MGV - Musgrave Minerals

[finicky]

Added 10,000 @ .30 today.
Thought the chart looks a chance at making a higher low. Nice small bodied candles and has quietly filled the breakaway gap on low volume - ignited a little optimism.

Dly

 

[Sean K]

Added 10,000 @ .30 today.
Thought the chart looks a chance at making a higher low. Nice small bodied candles and has quietly filled the breakaway gap on low volume - ignited a little optimism.

Dly

Looks like a bottom down there to me too.

I've got a feeling they're angling for a takeover/partnership with one of the locals.

 

[finicky]

Short term higher high following a higher low on the daily chart might provide another ST rally before September is out. Catalysts might come from drill assays pending in Sept for a few prospects: Big Sky, target 14 and Evolution Gold JV has 4 diamond drillholes pending from Lake Austin. Then again not much that MGV announces gets attention from the market these days.

2 Year Daily

 

[Sean K]

Then again not much that MGV announces gets attention from the market these days.

They need an adjective grander than 'bonanza' to get some attention. Maybe bonanza with along with 100m width will do it. Chart does look better at the moment. 35c a hurdle.

 

[finicky]

Tacked on 10,000 @ 0.28 then price dropped to 0.275 with the bid at 0.27 last I looked.
They announced some drilling results today from Big Sky and Target 28.
Chart rationale was the indecisive daily candles on higher volume then a hammer candle, bit of momentum divergence. Of course there is that gap down at 0.15 (shudder). Anyway, unless I'm insane, this will eventually look undervalued against a resumed gold bull market, it has a resource and prospects that surely can't be ignored by nearby producers?

6 mth daily


2 year daily

 

[Sean K]

Tacked on 10,000 @ 0.28 then price dropped to 0.275 with the bid at 0.27 last I looked.

Of course there is that gap down at 0.15 (shudder).

You must have accumulated quite a few now.

Let's hope that's a gap that never gets filled. Market cap at 15c would be about $80m with $20m cash.

Is there a schedule for when they want to get out resource updates and initial MRE for Big Sky and Tgt 14?

 

[Sean K]

Westgold taking over GCR which has less prospectivity than MGV, imo. Strange move from WGX. Is it a value thing? I'm a bit confused.

 

[finicky]

Right @kennas - although you mean GCY (Gascoyne). I have just been reading chat about it. I saw your earlier post btw but didn't have an answer for it then got distracted (everything is distraction to me)
Wonder if this is cause for optimism about an MGV t/o - maybe not since the attraction of Gascoyne is its shiny fairly new mill and extant expensive infrastructure is to be increasingly valued in a mining company's valuation it seems to me given the deficit of skilled workers and inflating costs in W.A gold fields. That makes me think of RRL and DCN (not for t/o but just for the value of infrastructure you get for the depressed share prices of those two, assuming DCN survives)

Keith Goode alerts to m&a potential in the Murchison region but doesn't give MGV a mention.

Keith Goode
@Eagleresa
Murchison area becoming a hot spot of activity, given $RMS trucks >300km past $AME to Mt Magnet, after $WGX @LimitedWestgold stoush with $FFR over $GCY, $RMS acquiring $SPX (Penny West), $RXL making progress, $ODY in there, & $BGL @BellevueGold soon to start mill construction:

 

[Sean K]

I've got a feeling here, @finicky

I can feel a change in general sentiment in gold equities over the past week. I'm not sure if feelings are a good FA or TA tool, so maybe it's more than a feeling. MGV one of the few at the top of LRT's pile yet to make a move. Might just be soaking up the recent M&A and WeAf positive anns.

 

[finicky]

Interest still seems a bit flaccid @kennas in spite of a brace of mostly positive days. In the right area for m&a though, as discussed. And GCY wasn't showing any volume or strength until the very day that WGX came out of left field with its unsolicited t/o offer. It's a sleeper stock for me - might have been overvalued when I first bought, got a bit excited and fmo.

