Member Info for Brakken

Another possibility is the funding will be used for a PFS. This, in my view, would add a lot of value and be another concrete step towards a sale or JV. Thanks for sharing that intel AM90.

I could only find one example of a suspension of trading on the AIM market for an MRE and that lasted a matter of hours. Maybe we will get some form of holding RNS tomorrow, AI suggested this is common for cases where the suspension expands beyond five trading days.

That might be a very good hypothesis notrac. Certainly I am sceptical that this is just about a competent person’s review of the MRE. One indication maybe if the MRE is released without an immediate end to the trading suspension. They may consider a 7am release with an 8am trading resumption as not a fair playing field if the MRE was shared beyond Landore.

I think the MRE would still need to be published first before any offer is announced , assuming it was done on the basis of the updated MRE. A takeover offer does not override the disclosure rules.

I guess Landore like working weekends as much as I do.

Still trying to get my head around why trading was suspended. There are not many people working for Landore so the chances of a leak are very low. Obviously SLR Consulting are a much larger organisation but I am sure they would have strict controls in place. So the question remains why suspend trading? When the initial RNS was released the first thought that came to my mind was that it was some sort of corporate transaction. Like Catbert, I see the amalgamation of Landore Canada and Lamaune as a typical housekeeping step ahead of farm‑in, JV, asset sale or takeover.​ I also perceived the purchase of a series of additional mineral claims adjacent to BAM announced in March this year as a step in this direction. Then there is the raise of £1.45m, which is far more that needed for the completion of an MRE but not enough for a drilling campaign - well financed for negotiations?

My understanding is Landore could share the MRE results under NDA if it related to a corporate transaction prior to making those results public. Below is a snippet from ChatGPT in response to the question on whether this is possible.

Can the company share the updated MRE with other companies during suspension?

Yes, but only in tightly controlled circumstances.

Permitted sharing (typical and acceptable)

The company may share the updated MRE confidentially with:

Potential JV or farm-in partners

Potential acquirers

Lenders, royalty companies, or streaming companies

Professional advisers (consultants, lawyers, brokers)

Conditions that must be met:

Legitimate corporate purpose (e.g. financing, transaction discussions)

Strict confidentiality (NDA or equivalent)

Recipients acknowledge the information is inside information

Recipients agree not to trade or tip others

This is consistent with:

UK MAR Article 10 (disclosure in the normal exercise of employment/business)

AIM accepted practice in M&A and funding contexts

Of course, this is entering into the realms of wild speculation. But with no updated MRE to read what is one to do?

It highlights what could happen to the share price if volume interest did arrive at some point. Long way to go for fair value.

Hannam and Partners gave Landore a 16.4p valuation a couple of months ago. That feels a long way off, but should at least provide some confidence to new investors as to the potential.

'We value Landore based on a blend of our risk-adjusted NAV for the base and expanded case scenarios for the BAM gold project, as well as an average in situ value for the project based on other gold projects in Canada and a multiple based on recent transaction values for gold M&A across Canada. We attribute a notional value to the company’s other early stage exploration holdings. This generates a valuation of GBp16.43/share. '

About as logical as a £240 purchase moving the Ask up from 3.20 to 3.30. The Sells didn’t amount to much yesterday, expect there will be some more buying activity next week.

If there has been a low ball offer, does it not have to be declared to shareholders ? I guess an offer has to be submitted in writing for it to be considered an actual offer. Though these things are about as clear to me as the TR 1 rules. It doesn’t feel like there is a lot of enforcement for the rules to be effective. The level of selling since the drill results has felt very odd. I don’t think LND could have expected much better results with the drill bit. The MRE will be around 1.8m to 2m ozs, with Gold proven to be in the lower depths which before this round of drilling was just a theory.

It looked like the seller was finished last week, I think from Friday’s trades there was 1 sell to 25 buys. If the seller is finished I think we could see the share price swiftly recover without news. Then we have the updated MRE and PEA to follow which should be good catalysts to drive the price up.

This part of the RNS is interesting:

“ We are confident that the Company will be able to advance the BAM Gold Project with the benefit of a larger resource being targeted by this latest drilling programme and continuing discussions with potential offtakers and equipment suppliers. The Company intends to progress the project with a staged approach.”

I wonder who the potential offtakers are.

Thank you for your post Catbert. Amazing what AI can do these days. I think Perplexity has laid down the gauntlet with their 1.83 - 1.99 m oz estimate. Anything below 2m oz in the MRE and we know we should have saved the money and dug another couple of extra holes. Over to TECT to prove they are worth their fee. Seriously though, it will be interesting to see how close to the pin Perplexity’s estimate is.

