✅ Trading halt for assay results at Norseman PGE discovery
ASX:GAL Jul 08, 2022
Objective 4 : Cobalt and palladium exploration at Norseman
This morning our long term exploration Investment Galileo Mining (ASX: GAL) went into a trading halt “pending the release of an announcement to the market in relation to material drill assay results from the Company’s Callisto discovery (Assay Results)”.
Today’s trading halt comes two weeks after GAL intercepted more sulphides along strike from its discovery hole at its PGE discovery in WA.
Below is an image of where the upcoming assays are likely to be from.
In a previous GAL note, we mentioned that we are watching for the discovery to continue to the east — the sulphide intercepts were a positive first sign that this could be the case.
We then set some expectations for the assay results as follows:
- Incredible case: 40m at over 3.0 g/tonne
- Bull case: Mineralisation keeps going, grade increasing to 2.5 g/tonne
- Base case: Grade above 1.0 g/tonne, 10m + intersection lengths
- Bear case: Grade below 1.0 g/tonne, intersection lengths reduce
At this stage, we know that the mineralisation continues along strike to the east with every hole so far intercepting greater than 20m of sulphides, with a peak intercept of ~28m.
We now want to see the grades from coming assays be on par or above those from the discovery hole. If we see grades improve off of the discovery hole then the results would be in between our bull case and incredible case expectations.
We think this could be a positive surprise to the market and lead to a move higher in the company’s share price. We are now looking forward to Tuesday when GAL expects to come out of its trading halt.