Trending Hash Tags
Below are the 25 most recent hashtags used.
25 March 2019
Asiamet Updates Beutong Copper-Gold Resource
Asiamet Resources Limited ("Asiamet", "ARS", or the "Company") is pleased to announce an updated Mineral Resource Estimate ("MRE") for the Beutong Copper-Gold Project ("Beutong") located in Nagan Raya Regency,Aceh, Indonesia. Asiamet holds an 80% interest in Beutong through its local operating subsidiary PT Emas Mineral Murni ("EMM"). The Statement of Mineral Resources in Table 1 completed by Hackman & Associates ("Hackman") is reported in accordance with the requirements of the 2012 JORC Code.
· Beutong is a large high-quality copper, gold, silver, molybdenum deposit outcropping at surface and remaining open laterally and at depth.
· Beutong 2019 Mineral Resources (JORC 2012) at a 0.3% Cu cut-off grade (on a 100% basis) comprise:
· 34Mt @ 0.67% Cu, 0.13g/t Au, 1.68g/t Ag and 90ppm Mo in the Measured category
· 56Mt @ 0.58% Cu, 0.12g/t Au, 2.07/t Ag and 104ppm Mo in the Indicated category
· 419Mt @ 0.45% Cu, 0.13g/t Au, 1.14/t Ag and 125ppm Mo in the Inferred category
· Total Resources 509Mt @ 0.48% Cu, 0.13g/t, 1.28g/t Ag and 120ppm Mo
· Contained metal in Resource on a 100% basis comprises 2.43Mt (5.3BIb) copper, 2.11Moz gold and 20.9Moz silver (1.95Mt (4.30Blb) copper, 1.69Moz gold and 16.73Moz silver on an 80% attributable basis)
· The Beutong porphyry and skarn system(s) remains open to the east, west and at depth. The deepest drilling completed to date has intersected porphyry mineralisation to around 800 metres below surface and approximately 200-300 metres below the depth of Resource delineation drilling completed to date.
· Strong copper, gold and molybdenum grades and the presence of highly mineralised chalcopyrite-bornite-magnetite bearing breccia clasts proximal to a large magnetic body modelledat depthbelow current drilling highlight excellentpotential for the discovery of a high grade core similar to that seen in world class porphyry systems such as Wafi Golpu, PNG (Newcrest) and Cascabel,Ecuador(Solgold).
A total of 167 diamond drill holes have been drilled over the life of the project in and around the Beutong deposit. The Resource has been delineated by 113 of these drill holes totalling 33,325 metres, and which form the basis of the Beutong 2019 Resource Estimate in accordance with JORC (2012).
The Beutong project represents a rare advanced development stage copper opportunity given its location close to the coast, proximity to excellent infrastructure and production licence tenure.
The 2018 infill drilling programme has further improved our geological understanding for this deposit and this new MRE confirms the integrity, size and scale of the asset with the significant upside potential that remains to be evaluated. Further drilling campaigns will be directed to growing the deposit well beyond the current Resource envelope, testing the potential for a high grade core at depth, and exploring early stage development options for the project.
The Company also continues to build on the strong working relationships it has nurtured with local communities, stakeholders and the government.
As copper demand driven by industrialisation-urbanisation inAsiaand the rapid take up of EV and Green Energy solutions continues to increase, new supply remains constrained. In a recent report (January 2019), Wood Mackenzie, a leading independent commodity analysis forecasts the copper price to average$3.28/lb in 2019 and$3.85/lb in 2020 from a weighted average of$ 2.96/lb in 2018.
Peter Bird, Asiamet's Chief Executive Officer commented:
"Junior companies with large, well located development stage copper inventories such as Asiamet are rare and extremely well positioned to benefit from widely forecast stronger copper prices. Beutong is a large high-quality copper-gold deposit well served with existing nearby infrastructure on a granted production licence. The 2018 drilling program has improved our geological understanding of the deposit and this updated Mineral Resource Estimate in accordance with JORC 2012 provides strong support for the integrity, size, scale and upside potential of the project. Future drilling campaigns will be directed to expanding the Resource, testing the potential for a high grade core at depth, and exploring early stage development options for the project"
The Beutong project covers 10,000 hectares and is located in Nagan Raya Regency,Aceh, Indonesiain close proximity to existing infrastructure and only 60 kilometres from a large power station and seaport. In January 2018, the Beutong project was granted an Izin Usaha Pertambangan Operasi Produksi "IUP-OP", the production licence required to advance Beutong to the development stage. The IUP-OP provides for an initial 20 years of licence tenure which may be extended twice, each for a period of 10 years, totalling 40 years. The Beutong license is held by PT Emas Mineral Murni ("EMM"), in which Asiamet hold an 80% interest through its Singaporean registered subsidiary Beutong Resources Pte. Limited.
