Does LBR truly own any Barbrook assets or hold security over them?

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LBR Does Not Own Barbrook Assets or Hold Security Over Them

Lions Bay Resources Pty Ltd (LBR) does not own, hold title to, or possess any security over any assets belonging to Barbrook Mines Pty Ltd (Barbrook). The Companies Act strictly prohibits the disposal of assets without the explicit consent of secured creditors, and Barbrook's largest secured creditors have not provided their consent for any Barbrook assets to be transferred to LBR or for LBR to be granted security over them. Furthermore, MIMCO, a joint owner of the processing plant, surface gold, and tailings materials, has not agreed to transfer these jointly owned assets to LBR. Consequently, LBR is not entitled to deal with any of Barbrook's assets.
No Transaction Conclusion or Substantial Implementation

LBR has not concluded or substantially implemented any transaction involving Barbrook. The acquisition of Barbrook's assets is contingent upon LBR obtaining consent under Section 11 of the Mineral and Petroleum Resources Development Act (MPRDA), which has not been secured and may never be obtained. This lack of consent means LBR cannot proceed with any asset acquisition from Barbrook.
Lack of Secured Creditor Consent and Joint Ownership Agreements

The disposal of Barbrook's assets is further restricted by the Companies Act, which requires prior consent from secured creditors. The primary secured creditors of Barbrook have explicitly stated they will not consent to the transfer of any assets to LBR or the granting of security interests to LBR. Additionally, assets such as the processing plant, surface gold, and tailings materials are jointly owned by MIMCO, and MIMCO has not agreed to transfer its ownership stake in these assets to LBR.
Unaudited Accounts Reflect Unsecured Claims, Not Barbrook Assets

While Metals One has claimed that LBR's unaudited accounts show assets valued at US$12.1 million, these assets do not represent any Barbrook property. Instead, these figures are understood to represent no more than unsecured creditor claims against Barbrook. LBR's financial reporting does not reflect any ownership or title to Barbrook's assets, nor does it hold any security over them.

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Does LBR truly own any Barbrook assets or hold security over them?

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