Asiamet Resources Share Discussion Threads

[pyglet] 26/10/2018 09:40

What a sh*tfest this has become. PR has been dreadful, as has the BODs comms. One of the main reasons for investing in ARS was "top class management" that have done this before. Hmmmmm........

[horneblower] 26/10/2018 09:35

Due to its qualities of conductivity and malleability there is not much in the way of substitution for mined copper except perhaps aluminium and of course, recycled copper.

[knokke1] 26/10/2018 09:31

assuming substitution effects aren't important. Cofffffeeeeee!

[knokke1] 26/10/2018 09:28

I'd never followed copper markets (familiar with other commodities though), the five year copper stocks/warehouse levels is interesting. If stock behaviour hasn't changed, then it's when not if the price goes up, however, wasn't there some sort of change with Chinese copper stock rules? Something like it could no longer be used as collateral for other deals, making it much less attractive to hold, I guess I read it somewhere, but might be a factor behind the lost 6-8 months running down of copper stocks? Which coupled with the weak or uncertain forward looking economic outlook might explain the summer price fall of spot copper. Just thinking out loud to try and get a feel for what sort of drivers might affect the price in the shortish term. Medium term, maybe I'm naïve, but I'd have thought rising demand for copper will impact (assuming substitution with other metals/product is important).

[mr roper] 26/10/2018 09:21

Wider markets don't look particularly clever at all. I'm sitting on the sidelines until the water is safer.

[tektonik] 26/10/2018 09:14

The copper price is completely out of the companies control and they should have prepared for the best possible worst case scenario that would have been acceptable to qualify the business case.

This was all about a failure in detailed planning and adequate contingency for me which of course led to poor execution of information being delivered to the market. Knowing that a preliminary study would be bypassed a long time ago, even more care and due diligence than standard for such a process should have been taken (although the numerous delays this year to the BFS suggested this was true). Perhaps they won't be jumping straight into a full BFS without first completing a preliminary study and modelling a range of different scenarios, no matter how strong the asset and previous drilling in the future.

Lesson learnt for them.

Agreed aimraider, the bod need a laser sharp focus now they've made their decision to extend BKM BFS period, on paper all for good reasons. I'd also bet that all distractions and priorities beyond the scope of Beutong partnership and BKM operations will be cleared from their diaries.

As many here have pointed out over the last week - the assets are still there, but it's the bod that will ultimately provide value to these assets through their actions; due diligence, approach (strategy) and transparency.

Remember Beutong wasn't priced in when the share price hit its highs of 14p. Potential upside here is still enormous.

[horneblower] 26/10/2018 09:07

I suspect the copper price reflects the fundamentals of current supply and demand rather well, despite it being a 'futures' price.
Trump needs to pull his finger out pdq if we are going to get a rally.

[aim0raider] 26/10/2018 08:42

No idea what the trigger will be for the copper price to reflect the fundamentals, but when you look at the chart for the last 18 months, strong moves have happened within the space of a month, where 10% - 15% gains have been seen. 10% and we are back to $3.00, so won't take long when it does happen.

It's up to BOD to get the BKM plan out quickly now and push through whatever they hint at in that Beutong RNS, with regards to 'options'.

I think it's been a big wake up call for them, so not a bad thing, if they had operated this with a touch of 'untouchable'. TM and PB have a lot of face to save and ground to make up, so i'm sure their ego's will be looking to repair damage asap.

[ronconomics] 26/10/2018 08:40

Trump will announce he is marrying Kim again and want China to agree a fabulous trade deal. Fed knows and are staying tight lipped. Markets will go bonkers. October didn't happen.

Can you pass my coat too. It's the one will holes in the pockets where the wallet used to be.

[knokke1] 26/10/2018 08:39

Nearly groundhog, yesterday morning it was 6.40 v 6.70, today it's 6.30/6.20 (2)/6.00 (3) v 6.50/6.80/6.90, but the same MMs in place: WNTS top of the bid, BEGO on the ask, and virtually the same order all the way down

[2lb] 26/10/2018 08:21

I think primarily that's just a bit of flannel and bluff to put in the RNS from a "well, they would say that wouldnt they" perspective.

We really just need a more stalble copper and wider market, and with copper set firmly in the 3.00 - 3.25 range and rising.

I'm comfortable that in six months the copper postion will have grown materially stronger as the fundaments of supply and demand bite.

