The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
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AND A BL00DY BIG….(getting bigger)
GOLD MINE…. at that..:))))
I was talking to a friend from the city the other day and he spoke to his ‘commodities guy’ and GGP hadn’t even been registered on his radar, they don’t get involved with gambles. He suggested that the pfs would be an early indicator for his radar but probably not enough to have him buying on behalf of his clients. In terms of how fast they are to act I don’t think they rush in
Page 8 of the PFS
"The Joint Venture Agreement includes tolling principles reflecting the intention of the parties that, subject to the
outcome of the Feasibility Study and a positive decision to mine, the Havieron mineralised material will be processed
at Telfer pursuant to a Tolling Agreement. The tolling principles include an agreed processing fee formula, which
includes charges for capital costs incurred in upgrading the Telfer facilities, as required, to treat Havieron ore in the
tolling process. The Telfer infrastructure is not included in the scope of the Joint Venture assets, so the Tolling
Agreement is the route by which Greatland will bear the capital, operating and haulage costs involved with processing
Havieron ore"
Guess that's everything paid for too then ;-)
Well - there it is, the confirmation (if it was ever doubted) that we are going mining at Havieron. While the indicated oz's (which the PFS was always going to be based on) might not be to everyone's satisfaction - it more than justifies the outlay of capital that NCM & GGP have spent so far and leveraging the Telfer infrastructure means that we will be mining and turning a profit sooner than ever.
The other 1.7Moz of the inferred will be converted to indicated in due course and all the growth drilling since February will be included in the inferred upgrade in December - the PFS also shows the mind bending exploration upside associated at Havieron with every direction and depth still open at pretty much every target area.
I'm liking the new NW Pod (previously the NW closure) and that is still open to the NW - heading towards Lake Havieron. This is the first staging point on a long journey - but a very very important one.
Let's see what Sandeep has to say. ATB Paddy
My take is the best thing about the PFS is that it’s a very very base level, if this is now hitting big players desks in the morning they will recognise that the upside is huge because it’s done on the basics, surely that makes it even more appealing to them right now.
But, the question is - why Greatland and why not directly buy dividend paying NCM?
Just wondering from anyone in know. As stated here by a few, most ii’s will have been unable, by their own rules, to buy Ggp until there is a PFS or FS. Now we have the 1st stage PFS, some that will be watching May start buying, how quick to trigger are they? I’m curious if they could be agile enough to start buying timidity’s thing? Thoughts most welcome.
We posted it at the exact same second. Your title is kore accurate I have to say.
Yes FFS!! HAVIERON WILL BE MINED!
Anyone got a link? Pleeeez
And so the mining story begins.... :-)
Newcrest Managing Director and Chief Executive Officer, Sandeep Biswas, said “It is an incredible achievement that, within two years of starting the Havieron drilling program, we have been able to deliver this significant project milestone and demonstrate financial returns that comfortably exceed our hurdle rate, even in this first stage. The Pre-Feasibility Study underpins an initial Ore Reserve estimate for the upper section of the South East Crescent Zone which increases our confidence in achieving first production in FY24 and triggers our entitlement to a cumulative 70% Joint Venture interest."
"We believe that this is just the first stage of a bright and profitable future for Havieron. Our extensive drilling program
continues to assess the extent of the South East Crescent Zone and further test the Northern and Eastern Breccia for mineralisation which may be suitable for bulk mining methods. We have recently delivered several new and exciting high grade intercepts which extend the high grade mineralisation beneath the initial Mineral Resource estimate and highlights the potential for further resource growth”.
“Notably, the Study assumes that Havieron is the sole ore feed for the Telfer plant and does not assume any potential upside from the extension of Telfer’s mine life beyond FY24. We continue to assess the potential for further open pit and underground opportunities at Telfer to extend its life and supplement production from Havieron in FY24 and beyond” said Mr Biswas.
For selfish reasons I hope it pulls back as I need to catch up. But if it takes off I will be equally as happy. I think it may pull back tomorrow and then rise again institutions get involved. Just a guess.
Anybody that expected anything other than a decision to mine obviously did not understand what tonight is about.
We were not expecting drill results or any other results.
All the figures are based on around March 2021, which we all knew anyway.
It's a mine, make of it what you will. Bit of a shake maybe, but I see big money coming in now.
SW,
Re: 'They've made a very big gold deposit look distinctly average...'
And why do you think that is?
Answer, because if you had watched the videos with SD, we were told time and time again that the PFS was BASED on results as up to the end of March 2021 and that as yet we know that much much more data has NOT been included in the Pre Feasability Study, Yes or No?
'PFS based on Ore Reserves of 14Mt and does not consider 37Mt of Inferred Mineral Resource'
Yes we can :-)))
More to the point Sandeep will be saying it in about 10 mins.
Guess a timeframe had to be set as cannot continue to drill indefinitely with area still growing.
The ramblings of a few anonymous posters tonight are tomorrow's chip paper.
I'll console myself that a plethora of mining analysts will be going through figures that confirm approval to FS and all but confirm we're going to mine.
Take it to the bank Mr Day. With this major milestone reached you have all you need to take little old GGP to the next level.
The lowest risk junior miner on AIM.
GLA - Dodge
Anyone holding shares in GGP:)
Has shares in …A GOLD MINE.. :)))))
Can we say it? :)
Could go up, could go down, either way it will be mined, so that gold is coming out of the ground. And with a quick turnaround.
My pov is that I HAVEN'T got a clue *YET what I'm reading so until someone explains it in a way we can all fully understand then all the insults is pointless, just wait until this is broken down into a more laymans (PFS for Dummies) guide which I fit into before anything else.
Its funny because I've always had an issue with people complaining when someone comes on a board and asks questions especially a question thats comes across as negative and then some pipe up with "Do you own research" Or go off on one calling them derampers etc! Thats exactly what they are doing, they are asking questions to get answers to things they may not fully understand when reading or researching themselves i.e THIS PFS. So give them a chance, dont attack, if you know the answer then provide it, its not hard and is called being civil.
Anyway film time, Another Round it is, thats the name of the film btw!
Southwestern - I feel really sorry for you. You are trying so hard to cast negatives out of zero supporting evidence. How can you disparage an initial analysis that gives an average indicated grade of 4g/t. Perhaps you can find examples of other projects, either current or historic, that compare to this, or to the Capex figure, or the AISC, all with high assurance of massive upsides to come over the life of the project.
Yes I agree 10p tomorrow , SP close at 31p....
It also answer the question as to the option of 5%
One year from November/December this year (two different dates given)
If they want 5% the need to start talking to SD very soon.
Wonder how the market will react tomorrow?
All we wanted to hear, including the instos, was that we are going to mine. That's it. Job done
This is initial, it will grow. Some people just don't get it