Listeners Are Back Pitching Their Top Mining Stocks

Summary

Australian Gold: Multiple pitches focused on WA gold juniors generating strong cash at high gold prices, with value anchored by cash balances and near-term production or tolling options.
Auric Mining (AWJ): Detailed case on cash-rich open-pit strategy, toll-treating through third-party mills, and optionality via refurbishing Burbanks to compound value.
Red Hill Minerals (RHI): Royalty-led story with Onslow cash flows, growing fully-franked dividends, potential Sandstone royalty upside, and insider alignment through large ownership stakes.
Infrastructure Yield (DBI): Monopoly coal export terminal with tariff escalation, low beta, growing distributions, and capacity upside supporting a double-digit total return profile.
Italy Gas (PVE): Po Valley Energy positioned to scale production as Italian policy shifts pro-development; high realized prices and derisking wells offer material FCF potential.
Vanadium Turnaround (LGO): Largo as a high-risk/high-reward rerate on strengthening vanadium prices and potential DoD contract; financing overhang remains the central risk.
Developers & Re-rates: Horizon Minerals (HRZ) and CZR Resources (CZR) highlighted for cash backing, mill optionality, and exploration pipelines that can extend mine life and drive rerates.
Côte d’Ivoire Growth (AUE): Aurum Resources pitched on Boundiali development, aggressive low-cost drilling, and a management track record, with potential to rerate on PFS-to-first-pour milestones.

Transcript

Mate, you've you've made a grave mistake. You've you've let me control programming today and um you know that's going to go rogue. >> It already has as we've seen. >> Money miners, if you uh if you didn't if you didn't listen to an episode that we did a month ago, we let we let anyone just dial in and pitch us a stock. Um got some got some pretty good feedback off the back of it. People like the >> flowing feedback, I'd say. I think I think I think the listeners like the chance to to to chime in as well and and have their voice on the potty. We welcome that. I thought I thought the format was really cool. I got a bunch of ideas off the back of it. Stocks I'd never heard of before. And um that doesn't always happen, but there was a lot of them on that chat. So, I feel like I'm actually more out of touch with with the market than I than I realized. So, I'm doing it again. You let me do it again a month later. money miners are dialing in to pitch us a stock against JD's will. >> Against my will, mate, I'm keen to hear the ideas that get churned up as we saw last time. And as we know, some retail folks out there, they've got the best ideas. They go so deep on just one name. So, it really turns out some fascinating ideas and you get to hear how different people think. So, I'm excited to share what we've got in store today. >> But first, mate, I am pumped. I'm pumped. Like I haven't been pumped in ages because well, yes, because we're doing another Twitter spaces pitch stock pitch thing, but also because we're going to Newcastle next week and I'm super pumped to see some really industrial stuff that is going on in Newcastle. You know, the things like the port there, some coal mines we're going to check out, but most of all, we're going to see the wonderful team at Sanvic Ground Support in the flesh. We are we're going to see Derek Herd. You know, I was going to go about this ad in a different way. I was going to pitch a great idea. Everyone just put in an order for the ground support that everyone needs and everyone loves here in Australia, Sanvic ground support. So, I'm going to pitch it to you anyway. And for all the people out there running an operation, you can either give Derek Herd a call or you can download the app, put in an order for what we all know is at the cutting edge of R&D, what we all know is the best ground support in the industry, and get that done today. >> Go sand ground support to the money miners. Let's see how you pitch us. Twin, you kicked us off last time. I um I see your eagerness again this time. What What have you got for us today? >> Mate, I'm surprised you want to talk to me after last time, to be honest. But um you know, like a degenerate gambler, I've always got a few uh a few tricks up my sleeves. So, um I'm going to go back down the WA gold path if that's all right. >> Oh, we love WA Gold. >> Please do. So, um, got a stock called Oric Mining. So, ticker is AWJ. >> Oh, yeah. >> Um, so I don't know if you're familiar with this one, but um they've got a pretty unique approach in the in the junior mining space where they they go off and work reasonably small deposits, but focus on cash generation and they're slowly building up. Um, the thing I really like about them though is they've got a couple of gold projects. One which is a gold project called Manda. And they've done some uh starter pit uh mining at Ma and they've pulled out oh about close to 200,000 tons and they've run it through Black Cat's Mill. Um, but the thing I really like about them is the starter pit that they've done at Manda is just part of the bigger Mund resource. So, the starter pit has has generated something like uh $35 million cash to them and they're currently sitting on a market cap of about 55 million at close today. So I suppose the the elevator pitch to about Oric mining is that you know they've basically mined a couple of% of their of their mining resource. Uh it runs at about uh it's getting close to 200,000 tons if you lower the grade a little bit but at 0.5 g per ton they've got about 145,000 ounces all open pit stuff. So, when you look at the metrics, they're sort of 55 million market cap. They've currently sitting on $34 million cash. Um, they've also got they've also got some gold yet to come from the latest mining um operation. They still got some gold to come out of the Black Cat Mill, >> which will probably generate maybe another five or so million. So, they're getting close to 40 million in cash with a market cap of of sort of 55 millionish. >> Yeah. >> Um, on top of that, they've got Burbanks. So they bought the Burbanks mill for about 4.4 million. So that's paid for. They have to do a fair bit of refurb on that. >> Yeah. Yep. >> And um >> that's a small mill, right? >> They've also >> Yeah, it's it's fairly small. Um, so they're looking to expand it potentially, but you know, when they've effectively offtaked um, you know, 3 or 4% of the mining resource and generated 30 odd million dollars in cash, it's not hard to extrapolate that the remaining 95% of the resource is worth of more than5 or 10 million, right? So, uh, and they've got other assets. They've got Lindsay's which is sort of going through the wardens court at the moment which has got some of the tenementss under under debate and but they've got other tenementss as well. They got Red Dog and you know they got $2.5 million worth of mining camp you know accommodation etc. So >> this is one of those >> from an EV point of view. >> This is one of those BML JV type arrangements. Was it twin? >> Yeah they had they had a 50/50 with BML. So BML's come in mined a starter pit. They've shipped the the ore off to Blackat. Black Cat's processed it. They've split the money. Um, you know, they before this second round of campaign, they had about 8 million in cash. They're going to probably settle now with 40 after this campaign. So, they've still got 95% of the resource to go. So whether they um do more toll treating arrangements or whether they then refurb uh Burbanks and run it through Burbanks, but just at a at an evaluation metric like they've already proven that the resource I think is pretty good. You know, the they're budgeting at about 6,100 ounces to come out of the trial pit and so far they're at about 7,800 7,700 ounces. So, the mining's coming back at a higher grade than what they've sort of budgeted for. So, I think the resources looking pretty good. It's all open pit. They've got some amazing um results in their grade drilling. Like, if you look at some of their their mining hits, they're sort of plugging out, you know, some um you know, some grade results like uh sorry, I'll just pull it up. You know, things like 17 m at 17 g, 46 m at 8 g, 16 at 12, 13 at 14, 11 at 16, 19 at 9, 18 at 9, 6 at 26. So, you know, the the resource looks pretty solid. You know, it's definitely got some high-rade pockets in it, but, you know, ultimately they've mined 3 or 4% of it, and it's it's coming back at a fairly good result and generating lots of cash. So from an EV point of view, you're looking at something that's, you know, EV 5 to 10 million, you know, with 200,000 ounces. >> They added 6 million bucks. Like they started the quarter with with stuff all cash the quarter 4 last and then added 6 million. >> Um, >> you forgot some of the best anecdotes, Twin. This was the company that had the the exjgero that was on Hot Copper with a few different accounts just pumping the stock, which was hilarious. >> Yes. He was a um he was a he was a in Southeast Asia. >> Was he a Walkley winner? It was like >> he was Yeah, he worked in Southeast Asia as a as a jouro um for for quite a while, but was working in an IR type capacity for for for the company. I think like to to our conversation whenever that was a month ago or um Twin the the playbook is pretty similar to to what you pitched Kaiser Reef at the time like like value in the >> in in the gold space. Just got to um see how much it kind of moves with the the gold price and how they the return that cash or how that kind of happens. >> JD's allergic to to um trusting management. >> He doesn't do anything. >> He doesn't like he doesn't like cash, does he? That boy just hates money. >> Cash cash to JD is a problem. >> He hates money. >> He doesn't he doesn't let it go very far. >> We'll see what the what the team does with with the cash that they've got. As you mentioned, it's you know on those on those like value metrics, it just looks wicked. Keen to see how they go about it. But >> yeah, >> at 7 and a half thousand gold, >> what's the what's the risk twin? Um, I don't really I think I think the risk is that people get bored if they decide to um spend the money refurbing Burbanks and then it takes them 12 18 months to start putting the the the ore through the Burbanks mill. Um, I think I think it's more a risk of boredom than anything else. But, you know, in the meantime, they got they've got money to to go do drilling and they've got some news coming out about Lindsay's. So, there is a risk that they they don't get the main Lindsay's tenement. Um, they are looking to potentially mine that as well, but you know, they've got a track record. So, you know, I I don't personally know management or anything, but you know, when you see these small guys, you know, generating a fair bit of cash, like, you know, they've I think they had Jeffrey's find, which was sort of a similar deal, but obviously not in such a great gold price environment, um, where they generated about 112 million in gold sales. So, I think