Member Info for Catbert

Some people seem to have forgotten what the historical grades and thicknesses are at Fare. Here is a reminder;

"Diamond and reverse circulation (RC) drilling at the Faré South anaomly has, to date, returned best intersections of 20m grading 31.13 g/t Au including 10m grading 60.98 g/t Au (FARC-00007), 59.60m grading 2.20 g/t Au and 49.50m grading 1.75 g/t Au (FADD-00004) and 70.00m grading 1.46 g/t Au including 31.00m grading 2.72 g/t Au (FADD21-031C)."

IAMGOLD has spent more than our market cap on exploration there.

Either they are complete maniacs or we are seriously undervalued.

The copper play is a long term project and longer still until it monetizes.

Storumen is still the next value creating event. Frankly Tertiary could not have played this any worse.

Indeed it is our egregious breech of Jantes law which is the fundamental cause of our problems.

Instead of returning with a better proposal to keep Reindeer out of the tailings facility our board have disappeared down the worm hole of trying to strong arm the locals with legal force exerted at a higher level all the while without realising that it is the mentality of their approach that is the cause of our difficulties here.

It is not the job of the locals to tell us what we should do. If it were me I'd just get some reindeer herders to design the structures required to keep reindeer and tailings facility apart from one another . The locals were not satisfied with our proposal but they wouldn't tell us why. But why should they? It is not their job to tell us. One wonders how or even if we consulted with the herders.

These people all know how Jante Law works. It is the basis of their culture and community.

"The Janters who transgress this unwritten 'law' are regarded with suspicion and some hostility, as it goes against the town's communal desire to preserve harmony, social stability, and uniformity." In this case we are the Janters.

Our tactics will be good for the lawyers but a good adviser would have advised us that our mentality was what was wrong here- perhaps they were too polite.

Just because the government says that mining trumps reindeer herding doesn't mean that we should take the reindeer herder lightly. Now we are paying the price for our own toddlerish rage at what we see as an apparent injustice. Yet we are the ones at fault. We have applied our own cultural values of individualism and self promotion to a situation where our cultural values are abhorrent. We should not be surprised by the results.

I have just bought a few.

This share could not be more out of favour. Perhaps that is tempting fate.

But here's the thing, at Fare we have a resource of 155,000 oz and a partner who is working to expand that and the program is funded. Indeed, IAMGOLD are no fools. Had they thought it not worthwhile they would have withdrawn.

Not only is our exploration funded there but we also have a ready made mining partner on site ready to process the gold.

As far as Bibemi is concerned we have decent grades and widths with the possibility of widespread horizontal structures and we've only really got into the Bakassi zone 1 area. We are funded to do more work there.

"The majority of the drilling has been focussed on a circa 1 km long section at the southern end of the Bakassi Zone 1 and has delivered best results to date of 6.50m grading 3.92 grammes per tonne ('g/t') gold ('Au'), including 1.00m grading 16.79 g/t Au (BBDD034), 5.20m grading 1.97 g/t Au and 9.20m grading 1.31 g/t Au (announcements dated 20 December 2021 and 9 February 2022). The mineralised shear corridor at Bakassi Zone 1 has been confirmed up to 150m wide and contains a package of sub-vertical laminated quartz tourmaline (shear) veins as well as extensional, sub-horizontal quartz veins."

This could well become a JORC by year end. Indeed with these sorts of widths and grades we have the makings of a find here. The employees are all making salary sacrifices to buy shares and have just subscribed to the last issue. Surely they'd want to keep their cash if our prospects were so bleak?

We have a minuscule market cap and one big find sends the SP flying.

It's not all doom and gloom.

"Carrot Top looks like another B4-7" to quote Bill.

Sir Percy "My Lord, success! After literally an hour's searching, I have succeeded in creating Gold! Pure Gold"
Blackadder "Percy, it's green."
Sir Percy "That's right my Lord"
Blackadder" Percy, I don't want to be pedantic or anything, but the colour of Gold is Gold, that's why it's called "Gold", what you have discovered , if it has a name is some "green"."

P.S. I'd settle for some green at this stage. Any gold would be a bonus.

That £15k trade looks pretty out of the ordinary. Most trades here, and they are pretty thin on the ground, are for hundreds of £'s. Whoever bought those shares now owns more than most directors.

They complete the infill drilling between Eastern and Western pit shells first, then PFS it. Unlikely before September.

