The Critical Investor examines the latest news from Avrupa Minerals, noting drill results are expected in January 2021
With a second wave of COVID-19 in full swing now across the globe, has finally commenced drilling at its flagship copper-zinc Alvalade project in Portugal, which is operated together with joint venture (JV) partner MATSA (joined company of Trafigura and Mubadala, two commodity giants). Delays due to permitting of land and water caused a five-week setback, but although such limited delays aren’t uncommon in mining, it is good to have things arranged and get into action. (AVU:TSX.V; AVPMF:OTC; 8AM:FSE)
Avrupa and MATSA are focusing first on the Sesmarias massive sulfide discovery, and have planned to drill 7¬,000–8,000 meters over the coming months at Sesmarias and at other targets around the Alvalade license.
A first hole of over 500 meters (500m) has just been completed, with the assays expected in mid- to late January 2021. The hole was drilled halfway between SES008 and SES028 (see green star below) to test the area between the massive sulfide in SES008 and the stockwork zone intercepted in SES028. Additionally, the geo team thought that there could be a second target at depth, based on careful re-logging of previous Avrupa drilling, as well as several historical, pre-Avrupa drill holes collared in the Sesmarias area.
The drill crew has taken time off for the year-end holidays, but will set up in January to continue to drill at northern end of the Sesmarias massive sulfide mineralization, targeting both strike-length and dip-length extensions of the copper-zinc-iron sulfide zone.
The re-logging of previous drilling provided new and better insights into potential targets for new, additional mineralization, and the currently ongoing drill program will test this expansion potential, among other goals. According to CEO Paul Kuhn, MATSA’s strong experience in the Pyrite Belt of Spain has been a driving force for the technical team, and along with the Avrupa geologists has greatly refined the continually developing geological model. The Sesmarias-Lousal District has great potential for significant mineralization, but the targeting is complicated and needs time and experience to unravel the mystery.
Avrupa previously outlined four target zones around the massive sulfide discovery at Sesmarias, beyond down-dip targets along the actual mineral lenses, Lens 2, Lens 8 and Lens 10. See these targets in the map below; I have projected the defined lenses (in orange) as well:
As Lens 8 has seen the least amount of development, the first holes are intended to extend Lens 8 northwest toward the area of the Northern Deep targets, from now on being called the Brejo area. Besides drilling, Avrupa and MATSA have other exploration tools at their disposal. Since I consider the historical resource estimates at Lousal from the former mining days (roughly estimated at 20–30 million tons [Mt]) low-hanging fruit, I am particularly interested in the helicopter-supported VTEM electromagnetic survey, which will commence any day now, covering a large part of the Alvalade License. The area of the survey can be seen on the map below (green dotted line):
For your understanding, the historical Lousal Mine is located at the southern part of the Monte da Bela Vista target panel (green star):
It is anticipated that results from the geophysical program will assist in delineating further massive sulfide targets, particularly in the license area between Sesmarias and the historical Canal Caveira massive sulfide deposit, located at the north end of the license. The survey should normally take a couple of weeks, but according to Kuhn, as the survey takes place about a 100m above surface in hilly terrain, they can’t always fly with the helicopter when it is very cloudy and rainy, which it is right now, so they anticipate the survey to possibly last one to two weeks longer.
As a reminder, the current work program is fully funded by MATSA. MATSA can initially earn a 51% interest in the Alvalade Experimental Exploitation License property by completing funding requirements set out in the JV agreement between the companies. MATSA may then increase their interest in the project to 85% by preparing a bankable feasibility study.
Notwithstanding a second wave of COVID-19, and Trump trying to cause as much trouble possible for Biden before surrendering the presidency, the Chinese economy seems to have recovered, and is picking up steam, which is translating into increasing copper imports and production at smelters, which in turn, besides any ongoing strikes at Latin America copper mines, results in higher copper prices, as can be seen in this chart by Macrotrends:
Copper prices are even closing in on eight-year highs set in 2012, much quicker than I thought, although I must say that the steep rise to multiyear highs can’t go on forever. I cannot imagine there not being any disruptions in copper demand now, with Europe going into staged lockdowns and the U.S. undoubtedly following suit, as their policy isn’t as stringent or effective, and other parts of the world probably suffering as well. The economy of China is still for a considerable part export driven, so a decrease in exports will sustain a dent in copper demand.
