Member Info for lootgaloot

4p? You're either deramping or haven't done the maths...

The EG01 anomaly alone is estimated at 450m x 130m x 1500m; that's 200 million tonnes, at a strip ratio of 3:1, about 70 million tonnes of ore. Assume 1% mineralisation, 700k tonnes of copper.

At current copper price of $9.50/kg and cost of mining/transport/treatment/refining of $3.50/kg; I calculate US$4 billion (£3 billion) profit at today's copper price, over the lifetime of EG01.

If EG01 has a 25 year life of mine then a net present value @ 7.5% discount gives a current valuation of £500 million market cap or 38p per share.

Copper ore normally comes with other metal content adding value but not included in this calculation. I also do not include potential copper or lithium from other mines in the portfolio.

I'm going to enjoy watching this bunch of buy-to-let spivs crash and burn. Roll on high interest rates and roll on the death of parasites like Avation.

@news, Castillo normally report visuals before they release the assay results (at least that's how they did it at Big One). Visual cores could be reported relatively quickly.

It looks like the raining season has already started http://www.bom.gov.au/qld/forecasts/mount-isa.shtml and because these holes at Arya are not so deep, my guess is that drilling is now complete and we could get visuals very soon. IMO they wont want to wait until assay results, the longer they wait the greater chance of news leaking.

I'm expecting a trading halt on ASX to be announced on Monday morning in Australia (Sunday night in UK). Or else they will just go straight to announcing the visual cores. It will be interesting to see the price movement tomorrow and Friday. Certainly we've had no indication so far on how the drill is going (good or bad).

Yesterday's 7% drop on ASX just takes the price back to what it is in London. I don't see that drop as indicative of anything. If bad news had leaked it would have dropped by much more. There's a group of derampers on the Hot Copper board working together to very effectively influence sentiment. I don't usually shout deramper but I'll admit it's the most concerted and sophisticated deramp I've seen in a long time. The truth will out soon.

https://wcsecure.weblink.com.au/pdf/CCZ/02441809.pdf

Looks like the wet season is about to start...
http://www.bom.gov.au/qld/forecasts/mount-isa.shtml
Can't be many days left to drill.
strong chance shares could be suspended on ASX this Monday.

https://wcsecure.weblink.com.au/pdf/CCZ/02440156.pdf

Based on the foregoing, there is now ample data to fully map out an inaugural drilling campaign for the Luanshya Project to test the identified targets and commence negotiations with drilling contractors to formalise a timeline.

https://wcsecure.weblink.com.au/pdf/CCZ/02438022.pdf

"CCZ is the only third-party to have reviewed extensive site visit reports to the Litchfield Lithium Project, arranged by the Vendor Group’s geology consultant"

Odd that they make this statement so prominently. There's been a lot of talk on HotCopper board regarding why Core (CXO) didn't take the option. It's a valid point. Looks like CCZ are making a point that it wasn't offered to Core.

AIM suspension should have happened at the same time as ASX. Management have severely weakened their leverage to negotiate funding by allowing share price to drop to basement level. Like playing poker with your hand laid out on the table for all to see.

11% up on ASX on 5 times it's usual volume.

https://wcsecure.weblink.com.au/pdf/CCZ/02436663.pdf

Looks like 5 RC drill holes. Taking a more cautious approach to prove concept. confirmation that Arya is inaccessible by road hence need for helicopter transport.

Has news leaked? Only thing I can think of is drilling finally started at Arya or Lithium assays?

@Sharetime43, my advice is to take your time and do some research. Very little news is due between now and the end of the year and if past price action is a guide, expect this to drift lower.

The company have a few irons in the fire but nothing concrete. In fact, I'd say each prospect is highly speculative at this stage but it may only take one of those prospects to come good for this to pay off.

It looks like there may be some value in the stockpiles; discarded material from historical digs. Maybe £0.5m if we're lucky. Is that even worth selling on for processing? The lode we are exploring looks like a damp squib, no wonder they continued to drill the same spot. A cynic may think they kept on drilling the same area just to get reasonable assay results so that they could get the fund raise.

