Ann: Lindi Jumbo Project Update, page-269

Hi R08

You are right, the USA investor holding with be "insignificant" due to them selling the shares they are issued after they have been issued equity.

The brief history,

The USA investor was issued around 6-7mil fee shares (Free shares) for providing equity that was required for the Tanzania bank,
https://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=02390716

All of these shares were sold on market, you can look up WKT's history T40 lists to see who they held their shares with,
I believe Croc-file confirmed they were held by BNP Paribas.

You can look back through the threads and you will be able to determine when they finished selling their shares during November, the bulls were all talking about how close BMCG was to finishing selling their fee shares. the SP quickly rose from 17.5c up to 21c when they converted US$400k of the US$6.3mil of equity @17.5c. (11th of November)

It appears BMCG has now completed selling their first Trench of US$400k (3.1mil shares)

Croc has confirmed on hC WKT is likely to see 6mil shares converted in the coming days, (I suspect it will happen next year), which will likely be converted at 17.5 or 17c.





The chart is a few days old now, the dashed vertical yellow line shows the 20 day trading window the USA investor can use to select the 5 day VWAP which is the pale blue line, The blue line is the 5 day EMA (close) which is slightly higher share price average to the actual 5 day VWAP.

Anyway, Its very interesting reading the original ASX announcement detailing the agreement.
CEO of Walkabout Resources, Andrew Cunningham commented: “The confidence demonstrated by BMCG in the Lindi Jumbo Graphite Project and in management reflects the underlying quality of the Project.
https://www.wkt.com.au/wp-content/uploads/2021/06/ASX-Announcement-WKT-Placement-Announcement-Final1.pdf

It doesn't give me much confidence in the Lindi Jumbo project when you see BMCG selling their fee shares on market and they have also shown to sell their equity when converted.

I don't believe BMCG was shown in the November T40 list that is available on the companies website. which indicates they had reduced their holding from 3.1mil down to under 1.9 mil with 13 trading days,

We will soon see if BMCG requests for their next shares to be issued within the next week to take advantage of the 17 or 17.5 conversion, or if WKT can obtain other funding options to repay the US$5.9mil of equity.