Member Info for Catbert

The news blackout is frustrating and usually with Aim stocks it is a bad sign.

In this case however given the deal that we have with Demir there is no need to fund raise and so the short term share price isn't such a priority for management as it would usually be for most AIM Directors, consequently in this instance no news might not be bad news.

Indeed situations where management do not attempt to defend the share price can sometimes be positive. It could indicate a buy out or more likely it could mean that management want to get their ducks lined up and all relevant information in before announcing the state of play.

I can't imagine any academic person wanting to make an announcement when he knows he is still waiting on some very significant data. The last two drill holes.

Dalradian which has 6moz found most of their resource at depth (their decline is 1785m ) however it is significant that they really hit a good results at 1600m. Now we are a different site so our deposit wont be the same, however if you were Demir wouldn't you want to test at depth before making any further plans? Frankly if Demir are planning to run around the licences drilling a bunch of holes of 250m I'd think they were losing the plot. They know the story at Dalradian as well as anybody. Indeed if Demir are planning to do the sort of drill campaign that these projects require or to develop a mine then they will need to bring onboard additional funding. Trying to do so without any drilling at depth is premature.

What lies at depth is now the most significant unanswered question that we have.

The last two holes were scheduled to take 4-6 weeks, these would have completed by 3rd December and presumably are in assay now. It is difficult to know how deep these two holes were or indeed if we had two drill rigs or one completing the work there - at a guess the max one drill could do in that time is about 3000 m. Either way I believe (given the allotted time frame for drilling) that these last two holes which are going to take 4-6 weeks to complete are going to deep holes (DYOR).

Two drills would double that maximum depth drilled in total but in reality a more realistic guestimate would be that two drills would do something like 4000-5000 m.

My guess is that by the Board meeting the insiders will have already run their hand held XRFs over the deeper cores and have a sense of what we have at depth but assay results and therefore a public announcement may take a while yet.

FYI Dalradian drilled 170,000m in all to prove up their deposit. They finished drilling in 2018.

If drilling at depth is the route to proving up the largest deposit in the shortest time then a wait of a few more weeks is neither here nor there in the grand scheme of things.

GLA DYOR

This is one of the resolutions being voted on at the next agm. Generally and unconditionally authorised authority to allot and issue securities- I wonder why?

4 To consider and, if thought fit, pass the following resolution (Resolution No. 4):
“That the directors of the Company be generally and unconditionally authorised to allot and issue relevant
securities (as defined by Section 1021 of the Companies Act, 2014) up to a maximum of the amount of the
authorised but as yet unissued share capital of the Company at the close of business on the date of the
passing of this resolution, provided however, that any shares which have been re-purchased shall be deemed
never to have been issued for the purpose of calculating the maximum amount of shares which may be
issued. The authority hereby conferred shall expire in five years less one day from the date of this Annual
General Meeting unless previously renewed, varied or revoked by the Company in general meeting. The
Company may make any offer or agreement before expiry of this authority which would or might require
relevant securities to be allotted after this authority has expired and the directors may allot relevant
securities in pursuance of any such offer or agreement notwithstanding that the authority hereby
conferred has expired.”

Advance BAM to PFS a 1 -1.5 year project appoint PM to oversee this.
BAM extends to depth and we have considerable development opportunities to mine underground where grades improve.
Get resource up to 2m with PFS and the Gold project is oven ready for one of the majors who have be trailing us for some time.
Complete Lithium sale.
Cash position is OK plus if we conclude Lithium sale we're very well funded.
Overall we are in good shape in terms of resource and cash however the sale of the Gold via the strategic review has been a failure. The potential is nonetheless still there.

$1.5bn in Nickel in the ground but it is very close to the gold (presumably selling this or developing it might impede the sale of the Gold).
1g/t of Palladium/Platinum and Nickel at Felix which could have a significant value but also might be a distraction from advancing BAM to PFS.
Lamaune has 40,000oz Gold and can be advanced to show a satellite deposit with mine-able resource within 11km of BAM.

