Landore Resources Share Discussion Threads

[johnsalv] 23/8/2016 14:24

DB
Summit Lake part of Lamaune also on Junior Lake.
as you say "Hence why this gold discovery matters as it provides a pathway to bigger things."

[hugus maximus] 23/8/2016 14:20

Just crossed over notes there DB.

[hugus maximus] 23/8/2016 14:18

DB ... johnsalv mentions Lamaune and whilst holding Landore shares a few years ago, I was allocated 11,641 Lamaune shares which have no value. Under what circumstances would those shares start to create value?

Any illumination much appreciated!
Best HM

[davidblack] 23/8/2016 14:14

My $500m is to build the mine with all the infracture.

Ok that might be overly cautious but very surprised if they got away with less than $300 for any base metal plant.

Now simple gold processing plants, they can be cheap! Hence why this gold discovery matters as it provides a pathway to bigger things.

[davidblack] 23/8/2016 14:09

80k of gold is not of any interest sadly, unless it can grow in size.

As for iron ore no chance, RTZ, BHP and Vale have decided to bankrupt all the small players, and by small we are talking 50 times bigger than Lamaune was likely to be.


Lamaune Iron, discovered in 1957, was historically known as the Zmudzinski-Despard Iron property where three anomalies extending over a length of 4500 feet (1,370m) were defined by a ground magnetometer survey. Possible ore underlying these anomalies was estimated to total 26 million tons to a depth of 500 feet (150m). Several of the anomalies were open and there was a good chance that the tonnage could be increased.

Note: The above estimated tonnage is historical by nature and not compliant with NI 43-101.

[lochlea] 23/8/2016 14:03

DB

In 2012 they reported they would require $50m (not $500m) capital expenditure for a "simple flotation/concentrate plant".

Appreciate that was when times were better.

Guess it's just the personal frustration over a decade of bullish this & that over countless "significant" discoveries whether it be nickel or gold or copper or iron ore or lithium or palladium or platinum. And "significant" turns out to nothing that creates a material change to the direction of the Company.

Get the impression sometimes that they are happy with the status quo and working towards making it $3 billion in ground.

..............but that strategy will only see the share price struggle.

[johnsalv] 23/8/2016 13:55

plus 80k ozs of gold at Miminiska and Lamaune Iron Ore ( Junior Lake )including 50k of gold,another $1 Billion+ ( if price recovers in a couple of years ) and the Boss is Mr Heapleach himself.

[davidblack] 23/8/2016 13:40

$2bn in the ground is just that, in the ground.

assuming that $2bn was accurate when nickel was $8 a pound that's $1bn at todays price.

But at $8 a pound the gross profit was probably 30%, today at $4 a pound its probably zero and will be till nickel heads higher.

Do remember to build that mine you need to find $500m in CAPEX and no one is lending on projects with sub 15% IRR's and the nickel today will be less than zero.

But that nickel has been there for 2bn years, so another few is not going to hurt.

On the two directors, yes they have not created value here in the last ten years but tell me who has in the nickel business anywhere over that period.

My only "Raised Eyebrow" would be their salaries which seem generous and more in keeping with pre 2010 than post. But as to changing the directors, no in my opinion, we seem on the cusp of value creation here and a change would sabotage that.

So time for a little faith?

[chutes01] 23/8/2016 13:39

Seller persisting which is strange considering news coming
Added yesterday and this morning

[temujiin] 23/8/2016 13:25

No stock available on H-L, so just placed a fill or kill order in for 120,000. It may move the SP

[johnsalv] 23/8/2016 13:04

In the ground value of $2 BILLION = failure.
You are having a laugh.

[imperial3] 23/8/2016 12:57

The 2 guys here have failed very badly to deliver shareholder value,considering how long they have been at the helm of this company.Is it not time for them to bow out and make way for new blood?

[stan-the-man] 23/8/2016 12:49

Blimey, I'd hate to read Lochlea's posts if he didn't want a company to succeed!!

[chutes01] 23/8/2016 12:35

Price action will be interesting on the next gold update which is now due !

[lochlea] 23/8/2016 11:57

DB - it's good to read some informed positive stuff. Rather than the usual ramping nonsense from everyone else on here. Nobody would like to see this ending up being a success more than me. For me, it's all about delivery. And these 2 guys in charge here seem to me to have positively promised much year in, year out since 2008-09-10 time with both nickel & gold (and other). "Significant" this and "significant" that. Even going to the trouble to de-merge some assets many moons ago. I guess I have a problem seeing them walk on water as so many here do.

