Member Info for mattlilly

Come on Quady they couldn't boot him...he owns or influences 17% of the Company...hed be a lose cannon at a time when they cant afford it...if youd been in Boardrooms of PLCs you'd have more savvy...

I get your point easyp but when I buy a stock I always have an exit price in mind, i.e. to sell up to half when the SP doubles on what I paid, which has been possible at least twice last year...

If you'd bought SOLG at the bottom last March you could have made a 330% profit last October and even at the current depressed price you would be up 116%, not far behind BHPs 120%

And if you had bought BHP at the bottom and sold THEM last October you would only have made 90% vs SOLG 330%.

Finally, at 2078 and 22.1 respectively, I am quite sure which share has the better capital gains opportunity right now, ESPECIALLY if BHP takes an interest, but as always, have an exit price in mind, take your profits, reinvest of the price falls back and be happy to "leave something in for the next guy..." Its never wrong to take a profit...

The post you quoted lunch money was a reply to Miagi...

However, reading your posts with interest this morning...

£25m in June is doable and makes sense, especially with participation by BHP/NCM. Valuestone and other instil and assuming the SP will be higher then anyhow. We should surely be able to get close to the market price for such a modest dilution.

Also copper is very strong and three major US banks are touting a superbull market in commodities...we could well retest the all time high in copper before the summer.

I'm sure this will be in the minds of the Board.

However, I think there are other possibilities.

I still believe a JV with BHP or NCM for Alpala is the smart way forward, bringing in their own funds and borrowing against their credit rating. The East Coast of North America (Chicago, NY and Toronto) are becoming more interested in lending/issuing Bonds for mining projects, especially as they have a ready secondary buyer in the Fed...

Also, I think an IPO for Green Rock Resources would be a smart move...issuing say 15% shares in what could easily be a £200/300m flotation (backed by a robust MRE/PEA of Porvenir) would raise $40/60m, more tan enough to drill the three Green Rock projects, especially Porvenir but also Shrug and Cisne Loja...

And finally, although the further delays in the PFS are for an absolutely sound purpose, it increases the chances of a bid, especially while the SP is at these stupidly cheap levels and with greater certainty after the April 11 runoff.

In conclusion the Alpala Committee/Board have made a wise decision in taking all the time necessary to get the Alpala project properly PFS'd and, as I've said earlier, I see no reason why the DFS and Funding package can't be finalised in parallel so that a start date of early 2022 can be retained.

But the stretched timescales leave SOLG at risk of being a 'sitting duck' to a determined bidder, when you look at the market reaction on 8 February.

All in all, a much more positive future with the Election and the MD&A out of the way, hence my further purchase late Friday.

Closed at 23.5p equivalent in Canada...

So lets be clear Miagi...

As a holder of Solgold you are arguing that we need a placing...?

While I'm trying to put people's minds at rest, as indeed the Company is...funded into 2022...

The point you're missing Miagi is that the FNV monies were drawn on 11 May 2020 and we don't know how much was spent on Alpala of the $100m in the following 7 weeks...

The burn rate is irrelevant...the numbers are in the RNS and even if they were running short they could curtail the Regionals...

The key thing is that Alpala is fully funded to DFS....

If there's an absolute shutdown, CASH operating costs are less than $2m per quarter...

Once again this is a standard consideration required in MD&As...

If you were to look at Cornerstones they are bust today, but they will always say they can raise cash through equity...

If you read it more carefully Miagi...theres the $50m undrawn from FNV...

$44m = $94m...

Prefer Rocky Balboa vs Apollo Creed

Ive got him filtered so I wouldn't know, but they're working from less detailed info than the MD&A

For anyone who doesn't know, the MD&A is far more comprehensive and detailed...you should always read it rather than the Quarterly RNS...

Heres the link but you can always get there from the Solgold website Financial Reports...

https://www.solgold.com.au/wp-content/uploads/2021/02/2020.12.31-MDA-2020-to-2019-FINAL-1.pdf

Read the Company statement in the MD&A...Perez has lost...

