LGM Discussion

Hey all,
Creating a new thread to discuss my collated findings in anticipation to the biggest announcement to come in LGM so far.

Drake PFS

One of the largest mineral systems in NSW >160km2. It has multiple >100 AuEQ g/t hits spread through with SUNKEN COSTS of already $30M in infrastructure and $50M in previous exploration spent previously before they have bought this project out.

As per the RRS presentation, the most recent 2017 PFS has not accounted for 77% of the size, if this is anything to go by then the PFS set to be released early April is going to have a 4x increase with record gold and silver prices.

This PFS was updated in 2020 and upon some digging the highlights from the White Rock website are;

The 2020 PFS completed by White Rock Resources in 2020, used an A$2300/oz gold price producing initial 35,000 oz/pa with a 5 year life mine.

Gold price spot is at $4959/oz, applying a 20% discount to this (usually PFS do not use spot, for a conservative measure) we get a ~$4000/oz gold price.

What excites me the most like others, is that if the 2020 PFS was this viable, using a A$2300/oz gold price, now that gold has increased by about two fold, the 2025 PFS is going to be a company changer. The 2020 PFS also did not account for the Silver as the PFS was only conducted on gold in a "Stage 1" PFS by White Rock

The 2025 Drake resource update suggests that we have

1. 0.8Moz Gold equivalent
2. 35Moz Silver equivalent



More information include it sitting along the New England Fold Belt with major successful mines near the location of the Drake project. A number of major mines and deposits occur within the NEFB including the Cracow gold mine (2.5Moz Au @ 4.97g/t), Mt Carlton gold mine (1.2Moz Au, 12Moz Ag), Mt Rawdon gold mine (2.5Moz Au), and Mt Morgan (8Moz Au).

What we are currently waiting for at Drake

1. MobileMT geophysical survey which is due in early April. This is supported by K92’s growth from 0.88Moz AuEq to 18Moz AuEq from 2015 to 2024.
2. Six drill holes sent for Assay, previous drilling in 2021 by a previous company that were drilled but never tested (expected end of April)
3. The PFS due next week.