I think management seem to be fairly good when it comes to knowing how to get gold out of the ground and doing it at a reasonable all in sustaining cost. And it's one of those things where the gold price is so high at the moment that literally all these little gold, you know, guys are just um yeah, the amount of the amount of cash that that they're generating is just ridiculous at these gold prices. >> Twin, is there a deal to be done with with anyone here? like if we if we get you know a bit ambitious like they're they're in a good patch of land there with with tenementss and stuff and you talk about a company where the EV is is very small or do you think that just doesn't get past the the >> Well, I I definitely think that I definitely think there's you know there's four mills in the area so they've got um Black Cat was just the one that they chose to and there's there's some interesting dynamics around uh how the mills operate like some mills will just do all purchase arrangements, which they don't want to do. Um, which sort of rules out one of the one of the mills in the area. Um, but they've got three other mills. And the reason the reason why they chose Blackat, I think, was because Black Cat had some um availability, you know, obviously with the gold price where it is, I think there's a lot of smaller guys looking to toll treat their ore and stuff. So >> the meals are so >> I think they jumped >> Yeah, they jumped at the chance to to run it through the Black Cat Mill, but I think the cash is maybe one of the things that might stop them being taken over. Like if you know they've got to someone's got to take them over at a premium and they're paying a premium for the cash. Maybe that's a potential risk for them not to be taken over. But but ultimately again it's one of these plays where they've just got so much inherent value that it sort of again limits the downside. And you know like why would you go chase an explorer who's potentially could find 10020,000 ounces and pay 30 $40 million market cap for them when these guys are trading at sort of an EV of 10 to 15 and they've already got it. >> Yeah. So, >> I know you know you've got another one, but um I'll um I'm sure we'll come back to you. So, I'll I'll get I'll get Deca to uh >> give us his pitch on on uh I I should probably introduce you first, Deca. Deca Deca was um Deca was loud and proud about his his min call and he was proven very right. So, Deca, welcome to welcome to the stage. Let's hear your next big pitch. >> Thanks very much. You can hear me? Okay. >> Yeah. >> Great. Um, okay. So, the one I want to uh do is Red Hill Minerals. Um, it's the one you've you've talked about it before. It's got the Onslow royalty to start with. Look, 64 million shares, $5 share price. So, the market cap's 350 320 million, sorry, of which they've got 70 million of cash. So, the EV is 250 million. The Enslow royalty at the moment is generating 29 million. So, and they have about 1 and a.5 million of just sort of standard head office board costs, etc. So, if you take that away, you got 27 a.5 million on an EV of 250 million. So, you've got an 11% free cash flow yield on the EV to start with. Now, that's going to continue in perpetuity no matter what for the next 20 years. It's as bulletproof as you get unless there's something that completely knocks out the Onslow Onslow infrastructure. Um the only thing happen is the iron ore price can go down a bit. If that does they're exposed a little bit but nowhere near as much as the miners because they've got no costs. Um so that gives you an 11% yield. Now the good thing is they just released their fullear report and what we like to see is dividends. They increase their dividend by 78% fully franked. So once you do that you're getting a 33 cent dividend on a stock that's just about to go X. So you're getting a 6.8% yield. that's probably going to grow at two and a half percent. So the base case is 9% yield and that's all bulletproof. And the next thing that's going to happen is Onslow. U I should mention the company also it doesn't pay out all of the free cash flow. It spends about 9 million on exploration and I'll talk about the upside from that later on. But the next thing that's going to happen is we know Enslow is going to expand production. They've got two extra trans shippers coming. Chris Ellison has talked about it numerous times that their plan shortterm is to go to 50 million tons. that might happen within a year or two years. As soon as you go to 50 million tons, all of a sudden that 29 million of free cash, you can even contract the iron or price by 10%. But, uh, once you're at 50 million, you're looking at about 36 37 million of cash on an EV of 250 million. So, again, you're looking then at a dividend yield coming in at about 12% and that's basically in the bag. um you don't have to worry about that at all. Um now the next thing that's going to happen and this is really interesting is the big mistake people make with this company. They say oh they're blowing 9 million on exploration buying up royalties and everything. Nothing could be further from the truth. If you look at the management of this company, uh Joshua Pit and Poli, they have got one of the most outstanding track records in WA for exploration and developing tenementss of anyone in the uh whole country. They're they were described as the uh Burkshereaway of the mining sector in WA. Um but to give you an idea of just how good they are, >> safe hands. >> Yeah, safe hands. Safe hands. Exactly. They just bought one royalty recently. Sandstone. Y >> bought it for $4 million. Everyone's missed this. >> A rip. >> Has come out and announced a couple of things. Firstly, they've raised 180 million to build their first plans to develop the gold fields thing. They say they're also going to use that funding to take sandstone to prefeasibility and then onwards and upwards to feasibility. and Sandstone very likely will be producing uh come uh 20 uh 2028, probably about June 28th. And they released two sets of different results from Sandstone. And the results are outstanding. Um to run a gold mine, typically you need 1 to 1.5 grams per ton. These are producing results of three to 10 times that amount. You're getting essays of 4 to 26. Their highest essay was 40 grams per ton. Um, you can put these results through yourself. It's not very hard, but put them through any search engine at Gemini and applaud and say, "Look, analyze the two results, the one on Feb 5 and the one on Feb 23." They'll come up with access to me. I b say, "Look, this project's a near certainty to complete." And when it does, you're looking at a royalty stream for Red Hill Minerals of about 10 to 15 million perom probably over a 10-year period. So if you put that together with the Enslow expansion, you're looking a company that's generating probably 45 to 50 million of cash and free cash flow on an EV of 50 of 250 million. So you need a free cash flow yield of 20% of which they'll spend they'll spend nine of that 50 million on the expiration, the continued buyer royalties. if they do things like sandstone, I'm perfectly happy for them to do as much of that as they want because they're getting a return on capital above whack with all of that stuff. Um, and the final thing I'll say before questions is, uh, our interests are perfectly aligned with them. Joshua Pit owns 34% of the company and Poli, he's the chairman and Poli owns another 24%. They've had a long history. They run a very lean operation. They're they're basic. You can see from their annual reports, they've got these crummy photos on the annual report. It looks like I mean, my 10-year-old son could have put together an annual report that looked better than what they've done. Um, but you can tell they're running a very lean operation. And their their strategy is look, just put everything into any spare cash that isn't paid to shareholders and dividends, just put it into the ground in in finding the next best resource. Of those next best resources, they've got some really prospective tenementss. So, they've got Broken Hill. Um, yeah, I don't need to tell you, but that's that's a basically a hundred billion dollar province historically, and they've just had a very interesting little discovery that could they've discovered smoke, I would say, that could lead to fire. And the Alabama copper project, look, that's nothing quite yet, but anything copper in South Australia has got potential as well. So, look, I don't really care. The advantage of this is you've got an explorer and normally with explorers they find something good and then you get the huge dilution. With this you've got heaps of cash on the balance sheet 70 million and you've got 29 million upscaling to 50 million per year coming in. So they can just choose from all of their best drilling results where to focus on to get the next big find and make sure that their return on capital is much higher than their cost of capital. They own a couple of really good tenementss. They own all the um tenementss, the red hill tenementss where um minres does all its iron or they own all of them for gold and the other minerals there as well. So I just think there's I I describe it as perfectly safe. You're getting 9% total return from your current you're going up to 14 when onslow expands and then you've got all these upside options that are difficult to value but every time one of them comes in it's just going to add more and more value. >> Yeah, you know I agree with you on your your thesis on this one. Deca and um I I think the company will just get bigger over time and find its way into into you know relevant indexes. It's it's kind of it's you know it'll it'll it'll it'll get there. The a few points I wanted to point out there. I did notice the the the dividend policy on onload is only to pay out 50% of royalty income. Um >> yeah, >> via divvy. Then I've I've got another one to throw into the mix for you. This is um uh a research project not even relevant to your pitch here but did you know like there's part of that whole you know the stuff that can feed feed mins feed feed um feed onslow uh on on the whole road etc. >> Look actually already looked at that and I can answer it now. No, no, I've got one for you. Um, Cullen, Cullen Resources, have you heard of this one? Um, so mate, why I bring them up is this is a small cap, but they've got a 1% royalty. I think it's on Cathobore. Um, >> when that eventually kind of come comes into the mix and and I find it interesting because you see Perth Capital, which is Josh Pit's investment company, is a is a big shareholder there, too. I think he's sub 20% but above 15. And this Cullen Resources, they recently sold one of their royalties this like FMG royalty and they sold it not to not to Red Hill despite Josh Benedict shareholder. They sold it they sold it to um to Spencer's company Vox. Sold to Vox royalties. >> So anyway, I throw that in the mix. I think there's there's something interesting if you pay attention to that Cullen too. So >> speaking