If we were to ignore that fact the the SR failed to sell the gold we're in decent shape and if we conclude the sale of the Lithium we could be in very good shape.

2023 is going to be about going deep and wide on BAM, developing the resource at Lamaune and completing the PFS for the Gold.

If we know that the grades below BAM improve at depth it is reasonable to anticipate a relatively constant stream of positive news items coalescing around the central mission of getting a PFS ready 2m oz Gold project completed.

There is nothing we can do about macro factors however if Gold prices hold or rise and if inflation tails off we could find ourselves in an increasing stronger position as 2023 progresses with a tail wind from the Macro factors rather than this year's headwind.

This is a very good entry point share price wise IMHO as all the bad news is done. On a more negative note I got to the party early.

If anything the strategic review has done more than anything else to damage the share price. Firstly it set a timeline which created an exodus of funds, then it ran into macro problems and then it was extended. By setting expectations of a sale and then dashing those expectations many holders have exited. However IMHO the value is still here. The positive to come out of this is likely to be the sale of the Lithium. This will give us the funds to complete the PFS and bring the resource up to 2m oz.

I am not in the slightest bit annoyed that we did the SR. It smacked the share price for 6 but we still have the gold and potentially the money from the Lithium. If anything we might end the year of 2023 with 2moz of Gold and be close to completing a PFS without any dilution.

If we get anywhere near to that outcome I'd expect the share price to be in the 40's by next December.

GLA DYOR

Thanks Samroy

Could someone please share a link to this interview I can't find it on Proactive's site. It isn't on Landore's site either. Anyone?

Is there an interview tomorrow. If so where? There seems to be a rumour on one of the other boards and perhaps this is why we have the levels of activity that we have today.

Personally I'm not expecting anything more than a tick-box RNS on the financial position as the next news item as the drilling on the Eastern boarder of PL2194 started on 22nd October was scheduled for 4-6 weeks and assays will take longer still and these are unlikely to be completed before January 2023.

Parkez thanks for your posting of the Profs Barnstorming evisceration of our maladjusted share price. Hopefully he'll have some drill results to back this up soon. In reality the point that is holding back the share price is the low number of drill meters and slow reporting.

I'm all for careful planning and wise use of exploration funds but at some point it becomes a numbers game of drill meters expedited.

District scale plays like this in North America will be drilling 70-100,000m in a year e.g. New Found Gold / Wallbridge etc.

The sooner our drilling campaign starts to match our exploration estimates the better. Hopefully this is what 2023 will bring.

Good comments Brakken and JB73 short term forecasting is generally pretty accurate.

For the chartists Gold at the end of September was making a double top pattern (bad apparently). This might have added to the colleywobbles that our potential buyers were experiencing at the time.

A few weeks on and it's making a triple bottom. Que Man with three buttocks reference for all you Monty Python fans. A positive sign apparently.

Forcasting futher out is possibly a more complex challenge, indeed what we really need to know is the forecasting model used by the miners. Does anyone know this?

From my research there appears to be a load of different models which are used for more serious long term price forecasts for Gold, Linear regression, Random Forest, Cat Boost (my favourite) and the best one is apparently XG Boost however I don't know what any of them say.

I suspect that you would have to part with some serious money to get someone to run the numbers through one of these models for you. If anyone has a link to such data perhaps they could share it here. I'm sure we'd all be interested to know.

My own method is just to look up the gold futures prices, December 2025 is currently $2106.60.

I wouldn't say that there is no plan, there is a plan but it requires other parties to play ball.

The AISC stated in our original plan was upgraded from $800 odd to more like $1100 in the PEA which was quite a big jump.

The modeled pit-shell as it stands has 850 koz in it we have the capability to infill and expand this to nearer to our resource of 1.5m oz.

