Member Info for RightOn

With a fully funded drilling programme, and a choice of targeting gold or silver, or even perhaps gold AND silver, not forgetting copper, the stars appear to be aligning themselves for this company to really shake off its cloak of being undervalued and overlooked.

I've been a shareholder since pretty much the beginning, and I have always had confidence that this will come good. Now the confidence is slowly being overtaken by certainty, as the share price creeps up towards a reasonable value. With the assets we have, and as we get closer to development and production, and the boxes get ticked and risks diminished, plus with cash in the bank, this share could be over 100p in months, maybe weeks?

Next steps up, this week or next, when the drilling results from the silver prospect in Red Star, to be closely followed by gold in Empire, are released. Anyone not in yet, watch out for these results...

from the FT yesterday:
"BMW has signed a €2bn contract with the Swedish battery cell manufacturer Northvolt, to secure supplies for its upcoming electric models as competition for core components heats up..... BMW added that it would work with Northvolt to source the raw materials for cell production, including cobalt and lithium"
And we've got a Cobalt mine within our portfolio, a metal which is going to be needed more and more as ev production ramps up That's something else to like about Phoenix!!

I was wanting to understand why the Red Star results had been delayed, so called to a director. And as an aside, why don’t more of us do this. I find them very friendly, open and willing to engage with a shareholder.
The conversation was interesting, and I learned as I often do talking with them, noting that I may have got some things wrong in my note taking, as I’m not an expert. The RC drill started in Red Star, but after several holes the drilling contractor, in discussion with the geologist, realised that the samples were not being produced with sufficient accuracy, as the rock was very friable (the samples are separated at the surface and calibrated by depth, so I am guessing they were mixing on the way up). This happens apparently. However the results did look good visually, and the contractor was very accommodating and freed up a diamond drill at short notice, and allowed the RC drill to move over to Empire, which was showing positive indications from the recent updated resource report, as we know.
With the diamond drill on site they started drilling again. I was told diamond drilling takes about 3 times longer than RC drilling, and then has a longer preparation time on the surface, as the core has to be sawn in 2 down its length, one for the lab, and the other to be retained. Then the lab (in Utah) closed due to Covid. All these factors pushed things back a little in terms of results, but the first assays should be back in the coming weeks and will be released when received. There was no bad news to report or being hidden, and I was again suggested to look at the photographs of the core samples.
The silver lining (pun intended) is that this allowed them to rethink the drilling programme, and to run the additional work in Empire in parallel, which is looking very good now. I must admit I overlooked this. I have been so focussed on Red Star, I failed to keep in mind that we are going to have a second set of results coming through in about the same time period, but these ones focused on gold.
So, we run the chance of having a double validation of fast tracked production, with the results coming through the summer, and the confirmed resources by the autumn.
All the above reinforces my belief we are in for very big gains when the market finally wakes up to this, with 100p likely before the end of the year, I would guess, maybe more.

Hi Tuscon, how are you and the Spanish sun? How is Covid out near you? I hope you're doing well.
To others, please excuse me whilst I hold a private (public) conversation with Tuscon over PXC. We last spoke some months ago with the sp around 15p, if I remember correctly. It's now heading towards 30p. If you haven't invested yet, you might like to consider doing it soon, as we're due some core results from the early project (Red Star), from which they have posted some photos in their photo gallery, to which my geologist friend said WOW!!! If you have any geologist friends get them to look at the photographs in the PXC gallery of the July 2020 core samples, and let us know what they are. We might be able to get a little advantage before the results are posted.
Meanwhile I'm delighted with my KAZ shares, and wait to see them hit previous heights. Do you think they'll pass 650p again any time soon?

I've had to laugh. Peacack (but with an o) is a banned word! not my doing....

Enough hints had been dropped in company documents and presentations about the photographs on the site, I thought I’d drop in for a look with an expert friend.

In photo 1 we have a good showing of chalcopyrite – the “fools gold” lookalike which is separated by the black stuff, which is the silver-bearing tetrahedrite. Chalcopyrite is the bog-standard copper sulphide ore and is hosted in the magnetite-andradite skarn – the decent length intersections of which Ryan referred to his part of the Interim results. He wrote “All 300 metres (seven holes) of the core drilled so far in 2020 have encountered andradite-magnetite in intercepts of 3.0 metres to 39.6 metres in length”. This must be what we are looking at in this photograph. Top grade chalcopyrite can contains up to 34.5% copper!

The silver-bearing tetrahedrite in photos 1, 2 & 3 is an important ore of copper and sometimes of silver.

Photo 4 looks like bornite aka Pea**** ore – I suggest you use google images. Bornite is a copper-red to bronze-brown colour sulphide mineral with formula (Cu5FeS4). It can be really beautiful. It is the highest grade copper ore, and can contain over 60% copper in some cases.