Yes, some more drilling will add a bit of data and make the BFS a bit better, but really its about the copper price and its link to gettting the best possible financing deal at this stage - which longee terms absolutely is in shareholder interest.

Now, in the meantime Beutong activity is wheer the excitment is at in terms of material developments, which added to some quality BKM drilling results on a regular basis will drive the share price forwards again. We have a LOT of ground to make up just to get back to the starting line of 10p

The more I look at the copper market, which is a lot, themore the current price bemueses me, it was 4.50 in August 2011 when stocks were higher than they are today and the market demand drivers on a 1-5 year outlook were nowhere near as strong.

[aim0raider] 26/10/2018 07:06

From the BFS RNS:"significantly enhance the robustness of the project. This will provide important flow on benefits from a project financing perspective."Lower risk, more resource, more attractive project. Downside is the delay, we spend a bit more cash (low cost in house drilling) but we see greater leverage of project value on the way up.

[mr roper] 26/10/2018 07:03

There was the podcast around June where TM said there were many options on the table, roll forward 4mths and we need to drill 6mths more to move the inferred to m&i. If cu was above 3 bucks and everything was hunky dory with copper I’m pretty sure we wouldn’t be needing to do any drilling.

Either way, I’m disappointed the bod have not updated on the strategy this week.

[aim0raider] 26/10/2018 07:02

Everyone will have a view on the copper price and where it's headed when assessing these projects. I think we agree, most see it going up, considerably. I see the further drilling as risk reduction for the BFS proposal, in the same way that a bank will ensure it is capitalised to a certain level (at regulators request). We have to complete the process and tick the boxes, then we'll be in good shape. 'Significant' improvements for shareholders was the message.

[mount teide] 26/10/2018 00:47

Mr.R - depends entirely on the project development cost and production cost.

BKM has a calculated average ore grade more than double most US copper mines currently in production and higher than many of the major mines in Chile.

I doubt there is a lack of interested in providing finance - its probably more a case of the extra premium they want as an insurance policy with copper currently below $3 being too high.

[monttim] 25/10/2018 23:13

Unless you are sitting at the Board table Mr R, some of those comments seem a bit wild. Let’s wait a just a little while for copper to catch up to what ARS has proven up. Pragmatic thinking will take over shortly.

[mr roper] 25/10/2018 22:55

Pretty clear that with the cu price sub 3bucks no one is interested in financing. All those interested parties in the podcast.off takers, private funds, banks etc etc...none of them interested.

[snickerdog] 25/10/2018 22:27

HG, looking forward to that move in copper price and the return to BKM

[highly geared] 25/10/2018 21:23

It will take 6 months for this to recover and it will be a combination of an improved copper price + an enhanced BKM resource by measured / indicated category + upgraded total resource. For share value it’s all about BKM in the short term.

Not wishing to be gloomy on Beutong but the protest/ filing issue needs putting to bed otherwise will a prospective JV partner be happy to sink $30 million or whatever figure is needed?

[cyberbub] 25/10/2018 20:27

I think people need to take a chill pill. The copper is still there (more to be proven shortly). The copper price appears to be finding support and LME stocks are still falling. Worst case scenario we end up with say 50M more shares in issue (probably less or none) - not great but hardly disastrous. Nothing is certain in life but ARS still seems copper-bottomed to me.I'll get me coat.

[europa79] 25/10/2018 19:05

Don't mention f planes. Flyb is my biggest holding, with this second!!

[charles clore] 25/10/2018 18:31

Thanks for all your inputs guys. I still rate Steve as one of the best PR assets/Geos in the business and whatever his reasons his departure was a great loss to the company imho.

[tektonik] 25/10/2018 17:55

A lot of us here are hurting Charles, but to suggest Steve knew the BFS wouldn't be delivered and could be a reason for his departure is beyond far fetched to me.

People leave organisations all of the time - some of them are genuine shocks and you do your best to keep them when they tell you. Others...you thank them then go to the pub and celebrate!

The point being that family reasons was one of the main drivers quoted, I don't know the facts but he is likely in Canada a lot (I work at a rapidly growing cyber security firm and I haven't seen my CEO in weeks!), so happy to accept family reasons as the majority driver. He still holds c.3 million shares and I believe is acting in a consulting capacity with ARS still.

[ntbb] 25/10/2018 17:43

Sorry guys o/t, hb please can you look at tern again, many thanks