The issue of inflation is very significant for miners and is not something they would simply brush off as "transitory" as the Fed did earlier in the year. The issue being that if the project gets the go ahead it will take 2+ years to a first pour. Two years at 10% inflation will rip into margins but what about three or four years at that level? The big inflationary periods were 73-75 due to oil going x10 but then 76-80 was high because of wage inflation that was triggered by the previous shock.

These miners operate on way longer timelines than most investors. The inflationary issue is very real and significant in terms of their investment decisions .

Here is the excuse part of the RNS
"The first stage of the Strategic Review was initially expected to complete by 30th September 2022. However, due to the severe world financial market downturn with resultant decline in metal prices and uncertainty on costs, the mining and exploration industry has focused on adapting to these new conditions and it has not been possible for Landore to conclude discussions with potential counterparties"

The plan as is, is to extend the SR to end of December because at the end of September inflation was still going up. The trend at least needs to be turning before any miner can make a case for investing. Both "market shocks" and "uncertainty on costs" relate specifically to inflation. The metals prices aspect at least seems to have found a more positive trajectory recently. If inflation can be shown to be on a downward path the "counterparties" might be more inclined to progress.

Inflation, metals prices and third party investment decisions are all beyond the control of our board. The only choice we have is to circle back round again and see if we can land this thing. This is what they are doing.

The share price drops 15% because we don't strike Fosterville on an exploratory 3500m drilling at Felix. It seems a little bit melodramatic but what the heck do I know?

It is a little disappointing perhaps depending on what you were expecting but on zone 3 step forward and step back drilling is planned as a prelude to further exploration so is it really a disaster? Surely we wouldn't be spending money on more drilling if there was nothing in it for us.

Lowish grades .34 g/t Palladium and .11 g/t Platinum over 21 m on a trend that is currently 650m long with a meter of nearly 2 g/t of gold over the top at a shallow depth might not be a disaster at all if the width of the trend and the geometry line up. 650m x 21m x ?

Plus we have hits on some higher grade zones too. For me exploration drilling is just that one hopes to hit something noteworthy but one doesn't expect to do so.

Did we just lose 15% of our value because we didn't find the mother lode? Jeez the drama queens are running the show here.

Russia produces 40% of the world's palladium and demand is growing. Prices are only going one way.

I wonder what the gold equivalent grades would have been had we reported these finds in those terms.

Definitely an over reaction if you ask me. We have nothing reported on Lamuane and still have infill and depth drilling results to come at BAM to join the East and Western pitshells.

Are we there yet?
https://www.gov.ie/pdf/?file=https://assets.gov.ie/238524/4765a2c9-ffb6-43af-a9ba-7e4268ee0e8e.pdf#page=null
22nd October two holes that will take 4-6 weeks. Diamond drilling is 5-10m per hour based on a 48 hour working week it makes me think these two holes are 2000m plus. Why would the Prof want to make any comments until he has the data from these two drills back. Drilling on these two completes late November at a guess and then maybe add 6 weeks for assays and we are into January.

There is plenty we don't yet fully understand about the site https://www.lse.co.uk/rns/CGNR/results-from-ground-geophysics-survey-39gkr1rc43f61kn.html questions related to where the highest gold concentrations are and what lies beneath are presently unanswered. By now these are questions that we should be able to answer and certainly before we start any major drilling we'll need to know this stuff.

PI's are less of a priority now than Demir and Demir will want to spend their money wisely by drilling in the right places.

This is also a reason for PIs not to fret. All parties are aligned, we all want a mine as soon as possible. Perhaps it would be a comfort if the Prof was a little more solicitous to us PIs but equally he might take the view that we should either trust him or sell. Perhaps his view is that ultimate value here will be a matter of fact and not a matter of perception.

The Geology of course takes eons. Seemingly rather like the next RNS. But I don't see why the Prof would want to go off half ****ed at this stage . If you don't believe him then sell and good luck to you. Personally I believe that we are at a watershed moment and that Demir and the Prof are trying to answer some fundamental theoretical questions about the deposit before we go mad with the drill. I could be hugely wrong. But IMHO there is no need to spit the dummy yet and that indeed we may have to wait a few more weeks for news.

