The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
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Started: goneawol, 1 May 2024 07:11
Last post: goneawol, 1 May 2024 07:11
Started: TurkeyGuzzler, 8 Feb 2024 09:59
Last post: Boogles, 1 May 2024 07:06
Good to see ongoing exploration. What this desperately needs is an initial resource definition. Fingers crossed sometime this year.
White Energy's quarterly activities report -
https://hotcopper.com.au/threads/ann-quarterly-activities-report-and-appendix-5b.7977663/
'...During September 2023, ionic sampling surveys were undertaken over the
tenement areas. Follow up work in early December 2023, included additional ionic sampling and rock
chip sampling. Field observations confirmed a large and complex mineral system with a number of
outcropping zones of what appear to be strong copper mineralisation of an IOCG-style.
Helicopter magnetic surveys are scheduled for late April 2024, covering the most highly prospective
areas of the project. Additional ionic sampling will be undertaken to close off a number of anomalous
areas. Completion of this work is expected to identify and confirm drill targets for a drilling campaign
during 2024'
Https://666e6ee8-31af-4e4f-9a0d-6a192f414444.usrfiles.com/ugd/666e6e_3213d104899440acba44450b4c013615.pdf
Mr. Brett Boynton, Managing Director – Tectonic Gold Plc
“We are very pleased to be partnering with the exceptional team at White Energy. They share
Tectonic’s deep tech approach and are the perfect partner to take our Specimen Hill
discoveries into resource definition.
The royalty enables our shareholders to retain meaningful the long term upside in the
discoveries Tectonic has made at Specimen Hill while White Energy steps in to take over
operations and assume ongoing financial responsibility.
It has been a long journey since we first acquired the initial ground at Specimen Hill and this
is a good result and proof our original exploration thesis had merit. We still hold the Mt Cassidy
project area to the north of Specimen Hill which the Queensland Government has waived
license fees on so we have time to consider development options.
I would like to congratulate the team for taking this project from concept to discovery and
successful transaction. They are now freed up to focus on other opportunities which we have
been working up over the last six months and look forward to sharing in due course.”
Finally life in the old dog! Baby steps but something to build on
Started: piotrmanczak, 22 Apr 2024 15:03
Last post: GBCol, 29 Apr 2024 14:04
Yes I listened to it. As I’ve got a significant holding in Kazera (as well as the Tectonic interest) it’s disappointing that Brett thinks there is plenty of work still to do in order to get the permit. On the flip side, he acknowledges that there is a lot of potential upside once they get that and get moving, particularly when they get onto the much larger “exploration area”. That will be good for both companies. I’m hoping he is being pessimistic on the licence as Kazera have said target is to get it by end of April (which admittedly looks unlikely at this point).
Hi GBCol,
I take it you have listened to the recording from the Investors meeting, If so what did you make of Brett's response to the Kazera question.
Should be a bit of an update on Specimen Hill next week, probably on Monday. I believe White Energy are keen to start getting a shift on there now and make progress in the shortest possible time. Hopefully if that happens it will at least enable the SP to hold on to recent gains, although might not be enough to push it much higher at this point.
Well apparently there was an investor call earlier this week, so that may have stoked some interest. Think broker VSA have been active behind the scenes. Also could be delayed reaction to the recent results - SP should not have fallen as far as it did IMO.
Kazera SP also well up recently, so could be something moving on the licence there.
Does anyone know what is behind this price spike?
Started: kingkong_999, 12 Apr 2024 20:04
Last post: piotrmanczak, 22 Apr 2024 15:05
Have they stopped twitter updates?
I have some left from old Stratmin days. Sat in my account to remind me of what not to do. A lesson learned and all that, but with hope (false) that one day maybe. Either way its a win, got to be positive!
Is this the worse share ever ? 10 for a penny ? 5 years I have been sat in this with endless empty promises from the board , fact is this share is going no where . This to me is a total loss .
Started: janalan, 19 Apr 2024 08:07
Last post: fiat, 22 Apr 2024 11:52
A criminally underpriced share in my opinion, the only problem is basically noone is actually selling at this price.
New gold rush is going to push up small caps again soon.
Come on guys - get in quick. Now you can only get 3 shares for a penny! and the spread has dropped to only 100%!! Got to be the bargain of the century!! Soon they'll be MORE expensive than matches!! This time next year Rodney!!
