Orosur Mining Share Discussion Threads

[tidy 2] 12/9/2018 08:53

Its the Newmont effect. This deal is better than anything Solg has ever had. Buy and sit back

[genierub] 12/9/2018 08:32

And now buyers snapping up in the background at Newmont levels. Worst part is MMs are now fishing for sellers to sell up. They are fools if they think sells will come at NM prices.

If you have any money in your account, try buying £1s worth of shares. Yes ONE POUND. Goes straight to NT - this is going to bounce.

[augustusgloop] 12/9/2018 08:32

Clearly a load of new posters that have done zero research and know absolutely nothing about the history here.

Sales of gold = $1,300,000,000+
benefit to shareholders = MINUS $9,800,000
They raised more in placings than they paid in dividends - whilst mining 1.3 million ounces of gold - and taking all the profits for themselves!

[genierub] 12/9/2018 07:51

As stated in my previous message I think this will just keep taking incremental rises back to double digits first. Keep an eye on the large trades.

Yesterday it opened at mid 4s and hit 6s before settling at top end 5s. Keep reviewing this pattern. I am guessing between 7 and 50K buys on the bell to start and then MMs will slow down and not show anything making it look like there is no interest. Then once everyone is away, they will slowly start taking it up. I dont know why they purposely suppress the buys. Perhaps they dont want it to boom before they accumulated. Anyways all eyes on open for my prediction.

[bernymadoff] 11/9/2018 23:15

While it's obviously useful to present the best case scenario which let's face it we all want to see materialise as investors it's also advisable to keep our feet on the ground and understand the agreement properly.

Newmont could well spend hundreds of millions developing this project but it is important to know that this may not necessarily be the case.

This is an option agreement which means that Newmont can elect to buy into each of the 3 phases.

Right now in terms of arriving at a reasonable valuation I think it is best to assume that in the light of its $2m purchase of 20% equity in OMI Newmont will likely go ahead with Phase 1.

That would mean an investment of $14m (£10.5m) into Anza and the company which I think we should use as the basis of a realistic valuation of the deal.

I would also factor in a premium for the fact that we have a major on board and a couple of million for our other projects and AIM listing let's say a total of £5m.

That leaves us with a final value of approximately £15.5m. Divide by 147m shares and you get approx 10.5p.

So still plenty of upside left here in the short term even though the market has not yet cottoned on. We closed at 0.085 in Canada which equates to just under 5p sterling. Let's hope we have another double digit percentage rise tomorrow.

[temmujin] 11/9/2018 23:08

The RNS title is “strategic agreement”
So title of farm in is not that important. Main points here are the omi have already for some fantastic drill results.
So it is. It a speculative punt by Newmont. And as I said earlier, they will be picking up all expenditure costs for 80% so that could be $500 million to spend to get through to production. Even likes of Solg do not have this type of agreement with Newscrest. Solg are funding it themselves but newcrest are happy holding shares.
From continental gold website :

Feasibility Study dated February 24, 2016 were $389.2 million, including contingency but excluding working capital. As at August 8, 2018, the Company revised the total project costs estimate (including scope changes of $74 million) to be in the range of $475-$515 million (including contingency but excluding working capital)

So down the line we expect Newmont to meet similar capex costs for their 80% stake so valuing OMI’s stake at around $120 million for a similar deposit. So yes. This could very easily 10 bag from here as solg have done based on the above.

[tidy 2] 11/9/2018 22:04

HIGHLIGHTS FROM MAP-545.47 g/t Au over 4.63m1.68 g/t Au over 1.0m17.76 g/t Au over 5.32m1.84 g/t Au over 9.28m4.89 g/t Au over 13.9 metres in MAP_55;5.00 g/t Au over 23 metres in MAP_62; 4.86 g/t Au over 25.0 metres in MAP_60.Notable MAP_70 drill intercepts including:9.62g/t Au over 6.0m9.42g/t Au over 7.0m23.66g/t Au over 1.0m5.28 g/t Au over 12.0mThe presence of strong gold anomalies has been detected at Charrascala along an 800m north-south corridor, including intersects of 3.43 g/t Au and 30.60 g/t Ag over 1.5m and 2.62 g/t Au and 14.30 g/t Ag over 0.90m;and so on...No wonder the big boys are wanting to invest heavily in this gold belt... could be another Solg mk2 indeed. Current mc looks rather low here... not sure about number of shares at the time but last year September the share price was doing around 18p.DYOR