 

[finicky]

Maybe it'll be the Lake Austin jv with Evolution that will bring on the critical mass for a takeover?
Very thick aircore results in regolith (unconsolidated material covering bedrock) that are prospective for the main target - primary mineralisation in bedrock. Gold in bedrock has already been detected 700 metres north of these drilling results. Diamond drilling is the next step under these aircore hits. Note how close this jv prospect is to high grade million oz mines (attachment #2)

 

[finicky]

At last, I'm in the black.
Clear level of broken support @ 0.35 has now been retaken. Higher high.
Check out what joint venturer EVN is looking for with diamond drilling into bedrock beneath thick gold mineralised intersections in the 'regolith' layer at (salt) Lake Austin.

Daily

 

[Sean K]

A couple of exceptionally good hits here.

MRE for Big Sky due Q2 22. Not sure if Target 14 will be included in that?

The gold corridor, which runs into the EVN JV, is looking like it's going to host some significant tonnage with some discrete patches of very high grade. It's probably not big enough yet for EVN to take over but the JV area seems to be a significant part of their exploration plans.

POG off overnight and going back down through $1800 psychological level, but will hopefully hold up at $1790 ish minor support. MGV support and resistance shown.

 

[finicky]

Good grades coming in from assays of shallow rc drilling, one intersection they describe as 'bonanza' and also they've found an underlying 'dolerite unit' which EVN has also found further north in the jv project. Of dolerite rock they say,
“The identification of a new dolerite hosted zone in the footwall of Big Sky is also a positive. This
could be the southern extension of the same dolerite unit identified to the north on the Evolution JV.
Gold can be hosted in many different rock types on the Yilgarn but dolerites are one of the most prolific
host lithologies for large deposits"

 

[frugal.rock]

ASX RELEASE 1 December 2021
ASX: MGV

New lodes identified
Stunning high-grade intercept at Cue

• Successful RC drilling of new ‘Starlight’-type analogue targets along strike from Break of Day has identified four potential new lodes

• A new target, ~80m south of White Heat, intersected two new parallel lodes including an exceptionally high-grade, shallow result:
• 15m @ 111.6g/t Au from 25m (21MORC232) in new hanging-wall lode, including:

o 5m @ 313.4g/t Au from 26m, and;

• 18m @ 1.0g/t Au from 62m in new footwall lode

• The mineralisation is open to the west and down dip. Follow-up drilling will commence next week

• Drilling at a second ‘Starlight’-type analogue target, ~250m north of Break of Day, intersected:
• 1m @ 16.5g/t Au from 73m (21MORC318), and;

• 1m @ 14.4g/t Au from 90m

• Only the one hole has tested this interpreted new lode position to date, with the mineralisation open to the east, west and down dip. Follow-up drilling to commence in December

• Extensional resource drilling at the White Heat prospect, 300m south of Break of Day, intersected:
• 1m @ 21.8g/t Au from 158m (21MORC223)

• 3m @ 3.5g/t Au from 23m (21MORC224)

• The White Heat mineralisation remains open down plunge

• Assays from further drilling at Big Sky, Target 14 and the EVN JV are expected in December

 

[frugal.rock]

Hmm, it seems a broker? has a target of 60c on this with a strong buy.
Another broker states it's undervalued and has a 51c value apparently, by quant analysis.

Not held but delving into it...?
That "stunning" drill hole announced today is certainly impressive, especially as it's in an area outside the current resource.

Two more drill rigs arriving on site soon and more assay results due December.

Dang it, the silly thing has broken out further whilst posting...?

 

[finicky]

Their 'Starlight' discovery was the one that set MGV alight on the price chart, I started buying when I saw it had retraced a lot of that but was still too early with a starter pack. My average is 0.35, so today's price not a lot more. Starlight is a pretty amazing deposit as it is shallow, almost from surface if I remember, very high grade for an open pittable project and is highly recoverable, i.e it's got everything. A pullback is a fair chance going by past behaviour. I see it as a patient hold stock and feel that it is a likely takeover somewhere down the track - but a market crash might intervene first.

