ALK Updated Community Newletter

http://www.alkane.com.au/wp-content/uploads/2018/03/DP_newsletter_March2018.pdf

Not really much new, still trying to get signed offtakes and finance.
"Project update The Dubbo Project is ready for the first stage of construction (detailed engineering design and early works), but waiting for financing. Customers have not yet committed to the contracts that institutional lenders want to see before funding a project of this kind. The Alkane team is busy negotiating with customers, while educating potential investors about the excellent, long-term value of this special project. Meanwhile, global prices for the Dubbo Project’s products are rising rapidly."

Early work has started to ensure they can progress when the funding finally arrives, "Obley Road upgrade survey The upgrade of the Obley Road is on the early works schedule for project construction. ASM has engaged local contractors to survey the tighter bends along the Obley Road, to help the engineers redesign the road to 110km/hr standard. The speed limit will be 100km/hr, but government guidelines require a 10% safety margin. Dubbo Regional Council must approve the design before the road construction project can be released for tender."

"Obley Road upgrade survey The upgrade of the Obley Road is on the early works schedule for project construction. ASM has engaged local contractors to survey the tighter bends along the Obley Road, to help the engineers redesign the road to 110km/hr standard. The speed limit will be 100km/hr, but government guidelines require a 10% safety margin. Dubbo Regional Council must approve the design before the road construction project can be released for tender"

Still expecting some announcement this month regarding the "ASM continues to work with engineers to review the costing for the processing section of the project using the modularised build philosophy and incorporate the results into an updated financial model. ", this was due to be released in Feb, and is now earmarked for March. Also expect the "... underground mining study to be completed in Q1 2018. "
Drill results are still outstanding for the "... esults are pending for the two diamond core tails that targeted geochemically anomalous stratigraphy that was poorly tested by previous air core and RC drilling. Visual gold was observed in core hole EPD004. The results to date have been very promising."

ALK really knows how to try the patience of its shareholders, but still feel the end result will be worth the wait.

Lots of drilling and exploration going on as listed in the half yearly report, "The company maintained a focussed multi commodity exploration program in the Central West of NSW. In the area to the south of the Tomingley Gold Operation a major air‐core drill program has been completed.  The drilling was predominantly reconnaissance in nature, mapping the geology and geochemistry of the covered bedrock with results still pending.  This program will continue in an adjacent area of largely untested stratigraphy of approximately 2.5km in strike length. The company continues to work with a leaseholder regarding the timing of access to follow up the porphyry/epithermal style gold‐ copper mineralisation identified in the Kaiser‐Boda areas.   Geological mapping and high resolution ground magnetics have been completed to assist with drilling target definition within the Cudal and Rockley projects."

Still regard this as a buy on the huge potential of the DP, and will continue to buy on any serious price weakness.