George Frangeskides, Exec-Chair at Alba Mineral Resources, discusses grades at the Clogau Gold Mine. Watch the full video here.
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Today you've pumped OMI on the ORM, ORR, ALBA, ARV, CORA, WSBN and GGP bulletin boards. I don't pay attention to that kind of ramping.
OMI deliver the goods on untouched ground North of Anza….. 150m @ 3G/t from surface…. Get on board while you can…..
The news is good, one day this share will fly high.
All good news. Calculated at £1,200 per ounce that gives a huge £800 million in the ground for a company with a MkCap of £12 million. DFS in Q3 2022 will be company changing.
"Indicated Mineral Resource of 16.1 Mt @ 1.27 g/t Au for 657 koz"
economic??...... I would have thought so...... you could scoop the shallow oxide gold up with a bobcat(lol)......with the deep (unexplored) sulphides for later....just my guess from memory..! but of course it was AOK at scoping study stage which used$1,500 POG ....is now up...from then and an IRR of 107 and resource size increased to 920koz.! I suspect the new AISC to be around $1k....depends on the size of mine! Further exploration potential to double resource or more!
Will the funding be forthcoming ? Is the project economical at current pog?
I posted the following on another share chat board but felt it could be relevant here too, as I hold CORA especially with our increasing resource and production potential....."Yes indeed, Gold(and related Gold shares?) will re-rate with the "coiled spring effect in time.....when confidence in currencies fails and people rush (even 2% of the population rushing to acquire 5 ounces AU would lite it up for sure) to hold something real (other than collapsing house prices and unaffordable variable 20% interest rate mortgages)..Perhaps 85% of US population are on fixed rates...but in the UK we're variable rate and any short term fixes will be variable 20% interest soon.....How many on £3k per month or less take home will be able to afford their £100k mortgage at £2,500 a month? and their £500 p/m electric.
Something's going to give and in the rush for something real in one's hand as their fire insurance....then that's when the price of gold/currency will become those extreme figures, which still look far fetched?? not so much now eh?
The amount of ounces you have will be all important....as history shows from buried hoarded treasure....history repeating/rhyming again?
Do not be concerned about daily/monthly fluctuations on the paper gold price that is set for the miniscule physical PM market (in comparison)....Some say Russia and China have nigh on 60,000 tonnes or about 12 times or more than what they officially disclose....there is a reason for that....and also a reason for increasing premiums we must pay on any PM physical purchases. You should at least certificate some of your xxxx holdings..... I have ! gLA. "
Not a question of messaging at all IMO. The DFS should land within the next 4 weeks. It will set the price for the Term Sheet raise. The share price is simply moving towards what will be the eventual Term Sheet price. Nothing anyone can do about that, as its simple market forces/maths playing out here. Once the DFS is out, then Cora will need to come out and say what the plans are for the Term Sheet. We are about to find out if Lionhead will go ahead with their funding of the Sanankoro mine. The DFS has been delayed by a full 3 months, and any further delay, or a delay re the Term Sheet, would concern me about the funding tbh. So critical period coming up here either way. As always, all imo and DYOR.
Needs to be north of $1800 pog. CORA need to get more positive in their messaging.
I've always maintained that the Term Sheet is the optimum time to enter Cora from a risk perspective. No matter how good the management are, they need Lionhead to actually put up the cash. Because of the jurisdictional issues, I am not taking the funding for granted, although I don't anticipate there being any problems, but you just don't know with the Russia/Mali dimension. So, I'd even rather buy at higher levels through the Term Sheet, than at lower levels in advance of the Term Sheet.
Also, I'm not willing to risk buying now, only for the share price to then be pulled back to the Term Sheet price, or crash if the Term Sheet is delayed or doesn't proceed. The DFS is now weeks away, so will set the Term Sheet price for us all, and give a baseline for investor decision making.
I agree that the Term Sheet will be the catalyst. A £multi million investment from Lionhead, who undoubtedly will be have much better handle on jurisdictional risk than us retail investors, will give renewed confidence. I'd be happy to piggy back off their risk analysis, and if they stump up the cash, that'll be good enough risk analysis for me. All imo
Having narrow vision can often mislead a lot of investors be that both positively and negatively.
When you zoom out and look at the wider markets suddenly your isolated drop doesn't look so isolated but actually just your company following the general market trend, same goes for upside moves a lot too.
In Coras case, the value today also includes some of the risk still on the table but as each risk removed, step by step, then for me I can see the large upside available if all goes to plan.
The question then becomes do I feel Coras management has the ability to deliver the project and overcome each hurdle on route? And for me its a big YES.
When it comes to juniors management is so key to success but so far the CEO has proved he has what it takes by successfully delivering some outstanding drill campaigns and getting work done in other areas.