Any smokers/ ex smokers out there? - Remember Ship matches? A box of Ship matches will now cost you about 20p and you'll get about 40 matches in a box - so you get 2 matches for a penny. For that same penny you can get 5 Tectonic shares - Who said "Cheap as Chips". These are cheaper than matches. Must be a bargain!!
MANAGING DIRECTOR’S STATEMENT
Dear Shareholder,
During the half year to December 2023, the Company worked closely with interested parties to secure a farm-out agreement on the Specimen Hill project tenements and the team also spent significant time on research and in-country evaluation of opportunities in the Ashanti goldfields in Ghana.
We completed a farm-out agreement, as previously announced, with ASX listed White Energy Pty Ltd. White Energy is the development vehicle of a very successful resources investment and development team in Australia. They have taken over the Specimen Hill project area with a focus on the copper mineralisation rediscovered by Tectonic over the last 5 years. White Energy is investing in the transition to renewables and the looming shortage of copper to enable the move to a lower carbon economy with electric vehicles.
The terms of the farm-out agreement provide for a staged acquisition of the project by White Energy, a $2 million payment to Tectonic and Tectonic holding a 3% royalty on any future mineral sales from the project area.
Our investment alongside London listed Kazera Global Investments Plc (“Kazera”) (LSE:KZG) in the Heavy Mineral Sands and Diamond projects in South Africa waiting on approval from the South African National Nuclear Regulator ("NNR") for final permitting. Kazera has advised that the decision is expected by the end of April 2024 with operations to commence immediately thereafter.
Independent studies conducted for Kazera valued this project at £150 million. Tectonic holds a non-diluting 10% interest in the project and a further 30% economic interest via a sale and loan agreement with a Black Economic Empowerment (BEE) consortium to bring them in as partners on the project.
Tectonic is in ongoing discussions with gold mining project owners in Ghana. We have identified an attractive acquisition target and approached the parties controlling the mine to buy it. We have also identified potential investors in Ghana who have an appetite to fund the acquisition in a UK listed company and provide working capital to bring the mine into profitable production.
The team continues to evaluate other opportunities that are being presented and securing a suitable transaction for the Company will be the focus for the remainder of the year.
We received approval from the Australian Federal Government earlier this month for Signature Gold’s 2023 project work to be included in the Research and Development funding program and we are working with our accountants to complete the submission for our cash refund. Initial estimates are that it will be circa A$150,000.
https://www.londonstockexchange.com/news-article/market-news/interims-for-period-ended-31-december-2023/16404709
Last post: goneawol, 2 Apr 2024 07:48
Tectonic Gold plc (TDIM: TTAU) has experienced a delay in filing our group consolidated interim financial statements for the period ending 31 December 2023. This delay is attributed to an unforeseen disruption caused by the relocation of our Australian office, which temporarily interrupted access to our systems over the past week.
We are pleased to announce that the office move has now been successfully completed. Our team is diligently working to finalize the consolidation of accounts and we anticipate completion early next week, following the Easter break.
In addition to the interim financials, we will be providing a comprehensive corporate update. This will include progress updates on the Specimen Hill project farm out, details regarding the submission and approval of the 2023 Australian Federal Government R&D refund claim, and insights into our ongoing joint venture activities.
https://www.londonstockexchange.com/news-article/market-news/delay-in-publication-of-interims/16402236
Started: janalan, 27 Mar 2024 10:45
Last post: janalan, 27 Mar 2024 10:45
Hot Tectonic shares, Hot Tectonic shares - one a penny! ten a penny! Hot Tectonic shares!!
Started: goneawol, 7 Feb 2024 06:45
Last post: goneawol, 7 Feb 2024 06:45
Started: fiat, 21 Dec 2023 11:51
Last post: fiat, 21 Dec 2023 11:51
CHAIRMAN’S REPORT
Dear Shareholders,
The year ended 30 June 2023 saw us return to complete another round of field work and drilling on our flagship Specimen Hill project in Queensland. This work enabled us to present to potential development partners a substantial database of the large-scale mineralised system that we have identified and tested over the last few field seasons. As per a previous market release, I am pleased to report that ASX listed White Energy Ltd (“Energy”) is continuing to test and validate the copper gold potential of the mineralised system, under an exclusivity agreement. White Energy’s leadership are very successful campaigners in Queensland and they have a strong investor base behind them.
