Member Info for PaddyGall

That would be the goal of whoever eventually gains 100% control of the asset for sure.

A few Oz people that I have contact with are pretty much convinced that the NEM takeover of Newcrest is pretty much a done deal.

If we assume that whoever goes forward with the project will ultimately own 100% of the project and we know Shaun is more than interested in that scenario then it narrows down the options considerably - either Newmont are prepared to cough up an eye-watering amount for our 30% or they look to re-coup some of their outlay on Newcrest with a quick disposal of what is after all the smallest asset in the Newcrest portfolio....

Greatland are in a wonderful position here and have the team and resources in place to take full advantage - just remains to let the process play out now and see how the pieces fall.

Newcrest walking away from Havieron puts them on the hook for either putting Telfer into care & maintenance or the cost of closing it down and reinstituting the mine site - not happening in the near term with Havieron roughly 12 months away from producing high grade ore.

Havieron ore to Telfer is a done deal IMO, who will be mining Havieron and who will be processing at Telfer is still very much in the balance.

ATB Paddy

Listen from about 5:50mins

"come up with a home run" - "really significant discovery in his view"

https://soundcloud.com/user-596578261/5mmm-20230420-085510-meeting-recording?si=091c7d0ca78344689575bb812050c321&utm_source=clipboard&utm_medium=text&utm_campaign=social_sharing

Lovely jubbly....

I would imagine that Shaun & the team are busy putting things in place to be able to position themselves to take advantage of whatever the outcome will be from the bigger NCM/NEM deal.

I'm more than confident that whatever strategy they put in place will be to our eventual benefit.

GLA - Paddy

Telfer needing Havieron ore yesterday is not going away regardless of who owns it - They can mothball Telfer sure but at what cost??? Hundreds of millions of dollars to reinstate Telfer or keep it on care & maintenance without contributing.

If our partner (be that Newcrest or Newmont) does not agree to a DTM then we get the option to buy the 70% back. Shaun knows that much smaller orebodies than Havieron can raise the finance to build a new processing plant.

He has all the aces up his sleeve - I wouldn't call that being stuck in hole.

Hi Dip,
So sorry to hear the sad news about your Dad's passing.

Thoughts and prayers are with you and your loved ones.

ATB Paddy

New position at Havieron advertised on the NCM website again this morning,

https://www.newcrest.com/careers/current-opportunities?job=983563

"Who we’re looking for

We are currently seeking a Site Support Superintendent who will provide leadership and operational direction to the work teams, ensuring resources, capacity and capability are aligned to the work plans and Newcrest core values. You will also have a strong focus on providing a safe, efficient, and cost-effective operational control of the Havieron village and site facilities in accordance with legal requirements and company objectives.



Key deliverables include, but are not limited to:

Ensuring safety leadership is delivered through Newcrest’s Newsafe programs and risk reduction framework and supporting the safety first work culture.
Create an integrated team environment with an aligned approach.
Accountable for village services contract ensuring KPI adherence and standards
Maintain food safe license to operate, including East Pilbara Shire compliance inspections
Oversee the annual project delivery & capital obligations for village operations
Accountable for all financial and reporting obligations for village operations, maintenance and cashflow. Escalating issues and actions plans to address under performance and generating ideas to improve outcome
As the ideal candidate, you will come from a hospitality and/or business management background and be a committed and supportive safety-focused professional. You will drive and monitor change initiatives to improve the village lifestyle and experience combined with best for business outcome with contractor management."

Keep the workers comfortable, happy & well fed = a well run and productive camp. Keeping the pressure on to deliver on time.

ATB - Paddy

In reality there wasn't even a JV relationship in place before Shaun arrived on the scene. As Dip says NCM basically ran the JV in the manner that they saw fit and were happily steering us down the path where they would either take us over at the 5% valuation with maybe some small premium or they would happily have forced us into the position where we couldn't have made a cash call in which situation they would be entitled to take more chunks out of our share in Havieron to compensate.

Shaun had to grasp the nettle and build a team that was actually capable of becoming a credible partner in the JV - if that made the relationship go sour then so be it - NCM had a far worse fate in store for us, believe me.

So we've been on the journey from explorer to developer and are on the cusp of taking the next step to actually becoming a miner and a producer. Every single producer out there for the minnows to the global majors have all had to endure some pain to get to that stage - we have the worst of it behind us.

The deposit is world-class and we KNOW the next MRE upgrade is going to be of a similar uplift to the last one.
The DFS is going to look at a minimum of a 50% increase in material from the PFS study.
We have all the financing in place that we require to take us through to FCF with a sufficient buffer built in to allow for any surprises in the DFS.
We can leverage the existing Telfer plant and workforce to allow us a quicker than normal ramp-up to full production.
We can then leverage the FCF generated to exploit the exploration potential of our highly prospective assets in the immediate area.

