LLO Successfully Acquires Geodrill’s Asset for Its Tuvatu Gold Project in Fiji

  • Jan 17, 2019 AEDT
  • Team Kalkine
LLO Successfully Acquires Geodrill’s Asset for Its Tuvatu Gold Project in Fiji

On 15 January 2019, Lion One Metals Limited (ASX: LLO), a gold exploration company, announced that it was successful in purchasing the assets of the Geodrill which is a Nadi-based drilling company to provide services to its 100% owned Tuvatu Gold Project located on the island of Viti Levu in the Fiji Islands. 

The asset package of Geodrill is powerful equipment capable of drilling 800 meters in HQ sized drill core, i.e. drilling size will be of 63.5 mm in diameter. The asset package of Geodrill includes one surface diamond drill rig. It also includes mining equipment and using these equipment’s, and the company did the exploration for 28,000 meters. In 5 years, these resources were also used in the resource definition diamond drilling. There were other PQ sized geotechnical drill holes that were drilled using this mining equipment for the tailing’s storage facility and also for the underground development of the new portal location.

As per Stephen Mann, who is the Managing director of LLO stated that through the acquisition of these assets, the company also hired experienced local drilling team who is responsible for ensuring that the Company has readily available, cost-effective drilling capabilities whenever it is needed in future. He also said that the company would now be able to access essential equipment for its future exploration.

Since LLO got listed on ASX, the performance of the company was -15.56%. In 5 years, the performance of the company was 52%. However, its last one-year performance is -30.28%.

As per the annual report of LLO by the end of its FY2018 on 30 June 2018, the company made a loss of $2,249,517. The balance sheet reflects a strong net asset base of $ 73,582,583 and a debt-equity ratio of 0.0056 which indicates that the company has sufficient funds to meet long-term obligations. The low-debt equity ratio shows that the company used its resources during the period. However, there is a year on year increase in the accumulated losses which a big reason to worry as it highlights a weak operating performance of the company and can also have a negative impact on the shareholders as their wealth is getting eroded on year on year basis.

By the end of the period, there is a decrease in the net cash and cash equivalent as a result of increased cash flows through investing activities. By the end of FY2018, the net cash and cash equivalent status were $19,574,527.

The share traded last on 3 January 2019 with the closing price of A$0.380 with the stock holding a market capitalization of A$38.96 million.


Disclaimer

This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.

 

All pictures are copyright to their respective owner(s).Kalkinemedia.com does not claim ownership of any of the pictures displayed on this website unless stated otherwise. Some of the images used on this website are taken from the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image.

 

There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.

Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.

As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.

CLICK HERE FOR YOUR FREE REPORT!
   
x
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK