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2.1¢ cann global limited

"From the last count (ListCorp) there are 808 Material, Metals...

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Christopher67

990 Posts.

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05/10/22

14:31

Post #: 64042564
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Originally posted by Neil1959: ↑

“Accumulated losses now exceed an eye-watering $50,000,000 (i.e., 50 million dollars). I am not clear on why anyone would be paid $312,000 while the accumulated losses for shareholders continue to rise year, after year, after year.”

Hi Bas,

Well, you sent me on a search early this morning, that’s for sure . (I will be glad when I get these tablets again) I think I finally get you after reading many of your posts. You were a holder in 2014 and 2019 and have followed this forum since then, I believe. So I understand your interest in asking questions, and even though CGB has let us all down severely, as has the whole sector, I agree with @sharebroker1 ’s wish for a good acquisition announcement. I hope it brings some hope to shareholders.

Anyway, back to my response. Bas, I think the premise behind all your questions on revenue, profits etc is possibly based on a misunderstanding of what CGB/QBL/AGV actually was.

Just for reference, I found where you established your holding position: Post #:30288014Post #:30152063Post #:18121544Post #:40381531

“Accumulated losses now exceed an eye-watering $50,000,000…

I am curious, as you have raised this point in statements and questions many times over the years.

Based on those comments, did you think that this company was a Mining producer – licenced revenue earner or a Junior Mining Explorer – licenced to only explore, evaluate, and prepare a mining site – non-revenue earner (mining)?

From the last count (ListCorp) there are 808 Material, Metals and Mining Companies currently on the ASX. Over half of these (400+) are Junior Exploration companies like AGV/QBL. All Exploration companies accumulate large expenditure until they secure their full mining licences and they legally, as per the restrictions on their exploration licence, cannot turn the soil to produce ore or revenues until that licence is secured. Some never actually seek a full licence as they focus on Exploration only.

AGV/QBL, from my reading, never had that full Mining Licence but were in the process of applying for it when the trade dispute hit in 2017/2018 and then COVID interrupted things even further for all businesses globally. Even though you were right technically, in identifying an accumulation of losses, I would like to ask if your focus, and perhaps your premise, as I have observed, on them failing to produce identifiable revenue returns was possibly misplaced or even wrong. Like other Explorers on the ASX, CGB (QBL/AGV) never held the licence to make mining revenues.

QBL/AGV’s Main Responsibility
CGB (AGV/QBL), as an ASX Junior Mining Explorer, before taking on Cannabis, were responsible to shareholders to secure a tenement/s and search the areas in South Johnston where mineral resources may be present to identify the volume and quality of those resources and to investigate the viability of extraction in all its forms. They did that and were doing that as far as I can see. I wonder how many posters on the forum thought these guys were meant to be digging ore?

Posters who have been following this company for a long time might find these articles interesting.

https://earthresources.vic.gov.au/community-and-land-use/understanding-exploration
“Exploration is a range of activities to help determine if there are minerals under the ground. If the exploration process identifies minerals can be commercially extracted, then mining in the future may be possible.
Less than one per cent of exploration projects typically progress to establishing a mine. This is part of the reason why mining and the resources extracted come at a high financial cost.”
Exploration is simply not mining! It is identifying the volume of mineral resources to investigate the viability of extraction. That is what CGB (QBL/AGV) were doing, and along the way were raising capital and accumulating expenditure like all ASX Mineral Explorers do and trying to stay afloat in the process for their shareholders.

Anyway, food for thought!

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"From the last count (ListCorp) there are 808 Material, Metals and Mining Companies currently on the ASX. Over half of these (400+) are Junior Exploration companies like AGV/QBL."

I only have 1 question Neil, Which of these "explorers" claimed they were going to be a "major exporter" of Australian Bauxite (my bold), and estimated initial revenues of $200-300 million per year?

Just some food for thought,, when making comparisons we should be comparing Apples to Apples,,, not Deserts to Orchards.

CGB Price at posting: 2.1¢ Sentiment: Sell Disclosure: Held
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