A year ago we were given an unexpected Alluvial progress update via RNS . owing to the wettest of wet seasons for many a year Q1 ,2018 . With the cyclones Idai and Kenneth arriving this wet season it wouldn’t surprise me if like last year we don’t get an update of Q1 alluvial production before mid July .
The RNS a year ago outlined Omnias hard rock collaboration agreement with trenching uncovering concealed extensions to hard rock exposure . Highlighting exploration within the Manica prospect was still in relatively early stages even with fair brides and it’s DFS to back up a case for high grade 2.62g/t open pit gold mining .
A year on , 29th May 2019 : Funding and operational agreement for Manica hard rock gold deposits signed with MMP, in partnership with Omnia . With Xtract Resources to receive between 20% and 23% (dependent on prevailing gold price) of the hard rock after tax operating cash flow .
Ironic how the Market cap of Xtract Resources is so low when on the 16Th January 2019 a new alluvial contract was signed with Sino 2 , greatly increasing throughput tonnage which started February 1st 2019 utilising 2 fully operational plants with a minimum throughput of 200 tonnes per hour on a consistent 24 hours per day basis .
Yep , that’s good news on top of good news over the last 12 months and yet the Market Cap has gone down and down . With cash in the bank , alluvial revenue stream , dorey bars stored at the Manica prospect to even out revenue quarterly updates but hey ho … we’ve had that new agreement announced to double the plant with a commitment to perform 24 x 7 … hence hopefully the next RNS will re-rate Xtract Resources , market cap to a more realistic value . Then there’s the hard rock that will provide consistent revenue streams on an ever increasing bases to factor in as the year progresses … hum … Xtract looking good , very good for the near term , mid term and most importantly long term future .