STTCOMP VEC, FA LONG
Gold in Congo
Market cap 10m, 1.5m cash approx.
Looking in to the recent discoveries in this belt and adjacent Tanzanian Craton in recent years, it seems like VEC team has done well to acquire this lease... More than 70moz of gold has been discovered so far in this region and its relatively unexplored as well.
The grades are also very good along with resource sizes which are high... No wonder VEC has to issues 2.5b shares to vendors for this project...
Looking in to the region, there are couple of mines with massive resource and grades:
Kibali is 22 moz with average grade 3.3g/t
Zani kodo have 3 moz with 2.4g/t
Mongbwalu have 2.5 moz with 7.7g/t
Now looking at VEC, they have 6.9mt @1.9g/t au...
They are already drilling and
They are looking for further advance stage projects to acquire....
I think I see a lot of upside potential here... They are in a world class province which has huge proven resources but its not fully explored yet which means opportunities for smaller players to set now for further growth in future...
The only issue is 5b shares and I am sure management would be aware of it... Hopefully they can do consolidation in near future... By saying this, it seems like tightly held keeping in mind 2.5b shares were issued to vendor and are in escrow and top 20 holds 62% of the co...
