Amur Minerals Share Discussion Threads

[peawacks] 02/8/2018 11:52

KAZ is down 23% right now !

[peawacks] 02/8/2018 11:49

Seems KAZ have paid a premium. Why would they do that ?

[callmebwana] 02/8/2018 11:37

Noloss, sorry mate I don't.
A while back about 2/3 Months ago KAZ issued an RNS showing their interest in Baimskaya.
I think this news is very relevant to us AMC holders. What is your view Noloss?

[nolosstillsell] 02/8/2018 11:29

Hi callmebwana

Do you know when Baimskaya produced their PFS please?

[callmebwana] 02/8/2018 10:58

I am a holder of KAZ shares.
There is a buyout of Baimskaya Copper project in Russia by KAZ for $900Million.
The important thing here is that KAZ bought this after a PFS produced by Baimskaya.
LOCATION not very different to AMC.
You can see all the likeness between AMC and Baimskaya on the KAZ website.
KAZ plan to use the winter road initially to start to develop the mine.
Very well worth a read of KAZ website. DYOR etc.

[peawacks] 02/8/2018 10:36

They will all be on, telling us how this is bad news for AMC.

[seaclipper] 02/8/2018 10:26

C`MON GUYS WAKE UP THINGS GIONG ON - Following on from their PFS - KAZ takes them out.




Kaz Minerals (LSE:KAZ)
Intraday Stock Chart
Today : Thursday 2 August 2018

TIDMKAZ
RNS Number : 5958W
KAZ Minerals PLC
02 August 2018
2 August 2018
KAZ MINERALS ACQUIRES
BAIMSKAYA COPPER PROJECT
KAZ Minerals announces that it has agreed to acquire the Baimskaya copper project in the Chukotka region of Russia for $900 million in cash and shares, comprising Initial Consideration of $675 million and Deferred Consideration of $225 million.
Globally significant copper project
-- Baimskaya is one of the world's most significant undeveloped copper assets with the potential to become a large scale, low cost, open pit copper mine
-- JORC resources of 9.5 Mt of copper at an average grade of 0.43% and 16.5 Moz of gold at an average grade of 0.23 g/t
-- Average annual production over first ten years of operations expected to be 250 kt copper and 400 koz gold, or 330 kt Copper Equivalent Production(1) , with a mine life of approximately 25 years, first quartile operating costs and higher grades in the first ten years of operations
-- Pre-feasibility study completed by Fluor
-- Capital expenditure to develop the mine estimated at $5.5 billion(2) , subject to feasibility study
-- Located in a region identified by the Russian Government as strategically important for economic development, Project expected to benefit from state infrastructure development and tax incentives
-- Development strategy, including financing and potential partnering options, to be finalised during feasibility study
-- Significant NPV uplift expected at an attractive IRR
Deal structure overview
-- Consideration structure establishes a strong incentive for the Vendor to assist in delivery of the Project and aligns interests with all shareholders
-- Vendor will not contribute to development capital expenditure due to Deferred Consideration structure
-- Initial Consideration of $675 million for a 75% interest in the Project
- $436 million in cash
- 22.3 million new KAZ Minerals shares to be issued to Vendor or its affiliates, representing 5.0% of current issued share capital(3) , valued at $239 million(4) and subject to a three-year lock-in agreement
- To be paid at Initial Completion, expected in the first half of 2019, after obtaining anti-monopoly and other regulatory approvals and satisfaction of certain other conditions
-- Deferred Consideration of $225 million in cash or shares(4) for the remaining 25% interest in the Project
- If Project Delivery Conditions are satisfied before 31 March 2029, Deferred Equity Consideration of up to 21.0 million shares is payable on the date of Commercial Production, representing up to 4.7% of issued share capital(3)
- Project Delivery Conditions relate to state construction of transport and power infrastructure, confirmation of federal tax incentives and demonstration of year-round shipment from the port of Pevek
- If Project Delivery Conditions are not satisfied, Deferred Cash Consideration of $225 million is payable on the Long Stop Date of 31 March 2029
Oleg Novachuk, Chair, said: "The acquisition of Baimskaya marks the next stage of the transformation of KAZ Minerals. The development of this new project in Russia will enable the Group to continue its industry leading growth, delivering both value and volume as the copper market is forecast to enter a period of significant supply deficit. Through our successful execution of the Bozshakol and Aktogay projects in Kazakhstan we have built a track record for project execution which makes KAZ Minerals the ideal platform to develop this globally significant asset."
A presentation for analysts will be held at 11:00am UK time on 2 August 2018, with a webcast of the presentation available on www.kazminerals.com. A conference call facility will also be available, to participate in listen-only mode please use the following dial-in details:

[seaclipper] 01/8/2018 13:12

Clearly our PFS is purposely being delayed to get as much as possible hard and factual meat on the bone into it, why ? many many reasons for doing that - Funding - tempting future partners - investment - To show the far east forum just what we have with hard facts - the Mou with China - Temptation to others to take AMC out totally - ADVERTISMENT - AMUR MINERALS - FOR SALE ---- ETC ETC ETC.

Bring it on.

[callmebwana] 01/8/2018 10:32

Thanks Mad. Enjoy your books the holiday and the Sun.

[madengland_] 01/8/2018 10:28

Didn't RY call this period the doldrums. Good job I've got a stack good books and sat by the pool.Quite enjoying the doldrums.Bwana- belated happy birthday

[peawacks] 30/7/2018 11:19

I wrote this down some time ago;
"Our decisions don't appear to be right sometimes, but there is a long term strategy " - RY

[seaclipper] 30/7/2018 11:05

If payment in cash is demanded, then AMC would have to find cash, share payment would have been agreed as a option in the first instance BEFORE service was rendered.