"Asiamet Res Ltd - Updates Beutong Copper-Gold Resource #ARS https://www.voxmarkets.co.uk/rns/announcement/59e67b1d-0432-4ead-8f0c-6f49e774d4ec via @voxmarkets @AsiaMet_Res_ARS"
View attachment 8151
Bacanora Lithium (BCN LN)# We note the update in relation to Zinnwald and Deutsche Lithium (50% owned by Bacanora Lithium (BCN LN)) where an additional exploration license of 42km2 has been granted to the company. The initial license area of just 2.56km2 along with an additional 2.95km2 at Falkenhaim, 5km away, means this is a significant expansion in the project area since this license area surrounds entirely the existing licenses.
Based on the previously defined resource of 757kt contained lithium carbonate equivalent we attributed a value of £38m using a peer based EV/resource metric implying 10p/sh. A feasibility study remains on track for Q2 2019 and exploration of the additional license area could result in an extension of mine life to that defined in the FS. Given the proximity of the licenses and the reported geological similarity given historic workings for tin, tungsten and lithium across both areas there is potential for this to be fulfilled, in our view.
BCN is planning to produce a lithium fluoride product at Zinnwald, which is one of the most valuable lithium products with recent pricing indicated at around US$22,000/t and could be used by the local German chemical industry.
We also note the announcement in relation to recent price volatility and the changes to the share register prompted by investment strategy revisions at Blackrock and Capital Group. With this technical selling now indicated to be complete we expect stronger support for the stock ahead from a trading perspective. However, the fundamentals of the stock remain unchanged with Sonora remaining a highly attractive asset which is deeply undervalued, in our view.
We reiterate our Buy recommendation and 115p/ sh. target price.
21/3/19 VSA Capital posted on #BCN https://www.voxmarkets.co.uk/activity/145576
Russell Lamming, Chief Executive Officer of Keras, commented,"This is an exciting period for the Warrawoona Gold Project inWestern Australiaas it continues to evolve and strengthen. Calidus is hopeful that this latest drill programme, which is testing several of the large, highly prospective anomalies identified in a recently-completed soil sampling programme in the wider Warrawoona region, will expand the current 1.25Moz JORC compliant resource. While there has been little or no exploration here, Calidus' experienced team believe that it is highly prospective for large mineralised orogenic gold systems. In tandem, the pre-feasibility study is well advanced and rapidly progressing.
"On a wider level, we look forward to providing updates on our Nayega Manganese Project in northernTogo, where we recently completed a 10,000-tonne bulk sample fully funded by a major producer of manganese-based alloys. This was to prove up the internal feasibility study previously conducted ahead of commencing commercial production in the near term once relevant approval is granted.
"Keras Resources PLC - Calidus Update #KRS https://www.voxmarkets.co.uk/rns/announcement/dee41465-a91c-456e-9f18-63914cca2a80 via @voxmarkets @kerasplc"
Cora Gold Limited ("Cora Gold", "Cora" or "the Company")
Up to 97% Gold Recovery from Oxide Mineralisation Indicated by Interim Metallurgical Test Results at
Sanankoro Gold Discovery
Cora Gold Limited, the West African focused gold exploration company, is pleased to provide positive interim results from the preliminary metallurgical test work programme for oxide samples taken from the Zone A and Selin prospectsatthe Sanankoro Gold Discovery ("Sanankoro" or "the Project") in the Yanfolila Gold Belt,Southern Mali. The objective of the programme being to establish a preliminary indication of the response of the oxide mineralisation to gold extraction by cyanide leach to test both heap leach and carbon-in-leach ("CIL") methodology and provide guidance on potential future development scenarios.
To view the announcement with illustrative diagrams please use the following link:http://www.rns-pdf.londonstockexchange.com/rns/0564T_1-2019-3-15.pdf
· Excellent gold recovery characteristicswith similar test work response observed across both oxide ore samples
· Preliminary results demonstrate coarse ore gold recoveries of up to 97%, depending on crush size, are achievable through cyanide leach extraction
· Results indicative of potentialfor industry standard process methodology for the extraction of gold
· Results to inform the next stage of the metallurgical test work programmewhich will be focused on providing further information on both the heap leach potential and gravity-CIL process routes
Dr Jonathan Forster, Cora's CEO, commented,"These results indicate the clear potential to be able to use heap leach or CIL as a process methodology in the future and, as such, are highly encouraging. The results have demonstrated that, with minimal crushing of the oxide sample, we can achieve excellent gold recoveries of potentially up to 97% and that an industry standard and cost-effective processing route can be utilised on the oxide mineralisation. Looking ahead, these results will inform the next step in the programme which will further assess the potential for gold recovery from the alternatives of either heap leach or gravity-CIL process routes.
"Upon completion of the full programme, we will have a good indication of the appropriate process methodology and can then begin planning for a more detailed metallurgical programme that will support and progress the Sanankoro project towards potential development scenarios."