On the other side, the quick and seemingly successful development of COVID-19 vaccines by multiple pharmaceutical giants is a strong and very positive signal, which could bring a halt to the upcoming lockdowns shortly. In that case, I view any correction, being it copper demand and pricing, or stock markets, as short-lived. The Biden presidency has a colossal stimulus package standing by, which will undoubtedly kick in when stock markets could start to waver, or might even be used preventively.
Zinc, the second most important metal for Avrupa, has been on fire as well lately, as can be seen here in this chart of Kitco:
I predicted US$1.20/pound (lb) levels for next year a few months ago, but it is already trading at US$1.27/lb. As explained before in my last article about Avrupa, the zinc market is much more complex, as it is controlled by zinc smelters, which can singlehandedly influence zinc pricing and supply. As a reminder, according to the International Lead and Zinc Study Group (ILZSG), a platform formed by the United Nations consisting of all major producing countries and industry players in the lead and zinc sector, several mines could experience problems to nameplate capacity again, but global supply for refined zinc metal will exceed demand significantly in 2020 (620,000 tons), and for 2021 this surplus is expected to be 463,000 tons. In my view, this will prevent the zinc price to go to the lofty 2018 levels, topping even US$1.60/lb levels briefly at the time.
These developments regarding base metal prices are obviously positive for Avrupa, and will encourage MATSA to probably funnel much more money into the project, depending on drill results of course.
As a reminder, the Sesmarias discovery combined with the Lousal historical resources/workings is the obvious target for MATSA, as it generates a 40–50Mt resource potential (Sesmarias 10 Lens is guesstimated by me in an earlier article to contain about 19–20Mt, Lousal a potential 20–30Mt, both guesstimated at 1% copper [Cu] or better). Avrupa and MATSA are looking to see if Sesmarias, Lousal and also Monte de Bela Vista, all several kilometers apart from each other, could form a district scale system.
In an earlier article about Avrupa, I calculated JV project/NPV [net present value] potential estimates for the company at many multiples of the current share price (CA$0.035 now versus CA$0.29-0.45 at feasibility study (FS) stage, unconsolidated, at US$3.00/lb copper, US$1.20/lb zinc). Even the rock-bottom cash compensation for the Avrupa interest per the JV deal (CA$10M) is almost threefold the current market cap, and as this compensation has been negotiated with metal prices at significantly lower levels, I see potential to renegotiate terms if these prices remain at current levels or go even higher in the next few years.
This is all very much forward thinking of course, so let’s focus again on the present. Since Avrupa and MATSA had to wait five more weeks before they could commence drilling, there was more time to do re-logging, sampling and other detective work on old core. I asked CEO Paul Kuhn on the current state of affairs, and he was happy to give me an update on their program again, as he did in October:
- Re-log historical Avrupa-drilled Sesmarias core with MATSA to integrate their knowledge of the Pyrite Belt into the overall understanding of the massive sulfide deposit (remember that they have three operating Pyrite Belt mines in Spain, and at least one new un-announced discovery in the same rocks).
Paul Kuhn (PK)(Oct): We are continuing with this work and have expanded it outwards to several other very attractive zones around the old Lousal Mine, Monte da Bela Vista (7–10 kilometers (km) north of Sesmarias), and around the old Caveira Mine, a further 10 km north of Lousal. While looking for old core for their own projects in several remote storage areas, MATSA also discovered more old drill core from the Lousal and Caveira areas.
PK (Dec): This work will continue until drilling restarts in mid-January.
- Initial logging and possibly sampling of historical core prior to Avrupa’s involvement at Alvalade. They have access to at least 10,000 meters of old core that has not been looked at for years.
PK (Oct): MATSA discovered at least eight holes drilled a long time ago around Lousal and Caveira. The old core was stored and basically forgotten over the years, partially because of the hazardous condition of the boxes stacked in piles 3–4 meters high, and leaning dangerously. We are working on properly locating the old drill collars corresponding with those cores, and have already successfully located three of the eight collar locations. We are working on the others, in the vicinity of the Lousal workings.
PK (Dec): For the moment, we are still at three locations. Work on other historical core, close to our present drilling area, has taken some priority, as it directly assists in planning and expectations.
- Considering use of ionic leach geochemistry, to help identify and follow the trend of the Sesmarias mineralization. This is a relatively new geochemical technique that utilizes ultra-trace detection methods to find ions of many different elements that may indicate the presence of buried massive sulfide mineralization. We have done some orientation surveys over known mineralization at Sesmarias, and it seems to work quite well.
PK (Oct): We have proposed doing this, at least in a first trial orientation survey of some 500 samples. The only issue at the moment is manpower and access.