To a certain extent at this juncture the market is voting on stuff that it doesn't know about which makes me doubt it's assessment of the true value here. Everything will catch up with itself eventually. The Geology, the drilling, the share price and most importantly the JORC exploration target and the JORC resource.

Quite precisely when is anyone's guess.

GLA DYOR

Same here,

Dear Mr Catbert,
You are probably insane and in imminent danger of losing your shirt etc.......or words to that effect.
Well firstly I don't wear a shirt and secondly what do HL know?
Thirdly, I could not give a **** - although if I have to I insist that my kitty litter has at least a 2% gold content.

There is only one thing which is certain in life and that is that Shaun Day can't make a speech without using the word "look".

Everything else is and must remain a mystery.

GLA

I know grab sampling has it's detractors but.... A Norcal grab sample taken from the mineralized ultramafic at the Zap Zone back in the day returned 1,149 ppb Pd, 2,718 ppm Cu, 7,213 ppm Ni, 660 ppm Co, and 57 ppb Rh.

Samples from the Carrot Top Zone (taken I think by Steven and Mick Stares - don't quote me on that ) returned values of up to 1,200 ppb Pd, 260 ppb Pt, 0.34% Cu, 0.33% Ni, and 200 ppm Co.

Steven and Mick were not even reporting the Nickel and Copper in ppm they were just picking the stuff up off the ground and reporting in %'s.

Crikey! Nickel, Copper and Palladium!

That is pretty exciting but its a grab sample and maybe you pick up what looks interesting so I'm looking forwards to getting the official Landore version.

Hopefully we get some good results with he drill too.

The ground sampling at Felix has produced strong results and historically ground sampling and drilling have correlated closely on this geology. By this reckoning Felix has a very strong likelihood of showing more BAM type mineralisation and although the faulting creates a little more complexity, one hopes that Bill and Michelle have a pretty good idea about what lies beneath.

On Lamaune. Placer Dome Inc. staked the property and carried out geological mapping, geophysical surveys, and drilled 3,367 m of diamond drilling in 20 holes way back. The best value hit was 5.48 g/t Au over a 1.35 m. Landore completed 152 diamond drill holes totaling 25,102.34 m of drilling designed to test the Lamaune iron deposit and magnetic anomalies in its vicinity and elsewhere on the property in an attempt to develop the site as an Iron deposit. Although there are also Magmatic deposits containing quantities of nickel, copper, and platinum group elements (PGE) on site too most notably on the Zap and Carrot top areas. Previous explorers have had good hits for copper nickel and PGE elements from ground sampling in the area historically on the Zap and Carrot top zones.

The gold mineralization on the Lamaune Project is related to a shear hosted Archean epigenetic, hydrothermal system. The mineralization has been traced by drilling over a strike length of 500 m and to a depth of 200 m and remains open both along strike and at depth. Landore Resources commissioned Stewart Assay and Environmental Laboratories LLC to conduct metallurgical testwork on 14 samples of split diamond drill core see page 85 of the report https://www.lamauneiron.com/wp-content/themes/lamaune/pdf/techreport.pdf

All the test results showed gold and notably two of these tests showed head grades of gold of 72.8 g/t and 17.6 g/t respectively. The type of gold deposit is different at Lamaune to Bam indeed some of these banded iron related gold deposits can be very fruitful producers of gold.

There is a lot that still remains in the balance at both locations at this stage and we need a little bit of luck to go our way by way of grades and widths hit.

The gold at Lamaune is contained in quartz veins, so if we are pulling up cores with large sections of visible quartz this would be a good indicator.

I wonder if this is what Glenn means when he says the drilling is going well at Lamuane?

GLA DYOR

All good points AM90.

It would be good to have an interview with Bill but of course that won't happen.

