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I’m a little surprised we’ve not had any updates for a while. You would think the board would want the momentum to continue into 2021 and be ready to go with the drilling programme for this year. Mid February and none the wiser what’s next.
So what do we think the next update will be?
1. JV confirmation with Andromeda
2. Updated resource definition after stage 1 drilling
3. Drilling commenced
4. 2021 drilling programme
5. Other
I’m pretty certain FN deal is a royalty for Cascabel and not just Alpala so extra £50m could be drawn down and used for Aguinaga/Moran/Blanca/Tanda Etc. It’s a stonking deal for FN!
With all due respect Riaz you don’t know what you’re talking about. June last year market cap was £3m we’re now at £11m and fully funded until the end of 2021 with a significant stage 2 drilling programme to be announced soon.
5x5....I’ve been in SolGold from the Solomon Gold days so a long long long term holder! This is the Cobra forum so I’ll keep it brief. One of the top 10 undeveloped resources in the world. CEO Nick Mather just stepped down (given the boot!?) lots of uncertainty other than the amount of Gold/Copper/Silver at Alpala and lots more to come at other regional projects. Do your own research as there’s a lot of uncertainty at the moment given elections and the PFS!
I’ve been digging around the latest prospectus to try find out where we are at with warrants and options.
As far as I can tell the only outstanding warrants are those issued with the CLN placing last year.
There’s 67m or so at 3p that can be accelerated when the SP hits 4.5p for over 5 days. I don’t think it will be long before we are over 4.5p. I just hope this time round they don’t give the warrant holders 30 days to take them up!
There’s directors options when the market cap hits £10m or 1m oz resource whichever comes sooner so I’d imagine these options will be taken up soon as we now have a market cap higher than £10m.
So if all the warrants are accelerated this year that’s another £1.8m in the kitty and roughly 400m shares in issue.
I don’t foresee any need to fund raise this year or early into 2022 if all the warrants are taken up.
We currently have 50% JV earn in of the project and need so spend another £1.2m in the next 3 years for 75%. We have £1.2m in the kitty as things stand so with current funds and if all the warrants are taken up we’ll have 75% of the project and around £1.8 in the bank having spent another £1.2m on drilling the project.
My point!? Well funded with minimal dilution and 75% of the project by early 2022!
I dunno, that’s why I was asking. Given the spread at the time could be a sell and the reason for the afternoon drop?
Was it definitely a buy?
Hopefully we can hold onto our £10m market cap for some time to encourage the directors to take up their £10m mc options.
Apologies if already posted and thanks to wrtmf on Advn for posting a link to the article. Good find wrtmf!
https://www.proactiveinvestors.co.uk/companies/news/940131/cobra-resources-has-attractive-australian-gold-projects-940131.html
Really need news! In the meantime does anyone have a link to the prospectus? I can’t seem to find it on the Cobra website. Thanks in advance
So given the news on Friday we have to assume that BHP/NCM were oblivious to the delay in the PFS and that it appears Alpala might not be economical!? I’m sorry but there’s no way they wouldn’t be aware of the developments in the last 6 months so why were they so keen on a placing rather than SolGold getting funding from FN?
I keep asking myself why did the Chinese investment firm happily invest at 32p!? They surely would have known about any potential issues with the PFS before stumping up $5m and wanting more if reports are to be believed. Something is fishy here!
“So far, 14 highly mineralised targets throughout Ecuador have been assessed, several of which the Company believes have the potential, subject to resource definition and feasibility, to be developed in close succession or even on a more accelerated basis compared to Alpala.”
It’s always been part of the plan to find an easier deposit and develop that first. Can’t remember the exact wordings in many many previous news releases but they always hinted at somewhere could be developed faster than Alpala. Only problem is up until now that elusive easier deposit hasn’t been found yet!
I don’t understand how they can talk about open pit mining as an alternative. What if after drilling that doesn’t prove to be an option then what!?
So maybe whoever wrote the Crux report knew a lot more than what we thought. All momentum lost now, we need funds this year for more drilling so looks like NCM/BHP will get their cheap shares after all and I wouldn’t be surprised if there is indeed an offer at 55p for the whole company around April as mentioned in another report posted last year. If our SP is down in the high teens by then (really hope it isn’t) unfortunately most shareholders would accept the offer given the mess the company is in!
Oh dear! I wonder if this decision has anything to do with struggling to raise finance for the original plan?
We really need news here to maintain momentum. I know we just got results back from Barns so that will help determine future drilling but hopefully we’ll get a 2021 drilling programme sooner than later!
I wouldn’t get hung up on a JORC update. I’m expecting a lot more drilling before it’s updated but I might be wrong.
Next positive drill results (might be some time!) we’ll make an all time new high so higher than 3.7p!