Xtract Resources Share Discussion Threads

[the diddymen] 11/10/2021 07:29

Cu Jan 2010 $3.40/lb (in upward trend) and currently $4.33/lb with reasons to be bullish.

You can also see HV cables crossing the Bushranger tenement on the satelite view.

All helps

[the count of monte_cristo] 11/10/2021 04:13

Here are some details about the copper mine which CB found and sold within a 2 year time period, it's now 11 years since it was sold and since that time large copper finds have dried up but demand for such assets has increased. It doesn't take a genius to strategically think about what this means to prices for new large and globally important copper deposits.







"First Quantum became the owner of the Sentinel copper asset after acquiring Kiwara in a £208m ($260m) cash and share deal in January 2010".

A market cap of 200m GBP for Xtract would equate to a share price of 23.6p, a market cap of 400m GBP would equate to a share price of 47.3p.

Bushranger will require a premium price due to the location and local infrastructure being world class, it's Australia, the mine is close to a dam and copper mines consume a a lot water hence why Anglo are having problems with their copper mines in Chile. The mine is also close to power lines and energy which again are important factors because mines consume a lot of power. Additionally, a high rating will be ascribed because the land is farmland with no native title rights issues and it is close to a technically skilled labour force. It's basically in the back garden of Sydney and I'm sure that the majors will be intensly looking at this project now.

P.S. Stigologist is a nasty piece of work, he also doesn't have a clue about what copper porphyries are which became clear when he was belittling the grades of the drilling.

[papillon] 10/10/2021 23:37

👍 XTR is definitely looking good! And to think it wasn't that long ago that The Stigologist was ramping BZT and deramping XTR on the other XTR thread of the same name as this one. I wonder what happened to The Stigologist? 🤣

[buzzarn] 10/10/2021 19:42

Copied from Phil of the Sunday Roast podcast:Xtract ResourcesAIM:XTR• share price 5p• market cap 42.26m • shares in issue 845,143,693 some warrants outstanding at higher pricesXtract is an exploration company focused on copper and gold and is spread over different geographical areas. The main asset being the Racecourse mineral resource, Bushranger project which was originally owned and drilled by Anglo American and the phase 2 drilling is now confirming and extending that data from the 2015 drilling campaign. Part of the agreement with Xtract states that if 2m tonnes of contained copper was identified OR mining operations commence then Anglo American have first refusal to purchase the asset at an independently assessed price. It seems Colin Bird is very bullish in both of these targets being met and actually the contained copper could be significantly larger especially with a large anomaly identified. Should this be the case then the price paid would be significantly higher than Xtract's current market cap.It has also been stated in a recent RNS that no new funds should be required as the other projects in the Xtract portfolio start to accrue positive cashflow. These include the assets in Mozambique such as the Manica alluvial gold project, hard rock Gold mining at Guy Fawkes and the mini open pit operation at Boa Esperanza. These positive cashflows should allow the drilling to continue at pace within Bushranger to continue to prove up more copper resources for an eventual sale of this asset.Another asset being proved up is in Zambia, again a copper/gold deposit with a current strike length of 300m but it is still open to the northeast which has produced exceptional intersects.4.82% copper over 27m inclusive of 9m at 7.31% and 9m at 6.33%.Further results are expected in due course and then this could move on to an open pit mine.

[lurker5] 10/10/2021 15:18

Divmad - Its far too early to guess where Bushranger wil go. GGP had a sort of resource estimate for Havieron and encouraging drill outliers (as well as Hannam's forecasts) - which the punters raced far ahead of. Not only that but NCM added credibility. I would guess Bushranger won't have indications that will start punters speculating for another 4-6 months. But who knows. I don't think the likes of Hannam will take much interest tbh.

[dibs61] 10/10/2021 14:51

I think it’s fairly clear that 2m tons has gone from being a target to being a foregone conclusion and a mere staging post on the Bushranger journey of discovery.

Who is to say this won’t ultimately be as big or bigger than Cadia? And to qualify that I mean overall Bushranger not just Racecourse.

[divmad] 10/10/2021 13:45

Lurker, where do you put the overvaluation level for xtr, assuming we reach 2mt Cu and no more?

[steve4077] 10/10/2021 13:45

I think the best way to consider GGP and XTR is to look at the market caps. Assume that either is a potential 5-10-bagger. Is it more likely that XTR reaches 200-400m market cap or GGP reaches 4-8 billion market cap?

[lurker5] 10/10/2021 13:15

Div - the reason I'm posting is, yes, I have a big holding. But for reasons I've given, I wouldn't expect XTR to reach an over-valuation like GGP. The latter on a mini-roll at the moment expecting a Havieron FS from NCM, but I don't think it will even approach its old highs whatever the FS shows. Apologies if wrong thread, but a comparison has been made, and so should be followed up.

[papillon] 10/10/2021 12:37

Many thanks, TD. Very interesting observation.

