RE:Will PRB.v buy-out alexandria...... G.O.
Like I said before PRB doesn't need to buy AZX .....current focus is:
- Expansion Drilling connecting all the existing dots in Val Dor ( 4 drills )
- Preliminary work on 60-70% JV property determining Drill targets.
- Sorting out Detour Results (drilling is complete)
- A single Drill working on Val Dor....looking for new Zones
As for Values....you might find the following link on gold and gold grades useful :
https://www.visualcapitalist.com/category/gold/
I look at grades in two ways. Everything must be mineable ! You need a lot of infill drilling and a great 3D model.
- Open Pit .....if the Grade is above 1.0 gm per ton....you need 50 metres....so I always use 50 gm-metre / ton as a minimum. ( 50 metres x 1.0 gm per ton )
- Underground must be > 3.0 gm / ton and it needs to be at or above 100 gm-metre / ton or like 40+ metres in depth.
Looking at some of the expansion drilling for Probe and the most recent resource upgrade. Open pit 1.75 gm per ton. Underground deeper about 3.5 gm's per ton.
Pay particular attention to the Dyke and Vein models.
Expansion Drilling last release is 4.9 gm per ton over 41 metres ( 200 gm-metre per ton ). Some high grade in the same drill hole 20.5 gm's over 9.0 metres ( 184.5 gm-metre per ton )
If you look at these multiples and go back to a lot of Juniors you will notice the deposits are either small because they haven't done enough drilling .or.....they are small and can't be expanded.
The cycle bits most juniors. The cycle is they drill and raise capital ....the majors supporting the programs only give them enough money to do small programs....and they continue to issue shares....at lower multipliers and they end up like Terrax or AZX....plus a lot of others.
Most juniors end up with lot's of outstanding shares and not a clearly defined mineable resource. The trading value gets lower and they can't raise capital without issuing 20 - 100 million shares to get decent money to support a drilling program.
If Gold breaks 1400 or higher i think their might be interest in some of the Juniors but even at that the companies need to be effective and getting a resource and maintaining interest.
As for PRB 100,000,000 fully diluted shares. They could fund continuation
non-dilutively ! no shares issued,,,, - Trade a future resource for drilling Cash by selling an NSR. Example Only ...... Val Dor sell a 2 % NSR for whatever say......15,000,000 million and the NSR can be bought back anytime in next 36 months for say........30,000,000. the buy back ensures that a suitor like Agnico or Goldcorp....can purchase it...and PRB can focus on Drilling.
PRB has been thorough....yes they have been doing % recovery and environmental preliminary work in the background.
At the end of the day...I think expansion drilling will yield another 300,000 to 400,000 ounces.....and Preliminary work on Detour will produce some deep high grade. The Detour project is a partnership with SOQUEM. We might see a drill program start late 2018 on Cadillac Break...and their is always some luck ( new zone in Val dor ? ).
It's all good....trading about right....1.30 to 1.40 and I look forward to watching the results throughout the summer.
Sell in May and go away ......not this year. 2018/2019 will be amazing for PRB.
GLTA
It's all good.