My guess on the Lithium front is that there are two major reasons for a delay.

Firstly we only have a very rough idea about how much of a resource we have and therefore need more time is needed to define this.

Secondly, most of the Lithium explorers and developers are new and some would need time to fund raise to do a deal with us unless they have already raised cash.

Yesterday's news was very disappointing however the nature of the process is intrinsically dependent on other companies.

The strategic review was a little like a fishing trip where we only had a few nibbles when we really wanted something big to take a ruddy great big chomp on our bait.

All we can do is continue to put the bait in the right places and hope our luck changes.

I don't know if this passes for a strategy.

https://uk.practicallaw.thomsonreuters.com/6-101-7488?transitionType=Default&contextData=(sc.Default)&firstPage=true
I'm no legal expert but there do seem to be a lot of rules that both the BOD and their advisers must abide by.
If there is no faith in markets to deal fairly then there will be no markets. If people investing cannot make reasonable decision because crucial information is withheld then that is an abuse of the market.

Hi Nicetomichu,
It isn't an AIM rule it is an FCA rule. It covers any company listed on a UK exchange.

Waiting is very stressful indeed. As those who have a history of investing know, there is no such thing as easy money and this is why.

A world of dysphoria comes with these high stakes games.

Yet amid this confusion lies one ray of hope or perhaps a path of recourse for the PI if this all goes to hell in a handcart.

Should the Board and their advisers have failed to disclose a material fact that would have been likely to influence the share price by 10% or more then they would be in breech of the FCA rules.

Had the company not received a single viable EOI then this information should have been made public straight away according to the rules.

An RNS stating that no viable EOIs had been received would undoubtedly have dropped the share price by 10%.

If we find out that this is the case and no viable EOIs have been received and that our board has withheld such information I hope other investors here will join me in calling on the FCA to take action against the board and their advisers. However there is no need to draw daggers yet.

Bill and Co might have been slow to talk up the share but as far as I know they have always acted with integrity. I also believe that they would rather drop the share price than spend their latter years fighting a legal action against the FCA.

For this reason I remain positive.

I think we have a viable EOI. We have a mine ready project with 850koz . Someone is going to want that. A falling pound helps us too.

My guess is that we need to wait until after 21st October as we should then hopefully have crystallized the value of our NSR . It is not an insignificant amount but unless we could ascribe a value to it a potential buyer could reasonably argue that and NSR in a mine that has not been built isn't worth more than a nominal consideration, however if this NSR deal goes through a buyer will have half of that value in cash and a strong indication of what the remaining 1.5% is worth. Thus debunking the argument for a nominal consideration. A wait for a couple of weeks for $4m Canadian of value seems reasonable.

GLA DYOR

Fair comments Goldbug99.

The big caveat however is the Fosterville scenario where the real prize lies underneath the initial discovery.

Drilling stockworks and hitting modest grades on good widths is one thing however the expectation is that beyond the stockworks there lies a possibly greater prize of far higher grades.

A find of this sort would be transformational and is not a wholly unrealistic expectation. Indeed this is the idea that the Prof is working on. There are still a good many ifs and thus a good many reasons too for the cautious to sit out and wait for the sure thing.

However at this point we know for certain that we have a district scale discovery albeit with modest grades and issues surrounding recovery.

But where did that Gold come from? One decent hit of good grades at depth and the SP here goes bonkers as the implication will be that we have high grades and district scale and thus almost certainly a large and economic discovery.

https://www.griproom.com/fun/10-signs-your-company-is-about-to-be-acquired

I am cutting and pasting JB73s previous post.

Point 1 Management stops defending the share price. Let's face it they would have something they could release on this year's exploration had they wanted to do so.

Point 9 Your company is unloading assets that wont fit well into a merged company - like today's example perhaps?

NicetoMichu's rule of thumb is probably right for the reasons stated however in the case of a takeover some of the usual rules might not necessarily apply.