Adam Davidson, CEO of Trident Royalties, discusses offtake milestones and catalysts to boost FY24. Watch the video here.
Just to put things into perspective Bill used the term “silence is golden” on two occasions last year in reply to 2 different questions.
The first was on the 22/07/21 in the presentation with Sarah Lowther when she asked how much Bill and Glenn thought would be a reasonable offer for the entire portfolio, after a short pause Bill replied “Silence is Golden Glenn” then Glen went on to say it wouldn’t be a great negotiating stance to put a price out there but a lot lot more than where we are currently trading at. Bill went on to say Cenkos put a price out at £64M and an sp of around 64p. (It was actually 66p) and not including battery metals. The next time it was used was 21/10/21 in reply to Sarah’s question that your very busy and there could be lots of other things on the table as well. Bill replied after a short pause Silence is Golden.
So in actual fact the term was only used in reply to the question that he couldn’t answer regarding things on the table which is not in the public domain and that is totally understandable.
All last year when Interviewed Bill talked mostly of a sale and how it may be done with the sending out of EOI (expression of interest) and also talked about NDA (none disclosure agreement) being signed by our possible buyers in the area.
All the clues are there and we still await news, I’d like to think we are currently in what’s termed as a “radio silence” period which could mean we are possibly in discussion with prospective buyers or some sort of deal and of course the NDA comes into play. It is a known fact that companies go completely quiet before they announce a possible offer or deal of some sort and this is where we could be.
If that is in fact where we are, trying to negotiate a price for all or part of the company it should be perfectly acceptable as far as share holders are concerned and holders will not need to do anything. Usually an offer doesn’t come in until after the PEA so we may see the PEA first but I Believe Bill and his team are trying to get the best possible deal for all and to go out on a high after his glory days at brancote. After all the LND team are aligned with us share holders and it is in their own best interest to get as much as possible for all.
Premier Doug Ford unveiled plans Thursday for Ontario to capitalize on the growing global demand for minerals that are crucial to technologies such as electric vehicle batteries, smartphones and laptops.
The government provided CBC News with an advance copy of its "critical minerals" strategy, publicly released by Ford Thursday morning at a mine north of Thunder Bay.
Critical minerals — including nickel, cobalt, lithium, and platinum — are already a $3.5 billion-a-year industry in Ontario. They're classed as critical because of their essential role in the production of specialized technologies. Their supply is also typically at higher risk than the rest of the mining sector because of geopolitics and market demand.
China, Russia and the Democratic Republic of Congo are currently among the biggest global sources of various critical minerals. Russia's war in Ukraine and the sanctions slapped on the country's economy, make Ontario's announcement particularly timely.
The Ford government wants to position Ontario as a reliable supplier of critical minerals and calls its 53-page strategy "a comprehensive, five-year roadmap" to do that.
Brief summary read the rest here below.
https://www.cbc.ca/news/canada/toronto/ontario-critical-minerals-strategy-doug-ford-1.6386775
Wonder if we could expect something like this in the near future.
Or news on a sale of something or all of company.
Not long to wait now.
https://www.mining.com/cerrado-signs-20m-stream-deal-with-sprott-on-monte-do-carmo-gold-project/
Thanks for your reply Catbert.
I understand the market is waiting for news regarding the way forward and possible funding.
My thoughts are the 20p warrants that are outstanding will be exercised to provide funds to take us to the sale. These will not be cashed but held for the end game. I’ve thought about this quiet a lot and it’s an easy way to get approximately 20million shares for 20p each imagine trying to purchase these in the open market the sp would fly. Once these shares are exercised we will have funds in place to take us to a sale. I know we have funds that haven’t been used for the drilling at Felix which is still funded I believe and also the fact we have had previous warrant money coming in and more to come in July. Let’s see if I’m right. I personally am not worried just waiting patiently like I have since I invested. Have a good day all.