Is the term sheet holding it back? Yes very likely, but once signed that term sheet is also a major cataylst for growth.
cheers uktrader6...lol but I have done 5 of 25 posts9 (now6/26) on this page.....20%+......can,t hog the board...lol
but since I'm here now....my post on advn.....Mali, Term Sheet worries etc. and in current market many companies have dropped similarily.......and when this sharechat board reflects despair and frustration to the present extent....it motivated me to "Do Me Own Research" again......which led to my last post!
bankrupty
If today is anything to go by you should post more often lol
Situation in Mali might have something to do with it... A military government not willing to return power to an elected government any time soon with ever closer ties to Russia and 1000s of PMC mercenaries in the country...
Fair value should be £65m and SP ....25p which is 500% from where we are today
Where else can we see a £50k o.z. p.a. production with a AISC of £700/o.z. operation and at least a £20m p.a. EBITA with a LOM of 8yrs. ++.........with a market cap at £13m????
It's got to be a buy at theses prices? Of course we could argue my figures.....but you could argue them both ways and still be coming close! DYOR.....judging from today's action....some have?
GLA
This bloody term sheet has been a disaster. I just don’t accept that it was necessary, and the likely consequences were clear - though worse than I imagined. Existing shareholders diluted way too much, and the chance to participate in the forthcoming capital raise (but to what extent?) will scarcely mitigate.
LW - Looking like your prediction of 3.5 p- 4p is very realistic at the rate this share is descending very shortly. Surely something must happen soon, at this rate there wont be much of a share price left.
Hopefully the DFS will be brought forwards the low will be out and this will finally start to lift to where its deserved.
I haven't popped in here for a while... CORA absolutely hammered (temporarily)!
The term sheet is definitely having a lag on the SP, and agree that it won't be picking up until triggered.
At the current price and Market Cap, there are about 300M outstanding shares.
To satisfy a $12.5mm equity raise, at the current FX rate + 10% discount, there needs to be another 280M shares issued.
That is about a 49% dilution.
Add in that the price of gold has fallen, equity markets have sold off and the political situation in Mali has been shaky.
No wonder the SP has fallen 75% since Sep last year.
But of course, amongst the not-so-good news (largely out of CORAs control), there has been some good news.
Positive MRE , steady news flow, successful drill campaign, more time given to complete DFS etc..
I hope by end of Q3 we will have the catalyst needed for the SP to pick back up.
Good luck all.
The delay in the DFS hasn't helped. The share price will continue to drip down until it lands imo. But is there any incentive to speed things up, because the lower the share price goes, the more shares the key players get as part of the Term Sheet raise. So the current decline is actually a bonus.
Been saying it for several months now (for anyone who cared to listen) - the DFS will set the low in the share price here. If the timetable is on track and we get the DFS in the next 6 weeks, then I think the low will be in and around the 3.5p to 4.5p range. (This is calculated by deducting 10% from the current share price. So for example, if the DFS is issued when the 30VWAP is at 5p, the 10% discount gives you 4.5p for the Term Sheet price. If the share price falls to 4.5p (on the 30VWAP) when the DFS is issued, the 10% discount gives you 4p, and so on.)
Yes, it's unfortunate for existing PI's, but they can also average down during the Term Sheet process, and 'win' then share in the upside once the development stage begins. As always, all imo and DYOR.
They based projections around $1900 an Oz. Gold around $1720 an Oz just now so the economics are not as attractive. Starting to wonder what is actually going on behind the scenes. PI’s getting shafted as usual.
Someone mentioned the possibility of a term sheet renegotiation a few weeks back. As I've made clear, I am going to wait until the Term Sheet to buy in here. What I am wondering about is when that will fund raise will happen? The most recent presentation says it will happen in H2 of 2022, which is exactly what is needed here, because imo there won't be any share price growth before it happens.
What I'm wondering is what happens when the DFS is out and locks in the Term Sheet discounted price. If after this, the share price falls below that discounted price, then would Cora be forced to renegotiate the Term Sheet, because otherwise the Term Sheet raise would be done at a premium to the share price, which seems unrealistic?
Before anyone says the share price won't fall below the discounted price, this will only be true if the Term Sheet raise follows very soon after the DFS. If there is any delay between DFS and Term Sheet, then there is that possibility of the share price continuing to struggle imo.
This all makes me think that Cora won't, indeed can't afford to delay the Term Sheet, because otherwise, they might well have to renegotiate it and that will mean even more dilution at even lower prices?
Maybe this is why the share price is very subdued that the moment, as it is waiting to see what is going to happen with the Term Sheet and at what price?
Bought again to lower my average price. Ideal time before the rises due on this one.
2,very large trades/rollovers/swaps,whichever...just there
Thanks both for your responses, very helpful to know the DFS will address any risks. I haven't seen the new presentation, but will deffo take a look at it when I get a chance. I am sure it will be impressive given the nature of Sanankoro.
Thanks AG1989.....by the way...topped up 100k today........can't ignore the current price. lol...will add more as things progress etc.