Does anyone know how long the drill permitting at Brockman is likely to take? I am looking forward to results and a possible JORC at Han**** like everyone else, but most of the iron ore we think Alien has is expected to be at Brockman
Delighted to see this move up but don’t think it can just be a case of people noticing the valuation anomaly relative to MAST (which is not a very recent development). My best guess is that there has been a news leak and that there has been progress on either Wowo or Burwell which has not been announced yet. We’ll see
One interesting thing is that according to the buy/sell data there have been basically no sells this morning, just buys. Clearly the bid and ask have dropped but people are not actually selling. This should recover pretty quickly
Natural to feel a bit of a disappointment given the likely short term effect on the share price. However, some things to bear in mind:
1. Explorers are dependent on capital raises for cash 2. Such raises are basically always at a discount 3. It is therefore advantageous to do them when the share price is relatively high on a medium term basis 4. Rockfire has a lot of drilling to do 5. Drilling is expensive 6. The fact that the placement is to an institutional investor is encouraging and may also make short term flipping just above the placing price less likely 7. This raise has no real bearing on what the share price will be in 6 months
Well it’s a tough old market for junior miners at the moment. Compare SHG which posted underwhelming production figures and is down 25-30%. At least SRB is staying still! When sentiment returns to the sector it should take off
I would say that for a junior explorer and producer which has recently raised capital for drilling it’s pretty important that exploration results are promising. So this is a good RNS. True we also need good production, but the Q2 production figures were good as well
I wouldn’t rule out this possibly being Corcel. They have indeed mentioned an intention to proceed with 50MW battery in the first instance, leaving the other potential 50MW of the project over for future consideration. And it wouldn’t be at all surprising if they were planning to locate this project in a subsidiary company. In fact it would be surprising if they weren’t. (On the other hand, it could be unrelated!)
I think the key issue re Burwell is whether there is any alternative land we could potentially use. If there is, the board should be pursuing that, partly as a genuine second option and partly for leverage. If there’s no alternative land, that doesn’t leave that many options for preventing the current landowner from p***ing about - if we can’t walk away or even plausibly threaten to, what leverage do we have? (Apart from expiry of connection rights, but that isn’t imminent and is therefore hard to use as a hurry up)
This post is a good example of how a series of true or mostly true statements can nevertheless add up to an unfair summary.
Burwell and Mambare are subject to timing issues which are out the board’s hands (granted communication should have been better on Burwell)
The gas peaker projects were only acquired a couple of months ago - do you really want/expect an RNS already saying we’ve looked at two months’ gas price movements and we’ve got a problem? Who would behave that way?
Wowo - yes, one would hope for news soon but to be fair the debt isn’t due yet
The delay is frustrating but it’s important to maintain some perspective:
- when the investment was initially “agreed” the agreed price per share was a long way in excess of the public share price, so presumably the investor was not put off by that - the board must be confident as they have been willing to work without salary - GC and NH must be confident because they have agreed to lend money to the company if needed - DJ Drilling must be confident because they have agreed to work at their own risk - All the signs from those much more in the know than us are therefore that there is great confidence in this company completing a turnaround - Meanwhile we were told in May/June that the diamond business is now continuing substantial cash flow, which is obviously good - There has also apparently been progress on the HMS licences
I think the real issue of late has been one of communication, I.e. the RNSs suggested the investment was done when clearly it wasn’t. But really this should still come good
RE: Mr Market not impressed at moment which is a shame15 Jul 2021 17:25
The lack of patience on display here is absolutely ridiculous. There’s a chance here to make 10+ times your money in 3-12 months, but people come in expecting absolutely instant news and wet their pants if a few days go by without an RNS. I would say “exploration takes time” but it really hasn’t been long enough to need to say that!
According to JMAT, Rhodium is now up $1800 in the last couple of days. If it is heading up again now or even stabilises around here, we could see some positive price action in the coming days on the back of this combined with strong results
I agree, there are few multi-bag candidates as strong as Rockfire. This and KAV have the potential to be life-changing investments. KAV possibly has (even) bigger upside potential, but Rock is safer due to lower starting Mcap and the fact that we know more about what’s under the ground. Exciting times