Asiamet Resources Share Discussion Threads

[mrpiggy] 18/10/2018 20:17

Very well said Dorset64, I think you summed up virtually all investors feelings on here. Let's hope they dont bring out an Asiamet advent calendar this year unless they have Tony Manini as the Grinch for Christmas Day with Peter Bird as his trusty dog!

[plasybryn] 18/10/2018 20:01

So are Steve & Toni together at Canube Copper?

[tektonik] 18/10/2018 20:00

HG - this is exactly my thinking now I've had a bit more time to reflect. The whole process has laboured for a reason and I think this is fundamentally due to the unwillingness of financiers to get on board with the current economics of the BKM project. Economics which on paper aren't bad but are maybe somewhat risked? Thanks for sharing the resource profile once more - I feel the c.34% inferred resource is viewed as c.34% risk in the current climate for those providing the funds - far too high for the potential money that would be lent. Has the net feedback from all prospective lenders ultimately concluded at discomfort with this figure - drill and mitigate please?

I'm confident the resource is more than there but there's just too many questions that need answers now, especially as BKM BFS and finance were the real key milestones to be hit for a junior explorer transitioning to a producer. I've just listened to the podcast again and I have to agree with Dorset that it was quite poorly delivered and are very stuttered and startled. I do understand the need to communicate to shareholders when the share price has tanked so I don't really attribute blame too heavily for this. Hindsight is a wonderful thing afterall.

Fundamentally, have the team been stretched across too many targets and deposits? Beutong being a large distraction from what should have been the primary focus and effort of the organisation? An irony that they have an embarrassment of riches without a clear long term strategy (that includes contingency), or potent enough focus to thoroughly progress these targets? For the first time in my investment I do feel as if they've failed us here and not just because the share price has dropped almost 40%. These are questions I and certainly others here have been asking for a while.

I tend to try and be positive as much as possible - the resource is still in the ground, the team, whilst letting their shareholders down on this occasion, still have a vast amount of experience and have likely faced much worse situations, we head ever closer to greater copper deficits and higher copper prices. Let's finish blue tomorrow and enjoy our weekends. Good luck all!

[hawks11] 18/10/2018 19:59

China is not far away and you never know what they might get up to.

[europa79] 18/10/2018 19:55

We've had a few pings of late but today leaves one massive pong!

[wisteria2] 18/10/2018 19:54

Its the political risk coupled with is the company going to rob the locals, and who's going to fund the next round of drilling?.... out at loss. gla holders

[hawks11] 18/10/2018 19:54

VOX Markets: hxxps://www.voxmarkets.co.uk/articles/asiamet-resources-versarien-54926b9/
TM starts off no mention of any bad news. Beautong six times larger than BKM.

[waterloo01] 18/10/2018 19:48

It's a bit of a f@ck up, but all is not lost. This doesn't suddenly go to no value, however the risk premium has been made clear today. I bought back a small amount at 7, but unless a white knight is in the wings, it's a long haul back North

[mr roper] 18/10/2018 19:39

After today’s calamity, too much risk for me just now. Indo elections next year right when we’ll be looking for finance. Not a great position to be in. Wonder how Carube Copper is doing. Good diversification by the bod.

[neo26] 18/10/2018 19:34

Indonesia is not a good place to invest, period.Crooks of the highest standard. Imho

[freddie ferret] 18/10/2018 19:27

But will the demand be there?
Cu price is falling.

[the deacon] 18/10/2018 19:25

So is the BFS showing this as uneconomic at today's prices, and thus an inability to obtain finance to take it forward? As you say, the resource is unquestionably there..

[highly geared] 18/10/2018 19:20

Reminder from June 2017 RNS:

Asiamet Resources BKM Resource Update

Copper contained in Measured and Indicated Resources increases 207%

Asiamet Resources Limited ("ARS" or the "Company") is pleased to report
an updated Mineral Resource estimate for the Beruang Kanan Main ("BKM")
deposit within the Company's 100% owned KSK Contract of Work in
Kalimantan, Indonesia. The Resource has been independently estimated by
Duncan Hackman of Hackman & Associates Pty Ltd (Australia) and a
Technical Report compliant with NI 43-101 will be published and
available on the Company's website and SEDAR (www.sedar.com) within 45
days of publication of this news release. As required under NI 43-101
Measured, Indicated and Inferred Resources are reported separately
below.

HIGHLIGHTS


-- Resource confidence significantly upgraded with contained copper in
Measured and Indicated Resources increased by 207% in comparison to the
October 21, 2015 BKM Mineral Resource estimate. The BKM Copper deposit is
now estimated to contain Measured and Indicated Resources of 49.2 million
tonnes at 0.70% copper containing 711.3MIbs (322,600 tonnes) of copper at
a 0.2% copper cut-off grade (see Table 1 for details).