of Vox, I know >> can I just answer your question on the dividend thing as well because that's super important. >> Yeah. Um, so they didn't say, "Look, we're going to have this cast iron of just paying 50%." What they said was they would pay at least 50%. >> Yeah. >> And when you include the tax as well that they're paying out in franking credits, it turns out to be a lot more than 50%. So they're paying out at the moment 33 cent yield on a $5 stock, which gives you the 7% return. But then the other thing is that as the Onslow expands, they're getting more and more free cash. My view is what they'll do is look, if they've got good exploration projects, yeah, they'll spend on that. But if they don't, they'll up the payout to 70 or 80%. So all the extra free cash they'll just keep pumping into dividends if they haven't got any good expiration. And if they have got good expiration, they'll pursue that as well. So you win no matter what. But I wouldn't say, look, it's just a hard and fast 50% that's it. And when you account for the tax you're getting through the Franklin GS, it turns out it's about 70%. >> I uh can't argue with too much of that. I think just on the on the Sandstone deal that'll go down as one of the best kind of small deals we've seen in in a long time. And I'm sure there were >> heaps and heaps of other royalty players that that would have been mad that they didn't get a look in on on that. >> Yeah. Well, it was it was apparently a process that was run, but I don't think it was a process that was run >> process in in quotation marks. >> It was pretty bilateral that one, but yeah. >> Yeah. That that'll pay them good money, I reckon. >> Yeah. Um, look, and I can explain the logic, too. It was just two people and they'd been sitting on this royalty. They thought, look, there's probably an 80% chance it's worth zero and 20% chance it's worth 50 million. But if someone comes to you and says, look, I can give you 4 million up front and by the way, if we reduce, you'll get 20 million. If you're pretty poor, you'll take that deal every day. You get four million in the bag for something you think 80% probability is worth zero. That's why they sold to Joshua and that. But, um, it was an extremely clever deal because it looks like they'll get 10 times their money back on it. So, it worked for everyone. I reckon we could have run a process and and drummed up a bit more a bit more interest than that. But I I take your point, Deca. It's um four million bucks is is nothing to sniff at. >> Trev, uh just a quick question. I'll do a left field one here, but do you take uh mining infrastructure companies? >> Yes. Yeah. Or is this DBI? >> Yeah. Can I do a quick pitch on that? >> Yeah. Run, hasn't it? >> Yep. Yep. Tell me. >> Yeah. Um look, so I bought first bought this stock at about 230 um three years ago and everyone was everyone was crapping on me. Oh, it's in coal and everything. Aren't you a disgusting person buying into coal and everything? And I said to them, well look, if you give up your consumption of iron ore, I'll happily give up my shareholding in DVI. But anyway, no one wanted to know it because coal's dirty blah blah blah. Um, look, the thing about this is it's a monopoly and any cost savings or revenue gains basically go through the bottom line. So what happened was it changed. I began buying or used to be regulated by the Queensland Competition Council. That regulation stopped October 22. So all of a sudden they can tariff escalate. They tariff escalate each year at 2 and a half%. But because all their costs, you said about twothirds of the total cost of debt. If you're growing the revenue at 2 and a half%, you can naturally grow your yield through time in perpetuity by about 5% just because your costs are flat with your interest costs. So that's guaranteed. You've got 7% uh you got 7% yield, 5% growth, that gives you a total return of 12%. If you look at the ASX, the average return on the ASX is 10%. So really to get a fair value um the fair value of the stock really should be $6 to give you that 10% total return not $5. Then there are a few other things going on as well. It's a very low beta stock. It's got a beta of 0.24. If those don't know beta is the correlation of the overall stock with the market. So my market's hugely overvalued at the moment. But if the market falls 20% DBI is only going to fall 4%. So I just basically use it as my bank of cash. Um, and if the market falls, I can sell DBI and buy all the crap that's fallen. If the market goes up, I'm still a happy holder of DBI. Now, the other thing is it's going to actually grow the yield more than 4%. The capacity of the terminal at the moment, it's 84 million, but they're only using 60 million. They've got an other revenue line that grew by 5 million in one year. If they can get that capacity used up to 84 million, then that could theoretically sort of be another 20 million in a couple of years. So my guess is they've set a policy of 5% but in practice they've grown the yield at 10%. I think they can probably keep growing the yield at maybe six or 7% with all the little nuts and bolts that they're doing to it. So this one is again it's perfectly safe. You'll get 12% return guaranteed. But any sort of extra revenue or cost savings they get it all goes to the bottom line. So you might end up getting 14 or 15% and it's extremely simple. >> You had me at Monopoly, mate. I'm um I'm a fan of the monopolies, but um they're they're we're degenerate mining stock punches. So yeah, you had me, but you're >> Well, it's a mining stock because it's the largest metal export terminal in the world. It exports 84 million tons of metal. >> Thank you so much, Deca. I'm going to um can I say we've got Ford Phil. I I'm probably saying your name wrong. Sorry. Sorry, mate. But I'd love to hear your love to hear your input. >> Cheers. Yeah. No, no worries. Um, I've chosen an Australian developer uh to promote which I've uh taken a look at. I don't own any stock yet, but I think it's highly compelling. Uh, so it's Orum Resources, ticker AU. It's a codeir gold developer. >> Yes. >> PFS will be out in, you know, April. um it's trading around uh 51 EVs against uh 3.9 million group resource at a market cap of 250 USD. So Jaco, it's a peer, you know, well known, probably a year behind them in the development timeline. They're at 190. And I think it's quite a compelling opportunity. These guys built Tiedto resources uh which they sold for 172 PAR and like 700 sorry Australian. And they were basically doing it again with the larger resource this time around and the same management team. So, I don't know why it's cheap. Montage Gold, >> they sold out. They sold out. >> They came in at 10%. Yeah. >> Yeah, >> they came in. Yeah, they came in at 10% um in July at a strategic placement with no discount, dude. >> WWAP and they just crossed below the 5% threshold last week. So, they've been a consistent seller. >> Yeah. >> Like the second the hold came off, they just started dumping. So, who knows why. Uh a friend of mine actually spoke to them some like not under a week ago and uh they basically said that the resources dispersed and they want cash for their other projects which doesn't make a lot of sense because they're at like a what six billion market cap >> and they got two 225 million for selling ORM shares. So why not just do a race I guess. But um yeah they got this Bundali asset. I can't pronounce it but whatever. It's the same belt as uh the barrack uh tongan asset uh the bo boogie sama shear zone. So the judge is a bit different from kone but uh that is sitting at that's the main asset they're developing. Uh like I said pfs out in April. They're aiming for first gold in two years. So that's 3 million ounces. And uh they're drilling 100,000 meters this year. and they own their own rigs. 12 diamond rigs they own and they got to a $45 per meter drilling cost. So if there's any company in the world that's lower, I would yeah pretend because it's lowest I've heard at least. And uh discovery costs are 750 per ounce. So it's 50/50 infill and resource growth this year. So that should drive some good news flow. And metallergy is perfect. No problems there. course grind um low capex 250 to 300 to build the first bundali asset and on my numbers you're probably at a post tax MPV of like 2.2 2 billion at first pour. So that's 1.7 today if you use the 8% discount rate. So I think this could be like a 5x in two years if you can hold through you you'll get the PA to first pour rerate in two years and that's without your other assets. So uh yeah that's the pitch to take any critiques. I I think the you know the the Tiedto example you gave which is the the track record of the company uh sticks in a lot of people's mind. They had a lot of problems and you made the comment I can't remember exactly the word you used there but patchy is how I kind of interpret the uh the resource and you can look at any of the cross-sections and kind of think through some of the assumptions there and >> yeah montage selling like your friend said with with that kind of comment in mind I think goes a long way. Now, when when Tiato was coming up and running, they had a a great operational kind of team that were getting it online, but there were a lot of problems and a lot of those problems were glossed over. >> It was a resource model. It was a resource model. >> Yeah. But the the fantastic gold price appreciation glossed over a lot of the problems, but the share price was in a real bind for for a long time there. And >> yeah, I think to put it in a nutshell, they were um assuming a bit more than was actually in the ground. and much closer defiance um drilling proved to be yeah proved what that resource really turned out to to be. I think this has a lot going for it. You're right. It does screen cheap and there's there's clearly like inventory in the ground here. I do think like like JD says the the um Marcus memory is is is long duration and um you know the you look at the style of this deposit there's a lot of similarities when you see these like very kind of um these thin these thin intersections on on the crosssections it's hard and spoke it's it's um yeah I I I'm not I'm not a GI so I don't want to go into the realm of of un unpacking their mineral resource but albeit I did try to flick through it a Um, I I think I think it it's warranted for for screening cheap and it's also warranted to to think twice about it too, just given given um, you know, given the similarities with with who's putting that resource together as well. >> Yeah, I agree. I mean, it's the main issue with these deposits. You have these uh, like there's mainly two styles of mineralization in country which is the KO style which is like a intrusive hosted book B system it's called. I'm not a geo eater but just reading the reports and then which is very broad mineralization and then you have the you know bundali and t shear hosted load system with like this it's this high nugget effect course veining so obviously there's a risk of you