RE:RE:Simply amazing comments by W. MiddleKoop today on $NVO todayHTG,
Thanks for the summary of the salient points in English (I was trying to listen to the Dutch version and see if I could decode, but it was hopeless situation).
In my post of today at 5:06pm, I speculated a few things on ARV and NOVO, and some of the specualations seem to be consistent with WM's view as indicated in your summary:
- I scaled up the results (grade around 2-4 gpt, noting that the nuggets are large) for Areas 1 & 2 for ARV's 47K Patch to about 30gpt (a number I would use for CW) and WM says 35gpt which is the same ball park, ~1ozAu per tonne, which is phenomenal for surface mining. With that kind of grade and a production rate of 0.5M tpy from a Gekko machine, the profit would be of the order $500M/yr ($0.5B/yr, so ES was not joking when he was using the B word).
- If the conglomerate are thick enough (16m = thick in my book) CW resource would be in the millions oz. It really does not matter if it's 10 or 20 M. I would just take 10M oz, near surface, since this is large enough. Forget about the fine gold (low energy stuff) further down in the basin.
- Artemis, may beat Novo in the production department, since DL has a head-start. He got the other gravity plant moved from Nickol River to Radio Hill to process the two bulk samples from the 47K Patch. Also, the Gekko plant is scheduled to be operational by end of June 2018, while QH was talking about 2 years.
It would be faster to have some kind of discussion with DL about using ARV gravity circuits, or, at least using the Radio Hill site to install Novo own gravity plant, since the site has all required licences including the water licence. Note: The use of the Radio Hill facility is part of the 50-50 JV agreement between ARV and Novo. Perhaps, as a concession, Novo would need to include the processing of Purdy's Reward conglomerates as well, as an incentive as part of the negotiation.
Another option (much faster?) would be for KL to take out ARV gold assets in the Karratha area, including the Radio Hill Plant, merge that with Novo and spin off the non-gold assets for DL to play with. Perhaps, the price tag would be cheaper that $1.00/s (take out could be a combination of cash plus shares, but KL would have more flexibility with the price with a share swap).
GH
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honkytonkgirl1 wrote: Just finished listening to Willem, below the highlights:
* Commodity Discover Fund (CDF) still heavily invested in Pilbara
* Equal amount of money invested in Novo and Artemis and these are CDF's main investments
* Positions in 6 other companies of which investments in De Grey and Kairos are "substantial"
and Marindi "small"".
* WM: "I have never seen anything this sensational in my life"
* Comet Well can be followed on the surface for 8 km …. we know here is 10M ounce but it may get to 20M.
* Some first samples have produced 35gr gpt ounce
* conglomerates of up to 16 m
* QH: Within 2 years we will be in production
* On the Artemis take out: Willem stated that the CDF wants at least $1 for Artemis take out, and will not sell below this price.
* Artemis may start “test production”… they have all permits in place and Artemis may beat Novo in the production department...
greetz,
HTG