Finnaust Min Share Discussion Threads

[rampair] 03/3/2017 17:58

The thing with Greenland is that they have wanted Independence for a very long time.
The Pituffik Ilmenite has been documented for decades by Denmarks Mineral survey.
This area is really changed, the Sea ice is much more inland than it was, and so it's become a Project that, subsequently ( subject to JORC)is attractive to exploit.

I believe very strongly that the local Govt will put a lot of effort into facilitating
a project that could give local ( Greenlandic) jobs- Mineral sand is non hazardous, there are few Plants ( see website photos) and virtually no people. It could be
Campaign type mining where the 24hour daylight could be broken into shifts & pretty much a full year equivalent of Mining could be done.

This gives us a Mcap that still offers plenty of upside for new and existing holders
especially as there will be a whole Spring & Summer of activity to come as the team move up to the Country & work on the best way to go about the task.

Also, to have a Nickel,Copper,poly metallic site at Disco where the Danish Mineral
Museum in Copenhagen has a lump of ore from the valley is brilliant & what makes FAM/
BlueJay an excellent exploration/Junior miner - Greenlands potential is spectacular.

Please visit the Mineral map of the Country, ( copy/paste in browser)
hxxp://www.geus.dk/minex/green-min-2015.pdf

Rampair ( all imho, we are long term shareholders)

[maccamcd] 03/3/2017 17:43

In fairness to Align it wasn't to do with the quality of their product. I think it was just a matter of timing/relationships already signed elsewhere Align could put out a BUY note once the product is shipping/selling. Then I'm sure Richard will finally stop having the wrong view!

[shutittrev] 03/3/2017 17:15

Hi Serge. I have seen maccas post. I was hoping Ricardo would answer my question directly. I have every confidence he will because he isn't a coward, and he is honest. Fact.

[serge gnabry] 03/3/2017 16:57

i suggest you go back and look at macca's posts.

[serge gnabry] 03/3/2017 12:02

thats because the said research company has an agenda because of rejection.

[rampair] 02/3/2017 20:31

I read a lot of Greenlandic & Danish articles, there is a very strong will among all parties not to have to rely on The Danish Govt grant each year. Ironbark- much further North than FinnAust is now licenced to build their mine - $482m needed though.

So, if one was looking at projects likely to get going & actually bring in Royalty revenue soonest - I would choose the one taking mineral sands off the beach!
Would Expect a ministry to get this processed fast too as it's a very straightforward
prospect.

Capex, is likely to be affordable given the task, - gravity separation and no front end crushing, it's sand after all....

The Government is very keen, the Titanium is on the Greenland Govt map of mineral
occurrences- it's real, it's 80km odd of beach and shallow sandbanks - over in Norway
they mine hard rock Ilmenite at 15% - this is apparently purer and already crushed by a Glacier.

I think they are cheap because we haven't yet covered the Nickel, lead, Zinc, and PGM
at Disco & Kanger ( mid way up the Country,West side) the old Cairn/ Avanaa assets.

Remember, after the JORC, who knows what news will be announced?.....Costs, offtake, partnerships etc - ?

Rather surprised that a research company doesn't read the local papers,

især når de er trykt på engelsk også.
Rampair.

[richie666] 02/3/2017 16:21

He has more hair than me.

[richie666] 02/3/2017 10:57

Ams for the last time I have zero position. If I did it would have been declared.

[shutittrev] 02/3/2017 10:28

Hi Richie. Trev here. You call a lot of posters cowards. Do you fancy yourself as a bit of a hard man? Just wondering like.

[serge gnabry] 02/3/2017 10:02

oh look richie the billionaires back. now that macca put the story straight re why you are here because your useless research outfit didn't get work from fam hence you are trying to talk it down. you have zero credibility, short the stock if you have balls.

[nohead] 02/3/2017 09:53

Wow, what a great quote from Greenland's Minister of Mines, Mute Bourup Egede, published today...Referring to FinnAust's titanium project he said "the project is mature enough that it could quickly be approved for production....and begin operations soon."

