Member Info for Ella10

What confuses me is this statement
'Initial results of inversions of the CSAMT data from the Line 4A Survey appear to provide high quality vertical resistivity sections that identify sedimentary strata with good resolution, down to 4000m depth. This far exceeds expectations.'
I find it difficult to believe that Kronos was drilled to 4000m. Perhaps this, together with a more convincing statement for shallower depths would have helped.

Certainly nothing in comparison to those 30% REE grades you were selling.

Have KAV got a different rig on the go now?

Hi Kully,
I agree the grades are not fantastic, it's pretty much what I was expecting if you look at my previous posts - perhaps a smidgen higher. Still a very large resource. This is AIM so always good to be cautious.
What was the sum total of last year's drilling on ARC's licences? Sorry I must have misheard that?? Did you really just say 4.3m@0.59% ??? REALLY?
What has happened to your beloved Fwiji?

.

I wonder if it's someone selling shares from the last placing in order to move the funds across to support the KAV placing. They would still have 2p warrants here.

Can't quite make it out but sounds like an American company is investing $150m in mining in Zambia. Paul kabuswe signing today. Around 4 mins in.
https://m.facebook.com/profile.php?id=100069261307422

https://twitter.com/KavangoRes/status/1594621311309037568

A glimpse of some more core
https://twitter.com/KavangoRes/status/1594623166919413760

That licence has been advertised on the internet for quite a while. It said it was Zambian owned and were looking for partners.

Hi F79,
I think the terms will change because it seems unlikely that the licence areas will be the same as shareholders envisaged in May. The Afrimin licence doesn't appear to be under ARC's control, the North Zaco licence appears to be a bidding area and there is a general requirement for 50% of a licence area to be relinquished on renewal ( not necessarily strictly enforced). Zambia want inward investment but also, understandably, want to ensure Zambia benefits. My understanding of a designated bidding area is that the funds would go straight to Zambia.
I would estimate that a $74m investment would probably equate to somewhere in the order of 100,000m of drilling (allowing for surveys, geological support and any JV overheads).
Assuming that AA find a tier 1 asset of over 3m tonnes of copper then I think that a valuation of the complete asset would probably be in the range of $400m to $900m. ARCs share of the asset is likely to be less than 30% (allowing for Kopara). I think to get to a £5bn asset would to require a developed mine, which would take more than $74m of expenditure. There is obviously no guarantee of a tier 1 asset. The SP increase, based on no dilution, is obviously limited by the value that $74m can add to the asset.

I think the larger raise was probably required as continuously having the prospect of an imminent raise isn't good. I agree with JP2000 on KAV's capital allocation. I think the current drilling is Ben's opportunity to prove KAV can manage a drill program, both in terms of progress and consistent communications. IMO he needs to be very focussed on both in order to regain shareholder trust.

Thanks Portia,
Assuming the deal completes on the original terms, which I think unlikely then:
The 30% doesn't appear to account for Kopara's share in the asset.
I don't see any realistic circumstances that would see a $74m spend result in an asset worth £5bn.

Portia,
Hi Portia,
What are your assumptions for a £5b value?
At what stage would the asset be for that valuation?
Will Anglo's $74m spend bring it to the point of that valuation? (Assuming a tier one asset is found).
What assumptions are you making on dilution to ARC's current share holders?

An old article but quite interesting. It seems there were at least 30 geologists and 16 rigs working on Sentinel after the acquisition by FQM. A totally different scenario to AAL and ARC but interesting all the same. This was after a resource had already been 'defined'.
https://www.crown.co.za/reader/modernmining/2014/January/files/assets/basic-html/page32.html

Does anyone know if the current drill is a renamed 14A or if it is in a new location?
'§ As a result of further integration and analysis of available datasets, target area T1-14 has been upgraded by the Company to Priority A+ status and a 700m drillhole (DDH1-14A) is now planned following the completion of DDH1-6B(2). It is estimated that the superconductor could be reached at a downhole depth between 450-500m.'
'Figure 2 - T1-14 3D View (Magnetics; Pink = Magnetic High): A 3D view showing the location of the planned drillhole DDH1-14A and historical drillhole KKME1-14 with the ground magnetic inversion. KKME1-14 was drilled mostly within a magnetic low, which is consistent with the quartzites and carbonaceous mudstones.'

Done.

Why would AAL not apply for any neighbouring licences directly, rather than through the JV?

Zero geology knowledge, apart from Google. I think it does look promising. Perhaps both nickel sulphide and garnierite seen in the images. The end of the drill core in the bottom right photo looks as if it has a green / blue tinge - garnierite?

Scrap that, I've just seen some other news that has derailed that thought process.