Morning all.
It has taken me a while to get up to speed on this story.
It has certainly morphed over the past two years.
I was hoping to see a merger on the Sandstone project with ame and to see that become a bit of a powerhouse.
That was not meant to be and requires more capital to get it to become a producing cash maker.
I still own some shares in ame and will be watching the new neighbour develop the story further.
To think that we could have had a producer while exploring the Georgina Basin.
This decision to sell started me on the possibilities of how the future will be.
The cost to develop the Sandstone project is now with Aurumin, ( if it is passed by share holders ).
We have half of the proceeds to get on with the Barkly project and no need to raise while enjoying a possible discovery with no dilution.
We maintain exposure to the rising gold price over the next 12 months after which, if we have a discovery, we get to cash in in the other half = $6m and use that to further explore the Georgina Basin.
After all we have a lot of land there.
I had hoped to see a higher price put on the Sandstone but we have the cash and get some upside in the deal while a potential company maker.
Knowing that the government has spent $40m in the vacinity of the Basin and we get those results for free.
Hole 5 is one of the more shallow holes and the main game for us but the ann yesterday adds more fuel to the fire.
Why?
What is Table Drain I hear some ask?
When a grader grades the road shoulder, they also grade a run off to carry the water away from the roads edge.
That is what they are referring to here as the Table Drain.
That just happened to un earth some Malachite etc that became visible from a passer by that was observant enough to notice and had interest in the project. That drain is 130m long because the grader driver went that far off the road to do the job.
Another story of interest was a certain representative of one of the land holders in that area, pulled up to have a leak and urinated on the rocks, he then noticed the colour of them that the fluid exposed.
He could have just thought, That is very pretty urine, haha.
So the commentary explains, this is secondary mineralisation that they believe came from the primary source and leaked.
Primary source? yes 800m from the hole5 and the Crosswinds Project.
Now we get to see a brown coloured pic, wow.
Well those red dots mark the area that is exposed by the IP right alongside the HWY.
My first comment was, "who put that bloody road there"?
That road allows us to explore year round by my calculations.
We have access right to the area of interest.
It gets better.
Anyone notice anything about this next pic?
Equipment, IP underway, Land cruiser?
SAND.
That means that providing it has some depth, we have year round access off the road also.
Ever had a truck bogged in dry sand?
How do you get it out?
Apply water to the sand and Voila, out they come.
IF that sand is deep enough, it could allow us to drill through the wet season but I will assume that they will start in April because of availability of rigs so hopefully the rains have eased by then.
We also are doing more geophysics that will be very valuable to target generation.
Rigs, my source tells me, they want 3 at the first possible start time which we can estimate at April.
April can be a wet month in the tropics but this sand will be a great advantage to us while the black mud can take a lot longer to dry out.
Not sure if any of you have invested in IOCG stories before but they can be very expensive holes and looooong waits for both drilling and assay results due to the depths they are found at.
CHK 7 months minimum..
Here we have indication of less than half the depth and could be a third or even quarter of it.
I started in this area by buying icg and now I have some mdi.
This story is just too good to ignore imho.
Don't forget that we have land contiguous with the erm discovery.
So does RIO and they are probably right in the thick of it.
The Barkly is known for the black mud and the lack of access during the Wet Season, Well, hopefully not for us.
I was a little disappointed in missing out on that land application to the west of hole 5, the Crosswinds Project, but it looks like the action could be mainly focused to the east of it, mdi land.
Let's not forget that we also have the land up strike from hole 4 that is the more compelling part of the icg story.
The new capital structure makes for a rocket, if or when the discovery is made.
Note the cover thickness as indicated by this pic.
Positions of holes and how the land holdings are distributed across that very shallow prospective area.
That pic above is a screen shot from this vid that I think most of you have already seen.
Watching it a second time is great for thick heads like myself as it doesn't sink in the first time.
I will be watching again incase there is more I can get from it.
VIDEO Points of interest for mdi are-
9min- Conductivity identified.
16 min- ET095 conductor.
18 min- the skew angle.
27 min- elaborates on the model generation.
36 min- Interpretation of the lithosphere and where the holes where targeted.
53 min- talking about hole 5.
1:04 she answers a question that refers to the importance of the interpretation of East Tenant geology. Can't be ignored but what she says about the Mt Isa region is also of great importance, when you consider that the exploration to date is now considered, primitive and way too shallow. Hence the reason I bought cpm. Also a stupid cheap mc with SFA soi, 1300km2 land package and HG copper exploited via adits.
I am sure that will be enough to look at and an understanding to the potential.
I am certain it is also why some majors have grabbed land close by.
Happy reading and research all.
Oh and happy holding too.
Kind regards, Wack.
(20min delay)