Ben Richardson, CEO at SulNOx, confident they can cost-effectively decarbonise commercial shipping. Watch the video here.
WTF did he say exactly? PG, you or I could have given a better interview complete with why we think Newcrest is drilling where it is. What we need is a geo able to interpret what is happening at Havieron with and comapre it with something similar that has been a success so we can educate ourselves. That interview said FA in terms of anything informative or newsworthy. That was ramping paid for by someone!
When one picture is worth more than a thousand words, or in the case of this board maybe 10,000! Thanks again PG. The three drill pad in the NW near the camp are promising. I can't make out anything further north.
To the SW it looks like a series of pads. How many do you see? What do you make of it? Gotta be bullish in terms of the geos seeing at least copper and obvious alteration. I wonder if there are telltale signs in the rocks that suggest a difference between the low grade envelope and the high grade zones. There must be a geo on this board who can shed some light.
Hi Tom, I don’t know if NCM has found the edges of the system but I’m not sure it’s interested per se. This is not like drilling a porphyry system. It is looking for high grade veins and says it has found at least four within an envelope of low grade material.
Initially GGP thought Havieron was a pipe of approximately 300m diameter steeply plunging to the south east to between 1200-1400m deep which it might be but it has significant variances in gold grade. Compare HAD15 & 18, 75m apart to a porphyry. HAD15 hits 28m of porphyry grade envelope at 900m depth to the north whereas at the same depth 75m away HAD18 hits nearly 100m of 4.5g/t Au. HAD17 another 75m south and ~150m deeper hits 45m at 7g/t. The hole picked up early by Paddy that is about 100m east of HAD17 will be interesting when we see results. I think it’s looking for the bottom edge of the pipe. The hole ~100m west of HAD17 I assume is looking for the top circumference.
It is clearly a more complex system than first thought hence SB “9-12 months” at AGM versus “6-12 months” in Denver. Remember that Newcrest told us in the quarterly the aim for its Phase 2 program: “Drilling is ongoing to demonstrate the continuity and extent of the high-grade mineralisation.”
Have a look at PGs latest satellite image. In the NW below the campsite there appears to be three new drill sites. (Paddy can you confirm this please.) To me that makes sense since the top of the system i.e. pipe should be there.
In the SW there is at least one (a black spot), perhaps 4 and more even further west. (It’s not clear so I’m guessing.) Again this makes sense if the high grade zones are to the west of the dyke and deeper. These holes could be going 2km, about 1800m depth. Remember HAD 16 drilled east to west likely went over the top of the pipe.
Once the high grade zones are discovered then you would expect a cluster of holes nearby to confirm continuity which looks to be the case in the east.
6 rigs, 3 weeks per hole, about 8-9 holes per month, 9 more months equals about 80 holes plus completed holes adds up to ~100 holes. A lot of data there!
It’s fun trying to piece things together in the absence of commentary from Newcrest. My advice is to forget about the day-to-day price action and keep an eye on what Newcrest is doing.
All the best,
T
Ah SK, Keith Barron! Everybody interested in this junior exploration space should watch his videos. A real life "Raiders of the Lost Ark'. You won't regret it. BTW, if every junior explorer informed its s/holders the way ARU does, the world would be a happier place! NB. GH. :-)
http://www.aurania.com/investors/media/
PG is giving us news every five days via his satellite images! It requires a bit of thinking to work out what Newcrest is up to but if we see follow up holes stepping out then that is a good sign. I m relatively new here but I wonder if people bought on the basis that Havieron was an IOCG deposit and 30 holes would confirm size & grade. Well, it looks like it will take 100 holes based on SBs comment about needing another 9-12 months. As to Newcrest buying out GGP or making an offer for Havieron, it just doesn't make good business sense. For one thing it would scare off junior explorers looking to do JV deals with NCM. There are many majors out there looking for potential Tier 1 assets. The SP is a mystery to me but I know what NCM are looking for and it certainly loooks committed to Havieron. Relax, enjoy the festive season coming up and 31 Jan will arrive soon enough. In the meantime we get a little sugar hit every five days!
"Fortescue to pay $125,000 cash up front and spend $0.5 million on exploration in the first eighteen months".
NCM has already spent $7m (USD$5m) at Havieron in 5 months. All up it could spend close to $100m. There is no comparison. There is no way NCM is allowing FMG or RIO access to Telfer! As I've said previously, if you want to look at similar JVs look at Lundin/PolarX potential USD47m deal. These nearology plays are mostly going to end in tears. Look at Artemis - ARV on ASX - playing Havieron nearology for all it's worth. Why bother with these other names when GGP is so cheap it is the obvious play. I don't know anything about Numis but one day a broker will bring a Black Rock etc. onto the share register and the landscape will change.
I suspect RIO would love to agree a JV but is offering poor terms relative to NCM which obviously has a big advantage with Telfer in close proximity. Have a look at Slide 2 here https://www.asx.com.au/asxpdf/20190923/pdf/448rbk88b9pnwp.pdf
RIO with ground north & south of Scallywag with the anomaly clearly trending south into RIO ground. That's why I think GH is keen to drill Scallywag as soon as possible in the 2020 drilling season. A big hit near the RIO boundary will stir the pot! BTW slide clearly shows Haieron sitting between two ENE/ESE trending faults which may have been the conduit for the gold & copper.
