Cobus Loots, CEO of Pan African Resources, on delivering sector-leading returns for shareholders. Watch the video here.
I think Trivinio forms part of the wider Alpala project given the potential that both targets join... Perhaps Alpala phase 2 of development once we've got the high grade core out to boost NPV and get a quicker payback for initial development costs?
Aguinaga I dunno... they've been drilling away but not been flagging much or sharing much in the RNS - up to hole 11 are they now?
Note the 11 drill rigs turning at present at Cascabel not 12 anymore... potentially one has been hired out to Carnegie Ridge Resources that holds the Blanca Nieves tenement.... it's only 2.5km away and the Government has introduced an expedited drill permit for early exploration so maybe we're using that to get some early drill holes to get info required as part of the Total conditional funding package NM was talking about with relation to the Alpala deposit development. It would also give a serious sweetener if NM can release info about what is under ground, how deep, grades etc for Blanca Nieves as part of any negotiations with potential suitors...
In terms of value I came up with £1.27 SP if the updated MRE or MRE#2 as they called it, is near the 10m tonnes of copper and 25m oz of gold that NM says they are targeting using the $0.07 per lb of copper and $67.50 per oz of gold (from some googling about potential values of in ground gold projects) just for Cascabel - let alone other tenements or deposits in Cascabel.
I'd like to get the PEA done soon after the MRE as that will give some decent meat to the economical bones of what development will look like and cost. That will enable us to better cost and price the Capital advantages (water nearby, sealed roads, cheap power etc...) that NM has been talking about and referring to as being in the range of $3-4b....
All will come out in due course of course. DYOR and GLA
Yup agree with you ByronBayGold it would be for Solgold. Too messy to try to bid for and dissect each bit. I don't think 100p would do it unless the MRE and PEA are out and they ain't as great as he's been hinting at with his presentations.
I can see the lot (whole of Solgold) going for between £2-2.5billion (£1.17-£1.47 per share) if we get and accept a bid within the next 6 months...if we get drill holes in other sites and are succesdful with big hits, especially the epithermal gold project at Blanca Nieves, if the PEA and MRE are very good, if pre-feasibility is positive, if the total conditional funding package is agreed and outlined to the market then.... well the sky's the limit really
If you mean re-rating, wouldn't you call a c85% increase in the share price in 2 weeks a bit of a re-rating? Not the final one of course but this ain't where we were at when we were languishing in the low 20's for such a long time....
AKGold Fruta Del Norte is a mine in development which is in Southern Ecuador, nowhere near Cascabel.... Look at the latest slide pack, slide 13 and you can view the companies that have Cascabel surrounded in northern Ecuador.
In a word and in my personal opinion Josepi - YES. They are industry recognised documents and procedures that have to follow stringent standards to outline a Preliminery Economic Assessment and Updated Mineral Resource Estimate. From there it continues to be sured up with Resource statements and Feasibility standards.
DYOR of course
Zoros - If you are referring to my post then I would suggest you look at my posting history, I have been in this share since September 2013 so I would not consider myself to be "frothing over my new found wealth" - have had ups and downs (unfortunately held through the rise to 46p and back again) but invested in this company from the first drill results and learnt a lot along the way.
My target for the SP is high, but that is because of the fundamentals of the business and based on proper calculations that analysts use (c$0.07 per lb of copper Eq). I agree that some people spouting very high figures without a proper evidence base is frustrating (i find it frustrating as well) but a proper target price using evidence, outlining full calculations and sharing for peer scrutiny is not "frothing."
Have you got an evidence backed perspective on where this share is going? I welcome all evidence based perspectives as I am always learning as well. DYOR of course
http://www.gowebcasting.com/events/precious-metals-summit-conferences-llc/2018/09/21/solgold-plc/play/stream/25981 Download the PDF of the presentation: http://static.gowebcasting.com/documents/files/events/event_00002866_AFCIYhB1.pdf
Hi Solgfinger - Here are an amalgamation of two posts i did last week off the back off the Diggers and dealers presentation. All are my own workings and all should DYOR and come to your own conclusions:
"Been going back through old releases in the absence of a renewed update and, for sh*ts and giggles, re-done my estimates on value of ONLY CASCABEL (not including any of the 10 other priority tenement targets) using the line on slide 3 "Targeting 10m tonnes of copper and 25m oz of gold"
So I know this is just targeting and not confirmed but if we use 10m copper AND 24m oz gold we get a potential in ground value of:
Copper -> 10m tonnes x $5890 per tonne = $58,900,000,000 or $58.9b
Gold -> 25m oz x $1205 per oz = $30,125,000,000 or $30.1b
85% (for our 85% of ENSA) of the above would be $75.65b....
So I know that some people like to use a % of the in-ground value to value a company but all analysts and transactions seem to be done based on the lbs of copper equivalent.
COPPER
So targeting 10m tonnes of copper = 22,046,200,000 lbs of copper (multiply tonnes by 2204.62 to get lbs) so c22billion lbs.
A takeout at $0.07 per lb of copper (source: http://www.redcloudks.com/rcks/solg-the-sharks-are-circling-is-a-bidding-war-about-to-begin) seems to be the mean level from some of the analysts pages of transactions over the past few years (during a pretty decent BEAR MARKET) at the advanced exploration stage. If we get PEA and Feasibility and the price per lb of copper goes up, if we get to development it goes up even more (to as much os $0.20 per lb from memory) so...
22,046,200,000lbs of copper x $0.07 = $1,543,234,000 -> 85% of that is $1,311,748,900 / 1.7 billion shares in issue at present and (abracadabra) you get $0.82 per share US$ or c63p per share....
GOLD
Googled how to value gold in ground for takeovers using historical takeovers between 1990-2013 (so it is old data but hey, this is just for fun eh...) which says between $45-90 per oz. There are so many variables which won't come out until the MRE update and PEA are released which will give a better idea of the cost to mine. NM has always said c$3b of CapEx savings due to logistical advantages, Hydro power, access to roads, railway water etc... Obviously the cheaper to mine, the more you would assume that one could negotiate for a project.
https://www.911metallurgist.com/blog/how-to-value-gold-deposits
But let's say a takeover price per ounce of gold at the mid-point between $45-90 so $67.50 per ounce x 25m ounces = $1,687,500,000.
85% of that is $1,434,375,000 / 1.7b shares = $0.84 per share or 64p per share.
Add that into my workings for the Copper and you get a total of £1.27 per share...
PLUS...... Two Epithermal Gold targets
PLUS...... Eight Porphyr targets"
The above is just desk based fun at the moment -> if we can get some value from other projects, if we can get funding secured, if we get hits at Aguinaga etc... All goes up, potentially mu
DannyDigit Cascabel is held by a a company called ENSA that we own 85% of. In theory if Solgold wanted to sell Cascabel but retain all other assets all it would have to do is sell it's 85% at an agreed price and used the funds to develop other assets, pay a special dividend or whatever.
I am pretty sure that Solgold would not consider selling Cascabel, it is the jewel in the crown and the key point of value (at the moment). I believe that NM wants to either:
A. Take Cascabel and other assets to production and create a globally significant Copper/Gold company with a pipeline of projects OR
B. Have Solgold taken out for lots and lots and lots of money
Either way there is significant value and upside for shareholders (including NM) A. will just take longer to grow the value but will be ultimately greater due to the potential for ongoing dividends from profits, B. will be quicker and still be a lot higher than levels we currently are but will only be a fraction of the full value that Solgold has in the pipeline of projects including Cascabel.
DYOR and GLA, all IMHO