Member Info for mattlilly

"If somebody wants to buy us then at some stage the price will become so high that its indefensible..."

Asked if he would sell Alpala..."everything has its price but I honestly think that the value is going so high that we're going to use it as the base to develop the company...if somebody came along and offered a ridiculously high price that endorsed the value of the project rather than the Market Cap...we have a legal and a moral duty to look at it...that hasn't happened...”

“We can see even on an outcrop on these other projects that they have high grade cores in them...”

“Solgold's Market Cap that has been as high as $1 billion was based on an ore body from scratch and we have the ability to do that 13 times over...not all of them will be world class ore bodies...but many of them will be...”

Conditional financing based around debt, offtake agreements "with of course some equity, but related to 'project value' not Market Cap..."......"WELL BEFORE FEASIBILITY..." (Sounds like late August, early September, if not before...that will light a fire under the SP...) "running this in parallel (with the PFS) rather than sequentially, will speed things up..."

"By doing this we're creating a blueprint for the discovery and development of a whole stream of projects..."

"By doing a conditional package, based on project value rather than Market Cap, we will get around the problems of having a dangerously low Market Cap..."

"We will be looking to raise the equity portion based on the project value rather than the Market Cap, so...we want to try and keep the equity issuances down to the absolute bare minimum...(looking to lift) the (project) value from $4.3 billion by the time of the feasibility study...(using) lower discount rates and higher metal prices...the world is awash with $3/4 Trillion dollars printed by the US...this capital is looking for a place to park itself...a project like Alpala that is in the world's oldest form of money, that's gold; a metal that is inexorably needed to continue civilisation, that's copper; with rich high grade cores, spectacular logistics, relatively low capital costs, a high NPV, a fast payback and a very high IRR is very much a banker's dream and certainly the approaches we're getting from off takers and debt financiers endorse that view that we have the ability to have the project fund itself rather than have large share issuance...."

"They pulled Craig Jones off our Board but I don't think he particularly wanted to leave...its well known that what they wanted us to do was to issue a whole load of cheap equity that was well under the project value...what we did was way, way less dilutive to ALL Solgold's shareholders and the Board is here to make decisions on behalf of all shareholders not just a few..."

"I would think Solgold is very interesting to BHP...I think BHP would like to see this project become more derisked and the value of its more certain...its anybody's guess what BHP may do in mid October...the delivery of the PFS before October may address some of their concerns and help to frame what BHP's next move is..."

"We're not very keen on further corporate equity...its way way too cheap just on the basis of Alpala..."

"If we continue to derisk this project and get to the Feasibility Studyand call on Cornerstone to provide its share of the development funding things may get very difficult for them (CGP)...bidding for them isn't mean spirited for them at all in fact its a lifebuoy...and an opportunity for them to benefit from the other developments..."

I think you'll find the volume was 8.4 million...or are you on the wrong board as well....?

As I thought...

UT was 470,942 at 22.10...

Bring it on!!!

PS Dreamboat, Normal Market Size (i.e. the minimum level the MMs guarantee to offer a price in) is only 30,000

Have a great weekend!

I think you've got the wrong end of the stick!

The point is that they wanted stock big time...there is always a gradation for bigger volumes.

This was an electronic bid...normally I'm not bid for more than 100,000...

I'm bid for 700,000 at 20.5p......

Agreed....they'll probably try to take it down, but I wouldn't be surprised to see the Uncrossing Trade at 22p plus...

A good day...pure luck that I got those c280,000 at c20.5p...

Yours Gypsy Rose Lee...

Where are our dismal Jimmies, swazers and ssmithtrader...?

Did you say 18p according to your Head and Shoulders theory swazers.....?

I'm afraid we're 22% above that and rising...

Like a coiled spring...

Its a copperpot...it holds a s***load of shares and was named after the well known US economist, Max Millikan...

2 Millikan bought and 150,000 sold...

Shorters...

Placees...

Cornerstone...

'Friends' of Major prospective bidders...?

Any thoughts...?

Colonel...that's the best and soundest post ~I've read here in a long time...keep up the good work...I hang on your every word...

Apologies...282,793...now up to over 1.2 million...

Bought another c360,000 shares in two tranches....

Maybe Placees have actually been unloading...?

I don't think Newcrest has the financial muscle to buy SOLG and develop Alpala, as well as Havieron...and indeed it didn't even list SOLG as one of its future developments, BEFORE Craig Jones resigned...

So it comes down to who buys their stake and at what price they will sell...surely they would want at least twice the current price otherwise they might as well hold on for the final payday...

https://www.newcrest.com/sites/default/files/2020-06/200601_Newcrest%20completes%20an%20increased%20Share%20Purchase%20Plan%20-%20Market%20Release_0.pdf

I'm bid 20p for 400,000...

Given the huge scale of the Alpala resource alone and the stated need by the major copper, gold, silver and copper/gold majors for new resources, a 'low ball' bid would be a waste of time because it would surely be countered....

Sand fire resources holds a big stake in ADT1...their director resigned yesterday and the SP has spiked 22% today on bid speculation...if you followed me in when I mentioned it you're up 50%....

But the thing is, could it happen here with Newcrests resignation and the appointment of RBC....?

My comment was contextual and SOLG specific...

In terms of the inevitable here, the SP is irrelevant right now unless you've put yourself in a situation where you have to sell...

Peel Hunt buy note:

Milestones from Q2 not priced into stock
We believe SOLG’s achievements in Q2 have not been given
due credit in the market with the distraction of Covid-19.
Improved M&I resources, met test results and the addition of a
third partner with the FNV offtake agreement have created a
stronger project and financial profile for SOLG in Q2. We see
SOLG’s momentum gaining as we near the Alapala PFS stage.
SOLG’s Q2 achievements more significant than market gives credit
SolGold made greater strides in progressing the Alpala project than in any other
quarter we can recall. In April, the MRE3 stated a 30% uplift to the M&I
resource for Alpala, while Phase 2 met test results detailed improved gold
recoveries and copper concentrate grades for the full 50+ year mine life. SOLG
then delivered a US$100-150m royalty agreement with Franco-Nevada in May
and by early June raised an additional ~US$40m in equity. SOLG also relaunched
an all-share offer for Cornerstone Capital on the last day of June.
Royalty agreement offers substantial financing flexibility through 2021
After the royalty agreement is finalised in Q3/Q4, we forecast SOLG to have a
significant cash buffer in place through all of 2021. The additional US$50m
royalty agreement option also allows SOLG further flexibility without having to
time any additional fundraise with volatile market sentiment, a big positive. With
the company fully funded for both the PFS and the FS for Alpala, attention can
be turned to realizing fuller value for the broader pipeline of projects.
Newcrest reassessing options on its stake is not unexpected
BHP now holds a slightly larger stake in SOLG than Newcrest, and FNV offers
good near- and long-term Alpala financing options. We believe it’s only logical
that Newcrest reassesses stake options at this point given the significantly
stronger financial position of SOLG in Q3 and as we approach PFS stage.
Benefits from Phase 2 met tests offset dilution, maintain 70p target price
While we estimate a 2-3p/share value dilution due to the increased share count
(US$40m fundraise) and the 1% NSR royalty, the met test results add back
4-5p/sh value accretion. Phase 2 met tests of higher gold recoveries and copper
concentrate grade of 26-30% are strong positives, but we still use a conservative
concentrate grade of 26.2% (up from 25%). With a minor increase in fair value
estimate, we maintain our share price target of 70p per share.