As chartbuster has already said, the next level of commitment is not more rigs but driving a decline to the 400RL and drilling from u/g. Looks like rigs have a capacity of ~2000m so saving 400m drilling thru cover to get to the orebody that could be 2km deep gets the adrenalin going. I wonder if SB is talking up other juniors in order to keep a lid on expectations from GGP management about the next JV agreement! So far there have only been low grade discoveries, nothing like the high grade at Havieron. To repeat myself, Newcrest is excited about the high grade zones at Havieron which SB says will "save" Telfer.
In the NW 2 sites cleared and a third prepped for a rig at the most easterly site?
In the SW, are there 4 sites cleared with one prepped for a rig at bottom left? If that's right then it appears two sets of two running parallel NW/SE between two NW/SE features. Are they faults? That could make things tricky. Just speculation. Can't quickly find a geological map to check.
Is this an odd thing for a major s/holder to speculate about publically?
"As a previous Director of Extract Resources representing Kalahari Minerals, I know this is not the first time a critical resource was discovered near to a major mining houses' large but depleting operating asset. In 2012 we achieved an incredible return for our shareholders by being patient and we remain so with Greatland Gold. It is our firm view that with continued exploration success the ownership of Havieron may eventually change to fit the production requirements of Newcrest's Telfer Mine just 40km away."
It's all about the grade, high grade gold zones. We need to see continuity of multiple veins going deep. Hopefully the NCM geos, with all of the corporate history at Telfer, are making the right calls on where to drill. Looks like we'll have to wait until end Jan 2020 for the next qrtly exploration update. Who know how many holes will have been drilled by then but expect some clarity on the shape, size and grade of Havieron.
PG, I believe NCM wants to tell the market as much as it can about Havieron. I think a discussion about the likely genesis and style of mineralisation is important to understanding why (but I'm not a geologist) because we can assume we know as much about Havieron as Newcrest does or Havieron is not an IOCG deposit (despite GGP saying it was, but that was in earlier times before NCM's involvement) in which case because of its accumulated knowledge at Telfer NCM can better interpret the data and the likelihood of multiple "dome " targets as well as where there may be more high grade zones. My gut feeling is that it is the HGZs that has got NCM excited and so may be more willing to talk about than if it were a huge tonnage low grade deposit like RIO's Winu discovery. It seems to me that NCM thinks Havieron is going to "save" Telfer and there's nothing like high grade gold to change plant economics. I think that NCM believes it is on to something big but the rest of us, who aren't geologists, don't understand. As GH has pointed out, some of the HGZs are outstanding. It will be interesting to see if any analysts follow up with questions on Havieron since a mine within 5 years feeding high grade gold to Telfer has an impact on valuations, even for a big miner like NCM.
Hi PG, after the next set of assays would it possible to color code for Au grades? It would be great to try and visualize the 4 high grade sub-vertical zones that NCM refers to.
Please let there be some news on north/south extent of mineralization! I'm pretty confident those extreme east/west holes are going to show Havieron going deeper.
LB, you rightly say "throw cash at drilling". We've seen Newcrest spend $5m at Havieron in a few short months. And therein lies the problem for GGP management. How is it going to advance exploration without continual capital raisings? I've recently posted an example of a JV that included cash to the junior partner (PolarX). I haven't counted all of the targets in the Paterson Range but there could be 20+. Management needs to find another partner, RIO?, with a JV modelled on the Lundin/PolarX JV. Obviously Havieron could pay for exploration but that cashflow is 4-5 (?) years away. It's a good thing that RIO is an active player in the Paterson. It brings some bidding tension to the table in an otherwise monopoly for NCM. So let's hope that GGP gets lucky with the first round of drilling at Scallywag and RIO comes to the party. RIo has ground immediately south of Scallyway and the geophysics clearly shows anomalies extending across both tenements. Preserving capital, minimising dilution, these will be a test for management over the next 12-24 months.
I think we need to careful with comparisons. Carapeteen is an IOCG deposit . I love this story as much as anyone but Havieron will require patience although with six rigs drilling a lot of information is being generated. Sandeep Biswas has already given us the timeframe, 6-12 months from Denver conference in September. Perhaps it could take 50-100 holes to get a clear understanding of Havieron. I'm not sure if drilling will stop for summer. does anyone know for certain?
Given the news re Scallywag & now Paterson Range East I thought I'd post regarding a JV over two 2-4bt porphyry Cu/Au prospects in Alaska between a junior (PXX.ax) & a big player (LUN.to). Over 3 years Lundin to spend US$24m on exploration & pay PolarX $20m to form a 51:49 JV. NB no holes were drilled into either target prior to the agreement. Apparently up to seven majors were in talks including three which kicked the rocks in Alaska. Imagine how GH/GGP could structure some JV deals that injected enough cash into the company to pursue some targets on its own. Food for thought because I suspect sellers are thinking about the ever -ncreasing exploration budget and the perceived need to raise cash. But if a similar deal/s to the LUN/PXX JV could be struck with one or two majors and/or NCM then clearly the sellers/shorters will be caught in a squeeze. https://www.asx.com.au/asxpdf/20190604/pdf/445lfrgcc6xz1j.pdf
Anyone else got a recent JV between an exploration junior & a major worth >$25m? It would be interesting to see what sort of deals are being struck around the world in this year. South32!