ALK - Alkane Resources

[Sean K]

Having sold out ALK few days, I have been still keeping eye on ALK movement.

Good timing Miner!

 

[greggles]

ALK got as high as 96c yesterday, but the $1 mark looks to be resistance so it's going to need another catalyst to get above it. It has drifted a little lower today and I expect in the short term it will head back into the mid to low 80s before consolidating.

 

[Sean K]

This is a good looking chart for ALK. Nice rounded bottom. Potentially turns into a cup with a handle.

They like trying to compare this to Cadia. They think they may have found an elephant. Or, they're just ramping it.

 

[aus_trader]

Boda looks like something substantial in the development...

Also Gold stocks/boats like ALK are getting a lift from rising tide due to...

 

[aus_trader]

Tomingley Gold mining operations have heaps of mine life left based on today's announcement. Once fully defined, Boda deposit will add heaps of resources to ALK inventory as well I believe.

I've bought some shares in ALK for these reasons and to get exposure to the rise in Gold price. Details are in Speculative Stock Portfolio

 

[Sean K]

Once fully defined, Boda deposit will add heaps of resources to ALK inventory as well I believe.

Lots of potential for Boda sitting in the same ancient dirt as some very large deposits. Some very high grades within the lower grade envelopes. The 007 hole is quite extraordinary. Could be a very large deposit once drilled out.

As mentioned above, I really liked the look of the chart short term too. Looks very positive.

 

[Sean K]

So, what's next for the Boda discovery?

I think they need some extension drilling to expand the resource between Duke and Boda 3. For this to be a Tier 1 project it's going to need massive tonnage. Like 1bt at grades similar to Cadia or the Red Chris Mine in Canada. Red Chris is 1.034Bt @ 0.35% Cu and 0.35 g/t Au.

Boda has the grades and some very high grade sections but not the tonnage. If they wave a wand and make this a bit bigger, then they might have a mine and quite a significant one.

Current dimensions that they're ramping for Boda/Boda Two are 1000x400x1100m = 440Mt. So, they need to double it.

Maybe even that will be enough? Red Chris is a big project and NCM bought it.

I wonder why they're not drilling into those lumps at the bottom of the EL? Looks very similar to the other lumps they're drilling.

 

[Sean K]

ALK raising it's stake in GMD for some reason. Up to nearly 20%. Takeover in the winds? Not sure why. Maybe thinking Ulysses has some more in it?

 

[Sean K]

Hitting resistance at 1.07, next stop 1.20. Or, it pauses for a bit. Had a good run. Might need good Boda assays to keep going.

 

[Sean K]

ALK being held up at that 1.07 ish level even after the PMG bloodbath a couple of days ago. So, chart still looking OK.

Worth reading this analysis from Edison that was published in Sep 20, before extension of Tomingley and more significant hits at Boda.

our best estimate of the overall size of the Boda deposit is 575–738Mt at an average gold grade of 0.34–0.35g/t containing 6.4–8.3Moz Au (plus copper) and containing a high-grade pod of in excess of 2.2Moz gold equivalent at a grade above its 3.0g/t cut-off.

Perhaps if they did another review the contained Au + might be nudging 10m oz now. That would be a very nice initial MRE...

I'm in this for NMPP speculation.

 

[Sean K]

Just nudged through 1.07 and pushing on to 1.20 ish. Pending market shocks.

Not sure what 6-8Moz Au will mean to the MC, if that eventuates, but $16b +/- in the ground makes Boda a potential Tier 1 asset.

Strange they're not ramping up the Cu credits in this discovery considering this environment.

They've got a few rigs drilling Boda and Boda Two at the moment and should have results out in the next two weeks. Fingers crossed high grade areas are enhanced and dimensions increased.

I would love to see another Bond-like hit.

 

[aus_trader]

Yeah, Cu credits will add to the value of the deposit.

 

[Sean K]

Yeah, Cu credits will add to the value of the deposit.

I'm not sure what factors they might use to extrapolate that 007 hole to an Au or Cu equivalent.

I have seen somewhere else the calculation used for general transfer of these grades to Cu or Au eq, but on the surface of it, 1.2km @ 55/25 looks extraordinary for a porphyry.

100m at 4 g/t gold?

 

[Sean K]

I'm not sure what factors they might use to extrapolate that 007 hole to an Au or Cu equivalent.

If it wasn't Friday afternoon, I might use this formula. But, I probably should hire a quant to do it Monday.

 

[Sean K]

Yeah, Cu credits will add to the value of the deposit.

When do you reckon the next Boda assays are due?

Chart still looking good but will need to have a spell soon. Around 1.20 resistance probably.

 

[aus_trader]

When do you reckon the next Boda assays are due?

Chart still looking good but will need to have a spell soon. Around 1.20 resistance probably.

View attachment 126732

Hard to say, they publish as assays come along. I guess they could be dependent on lab analysis as well...

 

[Sean K]

Waiting impatiently for the next Boda results. They're drilling pretty deep so might take some time. Noosa Mining Conf presentation out today that didn't say anything new really. Was hoping for more info on the way ahead with Boda but it looks like the same slide from a month ago.

Resistance at 1.20 confirmed and has taken a well earned breather. Had a very nice run.

 

[Sean K]

Waiting impatiently for the next Boda results. They're drilling pretty deep so might take some time.

Always exciting when a company goes into a TH for exploration results. I doubt it will be dirt. Needs something in there, the sp has had quite a rest the past week or so. Enough.

I'll settle for something similar to the DD007 hole but in a different position extending the overall width and high grade areas. ??

 

[aus_trader]

Always exciting when a company goes into a TH for exploration results. I doubt it will be dirt. Needs something in there, the sp has had quite a rest the past week or so. Enough.

I'll settle for something similar to the DD007 hole but in a different position extending the overall width and high grade areas. ??


View attachment 128944

Me too, got my fingers crossed hoping for a great announcement...? ? ?

 

[Sean K]

Nowhere near what I was hoping for but still keeps firming up the overall load at Boda.

Lowish grades and the extension hole at Boda Two isn't very inspiring at all.

The only surprise to the upside to me is the mineralisation from surface. I thought this would have to be an all underground operation but if there's significant Au-Cu from surface over decent widths it could start up being an open pit. But, at the moment, it's nowhere near that. Hopefully hole 040 with assays pending has mineralisation from surface too which might change things up a bit.

My dreams of another hole 007 dashed.