Member Info for BigBiteNow

This remaining conversion of interest into shares has been known about since 10th April 2024. I was concerned that GRL would push it to the maximum holding (just under 30%) like they did back in April. With AIMSL only moving up to 25.7% holding, there was room for considerably more shares to be issued. I am happy to see that the opportunity hasn't been executed upon.

In terms of the balance sheet, it is supportive, although as we know a payment schedule deal still needs to be done on the remaining loan.

The best way to counter that is improved production which should now begin to come through over the coming months.

Here is my analysis of the February investor meet call. I went to sleep a little on my holding here, but am wide awake now. I was mightily impressed with what I heard in the call and the new BOD look the business after the disaster that was Greg Madison.

It is clear to me that fear around cash being able to get STX to cash flow breakeven is overstated. Gaining greater insight into the STX sales process and what the prescription numbers truly mean places the whole surge in NSP in a softening prescription sales environment in a much better context. The actions here are deliberate and being led by a team that finally knows what it is doing.

Indications that the FY report won't be too far away + the pediatric study submission to the FDA and EME seemed to be indicated also. If they finally get this right then the returns I signed up for in 2023 may finally be realised.

https://x.com/BigBiteNow/status/1905179126098690066

With the power of the blue tick comes X-posting freedom.

Here is a detailed thread on what I saw in the latest CEO video updates.

The market is completely asleep to a major new retail story taking place here.

Freeing up picks and adding the new warehouse space will allow the brakes to come off on what is alöready a serious growth story in 2025.

https://x.com/BigBiteNow/status/1905234470472392972

I agree ID78.

With a little tweaking of its PR GRL could have the market eating out of its hands but that shouldn't distract from the fact that they look very capable of delivering very solid uplifts in production as we move through Q2. That will do the most talking in the end.

For the limited number of investors who are watching them and who are prepared to extract the details, they are gold dust.

I also greatly appreciate the frankness of the content. Martin doesn't avoid talking about the growing pains that are bound to be in place for such a new company.

I said on my Twitter feed yesterday the beautiful thing about HUD is that their problems aren't about how much business they can win but how they ensure that they can service it.

The insight in the latest update allows investors to understand the mechanics of the warehouse and so the opportunity that comes from reducing DD picks.

It is clear to me that the biggest driver of front-end profitability is Boop. But they don't want to neglect or undermine DD. So they have found a clever solution that has already begun to free up c. 6 picks per DD order.

If you extrapolate those picks over a quarterly period and then assign various percentages of them to Boop or Nutricircle then there is meaningful further growth in revenues even before the new floor comes online in a few weeks. Go one step further and consider that these adjustments would b achieved against the same warehouse costs which means improving margins.

There will undoubtedly be bumps in the road. The 3rd and 4th floor warehousing is not ideal and at some point, a move for one or more of the brands will be on the cards. But what a lovely headache it is to have. I remain convinced that the business will be cash flow positive at some point in Q2. I am also sure that the extra floor will add considerably more opportunity for growth as the rest of the year unfolds.

Most important of all I see a hungry and dedicated management team that is actively looking for ways to improve the business further. That combined with the business opportunity and the current cost of living tailwinds in the UK makes for a very exciting future.

"until it is completed and whilst antinomy prices is so supportive."

Apologies that should read antimony.

On Ballieston it is important not to forget that the 2021-22 drilling campaign wasn't looking for antinomy. The new ECR BOD executed the re-testing of the samples for antinomy and without their actions it would have been missed.

Therefore a new drilling campaign has to be planned and given that it will be centred around a different mineral then it makes sense to return to the site and establish where the best drill locations would be. This is usually done by taking rock samples and/or trenching although looking at the video released today one can see that the topography lends itself to open cut-throughs which allow the make-up of the rocks to be reviewed without trenching.

Given the price of antinomy and the state of geopolitical politics if ECR had ignored Ballieston then many would be questioning why. A concentrated drill programme is well worth it on a risk-reward basis current prices and interest render the discussion about depth of resource irrelevant until it is completed and whilst the antinomy process is so well supported. If ECR establishes the possibility of a high-grade deposit then 143m depths aren't going to matter to any buyer or partner that they then go on to find.

I see continued misunderstanding as to how Blue Mountain will pan out.

From my previously published correspondence with ECR's CEO,

"We anticipate releasing new presentations shortly. These will incorporate the comprehensive development plan, which is currently undergoing final adjustments based on the GP and Ariel survey results."

Today we were told,

"The current focus includes mapping out the optimal trenching location using drones or ground-penetrating radar."

So it is underway and in line with what was communicated on 28th Feb. Did they need to say this? Possibly not but it is clear that ECR likes to avoid misunderstandings where possible for those who read their announcements in full and understand the process being executed.