I found that article very interesting not only does it show what assets we have are excellent, it also points to the fact that there are miners out there extracting Gold and base metals from the same assets. Also now that these we have are very valuable could mean that when the pea is released our AISC will be lower maybe? Like in the article below from that company.
Fact is imo we won’t be mining anyway that’s just for whoever snaps us up.
Anyway must get on, enjoy the read folks, have a good day all.
4. Metallurgy: the simpler the better
“Metallurgy is more—is [the gold] really fine grained? Is there carbonaceous matter, which means you have to spend more money on reagents and the like?” says Ulrich.
If an operation is getting over 95 per cent gold recovery through the mill that’s very good, he says.
“Most of the deposits out there are over 90 per cent. There are some that have extra metallurgical issues and are down in the 80s — you have to be wary of some of the operations that hit that 80 mark especially when arsenic is involved, which provides an extra environmental issue to overcome.”
https://stockhead.com.au/resources/when-it-comes-to-gold-deposits-grade-is-not-king/
3. Orebody Size & Thickness
The scale of the operation is important, which generally relates to the ‘geometry’ of the orebody.
“Smaller operations are generally higher cost than larger operations,” says Ulrich.
And thickness of the mineralisation is very important.
Are things like thin widths combined with a steeply dipping orebody a red flag for investors?
Potentially yes, Ulrich says.
“Once true width gets below 1m it can have issues as there are minimum mining widths which will dilute the grade,” Ulrich says.
“[ex Doray Minerals mine] Andy Well is a good example. That was quite narrow at a reasonable grade. The problem was that it was getting too thin and too diluted when they mined it.”
2. Depth: Open Pit v Underground
Grades can vary considerably for similar AISC depending on whether the gold ore is extracted via open pit (shallow and less expensive) or underground (deeper and more expensive).
In its June Quarter report, Aurum Analytics found for the companies that report AISC, the average reported grade was 3.58g/t.
Open pit and underground operations averaged 1.67g/t and 5.77g/t respectively, while combined open pit/underground operations averaged 2.27g/t.
The ‘grade is king’ mantra is not always evident in open pit mines, says Ulrich — other factors, such as strip ratio, come into play.
‘Strip ratio’ refers to the ratio between the amount of waste (dirt or rock) that must be removed to extract one unit of gold-bearing ore. The lower it is the better.
1. Don’t compare mineralisation styles
Comparing results between mineralisation styles just doesn’t work.
“In my opinion, you definitely need to separate deposits by mineralisation style — orogenic, epithermal, porphyry, IOCG (iron oxide copper gold) and so on,” Ulrich says.
“The two lowest cost mines Ernest Henry (iron oxide copper gold) and Cadia (porphyry) are low grade compared to Fosterville (orogenic) – probably the highest grade [gold] mine in the world at present,” Ulrich says.
“But both Ernest Henry and Cadia benefit from copper credits.”
Because of these credits and their easy-mining large volumes, porphyry orebodies can be economic from really low grades.
The downside is that to develop them requires a huge amount of capex — something a small company can’t do without a large company as a partner, Ulrich says.
“You could be up for a $1 billion-plus capex,” he says. “The little explorer can’t do that.”
When it comes to gold deposits grade is not king.
In mineral exploration and development, especially gold, there aren’t many sayings more ubiquitous than ‘grade is king’.
This well-worn proverb infers that higher grades are important above all else to the economics of a potential mining operation.
Of course, all else being equal higher grades are king. But things are never equal between mining operations.
Factors like orebody depth, metallurgy, size, and mineralisation style differ wildly and play a massive part in measuring all in sustaining costs (AISC) – that’s the amount it costs an operation to produce one ounce of gold.
Sam Ulrich, director at Perth-based Aurum Analytics, says gold grades “are not the be-all and end-all”.
“At the individual deposit level grade is king, but when comparing two or more deposits it is not,” he told Stockhead.
“When you start comparing different mines – that’s when the idea can fall down.
“One deposit/mine’s 7g/t might be equivalent to another’s 4g/t.”
Let’s look at Australia’s lowest cost mining operations.
In the June quarter this year, Evolution Mining’s (ASX:EVN) share of the Ernest Henry operations was the lowest cost producer, reporting an AISC of $-644/oz followed by Newcrest Mining’s (ASX:NCM) Cadia Valley operations with an AISC of $174/oz.
Both these operations boast average gold grades of less than 1g/t.
And yes, you read that right — negative $644/oz. That’s because both these operations benefit from significant base metal by-products.
And even if you take these base metals credits out of the equation, the lowest cost “gold only” operations were Kirkland Lake Gold’s (ASX:KLA) Fosterville mine with an AISC of $454/oz (39.9g/t), then Alkane Resources’ (ASX:ALK) Tomingley mine at $807/oz (1.2g/t) and Saracen’s (ASX:SAR) Thunderbox mine at $897/oz (2g/t).
Those grades vary wildly. The #2 highest grade producer at 9.9g/t was St Barbara’s (ASX:SBM) Gwalia mine – which came in at position 22 on the AISC rankings for the June quarter.
Clearly there’s other factors involved here besides grade. What should punters keep an eye out for?
Ulrich says you can almost simplify it down to grade, geology, geometry and even geography if you are looking globally.
I can see the point SB1976 is trying to make. There’s no way we should be valued around 4X less than SHG even if that is producing gold albeit 50koz -70koz, that gap should be a lot closer especially with all the metals we have we should have a much better market cap here in contrast. I had a look at SHG last presentation and to be honest thought their AISC was quiet high compared to LND projected AISC. The market will catch on here especially if we get an offer, News is due any day now. Silence speaks volumes.
Last trade yesterday 56,978 buy @ 22.8p not showing on LSE. Hope this comes out right when I press post it’s all in line before I do. lol have a good day all.
07-03-2022 16:20:11 07/03/2022 16:20:10 22.8 56,978 AIMX RM GBX
07-03-2022 15:55:03 07/03/2022 15:55:01 21.31 10,046 AIMX RM GBX
07-03-2022 15:27:29 07/03/2022 15:27:28 22.3 3,120 AIMX RM GBX
07-03-2022 14:56:57 07/03/2022 14:56:55 21.24 12,031 AIMX RM GBX
07-03-2022 14:00:22 07/03/2022 14:00:22 22 2,000 AIMX RM GBX
07-03-2022 13:34:52 07/03/2022 13:34:52 22.4 12,031 AIMX RM GBX
This podcast tells me we haven’t got long to wait for the PEA. Historically the PEA as followed within two to three weeks of the MRE. Then after the PEA possible sale around June that is my opinion. Have a good day all.
I think you should be saying 21oz a meter drilled not 21g a meter.
The Directors are delighted with the outstanding results of the latest drilling campaign on the BAM Gold Project, which has significantly increased the Resource from 1 million ounces to 1.5 million ounces of gold whilst maintaining the highly successful discovery rate of 21 ounces of gold for every metre drilled.
Disappointed with the reaction on what is Great news but I think the RNS would of been better received if it had been published at 7am. In any event I’m still bullish about this stock and think this minor pull back will be short lived. Not a lot being priced in once again. PEA won’t be far off and an operations update may be RNSd soon. Time to get this SP moving Landore Resources show the market what you can do, after all you have done it before. Have a good day all.
Hi UR in my opinion I believe the PEA will follow shortly after the MRE like before so we won’t have to wait that long, Then I think the ball will start rolling with regards to a sale. This is exactly what happened with MARL in 2017 and I think the same will happen with LND.
Im expecting the SP to rally into the close today maybe a close around the 30p let’s see :)
Morning UR and good post as always, I think the MRE will be next week IMO. That will give us all a great idea at just what we have. looking forward to it and any interviews, podcasts that will come from the company.
exciting times have a good weekend all.