It's probably a fair bit closer via Yahoo - Payne's Find Rd if...

First 3 Last

Share
Profile

Follow
Mozzy

740 Posts.

142

27/09/19

19:27

Post #: 40614646
Share

Originally posted by Davisite: ↑

Now that the market has spoken and basically said no to the SLR TO, we should start to look to the future. Leaving aside any board changed, if EGA is going to go it alone a toll treatment option looks best. There are plenty of mines in the area within trucking distance (lets say less than 400km), but which one? Deflector is running at capacity and is set up to deal with the copper rich ore of Deflector so doesn't look great. SLR would most likely want to charge EGA a fortune for toll treating anyway.

One option I would like to throw out is GCY Dalgaranga Mine. This is only 264km by road from Rothsay. GCY has a near brand new plant, but has basically no gold (0.8g dirt). It is currently being run by the administrators and the creditors who have zero interest in running a gold mine. A partnership with GCY trucking the high grade Rothsay ore to Dalgaranga might solve everyones problems - EGA would get a good toll rate, GCY would have a high grade of ore, and the banks could get rid of their ugly redhead stepchild. Win for all shareholders.

Thoughts?

View attachment 1751804

Expand

It's probably a fair bit closer via Yahoo - Payne's Find Rd if those haul roads are in ok condition.
What about Golden Grove or Minjar? Much closer but probably not a desperate as GCY would be.

EGA Price at posting: 31.0¢ Sentiment: Hold Disclosure: Held
3 Upvote

0 Great analysis

Reply