Hi Pete, just my thoughts.
The SP is mostly based on what deposit DRE find. the massive increase from ~2c to ~6c was due to new discoveries and the dropped was mainly caused by someone wanted to take profits from an earlier investment not on any announcement from my understanding. The reason why we are sitting under 4c is because a lot of people bought in during the hype and now sitting on negative. i understand a good amount of investors who bought in at that time only wanted a quick return, so now they are selling so the can focus their money some where else.
Kimberley: the drilling is successful in terms of finding and understand the geology. this could be a huge system or no system at all. We hit some good grades and just need more drilling to find out if what the DRE team thing is happening is actually happening. Not sure if the recent CR has anything to do with Kimberley but if we get a lot more drilling at Kimberley and hit a massive system, then YES, it is possible for DRE to be ~5c-~10c. if investors look at the bigger picture, DRE has more tenants in the Kimberley that has not been touched, so there is still a large opportunity out there.
if you change your timeline to June 2022 for a SP at ~10c. this might be more possible for REE
Mangaroon: I personally think we have a better change with REE than Kimberley at the moment . I made a previous post regarding REE
https://hotcopper.com.au/threads/ann-rc-drilling-commenced-at-tarraji-yampi-project.6152405/page-105?post_id=54455807I overlay HAS deposit over the geology and see how close it follows the REE-enriched carbonatite. (
Purple: guesstimate of HAS Deposit/
Blue: REE-enriched carbonatite)
Back in 2016, HAS completed radiometric in their region as shown below.
DRE discovered REE outside of this known system, this was a surprised to everyone, especially for DRE team as this was not their focus at that time and allocated one day see if a hunch would resulted in anything, and it did. probably the same reason they discovered high grade Tantalum at Peggy Sue in Illaara.
As the rock chip samples was similar to HAS, this got me very excited, when the Float test came back similar to HAS, i am even more excited. HAS REE is classified as World Class, and having a deposit close to or better would be awesome, and so far all evidence points to this direction.
I was hoping that the Area they are surveying would expand further west, to the south of HAS main deposits. From HAS 2016, they did not scan this area so it could hold REE deposit or hold nothing at all. only one way to see and i think it is a better use of money at the moment.
Too bad we we are not surveying all of the new tenement because ASX:VMC discovered potential REE just ~1km north of the new tenement boundary.
If DRE Fixed loop EM Surveys come back with readings close to HAS where they discovered deposits, this will surely start to propel the SP, but we will need drill results to really know and have the SP move.
Why i like the REE discovery over Kimberley at the moment is because being magnetic iron stone, i believe it is easier to find deposits vs Ni, Cu, Au.
Also from my understand with HAS deposits, they all are SHALLOW, so i we might have something similar.
Other Areas:I am going to highlight the below points as they can also effect the SP:
- Possible Iron Ore Deal
- Mangaroon: JV with FQM that has some very promising outcrops
- Illaara with Metzke's find where they are planning on getting a resource estimate for gold.
Summary: The SP has a good chance to be higher by December and even higher by June, we do need drilling and need good results however using drill results as an example, you can't just view one mineral but look at all minerals as a whole to see the value. So i highly recommend valuing DRE as a whole and not just one area.
My question is what happen if both Kimberley and Mangaroon returns really good results and we have a good resource estimate from Metzke's find? where would the SP be in June. 50c?
(20min delay)