Tectonic were invited during the year to advise a leading Ghanaian family office on strategy for advancing a portfolio of tenements in the Ashanti gold fields in Ghana. This work includes preparing the portfolio for a listing on the London Stock Exchange. Extensive technical reviews were conducted in the June 2023 quarter, followed by a site visit and in person strategy planning with the group. Tectonic is currently evaluating M&A opportunities on behalf of the group in an effort to accelerate portfolio completion ahead of a listing. We are also evaluating the potential for a dual listing in Ghana to take advantage of the in-country investor demand. The working assumption at this stage is that Tectonic will be the vehicle to take the consolidated portfolio to market in London to crystalise the value of our input with a carried interest in the portfolio for Tectonic shareholders.
Our “Deep Blue” and “Whale Head” diamond and heavy minerals investments in South Africa, managed by Kazera Global Plc (“Kazera”), took a very interesting turn this year. Elevated radioactivity readings from the presence of highly desirable monazite in the rare earths component of the ore required special permitting be obtained. Monazite, a significant source of rare earth metals such as cerium, lanthanum, and neodymium and is in high demand in high-tech industries such as electronics, renewable energy, and electric vehicles. While the additional regulatory hurdles are a minor hindrance, the long-term commercial value of the project is enhanced with this outcome.
Once again, thank you to all of our shareholders and stakeholders who have supported us over the last year. We have made significant progress on a number of fronts with no dilution to shareholders and the year ahead presents excellent opportunities across our current portfolio and with a number of other opportunities being presented to us.
Full report: https://www.londonstockexchange.com/news-article/market-news/tectonic-gold-financial-report-for-the-year-ended-30-june-2023/16262698
Started: janalan, 22 Nov 2023 15:33
Last post: HH1AN2, 19 Dec 2023 17:51
Same here, about time for some upward movement in share price
Accounts are due this month. Hopefully we will hear more about the Specimen Hill farm-out to Fiddlers Creek/White Energy. There has been no announcement on the farm-out from White Energy, but they have just raised 2.9m AUD before costs.
It would be nice to hear from Brett, it's been a while.
Janalan-I am talking before we see 2024. Specimen Hill is too good an asset to be left on the shelf coupled with the knowledge and negotiating skill of Brett and the board I feel they will strike a deal one way or another sometime soon.
The directors here are seasoned professionals and I believe honourable people, they WILL deliver imo.
Vidaloca - as an investor I love your confidence - that's just how it should be. BTW - Which year end would you be talking about??
Started: janalan, 25 Oct 2023 14:08
Last post: vidaloca, 22 Nov 2023 13:52
Completely disagree with that last one, just because the stock loses value or even goes bust does not mean that your holding is not an investment.
I have been in this stock since the first day of trading, I have done my research on the company, the assets and the board and on that basis I have built a very substantial holding.
The journey so far has been frustrating and drawn out beyond belief but having said that my faith in this company is still as strong as it has ever been and I am convinced that it will deliver on several fronts.
We are very much alive and once the first deal appears we will go from strength to strength, and I truly believe that will be before year end.
Tapman - my take on where you have gone astray! - firstly, calling this an investment. Companies like this are a pure punt. Nothing more, nothing less. Call your own odds 100/1, 1000/1, 10000/1. You'd have as much chance buying a copy of the Racing Post and using a pin with your eyes closed. Whatever you stick it in, have a punt, even if it's a three legged donkey. Every dog has it's day and so does every horse. The name Foinavon comes to mind. This could be a three legged donkey or with a lot of luck, a Foinavon, but it's never gonna be a Red Rum. I'm quite heavily punting in here, so let's all hope it's a Foinavon. Good luck all!! P S - by the way, I never bet on the horses, far too risky!!
What has TTAU done with my money? What's happened to my investment? TTAU said/claimed/expected it would bring forth positive returns. Am I looking though the wrong eyepiece? I can only see negatives!
Please tell me where I have gone astray.
Not a whisper, not a sniff of anything untoward. Perhaps you were right the other day when you questioned 'why no news?'
But hey, we are just the bag carriers
Not quite, micksnags1, but getting there. Where have all those wonderful exponents of this wonderful company wandered - I wonder!
Started: micksnags1, 25 Oct 2023 12:56
Last post: micksnags1, 25 Oct 2023 12:56
Wonderful , now completely wiped out
we're just stuck waiting for news, which is very sp**** in coming
Not many of us left janalan. Would sure be good to get some news that reverses the downward trend. Could be a few months of waiting yet though.
Be good to get another update, particularly from Specimen Hill.
Any possible revenue from Whale Head Minerals pushed back until at least Q1 2024.
Hi Guys - anybody there??
Is it tomorrow yet??
