RE:RE:Returning To The Fold!ggrellette thanks for input.
Reasons why Rockcliff's share price has stumbled?
The company consolidated its pure play gold assets (which junior mining investors always like) into a subsiduary, Goldpath Resources and then sold them off to Kinross, because management, short of cash, decided to focus primarily on exploring its base metal assets. This was a strategic move to make better use of the available funds. Some investors may have disappointed. But it was a smart move!
The company got a new CEO, with experience in the operation of mills, when it decided to tap a nearby nickel mill, with a lease proposition, as it made plans to go it alone. At that time, they figured they didn't need to wait for Hudbay to construct their mines. They were wrong! But it might have been a good gamble to make.
That might have antagonized Hudbay Mining, just a little!
Hudbay got them back, and killed their 'go it alone plans' by taking over the operation of the Talbot joint venture operations. Perhaps a little too much 'drama' here also killed some investor support?
Plan B failed. Their project to develop two independent but nearby mines, Talbot and Tower, and then ship the ore 75 km up the road to a leased mill, could not be funded successfully, without both deposits to mine.
The new CEO was dumped and the company went back to plan A, to joint venture with Hudbay. Tired of waiting, like all Rockcliff investors, they took a gamble that just didn't work out! It was a creative exercise but the bigger player called the shots.
That is the deal that was struck with Hudbay.
Revenge, is not really, the main reason that Hudbay took over the Talbot joint venture. They realized just how valuable an asset that the Talbot deposit might actually become! And why give most of it away to another competitive company in the Snow Lake region. The original deal between Rockcliff and Hudbay, was to become partners.
Hudbay made a good business decision!
You see, Talbot may contain a huge, yet undiscovered resource. There is still much to drill.
A massive conductive plate, 1 km square in size, discovered by geophysics, was never even drilled for a proper evaluation. The 43-101 technical report is public domain and is available on the Rockcliff's website to view.
The mineral content and thickness of that plate was never determined so it might be an extremely valuable resource containing zinc, copper, silver or gold, in very significant amounts. I noted that the report also made mention of increasing copper grades with depth, as the certain, down angled plates were drilled. So there may be some evidence of better grade material, lying at much deeper depth.
What may lay beneath a 1 km plate that hasn't been drilled? Downhole geophysics cannot reveal any of that. Without a single hole, is the Talbot deposit another potential, 'Lalor' like mine?
Hudbay has been in this business for a very long time. They know what's going on here. Why do you think that Rockcliff may have been a little reluctant to finish drilling down to this depth?
There may have been a little commercial self-interest at play that may have strained the joint venture relationship, just a tad bit?
Does this kind of drama entice investors? No it doesn't! They want to see mines developed and as quickly as possible!
But should we give up hope? Of course not! It's still worth the wait!
But I don't think that Talbot will take too long to be constructed and be mined. For both parties in this joint venture, they stand to gain a lot!
The future for Rockcliff? I have already stated that in my last post.
In commercial interactions, money comes first!
As an investor in Rockcliff, the future looks bright!
All the best! Java