The information on this Website is not reliable and not intended to provide tax, legal, or investment advice. Nothing contained on the Website shall be considered a recommendation, solicitation, or offer to buy or sell a security to any person in any jurisdiction.
CEO.CA members discuss high-risk penny stocks which can lose their entire value. Only risk what you can afford to lose.
@Excelsior@bedrag - Heron Resources has been working on developing their Woodlawn Zinc/Copper project and they are getting the financing together to build out their project. It looks robust enough to me, but I'm no expert. Still with all the excitement in the Zinc space one would think it would have just risen with the rest of the tide. Honestly I don't know why it has lagged so far behind some of the other zinc projects, and I've heard they have fine grain (a little more challenging), but even then, I'd still have expected a bit more movement.
Their best days are in front of them at HER, and they just recently spun out Ardea which was well received and their stake in that company helps their value as well.
As for Callinex, they were doing great, have done some great exploration work, but unfortunately put out some poor results on their last drilling campaign and the marketplace punished them for that. (and likely went overboard on the selloff as fickle investors tend to do).
Personally, I'm a bit more optimistic on how Callinex will do in 2017 and highly anticipate this years exploration activity from them. I've actually been adding to both of these companies recently because they seem quite undervalued relative to their peer group. Cheers!
@PamplonaTraderI was anticipating a favorable response to the first few holes but am most excited about zone 3.
Again the limestone is expected to be near surface and up to 1km thick at zone 3 vs a couple hundred meters thick within the resource area. They could potentially hit some very exciting results when they get around to drilling this target.
I encourage those on the fence about adding to their positions to have a look at the aeromags and zinc-in-soil maps in the last NR.
Many smart people are convinced there is at least 30Mt but the dreamers are looking at those aeromags and zinc-in-soil maps and seeing 100Mt.
Tinka is the name of the Peruvian lottery, right? #zinc
@L.A.@soulMiner Have in mind that $tk was undervalued before the recent drill results. It should have been trading in the .40's all along and maybe even higher considering where $zinc is. $Tk is fairly valued at the moment and ok to add.
@MiningBookGuy@tltooo - i don't own either $TK or $VTT. I don't see the problem here, since they are both considered top early-stage #zinc plays right now.
I wish I owned both of these (and may still buy). But I thought @EvenPrime's posts were relevant and thoughtful. Many $TK focused posts have been very informative. But many are far less useful than what @EvenPrime has posted here. and keep in mind @EvenPrime has a very good reputation and he's only posted 3 times (i think that counts for a lot). Just saying..
@0Kib#RobertFriedland has reduced tail risk for $IVN substantially by letting Chinese take a 40% stake in #Kamoa#Kukula, letting government stake go up by 15% at no extra cost. China is the biggest investor in #DRC and doesn't like to be pushed around. New ruler is very unlikely to play hard ball with this relationship. $CLQ.AX, another RF company, also recently had 20% Chinese investment which further strengthens the bond.He's ceded these project level stakes to ensure longevity. #astute#copper#zinc
@PamplonaTraderRe $EMO - using a 3% Zn cut-off, Masa Valverde is 12Mt @ 8.5% ZnEq for 2.25 Bln lbs.
Also using a 3% cut-off, $RTH Olza is 18.8Mt @ 8% ZnEq for 2.65 Bln lbs.
Calling Masa Valverde a 100Mt #zinc deposit is a bit misleading.
Having said the above, I agree with @TheGalvanizer and @HRA-Coffin, the metal itself is more important than who finds and gets it out of the ground. Glencore doing the smart thing by avoiding operating risks and securing off-takes.
Cambridge's 1.5% NSR can be bought down for roughly the amount Emerita is paying Glencore to acquire the project.
@0Kib$IVN added some more today. Prior to yesterday I had read Kamoa/Kakula as being worth $10 Bn+ of which Kakula was the larger part. With Kakula reserves rising by 2-3x potentially, $IVN 40% share goes up by a few billions not the $150m increase in market cap seen so far. I don't think most of it was priced in prior to yesterday so most of the repricing still lies ahead #copper#zinc
@0KibIsolated projects of $ARL.AX (yerilla for example) have NPV of US$200m+ while the flagship KNP had NPV upwards of US$1 billion the last time 95000m drilling was done. Yet market cap is but US$35m #Nickel#Cobalt#Zinc#Gold
@0Kiblike his elder almost namesake sibling $IVN will either be bought out at a substantial premium, or will become a producer valued substantially higher. One of the two "lesser" projects - Kipushi or Platreef could easily be sold to help fund the Capex for the rest. It's effectively now on auto pilot. #GoTo stock #copper#zinc
@racker“The 40% increase in zinc price over the past year only results in an increase in zinc output of 1-2%. This means that the zinc price will be increasing quite dramatically shortly assuming a modest increase in demand since the miners have still not been presented with the proper economics to justify new capital for developing greenfield mines. Authors opinion only.” @ocotilloredux on #zinc@ocotilloredux/zinc-mining-ramblings-the-summary
@rackerMore mining engineer Doug @ocotilloredux Beattie on #zinc
"Unlike other commodities, zinc mining is becoming more of an underground mining business.
The significance of this is that productivity improvements are much harder to come by due to the nature of the mining
For instance, unlike open pits, equipment cannot get bigger payload wise since it must fit into tunnels of fixed size.
Likewise, skilled underground miners are increasing more expensive to find, train and retain.