[tidy 2] 11/9/2018 22:04

EyeGuy 14,671 postsRE: YepCharrascala despsit previously untested : high grade goldPage 4 to show geology. No wonder Newmont want ithttp://www.orosur.ca/files/2018-06-07-June-Charrascala-Exploration-PR-FINAL-Website.pdf

[tidy 2] 11/9/2018 22:03

EyeGuy 14,671 postsRE: Yeppage 4:http://www.orosur.ca/files/2018-04-04-Colombia-Drilling-update-3-FINAL.pdfShows how big deposit is. Only have explored circa 10% and all drilling so far shows high grade gold.

[tidy 2] 11/9/2018 22:03

EyeGuy 14,671 postsRE: YepAnd this is the interesting point:Upon Newmont completing the Phase 3 earn-in, Orosur may elect for Newmont to solely fund all expenditures until the commencement of commercial production at the Anzá Project. If the Company elects for Newmont to do so:Newmont’s ownership interest shall increase by 5% to 80% in the Anzá Project;After completing stage 3, Newmont could be spending $500 million to get an additional 5%.So I disagree with the notion that this project is worth $30 million.I could argue that when proven, OMI's stake could be worth about 50p per share.But more interesting is:

[tidy 2] 11/9/2018 22:03

EyeGuy 14,671 postsRE: YepThe RNS title is "strategic agreement"So title of farm in is not that important. Main points here are the omi have already for some fantastic drill results. So it is. It a speculative punt by Newmont. And as I said earlier, they will be picking up all expenditure costs for 80% so that could be $500 million to spend to get through to production. Even likes of Solg do not have this type of agreement with Newscrest. Solg are funding it themselves but newcrest are happy holding shares. From continental gold website :Feasibility Study dated February 24, 2016 were $389.2 million, including contingency but excluding working capital. As at August 8, 2018, the Company revised the total project costs estimate (including scope changes of $74 million) to be in the range of $475-$515 million (including contingency but excluding working capital)So down the line we expect Newmont to meet similar capex costs for their 80% stake so valuing OMI's stake at around $120 million for a similar deposit. So yes. This could very easily 10 bag from here as solg have done based on the above.

[tidy 2] 11/9/2018 21:43

Read eyeguys research on LSE. mega investment particularly now at this level and much higher.

[davidspringbank] 11/9/2018 18:14

Noirua, thanks for that. Just when I thought everything was dead, Newmont's interest means I won't be selling anytime soon! They obviously think they have a bargain - junior miner's assets is where it's at! Market Cap 4.4m. Woo Hoo!

[jon1962] 11/9/2018 18:11

Excellent comparison

[davidspringbank] 11/9/2018 16:58

Excellent news and just when I had almost written them off! What's it worth?

[genierub] 11/9/2018 16:28

100K buys landing hard.

[tidy 2] 11/9/2018 16:09

Read the lse bb you should find your answers there. Basically this deal is better than anything Solg has ever had. This is full funding to production by Newmont.

[jon1962] 11/9/2018 16:03

I bought a load 5p average but what justifies 30p-50p in your opinion?.I know solg went from a penny to over 40p in a year but is what we have more then they had when they were a penny? Anyone care to comment

[tidy 2] 11/9/2018 15:58

Buy now as Newmont is funding it all the way to production at which point OMI retains 20pc. The are also paying OMI keep the lights on to the tune of 4m dollars.

[genierub] 11/9/2018 15:50

Looks like a final 30 minute break out is on. I think we will see consistent rises like this until it gets to its true value.

[tidy 2] 11/9/2018 15:38

Think this is it for gold.

[jon1962] 11/9/2018 15:37

Tidy as much as I want to see, it how can it possibly reach 30p even as a min?

[babbler] 11/9/2018 14:39

Guess a have moved on to the next big thing...