Thur 13 April 2017 [Fri & coming Mon, Mkts closed due to Easter]
SIGNIFICANT DEVELOPMENTS - SOLGOLD
Share price in London listed Solg closed at 44.25 British pence +4.12% [US72.6 cents], Market Cap £633.8o million and Shares in Issue 1.432m.
In US dollars, market cap is US$791 million [£1=US1.25]
In A$ dollars, market cap is A$1.044 billion [£1=A$1.65]
So, in effect, the A$1 billion RE-RATING has happened [See earlier Solgold Present^]
*Cornerstone Resources closed at Canadian $0.350 +25%, Mkt Cap C$102.82m-own 15% of ENSA subject to conditions]. 13 Apr 2017.
So the reaction to today*s Announcement on Update on Cascabel was more pronounced in Canada judging from the % versus
"Investment Proposal from BHP Billiton"- Announcement 10 Oct 2016 [RNS]
The total package was US$30m for a 10% stake at appox US22 cents
Spending US$275m to acquire 70% out of 85% share of ENSA - Solgold.
Total: US$275m + US$30m = US$305 million
There has been NO further further word from BHP Billiton officially since 10 Oct 2017. As in Orbis Gold takeover, the 1st offer was in Oct and the next offer was in the following Feb of that next year. Since there was no further offers, Orbis Gold accepted the offer.
In Solgold case, the situation is a bit different in the Newcrest is on board as a 10% investor. Newcrest commented that they would review if there was another offer. I have posted the link before.
Some highlights:
(1) Alpala Central, Hole 22 appox 200m c l o s e r to the surface [Announcement: 11 Apr 2017.
(2) "Currently encompass OVER 15 BT of magnetic rock." [Ref: 11 Apr 2017 RNS/Ann found in Notes to Editors, para 10].
In the past Ann, it was said 10 BT of magnetic rock. BT stands for Billion tonnes.
(3) "Known length of Great Alpala Porphyry system nearly D o u b l e d to over 1300 m." [Ann/RNS 13 Apr 2017]
(4)Hole 24, South East Alpala is a "huge breakthrough" for the project- it extends the Alpala deposit by 570m to the S o u t h E a s t. [Ann 13 Apr 2017]
(5)Hole 25, Hermatite Hill has a planned depth to at least 2000m. [Ann 13 Apr 2017]
(6) "The magnetic bodies at Alpala, Moran & Aguinaga appox 15 BT of untested magnetic rock." [Ann 13 Apr 2017]. Note: This has increased from the earlier 10BT of magnetic rock in earlier announcements.
(7)"Solgold is excited by the strong correlation between magnetics and copper mineralisation in this system." [Ann 13 Apr 2017]
(8)"Solgold believes that a number of targets clustered within the Alpala area may c o a l e s c e." [Ann 13 Apr 2017]
(9)"Extensions at d e p t h and c l o s e r to s u r f a c e should add many more tonnes to the growing Alpala Deposit." [Ann 13 Apr 2017)
(10) "An aggressive drill program, producing 90,000m of diamond core per annum from early 2018 is planned to delineate the system limits along the greater Alpala trend p r i o r to a M a i d e n Resource Statement & to test the other multiple targets within the concession." [Ann 13 Apr 2017)
(11)"Over 34,000m of drilling has been completed to date & the arrival of Rig 4,5,6,7 over the c o m i n gt w o quarters will see drill testing expanding to Alpala East, Alapala West, Trevino & Aguinaga b y MID YEAR." [Ann 13 Apr 2017]
Note: From my recall, the time frames have been speeded up. Aguinaga from what is released so far is the most s u r f a c e target and large. [See www.solgold.com.au presentations chart] To get a perspective on 15BT of magnetic rock, you can look back at previous posts to match against other resource projects/prospects.
The last time I posted, I reported on Solgold*s project intending to head South side.
Please check the Solgold presentation to see where the Holes are situated. The highlights appear to represent an inflection point in this project at Cascabel.
Sol1, Thur 13 April, 2017
Please check as there can be errors. Rushing so I have not edited this post. As said, my broker does not deal in ASX stocks so I do not hold DGR directly.
DGR Price at posting:
14.0¢ Sentiment: None Disclosure: Not Held
(20min delay)