Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
It is easy if everything works.
Assumes you have the grade, the pay dirt is a decent mix and you don't get kit breaking down.
Look up aqua regia: it is how to hold gold in liquid form to stop it getting stolen.
There is a lot of pay dirt already mined waiting to be processed.
DYOR
Maid, we have about $3mil outstanding in royalty payments from Soma Gold. I posted the relevant bits yesterday or Tuesday. They are about to restart the El Limon mill and once it is running they will be paying a 3% NSR quarterly in arrears. Their AR from a couple of days ago said they were finalising the restart: so the restart could be any time now.
The restart was supposed to be December but it has been delayed; IMHO partly by their CEO leaving.
DYOR
For those unfamiliar..
https://www.proactiveinvestors.co.uk/companies/news/212371/vector-resources-acquires-majority-stake-in-adidi-kanga-gold-project-212371.html
DYOR
Https://www.proactiveinvestors.co.uk/companies/news/1046425/greatland-gold-strongly-positioned-to-buy-havieron-back-if-newmont-sells-1046425.html
Interesting. So after spending a huge amount of money, Newmont walks. Similar happened with Adidi Kanga, a fortune spent and then time for walkies.
Much better, minimal capex and revenue. Give me Bilbale all day long. We have similar in CDI. I was explaining to AB a while back, for all the issues in BF, Bilbale is the one that should be progressed. Hopefully we can do something with the Alluvial in CDI.
DYOR
One for the trolls; got to keep the crazies fully fuelled.
https://financialpost.com/commodities/gold-could-go-as-high-as-3000-forecasters-say
DYOR
News, you are right about the modelling. As I have said several times until they are on the ground it is all ifs, buts and maybes. But if RRR says nothing then the trolls say, oh they are quiet it has all gone wrong: why is there no guidance?
There will be areas of high grade and areas of low grade. The depth of the pay dirt will vary, as will the thickness. The rate at which the material is processed will depend on the amount of clays in the pay dirt. Some of the gold is "free" and some is "fixed". The fixed gold is likely in saprolite.
To process all of the material they will need to run it twice. No point in doing the second run till they have a crusher on site.
Nonetheless, to get an idea of what is possible you have to model something.
If they get 1/1.5kg of gold a day during the trial period, I will be more than happy with that. The best guide is the comments in Willem's report about the activity from the locals. If there was no gold, they would not be doing what they are doing. The only issues are what is the grade and what is the marginal cost? We can model it but we can't know it till they are on site doing the doings.
Anyway, as long as they have production and it is profitable, where is the downside?
DYOR
Https://twitter.com/StockheadAU/status/1785421606925316253?t=f2I8lVJlWk06GyL2nAxXVA&s=19
DYOR
Morning trolls.
Mako Gold - neighbours in CDI
https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02800692-2A1519998
DYOR
Doggie another expert who knows nothing. Tell us again about how you have to pay VAT on exports.
In case you haven't worked it out yet; if you have previously paid VAT and then you export, you claim back the previously paid VAT. No one gets charged VAT when exporting goods.
Hey Dukey, Mr "I am a man of my word". Are you going to pay that £1,000 to Christie's or not? Are you going to explain to everyone why you thought Musonoi was worth nothing and no one would be interested in buying it, just as Glencore was getting ready to pay $430mil for it? Are you going to explain why you insisted that RRR would never get its Kenya licences reissued just at the time it was getting them reissued?
DYOR
"El Limon The Company owns 100% of the El Limon Mine and Mill in Antioquia, Colombia. The mine is subject to a 3% NSR royalty on gold mined on the El Limon mineral licenses, to a maximum of US$2,000,000. Upon reaching
the US$2,000,000 NSR royalty threshold, the NSR royalty decreases to 0.5% up to a maximum of US$1,000,000."
"Initiating the restart of the el Limon Mill is a key component of our strategy to expand milling capacity. This move positions us for increased production capacity and sets the stage for robust growth in ounces produced, extending into 2024 and beyond"
DYOR
Https://finance.yahoo.com/news/soma-gold-reports-end-financial-090000520.html
"Finalize plans to restart the el Limon Mill to process both excess ore from Cordero and ore from formalized small miners."
DYOR
Neighbours in CDI.......
https://x.com/KoboResources/status/1785266903423824183
DYOR
Dukey, tell us again how no one was interested in buying Musonoi and how it was worthless just as Glencore was paying $430mil for it and also how RRR had lost its Kenya licences and they wouldn't get reissued just as they did get reissued?
You have been shown to be wrong on multiple occasions and yet you still prattle on. And the best one, "I sold out of RRR and made a lot of money and then I bought back in because I was greedy and lost it all".
Anyone with sense of morals would 1. pay Christie's the £1,000 he owes them and 2. shut up for a while.
DYOR
Amusing!
For non-shareholders who are not interested they sure post a lot of nonsense.
As point of interest: from that last fund raise, no TR1 has been forthcoming. Is somebody being naughty or did multiple people take the raise?
News, IMHO Burkina Faso swamps anything that RRR will get from DRC or from Australia. It will be nice to get progress on DRC and Australia but the biggest one in the near term is the production revenue from Bilbale. Once RRR/FASO gets the production licence in place and we can move to fully mechanised production we are talking serious amounts of revenue.
EG lets assume post costs and taxes FASO nets $1,300 per oz. To match up DRC, RRR/FASO would need to produce 5,769 ozs; assuming no costs in DRC. There will be costs in DRC and the net will not be $7.5mil. At 2 g/t RRR/FASO will need to process 81,767 tonnes. At 1,000 tonnes a day on a ten hour day that is 100 tonnes an hour. To produce $7.5mil net would take 82 days.
You can pro-rata it up or down. At half the rate, ie., 50 tonnes per hour then it is 164 days and so on. I have taken the costs, royalties, taxes and JV share into account.
DRC is nice for a few of reasons, it releases management time, we can get on with Luanshimba again and it gives us some cash now but Bilbale is much bigger.
DYOR
DYOR
DYOR