Member Info for MF11

And will certainly buying more before I sell any,.

When's my next pay day!

Hi Panama,
managed to get up to 2.4m, ave of over 6 as I was late to the party, buying GGP is so addictive. Anyway I am waiting for £2.50 then might sell a few.
Well here's hoping anyway.

I cannot say for sure but working from the numbers provided on their web site it would certainly suggest that.

Total Fund Value * GGP Share % / GGP Share value

It's % age of their fund.

As of May 29th they had 22,891,400 shares = 4.39% of the funds total assets

Looking at their numbers today

Fund Value = 65,445,970.72

GGP 5.03%
GGP Value = 3,291,932.33
Equates to over 28 Million Shares

I really struggle to work out why people try to find and invest in the next big thing when they are already in it.

Unsurprisingly a positive update from Callum:

Greatland Gold (LON:GGP) has seen continued exploration on its Paterson project licences with drilling at the Havieron gold-copper deposit producing more exciting results. The Newcrest Mining Limited (ASX:NCM) operated Havieron project has expanded known mineralisation to over 400m in length and 150m wide and up to 600m below cover while remaining open to the northwest and at depth. Newcrest currently have 9 drill rigs in operation at the site and are undertaking a concept study investigating potential underground mining techniques with completion targeted for H2 2020. Greatland Gold have also been conducting their own exploration programmes and continue to show encouraging drill results from their Tasmanian licences. At Firetower, IP anomalies were drill tested and gold mineralisation was proven coincident with further IP anomalies yet to be drilled out, and at Warrentinna diamond drilling established near surface high-grade gold. Geophysics and geochemical surveys in the Paterson have established numerous high-priority targets for drill testing, with signatures similar to those of the Havieron target, and field work on these is set to commence once COVID-19 restrictions are lifted. Well funded and with a strong team in place we look forward to further encouraging news from the company.

Well perhaps you should turn off that DVD and do some proper research into the company then.

Does anybody know (or has anybody seen) the terms for the Toll Processing agreement that has been put in place for Havieron?

I have been trying to find out these details, but they do not appear to be available in the Public Domain. I have emailed GGP to try to obtain this information, but was wondering if any of the LTH's were aware of the terms?

Definition:

A toll processing agreement is a contract between two parties in which a toll milling service provider, contract processor or “toller” agrees to manufacture a customer’s product for an agreed upon fee or “toll”.
The mutually beneficial agreement provides cost-effective manufacturing services to the customer while securing a long-term, revenue producing contract for the toll service provider.

The March 2019 Investor Presentation states the following:

Ore to be toll processed at Newcrest's Telfer Gold Mine -

lower upfront capital costs (no new processing plant required)
ability to leverage all existing infrastructure at Telfer
reduced time to production and first cash flows
significantly higher net present value (NPV)

Personally, I believe this will have a major bearing on the decision as to move forward with the JV or the potential value of the GGP 25% (depending on these terms, this value could differ significantly from the 5% Newcrest can purchase at FMV).

It may be that any terms/fees associated to this "toll" processing are extremely beneficial for GGP, given that Newcrest will have been able to gain 70% of a multi billion dollar asset for $65M (plus 5% at FMV). However, I have not been able to find the actual terms anywhere, just a reference that an agreement is in place.

Or have the full terms for Toll Prcoressing still to be negotiated as suggest by the Mining Haven report from June 2019 -

Newcrest and Greatland have agreed in principle that all ore from the asset will be toll processed at Telfer. By leveraging Newcrest’s existing infrastructure at Telfer, Greatland believes they will reduce upfront capital costs, time to production, and time to first cash flows at Havieron. In turn, this is expected to give the project a significantly higher net present value than if the firms had to build a separate processing plant and infrastructure.

MF

I find it extremely interesting to see that Magic's presentation has received 466 views in less than 12 hours. Quite astonishing given that it has only been advertised on this site.

