Member Info for Legalwolf

"Drill, drill, drill" and "options, options, options". That's the great position that OMI finds itself in right now. I think BG is doing the right thing in taking time to work out what the best approach would be for OMI. I can't see him letting go of PEPAS and El Pantano. The most that might happen is that a JV partner can come in for 10% to 25% and fund the drilling, but BG will want to maintain operational control. He might be willing to JV the other prospects, seeing as OMI isn't going to drill them until next year?

But we don't need a JV, because we are, and will continue to do quite well, without one. Who wants to go back to an MMA type saga again, where we have no control over operations and hence news flow. I don't want to go from "a hole every 4 days" for most of 2025, to being in a JV with a major where we get an update every 4 months!

100% ownership of multi million ounce projects sounds just fine to me for now!

On listening to it again, BG also states that the phones been ringing with "people wanting to invest, wanting to give us money and which is a nice problem to have."

I'm guessing Bogoff and Stoned weren't amongst the callers.

Good points about cash burn - I should have factored that into account. But cash balance as of January was stated as 2.2 million.

I still wonder whether an insti is taking up warrants. Seems to me to be a good way for them to build a position, rather than purchase on open market, and their money would also go directly into their new investment. The discussions with BG and OMI's brokers would help facilitate such purchasing?

Cash balance was 2.2 million in January. It is now 2.5 million. Does that suggest we've had 300k of warrant cash come into the company in just one month? If so, that is brilliant.

Just listen for yourselves:

https://www.youtube.com/watch?v=orm6zVfPeFg

Vicjain - the BOD do have options so will not miss out on the upside. Who would begrudge BG that either given he will be the chief architect of share price growth here.

I would expect some of these insti's to start loading up, and looking at the numerical value of the purchases, it would not surprise me if that process is starting. The insti's have a choice, start loading up now on the cheap, or have to pay multiples later, unless they can persuade BG to allow them to enter in some other way.

You also have to look how strongly gold is performing as an asset class right now, in comparison to stock indices, bitcoin and other assets. Where's the money going to rotate into?

"Hopefully that is true otherwise we may need to raise $1.5m to finish the DFS, not a major worry to be honest it’s a chance to get in cheaper."

As long as any raise is not accompanied by more cheap warrants. There are a lot of these already.

Did he also effectively rule out an imminent raise by opening the presentation by saying 'we have 2.5 million in the bank and it's always good to be cashed up as a junior explorer' when opening the investment case for OMI.

He's an honest and straight guy, so would he open by saying this in a pitch to investors, if he had plans for an immediate raise? I don't think so, but others like Dr R know him better and longer than me.

That's exactly what I was thinking TJ - he will have an idea of what some of the holes drilled since PEP22 will have produced, so to hear him say that was very encouraging indeed.

He knows he's got a major resource developing at PEPAS and the insti's that are contacting him in numbers are no doubt seeing that as well. It's now a case of how big PEPAS is. BG says "several times" larger than PEPAS 1. If PEPAS 1 is around 250k ounces, do the maths about what potentially "several times larger" could come to?

He also made clear that it's going to be "non stop" drilling at PEPAS so long as the results justify that. He also hopes to get to a resource by the end of the year. He also hopes to be parallel drill at El Pantano. I posted a few weeks ago about what would be the dream scenario for us here in terms of forward planning, and it was basically this plan that has been outlined.

So folks, it's going to be "non stop" between now and December at PEPAS and El Pantano. It could be an incredible run for the share price over these months. Our friends in Canada should be throwing the kitchen sink at this for what remains of their trading day, before UK market opens tomorrow and grabs the bargain cheap shares on offer right now, and starts the bounce in the share price.

Very much got his mojo back. It's a shame it was only 12 mins, because from start to finish, it was a very punchy and polished pitch from BG - 9/10!

BG is on top form so far:

"We are in top 10% of junior explorers."

"Next few months are going to be really exciting."

"Pepas is potentially several times larger than we think."

"El Pantano will run in parellel and could be an even bigger project."

"Lots of insti interest."

And he starts with "we have cash in the bank, 2.5 million"

Listening to that, there does appear to be some uncertainty re the DFC, in that even the DFC is debating what the future looks like under Trump it would seem, although there are reasons to think it might actually turn out to be a positive given that it was a Trump initiative in the first place.

The only concern would be if the next tranche gets delayed, whilst the DFC/Trump situation plays out. I don't know when exactly it is due, because its linked to milestones in the DFS, but not sure what those are. However, if the DFS is due for completion in Q2, then presumably the next tranche will be due before then?

Just don't show them your trading history - it will make you a suspect with a motive 😉

I think we are becoming rather spoilt and impatient on here in expecting RNS so often. I count myself in this but then have to acknoweldge that it's actually only been 3 weeks since the last results, but you would think it was 3 months reading some of the stuff on here.

It's clear that OMI is NOT going to give hole by hole commentary anymore, and will likely be more flexible in its approach. For example, we might get the first hole reported for PEPAS 2 if it's a hit, because that would be newsworthy, but if it's not a hit, that isn't newsworthy of itself, and you would wait to see what a batch of holes reveals, and then report results. So we need to understand that reporting will be context specific and not at fixed points. More widely, there could be other reasons as well, such as delays with assays, wanting to confirm forward plans, funding/JV talks, etc.

Arguably, PEPAS 1 is in the bag already, regardless of next results, in that we already likely have a commercially viable resource and so future drilling/results will be about the size of it? It's PEPAS 2 where results will once again take us into discovery territory?

Personally, I have ZERO issue with a raise and would actually be 'happy' if one was to be announced now. Especially if it allows existing shareholders to take part and does not involve cheap warrants. Because it would give me an opportunity to load up even more, and with certainty that I am adding at the best price possible.

I also believe that any raise here will be value enhancing, because funds will be used to drill some of the most exciting looking prospects you will find in a junior goldie. The results we had at PEP1 made light and easy work of the December raise, as well as clearning loads of warrants. I have little doubt that PEP 2 results will make similar light work of any raise that takes place beforehand. If we had a raise, it would make this a screaming buy.

So we are in great situation either way. I'd expect that with $2.2 million, we have plenty of cash to start putting some holes in PEPAS 2 without needing to raise. Therefore, I would expect BG to raise at a later date and at higher prices. But whatever he chooses to do, I'm happy and here for the long run.

From various posts on here, there does appear to be some uncertainty about the DFC and Bres post Trump.

I do hope that MR addresses this issue. I personally don't see why it should and the grant payments, or what is left of it, are so miniscule in the overall scheme of things.

And on the contrary, wouldn't graphite be of interest to someone like Elon Musk for his enterprises like Tesla?

Late reported trades continue to be interesting.