What am I missing?

Hi...been a while since I invested in gold stocks, but I'm back doing some research and have been looking at LCL.

My very basic summary:

Corporate

• Market cap = $8.7m (29 June 2024)
• Cash = $3.7m (Dec 2023)
• EV = $5m
• 1 year ROI = neg 74%
• 965m shares, plus 180m oppies/rights,
• Top shareholder, Dr Minlu Fu, increased in April 2024 to 12.14%
• Board changes:
• 19 Febuary - CEO & geo (and Honorary Consul for Kazakhstan in WA) Jason Stirbinskis resigned, (but stays on as an employee as when needed),the CFO and Co Sec, Mike Allen, became a director and the chairman, geo Ross Ashton, became Exec Chair! - all to "streamline operations and reduce costs...as they move to a new operating model" (?) - worth noting that Stirninskis remuneration for 2023 was $300k cash, plus a $150k cash bonus for doing his job, plus super, plus $348k in shares ($780k pa...or circa 10% of the value of the company per annum...giddy up boys and girls)
• 12 April - appointed a new NED, rising star geo Chris van Wijik, who's the full time Executive/Technical Director at East Star Resources Plc on a project in Kazakhstan. At LCL he's on $36k pa, plus rights. On 22 February, (three days after the LCL board changes announced) heresigned abrubtly as Managing Director at Marvel Gold (ASX:MVL) effective 21 May
• 1 May - New joint co sec's appointed (Greystone corporate - end-to-end corporate advisory, inc RTO's) as Mike Allen resigned for health reasons (but stays on as NED). One of the new Co-sec's is Chris Knee, is also the CFO of Marvel Gold!

Projects - a defined Gold project in Colombia & Nickel exploration play in PNG

The focus has been on the PNG nickel play apparently due to the political situation in Colombia (good thing PNG is such a stable place!!)

• 2.6Moz @ 1g/t gold project in Colombia, which has been their main game for years.
• Also in May, LCL received the final enviromental approval (of 11 permits needed - a major milestone) while at the same time announced "The company is in early stage discussions with several companies seeking advanced gold-copper projects with exploration upside such as Quinchia..."
• 29 April - LCL won a Colombian court case where they were being sued for US$1.16m (appeal lodged)
• Not going to bother assessing the nickel play in PNG - see strategy

Corporate Strategy

• With central banks still on a buying spree - the long term gold outlook is positive
• Due to the Indonesia's fundamental changes to the global industry - the long term outlook is netrual to negative
• I understand LCL are not taking calls on a potential deal for their Colombian asset (cash or otherwise) from anyone!

Conclusion

• LCL have a great gold project in Colombia, where the political situation could likely swing back the other way in 2026 and they would be ready to attract capital, but instead have shifted focus to nickel in PNG due to the political situation in Colombia.
• It seems there's a play between LCL and MVL, with the Ross Ashton a known M&A player (now Exec!! Chair) and so too are the new co sec's too, but how's that accrective for all shareholders of LCL?
• MVL aren't that flash (900m shares, market-cap $6.9m, cash $1.1m, $3.7m Evolution Energy shares - EV $2.1m, gold in Mali - with Capital & Delphi as main shareholders totalling 19%). Most importantly, they have issues in Mali, where tenements are expired and the resource nationalisation will see up to 35% of the assets taken. They are looking for projects, but they're simply a shell that needs restructuring...and a new project. If the next step is a MVL share consolidation and capital raise then it's on I'd say...

Any thoughts on the above?

Cheers from Goldrep