Morning all.
Good question
@mhkforevermci and as
@CounterVin answered, Where you have already found some.
Particularly in this type of geology. They come in clusters.
If we look at the surroundings, we would want to be as close to what is of great importance in the deg known targets like Greater Hemi.
We could look down to the unexplored targets in the South West of the land package too, like Toweranna and Charity Well etc.
Which other companies could find the goods? Who knows and it is almost as good as the flip of a coin.
There are smarter investors that will wait for a discovery hole and buy upon confirmation so they don't risk capital.
The best money comes with the highest risk usually and that's the game we play in.
We have been lucky here, it is a very safe long term with the amount of targets and land still to be explored.
Let's take a look at the surroundings.
Dgo, were in deg very early and very cheap entry cost. 5 cents but they have made significant contributions since.
Why? I thin EE with his geological expertise understood the importance of what deg had.
Where is dgo's land holding?
Surrounding Toweranna.
What about who is close to Scooby Calvert etc?
Caeneus.
Here is another that lies close to dgo and deg with the Mt Berghaus shear zone running right through it.
RDN.
Any of these could find the goods and any or all could find Nothing.
When I look at the multiples that I can generate form what I invest in, deg comes to mind.
Some of here rode this from 5c to the highs.
I was very lucky and had an average but price of 17c so any selling, ( which I have done during the dramatic price rise ) was with excellent profits. We have been very fortunate here and this is still a good holding providing you wear the ups and downs.
Those small cap companies that surround deg all want to emulate what deg have achieved.
Good luck as someone once said to me but if they do then the multiples of their sp also emulate what deg did.
That is what we hunt for, the largest possible multiples.
That also carries higher risks but some of are willing to participate.
This brings me to the deg chart.
I didn't mind that red candle we spoke of on May 14 and sure enough we got a recovery.
The past two days however could be suggesting some further weakness.
Any long term holders will not be bothered.
For me however, I am looking at the multiples I want to achieve going forward.
At a current mc of let's say $2b and a resource est of 6m oz we can calculate a resource oz value of $333
If we have 8moz, we then have a resource oz value of $250.
I think that is reasonably valued for now and does not offer me the multiples I am looking for.
For these reasons, I have sold my holdings.
I want to add to some others holdings I have and those that follow me can look at my posts to get an idea.
I will be posting on those when I have more time and research I can share.
I will still be dropping in here and can be tagged.
Kind regards, Wack.
(20min delay)