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Sold most of my holding after the last Strategic update. Keeping a few back not because I believe in the company assets and its management, lol, but for the potential change in sentiment drawing in a few new punters. Robs expertise is just that, and managing to do it part time like the rest of the board.
The mention of hydrochemicals and helium made me chuckle. Suppose it is vogue. I thought they would go chase gold. The punters love that, but I see some positive response already to the news. Rod has his finger on the pulse!
Now they have managed to turn the bad news about Disko into a positive to string some along for another 18-24 mnths until some drill results are available. I'm sure they'll find something with their flying metal detectors this year to keep the story alive.
So the strategic plan after 4 months of scratching ..something, is they have expanded the remit and the number of haystacks to investigate and which to discard. Unfortunately a lack of funds limits them to a token flyover of Disko for more sites to ponder to drill, while I ponder whether there is anything of substance down there, how long before I ever find out, and how much dilution will I suffer waiting. I wont but you know what I mean.
A fund raise in on the cards. It may be delayed until the end of the year now as they have enough for the current meager plans. But you can't search all these haystacks without cash. They will be expected to have crystalised a real plan of action by then. Can't wait!
Thanks Catbert. I suppose (once again) only time will tell. My immediate concern was that Jay had found loads of hydrocarbons sitting on top of the nickel and had thought - b####r, we can't get to the nickel let's try and get (or at least make it look like we can get) the oil / gas instead - I know, let's say we have a new strategy and morph into being an oil & gas explorer. I do hope that isn't the case as that could stuff Jay overnight; loads of nickel but just can't get to it. Much better for all concerned if Jay lives to fight another day.
If there did prove to be a cap of hydrocarbons I suppose it might be possible to mine from a distant location and therefore under the cap - but of course massively more expensive.
As you say, strange how they now hype up the extension to their area as a sudden find of copper. The area has been studied extensively previously (and everyone has seen the data) but of course the receding ice and Jay's superior know how on the ground (LOL) has indicated the jackpot - yeah, right Rod; pull the other one.
RachT2 I am only guessing that there are hydrocarbons on Disko based on the blow out comments the hot springs (which indicates a thinning crust) similar to the other Helium project on the West Coast.
I don't know for sure we have hydrocarbons but if we do it will probably be at Disko for the above reasons. Furthermore we have a lot of pre-existing data. One thing you do get with hot springs is gas- so you dont necassarily need to drill. Sometimes it just comes out through the spring. Hold a detector in the right place and you could find hydrocarbons. Just don't light a cigar to celebrate.
How much there is and where it's coming from is another question.
Will it stop us getting the Nickel? I haven't the foggiest idea. It might not even be there in any quantity.
I have no in depth technical knowledge of this subject.
We seem to have 7 large targets and it is possible to drill directionally- my guess is that we should be able to solve a problem caused by the presence of hyrocarbons in the vicinty of a Nickel find (assuming there is one a Nickel find and two hydrocarbons).
Anyway now we've found some copper.
Oooh look! There's a squirrel!
GLA/ DYOR
Catbert - interesting post, thanks. I wonder if you could answer a query. Redknight1 seems to believe that there may have already been a blow out following drilling operations, suggesting that hydrocarbons overlay at least one of the target areas. You have highlighted that there may be quite some store of hydrocarbons over Jay's patch. Jay has specified they have seven target areas they wish to drill, as that is where they see the nickel, copper etc as being. If those areas of mineralization have hydrocarbons above them will the presence of those hydrocarbons actually make the minerals beneath inaccessible?
In mineral exploration, integrating EM survey results with other geophysical methods, such as magnetic surveys, gravity surveys, and seismic surveys, along with geological and geochemical analyses, can enhance the understanding of subsurface mineralization and aid in identifying specific mineral types.
This multi-disciplinary approach allows for more comprehensive and accurate targeting of potential mineral deposits.
EM is very useful too for hydrocarbon deposits and the detection thereof.
My guess is that there is a high liklihood of hydrocarbons beneath Disko which makes an EM survey a must. Some will inevitably see it as Kobold running down the clock. But what if they drill pollute or drill and blow up some staff. I'm not sure Greenland will be in a rush to licence them for Nickel extraction let alone Helium mining. I'm not sure some Kobolds high profile shareholders would like that too much either.
