You write some great content and obviously a gold nut through and through. For someone who studies market conditions i can't understand why your happy with the sale of the Manna project stating that it put a floor on the share price, when the floor on the share price could have been more like 80c or 260m market cap.
GL1s market cap is now close to 600m, Manna has become their best asset and it's the bigger and better quality resource out of the two projects they have. By the end of the quarter they will deliver a scoping study for the project. In just over 1 year. Not bad considering it has taken years for BRB to do theirs.
Though some more drilling to convert UG oz's from inferred to indicated may improve the project a little bit. It's costly, The UG still has a poor amount of OZ's and has a very high strip ratio. Certainly doesn't look worth the effort atm. It's no wonder why they have cut deep drilling.
The market clearly doesn't value a short development pipeline either or one asset company such as BRB. Add to that we have seen AISC increases for almost every gold developer (apart from the odd exception) that has started producing recently. AISC is well above what recent mining studies suggested.
Why would you not capitalize on a lithium bull market. BRB did 2000m of drilling and it showed the potential of what could, and now is, a very viable resource. One that would be low capex and high margin. The lithium price could half and they would still be making great margins. The mind boggles. It wasn't some out of country asset they couldn't be bothered progressing. It was literally 15km's down the road. I'd be depressed driving to work and seeing that mine in production when dealing with a short mine life up the road that needed toll treating, a small open pit, followed by a very risky UG development that would be fully dependent on the POG in my opinion.
For those reasons I didn't see it the same way as you did (manna - 'lots of work, lots of risk' and 'time' - well delivering a SS in just over a year shows how little work time was needed.
The fact the world is crying out for Lithium so much so that they can direct ship ore without processing and fund their own capex shows that tere's a lot less risk in both financing, development and mining. EVs and battery manufacturers etc are being held back by supply. The market will remain very strong for years as demand will increase along with supply.
To give you an idea of what BRBs deposit is being valued at by the market its not hard. Take away the cash and what are you left with.
This to me lacks real foresight from management and BRB will continue to struggle it's way to becoming a marginal gold producer. Further discovery seems unlikely. Maybe a miracle hit at Ularing.
BRB will spend that cash trying their very best to work around developing the project spending more money as the SP and cash idles and dwindles during their orphan phase.
Happy to revisit and monitor the story but a lot of faith and credibility lost.
BRB Price at posting:
29.0¢ Sentiment: Hold Disclosure: Not Held