[the diddymen] 10/10/2021 10:47

If you search on Black Springs NSW on the map and then switch to the satelite view it is relatively easy to the West to identify Racecourse and you will see that there are three open pits around the inferred resource. The largest is 500m to the East, the other two are a similar distance to the South and slightly West.

The latter two may link with XTR's observations of an extension to the South, and hole 17 and 19 are heading in the direction of the open pit to the East.

[divmad] 10/10/2021 09:39

I presume the reason you are posting on this bb now, Lurker, is that you have a monetary interest in it. The degree of share price growth so far doesn't warrant any notion of, or call for, overvaluation a la ggp. Yet!

[lurker5] 10/10/2021 09:10

For those still intereted in facts and opinions, I changed my mind (and posted as much) when GGP reached unsustainable highs. I think I was the only one to do so. The shares halved almosr immediately. As for those who 'filter' - what an inadequate mind it shows. Anyone experienced in the markets knows that in addition to the facts and the figures, it is essential to know what punters are thinking - whether right or wrong.

[papillon] 09/10/2021 23:14

The XTR chart is looking very bullish (Heikin-Ashi candlesticks to show trend).


free stock charts from uk.advfn.com


I'm sure they'll be up and downs along the way. Shares get overbought and oversold.

[papillon] 09/10/2021 22:56

"DozyDuck - 17 Jan 2021 - 21:05:19 - 1862 of 3305 Xtr simpleton thread trouble makers are barred - XTR
GGP is unique - because Necrest is almost 100% guaranteeing that it will be developed. There's no such guarantee for Racecoure except Anglo which will only come in if resource is big enough"

Dozyduck has form when it comes to knocking XTR. He's changed his tune on GGP. I wonder why?

[lurker5] 09/10/2021 22:51

Goodness Me - what a sensitive little soul ! If you filter away views that might help you think a bit more, then you have a butterfly brain. I'm part French by the way.

[papillon] 09/10/2021 21:24

My last comment on GGP because this is an XTR thread, but since GGP peaked at circa 36p just over 9 months ago actual gold miners have also dropped in price as the gold price has fallen. GPM is an investment trust specialising in gold miners and it has fallen from circa 65p to circa 40p during the same time frame.
My personal opinion is the investing "herd" will pile into XTR as the price of copper starts to rise above May's peak (as it will undoubtedly do so again because of the so called "green revolution") and XTR continues to issue excellent exploration news.
Copper shares are the thing to be in. Hence attractive explorers such as XTR and PXC should perform exceptionally well.

[jwafc] 09/10/2021 21:21

Well, that escalated quickly...

[dozyduck] 09/10/2021 20:23

Butterfly - It doesn't really matter I suppose. But GGP motored when the two spurs were in place - ie NCM's interest, and then the drill results. It started tanking not because of weak gold (it wasn't THAT weak !) but because after Hannam's (always exaggerated( 'targets, the market did the calcs and saw that GGP's 'share' of the Havrieron resource then in view was more than three times any sensible in-ground proportion. On top of that, becoming only a minority shareholder (so losing control to Newcrest how it will develop GGP's share) bumped out the institutions who know that minority shares are valued at well below normal.

[the diddymen] 09/10/2021 19:15

Paps I think that this still has a decent bit of upside on the existing drill/assay. The trouble is that it is difficult to convert the drill/assay into a guestimate of the tonnage involved. One option might be for XTR to update its open pit concept model to indicate the likely resource - perhaps when they have completed phase I of phase II! That would provide something more substantive and akin to a lurker5 'credible picture'.

Noises off - well hardly - seem to indicate that XTR think that this will be 2MT plus. It would be possible to work up an estimated NPV from the Open Pit assumptions/ calculations.

[papillon] 09/10/2021 17:54

That's not true, lurker5. Divmad is correct. Newcrest (NCM. Au) signed the farm in deal with GGP in March 2019 in which they promised to spend $65m on a drilling campaign. Yet the GGP shares flatlined around 1p until the excellent drill results started to appear. The GGP share price then started it's rapid ascent from a base of around 1p early in 2020. It quickly rose to 5p before falling back to 3p in March as share prices and commodity prices plunged on the start of the Covid pandemic. Thereafter it continued to rise, with ups and downs along the way until it peaked at over 30p. Hence GGP rose THIRTY FOLD, from circa 1p in early 2020, until it peaked at over 30p in around 12 months time.
There is no doubt in my mind that the main reason why the GGP share price then halved (until the last few days) from the peak of circa 30p was the weakness in the gold price during 2021.

[lurker5] 09/10/2021 14:31

GGP only started to motor once NCM showed its interest. Emphasises that the market needs a credible picture for development before it takes an interest. There's no such credible picture for Bushranger yet.
But once the peeps heard of Haviron, they propelled GGP to far (twice) above its real value. Maybe they'll do the same for Bushranger ? But if so, ironically enough, the prospect of AA's buy might keep XTR down at a more realistic level.