license. It would be a shame if they could not control all CDL.
This could be one reason for the delay in awarding the ML.
If not resolved before the AGM it will be one area that I will be following up on.
Frank
Top 20
*Bogati
Looks like a Gas guzzling Blue Bugatti to me Bro I'd prefer to be picked up / own something Electric tbo
Something like this perhaps, check it out
*Speaking of Citroen, I see where
Stellantis weighs new chip, materials strategy, Citroen CEO says
Stellantis NV is considering unprecedented actions to shore up its access to raw materials and vital car parts as soaring energy prices and ongoing supply-chain disruptions threaten the auto industry’s transition to electric vehicles, according to the head of the carmaker’s Citroen brand.
The maker of Jeep and Fiat cars is seeking direct talks with chipmakers, an unusual step in the multi-layered supply chain in carmaking, according to Citroen chief Vincent Cobee.
The manufacturer may also go as far as buying battery material providers to ensure reliable supply, he said.
That’s what “we have to do to progressively get out of the storm,” he said in an interview in Paris, where Citroen presented its new Oli concept car this week.
“It’s a very nasty discussion but it’s shaking the business model of the auto industry.”
Carmakers are struggling to secure essential parts and materials ranging from lithium for EV batteries to semiconductors for increasingly computerized automobiles.
Stellantis is “looking at all options,” Cobee said, adding that the traditional model of using a chain of vendors to procure parts “is starting to crack.”
The supply-chain model for the past “30, 40 years is being put into question by the volatility, the brutality of the crises of the past three years,” Cobee said.
Stellantis is in direct talks with chipmakers about supplies, he added, and is pursuing a range of actions to secure EV battery materials.
“We can secure lithium via a purchase contract, we can be a co-investor into a new mine development, we could buy material providers,” Cobee said.
Meanwhile, Citroen’s concept Oli car is built to showcase a vehicle with fewer energy-consuming features, bucking the trend of making bigger, heavier autos, said Laurence Halsen, product and strategy director at Citroen.
The car, much lighter than comparable vehicles, can be upgraded over time with recycled materials, including cardboard.
“This summer changed everything,” Cobee said in a speech before Oli was unveiled.
“We see heatwaves. We see raw materials going up, we see inflation coming, we see energy concerns.
The world is not infinite in its resources. We need to address that.”
mining.com
Azzler
Top 20
Mate I do hope you're right about this Obe. I'm feeling a little sick right about now.
The last extension gives me an idea you're right about this. The unusual specific length, not 2 weeks, not a month. The mention of a return to trading in the anouncement, the rumors about it happening very very soon..... But I think everyone is far too fatigued to get excited about the prospect of advancement right now.
I don't feel concern for AVZ not making it, everything points to a successful and highly lucrative investment in AVZ.... eventually.
But fark me, I really need this to be trading again because I'm not sure how much i can get for my ass on the street corner at my age.
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