AVZ Discussion 2022

[Tursty]

I'm betting the mining industry tax system is pretty complicated, so that was by no means meant as an indication of what tax rates to expect. It was simply quoting the figures used in the quoted post.

The point being that the benifit as a whole to the DRC by far exceeds the shareholding they retain in Dathcom. And this position some people are presenting on X that AVZ are trying to take everything for them selves is just simply wrong. The deal that is documented is actually a very fair deal for both the DRC (the owners of the lithium in the ground), and the investors that bring the capital needed to dig it out, process it and sell it.

IMO bla bla

 

[CHB]

Is that in the best interest of the SH ? I think not .

It depends on what the options are of course.

Is negotiating and having to deal with corruption and the possibility of being fucked over again down the track in the interests of shareholders?

 

[wombat74]

Without having access to the facts and with clarity of hindsight, I still question how we have gone from a well-funded position and imminent ML to almost out of capital and further (decree cancelled, multiple legal challenges, etc) from an ML. Maybe management are negotiating and don't want to show their hand... but as an investor, all that capital we burnt through drilling and paying BOD for an inactive asset, has seemingly seriously weakened our position and opened me up to significant dilution.

We have to show our hand before we run out of capital (which was the Chinese strategy all along). I just hope I am wrong and NF pulls a rabbit out of a hat.... otherwise I am destined to a 9-5 for another 20 years or so.... unless there is another 25 bagger like AVZ in the mix .

Can you imagine the BoD taking salary over the next 3 to 5 years while we fight it out in the courts? For what ?

 

[wombat74]

It depends on what the options are of course.

Is negotiating and having to deal with corruption and the possibility of being fucked over again down the track in the interests of shareholders?

True . However some may just like access to their money and the ability to decide what they want to do . The damage is done in terms of trust regardless how this plays out . If we are still at a Brick Wall then a negotiated settlement , whether by pay out or collaborative agreement , is the right way forward imo . I don't know anyone who wants their money tied up in this sh1t show for years to come .

 

[wombat74]

Cybelle Kamba Kabasu
@CybelleKamba

"Before withdrawing the complaint(legal process) make sure you get what is rightfully yours and if not, go all the way but what is true, the DRC has no money to pay the damages".

 

[tonster66]

The President is outraged by the lack of action! WTF

 

[The Fox]

The President is outraged by the lack of action! WTF

So he puts the foxes in charge of the hen house to sort it all out and to report back to him. FFS !!!

 

[TheCount]

The President is outraged by the lack of action! WTF

 

[Xerof]

The President is outraged by the lack of action! WTF

So, he has yet another pocket of corruption to sort out - the judicial system. I think work on that is underway, but yes, Jules is toothless without anyone taking his findings a step further and prosecuting (in front of non-corrupt magistrates/judges)

I don't know who the intermediary is to pick up his findings and act on them, but it should be something like a Serious Fraud Office, or alternatively give Jules and his team the power to do it themselves

what a fucking shitshow

 

[BRICK]

back into the cupboard then...

 

[Carlos Danger]

And different tax laws, not just standard 35% or whatever

It was a 2 year tax free period to compensate for 10% free carried.
However everything is probably renegotiated, that may or may not still stand.
Yes I didn't realise tax was 35%, seems excessive, not sure if it's right.

I'm betting the mining industry tax system is pretty complicated, so that was by no means meant as an indication of what tax rates to expect. It was simply quoting the figures used in the quoted post.

The point being that the benifit as a whole to the DRC by far exceeds the shareholding they retain in Dathcom. And this position some people are presenting on X that AVZ are trying to take everything for them selves is just simply wrong. The deal that is documented is actually a very fair deal for both the DRC (the owners of the lithium in the ground), and the investors that bring the capital needed to dig it out, process it and sell it.

IMO bla bla

35% is correct when inclusive of 5% export tax which all of our curent offtakes will be subject to. Tax rate is 30% on profits made within the DRC.

 

[Doc]

35% is correct when inclusive of 5% export tax which all of our curent offtakes will be subject to. Tax rate is 30% on profits made within the DRC.
View attachment 43255

The amount of tax they are missing on is mind blowing. What would the income be at 20mtpa plus the PLS trains at current rates? We talking potentially hundreds of millions in tax dollars a year when this ramped up to full capacity. I hope Nigel and co have managed to get these figures put directly on Felix's desk. Maybe to understand better they should say that equates to a few hundred Rolex Submariners a year....should get him moving

 

[Mr Inappropriate]

Cybelle Kamba Kabasu
@CybelleKamba

"Before withdrawing the complaint(legal process) make sure you get what is rightfully yours and if not, go all the way but what is true, the DRC has no money to pay the damages".

Cybelle is the anti-Lars.

Glad she’s on the side of good instead of evil.

 

[Hemicuda]

Whats happening good sirs? Can’t be assed looking back a few pages as I’m nauseated enough already,,,, so who’s yanking our chain today?

 

[Winenut]

Whats happening good sirs? Can’t be assed looking back a few pages as I’m nauseated enough already,,,, so who’s yanking our chain today?

Everyone....as per usual

 

[cruiser51]

 

[wombat74]

Said it once and will say it again - Strand the asset, leave it to the courts. The time for negotiation was 12 months ago.

(Sorry for all holders doing it tough, myself included)

Maybe a stupid question . I thought I knew the answer . Can the DRC go ahead with the Chinese and develop the project without AVZ while the legal stuff plays out over the coming years ?

 

[CHB]

Maybe a stupid question . I thought I knew the answer . Can the DRC go ahead with the Chinese and develop the project without AVZ while the legal stuff plays out over the coming years ?

Sure, why not?

They've done whatever the fuck they've wanted to so far.

 

[solo]

Maybe a stupid question . I thought I knew the answer . Can the DRC go ahead with the Chinese and develop the project without AVZ while the legal stuff plays out over the coming years ?

No company will take a risk to develop 13359 until our case is still in courts If someone does then AVZ will bankrupt it.

 

[wombat74]

No company will take a risk to develop 13359 until our case is still in courts If someone does then AVZ will bankrupt it.

Good to know . Cheers .