However.....a buyer would possibly want to do their own PFS on the basis that whoever pays the piper call the tune. Cube are our consultants and whilst they are no doubt as straight as a die some elements of an assessment are subject to a "view" being taken.

A buyer might take a slightly different view. Cube's last but one report had ASIC for BAM at $816 and in the more recent version our ASIC moved to $1133, a 39% increase (in less than two years) Hmm.

If I were a buyer, I wouldn't be taking any numbers from Cube as a guide. Not a chance. This could easily sell pre PFS or the PFS may be done by the buyers own consultants or in-house team.

Orla buys Gold Standard Ventures Corp for $242m Canadian.

https://orlamining.com/news/orla-mining-expands-into-nevada-with-acquisition-of-gold-standard-ventures/

Perhaps not a radically dissimilar project from our own- open pit/ low capex to start/ PFS stage with similar resource plus some expansion potential and in a safe jurisdiction .

I care about orogenic waffle.

The point about these sub-horizontal structures is that they can make the difference between a viable open pit mine and a discovery of gold mineralisation which isn't an economic project.

The veins we have been hitting (the vertical ones) have gold in them, at reasonable concentrations however you have to remove a lot of material to get to the gold. The horizontal extensions are often narrower 1m or so however they are often high grade as these are areas where there were the geology had historically high flows as the mineralisation was deposited and thus these are areas where gold is concentrated. Particularly where they intersect the vertical structures.

The horizontal geometry makes them very economic to mine. You just dig down and there is way less spoil to remove to extract the ore.

A 1m horizontal at 10g/t is worth far more than 10m of 1g/t in a vertical deposition.

The magnetometer survey they have planned is designed to spot where these horizontal structures lie. If we have a lot of horizontal structures in this deposit then this is very good news.

3 & 4.

Pretty good RNS and price does nothing.

Bakassi zone 1 looking promising but it is very early in the piece.

I would not be surprised if we eventually get to 500,000 oz in zone 1, however this will take a lot of drilling and time to prove up.

GLA DYOR

Where do we find this presentation?

Have a look at what the neighbours are up to. https://www.chesserresources.com.au/projects/diamba-sud-100/

Chesser have about 700koz and a market CAP 5 times ours. OK they own 100% of their project in Senegal and we own 30% however look at all the surrounding projects they are all Barrick and IAMGOLD including Fare.

We're on that Northern Arc trend presumably that is why our partners are doing their widespread auger drilling on the Fare territory. Whilst we own 30% we already have a partner with processing assets in the vicinity so our time to a mine should be pretty quick once we have a sufficiently defined resource.

Plus a rough comparison with Chesser would imply our share price is almost half of theirs on a like for like basis calculated on the Fare resource alone. Is Chesser overvalued? Perhaps, but presumably IAMGOLD expect to add to the resource on Fare in this latest exploration plan so perhaps we are undervalued. Why else would they be paying to continue the exploration of Fare?

Occams razor/ If it's got webbed feet and it quacks then it's probably a duck.

IAMGOLD think so, Eileen thinks so too as does Beardozer.

Whilst nothing is certain yet It's difficult to bet against them being right.

GLA DYOR

Very positive news IMHO.

Jo's participation (with his own money) is the biggest encouragement. More so as we await news on Grangesberg and for assays on Parys.

I would anticipate that Jo knows a lot about where we stand on these two projects. Most Geos would run a handheld XRF down a core out of curiosity, indeed most assay labs will do the same to give themselves a baseline for expected assay results. A Geo doesn't need as assay to know what he or she has got.

My best guess is that Jo has a pretty good idea of where we stand on both developments. I am still of the opinion that Grangesberg is the bigger of the two opportunities.

With Russia likely to be excluded from European Iron ore markets for some time and with Sweden's new found enthusiasm for reactivating mining activities, Grangesberg which we would have 70% control over could become an enormous asset.

Reactivating a mine is a very complicated project and not without it's issues, however the size of the prize is massive.

Iron ore prices are now well above the levels required to make Grangesberg profitable and we might be no more than 3 years away from production.

Pull it off and we seriously multi bag.

Here is why the size of the CLP isn't a problem.

OK it is a problem in the sense that it's massive, however just because another miner spent a bunch of cash exploring a big area before they could get into a JV is neither here nor there.

The JV partner is only coming in if they think there is a potential big deposit there.

There is no way we are going to explore the CLP in it's entirety, however we don't have to. The strategy we have is all about generating optimal targets for a drill campaign. With a land package of this size the advantage is that we can cherry pick which opportunities we develop. Indeed we can even afford to pass on good targets in favour of great targets, in fact we must.


