Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
AA offer from Xtract needs a JORC, so that won’t be it.
Flip side, there’s nothing to stop AA offering early, both sides could agree a deal outside of contract if they both wanted to.
No drill updates (historically RNS)
No geophysics update to say team started (historically RNS)
Price going up and not down during radio silence (historically goes down)
Chunky buys going through as well.
Make of it what you will, I suspect there’s now a nice breathing space for the LTH / regulars on this BB, just sitting and waiting.
Whatever’s going on / strategy, seems to be working a lot better on SP than 2021 (although very different beast, not sure if it’s comparable)
Not me Ella, I’m all full to the brim and even bought more outside my ISAs, then more to cover potential tax outside of ISA shares.
Think a 6p fill has been on all week, someone’s got their hoover out - Mr Terry???
Iwto - just a best guess on info provided, yes RC looks like it’s open, but I’d expect CB will be looking at the 2mt and calling it a day on RC once they think it’s passed (CB has called 2mt out at RC enough, seemed matter of fact in last interview)
This would then allow more drilling into Ascot, given the limited time / holes now remaining. I’d want to cover as much ground as possible.
There’s also CB comment about thinking the mineralisation moving up to surface, I’d guess you’d put a couple more holes in Ascot to start reaching that estimation / comment?
All guess work with info provided and CB comments about providing maximum shareholder value, now he’s starting to call end date out.
Had another listen to this over the weekend as have a bit more time:
https://audioboom.com/posts/8019563-midweek-takeaway-with-colin-bird-executive-chairman-of-xtract-resources-aim-xtr
Metallurgical tests sent away for Racecourse / Ascot with expected three month return - end of April and fundamental for recovery rates ie plugged into final open pit calcs. So the very earliest we’re going to get a sniff of new model will be May / June.
Geophysics mid Feb with goal of finish by mid March. It’ll take a couple of weeks for this to be carried out and then a couple of weeks for analysis. Would you drill from this? With drilling time and assay time, it would put into July / August - out of scope on new project timeline, so must be going on to support inferred resource and add value?
Down to one drill, suspect this is will be Ascot focused for the next three holes / six weeks until geophysics gives new targets (if this will be drilled?) Probably been done to manage budget flow, they’ll know targets and have projected cash flows. I’ve only said three holes with one drill as this would take until end of Feb - past this and assay results wouldn’t be back in time (might squeeze a few more in to test near surface / short holes).
Guess this is linked to the two drill comment from CB, he’ll be weighing up time / cost / reward side of the project for the end date. Must have an idea on what he can prove with one drill vs two and the value for shareholders.
New drill pads? Was mentioned in previous interviews during the Ascot discovery, but no update yet. Given time lines, can’t see any point - unless it’s part of the sale and again adds value?
Drilled 40 holes now…. Had hoped to see some feedback from 37,38,39 and 40 given some of these will be pretty key in understanding the size of Ascot for the inferred resource estimate. Are we going to see many updates between now and finish line?
Isn’t that the point of an independent evaluation for Bushranger?
Once the mine has been valued independently (SP not relevant), then the negotiations with AA start. If they don’t like it, walk away.
If the SP doesn’t reflect anyway near to what Bushranger has been independently valued at that point, then that’ll make it harder to discuss with other interested bids post AA clause (if that stage is reached)
Just my take on it.
Not sure what CBs plans are for drill updates are anymore, it’s definitely changed over the last couple of months, but no official guidance issued.
With assay results issued for Ascot, it won’t take that many more drill updates (assuming there’s good sections of copper) before anyone in their right mind will see the 2mt is long gone.
However, I think (it’s been debated enough) that until the JORC has been updated, he could just keep churning the results out and the AA clause won’t be triggered?
Typed and deleted that one myself many times Steve, patience :)
Last time we didn’t get drill updates for this length of time it was a double whammy on drill updates, with surprise holes.
I’m hoping for….. this is what Ascot looks 750m drilling northward bound and this is what Ascot looks like drilling 750m southward bound. Open in all directions, in a put that in your pipe and smoke it update.
Given all the drama of the past few weeks, I’ve been reviewing the original targets again on the presentation:
https://xtractresources.com/wp-content/uploads/Bushranger-Summary-Presentation_April-2020.pdf
Page 6
The next potential target shown below Racecourse is White Springs, is this Ascot or another potential target further south for three in a row?
Difficult to tell with scales involved.
Troajan - yep, watching a few and trying to weigh up entry point vs risk. Also seeing a few names popping up across the boards.
HGW - Lower grades are mineable and volume is growing, hence interest and buy in (at these prices, rude not to). But if it’s really going to work, then a quicker payback on capex with a bigger area of higher grades (ie 0.30+) feels like a must - just helps investment cause when you’re spending 100’s of millions.
There’s glimmers of something bigger and with higher grades still to be hopefully expanded / found - but a lot of work to do.
For the larger volume open pit mines (0-600m), ideally you’ll need a reasonable area of higher grade copper (0.3 -0.5+) to de-risk capex investment and pay for the mine, you can then move onto the lower grade areas (0.15 - 0.3) assuming cut off remains at this level and it’s viable.
Or higher grades / thick veins to chase for deeper mining (below 600m).
ROCK at the moment has glimmers of the two, but needs a lot more work.