Ann: Trading Halt, page-696

Changing the topic slightly to what happened to us.
You don't turn up to a brokers office and state you want to do a cap raise, on a Wednesday afternoon expecting to put in a trading halt Thursday morning and the raise done over the next couple of days. You 'tout' around different brokers looking for what they might offer should you need a raise a week or 2 earlier.

My suspicion is that Scott had contacted the broker/brokers before discovery looking to do raise after discovery. Broker knows how much needs to be raised. All confidential (nudge nudge wink wink)

Broker phones large clients to gain insight for demand of a new issue (of a good company, no details yet), 'possibly' coming soon. Broker mentions to clients "remember the profit you made in IVZ, it might be time to lighten up on some to have funds for this new upcoming issue in 'good' prospect, sorry we can't tell you who".

Big clients know the game and sell IVZ on discovery, hence SP goes down. Retail instead of being excited see SP go down, and instead of buying up big tend to panic, or at least not buy much on average.

To me Scott is a rookie in the game of cap raises, and while the broker can swear on a stack of bibles that they did not divulge the cap raise, all the large clients and sub-brokers knew it was coming, and when...

We are obviously desperate for funds as few raise this close to Christmas, probably spent too much on side track..

Here is the wording from last raise 21/9/23 as a placement....
"The capital raised will ensure the Company is well funded for the upcoming Mukuyu-2 exploration campaign, providing project contingency and for well evaluation and testing subsequent to the drilling campaign completion. "

That is obviously wrong given current raise. It was only enough if everything went perfectly, it never does in wildcat drilling.. Either the BOD is terrible at estimating how much it was going to cost, or terrible with info to market, suspect the latter...

IMHO Scott needs to get his act together, raise big when needing to raise, including contingencies for when not everything goes according to plan. Always leave funds up the sleeve so that there is never an emergency cap raise like this one, stop trying to talk up the funding with choices that are obviously not there, plus start talking up what we actually find, sell the sizzle more than the 'we want to be conservative' approach, release the companies own 'prospective' numbers etc.

To me, we are going to get further dilution in 2024 for further work. Drilling is expensive, which is why most companies farm out a lot of ground. Even other juniors on ASX would be interested if 'large' players are not on reasonable terms.

Think outside the square don't try and fool the market, it caught you out big this time!!

We need more wells drilled, neither the market nor the Zimbabwe government is impressed with 1 per year. MK2 should have been drilled months ago. Get the planning for multiple wells this year, plus all the other work needed, raise accordingly, not lots of drips at the wrong time. Sell 50% of the East, or Mukuyu, or string of pearls for decent drilling campaign, it would be better than constant drip cap raises, lots of options (that cap upside of SP), and very slow progress..

You can only expect shareholders to support the company while the company looks after shareholders. Shooting ourselves in the foot with this cap raise after the games on webinar about funding, (and last cap raise announcement!!) does not endear strong support from shareholders..