MGV - Musgrave Minerals

[frugal.rock]

There 's more in the package today for MGV @0.34 than what I was getting buying MGV @ average 0.35 over the months.

I had a bite again at 0.345 yesterday. Had been in on 0.365 on the way up, but was out again on same price on the dip. A loss of brokerage.

 

[finicky]

@frugal.rock that's pretty tight trading. I'm positive on MGV but as a longer term investment.

There are a few ways it could take off: EVN finds something big in the jv area, MGV finds more high grade shallow Starlight knockoffs, the Big Sky trend drilling gets into something big in bedrock. If none of these then the mineral resource across all prospects just continues to gradually build to over 1m ozs, justifying the present price and qualifying it for a premium as a takeover target. Musgrave has only 659,000 ozs @ 3.3g/t but currently but within that is the 262koz Break of Day deposit grading @ 10.2g/t, shallow and 97% recoverable. Chairman said of BoD that, "We believe this is one of the highest grade, undeveloped, near-surface gold resources in Australia. And most of this can be open put mined."

The M.D said to expect New mineral resource estimate "Q2 next year" meaning the June Qtr. Everything they've been finding as reflected in recent announcements has not been incorporated into their MRE yet.

 

[frugal.rock]

I had a bite again at 0.345 yesterday.

Holding this bite still.
Not my usual trade, but, haven't really been trading much of late.
A goldy punt for the 2022 comp as I do think gold shall appreciate somewhat, however, there's the "bloody kids" factor throwing their funds at crypto... I mean, what's wrong with holding beautiful shiny gold. Heck, you can't make a gold ring out of NFT's or crypto.

 

[Sean K]

There seems to be a lot of gold at Cue, over multiple deposits, and growing. MC still under $200m.

There's some good grades here but a bit thin. There's no cartoon in the ann to see how these line up with any other trends.

Any ideas on what the MRE for Big Sky is going to be? It's 2.6km long but surely they're going to divide it up into loads?

Pretty up and down year last year.

 

[frugal.rock]

ASX RELEASE 2 February 2022
ASX: MGV

Exceptional gold grades intersected near-surface
at new Mosaic Lode

o Follow-up RC and diamond drilling at the newly discovered
Mosaic Lode near White Heat has returned new exceptional high-
grade gold results including:

o 9m @ 110.5g/t Au from 42m (21MORC414), including;
o 3m @ 307.3g/t Au from 45m
o 2.8m @ 122.2g/t Au from 72m (21MODD041), including;
o 0.8m @ 381g/t Au from 74m

o These new intersections are down dip from the original Mosaic discovery intersection of 15m @ 111.6g/t Au from 25m
(21MORC232)

o Infill RC drilling at Big Sky continues to intersect significant near- surface gold mineralisation with an initial mineral resource
estimate scheduled for Q2 2022.

New intercepts include:
o 3m @ 22.6g/t Au from 68m (21MORC259), including;
o 1m @ 62.6g/t Au from 69m
o 2m @ 9.1g/t Au from 64m (21MORC260)
o 8m @ 4.3g/t Au from 23m (21MORC241), including;
o 1m @ 30.9g/t Au from 23m
o 1m @ 20.1g/t Au from 46m (21MORC266)
o 2m @ 6.8g/t Au from 56m (21MORC270)
o 2m @ 5.6g/t Au from 64m (21MORC263)

o Assay results are pending for approximately 130 drill holes

 

[finicky]

High volume gap up move today. Up 17% intraday, albeit from very depressed recent level - reached 0.27 yesterday.

This Mosaic discovery is going to be small but very high grade - drilling is ongoing and more assays are pending.

Across the whole Cue project (of which Mosaic is a small part) MGV have 3 rigs drilling and assay results pending for 130 drill holes. Additionally there are results pending from the EVN jv on Lake Austin - 74 aircore and some dd holes.

There will be a substantial upgrade to MGV's current 659koz gold resource in Q4FY22, mostly from the shallow thick lower grade 'Big Sky' base load prospect where drilling is mostly infill. Big Sky has 2.6km strike.