The preliminary metallurgical test work programme focused on oxide samples derived from the Zone A and Selin prospects at Sanankoro and was commissioned through Wardell Armstrong International ("WAI") based inTruro, United Kingdom(as per announcement dated 9 January 2019). A total of 80kg of sample was collected from each representative diamond core hole drilled at the Zone A and Selin prospects at Sanankoro in oxide gold mineralisation.
Results have been obtained from the first stage of this programme and have demonstrated that coarse ore gold recoveries ranging from nearly 70% to over 97% can be achieved from crush sizes of -20mm, -12.5mm and -6.5mm respectively. As such, this continues to indicate that an industry standard methodology for processing is possible. In addition, the test work included pulverising a 2kg sub sample for each core hole to -75 micron and using excess cyanide in a bottle roll test which resulted in a gold recovery of 97% for both samples, thereby confirming the underlying benign leach kinetics of the samples, suitable for the CIL process.
These results will now inform the next stage of the preliminary test work programme. This will involve combining both sets of drill samples, and on combination, a +50kg sample will be split for further heap leach testing. This will focus on the -20 mm coarse ore feed utilising percolation, agglomeration and column leach testwork. The programme will take approximately two months to complete, as the process aims to replicate the leach profile of ore stacked on a leach pad. The balance of the sample will be used for a gravity-CIL test programme, involving leach kinetics at different grind sizes and cyanide strength, as well as gravity recovery of gold.
On conclusion of the programme, Cora Gold will be in a position to determine, in conjunction with the recent drill results, announced on 26 February 2019 and 7 March 2019, as to the most appropriate scenario to guide future resource and development studies.
"Cora Gold Limited - Up to 97% Gold Recovery Indicated at Sanankoro #CORA https://www.voxmarkets.co.uk/rns/announcement/8b9a5880-6ed6-4d7e-a119-f84192442b78 via @voxmarkets @cora_gold"
On the Vox Markets Podcast Today: 14th March 2019
Jeremy Martin, Chief Executive Officer of Horizonte Minerals #HZM talks about their positive metallurgical results at their Vermelho project and other areas of the business. (2min - 16min)
Anglo Asian Mining* (AAZ LN) 73p, Mkt Cap £84m – Gedabek confirms extended mine life with brownfield development and further greenfield exploration BUY – Target Price 96p
The Company released detailed JORC compliant resources and reserves reports on Gedabek open pit and Gadir underground operations.
While headline mineral inventory numbers remain unchanged from previous announcements, reports provide information on geology, mineralisation and orientation of orebodies at Gedabek and Gadir as well as planned mining schedules, metallurgical recoveries and operating cost estimates used to arrive at JORC compliant mineral resources and reserves.
At Gedabek (open pit only) mineral resources and reserves currently stand at:
986koz at 0.8g/t gold, 8,172koz at 6.8g/t silver and 63kt at 0.2% copper in total mineral resources in gold domain in addition to 25koz at 0.1g/t gold, 426lkoz at 2.0g/t silver and 33kt at 0.5% copper in total mineral resources in copper domain;
343koz at 0.88g/t gold, 3,457koz at 8.9g/t silver and 36kt at 0.30% copper in mineral reserves.
At Gadir (excluding any mineralisation below the Gedabek back wall) mineral resources and reserves currently stand at:
172koz at 2.29g/t gold, 840koz at 11.14g/t silver, 3.9kt at 0.19% copper and 17.4kt at 0.78% zinc in total mineral resources (more than 3/4s of that is in higher confidence Measured and Indicated category);
70koz at 2.73g/t gold, 304koz at 11.86g/t silver and 1.4kt at 0.17% copper in mineral reserves.
$1,250/oz gold and $6,000/t copper price assumptions have been used in both reports.
On current reserves, Gedabek and Gadir life of mines currently run to 2024 and 2023, respectively, with ample potential to improve on those with mineralisation remaining open both along strike as well down dip.
In particular, exploration at Gedabek open pit continues on flanks of the orebody targeting copper mineralisation while both surface and underground drilling is planned to test deeper extensions of the orebody.
At Gadir, exploration works will be predominantly carried form the underground benefitting from the existing infrastructure of the producing mine with step out drill holes yet to delineate boundaries of the orebody.
“The completion of this work provides a strong understanding of the combined production profile of all operating mines, that gives a mine life until end 2024 from the current reserves… exceptional exploration potential exists at not only the Gedabek Contract Area, but also at the Ordubad and Gosha Contract Areas, which will be evaluated in due course to increase the Group resources with the aim of expanding current mines and constructing new mines,” Stephen Westhead commented on the announcement.
