What a great update today. A little disappointed at the sell down this morning but would expect this to trend much higher over coming weeks. The sector is very hot right now (AVL briefly hit an all time high just before) and I'd expect that with drills in the ground, money will start to flow here in anticipation. For whatever reason the past few weeks have been rough, so would expect some traders to be happy to reduce holdings or to get out today.
What I'm looking forward to/at
-Possibly drilling within ~10 days (August stated, maybe as early as next week)
-Conversion to JORC expected by October (just 12 weeks away)
-High grade pipes to be tested (what I'm most interested in)
-Fully funded (drilling, further metwork and mining studies)
What I'm really looking forward to
-Drilling into pipes that have consistently shown 2% grades in samples, with enough of these samples taken to be able to do initial metwork, these aren't your standard rock chip sampling and should be a much more reliable indicator of grades beneath.
-Potential of these pipes to support early cashflow via DSO (as stated in the ann). Should these grades be confirmed, it may make sense to truck this ore to any existing processor. I assume that it will be easy to get 2% ore processed with V2O5 prices very high and climbing. IMO this could be achieved within 12 months and help to fund capex for an actual mining operation here with minimal initial outlay and perhaps help with favourable financing terms due to this potential cashflow opportunity.
Today is a major step forward for the company and I think there are plenty of snippets contained within the announcement alluding at what's to come. I'm very excited looking ahead to the next 3-6 months.
TNO Price at posting:
17.0¢ Sentiment: Buy Disclosure: Held
