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I don't know if it's already been mentioned but some time ago, probably a couple of years or more, Colin mention the possibility of other contractors in the area using our plant from the surrounding areas.
Don't know if this was a serious discussion or a throw away comment? I suspect that would be after we are finished with it.
Ant, I don't disagree with any of the information you state and btw that is an excellent summary at an ideal time for everyone here. I.e. we are going to be getting quite complicated quarterly revenue reports going forward and I doubt most of us will be able to decipher them.
My point about the 3 areas referred to by Empress is that they talked about 3 areas that they were looking at with MMP. I dont think they would say that if they were talking about 2 of tge areas being worked by other contractors.
Add that to Colins statements about their being so many things to look into at Manica with nobody fully understanding the geology of the area and their agreement with MMP to explore more sites to identify more feedstock for their new plant.
I'm sticking to my "hope" that Empress were referring to 3 areas not yet stated.... and my hope that they are on the XTR licence .
Exciting times .....
AS
I was referring to a drill rig on a truck, for drilling out samples. See website, Manica Project July 17 pic 10/10, I remember Colin talking about this being ours, either at investor show or an AGM?
something going on we do not know about... :-)
I believe XTR have/had their own drill rig down in Manica, there used to be a picture of it somewhere on the website, or at a presentation,Colin has often mentioned further exploration at Manica, actually it was mentioned to use excess cash from the raises last year, can be something going on we do not know about...
rns 29th aug 2018
I'm totally confused now as to who we have agreements with ! I thought MMP now had sole agreement with us for all Manica hard rock ? Are Omnia and MMP one and the same ? Come on Colin... spill the beans !
antsquasher, you should cast your eye over rns 29th aug 2018 , you may find it illuminating or further adding to any confusion depending on how you look at it . gordie
He stated the lower grade dirt that is being processed first to "fill the nooks and crannies" in the equipment was identified as they stripped back Fairbride to start building a stockpile of feedstock. So it won't be from Guy Fawkes or Boa Esperanza..... they are both being worked under a separate contract by different contractors anyway. I cant see how they can now start feeding the MMP plant.
I'm hoping the 3 areas of interest are 3 new areas
Empress might have an agreement based upon the processing plant .... their funding was to get it up and running anyway......
So any further finds that the plant processes is probably their follow on revenue.... but as you say.... doesn't affect our cut.
BE and GF are already being exploited by a different contractor.... im hoping its other areas yet to be drilled..... but still under our license.
Would love to know more details though
I thought our hard rock agreement was now with MMP (FB GF DL BE) but was originally going to be with Omnia. I dont think we have a current agreement with Omnia as the MMP agreement superseded that with Omnia. Is there a connection between Omnia and MMP ? I know we have subcontracted out GF BE and DL (ourselves and MMP getting a cut) so I'm not sure what interest Empress have outside of their agreement with MMP regarding FB. I'm not sure if there is enough cake to go around for them to want a slice of anything other than their FB agreement with MMP (which is basically nothing to do with us and is between themselves and MMP). Does anyone know what involvement Omnia now has on our Manica patch ? Does their plant that needed upgrading have anything going through it that it is not benefitting XTR ?
https://www.youtube.com/watch?v=iQ5XWhIe2gU&t=5s&ab_channel=RedCloudFinancialServicesInc
It was in the interview. 9mins in. The question is what were the three other deposits they were talking about when they said going after them? My guess is it could have been DL, BE and GF??
"My thoughts are that Empress generally add value where there is already value and de-risked. If there is much drilling to be done still, I don’t think it would maybe be for them"
I agree with this. Thats why I think it possible that the "three other deposits" Empress talked about could well be DL, BE and GF. Would we not have heard about other drilling in the area in addition to the three deposits we know about?
That said, I may well be adding 2+2 and getting 22.
Antsquaher many thanks for bringing some fresh input, good to know you are a long termer.
