WA8 SP has been holding up like a champ recently.I wouldn't pay...

WA8 SP has been holding up like a champ recently.
I wouldn't pay much attention to this week as we may see a pickup in EOFY tax loss selling.

In answer to your question, yes there is a ton of surrounding infrastructure.
Some of this infrastructure could be utilised within a relatively short period of time.

The real bonus is most of that surrounding infrastructure has either latent capacity or diminishing reserves.

*29M mill is running roughly 400ktpa below nameplate (IMHO best near-term chance of providing toll treatment deal for near term cashflow).
*Deflector has less than 3 years' mineral reserves.
*CMM is in the process of building their Mt Gibson Mine Camp, Mt Gibson has low-grade dirt that requires a very large mill. I'm certain they'd love a satellite sweetener to lift that head grade.
*Kirkaloka mill is currently in administrator's hands. Does the eventual acquirer of this asset try for a stranded assets consolidation play?
*Mt Magnet has 10 year mine life but if the rumours are true about SPR/RMS, Cue ore will be diverted to Dalgaranga, therefore shortening Mt Magnet's 10 year mine life. We know that RMS aren't shy about hauling dirt to distant mills. A 110km trip is not a long haulage distance for what potentially looks like being a +2gt stretch of deposits.

Now let's look at WA8's current landscape.
* Permitting times have blown out meaning assets with current mining licenses are increasing in value. Permitted projects are more investable as project timelines can be more concrete. No one wants to wait some ill-defined time period whilst gold sits at near record $3,500 prices.
* Building cost inflation continues to inflate the value of pre-existing infrastructure.
* Miners coffers will swell at current gold price, giving them more ammunition for ramping up M&A.
* Drilling costs are increasing (WA8 second largest holder is one of WA's largest drill contractors).
* The discovery's have been made, now the question is how big? Average project drill depth a poultry 42 meters.
* Both WA8's projects are in undisputed Tier 1 locations.
* The already permitted/mine planned Big Springs Project has real potential to be a producing mine in its own right (First Majestics MD has gone on public record stating that Jerritt Canyon will be available for toll treating arrangements).

All these tall winds/potential catalysts yet WA8 still remains comparatively cheap at an EV/Resource metric ($19)!!!
That's a counter meal price for every $3,500 ounce in ground.



All IMO
DYOR
GLTAH