These hydrocarbons are both an opportunity but also a environmental and safety risk. Drilling into them without careful consideration might be foolhardy.
We have a lot of data on this site but we dont have the EM and Kobold love data. My guess is that we actually need this before drilling. It will help us drill safely and it is congruent with the methodology of the Kobold businesses philosophy.
We all want drilling but it needs to be done safely and without causing damange to the environment or killing someone.
To quote the Stones "You can't alway get what you want, but sometimes, you just might find, you get what you need".
Oh yeah!
GLA DYOR
It is a poorly structured deal, which to be fair Rob Edwards alluded to a few times.
Sorry Rach. Bored with you and much preferred Ashton.
Filtered.
I'm getting some mixed messages from this and interpret this as
1.' Following an intensive period of analysis and interpretation' - but the data was in around 18 months ago. 18 months , that hardly counts as intensive - unless of course the data was sat on for months (because Kobold have bigger fish to fry) and only looked at relatively recently.
2. Wasn't the similarity to Norolisk already known before Kobold came on board? Why infer that Kobolds AI involvement has led to that discovery / information? Same old bs - tarting up old facts as if they're new an exciting.
3. For 'To de-risk drilling' read; we plan to vastly reduce the planned drilling; Kobold has now returned us 2% of something which is at present of little known value. However, going forward we now need to match Kobolds spend pound for pound to establish what value might be there. We can't afford to do that so we might have to do a lot less drilling. Oh, and we'll still need a fund raise to pay for the reduced level of drilling.
4 For 'prior to the December 2023 board re-structuring' read - even before we sacked virtually all of our expert staff and re-appointed the 3 amigos Kobold had told Jay that it wouldn't be drilling in 2024, so there was obviously no need to be getting any drilling equipment on site during 2024. We've known that was the case for ages, certainly prior to December 2023, but thought we'd keep it quiet for as long as we could.
5. 'All Nikkeli licenses remain in good standing in 2024 without the need for additional expenditure, showcasing the project's stability and long-term viability' - read as; as we are not doing a thing to progress matters (or to actually demonstrate it's long term viability we will not be incurring any expenses. Not exactly rocket science that but as ever we'll put a positive spin on it and make it look appealing.
6. Eric says - sorry but I've got absolutely nothing new to tell you, you already knew these details but I'll gloss them up in our usual bs fashion to make it look like great news.
7. Kurt says - we're not wasting any more money on this project anytime soon. We are more than happy to give Jay back 2% of this, that way we immediately save ourselves $11.6m and going forward we only have to match any small amount that Jay might scrap together. In the meantime we'll stall for time - it really isn't a priority for us.
13:14
Don't forget Rod has a few millions paid shares, I don't think he'll want too much dilution.
In for the long haul...bought another 2.223 million...
Because options can, and do, expire worthless on a fairly regular basis.
Based on what I have seen over the years in plenty of stocks.
Companies can, and do, simply award a bunch of fresh ones periodically. No big deal. And often at ever lower strike prices, if indeed any strike price is attached at all.
If the BOD were only taking salaries in the form of options at elevated strike prices, your point would stand.
For the reasons I mention above, IMO therefore, it does not.
Anyway, good to see an update on Disko.
Not so good (but not a surprise either to many people) to see that drilling has been pushed into next year now, as KeithOz cites. You still long here, Keith?
Why would there be "another raise" if they have awarded themselves 41 million options at 14 times the current SP, only to see the potential gains on those diluted...?
And oddly enough.....a tick up
So no real exploration (aka drilling) until 2025. I'm a little puzzled that further EM is to be performed - I recall what I presume to be the same prospects were delineated by EM about 5 years ago. At least KoBold are still involved, but no mention if they are actually going to revert to 49% as a result of missing the 2024 15-hole drilling target, or perhaps more importantly, who is paying what for any drilling in 2025. If JAY are now obligated to come up with 51% of the drilling costs, presumably there will need to be yet another raise at depressed prices, unless by some miracle there is an asset sale.