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Yes thank you Data - with copper prices on the increase, the Fed letting inflation tick up, the UK/EU coming out of recession, interest rates on the brink of falling worldwide, China looking to boost their economy, share prices reaching new highs worldwide and we are on the brink of a copper mining license! I think I will sit back and have a glass of red.
The SP declining is not about the assets it is about PI's either needing to sell or being naive. Either way we still have not had a negative RNS since the Star Zinc one 4 years ago. We have 6 possible area's that have licence/JORC that could be sold and still leave us with, a possible IOCG, the NW Zambia licence, Luansobe deep mine and possible bonus payments from SFR. What an amazing company to be invested in.
Yes Ana I have posted a few times that Ferber was being drilled this year. Another miner in the area is getting funding from the US government to prove up an area for copper mining. Ferber should have copper as well as gold. Definitely another future sale this year.
I believe that Kamativi will be sold regardless of the Iky source. It is far to large for us. I expect a JV will be announced soon. We will be selling licenses in the Kalahari and I would even sell Luansobe at the right price but that would be an easy one to mine ourselves through a contract deal.
Copper is moving higher and this will continue not just because of the supply shortage long-term, the charts are breaking out, gold hit a new high this evening but because the Fed is determined to reflate the US economy whatever it takes. Risky assets are on a high and commodities like copper will be massively under supplied.
I agree FS that Kamativa is still in play.
When we did early drilling in Kalahari we found no copper but good indications that there were while SFR found copper in one drill - the SP fell due to ignorance. In January these same licenses are looking very good for a sale. When you are doing your first drills it is very much a needle in haystack and finding out where not to drill and even though we were drilling a bit blind we averaged 0.26%. Someone wrongly compared it to XTR's BR who with AA had years of data and over 40,000 meters of drilling and the average grade was 0.25% - is it me or do most people get real on 10 needle in haystack drills.
It is quite funny the reaction to the RNS and obviously I would have wanted 10 drills showing 1.0 % + grades but if that happened over a 1.5 mile length the SP would be over £10 so it was never going to happen- no miner is that lucky. However, it would have been better to have had another hole with 1.0% grades. What happens now is IMO we have moved forward to either more targeted drilling with a more likely sale or JV depending on the results. The area is covered with Lithium but at low grades from the reconnaissance. The interpretation is that there will be a deposit but the size and cost to prove it is commercially viable is not a given
There is a huge area where Lithium is present and that would suggest that within that area and/or at more depth there is better grades. We have done 10 shallow drills and have found Lithium in everyone, this is good news and actually what I was expecting. Anyone who though we were going to have data to show we could start digging for Lithium tomorrow is a bit naive
Moneyman64 the problem with most AIM exploration private investors is that they don't understand risk. When I invest in AIM exploration I look at one thing and that is can it 10 bag. That is why I have not bought AFP, KAV, PREM and sold out of HZM, RMM, EUA because I think they have/had less than 1% of a chance of 10 bagging and the possibility of dilution is very much a live. I bought EUA at an average of 0.4p and sold out at an average of 13p because the ability to 10 bag was gone but the risk of total collapse had not changed. GLR in my opinion as a 50% chance of 10 bagging regardless of the current SP so I am fully invested.
Please tell me why you would want to invest in risky AIM exploration companies Moneyman64? The price rise of the resources a exploration company is exploring and deals in the same location would not be bad news or do you really think it is irrelevant? I can't believe why you invested in the first place.
The price of copper and lithium is moving higher which is good news. The waiting for the Luansobe license is annoying on the service but this might turn out to have been welcome in the end. When the licence comes through and copper holds on to todays price or moves higher then the open pit mine will be so much more profitable to mine ourselves or sell. The value of the Luansobe mine is worth a lot more now than when we were getting offers 6 months ago. Luansobe open pit mine with copper at its current price could give us a multi-bagger in the next few months all on its own.