Do we know where these other resources sit in terms of being ready to be mined or their evolution. My thoughts are that Empress generally add value where there is already value and de-risked. If there is much drilling to be done still, I don’t think it would maybe be for them.
There is no doubt over the whole license huge potential for investment that would potentially suit their usual strategy of “investing in mining companies with development and production stage projects who require additional non-dilutive capital.”
Reading the ‘2018 Hard rock collaboration agr. update’
>> A number of these sites (Guy Fawkes, Dots Luck and Boa Esperanza) have under prior ownership had some exploration drilling and mining activities but none of these sites would justify the construction of a plant solely for their production. <<
Is intriguing to know where Empress could fit in and how lucrative it could be for Xtract going forward.
Ant somehow I missed Andre and wasn't aware of it being discussed by Colin. I'll have to look into it further.
I've been informed that Cleantech (Lebanese) are partners of MMP but I'll need to look into this to corroborate it.
Cheers
Great find Ant
Some of those old workings have intriguing names. I particularly liked
Two Fools,
Birthday Gift,
Donkey and
Laugh
Baobab were bought out on hostile take over
Ascot may see an infill drill programme of the high grade part as well as RC, as was hinted they would do so by Colin. Could that imply working toward a second conceptual pit? I think so, as there has been a metallurgy test work sample already taken with plan to take further sample/s from Ascot which is normally only done when mine planning and for financial evaluation. As it has been made clear that both pits are being looked at as being completely separate, they would want to show economic viability on individual merit, and for pay back possibilities of CapEx for both too.
ART, I totally agree about the 2Mt. I think a 1.0-1.5Mt mine can be perfectly profitable (though the more the better). Even better would be if Ascot can then be mined without having to pay for any capex.
Sorry, I hit the wrong key and my post posted itself before I was finished.
Let me continue.
If XTR does hit the 2 million tons of contained copper that will have an in-ground value of a staggering $18 Billion - more than twice the value of the GGP asset when their m/cap hit its high.
Even if XTR only have 1 million tons of contained copper, at maybe a higher %, then the asset will still be worth a staggering $9.5 Billion and still more than the GGP resource at the time of their JORC.
This is what CB was getting so enthusiastic about and in truth it is only because of the target set by Anglo American, which possibly is more than they thought is actually going to be there, that the project has such a lowish valuation.
Unfortunately, the 2 million tons of contained CU has become a bit of a millstone. 1 million tons is a huge prospect, 1.5 million tons even more so, but the way that AA have left it if the target falls short it will be as if the project is almost worthless.
At times during last week's podcast it sounded as if CB was getting a bit carried away when he kept repeating how big an asset XTR have in the Bushranger prospect. However on thinking about it I see where he is coming from and that it is actually just the market that is underestimating and undervaluing the asset. Also some of the confusion must lie with the way that AA left this prospect under the previous ownership.
At the time of the GGP maiden resource estimate the m/cap rose to well over £1 Billion and the in-ground value of the JORC'ed resource was around $7 Billion. If XTR
'Colin has also made several comments about Manicas surrounding properties in respect to alluvial mining'
AS - now that you mention it I vaguely recall him saying something like that. Makes sense, although I wonder how much we'd get from concentrate not on our licence.
Still, we have ~7 years worth to churn through at FB so that will keep them busy whilst they sort out other deals.
Sherron said “The three other ‘deposits’ they are going after”
Could Empress be looking at their usual capital investment, bigger plant to increase production capabilities at GF,Boa and DL
All parties would gain
Gixxer I think you're correct about own processing equipment for other deposits.
"Currently, FB plant is designed to handle only oxides, Chinese partnering with Explorator on Sulphide prospects are likely using cyanidation on a very modest scale to treat their ore."
Reading that it looks as if it is based on Manica rather than Fairbride. Apologies for not keeping up. Too many deals !.
Has some info on targets and exploration work.
https://www.proactiveinvestors.co.uk/companies/news/44033/auroch-minerals-ahead-of-the-game-with-mozambique-gold-project-acquisition--52540.html