Announced after market close - final approvals for their application to do low impact drilling in the state forest. Maybe this will rip now? (plaintively)
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Naturally the share price falls closer to $6.00. Will this cap raise provide some support at this level?
CHN has got approval to extend it's drilling into the National Park. Time to find out if the resource does extend into the park. If it does, there's going to be a long and bitter fight in order to be able to mine it. How long for the drill results to be known? 3 - 4 months?
It's a case of "do you feel lucky, punk? "
This is an interesting stock, that's for sure. The cap raise at this level with instos on board should be a longer term floor you'd think.
There's two things going on here, IMO.
Value it on the current resource, which I think is mostly factored into the SP, less general market weakness and metals drop off. So, long term, I think it's looking nice if you're patient.
Or, speculate that they'll find something north in Hartog like they currently have and then maybe get a mining licence because it's so valuable. That could mean double the current MC.
Time frame? It could be the first hole.
But, what if Hartog is dust?
I've gone back through the recent presentations to see if the north of the deposit indicates in continues but, the cartoons clearly show that the north of Gonneville lowers in resources.
@finicky has probably looked at the northern potential more than me.
Still might come down to 'do you feel lucky'...
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IMO Chalice is wasting time, a lot of time. Surely, what they've already found would be enough to create a DFS and a mine construction plan. The bonus is the extra resource to the north and if the mineral production is as good as thought, then in 3-5 years they could start applications to continue to mine in the north.
Of course it is possible that CHN just want to delineate the total resource before selling it on to a large miner.
I can't add much of substance at the moment but off the top of my head: I think they've hit economic grades right up to the fence. Hartog is 'just over the other side'. Hartog has the stronger looking electromag signature. They won't be drilling only Hartog, I think its Dampier, the other one, as well as regional first pass drilling. Also there's a prospect called Flinders on private land I think and there are the Jansz and Torres prospects they are already drilling. All in the Julimar complex of course, they have a couple of other things going on outside Julimar but still along the Yilgarn Craton edge - one is a jv with VMS (Thor) which they have electromag on and I think were at soil chemistry testing stage.
The positive case is that they have enough money now to do whatever they want for at least 18 months and the Insts by their swift uptake seem to think it's worth at least $6. Also we can't know an offer from a major won't come from left field.
I wouldn't be buying myself because I have no idea of what it is currently worth, never have. Let alone how the general market will impact it in the year or two ahead.
Re environmental: someone suggested they could develop a pit at Gonneville then a drive underground to Hartog if it is the right sort of deposit - might be fantasy.
Reckon they'll be drilling as fast as they can and paying the lab for faster results. Good drill results is the only thing that's going to stem this flow. If they get great results in the National park, what's next?
CHN mgt need to announce their strategy. Just sitting isn't an option unless they prefer to sell to a multi-national miner.
Crikey, Off another 6%, $10 to sub $3.50 in 6 months. I'm sure Gonneville is going to turn into a significant mine in five years or so and be very valuable. Might look back at this period (however long this goes for) as a good opportunity. We haven't really had a dead cat yet, so wondering if there's still a pause and another leg down. No real signs of significant buying yet that I can tell. Maybe capitulation still to come.
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