They were expressly chasing a Starlight analogue deposit with this campaign and have certainly found at least one strong contender. Twelve separate locations tested along strike and 4 new locational hits to drill out.

For those unfamiliar, these results come from the break of day line of mineralisation. The 'bonanza' result mentioned in the prior post was from a campaign on the Big Sky line which splays off to the west of break of day - two distinct mineralised trends.

 

[finicky]

They've enlisted 3 more drilling rigs and one is a diamond rig to drill under the 'regololith' layer aircore results at Big Sky. Find out what's in the bedrock.
Another aircore rig will drill just south of the Evolution jv border - i think they are hoping for a meet-up of the 'dolerite unit' they have recently found with Evolution's find on the salt lake. Remembering that dolerite has been associated with big deposits not just in the Yilgarn generally but local to the MGV tenements just 25kms north (Great Fingal and Golden Crown - together worth 2mozs @ 14g/t)
The third rig will drill around the recent shallow Starlight analogue discovery grading +100g/t over 15m.
Still assay results due in from several locations before Christmas.

 

[finicky]

Below is what Evolution (EVN) touched on in its September Quarterly regarding the Cue jv with MGV at Lake Austin. At 3.12 in the above video clip, MGV's MD says in effect that they're chasing up the dolerite unit on their 100% tenement south of the Lake Austin jv having moved the aircore rig up there. Calls it an exciting position. MGV have already found dolerite rock (which is very prospective in the region) in their area. Admittedly reading between the lines I think he is suggesting a possible meeting up of the mineralised dolerite unit that Evolution has on their side with what MGV is finding south of the jv line, i.e possibly a much bigger prospective structure. Moreover, EVN has continued diamond drilling deeper on its side and I haven't seen any recent assay reports coming back yet. Companies don't waste DD on lame prospects as it is expensive. Might amount to nothing but could be significant.
There 's more in the package today for MGV @0.34 than what I was getting buying MGV @ average 0.35 over the months.

EVN Sept Qtrly:
At Cue Joint Venture, aircore drilling expanded the
strike length to at least 1.6km. New diamond drilling
results in fresh rock include 8m grading 3.0g/t gold
from 212m (21MODD024). Significant results from
the aircore program include 27m grading 3.6 g/t gold
from 134m (21MOAC025). A second rig is being
mobilised to test this exciting emerging discovery.

 

[Sean K]

Below is what Evolution (EVN) touched on in its September Quarterly regarding the Cue jv with MGV at Lake Austin. At 3.12 in the above video clip, MGV's MD says in effect that they're chasing up the dolerite unit on their 100% tenement south of the Lake Austin jv having moved the aircore rig up there. Calls it an exciting position. MGV have already found dolerite rock (which is very prospective in the region) in their area. Admittedly reading between the lines I think he is suggesting a possible meeting up of the mineralised dolerite unit that Evolution has on their side with what MGV is finding south of the jv line, i.e possibly a much bigger prospective structure. Moreover, EVN has continued diamond drilling deeper on its side and I haven't seen any recent assay reports coming back yet. Companies don't waste DD on lame prospects as it is expensive. Might amount to nothing but could be significant.
There 's more in the package today for MGV @0.34 than what I was getting buying MGV @ average 0.35 over the months.

EVN Sept Qtrly:
At Cue Joint Venture, aircore drilling expanded the
strike length to at least 1.6km. New diamond drilling
results in fresh rock include 8m grading 3.0g/t gold
from 212m (21MODD024). Significant results from
the aircore program include 27m grading 3.6 g/t gold
from 134m (21MOAC025). A second rig is being
mobilised to test this exciting emerging discovery.

I think once the JV tenement or MGV’s firm up to something in the 3m oz region, EVN will take out them out. I thought one of the other neighbours with a mill with spare capacity, or ability to expand, would have by so done by now, but since they haven’t picked what looks to be low hanging fruit, maybe not.