*SP Angel act as Nomad and broker to Anglo Asian Mining
SP Angel posted on #AAZ https://www.voxmarkets.co.uk/activity/145079
14 March 2019
POSITIVE METALLURGICAL TESTWORK RESULTS FOR THE VERMELHO NICKEL COBALT PROJECT
Horizonte Minerals Plc,(AIM: HZM, TSX: HZM) ('Horizonte' or 'the Company') the nickel development company focussed inBrazil, is pleased to announce positive results from metallurgical and smelting test work on the Vermelho nickel cobalt project, located in the southern part of the Carajás mining district inParástate, northernBrazil.
· Tests of Vermelho saprolite samples returned an average ferronickel grade of 31.8% nickel;
· The ferro nickel product was of high quality, being low in trace elements and meeting the commercial requirement of stainless-steel manufacturers;
· The results confirm the suitability of the conventional Rotary Kiln Electric Furnace ("RKEF") for processing Vermelho saprolite ore.
Horizonte CEO Jeremy Martin said, "We are pleased to report the test work has confirmed that it is possible to produce high grade, commercial specification ferronickel from the saprolite and transition ore at Vermelho. These results confirm the suitability of the proposed conventional Rotary Kiln Electric Furnace ("RKEF") process selected for the Company's Araguaia ferronickel project is also suitable for processing Vermelho ore. In parallel the test work at SGS Lakefield on limonite samples from Vermelho to demonstrate itssuitability for production of high purity nickel and cobalt sulphate to supply the EV battery markets is at an advanced stage and we look forward to reporting on the results of this work.
We currently have a prefeasibility underway for the project and the data from this test work and the work being undertaken by SGS Lakefield, will be incorporated into the study with the objective of demonstrating a robust set of economics for the selected process route.
Elsewhere we continue to advance the construction financing on the Araguaia Project. Against a backdrop of global growth in nickel consumption running at around 4 to 5% per year with stainless steel currently accounting for two thirds of demand. Going forwards and coupled with this continued growth in stainless steel, nickel use in battery chemistry is set to increase significantly.This robust demand story for nickel positions Horizonte well,owning 100% of two Tier 1 nickel projects, within trucking distance of each other with the potential to produce 40,000 to 50,000 tonnes per year of nickel.
"Horizonte Minerals - Positive Metallurgical Testwork For Vermelho #HZM https://www.voxmarkets.co.uk/rns/announcement/43c52555-5aab-4a41-b128-283e25a6251c via @voxmarkets @HorizontePLC"
View attachment 8133
Allenby Capital 06/03/19 - CAP-XX Ltd plc (CPX.L, 7.55p, £24.5m) Interims
Medium-term potential remains; short-term cloudy
Interim results from CAP-XX, the leading supercapacitor designer and manufacturer, saw revenue increase 4% to A$1.6m, a 500bps improvement in gross margin following the realisation of previously announced manufacturing initiatives and a 5% reduction in overheads. As a result, adj. loss reduced 29% to A$1.0m. Period end cash was A$4.6m including the proceeds of November’s placing (£1.75m) and an R&D tax rebate of A$1.6m.
The sales pipeline for prismatic and cylindrical can supercapacitors is reported to be at historically high levels and licensing negotiations are ongoing with a number of parties worldwide. H1 included the first licence revenue from TDK that was signed in October 2018. The 3V thin prismatic product family, due for launch later in 2019, opens a potentially huge market as supercapacitors can address many of the shortcomings of Li-ion coin cell batteries.
Although the medium-term outlook is positive, the current uncertain global economic outlook and the likely impact on the timing of projects moving to mass production means we believe it is prudent to reduce our H2 revenue growth assumptions.
This rolls through to lower profit forecasts.
(David Johnson) Allenby Capital posted on #CPX https://www.voxmarkets.co.uk/activity/144203
22 February 2019
KIZILTEPE QUARTERLY OPERATIONAL UPDATE
Ariana Resources plc ("Ariana" or "the Company"), the exploration and development company operating inTurkey, is pleased to announce its operating results for the quarter ended 31 December 2018 for the Kiziltepe Mine ("Kiziltepe" or "the Project"). Kiziltepe is part of the Red Rabbit Joint Venture ("JV") with Proccea Construction Co. and is 50% owned by Ariana through its shareholding in Zenit Madencilik San. ve Tic. A.S. ("Zenit").
· Gross income for the year isUS$37.80 millionfrom production of 27,110 ounces of gold.
· Gross income for the quarter isUS$10.62 millionand at an average realised gold price ofUS$1,238per ounce, against an average revenue per gold ounce ofUS$1,413(due to silver credit).
· Production and sale of 7,517 ounces of gold during the quarter ending 31 December 2018.
· Operating cash costs for the quarter are estimated atUS$349per ounce#.
· Operational mill availability running at 99% and utilisation at 97% during December.
· 49,717 tonnes ore milled during the period ending 31 December 2018 at an average head grade of 5.23 g/t Au.
· Process recoveries of gold remain high at c.92% at the end of the quarter.
