Ariana Resources Share Discussion Threads

[kirbs4] 07/12/2020 08:23

Glass half full or empty.. Thankfully share price action is one thing not resolved by opinion, so we will get an answer later :). Not saying anything in the update was bad, just countering the view that the share price will jump, I don't think it will until the deal is completed and timeline around divi at least roughly understood.

[1candc] 07/12/2020 08:20

Glass half full? What about the Venus update? Should help things along I would think

[soulsauce] 07/12/2020 08:19

9.5Mt @ 0.65 copper is worth about $375m finished product that is discounting zinc and PMs.

[kirbs4] 07/12/2020 08:17

Unsure that this will be the transformational day for the sp, circular to be provided this week and approval still required from competition authority. Open ended still.Also, I notice they have specifically stated that the free carry on Salinbas is to development decision only, still good, but Im sure I remember people interpreting it would mean free carry all the way through.A good rns nonetheless, just trying to be realistic about its impact on the share price I think it will be hard confirmation that everything is complete and some form of idea around divi timing that will make this jump.

[1candc] 07/12/2020 08:15

The second RNS seems to have caught the market out, great news on its own let alone the JV

[1candc] 07/12/2020 08:13

Highlight


"The completion of this updated Mineral Resource Estimate for the Magellan Project represents another important step forward for Venus Minerals. A combined resource of 9.5Mt @ 0.65% Cu with significant additional potential for precious-metals and zinc is very much closing in on our initial target of >10Mt @ 0.6% Cu, 0.6% Zn, 0.5 g/t Au and 6 g/t Ag for the Project. Additional exploration and resource drilling in the vicinity of these resource areas is likely to yield further growth of the Magellan resource, and drill planning is being undertaken accordingly.

[nov31] 07/12/2020 08:10

What a. Great day this is shaping up to be - and share price hardly reflecting it yet. pleased to have bagged some more at 5.58

[1candc] 07/12/2020 08:09

A double RNS day!

[1candc] 07/12/2020 08:09

7 December 2020

AIM: AAU



INCREASE IN JORC RESOURCES AT THE MAGELLAN PROJECT, CYPRUS



Ariana Resources plc ("Ariana" or "the Company"), the AIM-listed exploration and development company operating in Europe, is pleased to announce additional resources estimated in accordance with the JORC 2012 Code for the Magellan Project ("Magellan" or "the Project"), which is 100% owned by Venus Minerals Ltd ("Venus")*. Venus is focused on the exploration and development of copper and gold assets in Cyprus. Ariana is currently earning in to 50% of Venus.



Highlights:



· New Sha Sector JORC Mineral Resource Estimate of 1Mt @ 0.80% Cu + 0.3% Zn (Inferred), including a higher-grade zone of 0.5Mt @ 1.13% Cu + 0.3% Zn (Inferred); potential for additional resources to be defined due to lack of modern exploration within the immediate area.



· Significant potential for gold and silver rich zones to be defined within the resource at the New Sha Sector, with a JORC Exploration Target of 0.5Mt to 1.5Mt for 6,500oz to 41,000oz gold at an average grade of 0.40 g/t Au to 0.85 g/t Au.



· Revised JORC Mineral Resource Estimate (stated gross) of 9.5Mt @ 0.65% Cu# (Inferred), with additional potential for gold, silver and zinc-rich zones (up to 0.6% Zn) across the Klirou, Kokkinoyia and New Sha sectors of the Magellan Project.



· New exploration drill-hole planning currently underway to test several target areas within the prospective area.



Dr. Kerim Sener, Managing Director of Ariana Resources, commented:



"The completion of this updated Mineral Resource Estimate for the Magellan Project represents another important step forward for Venus Minerals. A combined resource of 9.5Mt @ 0.65% Cu with significant additional potential for precious-metals and zinc is very much closing in on our initial target of >10Mt @ 0.6% Cu, 0.6% Zn, 0.5 g/t Au and 6 g/t Ag for the Project. Additional exploration and resource drilling in the vicinity of these resource areas is likely to yield further growth of the Magellan resource, and drill planning is being undertaken accordingly.



"Outside of these resource areas, the Venus exploration team have been focused on delivering an initial percussion drilling programme on several new exploration targets identified across its portfolio. These targets have been developed based on a revised geological model and related geological concepts, the results of which will be integrated in to the drill planning for the Magellan area. We look forward to providing further updates on this exploration in due course."



* Further information about Venus Minerals and its projects is available on the Company's website, www.venusminerals.co.



# Resources are quoted gross with respect to the Venus Minerals Ltd earn-in.



This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.



Introduction



Following the completion of the Mineral Resource Estimate for the Kokkinoyia and Klirou deposits (see announcement 15 October 2020), the Ariana and Venus exploration teams are pleased to report the completion of a Mineral Resource Estimate for the New Sha Sector in accordance with JORC 2012. New Sha is the third deposit currently comprising the Magellan Project area (Figure 1).