Come on Brett - been here for years - got me toast at the ready - where's me Jam??
Started: goneawol, 15 Aug 2023 20:16
Last post: goneawol, 15 Aug 2023 20:16
Started: TurkeyGuzzler, 8 Aug 2023 09:59
Last post: TurkeyGuzzler, 8 Aug 2023 09:59
I wish it hadnt taken this long to show evidence of progress...but I think Brett is making progress. Basically we have a situation which doesn't need further funding but has 3 routes to to generating shareholder value - Speciman Hill, Whalehead and new today Ghana. 3 bites of the cherry , no cash required and just a £3m market cap. Nice set up.
Mr. Brett Boynton, Managing Director – Tectonic Gold Plc
“The team is really encouraged by the recognition for what we have achieved in our research in Australia over the last five years. The Fiddlers Creek endorsement is validation of Tectonics’ courage to pioneer new ideas in exploration and winning the role with Optimus is a Company changing opportunity to take all of that experience into one of the premier gold belts in the world.
Tectonic is still deeply entrenched in research in Australia and is now exporting that expertise to Ghana, with a strong in-country partner who has a genuine desire, and the means, to see a new major gold play created. Ghana, like Australia, has a long and storied gold mining history. Tectonic is bringing expertise directly from the crucible of research and development in Australia, to be a part of the next generation of Ashanti mining stories.
Tectonic is actively reviewing opportunities where we can build a portfolio of holdings in high quality global gold projects.”
Rare earths in heavy mineral sands joint venture
Tectonic holds a 40% economic interest in Whale Head Pty Ltd, a heavy mineral sands mining (“HMS”) project being developed by joint venture partner, AIM quoted Kazera Global Plc (“Kazera”). In July, Kazera announced elevated radioactivity readings in ores beneficiated from alluvial mining of HMS in the Walviskop project in South Africa and as a result the need to engage South Africa’s National Nuclear Regulator. This is worth understanding in more technical detail as the source of the radiation is weakly radioactive thorium, a Rare Earth Element (REE) found in monazite.
The HMS ores at Walviskop include economic concentrations of rutile, zircon, and monazite. Rutile and zircon are widely used with a range of industrial applications. Monazites are less well known, but are rare earth minerals typically comprising thorium, lanthanum and cerium. Lanthanum and its neighbour on the periodic table, cerium, are used in high end lighting applications, think flat screen TVs and iPhones. Thorium is used in heat resistant ceramics and platinum catalytic converters in diesel engines on cars, trucks, ships and trains. The elevated radiation readings in the Kazera testing should be understood as evidence that the ores contain valuable monazites. With China’s recent restrictions on the export of certain REEs, this is a positive outcome for Tectonic.
Ashanti Gold portfolio development lead
Tectonic has been working closely with the principals of Optimus Resources Ltd (“Optimus”) over the last six months reviewing a 1,500km2 tenement portfolio surrounding the lucrative Obuasi and Tarkwa operations within the Ashanti Gold belt in Ghana. Independently verified historic exploration on this portfolio reports immediate resources of over 1 million ounces of gold.
The portfolio has been privately held for over twenty years by a leading Ghanian family office. Their interests span media, insurance, packaging and real estate and the family wishes to now commercialise the gold portfolio, building a vertically integrated gold mining business. Their objective is to have it listed on a major international stock exchange. Tectonic has been engaged to provide technical expertise and a corporate development strategy for the portfolio.
The Company has begun to evaluate, rank and prioritise assets within the portfolio and construct a project development pipeline, commercialisation strategy, identify suitable merger and acquisition opportunities and define a pathway to listing the group on a major exchange.
This program is being fully funded by the owners.
This is an exceptional opportunity for Tectonic to gain access to a tenement package of this scale in one of the most productive geological settings in the world. The Ashanti Gold Belt has been a major source of global gold production for over a century and hosts a number of the largest international mining companies. Tectonics’ key management has experience on the ground in Ghana and companies affiliated with Tectonics’ founding team are already operating in country, servicing these major gold mines. Tectonic is bringing its deep technical research capability, developed with support from the Australian Federal Government and leading Australian exploration and mining research institutions, to contribute to the discovery and development of the next generation of Ghanaian gold mines.