Dr. Kerim Sener, Managing Director, commented:
"These final results for Q4 2018 are fully in line with the excellent performance of the Kiziltepe Mine achieved during the prior two quarters. Operating cash cost per ounce remains low, mainly due to the maintenance of significant by-product silver credit and increased grades through the plant during the period.
"As at the end of the quarter, 50% of the JV construction capital loan ofUS$33 millionhas been repaid, with the remaining balance to be repaid largely during 2019. Monthly intercompany loan repayments from the JV to our wholly owned subsidiary, Galata Madencilik San. ve Tic. Ltd., reached approximatelyUS$2.1 millionby the end of 2018."
· Production of ore from the open-pit achieved an average rate of 19,852 tonnes per month over the period, with a peak rate of over 26,840 tonnes achieved in October.
· Gross capital loan repayments by Zenit to Turkiye Finans Katilim Bankasi A.S. have been made on their scheduled basis and have amounted toUS$16.4 millionin aggregate as at the end of December 2018 (c.US$16.6 millionremaining); c.US$3.2 millionwas repaid in Q4 2018.
· Road diversion of the district highway around the open pit is complete and has been in use since December 2018; old road now utilised for access to the mine site.
* All production figures are quoted gross with respect to the JV in this announcement.
#Operating cash costs are inclusive of on-site costs and off-site charges and royalties specific to the project. It also includes adjustments for stockpile balances at the end of each quarter, in addition to an adjustment for by-product silver. They exclude finance costs, taxes and development capital. The definition used to derive the cash costs is essentially the same as that used within the feasibility study. This cash cost was calculated based on unaudited figures obtained from Zenit.
Table 1 Production statistics for the Kiziltepe Mine in Q4 2018 and for the period mid-March 2017 to end-December 2018 (life of mine to date).
View attachment 8058
Summary of Project
The Kiziltepe operation is currently expected to deliver approximately an average of 20,000 oz gold equivalent per annum over eight years of initial mine life, for a total of up to 160,000 oz gold equivalent based on current resources. The operating company, Zenit Madencilik San. ve Tic. A.S. (50:50 JV between Ariana and Proccea) will continue to make repayments against its loan from Turkiye Finans Katilim Bankasi A.S. based on a contractual schedule. Construction capital loan repayments will have been completed by April 2020 and, during this time, excess cash-flow from the operation is being used to make proportional repayments of loans provided by Ariana and Proccea jointly to the JV for exploration and development respectively. After the repayment of all loans, profits from the operation will be shared on a 51:49 basis between Ariana and Proccea respectively.
Commercial production was initiated at Kiziltepe during July 2017 and formal quarterly production reporting commenced. The Company also completed a new resource estimate for the project based on recent drilling and geological interpretation. Detailed technical and economic assessments will be completed on several satellite vein systems which are not currently in the mining plan, in anticipation of these being developed in future years. The Company is currently targeting a minimum ten-year mine life, which will require the addition of a further 40,000 oz gold equivalent in reserves outside of the four main pits (Arzu South, Arzu North, Banu and Derya) that are currently scheduled to be mined. Management is confident that this can be achieved assuming the conversion of existing resources to reserves.
21 February 2019
HORIZONTE MINERALS Q1 2019 SHAREHOLDER UPDATE
Horizonte Minerals Plc, (AIM: HZM, TSX: HZM) ('Horizonte' or the 'Company'), the nickel development company focused inBrazil, is pleased to providethe following update to shareholders from CEO, Jeremy Martin.
· Araguaia ferronickel project ('Araguaia') Feasibility Study ('FS') completed in Q4 2018 delivering robust economics;
· Further upside potential with Stage 2 expansion at Araguaia doubling annual nickel production;
· Construction Licence recently grantedby the Brazilian Pará State Environmental Agency ('SEMAS');
· Advancing project financing options for Araguaia;
· Vermelho nickel cobalt project ('Vermelho') Pre-Feasibility Study ('PFS') underway;
· Nickel showing positive fundamentals with midterm consensus pricing ofUS$16,792/tonne ('t')Ni for 2022; and
· Brazileconomy set for growth in 2019 and 2020 with GDP set to increase 2.4% and 2.3% respectively.
Jeremy Martin, Chief Executive of Horizonte, commented:
"The Company made further significant progress in the December quarter as we work towards developing the Araguaia ferronickel project and move towards becoming a nickel producer. A major milestone was the release of the FS demonstrating robust economics on the single line RKEF process plant which also includes the option to double annual nickel production through the Stage 2 expansion. The Stage 2 expansion case returned an estimated post-tax Net Present Value('NPV') ofUS$741 millionand Internal Rate of Return ('IRR') of 23.8% using the FS base case nickel price forecast ofUS$14,000/t. In January 2019, following completion of the FS, the Company was awarded the Construction Licence for the project, which subject to funding, allows development to commence on the RKEF process plant and associated infrastructure. It is important to note that Araguaia does not produce tailings and does not have a tailings dam so is not affected by the recent ban on new upstream tailings dams inBrazil.
