Stephan Bernstein, CEO of GreenRoc, details the PFS results for the new graphite processing plant. Watch the video here.
Hello all
I started looking into EML around a month ago and interested to get involved.
Would someone be so kind to highlight what they expect to be the next key events in the EML timeline?
PS: I'm a little stumped why the market hasn't taken more notice especially after the recent RNS's !
SP Angel Update: STRONG BUY
Arc Minerals reports further near surface high-grade copper intersections from drilling at its 3x0.8km Cheyeza East target in Zambia.
The results are excellent with >75% of holes drilled at Cheyeza showing decent grade copper mineralisation.
Hole 47: 20m @ 1.44% copper from 34.50m down hole
+ 11m grading 1.41% copper from 52m down the drill hole
inc. 5m @ 3.67% copper from 34m and 5m @ 2.46% copper from 52m
Hole 49: 14m @ 1.20% from 38m
inc. 7m @ 1.78% Cu from 44m
Hole 51: 14.50m @ 0.93% from 17.50m
inc. 1.36% Cu over 7.50m from 18.50m
Hole 27: 15.50m @ 0.62% from 44.50m – drilled to test extremity to the west of the high-grade core
inc. 3m @ 1.51% from 46.50m
Hole 45: 10.74m @ 0.61%from 74.50m – drilled to test extremity to the west of the high-grade core
Drill holes 47, 49 and 51 are drilled into higher grade mineralisation in an area estimated to be 250m x 250m at Cheyeza East.
Assays have been received from SGS Inspection Service Ltd in Kalulushi, Zambia.
Previous high grade holes include:
Hole 4 – 2.35% Cu over 18.00m
Hole 5 – 1.32% Cu over 28.50m
Hole 23 – 0.95% Cu over 17.00m
Hole 25 – 1.27% Cu over 32.50m
Holes 27, 28, 38 and 45 were drilled to test the extremities to the west of the current high grade core and appear to show economic grades of copper mineralisation despite being not quite as thick as seen in the high-grade core.
Hole 30, 32, 33, 39 and 44 were drilled to test the extremities to the south east of the current high grade core.
Holes 46 and 48 were drilled to test the extremities to the north west of the current high grade core, indicate the grade and thickness of the mineralisation in this area of the prospect are lower in grade.
Recommendation:
We recommend Arc Minerals as a STRONG BUY due to its potential for a major copper discovery at Cheyeza East in Zambia.
The potential value of a significant copper discovery is likely to be a significant multiple of Arc’s current market capitalisation.
We expect the market will recognise the value of the Cheyeza East discovery on the publication of further drill results and resource estimation.
Other significant discoveries in Zambia in recent years include Sentinel in 2014 with 939mt grading 0.49% copper just 40km away from Kalaba and is producing >190,000tpa of copper.
Lumwana which is 100km to the east also has a reserve of 758mt grading 0.51% copper and is producing >116,000tpa of copper.
Conclusion:
Arc Minerals is working hard to evaluate the value of its exploration portfolio with minimum dilution to shareholders.
Management recently reported on its first commercial sale of 15t of copper concentrate from the Kalaba process plant which serves to substantially de-risk the project from an investor perspective and brings some cash flow into the business. While the sale of 15t of copper concentrate should net something over $80,000 it is a first step toward significant cash flow if
I'm fairly sure that this maiden sale has only used small amounts of copper taken from the Kalaba target itself and not from Cheyeza. In order to get high levels of output we'd need to dip into the Cheyeza resources and NvS already stated in the cc that he was keen not to do this for now.
I think this is just to prove what we are capable of doing, should we decide to do so and please take note majors that we're not desperate to sell.
For those that haven't heard them already or for a reminder to those that have, have a listen to the 3 most recent conference calls on the ARCM website:
http://www.arcminerals.com/news/media-and-press/default.aspx
If the link doesn't work go to news / media & press.
Nick talks about interest from majors and in particular that ARCM have been contacted by a new "very large player" who described what we have as "the best results they have seen out of Africa for many years". This is a big statement.
Talking about updates, the time since the last results RNS is around 7 weeks compared to ~2 weeks between earlier announcements, but we now have 4 targets being assessed and we know many more holes are being drilled so not surprising that we have a longer wait. Personally, and only IMO I think that a more significant update will come out soon rather than drip feeding the results.
Imagine 4 lots of results with similar grades to Cheyeza are released together along with the name of a major that ARCM are in advanced discussions with.
Since things are a little quiet here today, here are the highlights from the most recent results RNS:
Analysis of 8,100 soil samples at both target areas completed
Up to 1,793ppm Cu analysed in the soils at Muswema
Circa 4km long soil anomaly confirmed at both Muswema and Lumbeta
Additional anomalies result in both target areas split into a further three zones
Drill rigs en route to each target and maiden drill programme to commence imminently
Drilling continues at Cheyeza where visible sulphide mineralisation has just been observed
New targets confirm a larger mineralised system
NvS said:
"Based upon our work to date, what is particularly encouraging is that we are beginning to see evidence of a larger mineralised system. We are very excited about the next few months ahead"
It's been nearly 7 weeks since the last Cheyeza update.
We're also ~6 weeks into Muswema and probably not too far behind is West Lunga.
Then there's Lumbeta which must have started too.........?
Makes me wonder how this is being played by NvS and what's going on in the background considering the amount of current drill activity, the obvious hype and demand for copper and the possible interest from big players.
C'mon NvS let us have it!
We already knew that the drillers are going to be paid in shares and this is an update that the shares are now being issued.
It's considered good IMO because it shows that the drilling company has confidence in the outcome of the project i.e. they think these shares will become more valuable than if paid in cash.
It may also suggest that the drilling stage is complete and that a results RNS is being prepared.
Next week could be very interesting.
GLA
Reason for today's rise is:
Right time to buy based on current low SP, and
Pending news expected from a number of target sites
I'm noticing certain backers of ARCM that have been waiting since the initial Cheyeza results are again showing their support in readiness of imminent updates. More from Cheyeza and initial results from Muswema and maybe West Lunga.
The first target, Cheyeza doubled the SP in 1 month and it's not finished with yet.
Plus 3 'exciting new targets' are underway the first of which must be ready for initial results any time now.
Not at all surprising!
Thanks CC great post!
Can I ask how long you had between the target being announced and the start of trading?
Also was the 0.75p set based on the MCAP / value of the target company and set as such was the SP set as soon as trading commenced?