Am I looking the wrong way at my OCO investment?Am I looking the wrong way at my OCO investment?
My answer: Sure, along the way, most likely I've made some miscalculations, but, overall, I believe that for me my position and outlook to be good and proper; however, I do have a few issues that give me concern; where, I couch these with my usual caveat ... anything at anytime could happen and for most of these things there is very little that I can do about it ... except, as long as I continue to see strong underlying fundamentals, to ride out most of such storms.
With that being said, and, with my full respect to other investors, who, as far as I am concerned, can invest, or, not invest as their heart and mind lead them --- and, such is none of my business --- here are two issues about which I have ... ISSUES:
[1] Waiting for Drilling Permits: I HAVE ABSOLUTELY NO CONCERNS about OCO's acquiring of drilling permits; that is, most likely, in the nearer-term future, OCO will have them in-hand. IMO, permits are >95% certain, and, particularly, given Adam's comments of a few weeks back, OCO's efforts, on this front, are being well-recieved by the appropriate local, State and National officials ... and that, as a result of OCO efforts, such permits-in-hand are PRIMARILY only a matter of priorities: IOW, they will get done pretty much exactly, in the scheme of things, when they need to get done.
The ONLY significance that I see with such permits is that it is a "to do" item that OCO has promised --- of course they are promised; they are integral to the overall Exploration effort --- and it would be a solid statement that when OCO says/promises something, that they deliver; even on an ancillary item such as drilling permits. IOW: OCO delivers ... even on the smaller items.
In the grand scheme of things --- particularly in the minds of potential Cu-Major suitors --- permits mean next to nothing; not even deserving a hiccup becasue getting permits ADDS EXACTLY ZERO VALUE to the share price.
Note: in the interest of covering all the bases, I need to point out that not being able to get the permits will be very negative; in which event, I will tell myself: I invested in the wrong company ... because any company that cannot accomplish the simple and routine task of getting permits ... has MUCH MORE SERIOUS PROBLEMS, particularly with fundamentally incompetent management. Thankfully, of course, I believe strongly that this is not, at all, the case with OCO; OTOH, for a Jr Miner, I believe they have very strong management.
In view of this, I ask myself, why so many comments/questions regarding permits? IMO, this is because of what I perceive to be a systemic misunderstanding on the part of a significant number of we in the retail investor community; to the point where, MAYBE, more than a few of us have sold-out of our positions because they feel unconfortable with the fact that, to date, these permits have not materialized. Hmmm ... maybe this is true; or, maybe not.
IMB [In My Belief], the permits will be here in a week or so --- or serveral weeks, or months --- but they will be here. I have next to no concerns about this issue. Again, I take it as a given, give it next to no more thought, and, look forward to the things that do matter; primarily the CERTIFIED ASSAY RESULT and integration of same into FINAL MINERALIZATION MODEL ... and the Compliant Resource docs.
[2] Staged Compliant Resource documents: Until the Adam Smith interview of about a week or so ago, the investment model was that, for ST, OCO would construct ONE FINAL Compliant Resource document; however, in this video interview, Adam Smith mentions that, instead, OCO will be releasing publicly their Compliant Resource documents IN STAGES; where such stages will be controlled by something like 10-20 Core-Assay Reports for each of the staged docs.
I wrote about this issue here and a few other places --- and maybe I missed the comments of others --- but, to date, I have seen no one else mention this CRITICALLY POSITIVE POINT. [For one, it is so much more important than any press release regarding Drilling Permits.]
Do any of the readers here know appreciate the massive POSITIVE implications of this change in strategy? In short, it is a 1000-times more important than announcing drilling permits. Here is what, between the lines, I read into Adam's comment:
[1] First of all, with the fully complete 3DIP, it is now apparent that the existing "HIGH CONFIDENCE" Chargeability ANOMALY --- to whatever it will translate after all the assay work is done --- is MUCH MUCH LARGER THAN ANTICIPATED previously; much much larger than the original >0.3% Cu GradeShell;
[2] Because of this newly-uncovered MASSIVE MINERALIZATION POTENTIAL many more drill holes --- many more total KMs than originally anticipated-planned --- will be needed to reduce uncertainty associated with any new comprehensive 3D MINERALIZATION model;
This, in itself, should be fantastically positive news; especially in view of the FACT that the chargeability model correlates very well with the historical core records [such as they are].
[3] Further, this also means that the investment community will not need to wait 12-months, or, more, for the one and only FINAL Compliant Resource Report; where, instead, once the core-assay operation is in full swing --- and, it will be --- there could be a new staged Compliant Resource Report coming out every several weeks; where this will give investors a lot more insight and flexibility.
[4] I suspect that OCO will be staging these documents starting with what they see to be those that represent the most bang for their buck; where the core-assay hard evidence will most likely show better mineralization; which, in turn, will have the best chance of boosting the share price; which, in turn, will more likely incentivize the warrant-holders to exercise those warrants; in turn, generating more cash for OCO and their continued efforts.
[5] The last thing I will mention here could be one of the greatest ST WILDCARDS --- but, keep in mind, this is ALL SPECULATION --- and that is the recently completed Aero-Mag survey; where, potentially, this survey could uncover other look-alike mineralization zones ... but, these, on a case-by-case basis, and, as funding may be availalbe, may needed to be tested with at least one drill hole-core-assay. Such could be huge additional gains --- beyond what is already found in ST --- but, tread with extreme caution, until the directly measured assay results are in.
In closing, I believe, in my general approach, I am evaluating properly my investment approach to the OCO play; but, I am just not sure others are appreciating the above matters --- the permits and the staging of documents --- in the same way. Maybe I am wrong, or, maybe I am right; such makes markets ... and response questions and comments are appreciated.