Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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I really liked this interview beforehand there was too much emphasis on how much was the current production but as Robbie said it would be like trying to drive a car whilst fixing the brakes.
Let them get on with the hard graft and I'll just keep mopping up these low prices
That was my take on Tanazania. Therefore a delay would
not be a bad thing giving time for Kilimepesa to (hopefully) drive up the share price.
Last sentence was meant to read "The acquisition of the TZ assets makes sense in the longer term, but the mcap needs to be higher first in order to reduce the dilution involved."
ID78 - his comments make sense given that most of the payment for the TZ assets will be in equity, some of it on hitting development milestones. Therefore, the mcap does need to be higher to avoid the dilution. In fact, I would argue that it needs to be higher BEFORE we settle the acquisition - again because of the dilution involved. I understand the initial upfront consideration is $3 million in equity and $750k in cash? Hope I have understood this correctly.
So, I would much rather we take our time with the due diligence on TZ. The acquisition of the TZ assets makes sense in the longer ter
* a good interview none the less highlighting again what a great opportunity this is
Ohhh one other thing, Tanzania. He seemed to imply the MCAP needs to be better to go after Tanzania. Did I pick that up correctly?
Good afternoon all,
The best interview yet from RM in my opinion. Any new investors should watch it to get an understanding of how good an investment this is likely to be, mid to long term. The distinct advantage we have over other peers , is that we can process different grades of ore by different routes, avoiding the need to blend lower grades with high grade ore, as well as the flexibility of 3 separate processing units. Good to hear that from Q3 the reporting of data will improve to that of other gold producers, that should remove investor confusion and speculation. As RM pointed out, we are producing and refurbishing at the same time, so until this is completed there will be some anticipated interference with gold production, any second guessing by investors as to outputs/costs etc. in the meantime are not relevant to the target of 24koz Run Rate by year end, and only serve as potential frustration for some. As stated previously, patience is my preferred view, as I have confidence in the Company Management. Roll on the MRE at the end of June plus the results of the Feasibility study for the new commercial scale Heap Leach pad, which is crucial to achieving the production targets.
I’m not sure that we learnt much.
- I did learn they have drill 100 holes RC which is 10 times what of what has been drilled on the hill before now, and the previous strike length was only 300-400m. Strike length has been increased to 2.5km
Everything else regarding drilling we knew, 2 mill oz is the target, but that is in total, from the hill and 7 other high priority areas yet to be drilled.
- Also discussion on an event (presumably) this was to present to investors and could hope funding. It gives Robbie goosebumps thinking back to it.
- Q2 production will be lower than Q1 but HL should offset the drop a little.
I’m not really sure we learnt too much more from what has already been said. A good
@Suggins
I totally agree that only by producing 1000ozs in a one month timescale do you actually demonstrate hitting the target, but, I also accept the argument that you can demonstrate the run rate is a 1000ozs/m by having sufficient ore of the specified grades and getting close but failing to hit the target do having problems.
What is clear is that the the current set up had reached that 95-100% maximum throughput point where only an increase in the input grade of ore, or upgrading the equipment capacity will increase the total gold ounces/month through this method.
Very impressed by Robbie as very informative ... additional information from recent IG interview:
IG: @ https://www.youtube.com/watch?v=BZNkO3DZr9U R
StockBox: @ https://stockboxmedia.com/interviews/caracal-gold-building-the-next-mid-tier-mine-producer-in-africa/
> Jan-22 production of 897oz, not hit 1koz as has lost 3-4 days of 26 normal operating days due to plant outages
> Heap Leach pilot commissioned, 2nd HL built and started on No3 of 4 plus gold poured end Apr-22
> Expect improved MRE end June-22 with more resources at higher confidence
> 2x fulltime drill rigs so plan drilling and assay updates every 2 weeks !
> Reiterated 24koz/annum production by end Dec-22
> Reiterated target 2Moz MRE from Kilimapesa and surrounding area
> Recognises that mine capacity and associated MRE certainty is needed to drive 2koz production target
> Stated staffing now risen to 600
> Reiterated that similar Explorers with similar MRE and grades trading at 2x GCAT MCap as market struggles to understand that GCAT is a Hybrid Explorer and producer
> Reiterated that Heap Leach and underground development drives to open up more underground resources to be able to increase tonnage paid for from cashflows
Robbie again very bullish about targeting GCAT as a regional Mid-Tier producer and looks to emulate Shanta Gold
ATB APR
From the interview, it was said that they had some days of down time and that if they'd had the full 26 days run time, 1000oz was achievable. But they don't want to hang about at these levels!
Onwards to this years target of 2000oz per month.
Another solid interview.
I’m not entirely convinced that producing 900oz in a month is proof you can produce 1,000oz a month but otherwise everything sounded very good especially the heap leach progress.
Excellent interview Robbie, well done.
Looking forward to the flow of drill results to come, followed by resource update!
Stockbox just announced on twitter, full interview out with Robbie this Monday
Mickey - as always there will be a logical explanation - Robbie has had an incredible busy time flying back to Africa and now he has returned to London. There is a sign off requirement - StockBox have confirmed this. We don't know the internal governance within Caracal for that sign off - I doubt it is in Robbie's hands alone. So who I to say whether it is overdue or not? As investors we need to understand that we live in a world dictated to by governance - bane of my life when I was working for a large corporate but that is the commercial world we live in. My suggestion is we all look to understand before we jump to the negative what if's. First stop - lets listen to the interview which StockBox when it's out.
ATB
This bear market is going to be a learning curve for a lot of newer investors. Time for interviews has passed for me I'm only interested in something written in a RNS which probably won't change things around short term anyway.