It just goes to show how many holders (or potential holders) view this site who are blessed with the large amount of quality research and analysis carried out by a few of the most revered posters on here.

I would like to express my gratitude to all of these posters on behalf of the silent readers ( and less frequent posters) of this forum.

Thank you all, and all the best to all holders of GGP

MF

Hi Mushroom,

What criteria do I need to get into your gang, as I feel I am even worst off, a STH wanting to become an LTH.

All the best
MF

Newcrest Mining has launched a $1 billion capital raising through an institutional placement.

Newcrest Mining launched a capital raising on Thursday morning. Rob Homer

Macquarie and RBC Capital Markets are lead managers on the raise.

The company's shares entered a trading halt on Thursday morning.

Hi Trucky, No not been here long, but like everybody I am extremely grateful for the hard work and research done by many generous posters on this board. I use this and my own research, and do a lot of number crunching and try to work out how this could go and the potential best option for me, and how this may go.
I have been in GGP for 3 months have approx 1.5 Million at 5p ave, so £75K invested, I would be more than happy with an annual div of 25K per year. Obviously I have no clue as to what will happen, and it may be that Newcrest but HAV out 100% and pay GGP a fixed fee for that, however, as everybody states the amount of Gold in Hav is an unknown so calculating a fair amount for the fixed price is impossible at present.

If GH negotiated a royalty per OZ it would not matter how big HAV is, as we would be paid for every ounce mined.

Looking at numbers for this (again pretty much guess work) but figures that have been used by various posters.

10Moz Resource
AISC = $900 (nearly midway between conservative 1124 used in he investor presentation, and $600 suggested as feasible by Paddy).
Using a POG of $1500 (likely to be low if the actual calculation was calculated annually on the average POG based on sales for the year of mining)
Annual Production of 750K Oz per year (it has been suggested that Telfer could be able to produce 1Million Oz per year)

1500 - 900 = 600 * 750,000 = 450,000,000 * proposed 20% Royalty = $90,000,000 per annum

90 Million / 4.2 Billion (Shares) = 0.0214 USD or approx 1.71 Pence Per share annual dividend 20% of current SP).

If we had 10Moz mined @ 750K per annum = 13.33 Years

I would be extremely happy with 13*25K for my initial £75K outlay, and that is for HAV alone.

Just think if we had 20Moz mined at 1Moz Per Annum with a POG of £1900 - $200 Million per annu, for dividends (4p per share) - you do the maths on your holding

Where do I get the 25pence from (what companies pay a dividend of greater than 6.67%), current share price * 3 = 26.5 Pence

I was just putting an alternative discussion point out there on how income could be maximised.

My thinking was GGP do not need an enormous amount of cash to move the other projects forward. 5% FMV should give us circa 125 Million at 10 M oz. Followed by an income in excess of 100 Million per year for the next 10 Years plus.

That should take the market cap to over 1 Billion for Hav alone (25p plus) without taking any of the other resources into account. If Scally hit and was the same size, different terms, say 40% Royalties (as we own 100%). Market cap 3 Billion and so it goes on. Where might the share price go?

MF

Not sure if this has been discussed at all or in any detail, but has anyone considered the option of not selling the
25% of Hav to NCM but giving it to them in exchange for royalties on all Oz drilled from the site.

Could GH possibly negotiate a deal where GGP could get (let's say) 20% of Average Gold Sale Price - AISC in exchange
for the 25% of Hav.

That wouold leave GGP with 5% at FMV and no further expenditure on Hav. This amount could be used to develop the other
projects.

The 20% Royalty should give income in a few years time of in excess of 100 Million per annum. GGP could again use this
on other projects or to provide LTH's with annual dividends. 100 Million - 2p annual dividend (nearly 25% dividend on
current share prive). Surely a total win for all Share Holders, rewarding those that have stayed the journey.

If Scallywag or any of the other projects hit, different Royalty percentage, bigger dividend.

Win Win Win.

Please discuss.

MF