Member Info for Steve4077

Yes, apparently Zak Mir predicted retrace to 4.5 then up to 11. I'm not a huge believer in charts, but if that does happen I'll listen to him more in future :)

Yes, terrible situation. He managed to raise £5m at a price double that of the closing price 10 days ago and also found almost a kilometre of copper mineralisation in a great jurisdiction, with nearby infrastructure and close to some huge mines with similar results. I wish more of my stocks were run this badly :)

Yes, same here. No point worrying about what might have been though :)

Even at 9p, the share was good value so I didn't want to risk being out of it. Now we have a placing 11% below current price, so we should be bouncing from around that level.

Forget the highs and lows of the last few days. This is effectively day one of an exciting, fully funded program of proving up a great resource.

I see we have attracted the de-ramping crowd in the last day or two, surrounded by the usual miasma of doom and gloom. Nothing but repetitive fear-mongering and misleading posts, preying on those without good knowledge of the company. They either try to scare people into selling (which at least has some motivation if they are trying to buy), or just for their own pleasure in tormenting those people who don't know what to do in reaction to the downswing.

I realise this can be effective, or they wouldn't be doing it. Even so, I do wonder about the character of the schadenfreude brigade. How sad and insecure their lives most be for this to be their chosen form of entertainment. Helps me appreciate what I have.

There are

If you had told me a few days ago that a share would crash 30% based on confirmation of almost a kilometre of copper mineralization in Australia in an area with high-cap existing mines, I would have assumed you were crazy :)

Now I can't decide whether to add more, or wait out the mass hysteria :)

Also
"We've done much better than we could have possibly imagined"
"Fully comprehensive analysis of this hole to the market next week"

Yes, sound was really bad. I think he said more drills to determine 3D extent, plus analysis and assays. The expert is writing a detailed report so maybe we will see that within a few days.

>> I suggest it is more a case of just how good the grades will be to determine how much higher the valuation goes from here

Yes, agree. However, we do have existing drilling for Racecourse:
https://xtractresources.com/wp-content/uploads/Bushranger-Summary-Presentation_April-2020.pdf

Includes two separate holes with 159m @ 0.6% CuEq and 169m @ 0.5% CuEq. While that doesn't mean the new hole will be similar, it at least provides some indication. Also, these were much shallower and the RNS stated mineralization increasing at depth. Fingers crossed :)

@theiceberg

I know you are familiar with SOLG. Here is the July 2016 drilling result for Cascabel

"Ø Overall hole intersection upgraded from 948m @ 0.54% copper and 0.53g/t gold (1.01% copper equivalent) to 948m @ 0.60% copper and 0.53 g/t gold (1.07% copper equivalent)."

In the following three months, the share price went from 4p to 28p. After 6 months it was 42p. That was in Ecuador in a difficult location with no infrastructure. What would have been the reaction for the same strike in Australia?

>> Lets have a debate about it....

You are assuming that the de-rampers have an interest in accuracy or understanding. They just want to spread fear and doubt to get the price down. Either for a short or cheap entry.

This is a huge porphyry in a great jurisdiction with existing infrastructure. Previous drilling of the same area has grades above 0.5%. This is all from the first drill. The company has potential income sources elsewhere so dilution probably not needed. Copper is heading up and AA have a buyout clause that is probably worth several hundred million. Finally, the market cap is less than £35m.

If anyone has even a basic understanding of the company, its a steal at the moment.

I'm out today, but not due to concerns about UFO. I was just using the money for something else.

>> There is nothing bad with selling out at a peak price.

Be sure to check back in 3 months - just to confirm your good decision.

I topped up at 6.4 about 5 minutes before RNS :)

Oops! Would have had a few more shares if I had just waited. Even so, topped up again at 5.35 :)

Just filter him. No one is listening anyway and the irritation vanishes with the green boxes :)

LOL I guess L2 just grabbed it :)

The price drops 10% early doors but I can't buy anything :)

Tried as little as £500 on II.

>> Bloody price keeps going down.

I suspect its simply that most private investors don't bother to do research. You can tell by the comments on forums. They made 100% and see the price falling, so panic and sell.

How many investors actually understand the basics of porphyry systems, including what the drilling results mean? How many have read the agreement with AA and understand it. How many of those will understand the likely value of the copper while still in the ground and compare that to market cap.

Its hard to understand why the price is falling if you have the right knowledge, but try to look at the share from the perspective of someone without that knowledge and then estimate how they might react.

Why would there be a placing when funding is already in place for the drilling?

>> How do you tell the difference between gold and copper by looking at the cores? Will the copper expert be able to tell the relative grade split?

Gold content will have to wait for the assays in a few weeks. You can't determine that from visual inspection or XRF. However, you might see minerals that indicate a reasonable chance of gold being present.

>> Well bad thing I did was that I purchased it at 8.5p where as I should have purchased it at 1.85p where I saved it

You can get caught buying on a spike. The good news here is that this is very likely a major tier-1 discovery for a low-cap mining company, so 8.5 might look like a great entry point three months from now. You need to do some research and work out the likely value of the company and then compare that to the market cap at 8.5p (about $52m).

There is always some risk involved, but junior miners are all about risk vs reward and based on what we know so far, this doesn't look very risky :)

I could be wrong of course, so do your own research.