Pretty much confirms expectations all round. I've got to say its no fun being a shareholder at times like these but it must be pretty miserable being an MD as well. Finding the enthusiasm to progress work when the share price is getting slammed and everything you're doing is getting criticised would be difficult. They've always stated that their objective is the gold exploration. Sounds like they only found out fairly recently about the problems re-entering the worthington well which caused it to be plugged and abandoned.
GT-south has been expanded a bit subsequent to the JORC (this was noteable in the jorc statement anyway). I believe the mertondale shear prospect is still a very good one - but with little cash there's not much they'll be doing in the foreseeable future.
There's still a little bit of potential hope around the other two gold JV's with a few assay results still to come in but they're a long shot.
I suspect they'll try to sell the sacramento basin stake to fund a bit more gold work. There's the possibility of firming up a small open pit project at GT-south for toll milling - not sure how feasible this is but it is a shallow deposit and the grades are reasonable for open pit and the ore type. Getting something like that going would require additional capital of course - they might have enough to do a feasability and get some finance or maybe they'll look to do a JV, who knows. The sacramento tenements are a large landholding - I wonder what they're worth in the current strong US gas market.
PRE Price at posting:
0.0¢ Sentiment: None Disclosure: Held
