The raise is going to have a negative effect on SP over the next month or so as any SP move north will likely meet selling pressure from profit takers.
The said, drilling recommences in 2-3 weeks on the very prospective Diabatou, before moving back to infill the JORC, and extend the JORC 500m+ along strike. It's going to get interesting if the very high grade hits (7m at 121g/t or 4m at 23g/t) continue along strike and at depth, it will make for 'early plant feed' in a future mill. You won't need much 121g/t close to surface material to payback the mill debt.
The Paguanta Zinc/Silver/Gold/Lead project is also a great kicker which should be valued at (guess) $10m+ royalty...
If we think neighbors in Burkina Faso, fellow Aussie in West African Resources (ASX:WAF) MC of $400m and their Sanbrado project only ~100km away from our lands. WAF is currently building a plant to sustain a 300,000oz/year operation for 10yr+, at a rather low AISC, they're a takeover target IMO as we move into a high gold price environment. I wouldn't be surprised to see them taken over for $1b.
This which bodes well for their Aussie neighbor, building on an existing 1.4Moz deposit, likely to be 2-2.5Moz in Q1 2020, and only have a MC of $15-20M...
GMR Price at posting:
1.5¢ Sentiment: Buy Disclosure: Held