 

[finicky]

Some more nice grades from the White Heat-Mosaic prospect, some of which are extensional and down plunge. Basically all MGV's Cue project prospects are open at depth. The high grade resource along the White Heat to Break of Day trend has not been systematically drilled below 170m and on the Western side the 1.7g grading resource on the Big Sky trend has only been drilled to 120m.
There is a heap of drill assays outstanding - all the bright green triangles on the map are completed pending drills.

Evolution (EVN) is accelerating its spend on the jv area of Cue to $5m in H1 fy23.

My enthusiasm for MGV has flagged along with the share price. It'll have to get cheaper for me to add. Got a bit carried away.

Held

 

[finicky]

There's the running gap from way back in May 2020 filled. Very little left in the price from the meteoric rise from the discovery of the high grade Starlight lode at near surface. Unfortunately perhaps, there remains the breakaway gap at ~11c.

Market cap is close to $100m now and without checking I think the resource is at 927kozs with a significant amount of that in the indicated category and a third of it high grade @ 10 g/t and not deep.

Prefeasibilty for stage open pits due end of March. Modelled pit shells already infill drilled @ 2.9g/t. But what then? How're they going to get it mined?

Held

Daily 3 years

 

[finicky]

Another one I've ignored but my best performer so far today ^ 12%. I'm only down 37% now!
The second best today for me is HRZ - shudder. At least these dogs retain enough market recognition to respond when the gold price surges.
The daily chart has broken downtrend resistance but with no higher low, no signal from the momentum indicators and downtrend still in effect it is not a buy unless someone thinks he knows something about the company. It's just an automated reply to the gold price move.

Held

 

[frugal.rock]

Refer Huck Fin above.

 

[finicky]

With these gold specs you can be sort of right and still wrong. Takeover offer from a company I've avoided - all scrip - equivalent to 30c/share, my avg 35c/share. I started accumulating too early.

Held

WEEKLY (today's movement not showing) sml head and shoulders

 

[Sean K]

With these gold specs you can be sort of right and still wrong. Takeover offer from a company I've avoided - all scrip - equivalent to 30c/share, my avg 35c/share. I started accumulating too early.

Held

View attachment 157852


WEEKLY (today's movement not showing) sml head and shoulders
View attachment 157854

I think we've expected consolidation here for some time, just a matter of who got into bed with who. Not big enough for EVN obviously.

I think we can continue to expect more of this. Aussie gold miners cash flow is very strong, hardly any debt, gold probably going even higher, not too many decent discoveries. All leads to M&A.

It's a shame they've given up relatively cheaply, opportunistic from Westgold.

 

[Dona Ferentes]

I think we've expected consolidation here for some time, just a matter of who got into bed with who. Not big enough for EVN obviously. I think we can continue to expect more of this.

Drum roll

Musgrave Minerals has announced that gold miner Ramelius has made an off-market offer to acquire the company at 34¢ a share.

Musgrave’s board has unanimously recommended its shareholders accept the offer from Ramelius.

 

[finicky]

Lol, ripper. I read it here first. Literally - I haven't even looked at the market today.
A rare occasion lately, where I look like getting most of my money back from a gold explorer.
And I can't reenter the clutch of juniors that I sold at big losses either. Sold them to offset cgt for FY23.
Very surprised by the RMS bid. They're ideally placed with their Checkers mill a stone's throw from Musgrave's resource but RMS already has so much capital committed for their other growth projects.

Held

 

[frugal.rock]

Chart update.
Some resistance at 52 week highs.
Needs a catalyst I think.

 

[finicky]

@frugal.rock, RMS has already moved to compulsory acquisition of the 10% of shares that remain out of their hands. So not sure of what's going on here. Maybe last minute arbitrage? As part of the consideration in the takeover of MGV shares is RMS scrip along with the cash component. I got out @ 0.355 which basically got my outlay back, so all that 'research' was for nothing + dead money and opportunity cost.

Not Held

 

[divs4ever]

Lol, ripper. I read it here first. Literally - I haven't even looked at the market today.
A rare occasion lately, where I look like getting most of my money back from a gold explorer.
And I can't reenter the clutch of juniors that I sold at big losses either. Sold them to offset cgt for FY23.
Very surprised by the RMS bid. They're ideally placed with their Checkers mill a stone's throw from Musgrave's resource but RMS already has so much capital committed for their other growth projects.

Held

i hope RMS know what they are doing

i hold RMS