understanding the deal: i`ve been trying to understand the deal and WHY
Kennecott / Rio Tinto would JV such a high grade Nickel project. That actually has good infrastructure.
=> @ all! PLS share your thoughts as well!!!
I think it`s important to note that it`s Kennecott that has the right to decide weather or not they sell all or keep 70%. My guess actually would even be, if the following thesis of mine is correct, they might even rebuy the 30% through a full takeover of TLO. However this possiblity is years away and for now, it`s important to note that Kennecott will remain operator. So its Kennecott People doing the actual work. For anyone who understands how difficult it is, to get good geologists etc. thats a clear sign of confidence in the project.
This clearly means, they ares still very interested in the project, but want OPM to confirm the deposit. In this case its T.TLOs money. Which is, for agressive investors a great chance.
Bottom line: It`s a "all or maybe nothing opportunity"
I`ll expain why:
This is the deposit:
So the next drill campain will be a company maker, or not... , because...if there is no good ore in the orange area, which has not been drilled much, it looks like this
so basically Kennecott is shareing the risk here, BUT if the shallower area to the south does contain economicly minable ore. It VERY MUCh looks like this deposit:
ASX.SIR - Marketcap 1.11 Billion AUS$ @ PFS stage
https://www.siriusresources.com.au/
It`s rel easy to see what`S key here: a slowly dipping vertical decline instead of horzontal shaft.
BTW: here is how Voiseys Bay (VALE) looks like.
Easy to see that again, the current high grade drill results area @
Tamarack is deeper than whats currently mined at VB. But, see above.
Conclusion: One of the most interesting exploration plays you can find currently and a great JV deal by T.TLO. Just my view of course.
DO YOUR OWN DD.
chrs
teatime