Specimen Hill project farm-out
In August Tectonic finalised terms with Fiddlers Creek Mining Company Pty Ltd (Fiddlers Creek) on an option for Fiddlers Creek to farm-in to a majority position in the Specimen Hill project. Fiddlers Creek is the exploration division of ASX listed White Energy Limited, a corporate vehicle being developed by a highly successful Queensland resources investment group. The terms are as follows:
Stage 1 – an option to acquire 51% at the project level for a cash spend of AU$1 million within 3 years
Stage 2 – an option to acquire a further 25% (76% in total) by spending a further AU$2 million
Stage 3 - Tectonic has the choice of co-funding further development or selling a further 15% to Fiddlers Creek for AU$2 million in cash
The remaining interest may then be converted into a non-diluting 3% royalty.
White Energy has a similar technology approach to Tectonic and has a proprietary ionic geochemistry technique that they will be deploying on Specimen Hill in the second half of August. This advanced testing is highly effective in identifying copper targets at depth and will complement the extensive work Tectonic has already completed on testing the gold in the Specimen Hill system. This will enable a comprehensive understanding of the copper/gold prospectivity of Specimen Hill.
This arrangement brings advanced technology and a successful Queensland based team into the project to complement the work done to date. In addition, it enables Tectonic to retain a significant economic exposure to Specimen Hill without incurring development cost as the project is further de-risked.
R&D update
In July Tectonic received a further $157,000 from the Australian Government under its research and development funding program. Over $3 million has been received from this program to date which has substantially funded the development of exploration technology improving the efficiency of gold resource identification and delineation.
The technology expertise and exploration methodology created through years of rigorous in-field testing at Specimen Hill has generated two significant opportunities.
The data package generated over multiple seasons of field testing at Specimen Hill has attracted a farm-in partner to undertake the continued development of the project. This is discussed in more detail below.
The advanced technical expertise developed over the program attracted the interest of an international gold investor and has resulted in Tectonic being appointed to lead the commercialisation of a large privately held gold portfolio in the world class Ashanti Gold Belt in Ghana. Details of this are provided below.
Expenses in Australia have been significantly reduced and all foreseeable costs will be covered by cash in hand and expected future funding from the Australian Government.
Started: janalan, 18 Jul 2023 07:08
Last post: janalan, 18 Jul 2023 07:08
Cheers Boogles - much appreciated. I obviously missed that announcement. Perhaps, at some time, we'll get some SP movement in the other direction.
Started: janalan, 17 Jul 2023 13:52
Last post: Boogles, 17 Jul 2023 14:57
Extract from 29th March RNS:
“ The half year to December 2022 saw a significant milestone for the Company with the successful completion of our drilling campaign at Specimen Hill. After fires, floods and COVID over the past few years, access to drilling rigs and crew was limited, but we managed to secure a team to complete core testing of the continuity of mineralisation below the old Goldsmith’s Reef mine. Assays returned grades of over 8g/t gold and 5.99 g/t silver at 110 meters down hole, with additional intersections at 240 meters. Goldsmith’s Reef is approximately mid-way along the 4km+ strike that has delivered multiple discoveries for Tectonic between the Main Lodes historic mine in the northeast where we started field work and the Southern Copper discovery in the southwest which is our most recent rediscovery.
With positive gold and copper assays from diamond drilling now confirming continuity of mineralisation, we have been able to extend our database and attract parties into due diligence to discuss a farm out investment into the project. This is well underway and we hope to report progress in the coming weeks. Our objective is to have a well-funded group complete initial resource definition on Specimen Hill with a view to developing it as a copper-gold mining project. Tectonic will utilise all of the experience from Specimen Hill in prosecuting our next project area, Mt Cassidy. This is another textbook IRGS target which has historic workings and drilling. We have conducted our advanced geophysics reconnaissance and identified major structures below the old workings which we expect to see continuity of mineralisation at depth in. We are also in discussion to take our IRGS expertise into international gold exploration opportunities.”
If my memory serves me correctly, back in early December last year it was thought that we must be close to "assay results". Did they ever materialise? If not why has it taken so long?
..
If a permit is required, the application could take between three and nine months whereupon the Company will immediately commence production and sales of the higher value HMS products.
The Company is using this time to undertake more sampling to confirm previous results and continue construction and area preparation for both the plants in Walviskop Bay. This includes the erection of a Trommel screening plant which is under construction by a third party in South Africa and remains on track for completion by the end of September 2023.
Further, the Company is in the process of creating drying, bagging, and loading facilities within a secure area recently supplied to the Company by Alexkor RMC JV. Alexkor RMC JV recognises the value of the project in terms of opportunities for the local community and the Company's increasingly positive and collaborative relationship with Alexkor RMC JV has also resulted in it being provid ed administration buildings, entrance /exit facilit ies and a sheltered and secure workshop facility for the repair, maintenance and storage of the Company's plant and machinery.
