Member Info for JimBL

Obviously not, as it's RNC, a Canadian miner and at Kalgoorlie not Warawoona!

Conglomerate in the Pilbara has a very very long way to go, before it's even confirmed to be a viable resource and if it even exists at any profitable level. That has been DR's concerns all along. Relevant snippet from elsewhere clarifies -

“The nugget effect for Pilbara gold poses a bit of a challenge, making it difficult to define a mineral resource estimate, therefore, it’s hard to encourage money from investors because you need to obviously prove that you’ve got something worthwhile to invest in.” In fact, news of Novo’s first few exploration results fell flat and the market responded with a savage sell-off."

Bulk sampling underway. I do wonder if this is going to follow the prospective AA/Kumba deal for Mabega which it resembles so much. Option to buy I would presume for the third party funding this?

Savvy indeed. DR doesn't buy into the whole conglomerate hype and prefers to focus on recoverable in the ground gold. Win win whichever way this plays out.

No idea. But the eye watering fact is if Nayega is retained, and manganese holds current value, the stage 2 ferro manganese numbers will be make $100 million look like small beans. Feel sure that will be taken into account also if - ever- a disposal is discussed.

I believe the last estimate was a dmtu FOB cost of $1.80 for stage one. A dmtu is 10kg or 1/100th of a tonne.

So, (a $5.80 price) gives $4.00 per dmtu potential profit x 100 x 250000.

At current prices the numbers suggest a $100 million venture just for stage one. Pretty damn good time to get this license approved and to get cracking.

I'd say so. Similar type scenario to the failed Kumba/AA partnership for Mebaga IO project.

I doubt that will happen. I expect it to be bought out long before.

Is the third party AA? If so, then this could have the makings of a deal like we had for Mabega prior to the IO market drop. Ultimate end game would be a purchase of the asset by AA. A good sign when someone else is prepated to foot the bill for work done.

Getting to the core of the issue...

Sharetalk, Dec '15 - Q: TheDirectors own over 25% of company shares in issue and have paid when funds have been required. I would say that is a massive boost for any shareholder or investor. Do you think in the current market this is being recognised? A: Directors are fully leveraged into the company and have supported it at every raise. I am not sure if people really appreciate the effort Directors have put in with our non-execs having not been paid for 2 years and all senior management on 75% salaries plus contributing cold hard cash to the business. Having said that, we are doing it for a reason, as we believe it will be worth our while.

2015 - "Financing The Company is in on-going discussions with four parties regarding the potential financing of Nayega. Three parties have tendered indicative proposals to the Company. The Company has progressed negotiations with one party to a level where the next step would be to sign a non-binding terms sheet if the Company chooses to pursue this opportunity. This proposal would see an equity investment into the Company at a significant premium to the current prevailing share price in return for a substantial stake in the Company and would see Nayega fully funded into production. Negotiations will continue in the coming month with the aim of concluding a package slightly ahead of, or simultaneous with, the award of the mining permit. However, there can be no guarantee that any financing negotiations will be concluded or, if they are, that they will be on the terms expressed above. The Company is also pursuing a project debt facility for the accelerated starter option."

Had faith in DR since we were 'Ferrets'. Pretty sure of his plans and that they don't include not making money.

226 million shares - of what? No idea what you are referring to.

If you read the language used when the deal was done - as well as the Board's prior history - it is very much angled towards a TO, at some point. DR & Co have sold business to the value of $1 billion prior to this. Some of the recent information did suggest the possibility of using some of the CAI shares to fund KRS activities. Clearly that could only mean Togo (Nayega) at this point. I doubt any of us would argue against less than US$14 million of that value being allocated towards Togo, given the additional revenue streams it would open up. We would profit from CAI and then see KRS move forward in its own right, which is long overdue.

Absolutely. And as stated, the Red Cloud synopsis is based on only the Klondyke acreage.

Because you are pricing them at the current CAI sp / Mcap or thereabouts.

Not sure I follow your logic, especially with any numbers based around the current CAI sp which is very unlikely to be the case in the future. If Tomat02 numbers are correct then simply calculate 320,000 CAI shares by an anticipated sp. Even at 4 cents the number is higher than what you figured (�7247).

Bell Potter ended their analysis, last December, with:- "M&A and commercialisation options It is still early days at the project and for the company. However, the Pilbara Region is alive with interest and exploration activity, albeit predominately for conglomerate gold. The recently consolidated gold project is likely to attract attention. The project is only 65km from Millennium Minerals� (MOY.ASX) Nullagine Gold project and consequently within trucking distance of their plant. In addition, Haoma�s Bamboo Creek operation is located a similar distance away and some consolidation in the region is possible. The recent interest from North American gold producers and explorers, albeit predominately for conglomerate gold, shows another potential source of interest. The recent JV and appearance of Novo Resources (NVO.TSXV) on the CAI register opens up a number of potential synergies should Novo be successful in its conglomerate gold exploration and look to develop a project in the vicinity. In addition, as Novo owns the 589,000 oz Beatons Creek deposit located only 55km away. Novo has the market capitalisation to support a new gold project in the region."

<1 million ounces, which are already targeted / expected from Klondyke alone.