Member Info for Fortissimo

I don't think the term 'grossly undervalued' was missed by the market and traders in general. Especially when every cat and dog with copper or gold has been flying yet SOLG remained unloved. As I said yesterday, Solaris resources (warintza/ecuador) have doubled and risen 50%+ in last 3 months. Now $1bln cad market cap and assets no where near as good or as advanced as Cascabel.

Sometimes, it just takes a bit of proactive management and good old 'selling' to get the markets attention. SOLG neglected that over the last 2 years+ and paid the price.

But lets get real here... 8p is not a recovery. It's a start. Remember, the sp was 13p when the Franco/Osisko deal was first announced last year. And metals prices and the market are up almost 40% to 50% since then.

SOLG has a long long way to go before it starts to resemble basic value levels and matches or compares with peers.

Anyone want to bet against the chinese getting the lions share of the southern folio?? They've wanted porvenir since hole 1. Going to be interesting to see who the cornerstone investors are and just how much of those licences current shareholders will be left with in ownership terms.

Over $1bln CAD market cap now.

Their asset looks some years behind SOLG and no where near as large (although shallow/decent grades vs SOLG's block cave).

The point is; SOLG should be well ahead of Solaris in market cap terms right now.

Instead, SOLG are almost 3 x cheaper... or Solaris are 3 x more expensive?

If SOLG SP corrected to around 21p a share, then it would be on a 'par' with Solaris. And yes... our asset is much better as is our royalty stream deal.

Solaris are one of the best comparables to use at present as their main asset is Ecuador based 'Warintza'.

Interestingly, Global X have been buyers and they hold 5%+ interest.

Why are we so undervalued... and I mean so stupidly undervalued... or as Dan says... Grossly undervalued.

I think they've got the Explore Co news already pen'd but are naturally awaiting the outcome of their neighbouring buddy... Mrs R's legal case on mining ministry illegal tax fee.

I thought the result of that is due before end of the month although I suspect they may suspend it for a few weeks.

Medium to large sized miners are expected to pay up at end of this Month. Small firms start paying the fee from Dec 25 onwards.

Seems like a real tussle between buyers and sellers today with the latter seemingly becoming a bit heavy handed... tantamount to chucking a few bombs in there to quell the interest. Bit like they did after the ecuadorian elections wins for Noboa. Very similar pattern. Could our shorter be wrestling with the surge in interest?

There's only one way this is going over the next few weeks and months and that's upwards imho... so they are fighting a losing battle.

The market has had it priced wrong for too long

If the market cap was £400m+ (13.2p) then it would simply match the level last seen when funding was confirmed in June 2024.

Plenty of progress since then although not as timely has it should have been. But all in all, £400m is still cheap as chips for a business at the current stage of derisking the asset.

Would not suprise me one bit to see teens again in August and certainly in Sept. Huge opportunity for traders and newbies at a time when many stocks out their look rather 'overbought' and exhausted from very strong rallies.

Based on the cash pile being $12m as of June 30th (unaudited) it would suggest that they had roughly 3 to 4 months of cash left before requiring more funds assuming the accelerated dev plan did not require some heavy cash deployment this quarter.

Assuming the above, there would be no need to give Franco early site of assays or cores. Excuse the sarcasm here but one assumes that the chinese know exactly what's going on as they are 'technically' advising on the ground and at board level so I guess considering Franco/Osisko are the ones on the hook here for $200m+ early phase works (already invested) and then a further $650m... one would expect them to be informed every minute of the day.

Must be time for a 'bid' soon then as 99% of the time the bidders make a move before a 'recovery' gets into full swing.

If you were going to try a cheeky bid, the next few weeks would be it

Looking at BHP's M&A action, they do seem to like the June to September period for bids recently.

The company will be properly 'reset' anf fund mangers flocking back in if they see Scott booted too. There's alot out there that don't like to see failure rewarded.

Boot Scott and his options and then we are properly 'reset' and watch the II's and fund managers come surging back in.

Come on Dan.... send the right message to the market that you've cleaned this act up and got rid of the waste of space... crew.

So I guess the question now is... why did the chinese based shorter take out 0.6% short? Was it basic arbitrage after taking on 155m shares (eg 10%)?? At some point that short is going to need to be bought back assuming the sp heads higher on good Tandy updates. The short is in place at a very low level with a 'loss' point of around 8p. Anything above 8p and it starts to fail somewhat. Anything above 12p and it's not a good position although it can be added to of course.

Not many market players out there these days that would short at such a low level - and not many in history of SOLG either. Perhaps it's just the chinese hedging against Tandy not working or Franco funds not arriving?? If so... then based on the good news of late, surely it's time to close that hedge out??

Addicknt,

"And there's me thinking they were deliberately suppressing the sp."

Dan has his (and I quote) 'GROSSLY' cheap share options ... all 15m of them tucked into his pocket so there's no need to suppress the sp any further is there? They've also given the chinese a ridiculouly 'grossly' cheap 5%+ of shares for just $18m at sub 9p ish.

It does seem that the necessary 'nests' have been feathered and were done so before the great 'reset'!

The good news is that they are all ready to see their new found wealth grow again after 2 years off suppression.

It stinks, it's not pretty but time to move on. Time to at last get back to generating shareholder value. So lets enjoy the next 12 months... as it should be happier times here now.

Stas20, if you were aware of the funds and who's selling then perhaps you might now understand why the sp is under the cosh??

Sometimes it's not about manipulation... it's buyers and sellers and the latter have been stronger of late.