The provision of these secure sites and facilities will benefit both the Company's HMS operation and diamond project and should result in significant cost savings going forward.
From Kazera’s rns this morning..
Whale Head Minerals ("WHM") (60% interest) - Heavy Mineral Sands
The Company continues to make good progress on the Heavy Mineral Sands("HMS") project at Walviskop. The pilot plant, which incorporates an HMS circuit and double decker Horizontal Vibrating Screen, was installed in May 2023 and testing has revealed very promising results which the Company has been continually including in process alternatives, whilst also allowing the Company to determine the exact make-up of its HMS and guide its initial thinking on processing plant design.
Samples and test results from the pilot plant have also formed the basis for informed strategic discussions with industry experts and off-take partners on the short and long term potential of the Company's HMS. From these discussions, initial findings suggest that the Company's HMS has a heavy mineral content of approximately 62%, with around 55% of the resources classified as "saleable heavy minerals". Indicative pricing for the basic (unseparated) product is $160 per ton, but by undertaking further separation the price is expected to be approximately double this whilst, importantly, transport costs would remain at the same.
During the Company's testing, several samples were identified to have raised levels of radioactivity resulting from the presence of minerals such as rutile, zircon, and monazite, which typically have a much higher commercial value than ilmenite. Whilst radioactivity in HMS is not an uncommon occurrence, it does mean that the Company has engaged with the National Nuclear Regulator ("NRR") to determine whether any specific permitting is required prior to the production and sale of the Company's HMS products.
To guide this discussion and any possible application for exemption / additional permitting, a comprehensive baseline study of radioactivity has been conducted across all areas of Walviskop, including areas where the Company's HMS will be stored, processed, and transported. In addition, a Workers Safety Report and Operating Procedures are being compiled by a third party and should be completed by mid-August 2023 at the latest.
Started: goneawol, 29 Mar 2023 08:12
Last post: Agricore, 29 Mar 2023 09:10
Re-iterating my answer from 29th December but revising based on today's results:
1. Whales Head (40%) and Deep Blue (10%) are in the FY2022 accounts at cost (£1 and £2). These will be revalued at fair value once operational (i.e. in the FY2023 accounts). (Should equate to a £0.5m gain** - or 10% of TTAU's market cap - this is based on KZG's book value - but not based on the independent valuation)
2. Clarification on the sale of Deep Blue 30% to the Black Economic Empowerment local community. The independent valuation is £150m. This values TTAU's 40% at £60m (12x current market cap). 80% of profits repay the £45m loan made to BEE. On the basis that the 30% share of net income is £0.9m/year (conservatively) then £0.72m flows to TTAU reducing from the £45m balance. If you compare my previous answer "what, if anything, we get for the 30%" this revelation is DYNAMITE! In my opinion.
4. Income from the 10% Whale Head and Deep Blue begins. (Worth around £0.3m/year)
5. Meanwhile We await assays on Specimin Hill and news of the JV.... "in the next couple of weeks" so during April 2023?!
6. Kazera is cash rich and investing strongly into the HMS and Diamond operations, has a strategic partner who (guess what) operates a HMS business nearby, is buying Align's 29.9% stake at over 50% premium to KZG's share price.
This share is an incredible bargain right now. The hidden value should reveal itself in the next set of results and on the JV news "in a few weeks". But holders need to remain patient. Bear Grylls could use this share to light a fire after keeping it in his rucksack for a few years it's such a slow burner..... but that's not to say the value isn't there. The catalysts for this to rerate are coming together, not least thanks to Dennis Edmonds leadership over at KZG.
GLA... I'm excited!
..The half year saw the team supporting our partnership with London listed Kazera Global Plc (“Kazera”) (LSE:KZG) on the Heavy Mineral Sands (HMS) and Diamond project site in South Africa. Our joint venture with Kazera in HMS in was awarded a mining license. This is the first and so far, only mining license inside Alexkor, the South African Government controlled and operated diamond fields at Alexander Bay. Previous testing has returned exceptional grades of HMS and independent studies conducted for Kazera valued this project at £150 million.
