Member Info for Helpful

|"PEL 103 is an onshore license and is located 40 miles from
PEL 73 which is being explored by ReconAfrica - initial
technical work supports extension of the hydrocarbon
system into our license"

If that statement is correct then likely it is in EOC's acreage too

DYOR

I know facts are usually unimportant to people on here but go back and have a look at what UOG said about Block B in Benin a few years back when they funded passive seismic and held an option to farm in.

Again, have a look at Recon Energy which has the two blocks immediately to the North of Elephant's Block. Have a look at Sintana Energy which has the two blocks immediately to the west of us in Namibia. Their presentation gives an idea:
https://sintanaenergy.com/investor/investor-centre/

The SEC rules are strict on what can go in the S1: once EOC is listed it will have more freedom on what it can say.

I think RRR will do very well in due course.

DYOR

Everything comes to he who waits...

https://amp-dw-com.cdn.ampproject.org/c/s/amp.dw.com/en/germany-falls-behind-in-the-global-race-for-lithium/a-64542125

Where did he confirm it? I can't see anything on Twitter.

Not necessarily. The messaging has been moving around as market conditions have changed.

Back in the day the bit that Jupiter were interested in was Mt Ida. The banking feasibility study was 70% complete. If you read recent announcements they are reworking that BFS.

The plan at listing was to get Mt Mason up and running then use the cashflow to fund Mt Ida into production. They are well behind the original schedule. Mt Mason is haematite and the price is has been more volatile than magnetite. Plus magnetite is now seen as a green feedstock for green steel so the price has risen.

So it looked like Mt Mason had slowed down and Mt Ida had come to the fore. This last update seems to indicate that Mt Mason is again the favoured son.

If they pressed the button now, they could probably have Mt Mason in production later this year and Mt Ida late next year. But as I said, they keep moving their plans around. If they can get funding, maybe they go straight to bringing Mt Ida into production.

My view is that they will commit to something very soon: maybe by the end of March, if only because they are starting to run out of cash. They either need to do a deal or do a raise.

Another issue is China: it has opened up and Australia is no longer on the naughty step. China has resumed coal imports from Australia and so iron ore exports should be okay too.

https://www.fool.com.au/2023/01/27/fortescue-share-price-hits-52-week-high-on-record-half/

DYOR

https://twitter.com/RRR_RedRock/status/1618944561824555008?s=20&t=tISdIdMrkcEsoUY6MlEhrg

P7 it is a huge operation if it is brought into production. There is more haematite and magnetite there than the JORC indicates: Jupiter stopped drilling before they had fully established the extent of the resource.

Likely there is more than 2bn tonnes of magnetite ore at Mt Ida.

https://www.junominerals.com.au/cproot/1009/3/Juno%20Minerals%20Limited%20-%20Prospectus%20Final.pdf

Commodity prices are moving up now China has opened up. That should apply to iron ore too.

These projects are normally funded via bank debt rather than equity. So they need to complete the banking feasibility studies.

DYOR

https://www.junominerals.com.au/cproot/1108/3/2503511.pdf

There won't be any updates now until they have raised the money and list.

Well I was hoping we would have good visibility on it by now. The next step is the EIA which is prepared by a third party. That should hopefully be done soon, hopefully by the back end of next week. Then it is down to when we get the nod and we can get all the ducks in a row. It will all be contract labour and machinery so that will be down to the third party contractors but it seems that there is a vibrant local industry doing all that stuff.

It is not done till it is is done and these things have a habit of left field events but I would hope we would actual revenue early to mid March. Originally I was hoping it would be earlier but things always take longer than we want.

Luckily Zimbabwe wants as much lithium produced as possible because of the royalty it takes and the taxes on the profits. So you would expect that any regulatory issues would be dealt with quickly.

The next big issue is the grade. We need 2% to sell in the local market and so we have to mine in the right areas. Maybe a bit of sampling needs to be done.

One big thing that has become apparent from talking to a geologist at another company experienced in lithium in Zimbabwe is that whilst you might see 1% grade close to surface, usually the grade higher lower down. Lithium is volatile and it evaporates off due to weathering at surface. So you only really know what you have got once you start drilling. I would hope that we are drilling during April/May and that Beatrice (the second license) is in production by May.

DYOR

https://twitter.com/nbgoldcorp/status/1618259652193538050?t=tr2AG5n7BLfatyv5Nbth_g&s=19

These are the people who wanted us to take their paper for Migori. As I said on here at the time; under no circumstances whatsoever.

https://www.proactiveinvestors.co.uk/companies/news/1004141/caracal-gold-issues-comprehensive-update-following-agm-1004141.html?viewSource=TwitterUK

Still £4mil market cap: unbelievable.

At £1mil maybe there is a deal to be done.

DYOR

https://twitter.com/PiresPlc/status/1617485198941208576?s=20&t=tpXTakFUIsOg0cwiP9vPCQ

The next update is when it is completed and listed. The SEC doesn't post that they have given the nod. The S1 remains draft until they slot in how much as been raised and at what price plus the listing date. Same as here with P Docs and the FCA. Call Spartan, they are the book runner.

DYOR

https://twitter.com/TereaAfrica007/status/1617238830947643393?t=KD80f5-3CTbOipd2o1VuEg&s=19

https://twitter.com/dlacalle_IA/status/1616833304358961152?t=Tu2n0yNCJvWcqpIr1NVXbw&s=19

https://twitter.com/NetZeroWatch/status/1616798277453877248?t=KULtLky0E0xHUbwyg3kLUw&s=19

China opening up is very good news for RRR.

So I have a moment now.

If you look at the FEQ note you will see that they are positing that the net 2.0% grade lithium price is $178/tonne.

But before Xmas AB did some interviews and said that in the domestic Zimbabwe market that they could sell 2.0% grade lithium ore at $320/$350 a tonne.

So FEQ are using production costs that are well out of line with what we expect. The likely production costs are $30/$50 a tonne. But lets be conservative and say that it is more expensive than expected and we get net $250 (so costs are $70/$100 a tonne). If we multiply out, we get $15m pa not $10.7m pa.

We also know that before Xmas that we could sell 4.5% grade lithium in SA for about $7k/tonne. Apply similar calculations but lets say the net price is $5k a tonne. Multiply it out and we get: $133m pa.

Beatrice is a looky-likey for Tin Hill and so you can x 2 it. Beatrice would need to to through the same process as Tin Hill; EMP, EIA and then production with contract labour and machinery.

Flotation tanks are required to go from 2% to 4.5% grade: all in CAPEX cost about $200k plus it is an extra operation. Same for Beatrice.

If they want to process more than 5k tpm then they would need more labour, more machines and more flotation tanks.

Whichever way you cut it, ALR looks pretty good. Maybe the prices won't hold where they are but 2 years production at those prices will do very nicely thank you very muchly.

DYOR