Further on there are several really spectacular showings of Argentiferous Galena and silver-bearing tetrahedrite. Although a lead ore galena can contain up to 2% silver, this byproduct can far outweigh the main lead ore in revenue.

My friend said almost every photo taken of ore at Red Star seems to show value, particularly silver, and these photos show things the company cannot say (until the results are back), that we have good, indeed very good, maybe exceptional, resources being delivered for analysis. I can’t wait for the results!

This share has a staggering potential. The way through is now becoming clearer from the RNS. It's a race between the silver in Red Star, and the gold in Empire. The completion of either project should see the share price rise up to a more realistic level of over 100p. But that's not all. Then we have the gold of Navarre. This could see the sp move up to multiples of present levels. Then we have the deep sulphides. Away we go, surely?

Shareseeker12, you ask “How much gold could empire have over & above what’s currently quoted in the presentations?”
And before I start, let me make clear that a lot of what follows is my speculation, and not based on anything known.

The Resource Update on the May 4th RNS, said they had 217,500 ozs M&I (Measured & Indicated), plus 125,000 ozs inferred of gold. The current drilling campaign is to both extend the known ore body and to upgrade Inferred resources to Measured and Indicated, so it’s not impossible that the next resource update (Q4 2020?) shows all inferred moving to Measured and Indicated moving to 342,000 ozs (almost a 60% increase) …. could be more, and we’ll know in Q4 2020! That kind of size M & I resource is enough to put the mine into production just based upon the gold alone, let alone other metals. Every reason as well to believe that if the gold resource can be expanded this year, it can be significantly expanded again in a later drilling campaign to extend the mine life or increase its production rate, as Phoenix have only explored a very small proportion of the property which has significant potential (Nigel Maund - the consultant geologist - reports on the Phoenix site concerning its potential are worth a read – he quotes Phoenix as having explored only about 1% of the potential ore system).

Aside from the current drilling, Navarre Creek is a prime Carlin type mineralisation, very similar to the Carlin trend in Nevada. It has a 6.1 km long strike along the property. Carlin–type deposits represent some of the largest hydrothermal gold deposits in the world (look them up on Google). This could be huge, and a multi bagger by itself, but that’s just speculation and any resource estimates will be at least a year away – but we may get better indications of its potential by Q4 from the current exploration work.

The elephant is the deep pit below Empire, with high grade copper, and good grades of gold. Average grade mined historically (beneath the oxides in the Empire pit) at depth was 6-8% Cu, and historically proven Gold 1.65 grams/ton. Similar mineralisations suggest our resources of gold in the deep pit could again be multiples of present resources.
So, here you have a mix of research and speculation, largely my opinion, and not offered as advice – and just watch the RNS’s for the rest of the year. But the short answer to your question is ‘lots more gold resource to be announced, some being announced as early as Q4, much more will be announced in the future – that’s why I think this is an exciting time to be in Phoenix and enjoy the ride as the current $ 1 billion measured and indicated resources are only going to increase and for a £16m market cap. That can only be great news.

FuelotFuture
Possibility of Antimony and Tungsten at depth. Maybe also not just gold, but LOADS of GOLD

Good afternoon GBennett.
I am perhaps the biggest supporter of PXC, but I was also disappointed with the presentation last week. The chairman had a bad day, no question. However, the Chairman does know how to get the funding sorted, and I did note down several other positive takeaways, such that they were mainly operating on owned lands which will make the route to production much faster, that in the ground the metals are worth around $1 1/2 billion, that there is a race between Empire (gold and copper) and Red Star (silver) to see which will get into production and making money first, that the main investor is a big supporter (and personal friend), and that the income will be used to finance the deep mines, which is where the real money will be made, among other points. The basics of the company have not changed, the data remains the same, and I continue to be a strong supporter. In review, disappointing presentation, yes, but opportunity, still fantastic. We are expecting the news of additional results any day now, and results are what matters in the end.

Don't forget the free presentation tomorrow afternoon (Thursday). You can register for it on hTTps://www.eventbrite.co.uk/e/hardman-co-investor-forum-webinar-tickets-106914355716

Balanced, you ask about small gold miners. I like Phoenix Copper (PXC) very much. Although they are an exploration and soon to be in production copper company, with recent discoveries making a substantial contribution of gold to the business. They are based in Idaho, USA, a very safe location, and are in the process of completing exploration on a couple of mineralisations before moving into design, construction and production. I like the BoD who appear to be very competent, and they have a plan to get early production achieved, to return shareholder value asap. Meanwhile the share is at a bargain price, and I believe won't remain therefore long. If this has interested you, there's a free webinar tomorrow afternoon at Hardman, and all you have to do is register., which you can do on hTTps://www.eventbrite.co.uk/e/hardman-co-investor-forum-webinar-tickets-106914355716

