focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
There will be no "twist in the tale" this time around imo -> all the have are promising targets nothing is proven and there is certainly no MRE at present for Disko.
Until there is a delineated resource or material assays that can be assessed by the market Disko is a speculative prospect and the value of the Disko will be low i.e. Disko's book value in the accounts is ~9m. So in other words drill, drill, drill... and get a a maiden MRE -
What do you think the twist in the tale is?
There are a few possibilities, imo.
1.) Kobold don't drill and Bluejay funded by asset sales drill
2.) Kobold dot drill and Bluejay add-on additional drilling (through funded by asset sales
3.) Kobold sells their stake to a major and they conduct the drilling
4.) Kobold drills and Bluejay sells part of their 49% to a major (and eliminates any funding costs of future exploration) - Turquoise Hill type.
Thanks for letting me know Laverda.
Have to say the Neile deposit last drill results were pretty impressive...so its lithium for show and gold for dough! The future for Kodal is looking excellent (hopefully not many more bumps in the road) this will take off.
Highlights:
· RC drilling returned wide intersections of gold mineralisation and includes zones of high-grade gold mineralisation including:
o 33m at 2.33g/t gold from 3m in drill hole NLRC035, including 6m at 7.99g/t gold from 6m
o 12m at 5.96g/t gold from 6m in drill hole NLRC032, including 6m at 11.45g/t gold from 6m
o 6m at 6.51g/t gold from 87m in drill hole NLRC029, including 9m at 3.02g/t gold from 24m; and
o 9m at 3.76g/t gold from 99m in drill hole NLRC038.
· RC drilling has confirmed drill intersections extending to the north and south along strike of the previously defined gold mineralised zone.
· A new western zone has been intersected by these new drill holes and remains open along strike.
Agree, Dundas shouldn't have been a kitchen sink and even at it's current grade and tonnage is a quality asset but Jay doesn't have the cash to do much with.
Re: the raised beaches and shallow marine area - a geo was interviewed shortly after the kitchen sink RNS and he stated that he had been to Interlak area (raised beach) and stated the quality of the materials there is top notch... which goes back to prior point we are far far away from actually producing anything and generating cash to actually do things with our extensive portfolio.
IMO, three words, Dundas, time and money...
Dundas was the focus for a very long time and that literally sucked all the company resources up. If Bluejay had put the same time, money and energy into Disko that they did for Dundas, I would like to think we would all be sitting pretty at this point.
It's there in the previous posts Hemo, the whole asset sale narrative was pushed based on the initial RNS that stated Disko would be the sole focus which sparked further conversations that disappeared off down rabbit holes...
I agree with you, we need to wait for the new strategy to figure out which way the company are going and how they are going to resolve our current position.
Not sure the proponents of selling all our assets is good news, I get the focus on Disko given the potential of what's there... Think about it, we will only own 49% of Disko (assuming Kobold do drill next year) we don't control it! We will effectively be at Kobolds mercy with no fall back.
Hypothetical Scenario for the above we sell our other assets, Kobold decide to drill in 2024 (affirming 51% ownership) but then decide to do nothing in 2025 - where does that leave us - up a brown coloured creek without a paddle IMO.
Selling our assets, paying for drilling ourselves and maintaining the controlling 51% stake within Bluejay - is a potential way out but that is also very risky especially when Kobold may not want to pony up for future expenditures (unless a major takes out Kobold's stake).
Best case we sell off or farm out (min-max);
1.) Enonkoski: $4 - 6m
2.) Hamaslathi: $3 - 5m
3.) Outokumpu: $2 - 5m
4.) Dundas: $7 - 10m
That amounts to $16-26m USD for the
I think we need to keep, Kangerlaursuk and Thunderstone as fall back or reserve plays per the hypothetical scenario above - otherwise it's literally like betting it all on black on roulette.
Do we know for certain that they will be selling all other assets (now presumably non-core a la Dundas) or will some be sold and the others be put under care and maintenance?
The rationale for the question is Kangerlaursuk isn't that far from Disko Island...
Hi All,
New Kod SH (for the longer term) here. Anyone have an updated view of the NPV based on increased resources from recent drilling and updated Spod prices.
Note: Only Npv I can find is the USD557m based on a 2k Spod price and I think without updated resources... (I could build the DCF myself but it's Christmas and I am feeling lazy :-) )
Maximum valuation is probably 90m including Disko and Dundas. excl. Disko max 75m. Yep, I am saying our 49% of Disko is worth 15m.
Eitherway, selling some of the other assets off in short order would be pretty much akin to a fire sale... so max realisable value is probably 30-40m for all other assets and even then I think that's too high.
Aston: "2. For those who think there will not be a 2024 field program for Disko, you might very well think that; I couldn't possibly comment. Moreover, there could be a twist in the tale when the announcement comes out but let's wait and see."
That's a whole lot of nothing right there... Care to be a little bit more specific ? - afterall this is a chat board and people can speculate.
Pure speculation here, but perhaps Kobold had a hand in the coup de tat... Strategics aside it's the only thing that I can think of, Kobold probably weren't too happy with RE (for some reason) and they brought back familiar faces who are a known quantity (despite their previous track record) and where they knew "goals" were aligned. Otherwise, RMc, Sondergard and Troy could just be opportunists.
Agreed Hemo re: bullish on RE and putting timelines on strategics was a bit schoolboy.
I do hope you're right re: sales of assets to fund Disko development but the fact that we are moving all in on Disko when all the workthat is due to be done is all Kobold in 2024 - so what will Bluejay be doing beyond managing Disko drill operations. There in lies my biggest concern why solely focus on Disko if Kobold should be funding for 2024 - really don't want another Dundas situation where all.our.eggs are in one basket.