AVL

0.00%

1.4¢ australian vanadium limited

Ann: Notice of General Meeting/Proxy Form, page-24

First 24 Last

Share
Profile

Follow
penrice1

654 Posts.

32

19/05/17

06:17

Post #: 24783732
Share

Originally posted by red-frog ↑

We the shareholders will issue 150m shares including the performance shares for Blesberg plus a few million dollars in drilling and other costs.

So why do the directors of AVL think they should also get performance shares for a very small low grade resource?

There is no justification for issuing 5% of our company to the directors at this stage of our evolution.

When they can say to shareholders " A job well done", they will deserve extra performance shares.

A job well done is when AVL is cashflow positive. That's still light years away.

Presently they can only say "A job done well up to this point". I commend Vince and the crew for what they have achieved so far. They have set the company up to become multi layered instead of just focussing on the **anintha deposit.

When the market starts to reward us all with a rerate, the next tranche of director performance rights should be hit. 3 cents seems possible by the end of the year if the company can keep on track and achieve their objectives as per their schedule.

I would consider more preference rights, half at 4c and the rest at 5c. The directors should not expect to just be gifted 5% of the company on top of their salaries. They need to add value for shareholders also and the only way that matters is the share price, as we will all be dead long before we get a dividend.

All the work done to this point will mean nothing unless the directors can keep progressing the company to an end point. Getting the share price up has to be a priority to avoid huge dilution going forward. Sell off Nowthanna uranium deposit if needed.

The current swathe of listed and unlisted options will bring in much needed cash, but the downside is the capping effect they have. It no doubt makes the directors task of lifting the sp above 3c to get their next preference rights harder, but we all suffer together, including the directors.

Unfortunately they don't seem prepared to wait for the company to advance itself to a point where the market likes the story and the company gets rerated.

Back to Blesberg.
Performance rights kick in at 2mt @ .8% Li eq. That's ridiculous, as is the highest hurdle of 6mt at the same grade or grade equivalent.

Let's look at a few current ASX companies with Li resources:

AJM 40mt @ 1% Li indicated resource and 2.3mt @.9% inferred.

KDR 128mt @1.44% combined indicated and inferred resource.

PLS 156mt @1.25% combined indicated and inferred resource.

BGS Currently the resource is 15.5mt @1.48%.

NMT 78mt @1.37%

GXY Mt Cattlin 16mt @ 1.08%

All of the above are or will be in production in the near future (BGS maybe not)

So what will AVL need to be able to bring Blesberg to production?

It seems .8% Li would probably be uneconomic. The above are all 1% or greater.

The directors seem to have set the bar very low, so even if the resource is uneconomic, they still get their preference shares.

To me the Blesberg resource has absolutely nothing to do with any director receiving performance shares. The overall performance of AVL should be the only guide.

Just my opinion

Expand

Like your argument red-frog.

The performance shares issue has been a real own goal by management IMO, it has certainly affected my over all sentiment. Trust there will be some good news on a VRB sale (or better still) sales, and positive report / results from the drilling on the Blesberg project prior to the GM on the 12 June, 2017.

AVL Price at posting: 1.6¢ Sentiment: Buy Disclosure: Held
5 Upvote

0 Great analysis

Reply

Top Stories

HVN

Consumers cautious according to Harvey Norman, as profit slumps 35% in FY24

Week 35 Wrap: HotCopper’s top watched; ‘iron ore winter’ has started; Oz inflation @ 3.5% MoM; Harris fracking flip

TBN

Tamboran kicks off Shenandoah South pilot project with SS-2H well spud

CCO

The Calmer Co’s Anthony Noble reflects on record breaking FY24

LLC

Lendlease sells off US east coast construction operations in latest global divestment push

HLX

Helix investor makes partial takeover bid, proposing board changes

Consumer Staples Shine Amid Retail Slump – Key Stocks to Watch

PYC

PYC achieves key designation for drug aiming to treat blinding eye disease ADOA

VYS

Vysarn acquires Waste Water Services Pty Ltd for $7.5M; WWS to become subsidiary as expansion continues

CYM

WA Nifty copper project steps closer to restart with Cyprium Metals inking $40M loan from Glencore

There are more pages in this discussion • 66 more messages in this thread...

First 24 Last

Add AVL (ASX) to my watchlist

(20min delay)
Last 1.4¢		Change 0.000(0.00%)		Mkt cap ! $120.8M

Open	High	Low	Value	Volume
1.4¢	1.5¢	1.4¢	$16.26K	1.158M

Buyers (Bids)

No.	Vol.	Price($)
36	12865080	1.4¢

Sellers (Offers)

Price($)	Vol.	No.
1.5¢	10979895	31

View Market Depth

No.	Vol.	Price($)
36	12865080	0.014
28	10130253	0.013
26	6864148	0.012
11	4966023	0.011
17	7428350	0.010

Price($)	Vol.	No.
0.015	10979895	31
0.016	18499736	25
0.017	17847460	29
0.018	7267348	17
0.019	3864624	7

Last trade - 16.10pm 30/08/2024 (20 minute delay)

AVL (ASX) Chart

Ann: Notice of General Meeting/Proxy Form, page-24

Consumers cautious according to Harvey Norman, as profit slumps 35% in FY24

Week 35 Wrap: HotCopper’s top watched; ‘iron ore winter’ has started; Oz inflation @ 3.5% MoM; Harris fracking flip

Tamboran kicks off Shenandoah South pilot project with SS-2H well spud

The Calmer Co’s Anthony Noble reflects on record breaking FY24

Lendlease sells off US east coast construction operations in latest global divestment push

Helix investor makes partial takeover bid, proposing board changes

Consumer Staples Shine Amid Retail Slump – Key Stocks to Watch

PYC achieves key designation for drug aiming to treat blinding eye disease ADOA

Vysarn acquires Waste Water Services Pty Ltd for $7.5M; WWS to become subsidiary as expansion continues

WA Nifty copper project steps closer to restart with Cyprium Metals inking $40M loan from Glencore

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Ann: Notice of General Meeting/Proxy Form, page-24

Top Stories

Consumers cautious according to Harvey Norman, as profit slumps 35% in FY24

Week 35 Wrap: HotCopper’s top watched; ‘iron ore winter’ has started; Oz inflation @ 3.5% MoM; Harris fracking flip

Tamboran kicks off Shenandoah South pilot project with SS-2H well spud

The Calmer Co’s Anthony Noble reflects on record breaking FY24

Lendlease sells off US east coast construction operations in latest global divestment push

Helix investor makes partial takeover bid, proposing board changes

Consumer Staples Shine Amid Retail Slump – Key Stocks to Watch

PYC achieves key designation for drug aiming to treat blinding eye disease ADOA

Vysarn acquires Waste Water Services Pty Ltd for $7.5M; WWS to become subsidiary as expansion continues

WA Nifty copper project steps closer to restart with Cyprium Metals inking $40M loan from Glencore

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News