Member Info for Goldbug99

FV: the Irish government seemed to get upset enough about Tara closing, potentially for good, even though at its peak it was only producing 100,000t of Zinc a year, equivalent to 100,000oz at the current gold price. You are also assuming that 500,000oz mined over ten year is it. End of, which we all know is nor the case, or there would be zero interest from any major company ever.

MM99: they’ll get one hit from the gold production licence, then the gold leaves Ireland forever...

You obviously have no clue how mining, or indeed foreign investment works.

They get a royalty on every ounce. They get VAT/Tax on every expense (fuel, energy, machinery, parts, salaries). They get corporate taxes on any profit the company makes. They get hundreds of people employed, and thousands more in spin-off to the wider community.

Shatter: and no, you can't just go dig up thousands of acres somewhere else, even in Canada, Brazil or the Australian outback. Look at the recent Rio debacle with aboriginal gravesite. Those days are over, worldwide.

Shatter: fair points, which is all the more reason the company should have chased higher grades at depth, which they missed doing with Demir (IMHO). Underground needs higher grade, and conversely, below a certain depth, open pit is impractical and underground mining is the only feasible method anyway.

I'm no expert but I DMOR, and the three professionals on the board (Earls, Bird, Moloney) MUST know this. Why did nobody INSIST on this in the €5M exploration program? Do they even listen to their directors and staff?

Underground mines have a far smaller impact/footprint. Just look at Tara down the road.

DS: ok, explain this one to me, WHY? Why would a 90yo pensioner continue to perpetuate a scam he's allegedly been working on for 30 years?

Getting up every day to face criticism, giving interviews, flying to meetings. It's not that he and his family isn't wealthy already. Yeah, an extra couple of hundred grand a year is nice, but he hardly needs it. I doubt he has villas, yachts, Ferrari's and mistresses to support.

DS: "EXPLORATION" over 15 licenses, no deep holes on Clontibret or Clay Lake and insufficient??? drilling for a resource update suggests to me a scatter gun approach.

My guess is Demir wanted a get rich quick bonanza discovery so they too could flip it, were prepared to risk £5M on it, but not put in any serious work, and walked, in part at least due to domestic Turkish economic woes.

You never know with private family companies. They can operate on a whim, not a strategy.

FV: "This time there has to be more emphasis on production though"

I seriously doubt that. No major is going to start making production plans until at least 3-4Moz are on the table. All we can hope for is that their exploration is more focused and targeted than Demir's was.

I agree FV, levels of unaccountability worthy of Trump. At the end of the day all we have on the "new JV" is a throw-away comment in a paid-for promptional video "interview".

"Lots of interest, PDAC, many approaches over the years, yadda yadda etc. etc."

How about an RNS:

"The Company is in advanced discussions with a $M market cap. company specializing in gold mining in XYZ countries and currently producing XYZ ounces per year. This company has sent technical teams to site and is currently reviewing all data and conducting due diligence. At this stage of negotiations, the company identity cannot be disclosed due to confidentiality. However, we expect to conclude negotiations and make an announcement by (date)."

Except of course, if untrue, it would bring legal consequences.

DS: $110M is only 8.5% of the in-ground value of the CURRENT resource. What gold price do you want before you stop claiming it is sub-economic?

FV: "They can produce an updated JORC without more drilling"

And that is exactly what they should do, imo, so why aren't they? What was the point of several kilometers of (free) drilling otherwise?

DS: Lots of reasons Demir may have walked, the Turkish economy for one. You dont know them either. Somebody lending you £4m, then saying they don't want it back is a good deal in my books.

FV: The underling value is no different to 2019, except gold is 2x the price and there is now £4M of new, and un-integrated data.

If I was selling a classic car and had a garage full of unused spares, I'd be tempted to restore it before putting it on sale.

Giving away a minimum of 50% of the company, probably 90% by the time any JV is concluded, just because you didn't cross the T's and dot the i's and extract the maximum value from the last JV first isn't in shareholder interests either. I agree it was a real coup getting Demir out so cheaply. But spending £4M of other peoples money IN THE GROUND, and yet ending up with a M.Cap. LESS than that is a DISASTER.

I disagree, plenty of small companies have done more with less. Just draw a line under the past, put together a good business plan, raise enough to get it over the 1Moz hurdle, THEN look for a new partner on better terms. The current SP should recognize the recent £4M cash injection in exploration, but doesn't!!! As others have said, a rights issue to directors and shareholders should raise enough to extract the full value of the recent work programs.

I'm told that August is a very slow month in London, either for garnering attention from, and hence releasing major news, or from trying to organize placements. So presumably any news won't be before the end of next week?