A third try. Mind the gaps
https://www. *************. net/copper-rises-to-5-month-high/

A second try
hTTps://www.*************.net/copper-rises-to-5-month-high/

The stars are becoming aligned. Copper hits a 5 month high
https://www.*************.net/copper-rises-to-5-month-high/

I had a little birdie whistling in my ear some concern after the webinar this week, from what I perceived to be a flat presentation, plus some other questions I’ll report on below, so I called to a director. The first information made me laugh in this time of CV. Ryan McDermott, the CEO, had his computer crash just 5 minutes before he was due to make the presentation, when the firewall and webinar software had an argument! Bearing in mind what happened, I now think they did a fantastic job. Flat maybe, but very factual, and interesting. If they survive all upsets like this, then I’ll be happy.

I noticed something in the RNS this week which I felt warranted further research, namely the use of ammonium thiosulphate as an alternative to cyanide for the gold recovery. I found that this process has actually been quite widely used, including by their neighbours Barrick in their Goldstrike plant (you can google this). I was told that some of the people from Phoenix had seen this used many years before in Uzbekistan, in the Muruntau gold mine in Uzbekistan, probably the largest open pit gold mine in the world, so this process is indeed well established. This process uses an environmentally friendly chemical, which can go into agriculture after use, has lower operating costs with lower capital costs (it is less corrosive), and with no problems for its disposal. I was assured in my conversation with the director that this process is freely available for use. With the high recovery of gold (above 97%) this is fantastic news all round, as it will most likely bring the timing forward to production through eliminating the cumbersome environmental investigations required for cyanide. That’s great news for the Empire open pit.

Now onto something which may be big. Investorman33 pointed out earlier in the week about the comment in the RNS "As part of the ongoing work programme at the Empire Mine open pit, a 400-pound metallurgical sample with a head-grade of 12.8 g/ton gold was collected from surficial outcrops near a known channel sample location that assayed 36 g/ton gold”. IM33 wrote this “suggests it might be part of a system which if drilled could even be big enough for a new gold mine”. This leads to my conclusion that the biggest revenue on Empire may well be from gold, and that this may be very big indeed. So I asked the director whether the 400lbs sample taken for the recovery tests was representative of a seam or system, and was told that we should wait for information to be divulged in due course. I got the impression this is not far away. If there is more gold, and if we are using ammonium thiosulphate, then we could be talking of an early gold mining project, and big, and earlier than end 2021 for Red Star. Please note that's my guess, and not any statement from the company. And please DYOR!

I got quite excited from that call!!!!!

Hi shareseeker. I personally would be disappointed if we're not at 100p by the year end. But I would also not be surprised if we're not a long way above that with all the good news coming out. Any other opinions?

I topped up this morning, and my buy was reported as a sell. I forget where I read it, but LSE have acknowledged their problems, and wrote that they're going to solve these issues very shortly with a new site design.

Wow, we've been blindsided, whilst we were all focused on Red Star, who expected this? Here is my summary and key messages from today's RNS (cut and paste):
# Precious metals tests performed on samples from the Empire open pit deposit using non-toxic ammonium thiosulfate ("ATS") reagent resulted in high gold recoveries of 97.8% and 97.7%
# The use of ATS, which is much less industrially utilized in the US, is praised for its non-toxic, environmental friendly, and low cost when compared to sodium cyanide
# We had anticipated that the precious metal ounces associated with the Empire oxide-copper would be processed using cyanide leach at sometime after the primary copper leaching due mostly to the time frame necessary for permitting a sodium cyanide operation. That may very well have changed with the receipt of these latest metallurgical results.
# This would allow us to time the processing of the Empire precious metals in parallel with the base metals given that we do not need to enter into a lengthy permitting process for the cyanide operation. This would present a clear advantage in a market with rising gold and silver prices, and bring forward the timing of precious metal production which will make the project far more robust economically.

My conclusion:
# The game has just changed. The recoveries of gold are an astonishing 97.7%. Phoenix can bring forward the Empire open pit mine into production much faster, since they do not have to go through the long and complicated permit process for cyanide. I’m going to guess that we’re looking at 2 projects being run in parallel, Red Star for silver/lead, plus Empire for gold/copper. Wow!!!
Meanwhile, over at Red Star, a complete project update will be provided in the next couple of weeks
BRILLIANT NEWS! What an update.

It's like A level time all over again.
We are promised news on the first core results from the recent drilling at Red Star before the end of the month. That's less than 2 days now to see what we're digging up. The suspense is building.
I really like the way they're building this company in manageable bite sized chunks, with each phase financing the next. Red Star first for silver and lead, and then the Empire open pit for copper and gold.
So long as we can keep the predators away, there's a lot of money to be made in this company over the years ahead.