Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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I agree Andrew,
I think that is why CB said that the current drill results would be used to build a 'perfect model' of what we have got and that it would be available around April time.
Plugging our date into a computer, together with previous data may not give s a definitive valuation of the porphyry, but it will certainly give us a reasonable idea of the structure and that could then be used to target drills for phase 2.
We will be very lucky if phase 2 drilling is complete before the end of the summer IMO and then the data will need to be analysed to decide whether more drills are needed or to go directly to a revision of the JORC.
I have a funny feeling we may already have sold out before we get to that stage...
CB will not want to use up all the £5M drill budget before we get FB making money. I suspect that will be later then current guidance of end of Q2.
So I would think CB will take the drilling program at a steady pace until he knows exactly when we will be getting FCF from FB and how much.
The last thing we would want to do is to run out of money and have to raise again. No need for this to happen if CB budgets drill money.
Pause for thought.....Our income at the moment is only from alluvials and it is circa £75K a month
The POC has consistently risen by an average of $100 per trading day since the beginning of February.
With all the hype around a copper price 'break-out', it would be a brave person that shorts copper in the near future, so no reason not to expect continued growth in price at the current rate?
That being the case, then POC may well be $10,000 by the end of next week...
Here we go, 6.10p to buy
6.0p paid
L2 looking very nice for a significant move up imo, so it should!!
Dibs,
Would you be so kind as to shed some light on the AA buyback clause? What percentage of shares does it correspond to?
Many thanks
EP
Obviously with significantly higher copper prices the decision to farm in/JV will become much easier.
Bushranger's Racecourse is being greatly de-risked as we speak.
It looks more and more attractive to the majors, the more we drill, the more progress and JORC results coming closer.
Doesn't surprise me if Colin Bird will bring in a second rig a.s.a.p.
He might as well start drilling Footrot by now.
Oh, let's not forget about Africa.
Iceberg - Isn't the point at which AA would get involved already determined i.e. 2Mt of Cu discovered or a decision to mine? If that is the case, and a revised JORC after the first 9 holes indicates more than 2Mt of Cu, then doesn't that automatically trigger AA talks? Genuine question!
Could AA even partially fund further drilling ?
Farm in to accelerate proving up Bushranger ?
It's really impossible to put a date of drill amount of the jorc, it really depends on the consistency of the drills. If the drills are consistent in the geology and grade then a large grid can be used for a basic jorc. If it's more variable then a tighter grid with more drills will be needed.
Personally I think 3 jorcs might be needed. The question then would be at what stage do parties get interested? Jorc 1,2 or 3....
In the RNS of 13th August 2020 it says...
"On completion of drilling the Phase 1 and Phase 2 drill holes, it is anticipated that the Racecourse mineral resource will be re-estimated under JORC (2012)."
So that's the plan, unless the plan changes... and we've not been told of any change as far as I know. No reason not to stick to it IMO and to then follow up with a further series of drills to firm up the JORC even more. My guess is that after the initial 9 holes we'll have a clear indication that we are sitting on more than 2mt of Cu and that will trigger AA talks. Getting AA on board asap, and perhaps even their input into where to drill next, would make sense to me.
Just my take on it... I'm no expert.
GLA.
I think the crucial difference between GGP Havieron and XTR Racecourse is that PM and copper prices are substantially higher than when Newcrest first showed an interest in GGP. Also, with each passing year, Majors reserves are reducing and not being replaced. They need discoveries like this?
And we are in the best place the best jurisdiction. There could be a bidding war let alone worrying about AA exercising their buyback clause!
Thats a difficult question with 100 correct answers imo. In an extreme bull commodity market, less information is required to give a project the green light.... I guess we are at the mercy of information from Colin here and im hoping he puts a date on the JORC soon.
Im hoping the end of q1/start of Q2 will be the big jump .... but is that too early for a revised JORC in this bull market? Who knows.
Thanks Dibs very interesting reading bring on the Assays and then the majors for a bidding war ...
With these Copper prices and after the assays are known the majors will push XTR to accelerate their drilling program imo
Sorry shorn I have no knowledge on that issue. I suspect those that were / are in GGP will be better placed to answer your question.
@Andrew4444
Do you or any other poster have any sense (other examples) of how much drilling (expansion of the resource) may be required to produce a revised JORC and over what sort of time frame to interest a major ?
Clearly there is a play off between XTR proving it up and a major getting in early...
Didn't GGP (Havieron) take about 1 year ??
ATB Shorn
Yes, this article, albeit from back in 2019 articulates nicely - towards the end of the piece - where this is going. A Major buy out. Well worth reading.
https://www.mining.com/web/worlds-major-gold-miners-target-copper-porphyries/
I don't believe that life cycle is relevant to xtract re racecourse as CB has said before he wants to 'put a bow around the project' and sell to a major. That's what he's done many times before.
We wont be doing any construction or building the mine so no capex required. We will just sell the licence after revised JORC determined.
Cannot comment myself, certain somebody more knowing will have good idea. This however, bit of light reading may be of interest to help understand the journey ahead. Has done the rounds before on some boards but I’m sure are plenty, particularly newer investors that are doing their research and hopefully will take a position here
https://www.visualcapitalist.com/visualizing-the-life-cycle-of-a-mineral-discovery/
E10 - I'm sure I read in an RNS that the JORC will be updated following completion of P1/P2 (9 drills?)
Does anyone have a feel, considering how massive this is, how many drills are likely to be required to take Racecourse deposit to JORC (asuming for the moment that we are talking the Racecourse prospect only). I know we are building on an existing JORC but I find it difficult to convince myself that 11 drill holes would take a deposit of this size to JORC but I don't have any real idea. I realise 9 holes were originally planned but we didn't know the size we were dealing with at that point.
Cheers Steve, Thank you.
Well I have sold some other copper companies in banana Republic and bought here more, Australia is excellent country to do mining that alone should put premium to share prices