George Frangeskides, Exec-Chair at Alba Mineral Resources, discusses grades at the Clogau Gold Mine. Watch the full video here.
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.
Iceberg, you’re an absolute legend and have called it right so many times, massive thank you.
‘300-400m at .8 to 1.0 CuEq’
I’ll join the Xtract team down at Mc D’s and buy you a Big Mac after the next AGM if that comes in.
Really nice set of results, even racecourse ‘waste’ area has a good level of copper.
I’ve given my opinion on why I’d speed up assay results for Ascot and prioritise over racecourse (raise) - hopefully I’m wrong and given CB cracking interviews yesterday, I’m thinking it’s more to grab attention of Ascot potential.
Certainly got my attention, first hole at Ascot and it’s a cracker - few more of those please.
There will always be a debate on how much drilling / testing to do and you have to trust CB and team will get the balance right. One way or the other, not all investors will be satisfied.
Remember, there’s a shortage of drill teams (we’d need way more than two), delays in assay results and other than Racecourse, a huge system(s) to prove up and get JORC compliant to a detailed level - it will be death of a thousand cuts.
JORC Racecourse, prove the viability of mine, outline a rough Ascot (and others?) 100% prove the science and then sell - really does seem the best approach if the goal isn’t to JV or spend years and years on this.
If you think CB and team haven’t got the balance of time / reward for investors at the point of sale, you can always invest in whoever buys Bushranger - I’ll be buying a few for a very long term investment to see how it plays out.
Looking back through all the assay results, very few have reported back less than 0.25, even when the team are sounding out at setting the bar at 0.15.
Makes me think there’s a large part of the racecourse resource that hasn’t been reported yet and given hole 17 was into waste / bonus zone and 14 was well outside of higher grade zone, might not see results for these holes until the big reveal.
All that meterage being tested (and results not shown) and the two/three weeks over Christmas break could explain gap. Especially if we start seeing 18 / 19 / 20 onwards.
On the drilling, Hole 38 must be about finished after the Christmas break and expecting the RNS for that imminently, thinking about this more than delays in assay results as could show:
700m x 400m x 500m
140,000,000 size
378,000,000 weight
0.30% Copper equivalent
1mt+ copper to total amount and smashing 2mt total and that’s just for starters out of Ascot.
However, market probably won’t react until assay results are back, even though the pictures for 33/35 look fantastic.
Hole 37, no idea what the goal for that one is (apart from finding copper, obv) looking forward to seeing what the unearths.
Just throwing it out there as a thought whilst we wait for news
Isn’t he after best of both worlds?
Confirming 2mt(ish) at Racecourse and proving a rough outline for Ascot + other(s) over the next 6 months
Yes, it won’t get top whack - but get the sense I’m getting is that it’ll do nicely and it balances time / reward.
Unless I’m reading it wrong?