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Luanaone OP costs at 0.25% cutoff are based on 9000 per ton. If copper increases by 5% pa over 10 year life of mine then I estimate an annual income to GLR in an outsourced model to around 7 million pa discounted to present value (The Cu upside I mentioned in previous post). Talking OP alone.

What is your calculation?

If we do indeed pursue an outsourced OP mining model, we can perhaps expect an income of around 5 million pa plus some upside for Cu price rising. I hope CB would then instigate a dividend policy..something like an annual distribution of 3 million alone which could triple the share price and the remaining 2 million would cover almost double our current opex.

Chri5p...what would you consider as a fair valie for :-

1) Luansobe op alone

2l Luansobe op plus intermediate deep

Cheers Iky..like you I think questioning assumptions by posters and messaging from management is quite healthy.

No worries Chri5p...thanks for confirming - I have made my own faux pas previously

Chri5p...after the half year report you stated we had 3.1m current assets and other assets 1.9m which could be disposed of to give us over 5m headroom. Current assets largely derive from the 2.7m received sale.

As I read it the 1.9m relate to investments in Shinganda and NW. We no longer retain Affirmat and Sandfire shares - am I misreading the report?

Blimey...it was a joke you know. No need to get offensive.. I didn't rib you for flouncing off to talk only to your bezzas, then return saying you had the non-myopic on filter.

You make a nice case for rejoining the EU...lol

I meant queuing up for op alone...

Because I doubt the good deal buyers are queuing up. I think we are currently backed into a corner with a default position of a consortium approach to mining the open pit which is messy and risky - perhaps you don't understand.

Yeah and we all want a good price

I fail to understand your logic. Drilling the deeps would add to the case for a sale at good value. DC reported that only interest in OP alone was low ball and adding the intermediate deep should provide more reasonable offers. Now you suggest we have to bluff doing a drill ? Seems crazy..if the intermediate drill had been performed rather than been in the “plan” for THREE years we would have more on the table

Chri5p...regarding your expectation that any Luansobe sale wil only happen after the two deeps have been appraised. If this is the case why doesn't CB be make a firm statement on drill timelines? How vagueness is embarrassing

I did but there is an obvious option to monetise open pit beforehand. You think we will wait until exploring the both deeps before concluding a deal?? If so Levi was being way optimistic

I did but there is an obvious option to monetise open pit beforehand. You think we will wait until exploring the both deeps before concluding a deal?? If so Levi was being way optimistic

No we wouldn’t..we are essentially an exploration co that takes good prospects and proves them up for sale. Core skills do not include a transition to a production company thankfully so that is that is the last thing we want. Clearly a sale has not been forthcoming at an acceptable price and may not happen in which case we rely on an outsourcing model. You seem to suggest this is easy peasy and no risk.

Quite agree it would be highly risky and not GLR’s choice but there are no guarantees this is avoidable. If there were this would be a risk less investment and however dumb you think the rest of the world is they would be all over it

Chris5p... the noise on Luansobe suggests either a sale or some consortium which will fund the production outlay so we do indeed look in a healthy cash position. However this is not a given..if it falls oN GLR to fund the initial outlay it is well beyond our reserves, perhaps requiring more than 15 million in which case a placement is not out of the question. Previously CB did caveat "subject to permits and funding" but it is encouraging these caveats are not mentioned in this report so maybe things are moving in the right direction and hopefully this placement scenario is unlikely. We have no new info beyond the general "lot of interest" to totally exclude this risk.

As DC reported from the AGM it seems it will be some time into the new year before Shinganda and WF report assay test results, so no big surprise there. On Luansobe I had hoped for more concrete news as we are now almost 10 months into the Open Pit license at least. However couldn't agree more with Chri5p - overextension and dilution due to lack of liquid assets is a big AIM co killer and here we are well stocked up so can afford to wait for a good deal, although a sooner resolution may open the door for much quicker proving up of other prospects.

Kas.tu is mired - this report has not changed in a year or two. Barely over a year of the SML left. This may go into the ether along with Starzinc.

Kamativi still awaits an exploration license extension - this seems a long long time - is this normal ? It would have been nice to at least have some comment.

KCB..would be great to see some acceleration on retained licences - perhaps Luansobe will unlock this. Unlike previous reports, no mention of licenses sold to SFR with potential big payout. Curious..

On the whole, no real news update - shame but not unexpected - but some welcome caution is being exercised. It seems like Luansobe will be on the timescales suggested by Levi some time ago rather than the bloated hubris swallowed by the rose tinted specs brigade.