Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Gold currently $2058
I incorrectly stated the financial position of the company in an earlier post. Cash at 31 May was €565k. Post year end they raised €465k so €1,025k. They spent €605k last year on opex so they don't need a working capital placing soon. Should see them through to the next financial year.
Nice presentation,shows just how much potential is not being priced in.....This is the time to invest....The bitter and burnt should have invested now rather than before when it was obvious the company was set with an uphill task.....now is the time to reap the rewards....But I think all investors in this company have a debt of gratitude for the pioneers such as Deathstranding ,who took the risks only to fail,so that the investors today are sitting pretty.....Yes a big thank you is deserved.....
The presentation of the results is wonderful. The results are old. What investors need is meaningful, new results to prove the potential as touted.
Ah! "non jv" cost for the year. So not Accounting for the £ millions and the excellent gold results that completely undervalues the company.
I think there would be a multitude of funding options should they be needed. The "non jv" costs as you put them are chicken feed in the grand scheme.
I think you missed the point of my post completely. If you have comment on the report and drill results and the gold in them there hills, I'll be glad to here them and discuss them. Great result, good gold content, looks positive for me.
Feel free to start another post with your subject as a heading should you wish to discuss further. Thanks.
Not missing anything. They report €605k in non-JV costs for a year, they had €560k in the bank at the end of May. If they are spending at the same rate, what do you think is going to happen?
So its a badly run lifestyle company now. I understood from your initial comment that you thought that, as a Classic lifestyle company, Conroy were good at it.
Don't sit on the fence DS, tell us what you really think of Conroy. 😀
All I've heard is that Conroy are funded from, and Demir are engaged. Results are there for interpretation. Gold is on the up!
Again, I hope you are wrong about your percieved situation of affairs.
@Banzai "Not sure Demir would be in it if it was a lifestyle company"
Demir couldn't care less about CGNR or its shareholders. I'm sure they would be very happy for CGNR to go into administration so they can pick up their other 75% cheap. The PLC is just an albatross around their neck, and the more badly run it is, the better for them!
I think you are missing the Demir funding and effort/expenditure? Not sure Demir would be in it if it was a lifestyle company. 🤔
It reads like progress to me, but thanks for your input. I hope you are wrong.
Costs of €605k, even with JV covering exploration costs. Only €560k cash in bank at end May so there will need to be a placing in Q1. €3.8 million owing. Classic lifestyle company.
Https://twitter.com/ConroyGoldplc/status/1730152947588182149?t=TuMhiSch-DFgWD4PxnfSLw&s=19
Gold price looking good. Huge opportunity for the JV if they can start getting drill results out. Even the Sunday Roast guys told them they had to improve comms.
6,000 metres drilled, zero resource ounces added. Not seeing the merits in any of these projects. There's been a good bit of post resource drilling now at Clontibret, but no resource update in 5 (or is it 6) years.....?
Yes I would prefer 4.5m of drilling in phase 1 and a resource upgrade too. I have been very unhappy with the speed of drilling. I just hope that we are turning the corner because they really need to get on with it.
Fair enough, but there are plenty of pot3ntual scenarios and details left unanswered, and this seems to be as good as we are getting on detail.
If they had just done €4.5 worth of drilling and a resource upgrade I would rest easier.
https://www.conroygoldandnaturalresources.com/sites/default/files/Final%20Results%20for%20the%20year%20to%2031%20May%202021.pdf
I can't remember the exact details of the jv but usually it's not just a spend amount but also a minimum meterage in drilling.
Well if they got 25% on the cheap what then? They have to get each project to the point where construction of a mine can start before cgnr have to start contributing. If there's more drilling to do Demir will have to pay for it in phase 2. If there's still more drilling to do they will have to pay for it in phase 3.
Fairview, my point is that Demir have gotten to 25% by doing far less than expected, and in all likelihood, spending half of what they should have (unless drilling costs 2x more in Ireland than Canada).
Why? I imagine so that they "have" to spend more in the future when CGNR has to participate or dilute. It's the oldest JV trick in the book to get control. Of course we will never know the true terms and fine print of the JV because they were never released. If this was an IPO/Merger/Takeover (which it should be, seeing as CGNR ultimately loses control) even on AIM there would have to have been a broker-sponsored public admission document laying out all the facts and circumstances of both parties.
If you think a mom&pop outfit have the upper hand versus a Turkish Fortune500 conglomerate with an army of lawyers, accountants and execs. (a much touted fact) then think again.
Prof C constantly reiterates that CGNR are the operators, in which case, IF that is the case, I would expect them to be directing operations in the most effective manner - though I agree I'm scratching my head after a lacklustre 2023.
Yes but they have to spend 4.5m to get to stage 2 and they nearly have. If they're serious they'll have to do the drilling one way or the other. If they push drilling from phase 1 to phase 2 they are delaying progress for both JV partners. Demir would be delaying their own return on investment.
Also a lot of time was spent soil sampling and trenching. Was all that necessary? I can understand doing it at Creenkill but surely that has already been done elsewhere.
It should be drilling from now on and the amount of drilling should increase.
I can only imagine that Demir is doing a lot of back-charging to get their equity on the cheap. They are already paying Conroy staff, which should really be a head office G&A cost. Under those circumstances, I cannot imagine they are not also loading a lot of their own G&A costs onto the JV too. It's the only explanation for the relatively small amount of work done for €4M (by industry standards).
Whilst covering CGNR costs is great for the balance sheet, it is detrimental to progress and asset development .
If Demir are also loading on their costs for "consultancy", travel, supervision, office services etc. it's bad for CGNR shareholders. It's Demir money flowing back to Demir, not into the ground, and it's buying them their stake at a discount!
4 more drill holes to come at Clay Lake. They keep hitting gold even with such a tiny amount of drilling. Bodes very well for phase 2.
The drilled metres are not converting to resource ounces.
£4M, in the real world, would pay for 20,000m of drilling and assay, which in turn should lead to around 1Moz of additional resource.
Prof said that they haven't found the source of the Clay Lake gold nugget yet. When they do it's going to be very good for shareholders.