Asiamet Resources Share Discussion Threads

[knokke1] 17/6/2018 12:43

HB - yes, I thought the questions AG asked were interesting (I'm not a mining/geology etc. person), essentially questioning how the resources declared at Beutong to March could be mined and questioning the leaching, which to my outsider perspective suggested that at depth resources have a lower economic value than near surface ones, not too big a surprise there.
Since the March AG blog, there are the April 16 RNSed results BEU0900-06, the 65m drill, which seems to suggest >1.0% Cu near surface (from 7m) and flags the feasability of leaching needs investigating.
Then we have the June 14 RNS for BEU0900-08 which say 456m at 1.06% from 10m but higher Cu concentrations from 76m down to beyond 300m (which suggests to me that there is less near the surface) and indications that leaching is possible but more evaluation required. I'm ignoring all the other positive news in the June RNS to try and understand a little better the issues, based on the info released to date, where they are.
Is there any indication of where drill hole 6 (april rns) and number 8 (june rns) are in relation to each other?
As the June RNS mentions, the resources in Beutong havent yet been delineated, and that further work is ongoing, so to some extent (at the risk of simplifying), the June RNS is rather positive, with potential to increase resources, but AG's basic issues are not yet resolved, so, great result but not a smoking gun (in terms of attracting major interest, just further flagging that there is potential) - is that a fair understanding or have I misread? And yes, I know I've also ignored BKM/Z and the feasibility study which is in its final stages (June 7 PB interview).

[kjawoogie] 17/6/2018 11:20

Peter Bird's interview transcribed on the website. Very good idea

[cupidstunt42] 17/6/2018 11:02

Wakey wakey hands off snakey!

[horneblower] 17/6/2018 09:42

zho,
Many thanks.

I note that a couple of the commenters on AG's blog are sceptical about Beutong.
They seem to know what they are talking about but their last utterance was March 26th.
It would be nice to have their comments on the latest hole and its increasing Cu %age with depth.

[zho] 17/6/2018 07:51

horneblower

>>Who is the AG mentioned?>>

See

[tomcorvid] 17/6/2018 00:36

Just to clarify AG is angry geologist? She has a blog, it’s all good stuff and clearly knowledgable but sometimes I feel like she skips detail to suit a narrative. Anyone putting themselves out there and sharing info is to be applauded but obvs view everything through the skeptics lens.

Downloading the report now, thanks for the link JL. Have you been themrough the ‘06 CPR for KSK yet? That too is eye opening. I’ve long held the view that we could well have more than one of them (the big P’s) - nothing drilled in BKZ/M has persuaded me to change my mind.

[jlondon] 16/6/2018 23:27

@tomcorvid #14384 Just seen R.Crookes face on Linkedin aka @bernardshaw [?]!
#14383 By the way, Hackman & Associates opening gambit was that Rio first
picked up rocks at Beutong-credit to them.

On the Hackman & Associates Technical Report on Beutong and the current 14
June 2018 ARS RNS on Beutong Hole 1 drill results - the said Technical
Report was the definitive I was personally looking for in that I now
have the backup for what I know about the Cascabel porphyry ie the
grades get better the greater the depth. I recall that at Cascabel,
there was initially difficulty with the rig going to the initial depth
but with further rigs, they have gone further.

The said Hackman Associates Technical Report on the 800m is a eye-opener.

I dont normally wait for drilling results. I tend to look at the 1st
drill and match that with nearlogy or any historical data. By the time,
every man and his dog knows its too late.

Now, for me, the CAT IS OUT OF THE BAG.



@horneblower #14385 AG is a blogger but real name not known.

Happy Investing all. DYOR.
J. London, Sat 16 June 2018

[horneblower] 16/6/2018 23:00

jlondon,
Interesting historical stuff.
Who is the AG mentioned?

[tomcorvid] 16/6/2018 22:46

BTW Jlondon, in response to your post RE @bernardshaw I have only this from the horse's mouth!

I named myself after the two all-time masters of wit, George Bernard Shaw and Oscar Wilde. The beautiful dancer Isadora Duncan proposed marriage to Sir George, a singularly unkempt slob. She said "imagine the children we could make, my looks and your brain." His reply was "what if they get my looks and your brain!"

Make of that what you will!

