None taken Plough,
though I disagree with you about the assets on 'offer' currently around WGX plants. The only open pit that I though was a logical one, was MGVs. That is gone. GBRs Ironbark has potential, but currently, the MRE is small, but growing. Other than that, everything else is basically 2g/t or less, and that is 50-100% less than what is coming out of the U/G mines. Hence why WGX is investing heavily into Great Fingall (and soon Big Bell Deeps). Because they will provide long mine life, profitable ounces.
You mention 'potential', which is exactly the reason WGX again, went for MGV, they finally... only took them a decade, to produce a mining study for the parts of their assets that were actually worth something. The quick the likes of GBR and ODY get studies done the better, as otherwise, the market is not really going to care about valuing them even close to what they should be worth.
I agree about your point that WGX want ounces sooner rather than later, but... as above, none of the other assets are mine ready. WGX current U/G operations are, so it makes perfect sense to expand their output which further exploring for both green and brownfield extensions/discoveries.
Great Fingall has the potential to add ounces within 12 months, its a known asset and has good potential to provide not just profitable ounces, but much larger production profile. Look at SBM trying to bring there Tower Hill asset into production, its open pit, yet... 2-3 years minimum before they can mine it.
I think WB is doing what an MD needs to do, achieve guidance, keep its stakeholders up to date, keep its staff safe and offer some commentary that is likely not worth much investment wise, but... is giving the company a makeover in the best way.
@Joelstar without doubt, explorers are bleeding out, but.. to be fair to cashed up producers, those that survived from 2012-2019, deserve a hat tip for not having done a SBM.... buying assets for the sake of it is death for a miner. Look at IGO! Even the big boys get things very wrong. NST/EVN too.
Agree that explorers have less options than producers, though in the end its almost 100% up to the MD on their direction.
Consolidation makes sense some of the time, so does toll treatment, so do asset sales. Rick Rule recently said that there are so many companies in the exploration space that are just not worth 2 cents. The whole sector needs a culling. I guess what's happening now is a good thing, but frustrating when invested in said companies!
Totally agree about these:
3. Only the best projects with nearology will receive JV money.
4. No appetite for spin offs in this economic environment.
Like you, I keep scouring the sector the best of the bunch, there are a few, but... I continue to be more focused on the mid tier producers with strong cashflow. They are going to set the price on assets, and in most cases, it's best to be the price setter.
Cannot wait to see HC crew trucking some ore!
(20min delay)