PK (Dec): Access permits are in place, but drilling and drill-related work are taking priority over any other tasks.
- Review all of the old Lousal Mine data and geology in order to consider new drill targets. It is reasonable to assume that Lousal and Sesmarias were all part of the same deposit a long time ago. Are there more sulfide lenses out there between Lousal and Sesmarias (7 km apart)? How much more of the remaining Lousal mineralization might be available for exploitation? Possibly 30–35 million metric tonnes of massive sulfide remaining within the old Lousal workings?
PK (Oct): Continuing work here seems to point to that possibility. One of the reasons for the re-log is to consider this in detail and provide new drill targets between Sesmarias and Lousal, as well as around Lousal itself. Some of the newly discovered historical drilling may help us with very near exploration at/around the Lousal Mine.
- Review old core from the Monte da Bela Vista (MBV) stockwork zone to see where the ore deposit may be hiding. MBV is located 1.5–2 km north of Lousal, giving us over 9 km of strike length in this district.
PK (Oct): As soon as we finish with Sesmarias, we will tackle the MBV core. We’ve already looked at a couple of the MBV holes, and this is helping us define how we plan to drill at MBV.
PK (Dec): The new work that we have been doing is closely related to what we will see at MBV. The whole area has been heavily deformed by geological processes since deposition of the massive sulfide mineralization, making it more of a challenging detective job to make the best target decisions. However, there are many geological similarities between the target areas, so this new Sesmarias work will be quite helpful in future work at MBV and Lousal.
- Review the old Caveira Mine data and drilling. Caveira is under-explored and is located only 9.5 km north of Monte da Bela Vista. We only drilled one or two holes in the area when we were working with Antofagasta years ago.
PK (Oct): This is the same as at Lousal. Two of the guys are looking at the historical Caveira drill holes right now.
PK (Dec): However, Sesmarias work is taking big priority right now. We will have more time to get back to Caveira and other places in the coming year.
- Review and compile exploration data for the rest of the license, as there are lots of targets to be explored.
PK (Oct): We are really concentrating on Sesmarias, Lousal and Monte da Bela Vista right now. Just started on the Caveira holes, and we are also reviewing the old gravity and magnetics studies to help with the targeting between MBV and Caveira. The partner’s geologist is quite interested in anomalism (geophysical and geological) located at a place called Cabeça Gorda, which is located about halfway between Caveira and MBV.
PK (Dec): The VTEM survey will give us a whole new package of targeting data!
- Drill targeting with the hope of starting drilling by the beginning of September.
PK (Oct): We were delayed in starting up by general pandemic considerations impacting, for example, holiday seasons. As well, we have found a real lack of employable persons in the immediate area of the project. We are now realizing that we need to continue with the re-logs of Sesmarias in more detail than expected, and integration of the two partners’ databases has taken time. Land access has been more difficult than expected or planned for in the Sesmarias area, so we are utilizing the time to push ahead on other attractive targets in areas of already known mineralization close to Sesmarias. We are looking at starting our drilling to the north of Sesmarias at Monte da Bela Vista and around the Lousal area, most likely in November.
PK (Dec): Obviously now we are up to speed in the program. The first drill hole has been finished, we are working on sampling that one and continuation of review of previous work. Technicians and geologists are all in place, the database coordination is ongoing but doing well. Access to areas of interest is fine in the northern half of the Sesmarias area and on into the Brejo zone.
While MATSA is doing most of the heavy lifting at Alvalade, together with the geologists of Avrupa, Kuhn has some more time on his hands now and is looking for other interesting projects. It is anticipated after the upcoming 4-to-1 share consolidation at the end of December, which has been approved at the latest AGM on Dec. 14, that the company could raise more money easily, at a share price that is more interesting for funds, which already indicated their interest. Avrupa is still trading at rock-bottom prices (market cap of just CA$3.8M), which, at least in my view, isn’t entirely justified considering developing fundamentals:
Share price Avrupa Minerals; 5-year time frame (Source: tmxmoney.com)
According to Kuhn, a new raise is being discussed for January-February.
On a closing note: COVID-19 isn’t going by unnoticed in Portugal, but fortunately a complete lockdown isn’t in the cards yet. The area Avrupa is working in is very remote, and drill/helicopter crews can work very independently as they have brought in all materials by themselves, all paid for by MATSA.
Finally, Avrupa has been able to get all necessary drill-related permits, and the first drill hole has been completed at Alvalade, with drilling continuing in mid-January next year. The airborne VTEM survey is about to begin, and will hopefully, and likely, bring in lots of targets, as can be expected with several historical mines and remaining historical resources being present. After a 1:4 roll-back, new funds could come in within a few months, making it possible for Avrupa to look into other projects as well.