Catbert, agree with much of that.

The 5p drop feels very extreme for the contents of the RNS, given much of that content had already been communicated in the December interview. I'm not in the least bit surprised that there is already some recovery in the share price and I expect this continue.

Like AM90, I am very confident a deal concerning the Lithium Acreage will be concluded. Consequently I don't think there will be a raise to support the gold drilling plan to reach 2m oz. It is of course important that they get cash element of that deal right, wouldn't surprise me if this is taking longer to negotiate.

Talking of a better environment for Gold miners : Gold up to $1900/oz.....

Good to see the plan to 2m oz gold resource in black and white and the board's belief that this will be attractive to a number of large industry participants. Importantly this 2m oz figure is based on industry feedback, presumably gained through the SR process. Still no information on the level of funding required to achieve this, I appreciate this cannot be an exact figure but presumably the drilling plan designed to move the resource to 2m oz will provide these estimates. The fact the scope of the drilling plan will vary according to funding is a tacit admittance that it depends very much on the sale of the Lithium acreage.

They also mention further planning to drill the battery metals in 2023. This may be down to wanting to add value whilst the Pre Feasibility report on the gold resource is completed. If the opportunity to push the gold resource to 2.5m oz and forego the battery metal drilling exists this may be a better option in my view.

So it looks like our next news will be Lamaune drilling results: "Analysis of the drilling results from the recently completed programme at the Felix-Lamaune Prospects will be completed shortly, and the results are expected to be reported later this month."

Which leaves likely news flow across Q1:
• Felix-Lamaune Results
• Lithium Acreage Sale
• BAM Gold drilling plan
• Management Changes
• Pre-Feasibility Report plan

Supported by an improving environment for gold miners, this news flow should see some change in fortune for Landore's shareholders through the quarter. Tough day today!

Thank you for those kind words NicetoMichu and may I say well played on your 20p by Christmas prediction. Almost guru status on that one. Wishing you and everyone else that reads this board a very merry Christmas.

I particularly enjoyed the part where he suggested the interviewer must be long on the juniors he mentioned. What an excellent communicator! Hard not to reflect on the comparison with our own CEO. For me it also showed the value of carrying out these chats face to face, I assume the TMS interview with Bill and Glenn was over the phone, which is definitely more difficult to pull off effectively.

From this interview it was clear that Barrick want to see a minimum of two million ounces to consider the purchase of an asset. Okay this is one company, but it also chimes somewhat with the potential 2m oz figure that Bill has previously referenced. Landore's 1.5m oz resource doesn't quite hit this level so what would it take to get us there? How much money and how much time? No doubt a 2m oz resource in Canada would be very valuable.

The fact there isn't already a production mine doesn't seem to be an issue for Barrick, with the ability to extract value and long mine life potential having greater importance. So, no issues for Landore on that score.

If the PFS is also required, how much of this work can run concurrently with a drilling campaign to increase the resource?
Again, what are the associated costs with completing the PFS?

Will we be able to raise enough from the sale of our Lithium assets to complete both these pieces? I would like us to target the majors for a sale, I think we are more likely to get credit for the Nickel resource this way in addition to the Gold. You can then make an argument that you are then selling a property which can address different parts of the economic cycle for maximum value.

Good analysis JB73. This chap (Rashad Hajiyev) is calling a gold price of $1875 to $1925 by the end of the year. Interestingly he said it would likely retest a level between $1730 to $1735 and rebound before marching on. Yesterday it did drop to $1732 and has since climbed to $1755 today. Not sure if the link will work, this is his video from the 19th November:

https://www.youtube.com/watch?v=cnzG6B9hjUs

I imagine a higher gold price would help an internal sign off for any company wanting to purchase Landore. It only strengthens the financial argument.

Well said N2M, we’ll make a Clapper out of you yet, purely for balance of course.

The one thing I would add to that Catbert is there may well be some increased flexibility on pricing discussions which didn't emerge prior to the end of September. If it was really down to waiting for an improving environment on inflation and metal pricing it may have been better to extend the SR for a longer period. Granted there has been positive movements on inflation and some recovery in the gold price, but the picture is likely to improve further by the end of Q1.

Personally, I think there is a much higher chance than 5% of the company being sold. I doubt those companies that went on the tour or have been in the data room have no serious interest in getting their hands on Landore's assets. Whether they will meet Bill's expectation on valuation is another matter, but it is now crucial that he gets a couple of companies to move to the second phase of the SR.

He was Maverick's mate in Top Gun, played by a certain Anthony Edwards.