Once this plan is completed then all interested parties will have the chance to better understand the development path for Blue Mountain.

The 1,000 tons of extracted material from what I have read can be negotiated higher. This is purely my understanding taken from the Queensland mining website. Whatever it is agreed to be it could offer up to $150,000 US dollars of revenues that can be invested back into the project in whatever form ECR deems necessary.

Even a limited amount of research would enable commentators to establish that a 25tph alluvial gold wash plant is a very simple piece of kit that would come in well under $150k.

This initial phase of production has nothing to do with the scale of the initial plant which remains at 25tph until either updated or replaced.

That 25tph plant at current gold prices and a reasonable uplift in the grade of ore (0.6 g/t is based on historical reporting which ECR were limited to employ because they don't have their own yet) can deliver substantial cash flows when compared to the cash resources the BOD is currently progressing the business on.

Furthermore, this was said today,

"This strategic divestment enhances the Company's balance sheet and ensures that it is well-capitalised to advance exploration across its portfolio and bring the Blue Mountain Gold Project potentially into production."

That would be excellent progress from a standing start 18 months ago but some are too busy attacking so will likely never be willing to recognise the effort that has been put in to get Blue Mountain to this stage.

A worthwhile bookmark for the future.

Some #ECR detractors say the directors are only in it for the cheap shares.

Well if that is the case then why are they putting out operational updates within the 14 days before the quarterly period ends? Why not wait a week and boost their share count?

Note - Their average share price is calculated from the 14 days before each period ends.

That aside ECR was always going to be about Q2 onwards. That is now evidenced by this update.

I particularly liked this statement on Blue Mountain. "The current development proposal involves a larger wash plant being commissioned."

That indicates it will be bigger than the to-date highlighted 25 tph. That means confidence in the project is growing.

If they can then increase the feed grade also (which so far they have proven can be markedly improved upon) then their quoted monthly revenue figure could be significantly higher. This is not to say it happens from day 1. They still have work to do including regulatory hurdles to jump but the potential is certainly there.

Still very ambitious given this Michael Ashley's pedigree.

You are correct my bad. More coffee required before posting.

When I said early stage I actually meant such a low MC.

Appointments like the ones seen today are moments that investors will look back upon and say that is when we should have known where this was going.

Other than fallen giants has Mike Ashley ever joined a company at such an early stage before?

As for the orders, they look fairly stable compared to the first 6 days of March so far this month but the important factor for me is the contribution of Boop which has gone from 10.9% in early March to 14.8% as of 15 days in. Boop delivered £41.50 per order in those first 6 days well above the £31.80 group average. On that basis the higher the percentage of orders Boop does the higher the AOV is pushed.

Excellent find PaulJ8520. That’s really useful and supports what I was saying Friday.

Yes, they can. I think a couple of months of patience here could be very rewarding.

My only question would be how easy is it to increase the level of stacking and what capacity can the current dry plant handle. But I can certainly see room to wriggle for the operations team to pull levers to increase production.

I would also dearly like to know what cost we are talking about for a new dry plant and associated kit.

Thanks for that ID78.

Yes, my eyes are certainly more open than they were before and I can better appreciate how doable 1,000 oz is.

If your statement about cells 6 and 7 is true then it is super interesting that they are pushing ahead with building them now. That says a lot about funding availability and confidence about what they feel is still to come.

I have been digging further into the leap pad process that GRL is employing for the oxide layer and what I have found is quite an eye-opener.

Focus to date has been on pit 1 improved grades and February being a shorter month but what I had completely missed was the unified effect of the total amount of stacked ore and how it can continue to add to production as it grows.

What this also proves is how important cells 6 and 7 are. How their inclusion potentially allows (if GRL deems it necessary) for more labour and/or pits to be brought online to push the first 7 cells and maximise production.

In conclusion further production growth is about when and not if because of the progress GRL has made on new pads and new lifts and is not tied solely to the grade. Deliver both and they can likely surpass their 1,000 oz target.

I feel awakened.

https://x.com/BigBiteNow/status/1900542443788947833

https://kcareno.com/wp-content/uploads/2024/05/22-Heap-Leaching-SME-Mining-Engineering-HandbookRevC.pdf

In that interview the CEO confirmed recoveries remain consistent and we know that stacking levels have reached the target.

So the reality is that the only thing that is missing is the gold grade.

I don’t know exactly how long the change over in pits will take to come through in the production figures but it essentially doesn’t matter. We just need to understand that the grade is there which we are told it is. In theory if they deliver 1 g/t then they will hit 1,000 oz straight away. This is not about ramping up anymore just feed grade.