just been discussing with our big Swiss co holdersThey are cobalt traders and long term players in this game. They -like us -think (see?) that the recent announcements from ClA west drill should add at least 40-50,000 more tons of richer more shallow and wider reserve ore to the resource. Well know soon after SS.
this should in theory make Opuwo the 5th biggest Co resource in the world.
1,2,3 are in DRC. -then Moa (sherritt) in Cuba -then Opuwo.
The interesting thing is that all the nearest bigger reserves above us all sold for 1.2 -2.5 billion USD. or over 2 billion AUD!!
The nearest reserves smaller than us have sold for or are are worth 500-1 billion AUD. Probably the least valued other big one is CLQ. but with high capex high opex , lower grade and about 30% less Co than us its still got a market cap of 400% more than us.
In our opinion the only reason CLA remans so undervalued to its peers is
1. its just new and so market doesn't know it yet
2. Its still a work in progress defining it and a bit behind the others in development
but mainly
3 Management (all geos and technical guys) have been so busy economically developing it that they have not got round to getting in the right people to market it right so far. Thats all.
We are now making them aware of this and IMO This will happen (if we keep pushing them) and the shareprice will soon enough reflect the real global value. IMO If SS is good this resource is already worth well over 500 million AUD at todays cobalt prices. and we should expect to get paid at least that for it.-thats at least 60 cents a share.
see swiss emails below. They are huge Co traders and big CLA shareholders- but also getting a bit frustrated by lack of proper international marketing .
but the issue is getting fixed.
We both know that unfortunately a single release is not gonna make much difference…but this one is interesting.
Indeed, we can draw some conclusions on where they are in terms of reserves.
-Jorc was on 128 holes, “west zone” is on 52 holes”
-They are still missing results from some holes AND the updated Jorc will be transmitted to the market on these basis ( definitely before end of December, most probably very soon after ss)
-They give wide ranges. If I take the average point, i have : 42,500 M tonnes with 0,13 Co, 0,44 Cu, 0,59 ZN to be compared with 112,4 M with 0,11 Co, 0,41 Cu and 0,43 Zn in Jorc.
-Pre Jorc releases were very conservative and Jorc numbers came out 50% above what was announced because tonnage was much above what was expected. ( i do not know if it will be the same this time)
-Co is 0,13 vs 0,11 / Cu is 0,44 vs 0,43 / Zn is 0,59 vs 0,43. THE WEST ZONE IS RiCHER THAN JORC
-Playing with these numbers, we have an extra 56,000 MT of Co bringing total around 170K MT of Co
-This is ahead of Jinchuan puting celsius in #5 position in terms of reserves : Mutanda (Glencore) = 1,100 / Katanga (Glencore) = 658 , Tene (China Moly) = 565K and Punta Gorda ( sherritt ) = 341 . TheSherrit mine is the only one outside DRC
Among Juniors : Clean TeQ 115KMT with 0,1% Co for a market cap of 350M (lost 50% over last 6 months, but they announced a capex of 1,3 B (laterite is huge capex), Australian Mines (Sconi project) 54KMT with only 0,06% Co and a market cap of 108M (lost 50% over 6M) , Cobalt blue is 33M and also lost 50% of its value (50KMT (0,09% Co)
ALL THESE COMPANIES ARE “OLD JUNIORS” AHEAD OF CELSIUS IN TERMS OF FEASABILITY BUT WITH LOUSY ECONOMICS AND LITTLE FUTURE
-Celsius, is definitely the best out of the Juniors, but it is not reflected in market cap which is well below alternatives
- Missing SS and other pre- feasability might explain the difference. HOWEVER, everybody talks about the others and nobody knows Celsius which has a lot to do in terms of promotion to reach the market cap it deserves.
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