Pseudonym, well said. I agree with you, there would be many LT SH wondering the same thing. I too bought into VRC around these levels slightly higher, slightly lower a few years ago now. I bought in due to the world class graphite deposit and the ever increasing need the world is going to call upon in regards to EV and batteries in more and more portable electronic devices. I bought in knowing that we had a supreme flake in jumbo and super jumbo that is superior to most operating mines today coupled with the knowledge that our 30 LOM is only based on 6% of our area- so much room for growth. Our flake can be used for all of the many uses of Graphite given its quality. The funding for stage 1 coming in at $40m that would in turn pave the way for stage 2 is a miniscule in comparison to other companies looking to start up their mines.
BUT the reason why I have now been buying at will continue to hold even though I am now back in the green is because of this:
I am now treating this as the beginning. I am now saying to myself that with all the recent developments regardless of how my portfolio looks is the START of my investment and this is why…
1. VRC have only at the start of 2020 received approval to list our bonds for stage 1 funding on an African exchange the Mauritius one to be in fact- this was after 18 months of delay after delay via a Tanzanian route. So this is now put to bed.
2. VRC are currently in talks to raise this funding for stage 1 with fantastic terms for both - investors getting 9.5% return, have taken longer due to COVID uncertainty but will touch on below as to why this feels like a formality
3. VRC have recently acquired a highly prospective gold situation immediately adjacent to PDI - only have to look at how they are doing, for those that don't know they are onto a spectacular gold find - results on drilling to flow through for them over the next month
4. Our chairman has continued to put his hand in his pocket as he is wanting this to succeed, you only have to look at cap raisings he has taken up for significant sums, the amount of shares that he has it is only in his best interest to make this successful (guys like this are worth their weight in gold) you can tell with all the recent news that he is steadfast, you need guys like him and he has all the contacts and determination
5. Trevor Matthews, his history shows that he knows how to get companies to the next stage of natural progression, getting them to the 300M MC floor and beyond. You need a good leader and this is starting to show in spades with recent imagination to diversify and de-risk the company.
6. My favourite - the 2nd recent Gold Project acquisition in which this is ready to be turned into a medium scale mine, this is a PROVEN resource with stockpiles ready to be sold, ready to even be used to FUND our Bunyu graphite project. Have a look at PDI MC they are double VRC, they are only still in EXPLORING faze of which we even have the land next to them and are ALSO doing the same BUT we ALSO have a proven resource in the ground READY to be extracted of which $20m U.S has already been spent on development prior to us getting it.
7. The funding talks that are 'progressing' would now be looked upon by the potential investors in a WHOLE NEW light given the recent gold acquisitions. They now know we have millions in the ground ready to be extracted, they would now see our company completely de-risked from a monetary stance. This is a game changer and I am now expecting developments on our funding as a result!
8. Binding off takes on stage 1 of our graphite –the complete stage 1 is already spoken for, there is an appetite for our graphite and the demand is only going to increase and will coincide with our mine developments
I am treating VRC as a brand new investment, starting from scratch given all of the above, forgetting the last few years, this is a new company, they have never been in this situation, never had all these assets and value and strings to its bow. The 150m shares bought over the last few days illustrates this, yes there would be some that have held for a long period and decided to get their money back but there are those that are now getting in a the START of the journey, getting in because of all the above. I do see us getting to the high teens with news flow to come on our new drilling program next to PDI, PDIs drill program flowing through to us, news on funding, news on our proven gold resource, plenty of news now one can expect to come that is going to unlock so much value I am ready for the start of the journey.
(20min delay)