The same 2 guys who with the other gold play at PGD were confidently promising 5 years back 200k ozs pa - however actual production delivery fell WAY short. So much so the share price has gone from 71.5p to today at 1.5p. At a time when POG has been fairly strong too.
The same 2 guys have of course long since retired from PGD having left via the back door with their heads bowed low.

Let's hope we don't have a repeat here. Just a bit of balance to the ramping. Critical analysis. Call it negative if you like.

[tizzer] 23/8/2016 11:20

A very comprehensive summary David, one that counteracts the negative posts on here and appears to have substance rather than the usual general ranting we encounter on a weekly basis....keep up the informative posts and hope your speculation has foundation!! Lots of upside here in my opinion, yes the waiting game and the usual market manipulate is frustrating but I'm sure we will be well rewarded.

[davidblack] 23/8/2016 10:02

Yep but in the end it will be about geology not MMs trying to manage the buyers and sellers.

The big picture here is there is a large 43-101 approved nickel resource at Junior lake.

Yes and I know that nickel is not the flavour of the month because of the price drop from $8 down to the current $4.60. So yes until it heads back above say $6? the market is not going to "Value" the asset properly. But the facts are that nickel was down as low as $3.43, so $4.60 is a 34% bounce back. May that value will start to flow back into Landore's share price? Either way I can wait.

Add to that there is copper on the property, a lot of nice copper showings that were never put together drill wise. The focus was simply on the nickel when times were good.

Plus a bit of "Spice" with the flavour of the month metal lithium. Not my personal favourite given it blows up and is there likely to be enough to meet volume car needs? But there are plenty of people out there who really, really like Lithium. Many see it at the heart of the next car revolution. And Landore have real grades not just sniffs, really nice drill intersections.

Lastly and the thing that catches my eye is gold. Junior lake is in the middle of a giant greenstone belt. Those profiling belts are the great hunting grounds for big gold deposits all over the planet. They are the locations for some of the biggest gold mines in the world.

So as to Landore's location? There is an old gold mine at Geraldton just to the east, Premier Gold are a big player building a gold mine just further along highway 11 and immediately to the east of Landore there is another junior explorer with copper zinc who have lots of gold on their property too. Sage Gold are active and have gold to the south east! The place is a very happy hunting ground. Oh and add Kodiak' Golden Mile asset into the mix too. It's a very good place to find gold.

So maybe just maybe? there is a nice high grade near surface gold deposit there at Junior lake that can be developed in a cheap and cheerful way with gold backed loans. Let's say nothing too big just 0.5m ounces making profits of $200 an ounce? That would be $100m in pre tax free cash flow plus all the free infrastructure such as roads, power, permitting, accomodation etc would be in place for when nickel prices are back to normal and then the "Bigger Game" can happen.

But first let's get some nice results on those pending holes, drill the strike length and then to depth. Only then when we have a 43-101 resource will we know. Till then a bit of faith is required!

So I regard this one as a speculative investment but with a lot of downside protection and boy oh boy do they have a good address.

DB

[lochlea] 23/8/2016 08:42

Being cunningly manipulated downwards....... for those & such as those to benefit.

Same old, same old.

[jackbal] 23/8/2016 07:37

Thanks again DB and there appears the large sell. Someone bailed out in a relatively big way yesterday.

It really annoys me that mm's are allowed to report large sells late, gives an unfair edge to proceedings

[davidblack] 22/8/2016 17:31

I believe they are still busy doing trenching etc to extend the strike length. Beyond that I have not enquired.

For me the big picture is that they have visible gold in quartz veins which is often the setting for very nice high grade deposits. That sort of discovery is exactly what Toronto is currently interested in.

DB

[jackbal] 22/8/2016 16:22

should say is necessary

[jackbal] 22/8/2016 16:21

Davidblack do you think another placing in necessary short term? I can see you are very knowledgeable on the industry and wondering whether you think they would have burn through most of the cash recently raised?

[davidblack] 22/8/2016 16:13

Yep clearly a seller in the background there.

Mind you if they came in a 1p in the placing it was a great return.

I am going to take a bet that the visible gold will turn on the charm over the next few weeks.