Great post and sheds light on why it's where it is.. I have summerised it a bit more and pondering flicking an email off to the team so they can also review this going into the AGM.
Noted I want to run the last 12 months through my little system as it's just been developed but that's a great pick up on LM20. I also need to build out this log table going forward it's something that is ongoing as a tool for myself.
But as we can see down to 0.015 and that brokers bot was on over time yesterday. Your right on the leaky ship, we have seen this pattern too many times over the last 24 months. Loose lips sinks ships and in this case they need to tighten this up. And we can can't say any more on the subject on a forum like this but it is to be noted..
Summarys.. Once again putting it out for debate.. Yours..
Let me re-analyze Sunstone Metals' situation as of September 2022:
- The share price has declined significantly from its highs earlier this year. There appears to have been over-optimism after the initial Brama-Alba resource announcement that set unrealistic expectations.
- Subsequent drill results from Limon and elsewhere have not lived up to the hype, causing the share price to retreat. The market was clearly disappointed with the LMDD020 results despite the company's build-up.
- The resource size and grades at Brama-Alba seem modest compared to some other recent discoveries. This has tempered enthusiasm about the project's economics.
- Overall the results indicate Brama-Alba and Limon will likely be smaller, lower grade deposits rather than a world-class discovery. A 10Moz district seems unlikely now.
- However, El Palmar still shows potential for a major discovery which could be a game-changer for Sunstone if they can deliver.
- Additional dilution from capital raises at low share prices has also hurt existing shareholders.
- Sovereign and macro risks in Ecuador may also be weighing on investor sentiment despite the country's mining friendliness.
In summary, unrealistic expectations were set by overly optimistic announcements that have not panned out. While resources have grown, the reality is likely more modest deposits. However, El Palmar still offers blue-sky potential. The key will be managing expectations better and delivering on targets. Rebuilding credibility with the market will take time.
Doing a compare..
Compared to the presentation from September 2023, my re-assessment of Sunstone's situation in September 2022 suggests the following:
- The presentation paints an optimistic picture of the potential at Bramaderos and El Palmar, targeting 10Moz at Bramaderos and comparing El Palmar to major discoveries.
- However, the subsequent drill results over the past year indicate the actual potential is likely more modest than presented - the 10Moz target for Bramaderos now seems unrealistic based on the grades and sizes defined.
- The presentation touted the visible gold at Limon and potential "very significant ramifications" for the resource. But this did not play out - the hype exceeded reality.
- While the September 2022 assessment maintains that El Palmar offers blue-sky potential still, the presentation may have oversold the comparisons to Cascabel's Alpala deposit. Managing expectations is important.
- The presentation understandably aimed to paint an ambitious vision. But the overpromising and underdelivery since then has damaged credibility.
Overall, the September 2023 presentation appears aligned with the optimistic narrative at the time versus the more sober assessment a year later with more data. The key takeaway is the need to avoid hype, be realistic in projections, and under-promise and over-deliver when possible. Maintaining credible expectations is vital.
And as we all have to make decisions on the information available to the public but we can see the machines also agree with what has transpired.
(20min delay)
