RE: XTR COLIN BIRD INTERVIEW TODAY: BUSHRANGER VS BODA13 Jan 2021 09:59
Hello Jezzoo,
My understanding is that we have no intention of mining ourselves unless we have insufficient asset value to attract a purchase from a medium/top tier player.
If the commercially viable mineralisation goes beyond 1,500m then the self-mining option is mute as a sale would be well within our grasp.
Remember also that gold content is not included in our figures at the moment. It could well be that we end up with an average Cu equivalent of around 0.5% - but we would have to wait for assay results to be sure of this.
The current phase 1 drill programme is for 2,300m ( more, if we get better than expected results) and we have been told that this will be paid for out of existing company cashflow - this should take about 35-40 days in total if you include setting up time for the rig at each drill point. Then we would have to wait another month or so to get definitive assay results from the third drill.
We would only move onto phase 2 drilling if the results from phase 1 are sufficiently promising - It would not start until April at the earliest, IMO.
That means we have about three months to get GF and additional alluvial income ramped up before we will have to pay for Phase 2. We have been told that mining has already started on both projects so we should hear of first income from them later this month.
We will be getting regular phase 1 updates as incremental samples are tested throughout the drilling period, so we will already have a very good idea of the situation by the end of the third drill. - and I have a feeling the SP will be very different by then!
I have said it before and will say it again, the loan FACILITY is intended only as a safety net and is a very sensible precaution, because if it does become necessary to use it, it will be a life-saver and therefore worth the dilution it causes.
All IMPO, of course, but if you read the RNSs and listen to CB's podcasts, I am sure you will come to the same conclusion.
ATB
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