Alvalade, being an intensively drilled and mined brownfield project in the past, with 40–50Mt copper/zinc potential, could be brought back to life on the hands of JV partner and powerhouse MATSA, especially with copper prices riding at seven-year highs, and as such Avrupa represents an interesting investment opportunity, in my view, but is still hovering at very modest prices.
I hope you will find this article interesting and useful, and will have further interest in my upcoming articles on mining. To never miss a thing, please subscribe to my free newsletter on my website www.criticalinvestor.eu, in order to get an email notice of my new articles soon after they are published.
The Critical Investor is a newsletter and comprehensive junior mining platform, providing analysis, blog and newsfeed and all sorts of information about junior mining. The editor is an avid and critical junior mining stock investor from The Netherlands, with an MSc background in construction/project management. Number cruncher at project economics, looking for high quality companies, mostly growth/turnaround/catalyst-driven to avoid too much dependence/influence of long-term commodity pricing/market sentiments, and often looking for long-term deep value. Getting burned in the past himself at junior mining investments by following overly positive sources that more often than not avoided to mention (hidden) risks or critical flaws, The Critical Investor learned his lesson well, and goes a few steps further ever since, providing a fresh, more in-depth, and critical vision on things, hence the name.
Critical Investor Disclaimer: The author is not a registered investment advisor, and currently has a long position in this stock. Avrupa Minerals is a sponsoring company. All facts are to be checked by the reader. For more information go to www.avrupaminerals.com and read the company’s profile and official documents on www.sedar.com, also for important risk disclosures. This article is provided for information purposes only, and is not intended to be investment advice of any kind, and all readers are encouraged to do their own due diligence, and talk to their own licensed investment advisors prior to making any investment decisions.
Streetwise Reports Disclosure:
1) The Critical Investor’s disclosures are listed above.
2) The following companies mentioned in the article are sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Avrupa Minerals, a company mentioned in this article.
Charts and graphics provided by the author.
( Companies Mentioned: AVU:TSX.V; AVPMF:OTC; 8AM:FSE,
St-Georges Announces the Closing of the $5.57M Offering
Montréal – November 30, 2021 – St-Georges Eco-Mining Corp. (CSE:SX) (OTC:SXOOF) (FSE:85G1) (CNSX:SX.CN) is pleased to announce the closing of its…
Montréal – November 30, 2021 –( ) (OTC:SXOOF) (FSE:85G1) (CNSX:SX.CN) is pleased to announce the closing of its previously announced non-brokered private placement offering of 10,127,273 “flow-through” units at a price of $0.55 for total gross proceeds of $5,570,000.15. A total of 11 subscribers participated, including 4 insiders for $305,000 and 3 institutional investors in Sprott Assets, Maple Leaf and Marquest for $3,725,000 or 66.8%.
Each FT Unit is comprised of one (1) common share in the capital of the Company on a “flow-through” basis (each, a “FT Share”) and one half (0.5) FT Share purchase warrant (each, a “FT Warrant”). Each full FT Warrant entitles the holder thereof to purchase one (1) Share at an exercise price of $0.65 for a period of 24 months (the “Warrant Expiry Date”).
In the event that, during the period of 4 months following the closing date of the Offering, the trading price of the Shares on the Canadian Securities Exchange (the “CSE”) reaches $1.25 per Share on any single day, the Corporation may, at its option, accelerate the Warrant Expiry Date by delivery of notice to the registered holders (an “Acceleration Notice”) thereof and issuing a press release (a “Warrant Acceleration Press Release”, and, in such case, the Warrant Expiry Date shall be deemed to be 5:00 p.m. (Montreal time) on the 30th day following the later of (i) the date on which the Acceleration Notice is sent to warrant holders, and (ii) the date of issuance of the Warrant Acceleration Press Release.
The Corporation will use the proceeds of the Offering to further advance the exploration effort on its wholly owned Manicouagan Project following important recent developments.
The Corporation paid finder fees of $302,700.01 in cash and issued: (i) 557,273 non-transferable Finder’s warrants entitling the holder thereof to purchase at an exercise price of $0.65.
All securities issued pursuant to this Offering are subject to the applicable statutory hold period ending March 31, 2022. The Offering is subject to the approval of the CSE.
