Drilling results The last drilling results were very strong. However, the definition is decisive for the PFS. Was it 'just' infill from the high grades? Which high grade part or what are the grades in the PEA from this part? How many meters of drilling to 'infill' for the high grade part are planned in the future. From this one could deduce the potential. I would like to better understand the particular geology here. The deposit was apparently insufficiently drilled and the gaps show higher grade than the inferred average resources.The crucial question, however, is the potential for a straight upgrade. That could lead the project from average to (very) good profitabily in terms of IRR. It's about the potential to reduce cash costs and, above all, an improved stage approach. Economies of scale are probably no longer the primary goal.
dilution/strategic partner
I'am interested in the timing of the financing of the test plant in the development path. Dilution potential is crucial here. It will probably only be feasible for shareholders with a real strategic partner after the PFS. Only who invests at reasonable conditions before test planting? How do you want to sell this to investors?
The the alarm bells have rung for me. As part of the overall financing, okay; but in advance? How is that supposed to work 'sensibly'? 25m ... where should the money for the test plant come from. Currently, all of DSM is lower capitalized. If at all, it only goes through the Senior Finance Package by delivering an excellent PFS. Tech isn't this partner in my view. They didn't want to develop the deposit. But the sum of the testing plant is terrifying. How much is left then for the shareholders?
In any case, the upcoming PFS is decisive in the case of the license extension. Therefore, I would drill out as much high-grade core as possible. The PFS has to flash to keep the potential for existing shareholders alive. Even at 3.50 usd / lb
peter
Peter