[tomcorvid] 16/6/2018 21:42

Great posting Jlondon

Wafu FS for anyone who is interested

hxxp://www.newcrest.com.au/media/market_releases/2018/Market_Release_19_03_18.pdf

[mount teide] 16/6/2018 20:08

Glencore writes off a cool $6.5bn to end DRC mine dispute - Financial Times

The challenges of operating in the tin pot dictatorships of Sub Saharan Africa!




'Glencore has agreed to write off $5.6bn of debt to safeguard a joint venture in the Democratic Republic of Congo, which is set to become the world’s biggest producer of cobalt, a battery material.

The debt-for-equity swap announced after the market close on Tuesday will plug a capital shortfall at the Kamoto Copper Company and end a dispute with Gécamines, the DRC’s state-owned mining company.

Gécamines launched legal action in April to dissolve KCC and take control of its mining licences. It claimed Glencore had failed to reduce billions of dollars of intercompany loans, reducing KCC’s ability to pay dividends........

"The settlement appears to solve one of four DRC related risks for Glencore and improves relations with an important stakeholder,” said analysts at JPMorgan.

........Alongside other international mining companies, Glencore is fighting the government of Joseph Kabila over a new mining code that will impose higher royalties and taxes.

At the same time, Glencore’s ex-partner in the DRC, Israeli businessman Dan Gertler, is suing the company over unpaid royalties, while a former shareholder in another of its DRC mines is seeking billions of dollars in compensation.

Glencore could face a bribery probe by the UK’s Serious Fraud Office over its ties to Mr Gertler, who was sanctioned by the US in December for “opaque and corrupt mining and oil deals” in DRC'

[jlondon] 16/6/2018 16:55

BEUTONG TECHNICAL REPORT
by Hackman & Associates Pty Ltd [H & A]. Pty Ltd does suggest Australian.

Salient points from the over 200 pages: "Relating to Beutong 2014 Copper-Gold-Silver & Moly Resource Estimate.

1) Pg 15- 1.3.2. Key Points: Total width 700m and to a DEPTH of 600m below surface.
The DEEPEST DRILLING INTERCEPT the porphyry mineralisation at 800M b e l o w surface indicating that the MINERALISATION PERSIST BELOW the current depth of delineation drilling.

2) Mineralisation is OPEN to the EAST, WEST and AT DEPTH.

3) Reporting STANDARD N1-43-101

4)Strike 1500m, width 700m, depth 600m [080*].

5) 4.2.1 Ownership of Mining Rights

6) Highlands , Freeport, Tiger with Highlands not going further than the 100m+ depth.

7) Freeport thought drilling should go beyond 100m + area,
91 holes, 23,044metres, "high grade" 147.5m @1.32% Cu and 0.25g/t au.

8) Gives reasons why Highlands , Freeport stopped at that point. From recall it was the economic situ/Bre-X . It was not that the deposit was not up to the mark from what I read of the initial parts of the said report.

Comment:
It took me some time to locate the above. I just took quick notes as I broke off for dinner. So there can be typo and copying errors.

So, AG may NOT have read the technical report for Beutong because it clearly stated that it is OPEN to the East, West and AT DEPTH??

I also saw a sentence where it was mentioned 1,000m which is perhaps how far it was supposed to go down to.

Clearly, Beutong results then had gone DOWN TO 800 Metres and it appears to say [?] that mineralisation "persists" below the current depth of delineation.

Again, AG may NOT have read the technical report as he/she mentioned only the current JORC depth of around the 500 metre depth from recall??

I had to stop as my eyes needed the rest from all that part -reading so please check.

From the latest May 2018 AsiaMet Resources presentation on www.asiametresources.com [Landing page - Latest presentation] - pg 4 "SHOWS AFFINITIES TO WAFI-GOLPU [NEWCREST] AND GRASBERG [FREEPORT]. Very favourable infrastructure and logistics"

Pg21 "Deep drilling is required to CONFIRM mineralisation extends to DEPTH it to prove up +1000m of vertical continuity.

"ZONED SYSTEM VERY SIMILAR TO WAFU GOLPU, PNG [Newcrest]. Predominently chalcocite covellite IN UPPER PART OF THE SYSTEM. Chalco - bornite I N C R E A S I N G with D E P T H . Expect to see an i n c r e a s e in both COPPER and GOLD G R A D E S in D E E P E R potassic zone 148m at 0.81% Cu , 0.15g/t au. INTERVALS OF
+2%CU Eq have been INTERSECTED.

