STTCOMP KIN FA LONG Kin Min NL Ltd Gold Exploration company with...

STTCOMP KIN FA LONG

Kin Min NL Ltd
Gold Exploration company with the deposit located in WA, Australia.

SOI - 571m
Cash - $2.7m (Jan 4C)
Top 20 - 60% Shareholding

KIN was a gold darling stock a couple of years ago but has suffered a few hurdles, the last of which was Aug/Sep last year when they put their PFS out to the market which somewhat underwhelmed given the low grade (11.4Mt at 1.09g/t Au) / low NPV/IRR (118m NPV & 29% IRR at $2200/oz)

Management and their major shareholders were still supremely confident the high grade gold was evident and they launched a $3.1m placement & rights issue in Oct at 3.5c.

Management were so confident of finding additional success that they bought shares in 10-separate occasions between 21-November and 20-December. Not only participating in the 3.5c placement, but then buying more on market at the on 29-Nov and 20-Dec at 3.8-4.0c - this was the smoke signal right there

Yesterday, management and their top-shareholders faith in the fact the high grade gold was there was validated in spades with a very nice, large, shallow, high grade hit at Comedy King. The hits include:
Comedy King
12m at 14.9g/t Au from 4m including 8m at 21.9g/t Au from 8m (CK19AC070)
4m at 8.3g/t Au from 20m to EOH (CK19AC037)
8m at 3.0g/t Au from 8m (CK19AC056)
20m at 2.3g/t Au from 0m (CK19AC113) 12m at 2.7g/t Au from 4m (CK19AC114)


These high grade hits are essentially from the surface - 20m @ 2.3g/t from 0 meters (i.e. get a shovel & dig) and 12m @ 14.9g/t from 4m

There are more results pending from the current drill program from the Lewis East & Lewis West sites which are also prone to high grade hits from their earlier sample work. These are due mid-Feb

Importantly, these new high grade, shallow zones will improve the economics of the PFS by orders of magnitude and it is a complete game changer for the company

The SP reaction yesterday was slow & steady - it kept grinding higher all day on reasonable volume. But over coming sessions I expect that to ramp up in to the next set of results which are expected mid-Feb