Coffee with Samso Episode 130 is with Andrew Paterson, Managing Director of Great Boulder Resources Ltd (ASX:GBR)
I have been an advocate for mineral exploration for a long time and the recent discovery of Side Well Project continues to confirm my narration.
I have been chasing the Great Boulder story for a long time.
I think I started the chase in 2020 and today I have finally managed to get Andrew Paterson on the show. I would have liked to have gotten the story before the recent discoveries, but that seems to be the Samso luck.
We may have missed out on a few stories but after having this conversation, I think there are still more to be made. When I first looked at Great Boulder Resources, they were a company with a market capitalisation of less than AUD10M. Today as I write this, they are sitting at AUD52M.
As a punter myself, one can see this as a 5 bag investment that has been played out. However, if you look at what the company has (a discovery) and doesn't have (a resource or even the initial information of building a resource), the AUD52M market cap is the premium you would pay for a safer "punt".
As we all know, "investing" in these kinds of companies is a hit and miss at the best of times, but in my opinion, in these extraordinary times in this sector, it is worse.
I cannot stress enough the need to look deep into the technical aspects and the management of the company.
There are so many factors out there currently that could threaten to make the life we now have even more tense and complicated. We don´t have to look further than the situation in Ukraine and the inflationary circumstances of the post pandemic world. Investments of all sorts must be more calculated than before and putting your money into exploration stocks comes with even greater risks.
Great Boulder has some great stories, and the fact that this is a new discovery in a new tectonic setting is very attractive. Patience is key for Great Boulder, and by the looks of things, they have most likely discovered a new mineral camp or province.
Take your time and watch this Coffee with Samso. I encourage viewers to reach out to Andrew and ask him questions. Andrew comes across as a straight shooter and is technically versed to share his thoughts. You will see in the video that he has not once taken the blue sky narrative. Instead, he keeps his expectations at the reality level and at the same time, he opens up thoughts of what could be if things go their way.
Chapters:
00:00 Start
00:20 Introduction
02:22 How is Andrew's mining experience helping his current position in GBR.
05:43 The Side Well Story.
09:42 What was the target that discovered Side Well?
11:34 Is this a new camp or province for gold mineralisation?
15:47 Is the epithermal system creating the higher gold grade?
16:22 Diamond drilling is happening now.
16:39 Is continuation of mineralisation expected?
17:33 The 500m prospective 500m gap.
18:35 Is the geophysics helping exploration?
19:31 Wellington Project.
21:15 The nearology concept.
21:34 Whitehead Project.
22:50 The grades and intercepts at Whitehead is not small.
24:32 Will the prospectivity of Whitehead create an issue for GBR in terms of work required?
25:58 Focusing on what is best for the company is critical.
26:47 Gold market conversation.
29:32 What is the News flow?
32:32 Where is the confidence of drilling results coming from?
35:51 Is your understanding of geophysics and geochemistry driving your drilling confidence?
37:51 What would you say to investors who think the share price uplift is over?
38:59 GBR value should be higher with the potential to come.
40:13 Last words from Andrew.
42:36 Conclusions
PODCAST
About Andrew Paterson
Andrew is a geologist with over 25 years’ experience in mining and exploration in Australia and PNG. After graduating from WASM in 1993, he spent several years in surface and underground gold and nickel mining operations around the WA Goldfields before moving into a management role with Harmony Gold (NYSE:HMY).
Since then, Andrew has managed diverse programs exploring for gold, nickel, iron ore and lithium for companies including Atlas Iron and Focus Minerals (ASX:FML). In 2016 Andrew was part of the management team that recapitalised Kingston Resources, leading to Kingston’s successful acquisition of the 2.8Moz Misima Gold Project in PNG.
About Great Boulder Resources Limited (ASX: GBR)
Great Boulder is a mineral exploration company looking for gold and base metals in Western Australia. With over 1,000km2 of tenements spread across its key projects at Kalgoorlie, Meekatharra and Yamarna the Company is leveraged for exploration success.
Having made two large-scale copper-nickel sulphide discoveries at Yamarna within two years of listing, GBR has a track record of exploration success backed by a strong technical team. Early-stage exploration success on the gold projects in recent months have now set the Company up for an exciting year ahead.
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About Samso
Samso is a renowned resource among the investment community for keen market analysis and insights into the companies and business trends that matter.
Investors seek out Samso for knowledgeable evaluations of current industry developments across a variety of business sectors and considered forecasts of future performances.
With a compelling format of relaxed online video interviews, Samso provides clear answers to questions they may not have the opportunity to ask and lays out the big picture to help them complete their investment research.
And in doing so, Samso also enables companies featured in interviews to build valuable engagement with their investment communities and customers.
Headed by industry veteran Noel Ong and based in Perth, Western Australia, Samso’s Coffee with Samso and Rooster Talk interviews both feature friendly conversations with business figures that give insights into Australian Stock Exchange (ASX) companies, related concepts and industry trends.
Noel Ong is a geologist with nearly 30 years of industry experience and a strong background in capital markets, corporate finance and the mineral resource sector. He was founder and managing director of ASX-listed company Siburan Resources Limited from 2009-2017 and has also been involved in several other ASX listings, providing advice, procuring projects and helping to raise capital.
He brings all this experience and expertise to the Samso interviews, where his engaging conversation style creates a relaxed dialogue, revealing insights that can pique investor interest.
Noel Ong travels across Australia to record the interviews, only requiring a coffee shop environment where they can be set up. The interviews are posted on Samso’s website and podcasts, YouTube and other relevant online environments where they can be shared among investment communities.
Samso also has a track record of developing successful business concepts in the Australasia region and provides bespoke research and counsel to businesses seeking to raise capital and procuring projects for ASX listings.
Disclaimer
The information contained in this article is the writer’s personal opinion and is provided for information only and is not intended to or nor will it create/induce the creation of any binding legal relations. Read full disclaimer.