RE: Forward Outlook4 Jun 2025 09:41
Regarding toll mining, Cnr is a good comparison in many ways. They tried negotiating one with b2 gold and then calibre after takeover. It never happened even though there was plenty of spare capacity. B2 did do a sample run and confirmed very high recovery rates and high grade. Cnr planned to use high grade feeder pits for tolling. Cnr received their full permutation to extract and build in aug 2018. They started acquiring surface rights around 2015, a process that was painfully slow. CEO stated that going to production could be done from pfs. I disagreed stating that they would need bfs for funding. They did carry out a bfs at around $8 m to take 600 k oz to proven reserve status. Once the bfs was published they anounced that funding wasnāt possible and for sale . Most posters there continually latched on to the most positive scenarios right up to the point of sale and were disappointed. Then finding that large holders dictate any deal as seen so often eg Shg, contaminate and many others. Another point from Cnr. They had a number of institutional investors early days including the ifc and at one point 2 billionaire investors. They mostly changed position and when they sold out it depresses the sp for months each time. Mr Mellon , a well respected billionaire investors stated that Cnr would be producing 150 k oz last year a few years ago. I stated it was rubbish to much derision but it was in fact rubbish.
Brad rightly points out that we are at a bit of a crossroads but the market likes clarity. Personally waiting to see where we are after consultants reports to know the real direction.
Well done Stoneo on your prediction recently. Hope you are actually benefitting from it. Didnāt see this trading possibility unfortunately but hey ho.