can do a lot of tricky stuff in your geological model to like inflate the ounces and stuff based on the I guess interpretation between the veins. So yeah, I mean Kona is like a 1.18 strip. This will probably be much higher, three maybe and 2.5 maybe. Who knows? I mean we'll see in the PFS. So it's definitely a risk and maybe that's the main explanation why it's trading cheaply. But I mean at this these gold prices um it doesn't really model I guess. >> Yeah, exactly. I mean you can just blast and call it a day, I guess. Um, >> appreciate you calling in and sharing the pitch. Yeah, >> thank you. >> We've heard a handful of pitches already here, JD, and they are they're pretty interesting. They're pretty speculative. Not everyone's got the appetite for the very speculative pictures out there. So, let me pitch something that has a bit of a different proposition to it. I'm talking about Exceed Capitals SP property trust. These are these are specialized trusts designed for a specific commercial property. It comes with a a very stable uh cash income paid as a dividend to unit holders and on top of that there's a a a cash uplift that comes with just the rising property value. >> I think that is a great idea. We know everyone out there might not have the risk appetite for a $5 million junior exceed capital. The SP property trust as you mentioned great tenants they've got a defined life. It's a private vehicle. This isn't a publicly floated thing. It's checking a lot of the boxes and I reckon it could check the boxes for you out there as well. Go exceed capital. Back to the stock pitches. Josh Baker, I um I see you're you're on stage. I loved your contributions last week. I'd love to hear what sorry, last month. I'd love to hear what you've got for us this time. >> Yeah, I'll just start on um with Orum. It's probably a little bit of a gambit there that they're going to make a project that looks quite good with no intention to build it. So, I think it's one of these ones where it's you don't repeat by actually building it. You sell it before. So probably something to keep in mind on that thesis. >> I think no and I've sort of Yeah, I mean that's sort of the feedback I've got whenever I've sort of spoken to them or or from others who have as well. Um but yeah, one I'm going to highlight is just cuz it's my new punt um is Somerset Minerals SSM. So they've got this um big land holding up in and around um White Cliff as well up in I think it's Nanut or however it's pronounced in Canada. So it's yeah a bit cold and a bit icy. Um but I think what they ended up doing last year was the equivalent of a technical discovery at the Jura Prospect where they had some pretty good intercepts of you know 30 40 m of copper um from near surface. drilling was relatively shallow uh with grades that sort of range between like half a percent and 2%. As well um so once the uh spring kicks in, I think it's yeah going in spring. I always get my hemispheres around the wrong way. Um they should start drilling pretty much any day now. So just waiting for the announcement of mobilization. They'll run RC and diamond drilling. So I think the main aim here is to really test the juror prospect with about 3,000 meters of drilling. Um once they did the drilling and before it got too cold, they did run geoysics over there and identified the signature for the juror prospect. Um the IP anomaly seems to extend to at least 600 m depth. Uh and then in that process they ran or identified two parallel structures as well. And I think with the chargeability high and resistivity low, there's a view that the deeper you go, the richer it potentially gets to. So this 30,000 m program could be quite in high impact in the sense that it might be able to prove something that is, you know, if it's not considered commercial, very much on its way to being a commercial prospect because obviously where it's located, the hurdles of commerciality is, you know, a lot higher than many other places in the world. So I think right now when they're running about 200 m of strike, say there's a width of about 30 m, 175 deep, you might be talking about 3 million tons at just under a percent copper potentially right now, which wouldn't cut it. Um, but if you can sort of step out along strike and at depth, the depth targeting I think will be about 400 to 500 m deep. So getting, you know, quite close to this IP anomaly at depth as well. Um, if strike can get opened up to maybe up to 300 m, maybe that thickness does potentially increase. Say 50 m thickness, 600 depth or 500 depth. You might be talking something more like 15 to 25 million tons. Ideally, if it gets richer and you get something in the mid ones, you can talking some pretty serious critical mass there. And u on top of that, if you do drill the parallel structures and find some sort of repeats, um, that again sort of further opens it up. So, I think this is one of these trades where if things don't quite go right, it probably goes down 20 30 40%. But arguably, if that high case scenario of just sort of fleshed out starts to look true or more like the case, it probably goes up three, four, five times because right now it's a 25 mil market cap. You could argue something 20 million plus tons and that still remains open or and or has parallel structures could argue worth more be worth more than 100 million um at that point. So timeline on all of that is you know waiting to get the announcement of rig mobilization to site u get started on the drilling you could be maybe talking four to six weeks for drilling maybe a bit more and depending on how they batch I say starting in a similar time frame or a little bit later so it's sort of a a catalyst driven trade uh for the next two three months >> uh yeah >> and it's funded >> $22 million market cap 5 million cash I saw Regal SG G hits quite substantials. There's um >> I'd love to know like like what happens drilling results come out and um you don't see enough enough promise there. You just is that is that the you change your mind at that point? >> Punch it out. >> Yeah. Yeah. >> Yeah. Punched out. >> Binary. Yeah. >> So like position sizing on this for me is like 3 4%. Right. >> Yeah. >> So drill results aren't adding up. It's not going to show that commerciality. You know, you got to get out and then you can always come back. there's a match of land holding a lot more prospectivity but that's much longerterm work so you don't necessarily need to hang around for that then again if you start getting those results you know drilling deeper 50 60 m maybe it does get a lot richer uh in copper then that's probably where you sort of scale into success as well so it's probably this you know event where if it's not good enough get out if those results start to look really good then you know you might consider scaling up Um, I think when they did the drilling last year, they did show visuals >> um, as they went as well. And I think if you go back to what the assays were and what the visuals implied, they actually weren't too far off each other. >> So, they tended to be pretty reasonable estimators um, as well. So, if they sort of keep with doing the visuals and remain reasonable estimators, you might start to get some hints a little bit earlier on that as well. But I mean, if there's an argument that success gets you over 100 mil market cap and failure sort of gets you down at 15 10 mil market cap, you know, you got a pretty compelling payoff profile of, you know, between five or 10 times. >> SG his cock has been adding they've um >> Yeah. Wow. So, it wasn't just the placement they bought. They've they've been adding adding stock since, huh, I'll follow that one, mate. that um yeah that fund is um his name's Adrian or something. He's um >> he likes he's right in these small cap so he goes pretty hard and he's had a pretty good run at the moment as well. So, not that I generally base my decisions on what other guys are doing, but um he's got runs pretty good interesting fund actually to be fair. >> Mike and Chris kind of MD and and chair they've done work together as well um in the in the past as a as a bit of a duo. Are you familiar? You like management or how do you think about that aspect? >> Uh never spoken to him. I don't know much about the history. and just focus on the opportunity. You know, drill's done look like they do good work on this project or and that's it for me. >> I like it. Nice and simple. Any other ideas kicking about in your head, Josh? >> Um, another one. And I'm a bit of a bag holder. I've written it up and down, but CZR is probably worth a revisit. >> That's what I've sort of tweeted about a few times, too, because you're only 28 cents cash. It's down at 30. the first pass drill program hasn't really hit the lights out. It's actually quite structurally complex that top camp prospect. >> Yeah. >> Um but I think between that and then the work they've done at the Frank's patch which is sort of sitting a little bit north. Um I think there's like this bassalt cover that actually starts to creep into the southwest and the work they've been doing particularly on identifying the rocks and looking for the sonucatoids as you do in that area sort of vectors to that southwest. So, I think you know the first 4,000 m is a bit of a flop. They'll come back and do the other 4,000, but they'll change some orientations as well now that they understand that structural complexity. Well, actually wasn't until they did that scissor hole that they really realize what is going on there structurally. Um, and then I think what the rest of this year will look like will be probably a lot more back to basics, sampling, scout drilling, and things like that to really understand how that entire system is potentially orientated um, under the bassalt cover. So, there's a lot of work there, but they got like 70 million bucks or whatever it is, so they can definitely, you know, afford to do it. >> Um, so that quite Yeah, it's quite interesting. Yeah, I think what's kind of been missed is in that southern area or southern to the Pilbur stuff uh down in the Midwest, they've got this tenement area. They kind of call it the Edin Weta area now. Um but it had what they don't talk much about anymore, but the butter project, which is a titanium magnetype project, so it's not jked or anything, but they done quite a bit of work on it. Sits there. Um, I think there was a view to try and deal on it if they dealt with the Chinese for the iron or asset, but that's kind of off the table now since you can't really get groups like that. Yeah. Approval to buy assets. Um, >> they tried >> uh towards the north of that tenement package because this tenement just sits in the same sort of belt as deflector um under vault. >> Yeah. Um it's up north Ed motor. It's 12 or 13 conductors on a 2k belt. So there's apparently some land swap thing done by the state government. So it got classified as a reserve but like the lowest level of reserve. So it just requires a lot of extra steps and agencies involved to get a P for drilling. So they're