The net result is underground mining costs escalating at above annual inflation rates which must eventually be reflected in commodity prices."
@Excelsior$EXN$EXLLF Excellon Reports 2016 Annual and Fourth Quarter Financial Results and Update on Optimization Plan
Thu March 23, 2017 – #Silver#Lead#Zinc#Gold
* 2016 Corporate and Operational Highlights
> Advanced implementation of optimization plan at Platosa, with aim of doubling productivity and halving costs during 2017 — optimization plan in final implementation phase, with dry mining conditions expected during Q2 2017
> Successful financings provided capital for optimization plan and $5 million exploration program at Platosa and addition of key new shareholder, Eric Sprott
> Closed sale of DeSantis Property in Timmins, Ontario in Q2 2016 for shares of Osisko Mining Corporation that have gained +300% since closing of the transaction
> Key exploration results near mine infrastructure include 13 metres of 662 g/t Ag, 4.9% Pb, 25.5% Zn and 0.57 g/t Au and 3 metres of 795 g/t Ag, 9.25% Pb and 25.85% Zn
> Positive initial court resolution from Agrarian Tribunal of litigation with the Ejido La Sierrita
> Negotiated improved offtake terms for 2017 with approximately 60% reduction in treatment and refining charges
>Addition of key expertise to management team with appointment of Vice President Technical Services, Denis Flood, Vice President Geology, Ben Pullinger, and Vice President Corporate Responsibility, Dr. Craig Ford
> Addition of highly-regarded board appointees, Dr. Laurie Curtis and Daniella Dimitrov
** 2016 Financial Highlights
> Revenue of $17.0 million (2015 – $16.2 million)
> Production of 1.3 million #silver equivalent ounces (2015 – 1.4 million AgEq ounces)
> Sales of 1.1 million AgEq ounces payable (2015 – 1.3 million AgEq ounces payable)
> Mine operating earnings of $0.7 million (2015 – loss of $2.5 million)
> Approximately 83% of tonnage mined during 2016 was from outside mineral resources, resulting in minimal depletion of Platosa mineral resources during the year
@PamplonaTraderIn my view, $TK's Ayawilca, $KAR's Aripuana and $SLR's Bongara are three of the best emerging #zinc deposits in South America and Milpo already controls 70% of Aripuana and Bongara. Milpo, Volcan and others could all make a play for $TK.
@PamplonaTrader@internalaudit I think it's pretty obvious that $TK is (by far) my favorite #zinc play. Ticks all the boxes - blue sky exploration potential, cashed up, location, etc etc. I feel $KAR is sitting on the best deposit as currently defined but they are broke and do not control Aripuana. Bongara is least advanced and in a challenging location, though $SLR / $XPL is cheap given their EV and other assets. #zinc
@internalauditAny metal with better prospects than zinc for the next 2-5 years? Also, for metal prices, is there a global regulator that can force prices or is it purely supply/demand that dictates pricing?
click to invite
@0Kib$IVN could well have 100bn+ lbs of copper across #Kamoa#Kakula (previous resource estimate across the two was 59bn lbs which is surely set to go substantially higher after recent step out drilling news). That could well justify a 40+ year LOM with 0.72 Bn lbs annual production (or 2% of global production). Say US$2-3/lb CF at mid/peak cycle (given this lowest quartile cost/capex op) and you get $1.5-2 Bn in CF, or US$600m to US$800m for $IVN's 40% stake. A 10 multiple on that gives you US$6 Bn to US$8 Bn in value just from this asset. That's C$8-11Bn or 3x from the current valuation without counting anything from Kipushi or Platreef or other optionalities. 5x on $IVN is a reasonable not even a stretch target at all. #GoTo stock #copper#zinc
@BSGold price is much less dependent on simple mine supply & demand than other metals (including zinc) because of the large above ground stock. Therefore restarts can work this time around, but #gold price could also drop well below the marginal cost of production for extended periods of time.
That's not the case with #zinc, which is used, not put in a safe or jewellery. For industrial commodities significant increase in supply will likely put a ceiling on prices. Technological advances can have the same result. Look at #oil since the shale revolution
@Samson$zinc I met with Brandon Macdonald, CEO of the soon-to-be-listed zinc company called Fireweed Zinc, at 121 mining conference Hong Kong today. Brandon used to be working with $IDM. They have an option agreement with Hudson Bay that could get 100% interest in the Tom-Jason property in $Yukon. Historical indicated resource is 6.43mt at 6.33% Zn, 5.05% Pb, 56.55g/t Ag and 24.6mt at 6.71% Zn, 3.48% Pb and 33.85 g/t Ag inferred. The property has road access and is about 11 hours drive to the airport. They have filed listing prospectus already and waiting for the approval. The IPO price is 50 cents and the market cap at IPO price is still like 10 million CAD. I couldn't spend enough time talking to Brandon because he is too busy with all the appointments booked and sounded like there is heavy interest in the IPO.
click to invite
@0KibInteresting side note on #Zinc. Industry average op margins are already 45% vs 20% LT average. Top quartile Zinc margins are 63% vs 37% LT average. This means Zinc prices have to fall 40% for margins to approach LT average. Zinc remains the most overbought of base metals. That said, I still love me some $TK (for now).
@MiningBookGuy@Brandon - that all sounds great!
Do you get the impression that Asian (Hong Kong or nearby) investors are far more interested in juniors ( #zinc or any commodity) than they were a year or two ago? Anyone discuss the 'big picture' view of new money coming into the sector?