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SXG - Southern Cross Gold

Sean K

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The reason why it's not so much of a bet is that there was visible gold in that section of the hole that some punters might have missed in the ann. Should be at least two more shoots at depth.

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Sean K

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As above charts indicate, this has normally pulled back after the excitement of those significant drill results, but looks to be holding up for the minute. I was waiting for a pullback to add, but might have missed out.

Might depend on the assays from the bottom of that deep hole. If they prove up more strongly mineralised veins at depth, should hold up ok.

I've had a better look through the entire hole assay numbers and it does need to be analysed carefully. Within the 300m hit there's a lot of low grade stuff between the >100g/t intersections that are surrounded by some higher grades but relatively thin widths. The overall 2.4g/t AuEq is significantly bolstered by those huge grades. The veins are going to have to hang together pretty well along their length to understand the deposit well enough for future mining scenarios.

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Nice commentary on SXG mate! Not sure how I missed this one but fomo got me and bought 300k units at 82c this week. It’ll probably crash and burn now I’m on board so apologies in advance if I jinxed it. I liked the idea of 5 drill rigs with lots of news flow over the next year, and if those deeper holes that are planned end up being higher grade then it will be able to be compared to the neighbours up the road. I’m guessing it’ll hover around 80c for a while until the 28m placement shares are rinsed through.
As above charts indicate, this has normally pulled back after the excitement of those significant drill results, but looks to be holding up for the minute. I was waiting for a pullback to add, but might have missed out.

Might depend on the assays from the bottom of that deep hole. If they prove up more strongly mineralised veins at depth, should hold up ok.

I've had a better look through the entire hole assay numbers and it does need to be analysed carefully. Within the 300m hit there's a lot of low grade stuff between the >100g/t intersections that are surrounded by some higher grades but relatively thin widths. The overall 2.4g/t AuEq is significantly bolstered by those huge grades. The veins are going to have to hang together pretty well along their length to understand the deposit well enough for future mining scenarios.

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Sean K

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Nice commentary on SXG mate! Not sure how I missed this one but fomo got me and bought 300k units at 82c this week. It’ll probably crash and burn now I’m on board so apologies in advance if I jinxed it. I liked the idea of 5 drill rigs with lots of news flow over the next year, and if those deeper holes that are planned end up being higher grade then it will be able to be compared to the neighbours up the road. I’m guessing it’ll hover around 80c for a while until the 28m placement shares are rinsed through.

😲 Cripes Swervin, good luck, hope it keeps going for you. I'm just prepared to add on decent dips at this point. Let's hope the bottom of hole 050 and hole 053, about 75m above it (assays pending), have similar mineralisation. Should know within the next couple of weeks.
 
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Thought it was going through a dollar today but fell on its face badly. Oh well maybe a couple more weeks of CR shares to rinse through yet.
 

Sean K

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Thought it was going through a dollar today but fell on its face badly. Oh well maybe a couple more weeks of CR shares to rinse through yet.

Yeah, I was all ready to call a break up from that pennant but thought it better to wait to EOD. Lucky I did, otherwise more egg on face.. Looks like profit takers taking some off the table above 85c. It has more than tripled in short time.

I think there's some expectations built in to the next drill results which should be out pretty soon. Hopefully they at least show mineralisation continuing at depth. My only reservation is that I'm not sure how they can surprise the market after what they've produced so far.

Pretty amazing this is only 71km up the road from my place. I might drive up on the weekend and have a look.

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Sean K

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Let's hope the bottom of hole 050 and hole 053, about 75m above it (assays pending), have similar mineralisation. Should know within the next couple of weeks.

Bottom of hole 50 is mineralised, but not as well. Still pretty good, making it a 500m + intersection @1.7g/t AUEq. Results still pending for the hole directly above it (I assume directly above, might be offset) to see what that holds. Hopefully they have a couple of follow-up holes planned around hole 50 to confirm which direction these shoots are going and continuity of thickness and grades.

Must remember, the overall grade of this is bolstered by numerous short intersections at extremely high grades. There's a lot of very low grades between them, so it's not just a giant blob of Au & Sb. Still, massive potential in this on the back of what they've already found at shallow open pittable material and now at depth - UG mining.


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Sean K

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Yeah I got out mate didn’t shape up. Am buying into NAG now. Looks a lot better value

Looks like it's going to do exactly what @peter2 suspected and fall back after the news. Looked very promising when it kept going up after the (dumb) low ball CR but like most of these types of things, the excitement wears off and short term punters bail. I'm active investing longer term at the moment as opposed to trading short term in and out, so still holding as I see some longer term potential here.
 

Sean K

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Looks like it's holding up ok above the CR which is positive.

One thing to be a little wary of with the spectacular intersections reported so far are that they are averaging the grade over a decent sized intersection which includes bonanza grades at very short intervals - like 0.03m. These bonanza grades take the overall grade of the intersection up quite a bit, but between the bonanza grades are wide intersections well below 1 g/t.

For eg, the 30 May, 119m @ 3.9 g/t AuEq, including 64m @ 3g/t and 39m @ 6.8 g/t.

But, when you actually look at the entire intersection broken down over it's length and try to find the above intersection, you'd have to be pretty creative to find the 64m and 39m high grade intersections.

The last 300m @ 2.4g/t AuEq is very similar.

I'm sure this will be mineable if the infill shows some good continuity and the high grades continue over decent lengths, but it will pay to look at the detail in future announcements IMO.

Here is the 119m intersection with the higher grade parts highlighted. They are not as wide as reported.

The boxes highlighted are only 28m within a 48m zone.

Anyone closely following this and has a different take on it?

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Selected for the 2023 CY comp.
SXG has been reporting massive drill results. The infills have been a bit spotty but they've got a gold resource worth something. Hoping that 2023 will be a good year for gold after the crypto sector collapsed under it's own hubris in 2022.
SXG is a buy the dip opportunity for me as I don't want to overpay after good drill results are announced.
 

Sean K

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Some good intersections here but not shoot the lights out compared to some of the previous.

Hole 53 is in the lab and could be quite significant as it's above the elephant hole 50. If that gives a similar sort of profile at depth then would confirm 50 wasn't some sort of anomaly.

They need another couple of drill rigs on site to define this system I think. It looks like it has significant potential, but due to its style it's going to take around 200,000m of drilling to know how to mine it. 100,000m for an initial MRE perhaps.

I wish they'd use a different modeller to show us the deposit in their cartoons a little more clearly. It's really hard to tell how these vein sets line up and connect, if they even do.


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