Related Party Transaction
Certain insiders of the Corporation subscribed for a total of 554,545 FT Units under the Offering, which is a “related party transaction” within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The issuances to the insiders are exempt from the valuation requirement of MI 61-101 by virtue of the exemption contained in section 5.5(b) as the Corporation’s shares are not listed on a specified market and from the minority shareholder approval requirements of MI 61-101 by virtue of the exemption contained in section 5.7(a) of MI 61-101 in that the fair market value of the consideration of the securities issued to the related parties did not exceed 25% of the Corporation’s market capitalization. The Corporation did not file a material change report more than 21 days before the expected closing of the Offering as the details of the Offering and the participation therein by related parties of the Corporation were not settled until shortly prior to closing and the Corporation wished to close on an expedited basis for sound business reasons.
ON BEHALF OF THE BOARD OF DIRECTORS
“Neha E. Tally”
NEHA EDAH TALLY
St-Georges develops new technologies to solve some of the most common environmental problems in the mining sector, including maximizing metal recovery and full circle EV battery recycling. The Company explores for nickel & PGEs on the Julie Nickel Project and the Manicougan Palladium Project on Quebec’s North Shore and has multiple exploration projects in Iceland, including the Thor Gold Project. Headquartered in Montreal, St-Georges’ stock is listed on the CSE under the symbol SX and trades on the Frankfurt Stock Exchange under the symbol 85G1 and on the OTCQB Venture Market for early stage and developing U.S. and international companies. Companies are current in their reporting and undergo an annual verification and management certification process. Investors can find Real-Time quotes and market information for the company on www.otcmarkets.com.
The Canadian Securities Exchange (CSE) has not reviewed and does not accept responsibility for the adequacy or the accuracy of the contents of this release.
These 18 ASX resources IPOs are due to list in December. EIGHTEEN.
It’s like an advent calendar for mining and exploration IPOs, except instead of factory floor chocolate you get gold. GOLD. … Read More
The post These…
It’s like an advent calendar for mining and exploration IPOs.
Please note that these listing dates are extremely speculative. If you’re interested, contact the company direct for a better idea of when they expect to start trading on the ASX.
COSMOS EXPLORATION (C1X)
Focus: Gold, Copper and Nickel
Tentative Listing Date: 1 Dec
The RareX (ASX:REE) spinoff wants to raise $5m through its IPO. It has two projects: ‘Byro East’ (nickel-copper-PGEs) in WA and ‘Orange East’ (gold) in NSW.
Byro East was pegged by $45m market cap rare earths explorer RareX last year. It is very greenfields — having never been drilled — but Cosmos has identified four areas which could be prospective for Ni-Cu-PGEs.
Based on past exploration work, Cosmos has also identified several gold-copper targets at the small 40sqkm ‘Orange East’ project.
ORANGE MINERALS (ASX:OMX)
Focus: Gold, Copper
Tentative Listing: 3 Dec
Orange, which is looking to raise $7m in an IPO, is hunting for copper-gold in two major regions: Lachlan Fold Belt (NSW) and Eastern Goldfields (WA).
The NSW assets are close to major gold mines like Cadia (43.4Moz). In WA, it has ground within 25km of Lefroy’s (ASX:LEX) ‘Burns’ copper gold discovery (38m @ 7.63g/t gold, 0.56% copper).
A minimum 1,500m of drilling is planned following listing, with maiden resource at ‘Calarie’ gold project in NSW forecast for early 2022.
Focus: Gold, Nickel, Copper, PGEs
Tentative Listing Date: 3 Dec
The FirstAU (ASX:FAU) spinoff wants to raise between $8m and $12m through its IPO. It has lodged its prospectus with ASIC and is seeking to listing on the ASX around 3 December.
It has five projects in WA. Its flagship is ‘Talga’ project in the East Pilbara, a leading exploration location with new discoveries made nearby by Calidus Resources (ASX:CAI) at its ‘Warrawoona’ project and De Grey Mining (ASX:DEG) at Hemi.
The potential targeting of ‘Hemi-like’ intrusions within the East Pilbara projects present an exploration opportunity for 8AU “as both the exploration areas of the Talga JV and Railway Well project are located in a comparable geological environment”, it says.
LARVOTTO RESOURCES (ASX:LRV)
Focus: Gold, Copper, Cobalt, Nickel, PGEs
Tentative Listing Date: 6 Dec
Larvotto is looking to raise up to $6m in an IPO. It has three main projects: ‘Mt Isa’ (copper-gold-cobalt in Queensland), ‘Eyre’ (nickel-gold-PGEs in WA) and ‘Ohakuri’ (gold in NZ).
