Member Info for Dcat80

Obviously need final drill assays first. Presentation is nice and vague just saying H2 for both. Don’t think a Jorc will take too long after all assays are in. Pea much harder to say, we’re not sure exactly what method of monetising they are looking at yet and that obviously affects what detail would go into the PEA.

BF - Nearby Pedra Branca has nickel and cobalt below the PGM layer. See previous Jan RNS.

In addition the companies presentation on pitombeiras references the non tio2/v/fe mineralisation being Mafic rock. Mafic rock often contains both nickel and cobalt.

Tweet below includes a number of images that helps explain as well.

https://twitter.com/davidca041980/status/1275702209246834688?s=21

Now showing on the website

Map of drilled holes on page 9 is useful to see. Much easier to see what of the targets been drilled now

Interest has been rising, been saying it for last few weeks. Seller has enabled a few to build positions without spiking SP. only have to look on twitter to see more are engaging than before. Almost like the story is slowly getting out there..

As you say though Tex the story now needs to be told!

Gaf - you are very much mistaken. Lots has happened including disposal of the project the company was working on in October 2018 with focus now on another. Whilst this bulletin board is quite helpful I really think it’s unfair to expect others to explain everything to you whilst it appears you’ve not checked company presentation and RNS history. Do the basic work yourself, check through my posts and if you then are interested and want any help then I’ll try and help.

Nice to have a higher base for those 100 to be buying from though. Interest has definitely been building and hopefully we’ll be back to trying to break the 2.4p we were at before seller dumped at start if covid concerns. Assays have continued to improve and exceed the original guidance on the tio2 and are over the mid range for vanadium and iron. Plus we’re much closer to the other Jangada news with the Valore drilling commencing being a nice juicy cherry on top!

Tex- I’m just a guy that likes his research and promoting others to do theirs. Have shared some of mine with a few to get them started, once people start looking in detail the assets and opportunity does the talking. I’ve been working on completing my notes for couple of months now as Swizz will tell you through gritted teeth, really should have finished it by now. Circa 18 pages long and I’m not a natural writer!

Definitely more interest. The seller/s transactions have been bought and I’m aware of 4 PIs that have now joined our merry little band in last couple of weeks. Interaction on tweets has also increased, bodes well for when news lands and picture becomes clearer

http://valoremetals.com/news-media/news-releases/valore-bolsters-technical-team-and-provides-update-on-pedra-branca-pge-project-drill-program

It’s more that the rock samples show mineralisation at the new target. Remember Mendez north is a new target identified by satellite imagery and geophysics. Monster of a target and the rock samples add weight to their exploration method, further supporting JPs comments about district wide potential. Great news, although only the drill will add ozs to any defined resource

News release from Valore

http://www.valoremetals.com/news-media/news-releases/valore-provides-exploration-update-for-pedra-branca-pge-project-and-initiates-metallurgical-testwork

BF - largo as you know are both in country and also looking to develop their tio2. In that regard Jangada and PW are I suspect certainly attractive to them. I don’t think though it’s possible at this stage to say a likelihood. Other options could well be a Chinese partner with the Chinese being the worlds largest producers if vanadium and tio2 products.

DS- if PW was a fully operating mine with large capex produced on a plant designed to maximise profits then all 3 products would be produced.

In meantime monetising depends on what minerals we can extract under any trial mining licence and what offtakers will take the ore. Iron is by far the biggest market and most likely to find an offtaker. Being conservative I would suggest iron is mostly likely monetized early doors. Possibly with vanadium. Tio2 to pigment grade takes more specialist plant which provides less options. Tio2 is where the real money is, however I doubt that will happen over night. It’ll involved test work such as our peers have done and until that test work is complete I would expect project to still be referred to as vanadium/iron. See TNG ltd as an example (asx listed company)

All down to PR, both historical issues which have affected PIs trust in Brian and current such as little PR and no explanation on the project. It took me actively looking to understand this deposit a long time to do so, including researching a whole sector in hard rock tio2 I’d no experience of. I find I hard to believe others would put the work in required if they didn’t already hold.

Hopefully those posts below show why I’m so keen to see largos results on their processing. Plus why it really shows how profitable our ore is. Largo said tio2 is important to them and our grade is much higher..

BS- What minerals we are allowed to monetize under any trial mining license plus terms of any offtake agreement will set revenue. It can vary considerably. Easiest and I suspect most likely will be just iron ore credits. In this instance somewhere between $10-$30 per tonne ore processed is my best guess.

As I’ve always alluded though the real prize for me is the tio2 and ability to process into pigment grade as Largo have said they are looking to do. In this instance tio2 pigment grade is circa $2800 per tonne so 33.75% of that = revenue of $945 per tonne of non magnetic ore. The non magnetic ore is only 38% of the overall ore.

300k x 0.38 x $940 = $107,160,000 revenue. Yes over $100m. It a partner was found with a similar set up as Neometals then in this instance guestimate got out income post costs and splitting 50/50 with a partner round be circa $27m PA.

I would be very surprised (pleasantly), if we were advanced enough to commercialize the tio2 to pigment grade. I would work more on the scenario that it’ll be iron and possibly vanadium. That will not make us rich, but should be sufficient to not need to raise subject to metal prices not crashing

DS - yours is the easiest to answer so I’ll start with that. In the traditional vanadium production method ore is ground up into small pieces and then magnetically separated. The magnetic ore which contains the iron and vanadium is then processed and the non magnetic ore put aside as waste/tailings.

The 26th Sep RNS provides full details of the metallurgical testing of the magnetic and non magnetic ore. Page 15 of the company presentation also shows them along with peer comparison. The comparison on tio2 shows we have considerably better grade than listed competitors with ours at 33.75%

Well I doubt it’s coincidence that the 300k tonnes PA referred to in the logistics study RNS/page on presentation is exactly the same as granted for a trial mining licence of iron ore back in 2012.. I’m expecting a very low capex situation such as hiring diggers (Ore is at surface) and just trucking/shipping to either in country of China. Possibly magnetic separation on site, but that doesn’t use water or chemicals.

https://www.proactiveinvestors.com.au/companies/amp/news/134978

Can’t comment on the 6 weeks, but criteria for Jorc will be proximity of holes to each other . 6 should allow resource for jorc at Goela, however wouldn’t be large.

Really shouldn’t expect a large Jorc here. It’s only a small amount of drilling being done. Aim seems more to prove up enough to justify trial mining for X number of years rather than prove up the whole deposit. In fact I think we’d only have drilled say 15% of the overall target in this campaign

Helped if I post the link...

https://www.rns-pdf.londonstockexchange.com/rns/8407P_1-2020-6-12.pdf