Member Info for Strider4

Remember that SOLG is in the FTSE - it is holding up pretty well considering the damage that is going on elsewhere.

Fortunately, SOLG is fairly insulated given that it has one of the richest porphyries in the world - Alpala is going to be developed regardless of world economics. And regardless of downturns, electric cars will be the next big thing and they need a shed load of copper.

Honestly Schme, the only thing you will glean from L2 are short-term movements, so unless you are a day trader then I wouldn't bother.

L2 is HIGHLY over-rated. It comes a distant second to proper technical analysis.

Should add of course another BIGGIE along the way was if they unearthed Alpala 2/3/4 etc. Given the teaser data so far, it almost looks likely that there will be one or two more in SOLG's cherry-picked concessions.

And then of course, if they turn up some very attractive epithermal deposits that can be open-pit mined, I would imagine that the entire drill team will be shifted there to hammer that out as rapidly as possible. Fast track the studies there and get a lower CAPEX but still highly profitable mine up and running, without even needing to sell off Alpala. If you were to imagine a favourable scenario here, ten years from now could see SOLG with a huge, operational epithermal mine AND, the mother of all, Alpala operating in all it's glory, all still owned by SOLG - mcap at that time? $15-20 billion+ Truly they would be generating enough cash to BLITZ all of the other tenements and expansion could be exponential. Operating 3+ of these types of mines and SOLG becomes a big boy ($60 billion+).

Monte, you make ref to M&S and Unilever coming from humble beginnings and taking 100 years to get to where they are now. I see your "anything is possible" point, but I'd rather see an example in the mining world. Timeframes are signifcantly accelerated here, as in the mining world if you make a big find (Alpala), it can be transformational, as we have seen already. A basic timeframe, assuming smooth and efficient progression, might be PFS Jan 2020, BFS June 2021, Alpala mine starts production June 2023. Now, as the resource will be expanding all of the time and as we expect/hope drill permits will be issued for some of the other exciting projects, I would expect almost continuous share price appreciation with progress along the way. The BIGGIE in that timeline would be the closing of finance to build the mine, and that could happen as early as 2.5 years from now. Once Alpala is in production, the amount of cash that SOLG will be generating will be truly astounding.

Now, amongst all of that you have the majors circling. With one of the richest porphyries in the world being proved up, it is quite likely that they will end up fighting over it long before we get to that stage. NM may well be faced with a choice of takeover of Cascabel, OR, and this would be my preference, a JV on very generous terms to SOLG. The JV, whereby SOLG retains a strong percentage, would ensure huge revenue to the company for 30 years. Now that would be the game changer indeed.

That's not necessarily the case - I'm fully aware of the difference, and the difficulties in transition. The CAPEX for an epithermal deposit is far lower. If it came in at say $1 billion and SOLG's mcap at the time was a very possible $2 billion at the time, then arranging the readies should be reasonably straight-forward.

Alpala really is a jewel and perhaps NM really does want to keep hold of it, perhaps via a JV. But, at the same time the sale of Cascabel would allow SOLG to build it's own mine on one of the other opportunities. If they can just get Alpala up and running (maintaining at the very least a good stake), then SOLG will have a real long-life cash cow under its belt.

You don't half come out with some odd comments at times! What on earth was that 18:22 post about?

With this kind of market cap and the industry interest, a JV or part debt/part dilution funding are both distinct possibilities. In addition, SOLG may elect to develop their epithermal deposits first, generate cash and open access to better funding options based on a producing asset.

How you can even mention HUM and SOLG in the same sentance is a surprise to say the least.

Hostile takeover blocker?

Just love that phrase - I notice a few people have the habit of using it.

It's like only those who have been in this share a long, long time deserve luck!

Yes, that's a bit of a surprise. They've completed 100km of additional drilling at Alpala but are only using 82.4km in MRE2. So, that's been complete for some time already.

Are they in a hurry to get this MRE2 out? Interesting stuff.

There's an extra 20km that they're doing this year as well, so it will nearly be an extra 50km of drilling completed on top of MRE2 by the year end. MRE3 by March next year?