Mt Isa — acquired from Minotaur Exploration and Rio Tinto — is in a well-endowed, world-class copper and gold region.
Nearby deposits include the Mount Isa Mines Operation (MIM), Ernest Henry, E1, Swan-Mt Elliott, Starra, Osborne, Little Eva, Eloise, Jericho, Barbara, and Kulthor.
Larvotto says the project, although adjacent to the famous MIM operation, has been underexplored using modern exploration techniques.
AMERICAN WEST METALS (ASX:AW1)
Focus: Zinc, Copper, Indium
Tentative Listing Date: 7 Dec
John Prineas-chaired American West wants to raise $11m through its IPO. It has three advanced, high grade base metal projects in Utah focused on copper and zinc; two of which already have significant resource estimates.
The ‘West Desert’ project already hosts a 59Mt historical zinc-copper resource defined under Canadian NI-43-101 standards.
Following admission to the ASX, American West will undertake work to establish a JORC compliant resource – a must-have for ASX listed companies — and will further assess development potential with scoping studies.
The company will also continue exploration across the large and underexplored project area “where high-grade intersections of copper and zinc have already been encountered outside the resource envelope, indicating strong potential for further discoveries”.
RUBIX RESOURCES (ASX:RB6)
Focus: Copper, Nickel, PGEs, Zinc, Gold
Tentative Listing: 8 Dec
Rubix is looking to raise $4.5m in an IPO.
Its key asset is ‘Paperbark’, 25km from the ‘Century’ mine held by New Century Resources (ASX:NCZ) in North Queensland.
Supporting the Paperbark Project are three greenfields (unexplored) projects: ‘Etheridge’ (gold in Queensland) ‘Lake Johnston’ (nickel, copper, PGEs in WA) and ‘Collurabbie North’ (nickel, copper, PGEs in WA).
PANTHER METALS (ASX:PNT)
Focus: Gold, Nickel
Tentative Listing: 10 Dec
WA-based PNT, a subsidiary of London-listed Panther Metals PLC, raised $5m in an IPO.
Initial drilling will take place at the Coglia nickel-cobalt project, where a JORC compliant exploration target of 30-50 million tonnes at 0.6-0.8% nickel and 400-600 parts per million cobalt has already been defined.
The Merolia gold project is also high on Panther’s agenda, with immediate drilling also planned at the ‘40 Mile Camp’ 2.5km by 5km gold anomaly.
RONIN RESOURCES (ASX:RON)
Focus: Gold, Copper, Coal
Tentative Listing: 10 Dec
Colombia-focussed Ronin is looking to raise $5m in an IPO.
The company’s main game is ‘Vetas’: a large, high-grade, thermal coal project containing a JORC Compliant Exploration Target.
The Santa Rosa Project is an earlier stage gold and copper project “located in a prolific artisan mining district”.
HARANGA RESOURCES (ASX:HAR)
Focus: Gold, Uranium, Lithium
Tentative Listing Date: 13 Dec
The African gold, lithium and uranium explorer wants to raise up to $6.5m in an IPO.
‘Saraya’ in Senegal is an advanced-stage uranium-lithium-tin project explored by French Government-owned Areva prior to 2010. That work included an estimated 48,000m drilling.
The project is mainly hosted by granites and pegmatite units which is also prospective for lithium, tin, tantalum and niobium, with spodumene (lithium minerals) having been visually reported.
INFINTY MINING (ASX:IMI)
Focus: Gold, Lithium, Nickel
Tentative Listing Date: 14 Dec
It will have 19 tenements covering 711sqkm in the Pilbara and Central Goldfields.
ARMADA METALS (ASX:AMM)
Focus: Nickel, Copper, PGEs
Tentative Listing Date: 15 Dec
Armada wants to raise between $8m and $10m through its IPO.
It has 2,991sqkm of ground in the Nyanga Province, Gabon which includes several drill-ready nickel-copper targets like ‘Libonga North’, ‘Libonga South’ and ‘Matchiti Central’.
With over U$10m spent on exploration to date, Armada plans to hit these targets hard with drilling over the next two years.
CHEMX MATERIALS (ASX:CMX)
Focus: High Purity Alumina, Kaolin, Manganese
Tentative Listing Date: 20 Dec
ChemX — more advanced materials technology company than aspiring miner– wants to raise $7m through its IPO.
It says it has developed a proven process to produce High Purity Alumina (HPA), a critical input for battery technology.