They obviously like the project and want to fast-track its approval. That comes straight from the top.

[snowyflake] 02/3/2017 08:58

richie - you never answered my question which is have you borrowed shares?

[richie666] 02/3/2017 08:23

Aravali ref the short question - very likely on the JORC statement release. Don't worry on that point u coward.

Re-read the statement - your interpretation is wrong.

[aravali] 02/3/2017 07:27

so richie666, will you now take up macca's offer and short 1m shares??
i don't think so... lol
bore off you tw@t

[aravali] 02/3/2017 07:25

you have manipulated the statement...

The next project Mr Egede believes has the potential to begin operation soon is the Moriussaq titanium mine, in the northern part of the country. Although FinnAust, the firm developing the project, holds only a prospecting licence, the project is mature enough that it could quickly be approved for production, Mr Egede says.

[richie666] 02/3/2017 07:11

Interesting read (thanks for pointer Rampair)


“Although FinnAust, the firm developing the project, holds only a prospecting licence,”
“A third project, a zinc and lead mine, need only submit finalised plans for operation and how it will be wound down, before it can start construction, “possibly in 2018”.

Highlights (a) the still very early stage of the project and the fact that they actually only have a prospecting licence (and so production is not guaranteed) and (b) given the comments above re the other 2 mining projects in the pipe, FAM looks to be at least 2 years away from production. I expect another placing on the JORC Resource statement.

Looks like to me (assuming they do get the full licence & SIA & EIA sign off - also not g'teed) they won’t be fully operational until 2019 earliest given comments above.

£60m near market cap I repeat, is IMO sheer lunacy at this stage of the project and way out of kilter with almost all other early stage exploration and development projects.

[rampair] 25/2/2017 18:02

Rod and the others have certainly spent time in Greenland, and it's this, plus the reports published last year that has given us a decent degree of confidence.

It's easy to understand, there's a lot of it!, and, if you read "High North News" plus
The Arctic Journal, both with plenty of content in English. You will quickly come to
the conclusion that Greenland is exceptionally keen in its desire to have mining as
a strong part of its future economy.
They have set up a college to train future mine operatives. Whilst the season looks limiting and short, we mustn't forget the 24/7 daylight and the reality of operating as two shifts possibly to round the clock working at some stage.

Looking forward to the " official" stamp of the JORC, and the setting sail for the summer season of news. - very keen to see what comes of avenaa & in particular
Disko where licences for onshore oil were issued last year - the core data of an oil drill could be fascinating for us looking for a tell tale sign of Nickel and Platinum
group metals

Have a good weekend all,
Rampair


"

[squiresquire] 25/2/2017 16:38

It is clear that RM is looking for help in the loading...literally that.. of the ilmenite and also for the shipping. He has seemed to like the idea of farming in to a kind of logistical partnership where the shipper gets a kind of metered royalty.

So far everyone is keeping quiet about the ex-cairn properties RM has bought for FAM, i think as soon as the JORC is announced we will start to hear more about them. A lot more.

[nohead] 25/2/2017 16:29

Squiresquire

the thing that is amazing are the grades they they have been finding. It looks like they may get an overall grade of about 20-25%. Sierra Rutile, by comparison, has a combined grade (Rutile, Illmenite, Zircon) of less than 1.5%. This high grade material will attract a premium price in the market, probably over $100pt. Also that beach is substantial. This has the potential to have a very long mine life. This is mitigated, of course, by the fact they they have a short processing window each year, say three months, but the numbers still look very good indeed. share price Angel is forecasting production of over 300,000tpa ilmenite con. You would imagine that would rise over time once production and logistics get more established.

[squiresquire] 25/2/2017 16:02

nohead

If you look at Rod Macs last statement you will see he has been buying second hand equipment to get the first bulk shipments off. Also with the emphasis on getting samples to potential buyers he really has got the ball rolling fast on this one.

