Welcome to the thread.
Please quote the post on which I made the statement "the M1 Pipe in the Klipspringer Project is not as important as what the apparent heirs believe it to be." I am not aware of ever having made such a statement, but I will stand corrected if you could provide the requested reference.
What I believe I have said is that the M1 is a small high grade pipe with limited ore reserves. Its value lies in the ability of SUF to easily access and exploit its open pitable ore quickly and economically. SUF can thus recoup recent expenditures quickly and finance corporate initiatives both here and elsewhere that would take longer using the fissures as the revenue source. The M1 is very valuable, but only for a short time. Regardless, it most certainly would not be "in SUF's interest to dump" such a valuable asset. It is still one of the highest grade, and I believe at $450/tonne+/-, is the highest $/tonne kimberlite pipe ever discovered.
Time and $$ are required to drive the multiple adits a dyke (fissure) deposit demands to achieve the same ore volumes achievable from an open pit. In this case the open pit also has higher grade and value ore, but far lower reserves, and a very small diameter. The ore to waste strip ratio may well become prohibitive after the first 100 - 200 meters depending on the competency of the wall rock. The M1 will be exhausted (as an open pit) fairly quickly and long before the Leopard and Sugarbird fissures have begun to be exploited.
The M1 value can and has already had a preliminary value assigned to it to 100 meters I believe, but as I stated earlier today, the claims in which it sits have not been very extensively explored and other in situ deposits have been suggested by management.
I would be a liar if I suggested to you that I had the slightest idea what potential there was for "Southernera's success in circumventing this quirky law that is postponing the mining on the M1 Pipe?" All I can offer you is this. If there is a legal way CJ can redress this oversight, I am convinced he will doggedly exploit it to the fullest extent possible.
Why? I have been a shareholder in SUF within a month of its first trade on the TSE. Over the years, through their ups and downs both in their initial success in SA, and their mixed success in the NWT, I have followed them closely almost religiously. I have personally met with their management at least once a year over that period, often quite a bit more, and extensively with many of their NWT field staff. In all that time, I have never had the slightest doubt about their commitment to grow this company nor their honesty in their dealings with shareholders. If they have a "market reputation" and I think they do, SUF management are well recognized as consummate professional diamond exploration experts, who have consistently understated their exploration success preferring to let reality and results support and trumpet the reasons for share ownership.
In my humble opinion, you could not find a harder working more dedicated and professional management team in any junior miner or in most seniors.
If I do not miss my guess, CJ is an archetypal workaholic and probably a perfectionist. He has always left me with the distinct impression that he does not suffer fools or error easily. I am certainly aware of what he thinks of all the conversation about SUF on the net both by me and others.
I would wager that he has taken this current legal difficulty personally, and is staying up nights over how this door was left open. I would not be surprised if more than a few lawyers competencies have been discussed and, tongue in cheek, more than a few wax effigies have pins sticking out of them.
In my opinion Chris and Lee are driven to both see SUF develop into a significant player in this industry and to see shareholders rewarded for their support. I have no investment about which I lose less sleep than Southernera and that includes some major blue chips.
If you have been following this thread for awhile, you are aware of my firm belief about where I expect SUF shares to be in five years. They remain a core holding in my RSP, and I continue to accumulate them on weakness. If you would like to sell, I would be pleased to take yours off your hands (at an advantageous price of course).
Regards |