Copper, gold, silver and zinc mineralisation at the Magellan Project is associated with Volcanogenic Massive Sulphide (VMS) deposition at or near the palaeo-seafloor. The mineralisation contains localised lenses of massive metal sulphides (dominantly pyrite, chalcopyrite and sphalerite) which are surrounded by pervasive chloritic alteration and sulphide dissemination in the volcanic host rocks. The mineralisation is partly structurally controlled, associated with N-S trending horst- and graben-bounding normal faults. Mineralisation is stratigraphically located near, or at the contact between, two gently NNE-dipping (10-20˚) pillow basalt sequences; the Upper Pillow Lavas (UPL) and Lower Pillow Lavas (LPL), of Upper Cretaceous age (90 Ma to 80 Ma) in the Troodos Ophiolite.



Despite subtle variations in their structural and stratigraphic settings, the nature of mineralisation at Kokkinoyia, Klirou and New Sha is broadly similar, comprising massive sulphide lenses, zones of disseminated sulphides, and associated stockworks. Each deposit contains significant amounts of copper, zinc, gold and silver, although the ratios of these elements vary locally. Recent advances in understanding how these deposits form suggest all three Sectors have scope for expansion, and drilling programs are currently being planned.

[kaos3] 07/12/2020 07:54

but good news all the way - just want to clear up the future cash flow streams in general

I ll be buying today if there is an opportunity

[kaos3] 07/12/2020 07:50

we completely agree.

"be free-carried on further costs associated with the feasibility-stage development of the Salinbas Project , up to a development decision"

low capital

building a mine and processing

high capital intensity

pay for the project does equal finance the project or provide finance for the project

[soulsauce] 07/12/2020 07:48

YEEEEEEEAAAAAY great news, never in doubt lol.

Mov31 it's $37.5m now with the 2m from the satellite projects.
Hopefully we will soon hear where new projects and acquisitions are. That is where the real value will be added.

[lottsgold] 07/12/2020 07:40

This part makes that clear?2. be free-carried on further costs associated with the feasibility-stage development of the Salinbas Project , up to a development decision ;

[lottsgold] 07/12/2020 07:39

Ozaltin are paying the 8 million as part of the deal to get us through to mine development and then the company will take on the debt to build the mine from what I understand in the RNS? The new JV will have debts at some point but we should be making plenty of profits as the mines to pay the debts will be up and running?

[kaos3] 07/12/2020 07:34

Lotts - Salinbas is funded by Ozaltin - is it debt? - will Salinbas first repay this debt before there is a free cash flow? Will the whole JV be repaying this debt?

Is it equity? what is the proportion?

TIA

[nov31] 07/12/2020 07:33

Main thing is the deal is done, finalised and agreed. It needs shareholder approval also but all that is perfectly normal. sure some risk remains to the deal but substantially less than before parties finally agree and commit to the deal.

[nov31] 07/12/2020 07:30

Be interesting to see how much the share price increases and whether today bucks the trend when good news ends up seeing us finish in the red. Let's hope for a deep rich navy blue finish today. All LTH deserve it, and despite our frustrations at times, a huge well done to Kerim and MDV!

[cyberbub] 07/12/2020 07:29

Er.... It says still conditional on regulatory approval... After all this time! So that could mean months yet, Turkish bureaucracy is hardly lightning quick?

[nov31] 07/12/2020 07:28

Annoucnement says after costs they have intention of distributing HALF of cash back to shareholders. SO purely speculation but let's say after costs there is $34m of the 35.7m left = $17m back to shareholders. $17m at $1.34 to £1 = £12.69m divided by 1.1bn shares = 1.15p a share dividend. Personally I think they'll distribute back 1p a share as maiden dividend but it could be up to 1.2p

[lottsgold] 07/12/2020 07:27

Kaos I think there will be free cash flow. Tavsan will be funded by debt, and paid when the most is up and running by the cash flow from the mine. Salinbas is funded by Ozaltin. Kiziltepe is very profitable as we have just seen by latest results. We will have plenty of cash, cash flow from multiple mines, Salinbas and Cyprus to add value whilst looking at other opportunities...different animal!

[cbeadle] 07/12/2020 07:23

They could buy a good stake in CHF in Cyprus

[kaos3] 07/12/2020 07:18

so we get 1 divi and then the producing JV cash flow will be used for the mine development, future debt repayments etc. - long time no cash see

we get a bonus of being an exploration contractor to the JV and be rewarded from the JV if we find something good

explore and go on elsewhere with what is left from one off payment on our own - cyprus, Turkey, whole region

- am I correct

will be interesting observing the future AAU cash burn

[paul280i] 07/12/2020 07:16

Plas, how right you were!