Landore Resources ⛏ 💰 (LND) - Share Chat

There is also a proactive 1 to 1 will Bill next week for anyone that is interested.

Apparently, the company has said they expect to release the next batch of results ahead to this event. So I guess anytime from now until next Thursday.

1 Like

Extended Q&A with Landore board. Please tell me if there is a mining company listed on AIM which has a greater disconnect between assets, relative to market cap because i cannot find it.

Short summary

  • Makes it crystal clear that there is NO need for any further fund raises for another exploration drilling campaign later this year. And there is no need to ask major shareholders to convert warrants.

  • Will be looking at a two pronged attack on the battery metals and gold come October time

  • The battery metals are worth as much as the gold

  • Aware of the v. undervalued nature of the company and may consider director buys on open market

  • Marketing campaign imminent

  • Lots of people interested in the company (you could tell they were not trying to say to much here, very interesting_

  • Although would not sell on the cheap, which includes the current values!

  • Also confirmed what we suspected - large buys past few days.

I also think we can also expect a TR-1 imminently looking at the monster trades the past few days, we have a large seller equally matched by a large buyer.

1 Like

Just finished watching myself. Nice summary, that along with the notes you posted a few weeks ago, really does make a compelling investment case.

Grabbed a few more shares this morning, and as Bill concluded at the end, I think we will see dramatic increases in the next 12 months. I have almost certainly allocated an irresponsible part of my portfolio here, but this, in my opinion, is the opportunity to bet big when you think you have the best of it. Shouldn’t be too long now until we find out if we are right!

2 Likes

More great results announced.

A shame the updated MRE looks to be pushed back into Q4 this year, but should hopefully be close to doubling the oz of gold compared to the previous MRE (1moz).

1 Like

And again…excellent

17.45 m at 4.13 g/t
5.98 m at 9.8 g/t
1.02 m at 47.2 g/t

These are really impressive because they indicate that in addition to the typical BAM grade there are also high grade shoots.

I know it is a down period for many gold miners, but it truly is remarkable that this has got down to a £23 million market cap. This is a similar value to companies such as ECR - who literally have no resource and no significant drilling results. Landore is virtually a proven multi-million oz resource and i suspect the MRE will reflect that in a few weeks time.

2 Likes

This is now my second biggest holding and am hopeful for this to be swooped on by a major in the coming months.
Very bullish but again, PM market sentiment is doing LND no favours right now.

1 Like

Just what is the downside risk from here now really? Opportunity cost? I see basically zero downside and anywhere up to 10x upside.
Considering making my large position even larger.

Rumours starting to circulate on Twitter now of parties being interested in acquiring Landore…
1moz of gold with an updated MRE expected in the coming weeks which is expected to push it closer to 1.5/2moz.
Any buy out of LND for this resource will be at £1 a share minimum IMO (average gold in ground value of acquisitions is approx $90 per oz x 1.5moz).

2 Likes

Final top-ups done, huge overweight position now! Bring on the MRE.

1 Like

Can’t believe how little attention little Landore gets from the rainbow chasers!
I’ll be topping up Monday hopefully sub 23p with an interview promised to be happening soon and an MRE just weeks away.
Real shame Investment Journey doesn’t seem to be very active these days as his YT video on LND was great last year and gave a great overview of the company (something that LND itself is pretty bad at doing).

2 Likes

Up 20% today. The reason for the decline for weeks now has been two large sellers (over 10% of the company). Seller finished today hence the uplift (see TR-1). Its now significantly undervalued and is going to bounce quite violently.

30p - the last placing price will come very quickly

Then I suspect because of the MRE being due in November and the possibility of a takeover I suspect it will be challenging 52 week highs at 42p soon.

Bottom line here is assets are exceptional, but its market cap is only £25 million. This is a similar value to companies who have carried out no drilling and or have no resource.