That interview was advertised a week ago . Always overdue , Nairobi was supposed to be January . We are wobbling with such a low MC . Funds will be much harder at big rates now .It the 24m oz doesn’t happen , cred will be even more damaged .
Hoping we'll get the interview today.
Only one share, I’ve been mulling over the numbers.
The tailings capacity 500tpd, the CIL capacity 500tpd.
Q1 was 31+31+28=90 days.
Combined capacity = 90 days x 1000 tonnes = 90,000tonnes
The ore delivered for processing is half that.
The plant capacity if there. The mine infrastructure is not yet able to back it up, I think.
Part of Ph3 is to improve mine infrastructure (mine more ore presumably)
@JerseyCrew
Thanks for the extra info, JerseyCrew. I certain didn't think anything sinister was going on, I was just considering what could be important enough to command so much of Robbie's time.
Personally I still think that the only problem that Caracal actually has, is it's history.
By that I mean just not enough history to establish clearly, 'what Caracal is', by demonstrating it - so just 9 months after the launch statement, ' we aim to rapidly increase production to +50,000oz p.a. and build a JORC compliant resource base of +3Moz within 12-18 months. We have already started an optimisation strategy at the Kilimapesa Gold Mine, where there is significant expansion potential and ability to increase gold production to 25,000oz p.a. and the resource to +2Moz'.
Great progress seems to be taking place but bizarrely, I personally believe that the BoD have actually been surprised by the pace at which the initial targets have been reached. So when they had just demonstrated the ability to reach the 1000ozs/m target, they had seen enough evidence to convince themselves that, 'gold production of 24,000oz p.a. and increasing the resource to +2Moz at Kilimapesa Hill'. was already attainable. Unsurprisingly the phase 3 development is triggered, but that in turn means that all the fixes identified to hit the 1000ozs/m target regularly, were no longer appropriate, so the short term effect is Kilimapesa is producing the ore but not the gold as yet. This means that the narrative of Caracal as a growing gold producer currently lacks visible proof, that you don't have to read between the lines to see.
And whilst I applaud the efforts of the many expert gold investors here trying explain the numbers by working through the arithmetic, with the current rate of change of so many of the factors involved, differential calculus would struggle with the task.
Personally I don't think anyone could have predicted the SP drop we have experienced, and for myself though, I have always believed that once gold production levels stabilise, the SP will inevitably rise, because at the moment we suffer all of the pitfalls of an explorer with none of the benefits of a producer.
Overall though I have complete faith in Robbie, but he could certainly aid the situation by providing clearer more compartmentalised messaging, which leaves no doubt what is happening in the Kilimapesa mining license area; The broader Kilimapesa Exploration area; and then talking about the Tanzanian situation, as IMO the Caracal message has drifted as the BoD has strengthened; new management expertise has been added; and the drilling program increased and has progressed favourably - All factors that should have been beneficial.
As a result I certainly hope that the upcoming 'face to face' StockBox Interview will add both detail and clarity.
OnlyOneShareMe
I was on the call from the Telegram group
1. It was clear that Robbie had a packed diary on his trip to London - it was about meeting brokers and getting the story out there as well as the 2 media interviews. That's one of his main tasks at the moment - generating interest in the city - there are lots of companies out there and we are jostling for our share of the bigger money investors.
2. The interview went well - some 40 minutes I hear. I personally emailed StockBox this morning as all of you can - I received a response within 5 minutes advising that they were going through sign off with the company and they hoped to put the interview out within 24 hours. Someone else was told I understand by someone else at SB that it would be later this week - so one way or another it is very soon. Of course there will be no market sensitive information but I am personally expecting a lot of colour behind what we do know at a high level already.
No hidden agendas / no conspiracies - just hard graft from Robbie getting in front of key people in the city in my view for what it is worth.
ATB
I saw this posted on the 21st May over on ADVFN BB - I don't know if it breaks any rules reposting it, and I cannot comment on it's provenance as I wasn't the original poster....
'Mark EJ Fairbairn
@MarkEJFairbairn
·
Very happy to have finally met Robbie McCrae the CEO of
@CaracalGoldplc
in person
We sat down for a good 40 minute interview on Kilimapesa
I learnt a lot more about the project and Caracal's proposition so keep an eye out over the next week on
@StockBoxMedia
#GCAT'
Nothing earth shattering as you can see, but it did get me thinking a couple a thoughts, and I was curious what others might think?
1. Why has Robbie flown to London?
Clearly it cannot be just to appear in person in a couple of interviews, even if it was an excellent PR piece, meeting the presenters face to face, but it surely has to be for something significantly more important than just PR at this stage? Don't think I'm knocking good PR opportunities, but we know that Robbie is a workaholic and completely fixated on building the Caracal Gold, that currently exists mostly as the BoD's vision, so what are we not yet seeing here?
2. Why record an interview for future viewing, which clearly cannot contain market sensitive information, which hasn't already been RNS notified ?
Unless, as has been mentioned, it's a general pitch for Caracal, which presumably is going to be released immediately after the news of some potential SP catalyst, expected to take place soon (during this week)?
So I don't know if it is just my flight of fancy, but my take is that to be in London then, only makes sense if the time spent there was of significantly greater value than the same time in East Africa (e.g. attending something, signing something, meeting someone - which had to happen in the UK). Robbie doesn't strike me as a, 'cheap flight for a long weekend's sight seeing and shopping', kind of guy, but I may be over reading this - so anyone else care to stick a pin in my bubble?
Come on Rob , throw us a break
Couldn't get a dummy quote to sell this morning. Now I can't get a quote to buy. Curious.
Just emailed StockBox enquiring when the interview will be out - amazingly I got a reply within 5 minutes! They tell me they are going through the approval process with Caracal and hope it should be out in the next 24 hours.
ATB