16th October 2013:
"Final assay results for copper-gold mineralisation in Drill Hole CSD-13-001 includes the following upgraded intervals:
302m @ 0.39% copper and 0.48 g/t gold from 16m, including;
100m @ 0.65% copper and 1.0 g/t gold from 222m."

Now, hole 1 Trivinio is looking rather tasty I'd say. What's the jackpot hole going to look like over there? Plenty to look forward to next year in terms of permitted drilling, let alone if any new permits are approved.

Hole 64 - 402m at 0.65%Cu eq is a bit so so, but the 162m at 0.95% Cueq (primary bornite min) is more like it. I'm not sure of the significance of the primary bornite but JW seems to get excited by it. They certainly have plans to do follow up drilling their next year and are talking about a second system.

The jackpot was hit in Alpala in hole 5. That's only hole 1 on Trivinio so far.

Hole 67 - 1028m at 1.29%Cu Eq (incl 544m at 2.17% Cueq and 146m at 4% Cu eq!).

544m at 2% and 144m at 4%. Hmm, methinks the high grade core is going to be rather large.

How do you like them apples Brent Cook?

Worth remembering that indicated ounces count for more than inferred in the PEA, I believe. They vertainly do in a PFS.

With treble the amount of drilling I expect to see not only the promised increase in tonnage but also a very significant conversion from inferred to indicated --> that will greatly improve the numbers in the PEA.

Schlemiel - interesting. Most of those are oilies...

FOG - When in 2019 is drilling due to start?
JOG - don't they only own about 20% of that one with 68MMboe - doesn't seem that big.

It's a case of wait and see now. One thing is for sure, the answers to a lot of important questions will be coming out in the next couple of months:

1) What is the updated total tonnage?
2) How big is the updated high grade core?
3) PEA - what is the CAPEX, AISC, IRR and NAV?
4) Hole 64 - have we hit jackpot number 2?

I have taken my position and I will be waiting to see what the answers are. The wild card in the mix is BHP - imagine trading this one and missing out on that 7am lockout RNS...

I think you were trying to hide a compliment in there somewhere Earthling...

FR, equally it could be the calm before the storm. I hardly think acouple of weeks of lull qualifies as the party over. Seen it time and again that this sort of action is a precursor to the next move up. The upcoming results (MRE and PEA) are by no means a given. When they are on paper, the project is hugely derisked and people can sit down and start talking about what has been "proven" (to indicated and PEA standard) to be there, rather than speculating.

What might BHP be waiting for? Well doubtful that they have the final answers on paper for the MRE and PEA, as they are still being worked on. Don't think Nm has those either.

Anyway, it is a sensible strategy to allow a share price to breath a bit, allow doubt to settle in, to try and get the share price down before BAM, the killer blow is delivered. It matters not either way. There are two things that doubters should always remind themselves of:

1) BHP, one of the world's largest miners, is in at 45p for 5%
2) SOLG is cashed up.

BHP aren't exactly hurrying to allocate a director to the board..it's nearly a month now since the 45p raise and two months since they moved in on the 25p stake. Obviously, to make moves like that they have been planning this for a long time before that though.

So, they've been planning this for a long time but they haven't selected who they want to put on the SOLG board? I don't think so. As one or two posters highlighted a while back, and the opinion becomes ever more valid with time, it may well be that BHP don't want to be classified as an insider.

Why would they not want to be an insider? So, that they can make the next move. Remember that they are allowed to make moves for the company or a part of it, so long as it is "friendly" (with the consent of the board) rather than hostile.

What's the in vogue exploration country at the moment, and for good reason? Ecuador.

Who had a 4 year first mover advantage to cherry pick the most attractive concessions? SOLG.

RR, good point - hole 64 core samples are now the show case?! If they are to replace those from hole 5 they must be outstanding.

He mentioned he was thinking/hoping that Trivinio might be the other half of the Alpala system. The other HALF! Imagine that - Alpala x 2 at a stroke, nevermind the other 9 priority targets...

Ref the delays in getting the assay results to market, hmm. I'm becoming more and more convinced of my standpoint, but we'll have to wait and see for the truth of it.