Tectonic holds a 40% economic interest in this project via a non-diluting 10% equity holding in Whale Head Minerals Pty Ltd (Whale Head) and a further 30% economic interest via a sale and loan agreement with a Black Economic Empowerment (BEE) consortium. In order to ensure compliance with South Africa’s BEE regulations requiring mining projects to have a 30% holding by qualifying local investors, when Tectonic sold 60% of Whale Head to Kazera, the Company sold a further 30% to a syndicate of local investors. Pricing for this 30% was based on the £150 million independent valuation conducted on behalf of Kazera. The BEE investor syndicate includes a South African private equity group headed by a highly respected business leader, two experienced South African entrepreneurs, a local community group and an employee group. Tectonic has financed this 30% syndicate with a share loan program under which 80% of the returns to the syndicate are paid to Tectonic until the £45 million in agreed loan value has been repaid.
Tectonic holds a 10% non-diluting interest in Deep Blue Minerals Pty Ltd, Whale Head’s sister company that operates an alluvial diamond concession in the Alexkor mine site. Diamond extraction is a regulated pre-requisite before the tailings containing heavy minerals can be processed by Whale Head. Kazera has announced that both Deep Blue and Whale Head are now funded to bring into production. This could be a significant source of cash flows for Tectonic to fund Mt Cassidy and new projects for the portfolio.
With success in our existing projects, real value being cemented in our joint ventures and new opportunities to take our pioneering work in IRGS exploration offshore, Tectonic is very optimistic about the future for our shareholders
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Wednesday 29 March, 2023
Tectonic Gold Plc
Unaudited Interim Results to 31 December 2022
Wednesday, 29 March 2023
Tectonic Gold Plc
Half-year Report to 31 December 2022
29 March 2023
TECTONIC GOLD PLC
(“Tectonic” or the “Company”)
Unaudited Interim Results to 31 December 2022
MANAGING DIRECTOR’S STATEMENT
Dear Shareholder,
The half year to December 2022 saw a significant milestone for the Company with the successful completion of our drilling campaign at Specimen Hill. After fires, floods and COVID over the past few years, access to drilling rigs and crew was limited, but we managed to secure a team to complete core testing of the continuity of mineralisation below the old Goldsmith’s Reef mine. Assays returned grades of over 8g/t gold and 5.99 g/t silver at 110 meters down hole, with additional intersections at 240 meters. Goldsmith’s Reef is approximately mid-way along the 4km+ strike that has delivered multiple discoveries for Tectonic between the Main Lodes historic mine in the northeast where we started field work and the Southern Copper discovery in the southwest which is our most recent rediscovery.
These grades are in line with the medium to high grade production reports from historic mining of Goldsmith’s Reef in the early 1900’s. The mine was operated on a small scale down to approximately 30 meters but was abandoned during World War I and never reworked. Tectonic’s advanced geophysical surveying program prior to COVID indicated that the textbook Intrusive Related Gold System (IRGS) structure at Goldsmith’s Reef plunged to over 500 meters depth. With positive gold and copper assays from diamond drilling now confirming continuity of mineralisation, we have been able to extend our database and attract parties into due diligence to discuss a farm out investment into the project. This is well underway and we hope to report progress in the coming weeks. Our objective is to have a well-funded group complete initial resource definition on Specimen Hill with a view to developing it as a copper-gold mining project. Tectonic will utilise all of the experience from Specimen Hill in prosecuting our next project area, Mt Cassidy. This is another textbook IRGS target which has historic workings and drilling. We have conducted our advanced geophysics reconnaissance and identified major structures below the old workings which we expect to see continuity of mineralisation at depth in. We are also in discussion to take our IRGS expertise into international gold exploration opportunities.
…
Started: GoldJunior, 28 Feb 2023 20:37
Last post: goneawol, 19 Mar 2023 22:05
Interim financial report due by 31 March, hopefully some news before then.
Deep Blue Minerals (60% interest)
The Company has completed development of the new plant at Deep Blue Minerals' diamond project in Alexander Bay and can independently process similar volumes of gravel as were previously being processed at the Muisvlak plant. The new plant is also capable of processing gravel containing high quantities of HMS, and stockpiles of mined gravel are now being processed.
Furthermore, through its close association with the Richtersveld community, the Company has gained access to new mining blocks, tripling the area available for mining and giving it access to a further 28,000 carats of diamonds.
