Just to continue with the liquidation and related aspects after much searching found the two artickes mentioned in last posting. The second about selling BCL next week for Pula 5B appears to no longer be shown in mmegi but can be got by googling "liquidatoir to sell BCL for 5 billion pula next week" and I'm puzzled why the article is now non est in mmegi. Link follows.
I am cognizant that my posts can get too long so will try to skim only main points as I see them.
Oct 19, 2018 - Mmegi Online :: Warren-Dixon to sell BCL for P5 billion ... consultative forum, Dixon-Warren said he was also working with Pula Steel liquidator ... “I want to make sure that I deal with experienced people to run this mine not ... He explained that the BCL lost P5 billion in its operations in the last five years prior ..." and so on.
Just so many contradictory statements in this article....the 180 odd parties showing interest, all 180 rejected.....two extant but being allowed up to 18 months to search BCL for a pulse, afterwards to possibly be made an offer to proceed by the liquidator ( remember an initial call for statements of interest (also copied to the Dept of mining website) went out eons back, but now we seem to be starting from scratch again. Due diligencies were done by some including the original Arab investor group (EIH), but we keep being told things are to be slow and difficult because BCL is an old, complicated mine, badly looked aftere, etcetera. I have little doubt this could go on literally forever, unless a way to disassociate the BCL/SI6 JV assets from that process to get them released so that another party could be brought in to work with SI6, with some outside the circle provision being thought up to offset any losses to BCL creditors, in that way giving some incentive for Nigel Dixon-Warren to get things moving at least in so far as SI6 is concerned.
In this article there is the contradiction of liquidator being quite prepared to see himself paid monthly for maybe 7 or more years but wants to reduce the "skeleton staff" now employed to maintain mine assets, pump water, etc. He continually speaks of possible restart, but follows with the likelihood of full closure and full sell off of assets, only to state that in his opinion BCL will -despite it's travails - at some point be worth money as a mine as Cu and Ni become scarcer and less and less replacement deposits of quality are found. He bases this on a statement that Cu/Ni prices have risen/are rising when at least short term they are dropping sharply....Ni in downtrend since June after peaking at 7 , now down to 5.3, and Cu 3.3 peak in June , downhill all the way since, now 2.8.
Oct 19, 2018 ... SELEBI-PHIKWE: Senior staff members of both BCL and Tati Nickel were on ... Mmegi Online :: Liquidator cuts BCL, Tati Nickel skeletal staff.
The article that BCL will be sold for 5B pula becomes clearer as it is read in that in fact only the BCL farm is being sold. The headline claims the houses are also being sold next week, but liquidator says the 2000 houses can not be sold as they stand on only 27 titles, so there is no title for each house individually, hence they can not be sold, and in fact 60 of the 2000 are available for lease...that is all. All the contradictions and clashing statements make it clear to me that for SI6 to make any headway the BOD need to engage the Department, the liquidator, and the owner (the Bots govt) to get a consensus ad idem....a meeting of the minds. Failing this SI6 will not progress, and the liquidator will go on doing quite well out of what is rapidly becoming a pig's breakfast, in my foreigner's view.
Earlier we will recall Pula Steel which was largely owned by BCL was in liquidation after the shareholders decided not to reinvest to keep it going ( article Sept 2017 , "BCL moves to liquidate Pula Steel"). Now we are told by the BCL liquidator BCL has some 450,000 tonnes of scrap sufficient to keep Pula Steel in production for 10 years.....wonder if any of the scrap involves pulling down BCL existing assets????hopefully not. The Indian billionaire Anil Agarwal who owns some 21% of Anglo American and is a noted mover and shaker is in Bots from 30 October till 4 November at the invitation of Botswana Investment and Trade Centre with a group of sub-continent heavies to "scout(s) for local opportunities". Immediatly after the new president was empowered he met tweice with Anil Agarwal, both in London and Lusaka.
The points are: Mr Agarwal(US4B, 39B Pula) is a rags to riches story, making his early money from scrap metal. Anglo are always looking for good projects.
Indian multi-billionaire scouts for local opportunities
Indian multi-billionaire, Anil Agarwal is due to jet into the country towards the end of the month, leading a delegation of businesspeople and investors from the sub-continent scouting for opportunities in Botswana.
Lets not be blinded by China, strong as they are....India - the very emergent power. To uplift their general populace they need a lot of most things.
There is a lot happening in Bots. We needn't expect miracles, but SI6 need to stay/get back on the ball.
Every time I see Cupric, MOD/Metal Tiger, even KMT. I wonder why we are becalmed.
Sorry, long one again...best wishes.
SI6 Price at posting:
0.6¢ Sentiment: Buy Disclosure: Held
(20min delay)
