PLS grows againMalcolm Shaw commentary at Seeking Alpha:
Drilling Update
Fission and Alpha have released scintillometer data for hole PLS13-080, the first hole of the summer program at the 780E zone. The hole was drilled as a follow-up 10 meters south of PLS13-060 that was drilled during the winter program. PLS13-080 encountered 13.41 meters of off scale mineralization within a 48.5 meter "main" interval of mineralization starting from a depth of 122 meters. Additional mineralization was encountered in the hole at depth showing prospectivity to depths greater than 300 meters. This hole is the best hole yet at the 780E zone and the companies state that the mineralization appears comparable in character to mineralization seen at the high grade 390E zone.
The geological implications of PLS13-080 are potentially very significant. The hole extends high grade mineralization out to the 780E zone, which is a first in the drilling completed to date. The 780E zone was previously "highly prospective" but the zone has now been verified by what appears to be a high-grade intersection. An E-W cross-section through PLS highlights the distribution of mineralization along the PL-3B conductor trend, showing thick, high grade intervals over a strike length of greater than 850 meters. Infill drilling is still underway within and between discovery zones.
780E could represent a step-change in the scale of the PLS resource, bringing the mythic "50 million pound" target size into striking distance. Given the remaining untested strike and how early it is in the summer drilling program (this is the 11th of 44 planned holes), it is sufficient to say that I believe the implications are clearly very positive for the PLS project. I seriously doubt this is the last high-grade hole that will come out of the 780E zone, as a hole like that simply cannot occur in isolation.
The trading today on both Fission and Alpha is baffling once again. Today's news is probably the most significant data point to come out of PLS this summer so far, but as I type this, Fission is up 1c and Alpha is up a nickel. I think that the market is slow to digest data in general, but I would have thought that this data would have sent both stocks to new highs. As has been the case time and time again, I believe the drill data continues to backfill the valuation while setting up even bigger blue-sky as the program continues.
Link: https://seekingalpha.com/instablog/6360551-malcolm-shaw/2119562-pls-grows-again