sort of working their way through that. But I think that program once it comes be another 10 holes testing several of the conductors and seeing what's going on there. So there's a copper ridge east inside and more sinkage out to the west and very very lightly touched by drilling. So there's a couple of opportunities there in that project too. But I mean one thing I like about play like CZR is when you buy near cash backing you can afford to go through a couple of failures um until you hit the results. And you know, Solstice is a pretty good example of being able to be patient when you bat smart people with money and you buy them cheaply enough. >> I mean I mean they're pretty damn close to cash backing right now. Like yeah, very very close. Um >> I've got a I got a funny confession about this >> on 70 million. >> So So I've got a funny confession about this stock. So JD and I went to the AGM of CZ last year on the uh off chance. So I'm like 1% chance we'd have a chat with Creasy while there. And um not only did Casey not come, but um but Annie couldn't make it either, so we fully lucked out. Uh >> we'll try again next time. >> Yeah. And he was too busy working on counting all the money for Saluka. >> Yes. Yes. The day position was like an hour before, but should have gone to that one. >> The solstice play you referenced there as well, that's been that's been a cracking last last month. >> Yeah, that's half luck for me. smart thing was back buying that at least in cash back in in April 24 and that was before they bought nity well the the way nity well has gone is um I'll just say luck because I didn't actually think there was going to be much to it but I was proven wrong and I'll happily take it >> takes a bit of luck sometimes I uh I like you >> yeah I think this sorry >> I was just going to say I love you love you love your pictures as always Josh they're stocks that weren't on my yeah weren't on my radar but I'll be yeah paying close your attention. >> That's right. One day you might buy one of them, >> mate. He said, "I do like cash backing, but um Yeah. Yeah. Handy, but I also I think so. >> Yeah, he's a good guy. MG." Yeah. >> Yeah. And apparently Chris is still relatively hands-on. You know, when they're trying to work things out and all of that, he's still pretty much in the game even though he's richer than he has to be. >> Yeah. Uh, >> you know, when I'm punching on slow grind. >> Oh, I was say when I'm punting on an expiration stock, you know, that's um that's a that's a one you shouldn't be holding. >> I try cycle and I should be selling. >> Yes, Peter, please uh please please uh please please tell us what you're what you've been thinking about lately. >> Hey folks, great to be here and a big fan of the show. Um, all right. So, you asked about the best ideas, right? So, to be honest, my best idea now and in the past quarter plus >> has been frankly cash >> and and let me elaborate on that just a little bit. So, so basically with everything that happened last year, uh, you know, fantastic year for all commodities or most commodities and I'm sure many of us here in this in this in this space as well. And with everything that's happening now in the markets and beyond markets, I think it's prudent to basically make volatility, you know, your ally uh, and basically wait for the fat pitches to come as opposed to chasing momentum. And the way to do that in at least in my case is to position is by positioning myself in an opportunistic way on the one hand for simply holding plenty of dry powder but then in the second half of the portfolio by being very aggressive and but very deliberate as well with the kinds of place that I'm uh coming into. So going for high risk, high reward but very much bottoms up uh place that don't need the broad market necessarily to perform well to at least perform okay. Right? So here I I can mention two specific examples of how I'm applying this in practice. Uh, one would be say instead of holding a basket of gold producers that are all up 200% year-over-year uh and are indeed enjoying very fat margins and all you know life is great, right? >> However, why not instead go for um something like awali resources. So this is a um cot cot the warir exploration success in progress very well funded um probably the best exploration intercepts in in Africa in in recent years uh with plenty of catalysts coming in the in the coming year who haven't really enjoyed 2025 that much for reasons that are company specific and are not necessarily valid anymore. Um so you know it's kind of like basically more opportunistic positioning from my point of view. And the second idea or the second example would be instead of holding a basket of say copper miners who are trading at at or near all-time highs, how about go for some more um niche industrial metals play uh that has been really beaten up in recent years and that did not enjoy 2025. again for company and local commodity related reasons but reasons that are kind of going away now and here I'm talking specifically about the example of Largo >> indeed >> and vanadium vadium mine so you know this is the kind of thinking that I'm that I'm that I'm applying right now um yeah just happy to happy to chat go deeper into those examples >> you know what you I want to talk about LGO and and not just a talk out book but because I think I think you you tweeted something like I don't know I want to say it was like eight months ago and it was like uh you pointed out Largo's financing at the time and you're like you know this thing either either is um is super talked or it goes broke in the next six months because they just they just entered some pretty pretty mental financing where they had a a six-month repayment on a pretty pretty ownorous kind of terms. Um they've lived to fight another day but it's been a volatile interim. But that's when I first even learned that this company existed and then and then sort of yeah I paid subsequent attention when when um when Venadium became quite quite topical uh in in recent history but you've been you've been there for a while Peter I know. So tell me tell me tell me about this. >> Yeah exactly. So it kind of actually goes back to the overall portfolio positioning because if you have plenty of dry powder uh in in the portfolio then you can allow yourself or at least I feel I can allow myself to be more adventurous in some other corners of the portfolio and Largo is a great example right if you look at if you look back at the past decade or so venadium tends to basically experience these massive cycles where it's left for dead and then something happens either China happens or China happens again or like what we see right now. Uh we see this kind of a decoupling uh especially from the US perspective in many commodities. But I think venadium will be no different if if we look at the most recent um events such as the AFP from what was it DOD I believe. Uh I guess we can take talk more about that in a minute but basically it's it's this sort of a almost binary bet. They either go bust in which case you need to pos like you need to position size such that if they go bust you know you're going to see you're going to live to the other day to the next day. Um but at the same time if they don't go past which the odds are shifting I would say quite significantly in that direction then with the current market cap of what was it like 120 US something like that I you know and if you look you look past into the past they they can easily I mean this can be a 10 bugger from the the current price just purely on the reate from you basically not going bust and vanadium um going you know kind of entering its it its cycle which which I believe it already has started if you look at the venadium prices across the board both in the US um Europe China different products um penttoxide or fervanium etc these prices are anywhere from 40% up in the past two months here speaking specifically about uh the US I think US fenadium um in some cases it's kind of around 10% if you look at other products in other locations but the momentum seems to be already there uh the direction of where the prices are headed seems to be clear so now the the question that remains and that was the question last year when I first started looking into this and enter started building a position and the question is the same today is can they really survive until the point in time when the prices will allow them to stand on to to fit, right? So, I believe they they need to secure around uh and here maybe somebody can correct me, but around $80 million this year just for the debt that is due this year. Um, so how can they do that? Well, they have an ATM right now, which I I don't have proof for that, but I wouldn't be surprised if they have this up and running. um in the recent weeks and so on. Um so but obviously that would be a significant and that is a significant overhang. Um but they have other tricks in their sleeve. They have the um well they have the DoD RFP which if you look into the into the language of some of the documents, you need to dig deeper into those documents. If you look into those documents, there are there are statements there where the US government is explicitly stating that they recognize Largo as a critical um provider of of a critical material for them and they recognize that there is a risk of them basically going bust and they recognize that they don't want them to go bust. I mean, it's not exactly what they say, but that's definitely how I interpret this language. So, so you have this kind of a backs stop there possibly from the US government. Um then you have the additional let's say byproducts and waste products that can be turned into something valuable such as the iron or calcine I believe that was uh and here actually there was a there was a setback recently because they were supposed to there was a they had a deal to basically monetize that and that u uh that deal fell through essentially but they have a couple of those um of those up up their sleeves still they have tungsten projects. Um what was the name? Northern Dancer I believe was the name of the project. >> Yeah. Yeah. Yeah. >> Yeah. So and they Yeah. >> I was just going to say on the or I think I think um I did a little bit of digging to try and figure out how how real or tangible monetization of that is. And as I understand it, every venadium mine in the world has tried to find a way to sell the calcion solids coming off of the you know venadium leeching plant. But it's essentially iron or fines with titanium content and the the cost of moving it from the plant to port is just just prohibitive. So yeah, the the the counterparty was probably the counterparty whoever did the deal with with um LGO, they probably just went to the Chinese steel industry to try to sell this stuff and quickly learned that um it it wasn't it wasn't anything that made sense. >> Yeah. Yeah. Probably. Probably. So honestly personally what I'm kind of uh accounting for as as a as a possible scenario it's hard