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Royal Nickel Corp. RNKLF



GREY:RNKLF - Post by User

Post by Geodan2on Jan 22, 2019 11:17am
234 Views
Post# 29264519

Market got it right, almost exactly as guessed ended up true

Market got it right, almost exactly as guessed ended up true
A Zone drilling targeting sediment layer and shear near Father's Day Vein intersected 119.37 g/t over 6.4 metres (true width) including 1,406 g/t over 0.50 metres (true width) in hole AZ15-013 located just 7 metres below Father's Day Vein 
 
First drilling at Western Flanks to test sediment layer further illustrates potential of sediment to generate high grade coarse gold – intersected 1,017 g/t over 2.00 metres (true width) including 7,621 g/t over 0.27 metres (true width) in hole WFN-029
 
 
OK so things ended up almost exactly as guessed.  The market activity was accurate.  As is typical on massive news at a mine some of the info started leaking.  My guess is the A Zone was hit a while ago and good core drill hits, then maybe on Thursday  they intersected 1,017 g/t over 2.00 metres (true width) including 7,621 g/t over 0.27 metres (true width) in hole WFN-029 at Western Flanks, just a wild guess.
 
Being it is a separate shear zone and yet again like fathers day vein massive high grade gold grades were hit shows that again the theory of pyritic sediment intersecting the shear zones produces historically high bonanza grade ore is proven again.  
 
RNC did a good job highlighting that by showing the history of bonanza grade hits last few years, That this is best bonanza grade ore hit in a drill hole in 2 years world wide. Another quote from report:  
Mark Selby, President and CEO of RNC, commented "After the historic Father's Day Vein discovery, we have taken steps to test the theory that the newly identified property-wide sedimentary layer carries the potential for further high grade discoveries in the four main shear zones at Beta Hunt. This potential has been highlighted by one of our first set of holes at Western Flanks targeting the sediment layer in one small section of the shear that yielded a 7,621 g/t intersection of coarse gold - which to our knowledge is the highest grade drill intersection by any reporting company since 2017 and is located within 45 metres of our existing development. 
 
Rarely is speculation and guessing this accurate.  What has happened is just about what guessed what happened to cause 35% rise Fri-Mon on TSX.  On OTC huge gap up. On TSX RNX.TO is up 6% more today, now 41% rally in 3 days at .71 and hit .79 near the open.
 
It all makes sense now.  Just what fantasied and posted here of weekend happed, they hit FDV like bonanza grade gold ore in a drill hole on a different shear zone and also there was a short squeeze that boosted the rally on top of news/leak.   And that it was leaking good news that caused the CEO to fly to Aus and the Fri-Mon super rally.
 
100% positive.   
 
Here is short situation at IB https://iborrowdesk.com/report/RNKLF  150,000 shares they report were covered there this morn, but although this link is very helpful and shows the realtime cost to borrow, their amount availible has to taken with experience on this topic, when they say "none availible" that is the case, when they quote how many shares they greatly  under exaggerate.  They seem to just put up the shares to a certain level availible and ignore additional shares availible for the total amount, have observed this over years of watching it.  Here on this article https://seekingalpha.com/article/4214970-rnc-minerals-short-situation-indicates-short-squeeze-can-happen?v=1548132782&comments=show people have put hundreds of thousands of new shares in, and those new availible shares are more than what IB is the total availible, then in 2-3 days it is 100% gobbled up by shorts.  The real short position is likely about 150 million shares before Friday, there has been some covering.  The early short covering saved those shorts a lot of money.  If you have any doubt about the real short position, read the link and comments on it, posted in this paragraph. It is not just RNKLF, short sites said SAEX had less than 1% short in September and it tripled on short squeeze and no news ins the next day or two on more volume than entire share count.  Short Reports are worthless on many stocks. 
 
Great news the theory (new geologic model)  that Beta Hunt has a bunch of bonanza garde ore in confirmed again, and they are hitting higher grade bulk ore lower down in shears in the Lunnon Basalt than what they have mined for years above the Lunnon Basalt insme shears.  
 
Both high grade and bulk garde will take more drilling to delineate. 
 
There is a great deal of luck in drilling such bonanza grade systems. They mined the FDV without ever hitting it with a drill hole.  A meter this way or that way can quadruple the grade and intersection width.  They mentioned the richest core was the first drill hole at Western Flanks, which by the way is bigger than the A Zone shear.  And that it is near workings (45 meters away) maybe that is why they drilled it first.   So they can tunnel to it get the gold, get much bigger bulk sample then drill from that location laterally and at many angles.  That could produce some really exciting results that that they are on the bonanza ore on Western Flanks.
 
Cheers
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