Solgold Share Discussion Threads

[lowtrawler] 03/7/2020 12:37

In my view, the next few months will present the best investment opportunity I have seen in the last 25 years. What do I mean by best?

- I believe there is little to no downside in the current SOLG share price. The value of Cascabel alone far exceeds our current market capitalisation and so even with a few trips and stumbles along the way, there is a return at the current price.
- Our Regional Exploration programme is just getting underway and over the next few months we will get a regular stream of updates and there are high expectations for what some of those results should look like. We know from experience that a positive result could double our price over night and maybe more.
- We have hung a "come and get us" sign-up enticing a takeover in October or sending a message to leave us alone if you don't. Most expect there will be a bid and where there is one, many will follow. A competitive bidding process would multiply us from the current price.

This all leads me to my uncharacteristic view that you cannot lose by investing in SOLG at the current price and that within months, there is a very good chance to multiply your money. I have not seen such a clear-cut opportunity in my 25 years of investing.

[greenelf] 03/7/2020 12:35

What if?? Franco comes back from site visit and offers $1bn plus for xx% streaming deal? Full poison pill and takeovers cancelled. CGP stuffed.

[lowtrawler] 03/7/2020 12:01

From a CGP perspective, they need one of three things to happen if they don't sell to SOLG:

1. A SOLG bidder that is willing to acquire CGP.
2. A rich benefactor to offer them over 400m without security.
3. SOLG to relax the terms of their ENSA contribution.

The third option appears highly unlikely. It is also difficult to see why a rich benefactor would provide funding to CGP rather than simply invest in SOLG.

This leaves CGP with only 1 realistic option to extract more value than the current SOLG offer - a bidder that wants both SOLG and CGP. With the SOLG bid lapsing on 14 October, CGP shareholders need a bidder to appear before then or the gamble they will be taking that one will appear later is huge.

[pob69] 03/7/2020 11:59

Ingo Hofmaier presented at this previously battle of the mining companies e-conference in May (I think). I wonder whether Nick Mather will present this time (3am Brisbane time). Solgold SOLG $SOLG $SOLG.L $CGP #cascabel #ecuador

[lowtrawler] 03/7/2020 11:29

Thinking that through, it is likely SOLG have incurred costs on behalf of CGP which exceed the repurchase price of the ENSA shares and so not only would SOLG get the 15% of ENSA they don't already own, they would likely be paid by CGP to take their shares from them.

[arcadian] 03/7/2020 11:18

Low

Many thanks.

[lowtrawler] 03/7/2020 11:13

Arcadian, they only need to pay once the DFS is produced next year. However, at that point they need to pay up over 400m as their share of the development costs. They can't do an offtake arrangement or other form of asset financing and so will need to raise those funds without security. The costs which SOLG have incurred to date on their behalf can then be paid from sales once production starts.Unless they can find someone to give them 400m without security, they will need to sell their share of ENSA back to SOLG for a few million.

[lowtrawler] 03/7/2020 11:08

Thanks trev, I'd spotted the virus impact as one possibility but unless folk think it will lead to higher taxation, don't see any real impact to SOLG when they are still several years away from production.

[arcadian] 03/7/2020 11:06

Some elsewhere seem to think that Solg has Cornerstone by the throat in that Cornerstone will need to find. its share of the development costs.

Am I wrong ( and have been before) in thinking that Cornerstone has the option pf paying for these costs out of the forthcoming sales revenue?

[lowtrawler] 03/7/2020 11:05

I see the FNV confirmation as a formality and so doubt there will be a big price impact once confirmed. I haven't seen such a good buying opportunity for a long time.

[trev1223] 03/7/2020 11:04

Lowtrawler
Ecuador is one of the nations hardest hit by corona-19. This may be affecting the SP
of SOLG.

[lefrene] 03/7/2020 09:50

LT, there's plainly a very big poker game going on, my guess it's confirmation of the development money that the price is waiting for. In the meantime the buried resources are of such a huge scale across 75 properties, that they will be wanted. Who will blink first?

[greenelf] 03/7/2020 09:37

I will repost my previous post to you..."Good post Lowtrawler :)The market does what it wants when it wants..not logical or linear on short to medium time scales. Waiting for that Franco sign off myself."

[lowtrawler] 03/7/2020 09:03

As per my previous posts, from a company perspective, I think this is a one way bet and so amazed the price has not risen. Are there macro economic issues in Ecuador holding the price back?

[mknight] 02/7/2020 17:58

Arcadian

Its been the same for weeks .its just a waiting game now .

Franco confirmation .

Drilling results

PFS

And maybe a bid betwéen Franco and drilling results ..

[arcadian] 02/7/2020 17:23

A closing auction with an agenda. What and why?

[mknight] 02/7/2020 17:11

Thanks lowtrawler .

[nas_daq] 02/7/2020 16:53

Apparently Ingo is enlisting spacex to propel the share price into orbit as well.........It would be fun to go back and look at mcrampyknights ramptastic predictions 3 months ago, I am sure there will be some crackers in there.......

[nas_daq] 02/7/2020 16:51

Ahhhh the conspiracy theories to help ramp his losing trades........Unfortunately all will not end well for the ramper mcRampyKnight down 23% in 5 weeks More and more desperate posts will appear as the price drops further

[lowtrawler] 02/7/2020 16:32

Wording in RNS was for Porvenir. "A helicopter will be contracted in early July to rapidly assist preparation for drilling, transporting drilling equipment and fuel to Target 15."

[mknight] 02/7/2020 16:23

Thanks lowtrawler . Did they say when ?

[lowtrawler] 02/7/2020 16:17

SOLG said so in their exploration updates RNS.

[mknight] 02/7/2020 15:34

Phattrader1

How do you know they are hireing a helicoptor next week ?

[mknight] 02/7/2020 14:56

Gold and copper now up again .

Solgold remains held .. why ?

which company is behind this ?

Barrick .. Río...Chinese ...BHp .. Newcrest .. which one .

The good news is we will find out soon .

They will have to make their move soon .
And when they do we will be looking at doubling our money .

But not if you are out of course . Time to buy buy buy .

All imho .