Member Info for Metalhead25

Yes, I know there is a hope to produce a maiden JORC, but (a) we don’t know yet whether that will be possible based on these few holes or whether more will be needed, and (b) any JORC which may be possible will necessarily only relate to the small part of the target being drilled.

Yes, I’m aware of the potential. Lots of sites have potential.

I’m not saying Copperhead is no good, I’m just saying the hype:substance ratio is too high for my liking

This board is now a hyperbolic ramp leading to a bucket of froth. As I’ve said before, I think Copperhead has good potential. However:

1. There are lots of claims about how much this current campaign is going to achieve (e.g. “across the entire asset”, “doubling… in this current campaign”). But in fact, isn’t the company only doing 5 or 6 holes, with the main objective of confirming the 1972 data?

2. There’s a lot of hype about the high mag zone at lower depth. But hole 1 is finished now, and having finished it the company (which clearly has no problem with tweeting pictures of core) chose to tweet a picture of mineralisation from ABOVE the high mag zone. Perhaps we might infer from that that the high mag zone itself is not full of visible copper.

3. If it turns out that this campaign at Copperhead confirms the 1972 results and justifies further drilling (which will have to be paid for), is the SP really going to soar on that?

4. Copperdome we know less about so it’s more of a punt. Could well be a good punt, we don’t know. But, as I’ve said before, the constant comparing of Copperdome to Havieron based purely on physical size is bonkers. You could take any old big chunk of land and say it’s bigger than Havieron. So what?

I’m afraid this mode of talking about explorers alarms me and makes me think there will be a big dump on news and/or that if the SP starts to slip the drop will accelerate fast. I’m out for now. GL all.

I completely agree that this is the way to do it. If they can announce a business plan (even initial / short form) for a DSO operation with a placing to fund it then we’ll quickly make back any hit to the SP. In the current market especially, it seems people want to see routes to profitability above all else. If it’s just a placing to fund more drilling we’ll sit below the placing price afterwards for a while

Hi all

Just wondering if anyone has an opinion on what Corcel are actually going to do with Wowo Gap on a practical level. Please don’t say “Sinom will buy the nickel for China”; I know that and it isn’t what I’m getting at. What I’m thinking about is how the project will be progressed day to day. I think I’m right in saying that there is currently a need to secure a licence renewal with the PNG authorities and that this involves, among other things, consulting the locals? Who at Corcel do we think would manage that? And then if a licence is obtained, who at Corcel is going to oversee the further exploration work, the mine planning, the business plan optimisation etc? That’s stuff that has taken companies with comparable projects in the region (Asiamet?) years and a lot of work. But isn’t Kaintz essentially a banker, and Parsons an energy sector specialist? I think with Mambare the JV partner takes the lead on stuff like this but what do you all reckon will happen at Wowo?

Definitely due a move up. The price has been held down for months by an accounting issue which has come to (nearly) nothing. Meanwhile, we have rising production, good exploration progress, and the prospect of Coringa doubling production in the now not too distant future

Presumably “mistaken” in the sense that he typed it wrong, not in the sense that he wrongly thought they lasted until 2023??

In any case, this certainly does show that Kav is very confident in the KCB

Hi tk
I can see the argument for the exercise of the warrants not being reportable for KAV. I also think it’s wrong to say that the £100k is “supposed to go into the ground”. It is actually supposed to be spent in the way that the board considers to be in the best interests of the company. The reference to 2023 may be a typo rather than Ben actually not knowing (seems extremely unlikely that he actually doesn’t know).
I am with you in not really following the reference to distributing balance sheet risk

Thungela certainly has a dedicated team of cross rampers!

I think there must be something more going on here. On the information we know, there’s no reason to exercise these warrants now. So it’s either an inexplicable uncommercial decision or there’s something we don’t know. My money is on the latter

I suppose it could be that good news often follows months in which companies have had a change in share capital!

BCB, I love your optimism but I’m pretty sure any link to good news which you may have observed is a coincidence. As the RNS itself states, it was issued pursuant to DTR 5.6.1. You can just google that. The RNS is required because a month has ended and during the month there was a change in the company’s share capital / voting rights

They’re not going to tackle this issue, it’ll be Tuesday. Or more likely Wednesday (the morning after completion on 31st). Or Thursday. Or later. But not tomorrow!