Some relief at least. RNS by month end? Only a week left?

a Major JV announced. Hooray 🎉😊

or Placement at 5p 😡

So which is it 🎲?

Or another month of Chinese water torture?

FV: not that it's anyone's business but I came on this September 22. What was not to like about a £8M company (20p SP) that has just had a £5M CASH injection, a lack of news until it started to spend it, 0.5Moz already in the ground, and had recovered from the JV announcement exuberance of 40p?

Except the SP has consistently ticked down from 20p to 5p over two years, despite money spent.

Who cares about Demir's record/motive? Their cash was still the same colour. Despite a massive spend of other peoples money into the ground, probably more in two years than the company managed in the last ten, zilch, zip, nada. Resource upgrades, compliant studies, you name it? Nope, just sound bites - oh look, X meters at Y grams - no follow-up.

Talk about snatching defeat from the jaws of victory. No point in exiting at 25%, so let's hope your JV prognosis, and 20p again, or even 40-50p is on the cards, but it seems a strange peg on which to hang all hopes - a white knight rescue. My sole consolation RN is the SP doesn't reflect the 0.5Moz resource, so there is a 15-20p floor (unless they massively dilute!) when people wise up.

I'll add, as a lone foray across the pond, I've never seen such poor and amateurish IR and technicals, compared to the TSE/ASX waters I'm familiar with (albeit they have sharks too). And these 🤡🤡🤡 like to rub shoulders at PDAC? 🤣. Well maybe Moroney can shake some sense into them. Maybe they can start by putting her in charge? Take a hint from Biden.

Want to see how it's done over here? Rupert (who I mentioned in an earlier post) took some Finland moose pasture next to Conroys, and in five (YES FIVE) years went from a penny stock to $850M cap with 4M oz in the ground - 5 cents 2016 to $5 in 2022.

Sorry to be harsh, but smell the coffee buddy, it's your money too! Re-quoting Conroys fireside chats doesn't cut it. This company needs a plan, before it crashes the SP, and vague hopes of a new JV is not it.

What would "Barrick" put in, another $5M, and how would they spend it differently? Conroy could at least announce some strategy here. We have $XM, this is our objective, this is what we will do with it, this is what it should achieve.

IT'S CALLED A MISSION STATEMENT: 20,000m drilling and a 2moz indicated resource and DFS plus two targets to 1Moz inferred in two years.

And why wasn't that done the 1st time? Did Conroy have NO say in the Demir JV, no negotiating skills, or simply no clue on how to advance the company?

I did look on Google Earth, and it's about 70km2 in footprint!

That would require the compulsory purchase of several hundred farms and many thousands of rural homes. People don't understand the dispersed nature of Irish "townland" settlement. Every single field has a home or two in it. This isn't the Brazilian pampas, Kazhak steppes or Canadian tundra.

We need to be realistic. Small localized open pits, and underground mining of the highest grade lodes is the only realistic option. People fail to realize the enormous areas required for waste dumps, water and tailings dams and infrastructure, in addition to the actual mine.

Even Conroy's famed Galmoy mine, permitted decades ago and which was underground, required 30 acres for the infrastructure and another 100 acres for the tailings dam, and was only processing 0.65Mt a year, and no waste rock.

https://www.mining-technology.com/projects/galmoy/

There's a nice air photo in the article.

At 2g/t this would be 10,000oz/year so 50 years on the current resource. That's still $2M a month revenue, maybe half that as profit (plus an open-pit mine generates anything from 2-10× the volume of waste rock).

We need to be realistic here. Wasn't the plan always (going back to the 2014 Tetratec PEA) a smallish in-house mine and to grow organically, not betting the farm on some miraculous white knight rescue by a 'major'?

If I, as an amateur, can figure this out from ten minutes on Google, I'm sure Barrick can too.

Whatever the motivation of long-term shareholders, former or otherwise, who've lost a lot of money over the years, and consistently talk down the stock, I'm equally perturbed by uncritical promoters whose sole ability seems to be to regurgitate quotes from an optimistic Chairman's RNS comments, some years old.

What chance of some balanced opinions and discussion grounded in reality?

Why no updated resource given the '000s metres since drilled? When will a PP be necessary, for how much and at what SP, JV forthcoming or not. Is it a race to get a new JV over the line before the cash runs out? Why is a subscription never offered to existing shareholders? Only the board gets to convert their debt (excessive outstanding salaries) diluting the rest.

All this chatter from both sides, and yet the SP is hardly moving!

DS: Well if 30p is the yard stick for a JV announcement as it was with Demir, that's a 5-bagger waiting to happen to anyone buying now.