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Oroco Resource Corp V.OCO

Alternate Symbol(s):  ORRCF

Oroco Resource Corp. is a Canadian mineral exploration company. The Company is engaged in the acquisition and exploration of mineral properties in Mexico. It holds a net 85.5% interest in those central concessions that comprise 1,173 hectares (ha) (the Core Concessions) of The Santo Tomas Project, located in northwestern Mexico. It also holds an 80% interest in an additional 7,861 ha of mineral concessions surrounding and adjacent to the Core Concessions (for a total Project area of 9,034 hectares, or 22,324 acres). The Project hosts a large, outcropping porphyry copper deposit comprised of fracture-hosted and disseminated copper and molybdenum sulphides with significant gold and silver credits. Its Xochipala Property is comprised of the Celia Gene (100 ha) and the contiguous Celia Generosa (93 ha) concessions. Its Salvador Property is a 100-hectare mining concession, which lies around 25 kilometers (kms) to the west of the Xochipala Property and 30 kms west of Chilpancingo, Guerrero.


TSXV:OCO - Post by User

Post by mrobporon Jul 13, 2022 2:07pm
396 Views
Post# 34821459

"Context"

"Context"It goes without saying that the broad market environment is a mess, and that affects everything. However, juniors like Oroco can focus on and make sure everything in their control is in order. 

I wanted to revisit "context." That is, the company laid out clearly for us that context vs. speed will drive their decisions to release drill results. I have seen much agreement out there that the best thing they can do know to regain investor confidence is to increase drilling productivity and volume/speed of release of results. 

But, looming over that reasonable idea, is the company's notion of "context." Presumably that means they want to wait until a critical mass of results can tell a story, rather than putting out discrete results. And I further assume they would want to wait until they can tell a positive story. I understand the logic. It makes sense. But, the big downside is that this approach maximizes uncertainty for investors, which is a hated thing. Because we don't know their precise definition of sufficient "context," nor do we know their current (35m / day was observed some time ago) or planned productivity, we have no idea when we will get results or at what pace. Some are comfortable relying on a planned Q1 2023 PEA release, but that only works if you believe the company is on schedule (and if the company confims that).

I believe there is a happy medium, which I had sent to Oroco some weeks ago privately. It involves not releasing specific ETAs for results (which they understandably don't want to do), but rather a model of their supply chain/process with some average, expected, or even just planned timeframes that can be caveated and explained if they are behind or ahead of schedule. In my opinion, this will mitigate substantial uncertainty and if they follow-through, it will do wonders for credibitiliy and investor sentiment and confidence. 

Cheers
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