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Bamps I know we have mentioned deserts revenge before on here but the similarities to Telfer are remarkable and on same fault line 3 km SE! Could we have another Telfer only just down the road?

Hi Bamps,

Interesting the two sites for OCallghans and was not aware of that. It is interesting that someone posted something on twitter i think about the upgrading of the lodging camp at Telfer and i do wonder whether this upgrading and potential expansion is in part for all the plays that they have in the Patterson region? Hopefully over the next 6-12 months we learn more about ocallaghans and any potential proposal for what SD plans to do with it. The Kazakshtan agreement with the US is more geopolitical than anything in my opinion.

I was certainly aware of deserts revenge and that is the one i would like them to do more drilling on and release some results as my hope is that the orebody there maybe a Telfer extension which would be incredible and the two results from drilling from that showed great grades. Only 3km from the main dome

Jerry after spending time reviewing and understanding Tungsten West what i have found difficult with the tungsten market is understanding the end product and the pricing around that which in the main is driven by the chinese but when you review the link below you will see where i am coming from :

https://www.metal.com/en/markets/24

I am though surprised that we potentially have a large asset of tungsten that we are not trying to offload in a free carry to another organisation that does have tungsten knowledge or expertise. Interestingly the Tungsten West CEO here in the UK is an aussie to the best of my knowledge and ex rio tinto.

Lord, probably should have clarified that - there are ballpark estimates for per kg of hydrogen and the cost of extraction will be low but what we do not know is the volume we are able to deliver so my statement should have been unknown the commercial reality of Hydrogen at this stage but exciting opportunity if it becomes part of the overall play.

TT thanks for that. For me though there is alot of talk of pause in golds bull run. What if the current price at around $4000 an oz stays like this as the new norm and basically central banks maintain there long term exposure which is what stabilises the price and the bull run has finished. I would take it every day of the week for GGP as at 6000 aud an oz and what will be a circa 2k an oz ASIC we would make a fortune still and we are all presuming that 500k oz production years are only around the corner!

With this cashflow i do think that gold miners will be re-rated to how any other industry with a FCF like that would become. It will take time though in my opinion for this to become the norm and in that time we need GGP to keep doing what they are which is drilling for increased size, keep producing and getting Haverion online and then start looking at other corporate actions alongside that eg free carry on ocallaghans to another miner or create an ASX spin off with a 40% ownership etc. So many options for GGP and when you have a big cashflow and no debt then your options for creating size and moving into copper plays and de-risking become even better. All just my opinion but why i am here for the longer term as can see the writing on the wall of a £20+ share with the right corporate transactions off the back of Telfer/Haverion FCF.

Exactly will be a next year announcement but that dividend will drive investment and alongside that SP appreciation outside of any left of field event. Personally not concerned and happy to have this boring stock that will churn significant free cashflow to decrease debt further and increase value of share price

When it does move and it will at some stage you will most likely see a 30-40% move in one trading week. Thats the issue with being out of this going into next year when the maiden dividend is announced

Two insiders selling announcements in 3 days. Is that an omen where we are seeing a plump before the dump on some bad news??

Lord i think the big thing is that at a more than 90% margin on the current helium price in the US it is looking like a highly profitable company based on the wells online and that will come online and the unknown is the value of hydrogen on open market and whether there is an increased cost of capture OR and added bonus. Bit like copper credits with most gold miners.

Not at all - i have made my money over the years and now do it as a hobby with large investments as i enjoy the thrill of the chase and trying to get it right and when i view things i look at both sides of the coin! At the moment i am to the positive due to the high margins on current US helium prices and a very low market cap that will be re-rated if operationally they can deliver so willing to take the chance but I am also not blinded by CEOs rhetoric and not saying Bo is that but have worked with many over the years and have seen some brilliant stitch ups due to their own personal share holdings or incentive schemes.

Still good money to be made if you can get it out of the ground for $40 and sell for $450 - video mentions $500!

Better article explaining the oversupply and the decrease in prices.

https://thestarphoenix.com/business/canadian-helium-exploration-hampered-by-lack-of-federal-incentives-insider

Https://www.gasworld.com/feature/helium-oversupply-has-reshaped-market-dynamics/2165918.article/

Also with Helium currently in a state of oversupply on world market i do wonder whether we will get the prices that Bo is suggesting.

Why would you be selling on the eve of maiden revenues?? Any large player that is selling tends to know more than you and I. So lets hope no major issues here.

Lord i may qualify my point as how do they export Helium if it cannot be stored - i do think there is something here i am a little confused about as there appears contradictions in the video based on the point about storage and usage ASAP versus export markets??

Thanks Element for your answer and lets hope that your on the money!

Lordloads i agree with your calculations. The thing that pricked my interest in the video but in a negative way is that the helium has no set pricing structure or market and unlike natural gas has to be used ASAP and cannot be stored due to the cost of it. Unless i interpreted the this the wrong way then that is a risk that will be factored into a lower PE. Be interested in other peoples takes on this as i am hoping i am completely wrong but if not that would definitely be a reason why we are at this price and not £1+

Element you made reference to the FS being better than what is expected ? Can you elaborate on this or is this just your opinion?

Would like to see them scaling back the debt as several brokers have commented on debt levels and prefer a lower dividend and a debt reduction drive. Operationally seem to be going very well but do not quite understand the lack of ambition to drive net debt downwards!

With the volume one would suggest something maybe known OR another larger player buying in??