Chalice Gold Mines

finicky

finicky

Well-Known Member
Silver Stacker
Chalice Gold Mines (CHN)
Bought 25,000 @ 17c and 15c

Caution: An explorer spec.
I like the name, it mentions gold and mines. Actually they don't mine but they have got their projects developed enough in the past to flog them off to miners, give some cash back to shareholders but still keep enough in the bank to almost match their current market capitalisation. Followed a stalwart poster called eshmun into this on the basis of the company's cash in bank, past success and returns to shareholders and some prospective Canadian exploration tenements.

However now, and the reason I just added, the allure is the tenement NW of the Bendigo gold field. Tenement is also West of and adjacent to those of Catalyst Metals (CYL) and check out their chart. There's a mine at Fosterville SE of them both that has the richest head grades in the world, or something like that. There's an idea current that there's more gold North of the Bendigo region goldfield than has ever been mined in the past but its under 50 metres of Murray Basin sediment cover. Now they think they can sniff it out with some chemical testing called bulk leach gold extraction (BLEG) further zeroing in by gravity and electromagnetic mapping - something like that, Catalyst Metals used BLEG when making their finds and Chalice are adept at BLEG using BLEG in their Canadian projects. Anyway my vibo-meter is tremoring.

Looking at the daily I'm liking the rounding low under 15c and the current movement outside my best fit 9 month downtrend line. Worth a punt I thought.

CHN Daily
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CHN weekly chart:
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The gold stocks in my commsec watch-list.
Since 2008 about 50% of the stocks in my watchlist have disappeared / evaporated.
Who is going to fund exploration stocks in these times?
Who can guarantee, their head geologist is not going to get sick?
If you have gold stocks that are actually producing gold (They have a treatment plant) it may be a good idea to buy, especially if you think the AUD vs USD will drop further but that will also depend if the miner has hedged or un hedged his product and the associated metal products (silver copper).
Not saying the above company is not a fabulous buy, just trying to provide a bit of info fwiw.
Older folk playing the market, can't afford to loose their dollars, nor do they have time on their side for several reasons, one being, if they loose a large junk of money, they don't have the work-years left to recoup their loss, young folk do.
A good mate of mine is a Geologist, he said to buy into x-company, I ignored his advice, he purchased at $1.05, it's now 28 cents.
Funding is the ticket for miners, if they don't have "approved" secured funding from their lender I'd tread very, very carefully.
Remember this too, what CEO's, Geologist and Operations manager know, is completely different to what the general public is told.
H
 
Still moving over $1.37 today, on confirmation of last geological interpretation. It's dropped back since. I'll keep holding as these prices are driven by their Nickel-copper project, I'm waiting (or hoping) for the gold price to drive the share price higher.

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I’m learning all the time. I didn’t know that ESG can be linked to Performance Rights.

From Chalice’s announcement today:

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Lol, put an order in to sell 10% of my holdings at $1.80 about an hour ago. CHN has just announced a trading halt.

Of course I canceled my order. :)
 
Nice work @wrcmad.

Edit to add: and a good strategy too actually. If a neighbour reports good drill results then cast your eye around.
 
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Did you read their latest release to the ASX regarding the price action?

They could offer no explanation. Apparently “nearology” isn’t a tool used when a company’s fundamentals are being assessed. :p
 
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