to assign some probabilities here but it is certainly possible is that they may have to do one more uh raise or use the ATM to the full extent one or the other it's kind of you know whichever whichever of these two. So actually I wouldn't be surprised if uh if we wake up one day and uh and the Lago is down by you know 40%. right now. But the the thing is that if you look at where where is the ceiling of how uh how high um this could rerate I mean I'm willing to take that bet to be honest even even if it if they announce another massively dilutive race and that combined with the DoD RFP um kind of going coming through um for them if that allows them to survive which I think as I said it's likely scenario then even if they go down by 40%. It's I think it's still a great deal. Um and and actually speaking of this RFP from the DoD, well I we haven't seen the the results yet. So we don't know what's going to happen, but I think if they secure a decent contract and here by decent by a decent contract, I mean it's also likely that the this deal will be at a significant premium to the current prices. How high of a premium? Well, you can do the numbers from from the total expected value of the contract and you can figure out like a range of possibilities. But regardless of what it is, it's most likely going to be a significant premium. It is going to be something like I don't have this at on the back of my head, but it's kind of maybe like 7% of their production. I hear somebody can correct me. But the point is that even if that contract spans spans across multiple years into the future, I wouldn't be surprised if with that contract in hand, they could actually borrow more money at good terms against that cash flow that's coming from that's going to come from basically the most creditw worthy counterparty you can you can imagine. Um, so that gives them yet another lever they could possibly pull. And once they have that contract in hand from the DoD. So they have plenty of these levers to pull. They also have been exploring ways to recover I believe copper from uh from their uh from their processing circuit. Again this is just like Buddhist iron iron or caline. It's more of a long shot. Um but who knows? Let's see. Right. So, basically, it's all about playing the odds, and I believe the odds are have already shifted in the right direction. >> I'd love I love your thinking on this one, and um yeah, I hope it I hope it plays out for obvious reasons, but I I also I'd love to love to see see your speculator's thoughts on this. I've never I've never never met anyone that can pick turnarounds as well as him. So, if he if he runs his eyes over it, I'd love to know what he thinks of it, too. Um I think we've just gotten Trent Buckle up. Trent, what have you got for us? >> Good day, 12 JD. Longtime listener, first- time caller. Uh, >> great to speak, mate. >> Actually, I've got some personal Sorry, mate. >> Great to speak with you. >> Thanks. Uh, I've got some history with uh with Lago as our um fire presenter was was talking about. I actually bought it 30 bucks back in 2018. So, >> I was going to say, "Oh, no. No one's got good history with Largo." Oh, no. Whatever I say next should be uh taken in in that context. But uh yeah, I wanted to pitch San Lorenzo, which is a much different stock to what I usually do, which is, you know, your developers moving towards construction. But >> in this bull market, I think everybody's got to find back some kind of uh explorer and then just enjoy the the ride. >> Yes. >> Because they they kind of um they give you, you know, plum feeler will will know what I'm talking about. But uh yeah, they make your plums real juicy. So uh it's just a real good experience. Uh San Lorenza. So I heard Tom Warrick talk about this nine months ago. No nomad geologist talked about it as you know looked at these drill results. I was like it's interesting but just this is not my kind of thing. Of course I missed all of the best gains but I jumped in at about a dollar. sitting at three bucks 20 at the moment and and there just been some big, you know, news on the follow-up drill campaign at their number one target, Sarah Blanco. So, this thing is, yeah, absolutely huge. Let me just pull up the deck here. You're looking at like 1,700 m up this mountain range uh in Chile and they can't stop hitting, you know, 100 plus meter sections all at 1 g per per per ton. Um, you know, big stepouts. They're showing a lot of width and continuity to that. So, that's what kind of got me on board. Also, I got to say, you know, jury uh kept pounding the table for it. So eventually I came around to looking at it, but the more you look at it, the more you like this thing. Um, the number one target, as I said, was this Sarah Blanco. Uh, I know Tom is is in it for that, but if you talk to to Al, he's more interested in this secondary target, Arco Deoro, which at first looked like it was a a skinny epiothermal vein system, you know, 2 1/2 m at 15 g. They traced that for about a kilometer, hit it down at at 300 m depth. Um, and then recently they had announced that they had, you know, an expanded drill program. And the stepouts were 2.9ks and 3.9KS off the top of my head. So, massive massive stepouts. And I'm expecting that they're going to kind of keep hitting these skinny uh high-grade veins. And it's, you know, looking much like a repeat of what they have at Sarah Blanca. You know, they they haven't got ASA results for the top 223 m, but the bottom section, it's split across, you know, a number of different um sections of mineralization, all 50 60 m, you know, you combine it for about 230 m plus 1 g per ton. Um, so that's kind of showing up as a second major discovery. That's Arco Northwest. Um, and then you I was listening to the presentation of Ala at Myth and he's talking about this, you know, and I should back up. One of the great things about it is they're just following their um IP results and putting holes tracking the you know the uh the best hits there and you know the the drill is hitting every time. So they're talking about this other IP zone they've got at um Marica Maria Teresa and it's you know by far the best uh geoysical target they've got but they haven't had the opportunity to drill it and that is you know again kind of 4 km from where they were most recently hitting. So um this is just a story that uh you know it's run hard but I think it has potential to go you know a long way with this 2026 drill program. They've they've cashed up for it. So yeah. Um not sure what else to tell you. There's a third target. That's Cablo. Sorry, let me grab the name. Uh Cablo Myto again. 100 m 1.45 g. Yeah. This whole area is just lighting up every time they put a a drill hole into it. >> How big do you think it is, Trent? >> Yeah. Look, I was pretty source last night and uh and I said 20 million just just just to be the guy that says the highest number, but I saw Patrick Strea um from Argonaut put out his piece, which you know, he was indicating more than 5 million ounces. You know, a number of people have said five is, you know, what what this they're looking at. You know, 10 would be excellent here. Um and I just said 20 in case it turns out to be 20. I want to be the first person that said 20. So, who knows how big, but I got a good feeling this is, you know, 5 million ounces. But again, I'm a finance bro and uh not a geologist, so um yeah, don't take my word for it. >> A these things are exciting. Love, love a discovery. The market cap's still under demand. I mean, what 333 Canadian? >> Some of those hits are beautiful from the ultimate non-technical perspective. >> Yeah. Yeah. No, you love you love you love good market as well. >> Exactly. Exactly. So yeah, there's lots of um you know boring easy wins out there, but to jump on an exploration story when it's really start, you know, hitting time and time after, you know, again with other good people involved in the story, it just gets you excited. So that's why I like San Lorenzo. >> I uh >> you got you got all your chips still on the table? >> Uh yeah. No, I haven't. Uh I was buying all the way to 250. So this is um in the PA it's 15% position. So, um, yeah, in long and strong. >> Is is, um, any anything not non-exloration that you've been uh been big on lately, Trent? >> Uh, um, you know, I was about to start exiting Mika and then, you know, when that turned into it's probably moving to a million tons peranom throughput. They're going to do 90 thou 5,000 ounces. you know, the uh the margin there is huge. That's something that's gonna, you know, it's what, 23 cents today. I got a fair value of 45 per 50 cents per share. Uh I had a chat with uh Grant from Horizon Minerals today. Um you know, that's sold off on on their cap raise, which was a bit bigger than I think anyone expected, but >> huge. >> Um you know, that that valuation is what 230 million. Look, the the mine plan isn't great because it's only 5 years, but you that will be extended. They'll they will be able to bring more inferred material over into a higher confidence level and be able to extend that mine life. So, you know, I'm modeling 8 years of mine life at that at 100,000 um you know, high cost, which actually I don't mind in this environment because it gives you that operating leverage um as this gold price has kept running. Uh so you know that's you know could easy three bag from here. Um you know it's not a great asset in a lot of ways but you know things that are uh you know have essentially a plant there ready to go. They've got to refurb it um you know they're trucking average grade ore around but you know it works in this environment. There's no uh you know terrible elements. So it's mineralization or metallurgy. So should go through the plant and have decent recovery. So Horizon, you know, at a buck target on that really should be 350. Um, in my opinion, >> yeah, easy three bagger. >> Yeah. Well, Horizon's just got the growth like Yeah. >> Um, >> yeah. >> And there's other assets out in that area that I think they're going to end up mopping up um as well. So, you know, I I think that we'll just continue to add inventory to what will be, you know, a 2.2 2.5 million ton peranom mill out there. You know, it's unconventional that they're switching it out from u nickel plant to a gold CIL plant, but I guess Medallion's doing the same thing as well. Some people are just kind of being flexible to get, you know, gold in the market and and cash flow. So, I I actually like the strategy. I uh I like you thinking. Um have we got any any appetite twin? I saw you come back up. Give us give us your second stock you've been sitting on. >> Yeah, it was it was an interesting one. It only really came across my radar today actually. Um there's a a small little play in the Lachland fold belt that um I was doing a bit of work on today. Uh they're doing a six-hole program out there at the moment. um they're earning 70% of a project from impact minerals. So there's some previous drilling um on the project but I suppose the elevator