From Kazera’s rns this morning,
Whale Head Minerals ("WHM") (60% interest)
The Company is pleased to confirm that it has placed an order for the manufacture of equipment to undertake the separation of HMS at WHM's Walviskop Heavy Mineral Sands Project within the vicinity of Alexander Bay/Port Nolloth, South Africa. The equipment, expected to be delivered in approximately four months, will allow the Company to sell Ilmenite and Garnet as separate HMS components, which will attract higher value than a bulk product. It is anticipated that the introduction of this equipment will lead to the production of product exceeding a purity of 80%, for which there is a ready market. Consequently, the Company is in active discussions with several prospective purchasers for these products. In the interim, the Company is introducing a double-deck 500-micron screen with a view to accelerating production of the separated HMS product. The Company is currently building up stockpiles of HMS whilst identifying a site to dry material away from the moisture and dust of the coast.
The initial mine permit area applied for by WHM and accepted by the Department of Mineral Resources and Energy has been moved circa 100 m etres to the west due to conflicts identified with the original permit coordinates. This has resulted in the Mine Permit now being in the surf zone of the bay and not largely on the beach. The resource volume for the new offshore permit location estimated by CREO Design (PTY) LTD, which undertook the initial competent persons report and resource estimate, is determined to be comparable in volume to the initial volume estimate for the onshore area but at a grade of 49.9% total heavy minerals compared to the 62% total heavy minerals on the beach area. This can be explained by the wind playing a significant role in removing light sand grains from the beach and so enriching the heavy mineral deposited there. However, a major benefit of the permits being moved is that wave action is constantly renewing the resource and rehabilitating the mine site. This means that current volumes in situ are largely irrelevant as what is mined is naturally replenished. Furthermore, initial testing has confirmed that the planned separation plant will upgrade the material from 49.9% to in excess of 80%, which will be directly saleable and is believed to be one of the highest grades in the world.
The mining method used in the WHM permit area will remain a dredging operation as originally planned. With the entire resource being submerged, a further advantage of the movement of the permit area is that dredge mining can take place unhindered and at a higher rate, resulting in higher production levels at lower unit cost per ton mined. This means the new moved mine permits have the potential of outperforming the original heavy mineral production volumes of mining on the beach.
….
You have to wonder what's happening here with the sp, there are no sales to speak of, ok there has been radio silence from the company in regard to significant news, updates, which creates doubt within the market, but come on, it does not warrant this constant decline. No short selling as far as I can make out.
Is the price being brought down to accommodate a buyer, as you say Gold junior, they may well be in negotiations, I hope so, and if so, let's hope we get a result soon.
Are we not well overdue news on the last drills or am I missing something here? Surely they need reporting even if in negotiations?
Started: vidaloca, 28 Feb 2023 16:25
Last post: goneawol, 28 Feb 2023 19:19
From Kazera's RNS this evening;
'Operationally, the Company continues to make progress, with both its Heavy Mineral Sands (HMS) and Diamond operations now in production. The Company has also placed an order for the manufacture of equipment to undertake the separation of HMS at its Alexander Bay site. The equipment, on which the Company has made a substantial down payment and has sufficient funds to complete the purchase, is expected to be delivered in approximately four months and, once installed, will allow the Company to sell Ilmenite and Garnet. Accordingly, the Company is in discussions with several prospective purchasers for these products, whilst it continues to stockpile large volumes of HMS, whilst also separating out diamonds.'
This slide is just bound to happen with no significant news or updates. I feel that once Kazera announces their re listing we will be put in the picture regarding further developments.
The HMS side of the business seems to be the jewel in the crown at this stage of proceedings, a jewel which by the looks of it has been totally overlooked by the market.
Not good to watch.
Started: guird, 14 Feb 2023 15:04
Last post: SEA7, 15 Feb 2023 11:21
aka
Interactive Prospect Targeting Holdings Plc (AIM:IPH
woodburne square
StratMin Global Resources Plc
Does anyone know what the original company was called , trying to consolidate some losses for tax reasons but don’t know when i acquired these and cost , likely to be over 10 years ago
Started: goneawol, 28 Dec 2022 07:15
Last post: Agricore, 29 Dec 2022 15:36
Couple of things reading the accounts:
1. Whales Head (40%) and Deep Blue (10%) are in the FY2022 accounts at cost (£1 and £2). These will be revalued at fair value once operational (i.e. in the FY2023 accounts). (Should equate to a £0.5m gain)
2. Post Period sale of Kazera shares £50k gain (December 2022).
3. Post Period sale of Deep Blue 30% to the Black Economic Empowerment local community. Unclear what (if anything) they are paying for this 30%
4. Post Period Income from Whale Head and Deep Blue begins. (Worth around £0.3m/year)
5. Meanwhile We await assays on Specimin Hill and news of the JV!
GLA