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I think the key there Q is selective, now that the CGP matter is coming to a head they might suddenly decide these results might be market sensitive.
I asked Eliza recently if drilling had commenced and got an interesting reply
“ Thought it might be good to hear it straight from Nick.
See you next week on the webinar and have a great weekend!”
Hmmmm?
Good afternoon all, if drill results were market sensitive information, then they would all be released. They haven't been, they have been released in a selective manner. Not all drill results have been released.
Yes good points, maybe that’s just it, what you have highlighted.
Let's face it - if they hit a hole 5 alpala on either Porvenir or La Hueca, they'll make sure of their numbers and release it to the market quick sharp. Porvenir shot to the top of the list when they announced 147m of surface expression with some tasty Cu/Au content at the start of 2019. But I've noticed that they are very tactical about their priority targets - they claim it's based on new data that has come to light, but I think it's actually more about what they have permits/funding for and what they don't! For example, they were bigging up Rio Amarillo and the targets areound Cascabel in May - why? Because at that point they were intimating that some of the FN money could be used on "local" exploration, and also because Cascabel came out of lockdown far earlier than the prospects in the south (Hueca, Porvenir).
Clearly not price sensitive in the respect that the last 12 Drill result RNS's have had zilch effect on the stock price movement.
Great times ahead though
But it’s at their discretion I believe how often they release the results
They certainly don’t have to release after every drill. A back log of assays is an easy one to wangle.
I do believe holding back Blanca is a tactic and legal.
Drill results are definitely market sensitive information. Firstly because Solgold is an exploration company, secondly because the market has been begging for the company to drill and thirdly because the management have been singing the praises of all these prospects. And if you want a fourth why were they getting so excited about Alpalas drill results a few years back.
If it’s not price sensitive wtf are they drilling it for?!!
They've only just started drilling (the regionals) - there can't be any results yet!
I don't think anyone has been suggesting that SOLG have been withholding drill results. What imo has been delaying the regionals getting going (given that SOLG have had permits for La Hueca, Porvenir and Blanca since last October) is the lack of cash pure and simple. They didn't have enough to do both the regional drilling and advance Alpala - throw in that fiasco in Ecuador last October and a pandemic, and we are where we are...And where are we now? In an excellent position, finally.
Hi Quady..... I am not 100% sure of my ground here, but my understanding of a companies obligation is that it must release any price sensitive information within a reasonable timeframe, usually within two business days unless there are provable mitigating circumstances. So that begs the question.... in my mind.... that if you are correct, then drill results are not deemed to be price sensitive? Seems strange to me. They are often the most sensitive info that comes out of an exploration company!
Good afternoon ToS1963, I don't believe he is not releasing drill results. However he is under no obligation to release drill results. As these are not considered market sensitive information.
Gregory1yz... yep, sometimes the simplest answer is the correct one. Suspect they are imminent though.
Same applies if he is hiding bad results . So may be nothing to report yet.
There’s been a couple of posts suggesting NM might be withholding drill results from the market until such times as it benefits him to release them. Firstly.... he can’t do that without risking jail, so it’s unlikely I would say. The laws around a companies obligations of what when and how to update the market were tightened up back in the 80’s. Secondly, he is very keen to get the SP up in short order... so unless the results were really bad, it wouldn’t be in his interests to do so right now.
Quady/Redknight, yes looks like the PFS should be a significant price catalyst too, as he's strongly hinting that it's going to be a worthwhile improvement over the PEA (not least because of the great improvements in the gold recovery). It'll either fetch us a higher price at the bid table or better terms on the funding (or even reduce the CAPEX - now that would be nice).
Regarding the financing, he was pretty clear in this latest interview that there may be an equity component but it will only be at a project level (i.e. based on NAV) - makes sense.
I am agreeing with you RedKnight1.
In fact he is optimistic that block caving innovation and other capex savings may bring the financing down from $2.7 billion...
Redknight1 - yes he's happy to make it crystal clear, after the fact (i.e. after he's got his placing away). It's all water under the bridge now anyway.
Sorry Quady...he makes clear that the funding of Alpala is debt, off takes and as little equity issuance as possible, but based on project value not Market Cap...
NM makes crystal clear in the most recent interview that the FN funding is only for Alpala...
Good afternoon Miagi365, it's a good point, and one I at first got wrong. It was corrected in a previous presentation. The 100-150 million is for Alpala only. The reasoning is FN has paid the money for a streaming revenue from Alpala. They get no benefit if any of the money is spent elsewhere. So I imagine that any money left over goes to the constuction of Alpala. Now we have an interesting point. I am reading between the lines here, and this has not been said. Alpala is going to be totally financed from offtake, and debt. He is unclear on further dilution on Alpala, but not on the other tenements. However, He has indicated that the PFS, may provide us with savings, so once Alpala built, what happens to any left over money. All the best.
Regarding the recent fundraise, this is the way I see it. In the webinar in question NM/Ingo were basically evasive when they were directly questioned whether the FN money could be used on regional exploration - there was some umming and arghing and it was said that some of the funds could be used for "local" exploration - the term local was left deliberately vague and undefined.
Frankly, I think we had the wool pulled over our eyes, NM went on the charm offensive, as Iceberg pointed out at the time (and as is so often the case) and the reason ended up being the obvious one and is now abundantly clear; the trouble with these placings is you can't very well come out and say you're going to do one, as the share price will tank. Anyway, what's done is done, SOLG have an extra $40m in the coffers, and so the brakes have been taken off now. Plenty to look forward to.