pitch is today's price close price there just over 10 million market cap they've got >> what's the stock sir >> about 4 and a half 5 million it's a company called uh Kiko so the ticker is KNI so I don't know if you're if you've been following this one at all it's um it's pretty small market cap >> oh the charts just goes down down and down. It's one of those charts of >> death. Yeah, it's it's it's a chart of death, but there was a bit of life today after they announced um >> So, it had the whole Norway project and then they've they've taken on Commonwealth and and >> changed their focus to East Coast of Australia Gold, right? >> Yeah. Yeah, I I don't I don't I'm not interested in any of their other projects, but I just the project that um in the Lachland fold belt that they had some drill announcement on today sort of made me look at them and go, "Oh, hang on a sec. What's going on here?" And um they raised they recently raised 3.75 million at 5.3. So this morning they were sort of around the low fives. They hit six, but they think they closed about 5.7 today. So, you know, they've only just done a raise. Their EV is probably about 5 to 6 million, but what sort of flagged my interest was they're hitting um they're hitting some massive sulfides. And so the announcement today was, you know, they did three of the six holes and they've hit massive sulfides. But you actually look at where they're drilling and the project's actually got, in my view, some some really good numbers. Like um you know, one hole was 7 m at 7 g gold, 330 g silver, 7.3 g zinc, 2.7% lead, which wasn't far from another hit, which was 8 m at 6.0 O g gold, 193 silver, 6% zinc, 2 2.3% lead. And they're thinking that um there might be a feeder zone at depth. So >> love you love there's always a feeder zone at depth. >> There's always a feeder zone at >> there's always a feeder zone at depth. >> But but but the interesting thing is like with an EV of 5 to 6 million. >> Yeah. you know, to be hitting multiples at high grade. It's obviously a VMS type deposit. Um, and I actually went back through the old impact minerals drill results, you know, and they've got 25 m of silver at like couple hundred grams, you know, with silver, you know, these silver projects that typically weren't really loved, you know, so the the silver prices obviously allowing some of this to come back into to vogue. And the old um impact minerals estimate was around about a million tons at 2.4 g per ton gold plus silver plus zinc plus lead. So just as a gold project like with an EV of 5 to 6 million, you know, 100,000 ounces of gold at 2.4% open pit, you know, plus, you know, they've got other stuff, right? But I just I looked at it and went, "Well, there's not too many juniors at a 5 million EV that are hitting these sort of grades." Um, so I just thought, "Oh, it's an interesting it was an interesting play." Um, and they're just south of of Boda, right? So they're in an interesting part of the world when it comes to geology and stuff. So, you know, that whole Lachland fold belt is definitely an interesting one. So, I just think from a risk versus reward, you know, I think there's probably more risks. There's more reward than there is risk on this one, I think. >> Did Did you pick some up after reading the announcement today? >> Yeah, I did, mate. I'm I I shoot from the hip a lot, so I tend to um I tend to be able to look at these things and sort of put them in a bucket pretty quickly. And I just sort of went, well, you know, it's not every like we when you're looking at a risk versus reward element, you go, well, 5 million EV and they're hitting, you know, they've got 100 effectively 100,000 ounces of gold and they're hitting high grade VMS. Like, doesn't take too much to pump them to 20, 30, 40 million mark cap, which is multiples of where it is today. So, yeah, maybe it gets there, maybe it doesn't, I don't know. But uh just from a punting point of view, I I thought it looked pretty good. >> I like it. Sorry Josh, was that you that I spoke over that? >> Yeah. No, I spoke over you. Um I was going to say to him, just on table one in that report, how high grade do you think these hits are? Because they look quite terri. Um there is there is a lot of iron mineralization, but they're next to like the holes from today were basically wedged between two holes that were running 6 g of gold and 3 to 400 g of silver. So I would be surprised if they were anything too different from that. Yeah, cuz I thought it was interesting, but then when you look at the table and that 3.7, you know, intervals, 85 sulfides, so it looks like pirate could be a lot. And then they talk up to 20% spelt and stuff. So I'm just not sure how good. So it might be similar to what they've hit by, but you know, when you're 15 20 m stepouts, you'd be surprised not to hit more of the same. So >> yeah, and and the thing for me is I don't there's been very limited drilling at depth. It looks like they've done some depth directly under the main shaft. Um, which which sort of got into a bit of copper. They think there's maybe perfery down below. Um, I just tend to think with this stuff like there's very very limited drilling at depth and I think the chances of them finding something below is reasonably good from a punting point of view. And if they find something, it's worth multiples, right? Um, if they don't, yeah, fair enough. it's more of the same or it's a small deposit or whatever. But, you know, worst case scenario, they've got 100,000 ounces of gold open pitable at 2 and a half 2.4 g per ton, which, you know, certainly I think values them at at least 5 million EV. Um, and if they find something at depth or they, you know, hit one of these fat, um, if it turns into something nice and thick and fat, then suddenly it becomes a, you know, a very excitable play. Yeah. I mean, even if it's not that good, the market cap EV and the kind of market we're in probably makes you directionally right at a minimum. So, >> yeah. Yeah. And and the fact that they've just raised like in the last month at 5.3, like when you just put all the pieces together, like it's from a from that risk aspect, it's, you know, pretty there's not too much downside. It doesn't take too much to to transform something from 10 million market cap to 30 or 40. You know what I mean? >> Too much downside, man. The chart chart just keeps going down. >> Well, at some point it goes up, Trav. You just got to pick the moment it goes up. >> Uh I' I've just pulled it up in in 3D. Um kudos to Kato for this this capability. But so there's a bunch of other holes in around this area here. Are they are they are they pending essays or are they just historic ones that had nothing? >> Um there's no there's the whole bunch that have had something. >> Yeah. >> So there's a cross-section on the announcement from today that shows the old impact minerals um sort of drill work where they've done a a contour. Uh I think the confusing bit for for some is that the drill holes directly under the main shaft start to turn copper rich. Um you know like they had 8 at 2.2% copper and stuff. So I think I think where the where the stuff gets interesting is where they can work out what the hell's going on. um you know because I don't think they they understand the geology very well and they've done a bit of geoizz around it to try and work it out. So I think there's one announcement that says that you know there's sort of targets that go on for kilometers and stuff. So um but you know it's one of those things where when you look at what EV they are and and what they're drilling and what they're finding it doesn't I just don't think it takes too much to get the market excited in the right direction. >> How are you mate? Good to hear you. Good. Sorry, I was in the middle of dinner. Um, so, uh, shooting from the hip here a bit. I mean, I San Lorenzo is one of my big ones as well. That's become sort of 15% of my portfolio. And the other one's Andina, which is about 15% right now. >> Yeah. >> But, um, one that I've been getting interested in is, uh, where's my notes here? Uh, Luen Metals. It's tickers LM8. LM1. Oh, that's that's London. >> So, >> yeah, London. Sorry. >> London. London because Luen's LM1. It's very confusing. Yeah. >> So, yeah. Sorry. London Metals LM8. Um, so it's a 98 million market cap. >> Um, I'm going to call them a gold explorer now, but they've got a bit of a nickel optionality. >> Um, yeah. Because they were they were spun out basically from gold fields. >> Yeah. Um, and they hold a whole bunch of land around uh, where is it? Around St. Si and Campa. Um, so they're in a pretty good historical nickel and gold mining area. Um, but what's made them interesting is uh, so they've got the the lady what's it called? Lady Harial uh, open pit project. It's like a pretty small satellite mine. Um, and that's they've moved that into production really quickly. So, I think it was only discovered last year. Um, and they very quickly uh have got that into production. They've done that because their major shareholder is still Goldfields. I think Goldfields holds about 30% of the c the company and then uh among the top 20 shareholders with the board of management, they hold about 70% of the company between them. So it's pretty tightly held. um they did a or purchase agreement with um with SIS so the goldfield sub uh subsidiary and so now yeah they're they're already mining that and I think from the off the top of my head from the feasibility study that they did and signed off on in January at the current gold price they should generate about 5050 million in future free cash flow. Um, so, so that's interesting. At a 98 million market cap, it'll be mined out pretty quick. Um, they end up with 50 million uh, pre-tax cash at bank. And I guess it's similar to Twins first one. It gives them they've got some very interesting ground there. Um, a lot of potential there for other satellite pits and stuff like that. And with that cash at bank, there's just I mean there's there's a fair bit of downside protection there cuz I mean they're not really going to tap the market to raise after doing that. >> Um >> yeah, I feel like Lady Harial has been around for a while, but it just it it just wasn't the focus because it was a nickel company and um and you've still got that nickel optionality at a pretty low implied EV as you get the the gold production. Yeah. >> Yeah, that's right. >> Yeah. Um, so I mean they're not really talking about the nickel that much now. They have sort of very much pivoted when you, you know, listen to them and read their presentations to now going harder on that gold exploration. Um, and yeah, it's just as in this climate as well where everything's a little bit uh volatile with everything that's going on around the world. Um that type shareholder registry also appeals to me because you know they're just not going to dump it. Um yeah, so there's some good protection in there. So yeah, that's that's one that's on my radar. I've got a little starter holding in it now, so I do own