They have sat on these results for several weeks knowing they were poor. What does that say about the recent lithium licences. Starts to look like desperation to shift the focus away from Big One. Our only hope is next year's drilling to the north but I'm not hopeful. A lot now rests on Arya.

Very disappointing, system only runs for 400m. Only hope is the drilling planned for next year. We may get lucky but Big One looks like it's not commercial.

@Legalwolf, you may be correct as the best map I can get of the tenement is on page 4 on this report...

https://castillocopper.com/wp-content/uploads/2021/02/CCZ-SI-Capital-11.01.21.pdf

It shows Big One (Historic Deposit) located well within the tenement, about 6km from the boundary from my reckoning. Current drilling campaign extends westwards for 2.2km; so it's a bit of a stretch to say we have reached near to the boundary.

Who knows what will be announced around midnight tonight (Wednesday morning in Australia). All I know is the acquisition of more mining licences has come out of left field and not entirely welcome in my view. If these are new licences unrelated to existing projects then the board needs to justify the Broken Hill IPO and why the Cangai mine is still waiting for development.

So far progress has been very slow, I would have thought extra licences is the last thing we need.

I must admit I was initially disappointed with the latest RNS. Especially as it wasn't the assay results we were expecting. On reflection, I'm now inclined towards a more optimistic view. Firstly, the key word in the RNS is 'option'. This suggests Castillo can CHOOSE to acquire the exploration projects depending on certain conditions/events/results.

So here's my wild theory and I only have until Wednesday to find out how close I am to the truth. I believe the delay to Big One assays is because the results are part of a bigger announcement. In other words, drilling has indicated a larger resource which extends beyond the current licence and into adjacent land. It therefore makes sense to acquire an option on the neighbouring licence.

If the exploration projects are in some far flung location, unrelated to current projects, then why not just purchase the licence if that's what the board believe is best. An option only makes sense in the context of a current project which has demonstrated potential and which may need further drilling next year to confirm.

This is not only my best guess but it is my preferred outcome. I really don't see the sense in further licences. What does that say to the market about the Broken Hill IPO? You're basically saying we got rid of Broken Hill because we don't believe it's as good as our two new licences. How would the market react to that?

"option to acquire two material exploration projects".

Do we really need more exploration projects? And where are the drilling results we were promised for last week?

From what we know of Big One, it really isn't be too much to expect Castillo to open cast mine and truck the ore to a nearby processor. I'd be very disappointed if we were still 'proving up' Big One in five years time.

Arya is a different prospect, assuming there is anything to mine. It would require the money, time and expertise of one of the Big Boys. But there is still plenty we can do until then. Again, I'd be disappointed if our only strategy was to wait for BHP to swoop in.

At the moment we have more pressing concerns as I don't see an immediate end to this bear market in base metals. It was perhaps optimistic to expect the world economy to just bounce back from lockdowns. We may have to wait a couple of years before the sector regains it's vigour.

Perhaps we were fortunate to raise the necessary funds earlier in the year and maybe now is the time to be greedy while others are fearful. I'd still prefer if we were over 3p and Arya still has the potential to disappoint. Nobody said it would be easy but by do we need some good news.

Assume it will be around midnight tonight; just before Australian market opens. So far Big One has failed to have an effect on share price so I'm not expecting too much. I'm very disappointed that it now appears they will not apply for mining licence this year. I'll be looking closely at the results to see why. I can only assume these results are OK but not as good as expected; hence more drilling required. I hope this does not turn out to be one of those companies that spend all the time drilling without ever developing a commercial mining operation.

This statement from 9th August...

"As there are still multiple targets at the Big One Deposit which are yet to be drill-tested, development work will continue. Based on results to date, the Board remains committed to model up and estimate a resource to the standard of the 2012 JORC Code resource and, if justified, apply for a mining lease."

I guess a pedant would say the above doesn't explicitly say the JORC and licence will follow the current drilling campaign. However, I think anyone reading the statement would have a reasonable expectation that application for a licence would be considered after this current drilling campaign. If we have to wait another year, this should have been stated more clearly.

Anyway, we shall know the answer soon enough. If we have to wait for next year's drilling campaign before we apply for the mining licence then this should have been more clearly stated.