Page 5- Significant shareholder No 1- JP Morgan Asset Mgm 8.39%


ASIAMET MEDIA- Video on www.asiametreources.com/media/

"PERFECT TIMING & Exceptional Assets set to deliver considerable value for Asiamet investors."

[My comment: Appears that timing at this time is perfect with the copper situ etc]

DYOR. Please check as there can be typo errors.

[jlondon] 16/6/2018 09:07

Post 14379 contd. Asiamet Hole 1 Beutong: 456m @ 1.01% Cu equivalent [Knight]

"GLOBAL TOP 10 COPPER DRILL INTERSECTIONS PUBLISHED IN Q1, 2018"

No 1: Nevsun Resources - TIMOK in Serbia
0.77% COPPER
Intersection: 847m & thickness 652m
Depth to TOP of intersection: 1354m

No:2 Solgold - Cascabel in Ecuador
Copper: 0.54%
Drill Intersection: 387m & thickness 445m
Depth to TOP of intersection: 736 m

No:3 Centenera Mining - ESPERANZA in Argentine
Copper 0.57%
Intersection: 387m & thickness 221m
DEPTH to TOP of intersection: S U R F A C E

No 4- No 10- See chart

NOTE: It is stated at the bottom of the chart that only No 3 as above is the ONLY ONE where the INTERSECTION STARTS FROM SURFACE.

In the said chart, ONLY Xandu Mines in Mongolia [KHARMGTAI] has the NEXT longest intersection at 623.5 metres [within the Top 10 after No 1 & 2]. ASIAMET*S Beutong Hole 1 results ENDS at 607m still in mineralisation [Knight -600m hole ending in 1.14% Cu & share price Angel : final 8.3m averaged @0.83% copper]

Comment:
As per share price Angel note of 14 June 2018, the mineralisation starts from 10 metres from surface for Beutong, ARS.

Both share price Angel and Liberum [Knight] said the Hole 1 Beutong ENDS in mineralisation with the grades given as in my above post.

The global Q1 2018 ranking of copper intersections etc bears out what Richard
Knight of Liberum tweeted as above ie "Not many copper exploration co*s hitting these kind of interesections." [Link given as above]

Link: Global Q1 2018 copper ranking dated 14 June 2018 after ARS RNS re: Hole 1 Beutong results.

Please check as there can be typo errors. DYOR.

[jlondon] 16/6/2018 08:39

<>SP ANGEL note on ARS - Fri 15 June 2018 [1st part of the note]
Link:

Quote:
"Asiamet reports a 456m intersection at an average grade of 0.93% copper.... FROM A DEPTH OF 10m at Beutong East, Acheh, Indonesia. TERMINATED at 607m due to reaching capacity of drill rig, it REMAINED in mineralisation the FINAL 8.3M of the hole averaged 0.83% copper..."

"The mineralisation EXTENDS BEYOND the ENVELOPE of the Beutong JORC..."

"Peter Bird: nearby infrastructure ..and the potential to assess a COPPER LEACHING process positions the project as an INCREASING RARE COPPER development opportunity."


<>LIBERUM BROKER NOTE: Fri 15 June 208
Source: London South East broker icon
Reiterate 20p [Old target 20p]

<>RICHARD KNIGHT, Analyst at Liberum tweeted, Fri 15 June 2018


Full tweet: "BIG copper intersections at Asiamet*s Beutong - 456 m @1.06% Cu equivalent with the 600 m hole ENDING IN 1.14%Cu. Resource is likely to grow. NOT MANY copper intersections companies hitting these kind of INTERSECTIONS."

[Note: Caps used not by Richard Knight]

[mount teide] 15/6/2018 20:28

SP Angel's concluding comment regarding the first Beutong drill: 'The full potential at Beutong remains to be established, however, long mineralised intercepts from shallow depths in proximity to an established JORC resource will need following up – we look forward to further news as drilling proceeds.'

[jlondon] 15/6/2018 18:23

SP Angel broker note on ARS out today, Fri, 15 June 2018.

Liberum Capital re-iterate note also out today.

See ARS on LSE.

[cyberbub] 15/6/2018 16:56

I asked twice recently whether anyone knew whether Grasberg had been forced to "give away for free" or "sell at a fair market price" the 51% of the company. No one was able to say.