a little bit and yeah, probably going to scale it up a bit. >> Awesome. I do like the the point you made. The speed they've moved at is impressive. clearly clearly got a strategy that they're trying to execute on and a few of the stars are aligning on that front. >> Yeah, it reminds me a lot of uh new merch and gold like what they did with Crown Prince. I think that's the other thing as well that there was just an announcement the other day as well. I did I think nine nine RC holes below the open pit plan and let me just find and so so yeah so similar to new merch and golden crown prints they've got it into production quickly but they're still then drilling to prove that there's more at the resource. So yeah so they they did nine holes and they had some results such as 13 m at 5.7 g per ton 10 m at 5.88 88 g per ton. So yeah, there's they're going to get, you know, they've done their estimate based on getting 50 million free cash flow from this, but there's obviously more life to it than that. So that play worked really well for me with new merch and gold. Um, I bought that one pretty early and that's done really well. So yeah, I do like this in this environment when a company like this gets into production quickly and uh yeah, gets that cash going. >> I like your pitch. Uh John, appreciate your contribution. And uh we've got we've got jobs and growth who uh who popped up as a speaker. What do you got for us, mate? >> We chatted about nickel last week, but I've got a bit of a more interesting plate for you this week. It's energy if you're happy to talk about energy. >> Yep. >> It's an ASX listed company that has gas production in Italy. >> We know we know this one. Yeah. Yeah. >> You know this one? >> We do. Okay. >> Yeah. Don't I think I first bought this one about 10 years ago. >> Correct. >> It's just starting to get interesting having what's happening in the Middle East and they're about to get their extra wells drilled um in the silver Malvetsi region. So it could be 2 years down the track from now a 3 or 4x of their current production rate. And unlike the Australian gas producers, they're getting anywhere but they're getting sort of upwards of 30 to 40 euros per megawatt hour. Um, and obviously the CEO Kevin Bailey owns 26% of the company. He's bought all this stock on on market. Um, there's no outstanding warrants. Market caps 85 mil and they're sitting on 14 million of cash. So the >> Yeah, P Valley Energy. That's right. Um so obviously there's been some changes happening also which is a catalyst which is the Italian government is changed a lot of their laws around uh their previous restrictions of development of oil and gas in the country. Um and they have this um new mandate. They're trying to get the production level of gas up in the country. Um so this selom alvetsy region it's um they've got quite a prospective um sort of lookalike wells to come online in the next two to three years. Um they are bigger than the current well uh which is sorry bigger than the current resource that the current well is drilling out producing out of. Um and they also own an offshore asset which is Toyota Rico which was approved and then got knocked back on an environmental appeal. they're going back to get this d-risked as well. So, um it's not un um it's not impossible. Then two three years time we're looking at a company that's currently priced at 80 million um Australian with 14 million in the bank. They could be generating 40 million in free cash flow from the um just this one um this one field and it's quite an obvious takeover target for any of the other bigger European players as they start to derisk these assets. um some risks involved. Obviously, um Italian government's notoriously slow getting environmental approvals done. I think they have the sort of um government persuasion to speed this up. And um you know, other than that, this is fairly um low downside in terms of the constant gas um idiocy that the Europeans are going through with their energy policy at the moment. Um earning 30 to 40 euros per megawatt hour. This is this is going to be a cash cow if they get these assets derisked. >> That's the that's the elevator pitch. >> Topical, relevant, interesting, very cool. >> Yeah, I uh I've got no special comments because I'm an idiot with with energy, but but I I take your word on it. >> Bit of homework to do on this one. >> Lots of homework. Appreciate your uh your pitch, Jobson. And um >> cheers, boys. >> I noticed fluffing also come up. We'll uh we'll make you the last the last pitch of the day, fluffing. Uh ALR is my pitch. Um I'm really looking for someone to tell me why I'm wrong and why it's not amazing. That would be great because um you start with the drill hits. Um so it been Guyana and a few people think Guyana is in in West Africa, but it's not. But it's part of the same belt. It's just on the other side of the world in South America. And um when you go some of the drill hits, they're just ridiculous. Like 262 m at 1.6 g. um 84 85 1/2 mters at 4.8 eight um just got some crazy gold hits and it's right down the road from an another billiond dollar company just to the north clearly along the same geological feature and a $2 billion market cap company further to the north than that and then so far they've done a lot of or drilling a lot of the drilling I mentioned is quoted as historical so that's where I think people might be a bit worried but there's so much of it and then you look at the or drilling they've done so far down the same line north south on this uh Oko West fold and OCO greater greater Oko South prospect and it's coming up with buckets of gold as well. So at a 150 150 million market cap currently with a couple of billion dollar companies surrounding it and coming up with the things they're coming up with. Um I just think it's must be undervalued I suppose. >> When are the real rigs >> going back over it? >> Sorry. sort of bad. When are the real rigs going to be turning at W1 and and E1? You know, they're doing they've gone through the motions with the soil samples, the or all that sort of stuff. >> Yeah. And then a recent release only yesterday or today, I think it was, with some trenching and things like that they were doing. I actually can't put my finger on the exact date they're going to start drilling, but I I I certainly hope it's very soon. I guess the question is like if you believe the historical results, it's already worth more. If you don't then fair enough maybe it's fairly valued at the moment but then you look at the historicals and go even if half of them come back half as good like if you hit 100 100 plus meters at a gram a ton in Australia you'd be you'd be frothing on it. So and just looking at all the maps and the size of the prospect that got have got more land than the than the than the other companies mentioned north and south of them. Um I just struggle to see the downside in it. Um, so I'd love for some negative feedback on that one, but ALR Lier is looking the good. >> It's a wonderful post code. Can you help me understand the the um Yeah, like the whole the whole kind of tenure dynamics with these like these these very segregated or fragmented blocks that that have been somewhat >> Yeah. Well, that that is an interesting part of it. Yeah. So they they got all these holdings in an exclusive deal with adamantium holdings who are essentially mining and civil um royalty in Guyana. Though there's a suspicious level of like government um maybe some backdoor shenanigans, I don't know. But there's these guys are, as I say, mining elite. the the sons of the the guys who own that company sit on the board of the Golden Diamond Miners Association of Guyana and all these sorts of furious connections that would say well you know uh not dodgy but connected I think more so and should then have access to resources. Um so hopefully that expediates the drilling and maybe things like approvals and that sort of thing. But uh looking into the background of some of the guys that got these uh tenementss off is definitely interesting as well. >> Yeah. And you you >> and that's how they were man. That's how they were able to conglomerate it. Yeah. >> The the the resource that's there that's on that north peters to the to the west but you're not you don't own it for that. You own it because you think this o trend continues. >> Yeah. Well I mean the o trend alone is great. North Peters also looks good. So you go all the way out to the west and they're still hitting 14 m at 3.5 g. Um yeah, and that's what maybe 100 up to 50 kilometers to the west, >> you know. So across the whole the whole tenement package, it just looks like there's a lot to look forward to there. >> No, I'm no less intrigued than when we when we first spoke about it. Um >> yeah, I think I think as soon as we got back that day, JD and I were pulling up the screen thinking, should we just buy some of this stuff? >> Trying to connect a few dots on an idiot might have been right. >> Yeah, we didn't. And here we are. need to be convinced twice. But um we're closer. >> Yeah. Um no, we I I think it's I think it's a really interesting one to watch and I think you don't have to have too much imagination um when you look at the peers in the area and and the existing results like yeah G yeah I mean G G mining is um is doing some pretty astounding things. There's there's obviously interest from other countries um to to acquire pretty significant like like tenure in that area. I've heard rumors about founders um being of interest and and yeah, my gold mine etc. But but I I um I think I think Alter is is a really interesting company. >> Let's not forget Exxon Mobile have put Guyana resources on the map as well. >> Yeah. Yeah. I >> Yeah. And I mean looking trying I'm trying to find sovereign risk or any other negatives but I'm not really coming across any. So uh yeah looks good and I think I believe the uh drilling is to commence midappril apparently. >> Fantastic. Keen to see how that unfolds and thanks for dialing in with the pitch mate. Thanks everyone for dialing in. This has been wicked. I'm going to post this one up tomorrow. >> Cheers guys. Appreciate the uh appreciate the tips. >> Well if there wasn't some alpha packed into that episode. We're going to do it again down the track and maybe we should let me do it again. >> Maybe we should start checking in on the performance of some of these names and we can see which punters out there generate alpha for us. >> We never hold the fundies accountable. I don't think we can do it to the retail guys. >> More accountability. That can't hurt mate. Huge thank you to our fantastic partners Sanvic Ground Support and Exceeded Capital and to the legends at Intlinks and Focus the platform by market. >> You saw us using Focus all throughout this video. Go Huduru. Go Australia. Now remember, I'm an idiot. JD is an idiot. If you thought any of this was anything other than entertainment, you're an idiot and you need to read our disclaimer.

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