ChemX plans to develop this ‘HiPurA’ HPA tech, as well as the ‘Kimba’ kaolin-halloysite and ‘Jamison Tank’ manganese projects in South Australia where exploration drilling is scheduled to kick off in Q1 2022.
DMC MINING (ASX:DMM)
Focus: Nickel, Gold
Tentative Listing Date: 22 Dec
WA-based nickel explorer DMC wants to raise $5m through its IPO. It has two projects: ‘Ravensthorpe’ and ‘Fraser Range’.
Ravensthorpe is a nickel and gold project next door to’ (FQM) open-pit nickel mine and the RAV8 sulphide nickel mine. There has been limited historical exploration within the project, DMC says.
The 873sqkm of Fraser Range tenements makes DMC one of the largest junior landholders in the region, which is best known for its company-making Nova nickel discovery.
FALCON MINERALS (ASX:FAL)
Tentative Listing Date: 22 Dec
This hotly anticipated Chalice Mining (ASX:CHN) spinoff will be chaired by Mark Bennett, discoverer of the aforementioned Nova nickel discovery.
Falcon wants to raise between $15m and $30m through its IPO to tackle three projects: Pyramid Hill (VIC), Viking (WA), and Mount Jackson (WA).
Pyramid Hill — CHN’s No 1 focus before it hit the motherlode at Julimar – is highly prospective for high-grade gold deposits like the nearby, world-class Fosterville mine.
Since 2018, CHN has completed ~124km of drilling across the ~5,000sqkm project, defining four large scale prospects.
They include ‘Karri’, which is defined by shallow gold hits up to 34g/t over ~4km of strike, and ‘Banksia’, a giant 10km-long anomaly which returned hits up to 8.7g/t.
ARBARTA RESOURCES (ASX:AB1)
Focus: Gold and Base Metals
Tentative Listing Date: 23 Dec
Arbarta wants to raise between $5m and $7m through its IPO. It has three exploration projects in WA – ‘East Laverton’, ‘England’ and ‘Edward’.
East Laverton sits on~ 1200sqkm of its namesake underexplored East Laverton Greenstone Belt.
Greenstone belts host economic deposits of many minerals — including silver, copper, and zinc — but they are best known for gold.
Edward is also in an area of underexplored greenstone belt on trend to the south of the ‘Marvel Loch’ and ‘Transvaal’ deposits, and ~40km from the Marvel Loch processing facility.
England is next door to the Granny Smith processing facility in Laverton owned by miner Gold Fields. This means any discovery could be developed quickly, it says.
SOLIS MINERALS (ASX:SLM)
Tentative Listing: 24 Dec
The South American copper play is looking to raise $6m in an IPO.
It is already listed on the TSX, so this IPO is designed to “significantly enhance its exposure to investors in the ASX market, which has a dynamic and deep junior resources exploration sector”.
Solis has three large-scale copper exploration projects in Chile and Peru.
The recently acquired ‘Mostazal’ project in Chile has a multi-kilometre porphyry target to be drill-tested this year, underneath a high-grade copper-silver historical resource.
Solis also owns the ‘Ilo Este’ and ‘Ilo Norte’ projects in Peru’s southern coastal copper belt, prospective for porphyry and IOCG discoveries.
VERTEX MINERALS (ASX:VTX)
Tentative Listing: 24 Dec
This gold explorer is looking to raise $5.5m in an IPO. It has four projects: ‘Hill End’ (NSW), ‘Hargraves’ (NSW), ‘Pride of Elvire’ (WA), and ‘Taylors Rock’ (WA).
Hill End is in the region where the Beyers and Holtermann nugget — the largest single piece of reef gold ever discovered — was found. This is the nugg itself:
ANDEAN MINING (ASX:ADM)
Focus: Copper, Gold
Listing: Just before Xmas
Andean (expected code: ADM) seeks to raise up to $7m through its initial public offering that is due to close on 9 December.
Its relatively advanced ‘El Dovio’ copper-gold (with silver and zinc) project in Colombia is a volcanogenic massive sulphide system –deposits that are rich in base and precious metals like copper, zinc, lead, gold, and silver.
Because these deposits tend to ‘cluster’ together, VMS camps – like DeGrussa on Western Australia — can often be mined for a very, very long time.
Nearby VMS projects include producing ‘El Roble’ mine, which has mined ore plus reserves totalling 3.89Mt grading 2.77% copper and 2.44 grams per tonne (g/t) gold, and ‘El Alacran’ (4.8Mt at 1.4% copper and 0.83g/t gold).
