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Acgm

3,118 Posts.

1598

02/12/21

09:05

Post #: 58012457
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Originally posted by BlueSkies1711 ↑

When a company is still in its Feasibility stages they are in their Orphan period
when a company has a Major strategic investment financial institutions partnerships JV they have advanced to the next phase(DEVELOPMENT-Strategic/Institutional Investment) from Orphan....LTR are in Feasibility 2-3yr duration period

After Orphan(Feasibility), is the Development during which the SP markedly and remarkably increases as it heads towards construction and production

Feasibility

This is an important milestone for a mineral discovery. Studies conducted during this stage may demonstrate the deposit’s potential to become a profitable mine.
Institutional and strategic investors can then use these studies to evaluate whether they want to advance this project. Speculators often invest during this time, known as the “Orphan Period”, while uncertainty about the project lingers.

Development

Development is a rare moment, and most mineral deposits never make it to this stage. At this point, the company puts together a production plan for the mine.
First, they must secure funding and build an operational team. If a company can secure funding for development, investors can see the potential of revenue from mining. However, risks still persist in the form of construction, budget, and timelines.

Startup/Production

Investors who have held their investment until this point can pat themselves on the back—this is a rare moment for a mineral discovery. The company is now processing ore and generating revenue.
Investment analysts will re-rate this deposit, to help it attract more attention from institutional investors and the general public. Meanwhile, existing investors can choose to exit here or wait for potential increases in revenues and dividends.

Expand

Based on your confirmation that “orphan” stage ends “when a company has a Major strategic investment financial institutions partnerships JV they have advanced to the next phase(DEVELOPMENT-Strategic/Institutional Investment)” would you now thus agree that in your opinion (and based on your published definition) LTR is now in the development phase? (And thus expecting a movement up that next “typical” curve for MC?).

Seems to me that organising close to half a billion in funding in super short time without debt and minimal dilution due to strong SP at point of funding would confirm that to be the case (and chucking in an SPP component to keep retail shareholders in the mix offsetting the dilution aspect) would be proof positive confirmation. Then let’s add in the quality spod samples and confirmation of flowchart process and I suppose the ordering of long lead time equipment for the plant…

But keen for your expert opinion on the staging definition now.

Maybe it’s the BOD quality and depth of experience which provides this fast and positive outcome?
Last edited by Acgm: 02/12/21

LTR Price at posting: $1.92 Sentiment: Buy Disclosure: Held
30 Upvote

2 Great analysis

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