Galileo MiningASX: GAL When GAL announced its Callisto discovery hole we said there were two ways for it to increase the value of its new discovery: - It discovers zones of higher grade mineralisation.
OR - It drills in different directions and down to new depths, testing for extensions and continuity of mineralisation of its discovery.
![✅](https://fonts.gstatic.com/s/e/notoemoji/14.0/2705/72.png)
Less than six months later, GAL can tick the box for each pathway — it has discovered new zones of high grade mineralisation and it is still to find the extents and the overall size and geometry of the mineralised zone that hosts the discovery. And with almost 300 square kilometres of prospective ground at its Norseman project in WA, we think more upside remains. Along with Callisto, there are a further two prospects at Norseman with another 12km of strike that require follow up drilling. Just at Callisto, GAL has over 5km of prospective strike length, almost all of which remains undrilled. GAL now has two rigs on the ground — a reverse circulation (RC) rig doing around 5,000 metres per month and a diamond drilling rig doing around 2,000 metres per month. GAL has a lot more drilling planned in the months ahead, leaving more chances of finding new mineralised zones, and hopefully the source of the mineralisation. The potential that GAL has here seems to have been recognised by Mark Creasy who has been buying up GAL shares on market and now holds 27.4% of shares on issue. Creasy most recently tipped in .85M between September 20-27th at an average price of .19. This followed his M investment in the July placement at .20, after buying .35M worth of shares on market throughout June. We recently namedsix of our Investments that are in the race to be our top performer for 2022. At this stage, GAL is leading the pack to record the best return of 2022 of any Investment in our Portfolios — its discovery in May sent its share price from 20c to as high as .95. If GAL continues delivering results and making new discoveries, it has an excellent chance of extending its gains and holding onto that top spot. We note GAL’s managing director Brad Underwood has 2.5 million performance shares owed to him if the GAL share price can hit .60 (as a 5 day VWAP). As long term investors in GAL we would like to see him unlock these shares at this share price. Having raised over M in July, we expect that GAL has a decent amount of cash remaining to drill a lot more holes by the end of the year (we’ll know more once the September quarterly results are out in the coming days). This takes us to our “Big Bet’ for GAL: Our Big Bet“GAL increases the size/scale of its Norseman PGE discovery to a stage where the project/company is acquired by major shareholder IGO Ltd (or another major miner) for over BN.” NOTE: our “Big Bet” is what we HOPE the ultimate success scenario looks like for this particular Investment over the long term (3+ years). There is a lot of work to be done, many risks involved - just some of which we list in ourGAL Investment memo. Success will require a significant amount of luck. There is no guarantee that our Big Bet will ever come true. We have updated our internal GAL “Progress Tracker” document to reflect the recent news. Click here to see our Progress Tracker |