[loganair] 30/7/2018 10:34

More dilution, another 7m plus shares issued in the past week.

I think companies have no choice but to accept shares as AMC do not have enough cash to pay the interest or capital off on their loans.

[seaclipper] 30/7/2018 10:27

Very pleasing to see yet again that co`s are happy to take shares in payment for services rendered and not demanding cash - they must be well informed !! and be very happy to do that - bodes well IMOP .

[callmebwana] 29/7/2018 22:36

Roger thank you for your input,
It is worth a look at...seekingalpha.com/article/4159556.
The guy takes a look at Nickel and the best way to invest in it. I found it quite interesting.
The commodity cycle is in an uptrend so it is much better to put money in a commodity that is in an uptrend than in a bank. So after looking at various investments including Black Rock ETF that covers about 20 different commodities, I came to the conclusion to invest in MNOD (Norilisk Nickel). Always check the price of $ before investing if you plan to take a punt.
You can invest in MNOD through ADR's.(ADR =American Depositry Receipts) The reason being its dividend and the product and the company itself. The dividend being average close to 10% if you are invested in around 5 years. Most of the company running costs being met by the by products of, Copper,Cobalt,Platinum etc,etc.It is as safe a company, as any company can be.

Well AMC is there with a lot of the same products but it is going to be a while before it comes into production,unless it has a J/V or is bought out.I first invested in AMC in 2008 because Nickel was very expensive at that given time.

I just thought I would put my views forward as I have a lot of time on my hands.
DYOR and NAI from me.
GLA with AMC.

[rogerhouston] 29/7/2018 18:11

bwana,

Thanks for the good analysis on Ni stocks and prices. The long term trend bodes well for AMC. The only caution is that there are a few mines on care and maintenance that could be restarted quickly as prices rise. Mirabella's Santa Rita comes to mind. Last I heard at the end of 2016 they got no bidders in liquidation.

The best research on NI supply / demand balance used to be from Brook Hunt, who tracked all the existing and potential projects around the world. If anyone has access, it would be helpful to share some of their conclusions with the group.

Cheers,

Roger

[callmebwana] 29/7/2018 12:11

Party time over, now back to NICKEL.

Put a few things right.....All Nickel stock held in LME are 99.99% pure Nickel,not Laterite or Sulfide. Mix with Sulfuric acid and you get Nickel Sulfate for EV batteries.
The price of Nickel today is $6.2142/lb. In 2017 Nickel price rose 27.51%, the lowest being just under $4 from the commodity cycle being in the downturn, it has been over $7/lb a few weeks back.
Nickel price is in an uptrend in 2018 and is forecast to continue in the future.
The highest Nickel stock levels held in LME were just over 470,000 Tons in 2015.
Today LME stock levels are 259,332 Tons and continuing to fall. Source KITCO charts.
I think there will be a shortfall in Nickel supply in the future, it takes quite some time to get a mine producing again after closure.

So how to invest in Nickel? AMC, yes but still with a bit of risk ( Share dilution by the BOD ).
Big Nickel producing miners ? Norilisk Nickel( MNOD ) being the top one or invest with a good dividend. in Pure Nickel ETF ( NICK ). The cost are a bit high in investing in an ETF. AIMHO. Have a good day.
DYOR etc.

[callmebwana] 28/7/2018 13:52

Yes S0lis, thank you for your words of wisdom, but I was very lucky to have traveled a lot in my younger days.I was always a traveler and an adventurer,I still am to a degree.I don't really have many regrets. There is always hindsight in everyone's life.
Though I still have the heart of a 35 year old.LOL :o)

[s0lis] 28/7/2018 12:59

Bwana,

35 again. Ah, the old best days of our lives and we were too busy to enjoy them. Hope you had a good one. As the Spanish wish goes, Health, love and money and time to enjoy them all.

[callmebwana] 28/7/2018 09:24

Thank you Tadska.
I hope you get to do some fishing there.I find it very relaxing.
Yes there are many fighting each other on LSE.That is why he has the moniker Destitute LOL. You also have the Chess Master and a few others spouting rubbish, who have very recently joined with many monikers. Just leave them to it.You don't have to catch a bus to find them.
I have had a good year so far in my portfolio, FFX,,AAZ,PFC,KAZ and a few others. XLM and Tap have not done so well.To be frank, my big caps have done better for me.
Every time I have tried to buy BUR it just keeps climbing up, that is the one I call, the one that got away LOL. :o) I will sell RED sometime,management is not honest there.It is all fun playing snakes and ladders.
Apologies in advance re O/T.
Have a good weekend all.

[qui quaerit reperit] 27/7/2018 22:21

Happy birthday Bwana!:) sorry a bit late but I am in Iceland in a middle of nowhere lol and no internet!Good news and clowns still attacking lse board lol,can see desparate broker wanting to try to look professional lol,he is so desperate that even being a super cleaver stock market fish and multimillionaire he has time to post on lse :)

[duxy786] 27/7/2018 11:41

Happy Birthday Bwana, have a good one fella!

[edjge2] 27/7/2018 11:27

bwana if your birthday recently, congrats. Looks like AMC also congratulating you with a nice rise above 4p. Could easily double as act got together. Base metals seem to be on the rise now along with Cu, gold as usual will rise later. Been filling up with goldies in UK and especially KL in canada. Stonking co is that one, 100% up.