TG6 5.88% 16.0¢ tg metals limited

How big is the system, that simply isn't known at this stage. If...

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    How big is the system, that simply isn't known at this stage. If there was strong evidence of a huge system then the share price would be massively higher than it is now. Soils as you correctly note is a weak indicator. However its also incorrect to classify TG6 as a rock chip hopeful. TG6 is in the smaller group of companies with 15 grade-metre plus intervals. Inclusive of the two lower grade edge assay's, TGRC0011 is 15.5 grade metres at a 0.4% cut-off. That's from only one of the first six holes. With the way pegmatites pinch and swell, better results are almost certainly yet to be reported even if only better on infill drilling around the existing holes.

    The importance of the 60ppm over a large area is the creation of the possibility of a simply massive system. Huge IF, but if the soils prove in this location to be an accurate pathfinder to mineralised pegmatites, the area over which mineralisation could occur is large enough for TG6 to have one of Australia's big hard rock deposits. Clearly its way too early to say that's the case, but it remains a possibility given the geology and soils. That's worth something, but how much depends on what probability you give this best case outcome and how much value you have already assumed for more likely smaller size possibilities. If there's even a 5% chance of this turning into a $1b+ pre production MC monster, that supports most of the current market cap. If the large stepout drill holes are favourable that would increase this % chance. Dusters would reduce the chances of its a huge deposit.

    Re lithium dusters - Agreed there's more dusters than successful hits in the lithium exploration game. There's been a lot of lithium hopeful who:
    • Have reported rock chips on pegmatites that haven't turned out to have below ground mineralisation
    • Have reported elevated lithium in soils but haven't reported a successful drilling program
    • Have reported pegmatite intercepts that have turned out not to be mineralised
    • Have reported mineralised pegmatites that turn out to have a significant non-spodumene component to the lithium mineralisation.

    So far TG6 is in the other group that have found a mineralised pegmatite. As noted in an earlier post, its sounding increasingly likely that with extension drilling of the first 6 holes, TG6 is going to be hitting 100% for mineralisation from phase 1 drilling. I'm not sure who has done that before, but its certainly not the duster drilling companies you have generically noted.

    So what if TG6 report positive assay's for the drill holes shown in the 800m by 600m area below. For mathematical simplicity I'll assume the pegmatite stops at those dimensions but also that its a rectangular box which is 10m thick (the lower seam). 800*600*10*2.7=12.96Mt. If TG6 were to define a 13Mt JORC resource at perhaps 1.3% to 1.4% this would put the project into the same broad category size as Pioneer Dome, Liontown's Buldania, Delta's Mt Ida and the remaining reported resource in Mt Cattlin. Even achieving this is likely to support a higher share price higher than the current one. This is only one area or elevated soils.
    https://hotcopper.com.au/data/attachments/5768/5768582-bd76ed35c20156944b63ae9cc6ecad87.jpg
 
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