What's Pinning GGM to this Price Level?In my view the funding for the upcoming drilling plan is holding the share price here. Of course its an advantage to get in cheap for the money that will finance the drilling. Possible some existing shareholders selling to get into the upcoming pp that will give them a warrant also.
For 2021, a total of 45,000 m of drilling is proposed to continue to focus on expanding and extending mineral resources, upgrading existing Inferred resources as well as exploring the Deposit at depth.
The total cost of the recommended work program is estimated at C$10,775,000 (Table 1).
Table 1 Recommended 2021 Work Program for the Granada Deposit
| Item | Cost in CAD$ |
| Resource Expansion Drilling and Resource Classification
improvement 2021 (Open Pit; <500 m depth) 15,000 m | $2,250,000 |
| Resource Identification Drilling (Underground; > 500 m depth)
drilling 20,000 to 30,000 m | $6,000,000 |
| Assays/Geochemistry | $1,400,000 |
| Additional Metallurgical Testing | $250,000 |
| Continued geotechnical studies for improved pit optimization
parameters | $150,000 |
| Environmental Baseline Studies | $150,000 |
| Updated Resource Estimate | $75,000 |
| Pre-feasibility Study and Related Studies | $500,000 |
| Total: | $10,775,000 |
Now if the company plays this smart, they could take advantage of this to fund half of the amount needed:
The Company is in possession of all permits required to commence the initial mining phase known as the "Rolling Start", which allows the company to mine up to 550 tonnes per day, capable of producing up to 675,000 tonnes of ore over a 3-year period of time. Additional information is available at www.granadagoldmine.com.
This company has a massive advantage over other gold plays in that it can and likely will use existing mills in the area instead of having to build their own. This means the Rolling Start is extremely feasible and the overall project CAPEX is far lower than most other gold plays.
Thoughts anyone?