Sounds mad to suggest this matters, but Tharisa’s name is very undescriptive. If the company was called “Tharisa Platinum and Chrome Plc” it’d get more attention

Hi all

I think it might be helpful to have a look at the wording of the 30 June RNS re the Newgen loan. Here are some key parts of the wording:

“The Company has signed a binding term sheet for a 3-year senior secured loan in the amount of US$20 million subject to customary conditions with Newgen Resource Lending Inc. ("NewGen"), an institutional investor based in Toronto, Canada. The key terms of the secured loan include…

· The loan will be secured by first ranking security over all assets of the Company and its material subsidiaries;

…

The senior secured loan is anticipated to be closed by August 31, 2021.”

Now, what is a “binding term sheet… subject to customary conditions”? Well, “binding” ordinarily means that the parties have made a legal commitment to complete the deal. In that case, Newgen can’t just change their minds because they feel like it - they are “bound” to proceed and can be sued if they don’t.

However, we know that the term sheet is “subject to customary conditions”. What does that mean? Well, “subject to conditions” generally means that if certain particular things happen, or don’t happen as the case may be, then in that particular situation Newgen is not bound to proceed. This may look like it takes away all the comfort we might have derived from the word “binding”, but it doesn’t really because we are told that the conditions are only “customary” ones. I’d have thought that would be things like (i) the drafting of long form documentation, (ii) Rambler having good title to the assets it is giving security over. I don’t think it can realistically include Newgen making a new commercial decision that they want to proceed. Surely not?

The other point to note is that the transaction is only “anticipated” to close by 31 August. Quite hard to know what that means in terms of legal obligations, but on the face of it I don’t think it suggests that there must be a completed transaction by 31 August or else it isn’t happening. On the contrary, it seems to suggest that it could drift a little later without that necessarily being a big issue.

These are just my views. Obviously I haven’t seen the term sheet and am not advising anyone here. But this is how I read it. Anyone disagree?

I think the point is they’re in a position to drill the KSZ and the KCB, which is all anyone could reasonably ask for with a £16m MCAP explorer

Re the EM, I’m sure they will have known that it wouldn’t penetrate the casing, but they wouldn’t have known how deep they would need to case, nor where the end of the casing would turn out to be relative to the conductor. To put it another way, they must have known the risk existed but not that it was going to eventuate

We obviously can’t be sure because the company isn’t saying (and may not even know) but I do have a sense that they haven’t hit a large massive sulphide deposit with hole 1. I thought that when the first post-drilling RNS came out and still do. However, what has come across very strongly from Ben’s interviews is that hole 1 can be a success through the data it provides even if it doesn’t directly identify a big deposit. I think it’s important to remember a few unusual characteristics of this KSZ campaign as compared to most drilling exploration campaigns. The first is that the KSZ is very underexplored so that there is real value in the knowledge that can be gotten from drilling, irrespective of the deposits found. The second is that we don’t need to discover large deposits with hole 1, or with every hole. What we need is to build confidence that we can find such deposits, whether now or in the future. I think that is what is meant by proof of concept. The third is that if we do hit a big massive sulphide deposit, the implications (quite apart from the likely high value of the individual deposit) are such that KAV is likely to at least 50-bag from here. So even if you assume hole 1 isn’t going to deliver this, the balance of risk and reward is still massively favourable as we continue with hole 2 and then especially target area B.

I’m highlighting these points particularly because I have to confess to having lost sight of them myself when the first RNS came in - I had a bit of a wobble and sold a lot of shares, then sorted myself out and bought them all back again. I’m happy now that I’m in the right place.

I just think this looks totally unrelated to Corcel

Yes, I see that logic. I was just comparing the language to Timster’s descriptions.

It only “looks like it is done” if you believe the unevidenced assertions of a first time poster! And not only that but a first time poster with no obvious motivation.

If there isn’t an RNS next week you’re all going to start to wonder and the share price is going to drop again.

Hope it’s true and if it is I will probably buy

In an email to me a month or so ago, Corcel described the land to which its grid rights are tied as an “empty plot”. Make of that what you will