I'm as frustrated as anybody - but look at the bigger picture, I can guarantee you that Shaun & his team are.

ATB - Paddy

"However, with Newmont now in place, we like the intangible upside this management team’s empire building aspirations could bring just as much"

New Sprott note just released.

https://sprott.com/media/6285/230316-ggp-scp-drilling.pdf

ATB Paddy

Flash Update Note from Canaccord released today.

https://twitter.com/paddygall1/status/1636353479592558597?s=20

"Significant resource upgrade increasingly likely in 2023" - you don't say.

ATB - Paddy

Shaun back in the studio today - still up in London a week after the Town Hall - Hmmmmm

https://www.youtube.com/watch?v=UW7yKqzDbmM

ATB - Paddy

Havieron just keeps on giving - ehh.

The intercepts in the Eastern breccia will convert another big chunk of that from crackle to cemented breccia.

Nice hits quite high up in the Northern breccia to - gives Shaun more of that optionality that he talks about, whether to selectively take the higher grade sections or drop the whole lot in bulk mining operation, but it seems like the Northern breccia is shaping up nicely. Looking forward to when they get the UG drilling platforms in to in-fill drill the lot.

The drilling from here on in this year will concentrate on the SE crescent - probably at depth - to allow them to firm up the resource for the DFS. Expect some great intercepts as the months go by.

Decline is really motoring now - 10% ahead of the revised schedule and still accelerating. We now have a buffer if we run into any unforeseen issues and should hit the ore ahead of schedule if not.

Happy days - Paddy

No problem mate - glad I could be of help. We're all here to help out when we can...

Shaun confirmed to multiple people at the December Town Hall meeting that the bank debt was available for him to draw at that point so I assume the "Feasibility Study Criteria" has already been agreed as this is what they will be using to inform the studies that they are currently working on.

"Shaun was asked why he has not drawn down on the new bank debt facility and repaid NCN the $50m AUD plus interest as the NCM loan was on far more expensive terms than the new debt facility. He explained that he will not do this until the DFS is issued and the decision to mine has been formally stamped. His reason was that NCM cannot call in our existing loan, however if we repaid NCM by drawing down on the bank debt, however unlikely NCM could for example call a 12 month pause on the project and the banks could then technically call in their loan which GGP would not be in a position to repay, He would sooner pay higher interest terms to NCM on the existing loan until all of these issues have been formally agreed and stamped by both parties. At that point he will draw down on the bank debt facility and repay the NCM loan."

I'm more than confident that he has all eventualities covered.

ATB - Paddy

Gold hitting ATH's in sterling and Aussie dollars - Lovely jubbly.

https://uk.investing.com/currencies/xau-gbp

https://uk.investing.com/currencies/xau-aud

Where will it be in 12 months time when the ore is being hauled to Telfer - remember fully funded to production & every day the decline is getting >10m metres closer to the paydirt.

ATB - Paddy

Completely abolished??

That's massive, lots more cash going into people's SIPP's in the coming years. I assume the 25% tax free will still be available but now on an unlimited pension size. Definitely just WOW.

https://ukinvestormagazine.co.uk/greatland-gold-newcrest-and-newmont-ready-to-chat-after-recent-standoff-could-be-very-good-news/

Hi everyone - thanks to all the posters who were at the Town Hall last night and have been able to update those of us who couldn't make it due to work and other commitments. By all accounts it was very positive and everyone has come away with a renewed sense of excitement and anticipation - completely justified IMO.

On the Telfer vs New Plant discussions then I would think the new plant would be a possibility whenever they are looking at the bulk mining which will be a few years down the track. It would make sense to do the maths to see what gains could be made from saving on the transportation costs and the efficiencies and ESG credits that a new plant would bring.

The initial quick start-up of the high grade 3mtpa will carry on into Telfer as planned IMO. This will be economic to extract, transport and process and will give us the fast start to the FCF that we all crave so much.

So much to look forward to over the coming months & years and I agree that Shaun is more than capable of guiding us through the minefield.

ATB - Paddy

Thanks @sandgrounded - I knew there was something about some right of first refusal expiring at the end of the farm-in.

So Newcrest retain that for as long as the JV is in operation, no big deal if we intend to keep Scallywag for ourselves, if not then then I'm quite glad that SD would be negotiating any potential deal this time. He has lamented some of the details in our current deal with NCM - I think he would do much better if we were to go down that route.

Cheers - Paddy