Member Info for Legalwolf

"They are historical Legal…I never take these into account..."

Why? That's just non sensical. In that case, all results are historical. It's like me discounting Havieron results from when Newcrest were drilling it. It makes no sense. The gold doesn't disappear simply because it was drilled 3 years ago.

There is NO reason to discount the APTA results by virtue of when they were drilled. Bonkers

Why is there SO much (new) attention all of a sudden trying to talk down the stock, or question the LTHs for their unwavering beliefs. Why not just let us be and head off to a stock that you do believe in?

It's simple - OMI is clearly a newsworthy and attention worthy stock, so even the folk not invested in can't seem to get enough of it. We understand the feeling fellas, so why not just jump on board.

"As for all the other sites, there are still NO assays, which means it’s all hearsay still right now. (Hence the annoying ramping)."

This is totally incorrect. There's been no less than 38000 metres drilled already at APTA with assay results reported. We've also had some assays reported from some earlier drilling at North Pepas. They seen enough in the cores at El P to RNS that they believe they have evidence of a substantial mineralised system. But assays are delayed because they have had to switch labs and/or delay with the lab.

Don't know what your motives are GGP, but you don't seem all that clued up when it comes to OMI.

Not sure what you mean by regurgitation, but at times like this, you have to remember the fundamentals that got you into the stock in the first place! Otherwise, if you can't revisit and take solace in them, then it's not really a true conviction hold, but a castle built on sand. Of course there are negatives and no explorer can escape them. You can't control MREs coming under expectation, market over reactions, gold price volatility, bad drilling results, red tape, delays, corruption, licence issues, etc.

The single most important comfort blanket for me right now is that OMI has £13 million in the kitty with which to ramp up operations. The portfolio of projects is second to none. Individually there is risk in each of the projects, of course, but across the portfolio, the overall risk of OMI not making a major discovery with this £13 million is very low imho. As I say, with APTA, some might say that there is no risk because APTA is already looking like a significant discovery!

I believe that if OMI does get Pepas into production, then it has a great chance of being able to make and fund a second, much larger scale discovery into production. Almost the same situation as GGP with Telfer and then Havieron!

I've held the stock since the 2s. Not let any go and not been tempted to at any point, whether on the moves up (and with 15 bags from initial buying point) or on shakedowns like the current one (taking a 40% haircut). I'm going to see the job through, come hell or high water, which basically means, seeing what OMI does with these fantastic projects and the £13 million. I'm VERY confident they will make discoveries(s) somewhere within the portfolio with this cash. Until this scenario - or my confidence level in it - changes, I don't see any reason to change course, belief or optimism. It's not hubris, but just my risk analysis and appraisal of where the stock is at. As a GGP holder and presumably winner - you will know that there are no easy wins, and you have to sit through a lot of pain and turbulence, to make life changing money.

So I have pitched my tent very firmly in the OMI camp and intend to remain here until I see reason not to. With a MRE in the bag, £13 million in the kitty, about to ramp up exploration across SIX appetising projects and with gold at record levels, I reckon I'll be here for some time yet (barring any black swan/calamity).

Hi Tgr - yes of course there will be some capex and it will need to be found. The capex has been estimated to be in the region of $15 million. But even if it is twice that amount, tbh I have not given it a second thought. This is not being blaise, but because of the following:

1) There is no way BG would have embarked down this path if he thought Capex would be a problem. You have seen only today him tweeting about funding and this being where Pepas is unique.

2) The economics of Pepas mean that I have little doubt that OMI will easily secure the capex. $15 million or even $50 million is really nothing when you have annual profit of circa $120 million at $3k gold price. The payback period is literally less than 6 months.

3) I have little doubt that on the economics we have been given, OMI will have SEVERAL options for funding. Just some of the possibilities are:

a) Outright sale of the project or a stake in it.

b) Prepaid gold agreement.

c) An agreement with mining partners.

d) Taking out a loan from funds specialising in this area.

e) Raise the cash through dilution - we've already done it at 17p. But as we approach production at Pepas, there is no way the share price will be at these levels, as that just wouldn't make sense if the company is about to make $120 million/annum. Raising the capex when were are much higher levels shouldn't be prohibitive.

Therefore, and honestly, I'm not worried about the capex in the slightest, as I don't see it as an issue at all, unless the $15 million figure has been drastically undercooked! The risk that I see is more one of getting through all the red tape and finding the necessary partnerships, as well as obviously finding more Pepas's.

No solidarity in this game - just pure Wolf of Wall Street stuff. I keep saying that you can't change bb, and have to roll with punches and factor such behaviour and antics into your game plan and strategy. There's absolutely nothing you can do when there's a shake on or sell on news events in terms of folk coming on here and spreading fud and fear. This is part of the game, and part of their game plan. Or in some cases, they just like to wind up for the fun of it.

Similarly, you can't help the obvious rampers who shoot for the moon at every positive tick on the chart or piece of news. If you are on the bb long enough, you are able to identify for yourself who falls into what category. Who you think has credibility and is worth listening to, whether they are bullish or bearish. Who are the trolls, mischief makers and fudsters. Can't do much about them though other than to filter, not engage and/or warn others.

Being a LTH on AIM is a real gruel at times. You will experience some real highs and lows on the way, and all sorts of antics.

Ultimately, the ONLY thing that will help you, and save you, is to have chosen the right stock, at the right time, in the first place. If you made the right call, then you will still take some hits along the way, but should live to celebrate the tale.

The weeky and monthly charts can often help to cut out the noise. If we can develop a wick at the bottom of the weekly candle, that will be a good start. Seems to be stabilising on TSX as well, which is good to see.

