Member Info for RichyRich1

Would it be fair to say this is Cornerstones last throw of the dice? If they did manage to call an EGM and Nick Mather was voted to stay then they are well and truly ****ed?

I can see why NM rubs some people up the wrong way but thinking objectively what he’s achieved bringing Alpala to where it is now should actually be applauded. It’s not been Newcrest (other than financially) certainly not the leech Warren Irwin or Cornerstone but serious hard graft from NM and his team to unearth and prove up Alpala.

Oh dear! I really hope for our benefit NM outmanoeuvres this. If he doesn’t and is ousted SolGold will be getting taken over on the cheap so Cornerstone/Irwin/NC can get their way.

I have minimal shares that don’t make much of a difference but I’ll be voting to keep NM and the current board in place.

Drilling begins in September Charlie.

I’m convinced if the offer to Cornerstone including Nick Mather stepping down they would snap the offer up! The chances of NM stepping down is about the same as Cornerstone accepting the current offer! I really hope (and apologies to any Cornerstone share holders out there) NM plays this out and snaps up the 15% of Ensa for a pittance. NM has never once insulted any shareholder in Cornerstone but their biggest shareholders are throwing around very personal insults towards NM just because they’re not getting their own way like school children. I question their integrity and professionalism but the same cannot be applied to how NM has handled this debacle.

If Nick can somehow fast track the BFS and release it early that would turn up the heat on Cornerstone!

They’re playing a risky game here hoping BHP come in with a better offer than SolGolds. If I was going to make an offer considering regardless of how good SolGolds offer was I would undercut the offer knowing Cornerstone will never sell/be taken over as long as Nick Mather is at the helm. All Cornerstone is interested in is a cash offer. They are hoping someone will buy their Ensa stake (which they can’t sell without permission from SolGold) for 15% value of NAV I’d imagine so around $400m. No major is going to buy 15% of Ensa when they will still need to cough up the same again towards development costs! Cornerstone are screwed!!

Maybe Swazer is the Orang-utan!

Does anyone know how many shares Cornerstone have sold over the last few months? I wouldn’t imagine their overheads are particularly massive so why keep selling?

Quady....the following is taken from this site...

https://solgoldofferforcornerstone.com/why-accept-the-offer.php

“ Under the current structure, after completion of a Feasibility Study at the Alpala Project, if Cornerstone wishes to maintain its 15% interest in ENSA it will be required to fund its pro rata share of development expenditures at a minimum of 10% of the required capital on an ongoing basis during the highly capital-intensive construction phase of the project. SolGold expects Cornerstone will face significant obstacles in financing such contributions particularly with the current capital expenditure estimate of US$2.6-2.8 billion implying Cornerstone will be required to secure up to US$390-420 million of financing”

What I would like to know is how Cornerstones 15% of Ensa can be diluted under 10%?

Maybe tidying up the 15% of Ensa is part of the conditional financing offer for the mine development? If Cornerstone don’t accept the offer and if no other company comes in to buy them out (seems unlikely but you never know) there’s still 15% Cornerstone need to contribute to the Alpala mine development. How can they possibly come up with 15% of $2.8B!?

AGM today isn’t it? RNS later today/tomorrow resolutions passed?

Whilst we wait for stage 3 news this is worth a read.

http://www.australasianscience.com.au/article/issue-september-2011/olympic-dam-story.html

The board is certainly using a methodical and scientific approach to exploration before the drills get turning. With any luck this technique might unlock a biggie too!

Presto....the way i see it and I might be wrong, would be investors jumped in thinking this was the next overnight multibagger without doing any actual research. It was always going to be year end 2020 before potential was realised as long as the drilling results are positive! If they are positive double digit SP real possibility and IF (big IF) there’s any hint of an IOCG deposit it will go ballistic. All ifs buts and maybes but that’s the nature of exploring.

After watching the presentation again last night I didn’t pick up on the 33% equity for the drilling company is 33% of the cost of drilling! If this amounts to £500,000 thats 8.25m shares at 2p so a lot less shares than I previously thought!

http://www.energymining.sa.gov.au/__data/assets/pdf_file/0009/353718/ADI_investment_guidelines_Feb_2020.pdf

I know I’ve already posted a link to this previously but key dates from the document below. I wonder how much of a delay there has been due to Covid?

29 November 2019 - call for expression of interest
20 December 2019 - online EOI closes
February 2020 - call for proposals
March 2020 - proposal assessments
March/April 2020 - announce recipients

Funding...

“For exploration drilling, co-funding is available for up to 50% of direct costs, to a maximum of $250,000”

I wonder how much of our drilling expenditure is going to be assigned to the greenfields/IOCG?

Looking forward to stage 3 results and drilling plan for H2. Should be exciting!

Hang in there Presto. Next 6 months could be transformational here even for those that bought at the 3.6p peak. Even if there’s no IOCG deposit if they can prove up 1m oz by year end by my calculations that’s a £17m market cap at 1% in ground value! Even half that (£8.5m) is almost 3 x current market cap or roughly 6p per share. Need to wait another 4-5 months minimum though potentially for drilling results so no over night rerate unless there is a hint of an IOCG then double digits overnight would be possible!!

Yes I’m also in SolGold Mrshiba. Way way undervalued and think next 6 months will begin to fulfil its potential as long as Cornerstone debacle gets sorted! I took some funds out of Solg and bought in here as see bigger returns from Cobra in next 6 months that I could get from SolGold. Let’s see if I was right or not! If drilling here is not positive this will tank but currently undervalued as it is so confident with risk reward!

We’re just at the start of the journey here. The directors might be eligible to some of the warrants and will cash them in when the SP is double where it is now. I’d imagine we’ll get news about stage 3 completion before the AGM on the 30th. Next month drilling programme and somewhere in between that news about the ADI funding potentially. Don’t expect a serious rerate until after drilling assays have been completed as long as they are positive obviously. Any hint of an IOCG deposit SP will go ballistic especially with so little free float shares available but that won’t be confirmed/known for another few months.

Worth a read! Apologies to those who have already read it but good info for those that haven’t.

http://www.energymining.sa.gov.au/minerals/about_us/initiatives/accelerated_discovery_initiative/ADI_investment_guidelines

I know it’s a bit early to be thinking about this but inevitably will happen given the nature of exploration.

What I hope will happen with future funding so purely speculative on my behalf so apologies in advance.

I’m not 100% sure if we’ll fully funded for the first round of drilling? If anyone knows for sure please let me know.

Currently 186m shares in issue.
100m warrants at 2p.
33% equity due to drilling contractor (55.8m shares)

After first round of drilling issue another 50m shares at 5p for £2.5m.

100m Warrants taken up at 2p for £2m.

£4.5m in the kitty for drilling/exploration and 373.8m shares in issue.

IF we get 50% ADI funding for the IOCG deposits that would put us in an even better financial position.

One of the reasons I was attracted to Cobra was the low number of shares issued. Hopefully they can minimise dilution going forward.

Next fund raise after the above and hopefully with a growing resource another 100m at 20p (at a £74m market cap) for £20m and still only 473m shares in issue!

Bring on the drilling!