"Work recently commenced on thePFS for our Vermelho nickel cobalt project. Snowden Mining Industry Consultants have been contracted to produce the mining schedules and act as overall study manager, in addition the Simulus Group based inPerthwill provide detailed design information and costings for the Vermelho process flow sheet and together with our local Brazilian engineering partners, will deliver associated infrastructure to the project. In parallel we have our teams working on the environmental and social permitting, and new terms of reference have been submitted to SEMAS, the Brazilian Pará State Environmental Agency to advance Vermelho's Environmental Impact Assessment.
"Horizonte holds two Tier 1 assets in terms of size and grade; the development-ready Araguaia ferronickel project and the Vermelho nickel-cobalt project. Our portfolio is therefore well placed at a time when demand in stainless steel and electric vehicle markets is increasing and outstripping new nickel supply coming online.
"2019 is set to be an exciting year for the Company with multiple value drivers for shareholders all set against a positive back drop of the broader nickel market and growing Brazilian economy."
Having fallen from 470,000 tonnes to approximately 200,000 tonnes at present, nickel inventories on the LME have continued to drop and are now at their lowest levels in five years. Significant new supply is required for the stainless-steel market which is growing at around 5% year on year, with further additional new demand driven from the Electric Vehicle ('EV') battery sector. Whilst the physical number of EVs on the roads throughout the world remains relatively low at 3 million cars today, forecasts for the acceleration of adoptions of EV's vary from 20 to 40 million cars on the roads by 2030, representing an estimated approximate 10-fold increase.
At present it is difficult to see where significant new supply to meet this demand is going to materialize from.
A recent market assessment by Bloomberg New Energy Finance ('NEF') points to nickel supply tightness creating growing anxiety as battery metal consumers look to draw greater volumes of nickel from inventory to satisfy demand; "Nickel is now the metal creating the most concern in the battery manufacturing community", added NEF analyst, James Frith.
Cathode market leader Umicore SA also notes that supply constraints could push nickel prices up to as much asUS$20,000-US$25,000/t.
Glencore have forecast that growth in nickel demand would need to fall to -1% for the nickel market to eliminate the current structural deficit which is leading to the draw down in nickel stocks on an ongoing basis.
As we write this, nickel prices remain aroundUS$12,500/t. But the continued draw down of global Nickel inventory points to a stronger nickel price environment over the mid-term.
Nickel is a favourite commodity pick amongst multiple banks/analysts for 2019 and 2020 with all of the large banks predicting notable price increases by 2021, including:
· UBS:US$16,500/t in 2021
· Morgan Stanley:US$16,500/t in 2021
· Scotiabank: US$17,600/t in 2021
· Macquarie: US$17,000/t in 2021
Araguaia Ferronickel Project (Araguaia)
In October of 2018, we released the FS for Araguaia. The base case of the FS uses a flat price ofUS$14,000/t nickel. The initial 28-year mine life generates free cash flow after taxation ofUS$1.6 billionwith sufficient Mineral Resources beyond the initial 28 year mine life. The financial model indicates an estimated post tax- NPV ofUS$401 millionand IRR of 20.1%. At operational levels, Araguaia is expected to produce an average of 14,500t of nickel contained within approximately 52,000t ferronickel per annum, utilising proven RKEF technology currently used at over 40 mines around the world. Using a consensus price of nickel ofUS$16,800/t, the post tax NPV increases from IUS$401 million up toUS$740 millionand the IRR from 20.1% up to 28.1%. Another attractive key metric of the project is the C1 cash cost, which, atUS$8,193/t Ni, places Araguaia in the lowest quartile for nickel-laterite projects globally, highlighting Araguaia's robust and competitive operating costs.
The FS for Araguaia was designed to allow for a second production line. In December last year we filed the 43-101 report for Araguaia including the FS results and the potential upside which could be realised from doubling production by adding a second line. At 29,000/t per annum production of nickel, the expanded project would become globally significant production unit. Applying the FS base case nickel price ofUS$14,000/t, the Stage-2 expansion demonstrates a step-change in the economics of Araguaia: increasing cash flows after taxation fromUS$1.6 billiontoUS$2.6 billion; and NPV fromUS$401 millionup toUS$741 million. The expansion would require no additional upfront capital as the second line would be funded through reinvestment of free cash flows generated from the existing operation.
Araguaia is well positioned as one of only a few construction ready nickel projects in the world. With the average time from initial discovery to first production approximately 8 to 10 years for most mining operations, Araguaia represents a unique opportunity to capitalise on the fundamentals of the nickel market as highlighted above.
The next step to move Araguaia into the construction phase is a project finance package. We appointed Endeavour Financial as our financial advisors, focusing on the debt and offtake development package for Araguaia. Endeavour Financial is a well-regarded firm with a strong track record of success in the mining industry, specialising in arranging multisource financing for single asset development companies, an example being the recently closedUS$750 millionfinancing package for Lundin Gold's Fruta del Norte project inEcuador.
