Solid Update Recieved the following email from a trusted advisor following today's NR. Thought it was worth sharing.
By the time the PEA comes out, post May 8th drill data reports should point to further expansion of Val D'or East . They have enough money (about $Cad 34 million including securities; see updated 6/1/21 presentation) to start on the next 50,000 meters of drilling just announced, that it would be possible to defer further financing until after the PEA, but that doesn’t strike me as Dave’s style. Might not be wise, either, if they were to receive an attractive takeover bid, to be squeezing the cash balance down.
As a shareholder, I would like to see a sale of VDE later, rather than this year, after they can do some exploratory drilling to the east and north of the current area of interest, to demonstrate significant blue sky potential for VDE. Also, their presentations have repeatedly shown the potential for a “third north/south trend” centered between the similar ones in VDE, plus, onemight infer that the east/west trend runs across the bottom of those two, going west to intersect with successful results they have had their. I suspect they will also want to do a little work to the North of Seor, where they have a small deposit now.
Finally, the Island fault running east/west, lying to the north of them and then swinging southward well to the east. Probably would like to do some more early stage inexpensive work there, Any success would help a takeout bid, but limited early results in such a large area would not be a negative.
Anyway, my hope is that the Val d’Or East project is separated from their large prospective land position that runs from Kirkland Lakes’ Detour mine (which KL is improving meaningfully) some sixty plus kilometers to the east. That property, plus perhaps $CAD25 million would be a nice start for a third iteration—Probe Gold. That would be a big enough project for the whole team to stay together. And Tony Makuch at Kirkland is a smart and aggressive guy who must have an eagle eye on Probe’s drill progress there, since they have a very extensive land package bordering a good bit of Probe’s land, including a high grade discovery that might cross that border on to Probe’s land.
So, overall, I think will do another small
financing to keep the kitty topped up. That would be fine with me.