CNB - Carnaby Resources

[Sean K]

Insider Trades: 3 small cap directors selling after share price surges​

By Kerry Sun
Tue 21 Feb.
A summary of director transactions .

Top Insider Moves by Value​

Code	Company	Date	Director	Type	Price	Value	Notes
CNB	Carnaby Resources	10/02/23	Gregory Barrett	Sell	$1.15	$1,150,000	On-market trade.
CNB	Carnaby Resources	10/02/23	Peter Bowler	Sell	$1.15	$1,150,000	On-market trade.
CNB	Carnaby Resources	10/02/23	Robert Watkins	Sell	$1.15	$1,150,000	On-market trade.

KEY POINTS​

• Directors from Carnaby Resources, AML3D and EV Resources sold shares following news driven rallies
• All three stocks are down between 30-70% in the last twelve months

A summary of director transactions among mid-to-small cap resource companies between 6 to 17 February.

Top 15 Insider Moves by Value​

							.

Interesting Sells​

The three transactions below all have a rather similar narrative:

• The stocks are down 30-70% in the last twelve months.
• The stocks rallied on good news.
• Directors sold a part of their holdings on the day (or a few days later).

The orange circle in the price charts below represents the day the director transaction takes place.

Carnaby Resources (ASX: CNB)​

Carnaby shares rallied 10.6% on February 2nd following the release of "a significant new high grade copper gold discovery" at the company's Mount Hope Central discovery in Queensland.
The price action over the next few days was rather volatile and on no additional news:

• 3-7 February: -10% to $1.08
• 8-9 February: +21.8% to $1.315

On February 10, three directors exercised a collective 900,000 options at 45 cents each but sold 3 million shares at around $1.15 per share.
View attachment 153377

Carnaby Resources chart (Source: TradingView)​

Is this illegal?

 

[houtman]

Another incremental announcement today.

We probably need a significant drill result at either the Mt Hope Gap target or one of the prospects SW of Nil Desperandum to move the needle significantly.

Of interest is the presence of a strong NNE striking fault clearly visible in aeromagnetics that
is coincident with the elevated copper in soil results and also intersects the NNW trending
Razorback copper and gold soil anomaly.
The NE fault orientation is a key host fault strike at several of the copper and gold deposits in
the area, including Nil Desperandum, Duchess and Tick Hill.

Another Tick Hill would be a bonus.

Just sitting and waiting with this one.

 

[Sean K]

Mount Hope Central seems to be developing some scale with some very nice grades. pXRF readings but these have been pretty close in the past.

Looks like the boomerang NE and NW lodes are about 120m each and 40m wide. So, 240 x 40 x depth - possibly 500m now x SG = about 12.5Mt @?%. Looks like it could be a handy deposit.

Add that to Lady Fanny and Nil Desperandum and it's gathering size.

 

[Sean K]

pXRF reading pretty close on some of the above drill holes. That's a very good tool.

Looks like this will go deep to that lower intersection 250m below the current defined model, if pXRF remains true. Will be interesting if this gets wider at depth.

Still haven't bought into the story, just not sure of the potential volume. Could be anything. Even though the grades are great, still highly speculative that it turns into anything of substance, imo.

Looks like around 80c ish was a bottom.

 

[houtman]

Another incremental announcement today.

We probably need a significant drill result at either the Mt Hope Gap target or one of the prospects SW of Nil Desperandum to move the needle significantly.

The above may look like a copy of my previous post.

I’m happy with the progress but I’d expect the price to drift again after this announcement.

 

[Dona Ferentes]

And up today... 8% on good (stunning?) intersections



Though the price action had been building all week

 

[Sean K]

And up today... 8% on good (stunning?) intersections

View attachment 155171

Though the price action had been building all week
View attachment 155170

It's pretty much standard intersection for these deposits they're defining. They are running out of superlatives though. I don't think they've used remarkable or staggering yet. Phenomenal has probably been the best so far.

