RE: RNS Maiden Exploration Drilling Programme Commenced - Kalahari Copper Belt, Botswana19 Aug 2022 13:32
I’m sure excitement will follow some positive drill results. Imagine if the share price is lifted by KCB results before we get confirmation of the Anglo JV…. All that work the likes of Ella/Peggy/Travelcard/Etc, have been doing to try and suppress the share price will have been for nothing :-)
My feeling is that Ruffles “additional good news” is likely to be the announcement of the Casa deal being finalised. We should find out in the next few days. No company called Regency Mining has announced the purchase of Casa so my guess is it’s still in the legal process and we can’t yet announce anything.
Regency Mining is a registered subsidiary of Regency Silver Corp., registered on the Canadian stock exchange. I think they are the most likely purchasers.. they also recently took on legal advisors who specialise in mergers and acquisitions. Not concerned about it being late, at the end of the day its a side issue compared to the Anglo deal.
RE: “We need an elephant cobalt mine every 2 years”19 Aug 2022 10:02
Frog I agree that communication could and should be better, that’s something to address directly with the company at the next AGM. I have sent several email inquiries to the company and never once even received an acknowledgment…. That is not acceptable.
As for company performance I’m perfectly happy with the progress made and expect another re-rate in due course. If you can’t afford to wait (or don’t have the patience) then that’s entirely your own prerogative. I can understand the frustration in the sort term but I think people selling at this stage will be kicking themselves in a year or two… just my opinion.
“Greenfield projects to boost the production of key commodities are scarce,” he said. “Minerals like nickel, copper, cobalt and platinum group metals are likely to experience supply shortages in the not-too-distant future if new projects are not initiated soon.”
RE: “We need an elephant cobalt mine every 2 years”19 Aug 2022 09:19
Considering our year on year earnings have dropped by 37% due to the Inyoni expansion and slide in metals prices… I don’t think the share price performance has been abysmal at all. In fact I think it has held up remarkably well. It’s done exactly as it’s peers have done… driven primarily by the reduction in the PGM basket.
Nice to see the cobalt price perking up today after a steady decline. This is quite an interesting article on future requirements and why we don’t want the price to go sky high.
They also mention Metalkol, who operate a cobalt tailings reprocessing operation in DRC, producing 20,000 tonnes per year, making them one of the largest producers in the world. A nice target for Jubilee to aim at!
The "Avge PGM basket" values are the ones I'm using at the moment and they are pretty close to the numbers used in the WH Ireland note. You can see they are very similar to the data for Tharisa, just a little higher in Palladium and Rhodium as you might expect if adding some Eastern Limb feed into the mix. The data is not totally complete as some mines only report the 4 major elements but it might be useful to someone!
WHI View: We are encouraged by the start of proper drilling in Botswana in, what we view, as highly prospective licences. With regard to the proposed Anglo transaction, while it is disappointing to hear of a delay we still see the proposed transaction as highly advantageous to Arc – not least because it prepays a portion of the value that could exist in the licences and leaves Arc only a substantial portion of any discovery. Zambian exploration would be in capable well-funded hands under Anglo, and if there is a deposit in the licences then, in our opinion, Anglo has the technical expertise to find it. The geology in Zambia is compelling with high-impact anomalies already identified. We see Anglo moving quickly to explore the properties if / once the agreement is signed. We continue to see fair value at 6.0p, but that is before it receives any cash from Anglo and before any exploration results from Zambia or Botswana. A discovery of size in either country could see the market valuation react positively and rerate significantly if past precedent on other, similar, discoveries is replicated.
RE: RNS Maiden Exploration Drilling Programme Commenced - Kalahari Copper Belt, Botswana16 Aug 2022 08:21
NvS also mentioned in the last investor call that we had been offered another license in Zambia. If we decided to take that up and it was something Anglo is also interested in, that may also need resolving once the Cadastre Department reopens. Not saying that is going to happen, just a possibility.
They are looking to drill the contact between the green and light brown rock formations, this is where all of the nearby deposits have been located, indicated in red on the map. The soil analysis has shown evidence of anomalies above this contact. That’s about as much as I can tell you :-)
RE: RNS Maiden Exploration Drilling Programme Commenced - Kalahari Copper Belt, Botswana15 Aug 2022 14:31
It should be seen as a good thing in my view that the new government is prepared to shut down the licensing in order to root out corruption in the system. Yes it’s frustrating for us but the copper isn’t going anywhere.
I think most people are expecting Anglo to be able to drill year round. If it requires some road building to get equipment moved I’m pretty sure they have the wherewithal to do that.
Presumably it’s an intr day RNS because they just started drilling!
RE: Looking back and Looking Forward15 Aug 2022 08:58
Jonah, I don’t know it’s a reflection of the feed materials grades but with the Cu circuit targeting 12,000 Tonnes per year and the Co circuit having a design capacity of 1,200 Tonnes per year, a ratio of 10:1, that is pretty representative of the dumps around Kitwe which average 0.29% Cu and 0.05% Co. Wherever it’s coming from they clearly think its worthwhile doing and I don’t think they would have quoted the design capacity unless they expected to get something reasonably close to that… time will tell.