Value normally wins out … and fair value for LND is £100 million + IMO

This can be calculated by looking at the average takeover price for N.american gold assets per oz of $90/oz … Then add in the battery metals …

It has the largest disconnect between relative assets value and market cap of any mining company listed on the AIM.

1 Like

Great day, great summary AM!

Just to make clear, the selling wasn’t Landore specific, distressed seller needing cash & new fund managers selling old positions.

Expecting a swift move now, heading firmly upwards as we await a knockout MRE, followed by a quick sale and off we drive into the sunset.

Exciting times here, and well deserved after a fair bit of recent pain!

1 Like

Recent sale of a near identical asset to BAM Gold for £100 million - as it stands at the moment. Of course the BAM resource will increase at the MRE in a few weeks.

2 Likes

BH stated that after the MRE he is going to open BAM up for bidders, its obvious where this is going

2 Likes

Only a matter of time before this company gets bought out.
Officially up for sale with a gold resource of 1.5moz.
Similar sized deals have seen resources of 1moz being sold for $100m…

Many don’t realise that LND also have a nickel deposit worth almost as much as the gold.

Given the fact this company is valued at £25m and is now officially up for sale, this could fetch at least £120m for the entire company (which would be incredible value for the acquirer with a gold and nickel deposit) and would see a fully diluted share price of over £1…

It could be a great summer if we see a couple of offers come in… :sunglasses:

1 Like

Any more rumours afoot with this one @MrChew - it’s on my watch list and I have some “play money” free …

They’re currently undertaking a “strategic review” of the business which they expect to complete by the end of September.

They’ve mentioned multiple parties performing due diligence (and should have access to their data room) and they will invite these parties to the next stage of the process with the aim to ultimately be the partial/full sale of the company/company assets.

They’re currently drilling at two prospective sites next door to their current 1.5moz gold resource with the aim to show potential for a much bigger resource for any prospective buyer to benefit from in the longer term (also to show that they’ll continue to add value to the project and not just sit around waiting for an offer).

Most July warrants expired (@20p) but enough were taken up that the company is fully funded for drilling and BAU until the end of the year.

I think the share price reflects a worry about a potential placing in the future, BUT that won’t be needed if a company swoops in to buy them.

Ultimately, Landore are becoming incredibly cheap based on the market value of their gold resource as well as their nickel resource too. If a buyer were to come in they’d expect to pay at least £100m for the lot (LND mcap is currently £21m), however, no buyer means they’re just another exploration company who will continue to dilute to keep the lights on (albeit with respectable assets in a Tier 1 jurisdiction).

The CEO just exercised his options at 16p for £50ks worth which looks to be a bullish signal.
Coupled with the fact he’s in his early 80s, you’d hope that he’s looking to cash in on his 5% holding in Landore and enjoy retirement.

Personally, I’ve got a decent chunk in each of my ISA and SIPP and added a few more at sub-20p, but I’m happy to see what comes out of the strategic review before doing anything else.
Any placing would be at a discount to the current share price and may require warrants to make it attractive (further diluting current shareholders) but the upside is pretty incredible here… if they can sell it!

Hi @MrChew dint suppose you’ve heard anything on your wandering through the internet have you?

They recently announced the sale of half of their NSR of a lithium project for $2m Canadian.
This was a non core asset and should give them sufficient funds well in to 2023 (if not the whole year) providing the sale is finalised.

They mention news soon in the tweet below - I expect they’ll announce whether there’s been any interest in the company’s assets (gold deposit and/or nickel deposit).
This could either rerate the company if promising EOIs have been submitted, or it could end up being a longer hold if they need to drill up a larger deposit to generate more interest from prospective parties.
I expect they’ll soon be announcing assay results from their Felix drilling programme which ran through the summer - promising results from this could demonstrate high potential for a larger mineralisation footprint around the existing deposit. This could be key for prospective parties looking for additional upside when buying the asset and hopefully results in a healthy premium for Landore.

Looking forward to news - market seems to have priced in failure at this point, hopefully it will be proved wrong.