 

[Dona Ferentes]

They are running out of superlatives though. I don't think they've used remarkable or staggering yet. Phenomenal has probably been the best so far.

I'd keep stunning for a cure for cancer

 

[Sean K]

I'd keep stunning for a cure for cancer

Yes, I agree. I'm not a big fan of these companies obviously ramping their results, no matter how good they are. It's pretty obvious.

Having said that, the very good thing about these results is that it looks like this particular deposit goes quite deep. The gap between this and the top level defined mineralisation should also have a bit of copper in it.

In this case the pXRF was off by a whole percentage. Luckily to the upside.

This is looking like it'll turn into a mine.

 

[Sean K]

I wonder if CNB is going to follow this trend?

 

[peter2]

Of course it will. There's 5 swings in a complete wave. Or you might heard of the three drives pattern. Unfortunately the last swing up is usually not the longest one. A few more good copper hits and perhaps a buyout offer from HMX will help.

 

[Sean K]

This looks like the whole prospect is going to be similarly mineralised. 200x200x500+ @1.5-3% Cu.

I wonder how deep this will go?

Any other systems in the region as exmplars to how deep high grade Cu deposits could run?

 

[Sean K]

Initial MRE in Q3, delayed to incorporate more drilling.

I wonder if OZL/BHP participated to keep their 4.5%.

 

[Sean K]

Further results confirming continuity of Mount Hope Central.

200x200x500x2.6 = 52Mt.

At these grades that's pretty good, so far.

 

[Sean K]

New results continue to fill out this deposit at depth and to the width they're indicating on the cartoon. Looks like there's quite a bit of gold going to be in this as well. As I've said before, just a matter of tonnage for this to how valuable it becomes. It'll probably be a mine, but just how big is the question.

Not sure why they didn't include the Chalcus Lode in this cartoon. They've put a separate picture in the ann for it. Odd. Maybe it's not in line with the other loads, but they indicate it's on the LS line in plan view. It's all obviously going to join up.

They indicate it's open laterally in the plan view in some directions but on LS they're indicating it's more likely constrained into a bit of a pipe. High grades in the corner of the boomerang between the NE and NW loads.

 

[Sean K]

The superlatives are getting a bit ridiculous now and they're going to lose credibility by continuing to do this.

Great grades, but they are not proving there's significant tonnage for a tier 1 operation.

They need to bite the bullet and put in an extra deep hole down 1km to show it continues very very deep. The lateral dimensions are not wide enough to date.

 

[houtman]

From today's announcement of Rio project farm-in (all bolds mine)-

The very wide 300 to 500m hole spacing with mostly vertical drilling is yet to intersect any
major late mineralised structures .....
Carnaby intends to complete a series of angled drill traverses across the defined core
mineralised hydrothermal zone .....

Carnaby has also identified an interpreted major late EW structure evident in gravity and
magnetic data and interprets that the main mineralised corridor is trending southwest towards
this EW structure and therefore represents another target for late high grade copper gold
mineralisation (Figure 4). This target will also be tested with angled traverses of drilling.

Of course, the obligatory hyperbole gets a run with -
The Devoncourt farm-in with RTX gives Carnaby a unique opportunity for a
junior to explore for a Tier 1 sized target within a world class mineral field and
jurisdiction.
With a $500k minimum spend required, it's an (almost) free hit for CNB.

Happy to hold.

 

[Sean K]

Not sure why Hammer and Carnaby aren't in bed together.

This patch of dirt has a lot of copper in it.

 

[Sean K]

This is a great little deposit. If it gets wider at depth and increases the tonnage could be significant.

 

[Dona Ferentes]

Not sure why Hammer and Carnaby aren't in bed together.

This patch of dirt has a lot of copper in it.

Carnaby Resources Limited notes this morning’s ASX release by Hammer Metals Limited .

Carnaby confirms that it has been engaged in preliminary discussions regarding a potential corporate transaction with Hammer. The discussions remain confidential and incomplete, and there is no certainty that any transaction will eventuate from these discussions