-- Additional 66Mlbs (30,000 tonnes) of contained copper (0.2% copper
cut-off grade) added to the BKM Resource inventory.



-- Beruang Kanan Main Resources are now estimated as:




o Measured Resources of 20.5 million tonnes at 0.7% Cu containing
325.7MIbs (147,700 tonnes) of copper at a 0.2% copper cut-off grade
(refer Table 1). The October 21, 2015 BKM Mineral Resource estimate
contained no Measured Resources.

o Indicated Resources of 28.7 million tonnes at 0.6% Cu
containing 385.6MIbs (174,900 tonnes) of copper at a 0.2% copper cut-off
grade (refer Table 1). The October 21, 2015 BKM Mineral Resource
estimate contained 15.0 million tonnes at 0.7% Cu containing 231MIbs
(105,000 tonnes) of copper.

o Inferred Resources of 17.7 million tonnes at 0.6% Cu containing
241.0MIbs pounds (109,300 tonnes) of copper at a 0.2% copper cut-off
grade (refer Table 1). The October 21, 2015 BKM Mineral Resource
estimate contained 49.7 million tonnes at 0.6% Cu containing 657MIbs
(298,000 tonnes) of copper.


-- 73% of the copper contained in Resources is within the April 2016 BKM
Preliminary Economic Assessment ("PEA") conceptual open pit mine design.

C. 34% is in inferred category, maybe the financier want a chunk of this moving up to indicated and the overall resource expanding to replace a chunk of the recategorised inferred to get the o/a up toward 1 billion lb copper and a notiona increased mine life. Perhaps with only 73% within the pit area and around a third of this inferred, they need to move more to indicated to de risk the mine plan.

The resource is there.

[abdulalzein] 18/10/2018 19:14

Stick with it.

[freddie ferret] 18/10/2018 19:10

Looks to me like a major sell off on a relatively minor trigger.

[the deacon] 18/10/2018 19:08

I agree that's a possibility. The poor short term outlook for copper price has thrown the company a curve ball. Won't do the BFS justice either. Imo, the additional drilling (whilst beneficial) could be a smoke screen, with the company more hopeful of favourable financing options in six months time. How that leaves the immediate cash position here is questionable. What isn't in question, however, is the longer term outlook.

[mcpaulas] 18/10/2018 19:06

Do not forget their track record in making billion dollar companies.They know what they are doing on the mining side but they are very poor with the PR side.

[zeusfurla] 18/10/2018 19:01

With the benefit of 2 hours not looking at a red screen, I am trying to gain some perspective on today. It looks to me like the Board had been trying to get finance in place for BKM for weeks but it just wasn't happening - low copper price and lack of a chunky enough indicated resource. They have then rethought Beutong and realised that a partner is needed - too long to wait for BKM to fund its development given that they were told that they'd need extra drilling and time to improve their chances of gaining funding Q1 next year for BKM. Shareholders have found the very poor comms unacceptable. IMHO, however I think it is as much down to not having a clear enough idea of the right strategy and then changing course suddenly today. Also it is inexcusable to allow finances to run so low that the bargaining position now is seriously weakened - I made this point before a while back. The protests are likely just a smokescreen. Despite the change of strategy and difficulty in acquiring funding, the business case still remains irrefutably strong. What is less clear is whether the existing Board is capable of delivering. This lack of confidence along with likely shorting later in the day has dented the share price I remain a holder (stake reduced a bit but still significant for me) and hope that Newcrest/others come on board to develop the assets, although the power now lies more with those approaching us than the Board. All IMHO - I am no expert in mining - just saying what I see.

[ianbag] 18/10/2018 18:57

A partner buying into Beutong could well also pay for the extra bfs work - Wish they hadn’t done podcast - it was poor delivery of info by both guys - they were clearly caught off guard by the days events. That said the assets are still there and probably much bigger than currently recognised in the jorcs. Jv with major now would be good timing

[freddie ferret] 18/10/2018 18:48

I have been out of this for some time now.
Frankly there was too much ramping on the basis of some bloke called Manini. It sounded like the sun shone out of his axxx.

[cyberbub] 18/10/2018 18:41

Using BKM to fund Beutong's development (non-dilutively) seems/seemed a very reasonable strategy to me, given the amount of money that will be needed for Beutong. It now seems that they won't be makjng enough (or soon enough) from BKM to do that, so they've said they're looking for Beutong partners - also very sensible.... although disappointing compared to the previous situation!

[cyberbub] 18/10/2018 18:38

I doubt JPM would accept less than 15p as a 'quick win' for them. They won't be amused if any fundraising takes place at below the price they bought in.I'm hoping JPM aren't the ones who've been selling hard at 10p because they've got industry-insider info that all wasn't going ideally at BKM?!