Buyout?While I understand the excitement around an "imminent" buyout I don't think this is the most likely outcome. The management team has been built to take this project much further along than the old Probe Mines. Dave knows there was substantial money left on the table last time and is doing what he can to avoid a similar fate. This property has the potential to sell for a much larger number than today's value, but it will take time to prove it to the majors.
Marketing to retail is all well and good, but the big boys know Dave and are keeping an eye on PRB. Dave needs to thread the needle and avoid getting an offer that would be hard for shareholders to reject until he is able to fully prove the value of the project and get us closer to the billion dollar level. I for one would be very disspointed with a $3.50-$4 buyout today.
I know lots of folks want to make a quick couple bucks, but strongly believe patience will be rewarded. 18-24 months from now this could be worth four times what is today. I like the way Seema summed up Tuesday's release in an email the same day (copied below). Best, JM
Here are the key highlights: - Good continuity of the gold zones - still open along strike and at depth
- Expansion drilling continues to return impressive results - 7.2 g/t Au over 4.1 metres and 6.5 g/t Au over 4.8 metres
- Infill drilling results continue to confirm continuity - 1.3 g/t Au over 35.7 metres and 0.9g/t Au over 54.0m
- Three drills active on the VDE Project
- Drill program increased from 30,000 to 45,000 metres
See below for the surface map for your reference:
https://www.probemetals.com/site/assets/files/1529/figure-monique-pr-sept28-2021-1.png The drill program on the Monique property is focussed on resource expansion as well as resource conversion. Note that all these zones are located within the Monique mining lease situated less than five kilometres east of Probe’s main gold resource at the Beliveau deposit.
Results from today revealed significant, new mineralized intersections along strike and at depth. Furthermore, all the holes were successful in intersecting gold mineralization as predicted by our 3D geological model.
On the back of a very strong PEA showing a production profile of over 200,000 ounces per year, our exploration results continue to indicate significant additional growth potential for this project. The Monique system is becoming an increasingly important component of this growth target. We will continue to grow our gold resources and drill for new discoveries while we advance the project towards pre-feasibility.
Next up - Over 50 drill holes are pending at the assay labs. Additional results will be released as soon as assays return from the laboratory.
- All results released today will be included in an updated resource for the Val-d’Or East project, which will form the basis of the pre-feasibility study (PFS) expected to be completed in the first half of 2023. The PFS is an important step in advancing the project to production and work will run concurrently with environmental studies and permitting.
- We are now ramping up our drilling program in Val-d’Or as we prepare for an aggressive 2022 program focused on resource conversion and resource growth.