[football] 15/6/2018 16:24

130 FREE oneplus coins yes 130 coins here NOW!!!!















new one added today

[arf dysg] 15/6/2018 15:58

fbrj, (14369)

I notice that you're using the word "divest" which is what I seem to remember has been used before. Assuming I can still speak English (because I haven't started on the pina coladas yet) ARS will therefore sell stakes in the company (as opposed to just giving it away). I guess the cash inflow will be used to support the company, including extending the actual mining into other parts of the known resource, and that's no bad thing.

I think that spreading the sale out over five years is a good idea, as it will avoid any wild price lurches up and down if the 51% stake was sold all at once.

P.S. Amarula is a good alternative to pina coladas.

[jlondon] 15/6/2018 15:50

@Mount Tiede #14370
Thank you for the courtesy of a reply.

As for Oz Minerals, the CEO is confident that the AVENCO takeover will close quickly [Ref: The Cairns Post, 28 Mar 2018] Deal is worth $418 million.

In corporate parlane, eyes are on this fab project. From recall, a broker said that ARS needs to sell down their other project.

However, I am not sure if eyes are interested in the other project or Beutong.

I shall try to search for better geo data on Beutong as an educated guess may produce some leads. If, it reaches even 1,000m given mineralisation is NEAR SURFACE, then one could expect bigger fish to be interested and it may be Chinese money. They are interested in copper and the fundamentals point to higher prices, supply squeeze, lack of large green field projects coming on, fall in grades, lack of discoveries [big] etc . I notice Chinese money willing to take on more challenging projects eg Kamoa/DRC. BHP said they are looking at Tier 1 jurisdictions eg USA, Australia plus Chile,Peru and Ecuador [they have been looking at copper discoveries there].

Thanks.

[tomcorvid] 15/6/2018 15:28

Interview rescheduled. Should be early next week instead.

[mount teide] 15/6/2018 15:27

Jlondon - "It seeks to invest less that $15m" There is clearly much more money available for the right projects since they spent $97.1m buying an 80% stake in a Zambian copper mine last December!



EMR Capital tips mining deals to continue in 2018 - Financial Review

EMR chief Jason Chang closed a $US97.1 million ($125 million) deal to buy an 80 per cent stake in a copper mine in Zambia on December 28 201, and remains on the hunt for further deals in the sought-after commodity.

The purchase of the Lubambe copper mine means EMR has four operating mines, including the Golden Grove copper and zinc mine in Queensland, the Capricorn Copper mine in Queensland, and the Martabe gold and silver mine in Indonesia.

It also has four development projects, including a copper asset in Chile, a coking coal development in Britain, and two in potash projects in Utah.

While Mr Chang said EMR would be focused on building up the production of its four operational mines, the fund would continue to hunt new deals.

"We feel that in the next 12 to 24 months there are going to be good opportunities," he told The Australian Financial Review.

[fbrj] 15/6/2018 15:27

Re Arf Dysg post 14345 - extract below (to save scrolling back!):

"The Manini (14315) "The divestment back down from 80% to 49% won't happen until after the tenth year of Beutong production beginning. So we'd get a full 10 years of 80% of Beutong profits"

We could get more than that. Someone here may know the answer to which of these is going to happen at the ten-year mark:

1) We have to GIVE AWAY half of the company, OK, earnings per share will then halve;

2) We have to SELL half of the company, probably by issuing more shares to Indonesian investors. This is nothing like so bad, as the company will lose half its revenue stream, but get a big chunk of cash in compensation.

What does the Indonesian law actually specify?"


My understanding is that foreign shareholders must, following 5 years of production, divest their shares in stages - so that by year 10 the maximum holding is 49%. The stages are in approx 7% increments annually. Many other posters (eg The Manini quoted above) state that we will have 80% for 10 years - I'm not sure that is correct but obviously would be more than happy to be proved wrong!

Hands up all those who know how the value of the divested shares is to be calculated?

The shares to be divested have to be offered (in order) to various parties - basically Central Government, Local Governement, national private LLCs. Only after that process (and insufficient take up) can an IPO on the IDX be utilised in satisfying the divestiture requirements.

Re pricing of shares to be divested - these are to be at "fair market value" but WITHOUT considering the value of the mineral reserves at the time of divestiture. Bearing in mind mineral valuations are generally understood to be based on NPVs of discounted cash flows generated through the extraction of reserves over the life of a mine - this could have quite an impact to say the least!

If agreement cannot be reached on the sale price then it is calculated by.....the Government!