Member Info for Metalhead25

I agree that even though they’ve said the exact same thing before, saying the same thing again at the moment may have given a few holders the jitters, resulting in a few sells. Should they be arranging their messaging around concerns of that nature? Not sure. But I certainly don’t think it’s actually hinting at any disappointment with the current drill - on the contrary, it suggests that the plan they had previously is intact. In any event, we’ll know soon enough what the outcome of the drill is and the few sells today will be irrelevant except to those who sold!

This notion that 2021 is the year of proof and concept and 2022 the year of discovery is not new - they’ve said that on more than one previous occasion, including before the current drill even started. This is reading something into nothing

3p would be absurd given everything that has already been achieved and all the amazing prospects. If it goes anywhere near there I’ll double my stake

My goodness, look at those buys just reported for yesterday. Very unusual size for this company

Nice analysis, JP. I would add that it is one of the great universal truths of exploration that drilling/results ALWAYS take longer than the shareholder body calculates

Personally, I am confident that this hole will be a success at least in the sense of adding to the experts’ knowledge on the way to a big discovery at some point. When you look at the geological maps, the data so far, the manifest excitement of the geos, you have to believe something amazing awaits somewhere along the line. Well I do anyway!

Yeah think that one is a sell, but the other is a buy. Entirely unsurprising to see a few sells when we’re up nearly 20% in under a week. But there are good buys going through and general direction is up

Well done board - debt restructured, that’s the major near term risk dealt with - got a clear run at the peaker close now, which per Scott’s interview a week or so ago should give us a big launch

I’m not a great fan of speculating about leaks. But I guess one can say “IF there’s a leak then the news is positive”. I’ll take that and continue to wait :-)

I think there’s a good chance they’re not there yet. As you say, hole 3 took much longer than planned due to difficult conditions. In addition, they are all the more determined to complete DHEM on this hole so will be going more slowly/carefully.

At the end of the day, there’s no point guessing. Imagine selling in response to silence and then a day later a massive sulphides RNS lands and it’s NT to buy all the way up to 10p. No, got to sit tight and wait, and take comfort from the fact that even in the least favourable scenario this company is dramatically undervalued for its district-scale opportunities

I’m expecting target depth to be a few days away yet, but could be wrong

Agreed. In fact, we have at least three separate opportunities for life-changing gains for shareholders, just in the KSZ:

1. Karoo sulphides (eg current drill target)
2. Proterozoic sulphides (eg hole 2 and the DHEM target close to hole 2)
3. Red spot IOCG

If any of these come off, we’re laughing all the way to the bank

I agree, there’s nothing “going on”, we’ve just got very low volume and we move when the MMs decide

Well the placing was at the very least the prompt/trigger for the downward pressure (which is not necessarily to say that the sellers are all placees). I do actually think a lot of placees flipped their shares around 0.75-0.85. Not sure who the further sellers after that have been. People with low averages who were annoyed at the placing? Seems fairly unlikely. Or are there shorters? In any case, the quality of the projects will win the day

I like this company, they crack on with things. Never get the feeling they’re just drifting along (even when the share price is!)

Seriously the share price should improve once the placing has washed through. The projects are going well which is the main thing

It was always a pretty mad time to hold an event about the interpretation of this campaign and the planning of the next one. Why would you do that with a key drill still underway which could significantly impact what you want to say? Suspect they’ve just realised it didn’t make sense and will now hold the event after the current drill, which is how it should have been planned in the first place

Hi legalwolf. Personally I think there’s no chance of this hole being the end, whatever the outcome. There are too many promising leads apart from this hole. Apart from this hole we have:

- core from hole 2
- conductor identified by DHEM at hole 2
- the 30km strike length
- core from bottom of hole 3, including suggestion that the GRS could be one huge IOCG deposit at depth

On top of all that, the point about this campaign was proving the technical feasibility of exploring under the sand. From that point of view, they clearly need a non-metal drill casing to improve DHEM hit rate, but otherwise a great success.

I am very confident we get a partner next year irrespective of the current hole. More realistically, the current hole may influence how favourable the JV terms are

Starting to feel like we’re on the brink of something though. I know some were starting to lose faith a bit but Scott’s interview strongly suggests multi-bagging news could arrive any time now

In my opinion THS has been unlucky in that yesterdays results and the ones 6 months ago were very good, but both were released into weak (on a medium term basis) and down-trending PGM prices. So people look at the results and go “very nice but is it going to be repeated?” This is a great company and the business is really well run, but I think the PGM price trend needs to turn for the SP to fly

But, at the risk of stating the obvious:

1. If the institutions had bought on the open market, that wouldn’t have delivered $5m of working capital to the company

2. If the institutions had only been able to buy at up to double the share price, they wouldn’t have bought at all.

The alternative you’re conjecturing doesn’t exist

It is dilutive but in my view it’s sensible risk management to have a debt/equity mix on a large financing rather than pure debt. Look at it this way. If they’d placed 5 mil four weeks ago it would have been at c 16p. These are shares are being issued at more than a 100% premium to that, and at a premium to current market price, and, as F79 says, with limited warrants attached. And the involvement of institutions bodes well for the future. It’s a good deal overall in my view