I think R.M. has learnt a lot from his past experiences and realises this Ilmenite is simply a gift, true serendipity

[nohead] 25/2/2017 14:25

Yes the Vox interview was very interesting, thanks Mac and Snoweyflake. Rod McIllree said they were "very confident about the resource statement" and that he had "sufficient comfort the resource will be compelling". I think he was hinting that it would be released more towards the end of March, so I am betting about four weeks from now. However, we can assume that the resource is not going to disappoint. They must have most of the data in by now, so he knows it is going to be decent. He also said there is news coming about about metallurgy, the pilot plant and the EIA/SIA process.

I thought it was interesting the point he made that all the work processes were running concurrently. Most juniors wait for the maiden resource to come in before deciding to advance with the project. But in this case the resource is spread thinly across the surface (in the form of a sandy beach) where you can see it and touch it. While you obviously need a Jorc compliant drill program to get an official resource, in reality for this project you can just assay shallow trenches and samples across the length of beach to have a pretty clear idea of what you have. This means that they have been busy doing everything else to work up the project and licence application, prior to releasing the Jorc resource. So in some ways it is an upside-down project, the resource comes towards the end of the process rather than the beginning.

I think this is why some people have mis-understood the project as being early stage, ie because it hasn't yet got a resource. In FAM's case, the maiden resource is actually one of the last pieces of the project to be put in place. We know that they have been finding very high grades and that the sand can be processed cheaply through simple gravity separation. So the economics are likely to be very good.

The main reason for FAM having a JORC resource is probably only for the licence application. Normally a JORC resource is important for a bankable feasibility study, to raise project equity and debt. But in FAM's case it looks like capex will be very low. Richard Jennings forecasts capex at just circa $20m, even this could be reduced if they lease major equipment like the dredgers. So the release of the resource is really just one of the last steps to get the application together.

[snowyflake] 25/2/2017 11:17

I have just listened to the interview between Justin Waite of Vox and Rod McIllree. When, at the end of the interview, Rod was asked to name three reasons for investors to consider the company he replied "resource,resource,resource"

BTW the new epic code will be JAY.

[snowyflake] 24/2/2017 21:42

I assume from what you have written mac that the announcement may be made in the earlier part of March rather than the later part. My assumption stands to be corrected. I have to say that it has been quite a wait given the fact that the board had previously announced that the JORC would be released by year end 2016.

From words used in a previous RNS or two, I anticipate a resource that is truly world class. I was a shareholder in Sierra Rutile which mines rutile, some ilmenite and zircon which Iluka bought in 2016 (completion tail end 2016). Iluka paid the equivalent of a SRX share price of 36 pence for each SRX share which together with SRX debt equalled a market cap of £250 million. I made a big mistake earlier on in my ownership of those shares in that they reached over 80 pence at one point in 2012 so that SRX was valued at over £500 million. I was a silly billy not to sell then in hindsight!

The problem with SRX is that it struggled to make a profit in many years; it had to invest in new mines and had a very large workforce. It is no secret that it hit two very big snags. First a downturn in the price of rutile; second the arrival of Ebola the effect of which is well documented. And that was after civil unrest in the mid noughties.

I and others felt that Iluka got SRX cheaply. It may be that the cornerstone investor which helped turn SRX around namely Pala Resources were for reasons best known to their board anxious to sell.

It is however worth drawing some comparisons between SRX and FAM. FAM will not need mines per se. It should be easier to extract the sands and ilmenite. The SRX latest mine (Gangama) cost circa £40 million. FAM will not need a workforce the size of that of SRX. FAM in my opinion operates in a less difficult environment albeit over a more limited timescale in a year. Rutile prices had just started to recover; rutile and ilmenite prices are in an upward graph.

So yes Mac, whilst you say that the company needs institutional buyers who will be comfortable buying with third party verification, I think that if the JORC resource is good enough they will be queueing to buy.

You never know the value for Pituffik may approach £500 million - I must not get over excited - certainly in my view £250 million or at 730 million issued shares post the GM 34 pence per share could be a possibility in due course or 4X the current share price. That is of course without the company's other assets - Finland and Avannaa.

A definite but what ever someone has to say.