El Dovio is also close to other significant mining projects such as AngloGold Ashanti’s 28 million oz gold equivalent (AuEq) ‘Quebradona’ project and Zijin Mining’s 12Moz ‘Buritica’ gold mine. Great neighbourhood.
The post These 18 ASX resources IPOs are due to list in December. EIGHTEEN. appeared first on Stockhead.
M&A: Capstone Set to Merge With Mantos Copper
Capstone Mining Corp. [CS-TSX] said Tuesday it has agreed to merge with Mantos Copper, a…
CS-TSX] said Tuesday it has agreed to merge with Mantos Copper, a Chilean-focused company that is run by British investment firm Audley Capital Advisors and Orion Mine Finance.[
Upon completion of the transaction, Mantos will be renamed Capstone Copper Corp and will remain headquartered in Vancouver. It will also apply to have its shares listed on the Toronto Stock Exchange.
The transaction will establish Capstone Copper as a premier copper producer with a diversified portfolio of high-quality, long life operating assets focused on the Americas with an extensive pipeline of near-term organic growth opportunities.
It will feature a 2021 copper production base of 175,000 tonnes of copper from four mines and 4.9 million tonnes of copper reserves.
On November 29, 2021, Capstone shares closed at $6.15 and currently trade in a 52-week range of $6.64 and $1.80.
Capstone is a Canadian base metals mining company with a focus on copper. Its portfolio includes the Pinto Valley copper mine in Arizona, and the Cozamin copper-silver mine in Zacatecas, Mexico. In addition, Capstone holds a 70% interest in Santo Domingo, a large scale, fully-permitted, copper-iron-gold project in Region 111, Chile, in partnership with Korea Resources Corp.
Earlier this year, the company closed a US$150 million streaming agreement with WPM-TSX, WPM-NYSE) covering 50% of the silver production at Capstone’s Cozamin mine.(
Capstone described the deal as transformational, giving it one of the lowest debt positions amongst base metal producers at a time when he is expecting significant copper production and cash flow growth.
In 2021, Capstone has said it expects to produce between 175 and 190 million pounds of copper at a cash cost of between US$1.75 and US$1.90 per pound.
The company is currently advancing two operational growth projects (at Cozamin and Pinto Valley) in a bid to sustain 200 million pounds of copper production, starting in 2022.
Under the deal announced Tuesday, each Capstone shareholder will received one newly issued Capstone Copper share for each Capstone share held. Existing Mantos shareholders will continue to hold Capstone Copper shares.
Once the transaction is complete, former Capstone and Mantos shareholders will collectively own 60.75% and 39.5% of Capstone Copper respectively.
John MacKenzie, Executive Chairman and founder of Mantos, will become CEO of Capstone Copper. Darren Pylot, currently President and CEO of Capstone, will become Executive Chair of the new company.
The combined company anticipates production growth of over 45% by 2024 to 260,000 tonnes of copper annually form fully financed projects.
Upon completion of the transaction, Mantos’ largest shareholder, funds managed by Orion Resource Partners, will become an approximately 32% shareholder of Capstone Copper.
First Cobalt (Renamed Electra Battery Materials) – 6 Ways to WIN!
Emerging Supply Gap in 2nd Half of this Decade Necessitates New Slew of Copper Mine Projects
Top Rare Earth Stocks to Consider Heading into 2022
Is the Newfoundland Gold Junior Sell-Off Done?
Top Copper Stocks To Watch
Is Phosphate Rock Sexy? Yes! And, Arianne Phosphate is Looking Hot
Defense Metals Delivers Excellent PEA – Shares Up 8.7% Today
Metalstech drops the Tlamino purchase option
Antipa proves ‘camp-style’ gold-copper potential right next door to Newcrest in the Paterson
Hot Gold Stocks To Add To Your Watchlist
Articles9 hours ago
Hot Gold Stocks To Add To Your Watchlist
Economics7 hours ago
“Team Transitory” Is Dead After Powell Says “Time To Retire Word Transitory Regarding Inflation”
Articles17 hours ago
Metalstech drops the Tlamino purchase option
Articles21 hours ago
New World Resources’ Antler resource is just the tip as drilling extends mineralisation beyond 680m down-dip
Articles19 hours ago
Lunnon Metals charts path to success in world-class nickel domain after transformative year
Articles19 hours ago
Galan Lithium’s PEA returns robust economics for 25-year Candelas Lithium project
Articles21 hours ago
REZ completes first Granny Venn gold milling campaign at higher grade, recoveries
Articles23 hours ago
Matador extends mineralisation at Cape Ray gold project, plans greenfield drilling in 2022