Global X have SOLG holdings mixed across several holdings. The main holding states 25m. That's the one they have sold down from 55m. They also have 2m in another fund and 1m and 3m in another.

SEI Investments and Konwave are the two main funds that have soaked up their sells and are adding.

They had 55m shares. They now have 25m shares.

You obviously are not aware of funds and how they tend to behave. When they sell down 30m shares at the lowest price without a care in the world... you can't really hold much love for remaining 25m! lol.

They have held for well over a year so whio could blame them for moving the cash into other mining stocks that are better performers. Personally I think they are selling at the wrong time and when they are done, I can see the sp doubling from here pretty quick thereafter and possibly pre Q4.

Some funds just decide to exit and others have rules so possible the performane has not met criteria to hold for much longer. They are selling wedges per month to any takers so not overcrowding the sell space like that seen when Berry street sold and then the MSCI.

As I said a while ago... one funds loss is anothers gain and SEI investments (US firm) have been buying up the stock. They hold near 18m shares now.

Go check out morningstar(.) (com)

It's not going anywhere fast until likes of Global X are cleared. Yesterday's news welcome but the main dates on that RNS are 2026 and 2027. Alpala is a story of the future and for the patient. Meanwhile, with Tandy drilling underway, there's some more news to look forward to, but not the type that the market has to start pricing in.

Back into the 6's next week as likes of Global X struggle to find buyers in the 7's for their remaining 25m of stock.

Production was cited for 2030 and now is 2028 although that's Tandy. Late 2028 cited for Alpala but you may as well use early 2029.

Infact, based on SOLG's previous performances and inability to complete anything on time, I use.... 'never' as your best guide and then you might be impressed when they do actually deliver assumi g we are all still alive.

Cynical jest aside... Franco and Osisko do appear to be keeping SOLG on the straight and narrow (thank god) and that's despite them missing the first deadline lol!

The capex might be $1billion (up 25%+ from PFS) but the IRR likely much better due to metal prices.

And then there's the question on Alpala capex vs Tandy generating early cash flows. It's all about timing. But cost to get Tandy into production is unknown as it the final production plan case... so we are guessing here until we know the assays and scope of the Tandy resource.

I'm hoping (sure we all are) that they hit some richer veins and bolster the grades. The RNS this week seemed to quietly hint that grades were better than expected.

You have to remember to strip the copper aspect out of part of the royalty deals signed as only early royalty deals included both.

It may well be that a future buyer owner is mainly interested in the copper foremost.

Question for the number crunchers... would a copper stream deal based on 1% royalty raise the remaining $800m and how do the two compare eg Gold stream worth $750m upfront finance ... what would copper stream be worth based now based to average price over last 12 months??

Addicknt, I understand your sentiment regards current valuation being zero on the exploration assets... but lets be clear here... that's the markets view and lets face it ... the market couldn't value a chocolate fireguard properly could it?

When it comes to valuation, the first look would be to the accounts. What 'value' is on the books for Porvenir et al? What's booked? Any float of those assets is either going to bring in a 'profit' on the accounts or a 'loss' based on booked value. Bear in mind, Porvenir has had around $20m+ spent on it from what I gather possible more. Then there's the ongoing cost of those assets over the last 10 years+ of holding them to factor in.

Look around on ASX for look alike assets to Porvenir and I think you'll find a few out there around the $300m market cap! That index sees mining values better. Much better than LSE. Remember, Porvenir ranks in the 20 discoveries over last decade I believe!

I think the North / South folio divide certainly leans toward an acknowledgement that Porvenir (being in south) as more merits/weight than anything else in the folio. I don't think they could float them as separate IPO's as the north doesn't really have a cornerstone asset like Porvenir (apart from Alpala of course).

I suspect the structure of the exploco being south vs north will be set up in a way which allows the south to be sold but north asset retained. We'll see. But first we need Gina R's suits to put Noboa's gang back in their box. I fancy there might be a compromise deal to save face done. Although there already appears to be some unpicking of the blanket approach as small miners have to end of the year to pay up and medium to large players have till end of this month. I do hope we fit into the small miners based on a tiny market cap lol!

Highflyigman, I think we'll get a proper kick on once this flippin seller clears. My assumption is it is Global X but we won't know until Aug 1st when updated numbers come out.

We've been hit by quite a few funds selling over the last year and that leads to suppression of price especially when buyers are in now rush. Net result is that pi's (the unintelligent ones) align the poor sp performance directly with the asset or companies success perception etc etc. That's true on some points but the sp is largely driven by 'trades' and when you have the big boys exiting for what ever reason (often nothing to do with SOLG) then it's slow going.

I'm hopeful that impact of Global's selling will reduce in next 2 to 4 weeks. I think we'll be in double digits before August is out.

Money to explore doesn't come off trees.

I don't think there is a sensible investor out there that doesn't accpet that dilution comes with raising cash from markets.

So assume shareholders own 100% of the explco from point of inception. At this juncture there is zero money to explore. So no viable business.

Options to raise capital are not soley based around dilution in equity, some can come through asset dilution; eg farm outs or earn in's. Porvenir present an opportunity to be the central attraction on the southern folio. I'm guessing Bianca or Rio or something like that will form the north. The reasons on the split is very interesting indeed and in theory (although expensive) could lead to a sale of one part eg southern folio sold which in turn then funds northern folio.

I guess we'll see what happens but to explore... you need cash. Most understand that. So dilution will come in some form. Lets hope it's not too heavy like Porvenir going to chinese and we get something pony like $20m to explore rest of folio.