I've done some more homework on this company.On the Nevada...

I've done some more homework on this company.

On the Nevada asset: what is now Warriedar Resources acquired the Big Springs property in 2012 and it has dominated the company's activities since then until very recently. Still on the books. When Amanda Buckingham talks about the need for patience she is obviously trying to rationalise the company's dysfunctional ongoing relationship with Big Springs (aka Total BS or the Dead Horse). Indeed, someone may well make a fortune from this asset, given its prime position and jurisdiction but not, it seems, this company.

The silver lining of BS is AB came into the company as a geophysical consultant on BS and then joined the board in October 2021. There is a revolution happening right now in mining to do with discovering commercially viable mineral deposits using technology other than drill bit and I think AB is in the vanguard of that movement (as far as I know she still only works at Warriedar half the week and for the rest of the time she reverts to being a mild-mannered consulting geophysicist). The Chair, Mark Connelly also seems to be relevant to the company mainly by way of his experience with rocks of the type that make up BS.

It is not as if the company has been unwavering in their commitment to Big Springs. The company thought of divesting BS in 2020, obviously unsuccessfully, and said in early 2023 they were looking for a joint venture partner for the project. But in summary, you've heard of empty calories, well, my guess is that in practical terms BS is empty ounces for this company.

Warriedah's existential moment: I would like to think that it was on 28 November 2022 when it:

• acquired Golden Dragon and Fields Find properties which are immediately south of 29metal's Golden Grove copper mine and immediately east of Silver Lake's Deflector operation,
• consolidated shares 10:1,
• appointed MC as chair and Dr Dianmin Chen as a non-exec director,
• announced a name change (initial thought was to call it Lustre Metals but then went with Warriedar (after the original homestead I think)).

This day of upheaval closely followed strategic decisions to take on AB as MD and to go looking for an early stage exploration asset in WA to go along with them continuing to flog their Dead Horse in Nevada.

I'd like to think the decisions announced on 28 November 2022 were the inflection point for the company but going on subsequent events I fear it is not:

1. Being patient with Big Springs is one thing but they've had the property for 12 years now with no tangible break-through. Still they do not move on.
2. With the share consolidation in November 2022 the company had 160m share on issue, with the acquisition of Golden Dragon and Fields Find they issued another 238m shares and now after the latest cap raise they have 652m shares on issue. In the time since when AB took over, less than two years ago, this company has bled out existing shareholders like a stuck pig.
3. Now that level of dilution would perhaps be bearable if the company had truly cleared its decks and acquired new hope. But I am not sure there is any clear evidence they have. It appears to me that for much of 2023 their great hope was Fields Find as they seemed to focus their drill campaigns there. But in their most recent update AB says the focus has now moved to the "Golden Corridor" and the Ricciardo deposit which is well away from Fields Find. Here's hoping they succeed along the Golden Corridor but to me at least they are basically back to square one.

Sorry if I come across as negative about Warriedar. FWIW I think their current plan, to look under all those shallow open pits they have, and the ground where they are going to implement their plan sound really promising. But for the time being it is only a plan. And I reckon Big Springs is a lazy asset.