River sampling allows us to cover a lot of ground and it's not expensive. Ground sampling isn't costly either.

The statistical likelihood of ground sampling identifying a deposit is pretty good. It's not infallible, say for example some other process besides an accompanying deposit has lead to the concentration of gold in the trenches or if the ground sampling hits a deposit that does not extend at depth. Then a drill campaign to follow up what looks like good ground sampling results is going to draw a blank. Otherwise we would expect to see results.

However, if through our broad targeting we can identify one or two district level prospects we are not going to need to do a massive amount of drilling to start building a case for a JV.

The ideal would be that we find something in the CLP that is in the 6-8 million ounce sized prospect range. There are not many places in the world left unexplored where such a sized deposit is possible or even likely, however the CLP is one such area where something like this is a possibility.

Nobody minds an explorer raising cash provided they are finding gold. The problems come when they are drilling dusters and diluting us in the process.

WonkeyDonkey is right. The chartists model for valuation doesn't include the industry model for valuation which is the Lassonde Curve.

TBH I don't blame them. Most people take one look at the Lassonde curve and think it looks like a roller coaster anyway and then in all likelihood quickly give up on the idea of modelling anything with it because of it's erratic appearance. Add to this the fact that most explorers have multiple projects at different stages on the Lassonde curve and the idea of using it to model fair value gets beyond complicated.

I've sometimes wondered if the Lassonde curve isn't like the crazy chick of investment analysis tools, she bangs like a barn door in a storm in the good times but you'll also need to wear a stab proof vest for when things go South.

Indeed the Lassonde curve is possibly the explanation why explorer stocks disconnect with other measures of value.

For example NAV/ Market Cap is usually way out of whack for explorers particularly if they have found something.

Secondly, fund raises and exploration spend similarly disconnects again from Market Cap. Indeed most explorers are not even worth what was spent on digging whatever holes were dug.

As for profits and revenues, well mostly there aren't any.

Given that the Lassonde curve is the best historical model for valuing an explorer means that other valuation methods can put people off from holding or buying this type of share.

The Lassonde curve, if you accept it, is basically saying buckle up and forget what the short term share price is doing. The price means jack. Value comes on discovery and sale.

When would I add? When the Lassonde curve says so.

1. If we had made or looked like we're about to make a big discovery.
2. If we looked like we'd get one of our assets taken out by a sale or JV.

Plus maybe.
3. If the share just looked too cheap due to panicky short term holders who have decided that the fun just isn't worth the danger.

The board could have easily managed that piece of news way better by explaining the reasons for the change to the 53p target price.

Silence is not always golden sometimes it is also bloody stupid. We need a board who are doing all they can to build confidence in this share and to do that they need to make sure they don't panic shareholders with news which implies some sort of existential threat to PI's investment here - like a big target price cut (even if the reasons for it are technical).

This year we really need to board to bring their "A" game to the financial PR.

Today was not a good start.

Good geology is the thing.

A good Director can't change bad geology.

I couldn't give a hoot if Tim has other irons in other fires. He just needs to make sure we have enough ground with enough decent prospects to go at and he's done that here.

The share price is neither here nor there until we find something spectacular or until we can monetise one of our existing discoveries and we're probably two years out from that.

I was in this. Now out.

The reason I sold was that they do not publish professional data on their drilling - depths grade maps of drill holes overlays of ground sampling. Instead they make edited statements - opacity is a red flag for me. It smacks of amateurism or of some intent to spin the data.

Second reason I sold. MD is Oil and Gas guy has never found a mineable deposit and has never sold one.

Third reason- Copper is a red herring and they know it. The ground was bought from a copper explorer -the deposit is sub -optimal and not worth drilling. If it were worth something they'd be drilling it.

Fouth reason this is an exploration company and they are trying to process tailings . Instead they should be finding and proving up a deposit which they can sell to or JV with a miner. Opportunity cost. Once the tailings are processed they are done. Then what? It's nonsense.

Nevada is good jurisdiction and the land they have is plausible but boy is it painful to watch them. They might get lucky despite themselves. Who knows?

GLA DYOR

Cube are in Perth. Finishing touches to the PEA? (If the story about Bill being is Australia is true).

BHP and Rio Tinto have HQ 's there or maybe he's seeing Newcrest or Evolution?

That's enough wild speculation for one day.

Let's hope he has a productive trip whatever he's up to.

GLA