"At the time of writing (12 February 2021), 99.96% of valid voting ballots have been counted so far with Andrés Arauz from the Centro Democratico Party securing 32.70% of the votes for President. In second place is Guillermo Lasso from the Movimento Creando Oportunidades (CREO) party with 19.74%, closely followed by Yaku Perez from the Movimento Plurinacional Pachakutik party with 19.38%."

Thats a standard 'going concern' statement...it was written by an auditor and the Company has to agree it, but it means little because the Company has total freedom to manage its own cash resources...

I've prepared, written and audited loads of these...don't get to out of proportion...

Instead, read my detailed cash analysis in the post below and relax...

Guys...please do not worry...read this carefully...it will put your minds at ease....

It sounds like the Colonel has got it completely wrong...

Has he actually read the MD&A rather than the RNS?

There was $91m cash at 31 December

Only $24.6 was spent on Alpala in six months to 31 December

$31m is planned for six months to 30 June, so thats $55.6m of the $100m FNV monies...which leaves $44.4m, or $94.4m if the extra $50m is drawn down...

$91m less $31m leaves $60m, but Operating CASH costs are c$4m for six months, so lets say $56m

The Planned expenditure on Regional projects for six months to 30 June is $21m, so that leaves $35m

So....there is no need for a cash call for Alpala in 2021 and...

There is no need for a cash call for Regional projects either...

Which is why the Company says they are funded into 2022...

NO NEED FOR PLACING...

Its not rocket science...is the Colonel trying to stir things up unnecessarily talking about a $100m fund raise...?

ABSOLUTE RUBBISH...relax...things may be taking longer but we're fully funded and in any case there is a risk of a bid while the SP stays this low...

PS As I said earlier...I had an hours telecon with a Senior Exec on Monday...I was hugely comforted by that...and the only two possible concerns I still had: Election; and cash; have now been put to bed...

Trust me...

Have a good weekend all...

What Chinese Loan...?

See my detailed note above on the MD&A sire...

Highlights from MD&A Report

Cash $91m at 31 December

Publication of the PFS is not expected until Q4 2021

Total of 48,000 metres further to be drilled at Alpala in 2021
20,700 at Porvenir
2875 at Sharug
2875 at Cisne Loja
5750 at Blanca
8500 at Rio Amarillo

12,000m planned drilling program at the high-quality Varela porphyry copper-gold target, planned for commencement in Q2 2021

At least three additional areas of surface mineralisation are planned for drill testing in 2021 as La Hueca remains a priority target showing further potential as a copper gold porphyry discovery.

Stream sediment geochemical sampling at Chillanes has returned the highest copper results from any SolGold project in Ecuador with best results including 1,140 ppm Cu and 1,110 ppm Cu.

At the time of writing (12 February 2021), 99.96% of valid voting ballots have been counted so far with Andrés Arauz from the Centro Democratico Party securing 32.70% of the votes for President. In second place is Guillermo Lasso from the Movimento Creando Oportunidades (CREO) party with 19.74%

Ecuador’s Constitutional Court approved the popular consultation on mining in 2020, but noted that it would only affect future projects and would not affect current granted licenses.

Planned expenditure for six months to 30 June 2021

Cascabel US$30.6 million

Regional Projects $21 million

Total $51.6m which means after Cash Admin costs leaves c$35 million spare PLUS the FNV $50 million if taken up

So no equity issue needed for at least six months

Quote:

"Despite the need to raise funds within 12 months for the regional exploration activities, under the Company’s worst-case scenario, the Company has sufficient funds to operate until March 2022, and in the case of the Alpala Project, significantly longer, as funds from Franco-Nevada are ring-fenced for the development of the project and all exploration activities on the Cascabel concession, and related working capital." (In January 2021, the two parties agreed to extend this option by four months.)

Finally, given that I have previously suggested the possibility of an IPO for Green Rock Resources, it seems significant that ALL THREE of the Priority Targets (Porvenir, Sharug and Cisne Loja will be drilled in 2021...

Enjoy

Bought 100,000 at 22.35...