Vermelho Nickel Cobalt Project (Vermelho)
The Vermelho project was acquired by Horizonte from Vale in early 2018, located in the southern part of the Carajás mining district approximately 140km from Araguaia North. Vale completed a full Feasibility Study on the project and it was scheduled for construction in 2006. Following the acquisition Horizonte released a 43-101 compliant Mineral Resource estimate, in the Measured and Indicated category, the project contains 167.8 million tonnes grading 1.01% nickel and 0.06% cobalt (at 0.9% nickel equivalent cut off), estimated to contain 1.68 million tonnes (3,700 million lbs) of nickel and 94,000 tonnes (207 million lbs) of cobalt. The Mineral Resource Estimate places the Vermelho project as one of the largest, highest grade undeveloped laterite nickel - cobalt resources globally.
One of the key factors behind the acquisition of this quality resource was its location and close proximity to Araguaia. The combined resource base is high-grade, scalable and gives flexibility to have two potential operating centres, one at Araguaia as shown in the recent FS and one at Vermelho. Horizonte now has the potential to develop an annual nickel production of 40,000 to 50,000 tpa nickel per year from Araguaia and Vermelho within this 100% owned, consolidated nickel district.
There are several phases of work currently underway at Vermelho, the first is to demonstrate upgrading the mixed hydroxide product (MHP) to nickel and cobalt sulphate suitable for use in the evolving EV battery market. The second phase will utilise the high grade saprolite material to produce ferronickel via the same RKEF flow sheet as developed at Araguaia. This work will then feed into a PFS to demonstrate the economic viability of Vermelho on a lower throughput capacity and capital cost than the operation that Vale had planned to develop. Additionally, work on the ground has commenced with updated environmental and social base line data collection as part of the permitting process.
We have always championedBrazilas a stable, established jurisdiction for operations. In particular theParástate is pro mining with the Carajás mining district hosting a number of world class mines, combined with prospective geology and well-developed infrastructure, all key factors to allow the low-cost development of new projects. The Company has received positive government and community support for Araguaia, culminating in the recent award of the Construction Licence. Another new positive development is the up lift in the Brazilian economy. Brazilhas tightened control over inflation rates, which have decreased from 8.8% in 2016 to 3.6% in 2018. The Country has also taken a series of measures aimed to improve fiscal responsibility, reduced government spending and increased direct foreign investment.
In 2018,Brazilheld a presidential election in which the front-runner and now president, Mr. Jair Bolsonaro, had committed to "open the economy" to foreign investors, adopting a pro-business agenda and taking steps to improve investor confidence inBrazil. Within this scenario, consumer confidence is at its highest level since 2014 prompting Forbes to say that "Brazilis the best stock exchange to invest in right now" (8th January 2019) and the Bovespa Stock exchange hit its highest point since inception in February 2019.
Following the tragic accident on Friday 25th January at Vale's Feijão iron ore mine at Brumadinho,Minas Gerais, the Horizonte team inBrazilandUKsend our sincere condolences to those affected by the event.
It is important to highlight that Araguaia, located approximately 1,800 kilometres north from Vale's Feijão iron ore mine, does not produce tailings and has no waste dams on the site. Araguaia, in line with many other global ferronickel operations, plans to produce slag in dry granulated pellets which will be stockpiled and potentially used in road fill as a binder in or turned into other building products such as blocks or cladding sheet material.
View attachment 8050
Hybridan posted on #VAST https://www.voxmarkets.co.uk/activity/141698
N.B. MIS-POST ON VOX - NOT VAST UK
On The Vox Markets Podcast Today: 15th February 2019
Andrew Prelea, Chief Executive Officer of Vast Resources #VAST discusses their operational and financial progress across their many assets.
Russ Mould, Investment Director at stockbroker AJ Bell talks about what to think about when looking for income, specifically dividends and the following companies: Zotefoams #ZTF GB Group #GBG
(Interview starts at 11 minutes 38 seconds)
@bigdishIR (LON #DISH) Newly Appointed CEO, Sanj Naha Interview.
Mr Naha has significant experience in restaurant and hospitality technology platforms in #UK and #Europe held senior positions at companies such as #TripAdvisor #Bookatable
https://www.share-talk.com/bigdish-...&utm_medium=social&utm_campaign=SocialWarfare … via @share_talk
#DISH (Big Dish) is starting to attract attention. It's still below the IPO price of 4.5p, but some influential Twitter posters have invested recently. Current sp is 2.27p, with @TopTradersADVFN suggesting to his 5,900 followers that he thinks it's worth 70p!
It's launched a disruptive yield-management restaurant app, which is being trialled in several cities in the UK, before a full nationwide roll out.