The reaction we have had would be what you might expect if we had announced a MRE on a deposit that needs the usual full mine build, where clearly it's uneconomic at that size. But you do wonder how many people actually appreciate that Pepas is literally a dig and transport operation, and never intended to be our flag bearer in terms of size? Even Durrett's comment about "ugly maiden resource" was bemusing to me tbh!

If you were genuine and genuinely interested, of course I could. But why am I going to waste my time with a de-ramper. You can go through all the APTA RNSs and see the results for yourself. Dr R has often posted them on here. That's already a discovery and it's just a case of establishing its commerciality and doing the MRE on it. You also have the RNS re El P and the company having established a substantial mineralised system. You also have the RNSs with soil sampling and initial results at North Pepas.

Five - good spot re the potential cup and handle developing.

Yes de-ramper, it's all in RNS!

It's very simple - if management take Pepas into production, there is NO scenario under which our investments here fail from these levels. We are virtually guranteed a re-rate based simply on the cash flow projections from simply taking this initial sweet resource into production. Never mind the rest of the portfolio.

But it would be simply ridiculous to believe that this 220koz will represent the height of the company's achievements from this £13 million it has for exploration. Not when you already have a major discovery at APTA, nor when you are on the verge of major discoveries at El PANTANO and NORTH PEPAS.

Keep the eye on the bigger picture - and what BG is building here. It's a monster in the making!

Just accumulate what you can at these levels. Very shortly the market will appreciate the true reality and significance of what has just happened, and look beyond the headline figure of the MRE and clock on to what it actually means in terms of "producing profit". Then if or when OMI hit more gold around Pepas from this exploration ramp up with two Rigs turning there, boom!

Not that there's anything wrong with 220koz - it will generate HUGE amounts of cash for OMI - but let's also not forget that there's a LOT of drilling that will be done around this deposit between now and when it goes into production. BG has made clear there are more Pepas's to be found and also the feeder source. That's why we currently have a rig turning at North Pepas - and will soon have two Rigs. When they hit some more gold, suddenly you're talking a second deposit which is likely to be much larger than this 220koz one. Suddenly you're looking at a total MRE of over 500koz.

Do the maths on that - it's INSANE.

As I say easy money from Pepas for OMI, and easy money for shareholders from these levels.

Taken from the Candian bb:

Pepas MRE: indicated 1.14 million ton, 5.46g/t Au, contained gold 201,000 oz. open pit

throughput of 250ktpa, gold price (USD$3,000), payability (99.5%).

Au recovery (88.75%)

Transport cost (USD$2.50/t) Processing costs (USD$60/t), G&A cost (USD$10/t) and Mining costs (US$2.05/t, US$3.40/t and USD$3.50/t for oxide, transitional and fresh material respectively).

Cost: 2.5 + 60 + 10 + 3.5 = $76/t

250ktpa = 250,000/365 = 685t/day

685t/d x $76/t = $52,060/d

Production:

685 t/d x 5.46g/t x 88.75% = 3,319 g/d = 117 oz/d

117oz/d x $4,000/oz = $468,000/d

Profit:

468,000 - 52,000 = $416,000/d

MONTHLY PROFIT = $12 million.

ANNUAL PROFIT = $120 million

This is based only on $3000 gold folks! Imagine the upside if gold is at $4k or $5k or $6k when Pepas goes into production. What about the upside from any new discoveries.

This a great share, with CRAZY potential. It now has a commercial production project which is going to to be a ridiculous cash cow as the above figures demonstrates. The company and its fundamentals just got a whole lot stronger and the market will HAVE TO catch up to the reality once it appreciates what has just happened.

All based on the following:

- 220koz MRE in the bag for Pepas ✔

- Now officially a development project and looking to move it quickly into production ✔

- With MRE done, now have £13 million to "ramp up" exploration as set out below: ✔

- Second Rig on its way to North Pepas with a 5 day turnaround for assays ✔

- El P drilling programme nearing completion and initial assays to land any day now ✔

- Aeromags due to commence shortly over El C and Apta ✔

- Followed by MRE drilling at Apta - guaranteed world class results - MRE likely to be in the 1 to 2Moz range ✔

- Maiden drilling at El C - huge target with two porphyrs ✔

- Mapping and sampling work at LV - could be the jewel in the crown ✔

- Orchestrated drop to 23/24p to shakeout weaker hands, allowing for a strong move back up on all of the above newsflow ✔

Nothing better than a reversal after all sellers taken out, especially if you are swing trading (which I am not on this particular share). But easy and quick money to be made here from current levels. All imo and GLA

Lots of buys at 8.5p. Might now be a case of buyers taking out the remaining supply between 8p and 8.5p. Then moving onto the remaining supply between 8.5p to 9p level. Does look to me like the Market is slowly but surely closing out this trading range betwen 7p and 9p, and is now once more in the upper half of this range. Hopefully, a solid foundation being built for a big breakout into double figures over the coming months. GLA

Selling volume drying up - big boys have scooped up!

I have 24p as the signal for a reversal. Anyone scooping up below 24p is going to make an instant gain in only a few trading sessions. All of the major holders still holding and smart money buying the drop.

Another RNS expected very shotly.

As for the charting nonsense, we are still very much in an uptrend. All we need is for the bullish green reversal candle to develop, signalling the bottom and we will get a sharp reversal. Smart money just scooping up what they can, as are the fudsters on here, which is why you are seeing large buys going through. Great trading opportunity when you consider £13 million in the kitty and active across so many projects - with promising sounding El P assays to land shortly.

It's clearly a big shake. There's a lot of buying coming in on the drop. Once all weaker hands have been shaken out, you will see the reversal.

Easy money from here when you consider OMI is active across SIX different projects right now and is fully cashed up.