View attachment 8003
Aidan Bishop, Chairman and co-founder, is doing a series of interviews and investor lunches.
More details on the website. https://www.bigdishplc.com/
28 January 2019
EUROPEAN METALS HOLDINGS LIMITED
DRILL PROGRAMME UPDATE
European Metals Holdings Limited ("European Metals" or "the Company") is pleased toannounce initial results from its current eight core-hole resource drilling programme at the Cinovec Project as detailed. The current programme of work was announced by the Company 5 November 2018 (Resource Drilling Commenced - Geotechnical Studies Continue). Drilling of five of the eight holes has been completed. Drilling activities have been suspended and will resume after the end of the snow season. Analytical results for four of the drill holes from the Cinovec South deposit are reported.
· Resource drill holes CIS-10, CIS-11, CIS-12 and CIS-13 have been completed including analytical reports.
· Resource drill hole CIS-14 has been drilled with analytical results pending.
o Hole CIS-11 returned 129.3m averaging 0.51% Li2O, incl. 2m @ 0.93% Li2O, 2m @0.93% Li2O; 5m @ 0.56% Sn and 0.11% W, 5m @ 0.21% Sn, and 7m @ 0.11% Sn.
o Hole CIS-13 returned 108m averaging 0.45% Li2O and 0.11% Sn, incl. 4m @ 0.99% Li2O; 6m @ 0.29% Sn, 5m @ 0.34% Sn, 3m @ 0.77% Sn and 0.12% W, and 2m @ 1.03% Sn, incl. 1m @ 1.92% Sn.
o Hole CIS-10 returned 89m averaging 0.47% Li2O, incl. 6m @ 1.02% Li2O and 6m @ 0.91% Li2O; 5m @ 0.26% Sn, 5m @ 0.14% Sn, and 7m @ 0.077% W.
o Hole CIS-12 returned 93m averaging 0.48% Li2O, incl. 2m @ 1.32% Li2O, 2.4m @ 1.17% Li2O and 3m @ 1.08% Li2O; 8m @ 0.83% Li2O and 0.18% Sn, 4m @ 0.13% Sn, and 5m @ 0.16% W.
European Metals Managing Director Keith Coughlan commented "We are very pleased to present these results. The current drill programme has been planned to define blocks of resource for the first 2 years of mining within the Cinovec-South area, with a goal to convert the resource from indicated to measured category to allow the delineation of initial proven reserves for the deposit. The results confirm our confidence in the robustness of the ore body and we are particularly encouraged by the higher than expected tin grades in hole CIS-13.
These holes form part of the feasibility study that is now underway. The study includes the production of lithium hydroxide from bench scale work that is in process and due for completion next month. At that point the Company expects to be able to release the updated PFS results."
Mineralized Intercepts and Lithology
Holes CIS-10, 11, 12 and 13 were allcollared in rhyolite. Rhyolite / granite contact was achieved at a depth of 211.7m in CIS-10, 182.7m in CIS-11, 190.9m in CIS-12 and 192.6m in CIS-13. Below the contact variably altered Li-granite was intersected, whilst the dominant alteration style is medium to intensive greisenisation with several greisen zones observed.
Mineralization starts immediately below the rhyolite/granite contact with several minor Li and Sn intervals. The major mineralised intercepts are 89m @ 0.47% Li2O (CIS-10), 129.3m @ 0.51% Li2O (CIS-11), 93m @ 0.48% Li2O (CIS-12) and 108m @ 0.45% Li2O (CIS-13). The intervals were calculated at a 0.2% Li2O cut-off, with a maximum internal waste of 4m.
The upper portion of the altered granite is also characterized by elevated Sn values. If no Sn cut-off is considered, the Sn interval is 72.3m @ 0.082% Sn in CIS-10, 95m @ 0.090% Sn in CIS-11, 89.7m @ 0.069% Sn in CIS-12 and 84m @ 0.136% Sn. Below these intervals the Sn grades decrease. Nevertheless, another 7m thick interval with higher W and elevated Sn grades was intersected in a deeper part of hole CIS-10 (see more details in 2 and 3).
Total drilled depth of hole CIS-10 was 340m, hole CIS-11 was ended at 329.3m, hole CIS-12 at 325m and hole CIS-13 at 315m. All holes have been terminated in Li ore and not in the underlaying low-mica granite which is considered to be the footwall of the Li-granite.
The drill hole results are very similar to predictions from the current geological model demonstrating the quality and robustness of the company's geological and resource model. Lithological intervals, incl. rhyolite / granite contact and zones of alteration, were intersected where predicted with a high level of accuracy. Also, the Li, Sn and W grades measured correspond to the block model.
Table1: Completed and planned drill hole data
"European Metals Hldg - Drill Programme Update #EMH https://www.voxmarkets.co.uk/rns/announcement/a665615a-4a2a-4626-a5c2-5cc7222caedf via @voxmarkets @CzechLithium"