Gladstone Pac Share Discussion Threads

[smiler 0] 30/5/2008 09:51

Of Interest:

Australia's nickel capital has a rich life ahead
In 2000 Kambalda as the nation's nickel mining heart was unloved and looking at perhaps a decade of life ahead providing the nickel price improved. The pathfinder company that restarted mines on the Kambalda and Widgiemooltha domes has painted a powerful picture for the next 20 years.

May 2008

PERTH -

The managing director of Mincor Resources NL (ASX: MCR), David Moore, painted a picture at RIUI's Resources Round-Up in Sydney of not only a strong mining performance for the company ahead but also one of great confidence for major new discoveries.

Two other companies that acquired mines from WMC Resources (before it was taken over by BHP Billiton) - Independence Group NL (ASX: IGO) and Sally Malay Mining (ASX: SMY) -- in partnership with Canada's Brilliant Mining -- have also been producing stellar profits and strong production performances.

Moore said that since starting mining, initially on the Miitel mine in 2001 the company has discovered 89,000 tonnes of contained nickel from exploration on five ore systems.

To illustrate this he pointed to the Miitel mine where drilling into the plunging lava flows the company had discovered North Miitel and South Miitel. The perception, Moore said was that these plunging systems have unexplored extension both north and south for 3.2 kilometres at both ends.

"To achieve a further 20 years of production at 20,000 tonnes per annum, Mincor needs to discover 1,060t per ore system per year," he said.

Mincor has been able to find extensions to 12 ore systems in the Kambalda-Widgiemooltha region and was now targeting a whole new ore system on its leases called Strong Ultra-Sized Nickel Ore Body (USNOB) targets. Two of these were an interpreted extension of Independence Group's Long shaft extending into Mincor's ground and a channel-like feature in a basal contact parallel to the deep Otter Juan mine which Mincor acquired recently.

Mincor has had strong profits since 2001, helped by the upward movement of the nickel price from 2002 and it has paid regular dividends since 2001 and today has $A110 million ($US103.4 M) cash and no debt.

The forecast production for 2008 was to achieve between 17-18,000t of contained metal and achieving the 20,000 tpa in 2009. (All Kambalda nickel miners deliver their ore to BHPB's concentrator at Kambalda).

On the Kambalda Dome, Mincor has the Otter Juan and Coronet mines in production, revived mining at both Carnilya Hill and McMahon under construction and a feasibility study on the Durkin mine. On the Widgiemooltha Dome, the operating mines are Miitel, Mariners, Redross and the hard-to-kill Wannaway, the Mariners No 9 project is on "drill out" and the Stockwell prospect was in advanced production.

[edmondj] 02/4/2008 19:31

Except the stock!

[smiler 0] 31/3/2008 11:25

Gladstone Pacific Nickel Ltd



31 March 2008



INTERIM RESULTS FOR THE SIX MONTHS TO 31st DECEMBER 2007



Gladstone Pacific Nickel Limited (AIM Code: GPN) today released their unaudited
interim results for the six months ended 31st December 2007 and confirmed the
Company remains on-track to deliver a world-class US$3.656 billion nickel
project in the industrial port of Gladstone, Australia.



Gladstone Pacific Nickel Limited's ('the Company' or 'GPNL') Chief Executive
Officer John Downie said GPNL was pleased with the progression of the Project
and the numerous activities currently underway to bring the refinery into
construction.



'The interim results were in-line with the expectation of the Company at this
stage of development. The last six months saw substantial progress achieved
across a number of ongoing issues and activities.' Mr Downie said.



The Company reported interim revenue from Ordinary Activities of A$1,213,342
(£532,900*) and Expenses of A$2,819,678 (£1,238,402*). The loss for the period
(after Income Tax Expense) was A$3,563,935 (£1,565,280*) representing a loss of
A$0.095/share (£0.04/share*). Shareholder equity at 31 December 2007 stood at
A$86,417,824 (£37,954,708*).



Exploration and evaluation expenditure for the period of A$8,684,493 (£
3,814,229*) was capitalised to deferred exploration and evaluation costs. Cash
on hand as at the end of the period was A$31,093,645 (£13,656,329*).



Highlights



• Re-focussed strategy to concentrate on the Asia-Pacific region. Delisted
from the Toronto Stock Exchange.

• Signed Joint Venture Agreement with Societe Miniere Georges Montagnat
that provides GPNL a 49% interest in Nickel ore tenements in New Caledonia.

• Completed drilling program to substantiate historical results on the
Joint Venture tenements and commenced an 8,000 metre drilling program in
February 2008.

• The Environmental Impact Statement completed and Supplement is under
consideration by Queensland's Coordinator-General.

• GPNL finalised a A$33 million Land Purchase Agreement with the
Queensland Government.

• Feasibility Study results

• A change in board composition to provide additional strength and skill
to fast track the Project to construction.

• Appointment of General Manager, China to further GPNL's interest in the
country.

• Management projections based on global nickel market trends, indicate
that at current nickel prices the project would be extremely profitable.

[smiler 0] 26/3/2008 17:13

How ever, possible rumblings in the Background maybe ?

[edmondj] 26/3/2008 08:03

Not enough, by the looks of it!

[aerotus] 26/3/2008 07:47

What the hell is happening here?

[deejay007] 21/3/2008 15:26

Share price looks a bit sick...?

anyone close to the comapny know how the agreement is progressing with MCC ?

DJ

[vermilion1966] 12/3/2008 13:14

Josh - why?

Take Murrin Murrin - it has smaller reserves than Gladstone, and with less concentrate (0.99% Ni compared with GPN's 1.2%)

Murrin produces 40k tpa
Gladstone will produce 120k tpa

Murrin is up-and-running, so producing a profit, and has a hefty market cap. 20 times that of Gladstone.

In 5 years time Gladstone will be bigger, more profitable and better located than Murrin and right now you can buy it for 5% of Murrin's worth.

Plus GPN has New Solomon assets etc. etc.

This is cheap because it is not yet producing - its share price will v. likely be much higher than Murrin's in 5 yrs.

[josh1966] 24/2/2008 18:55

this wouold be one if the riskiest minign projects on the planet.

Look up murrin murrin, cawse and bulong to see how scary

[smiler 0] 30/1/2008 20:19

Highlights of the MOU

MCC has confirmed it is prepared to provide a commercial offer for the construction of the entire Project; and will send its technical team to Australia to work with GPNL to evaluate the full construction specification for the Project within 60 days. MCC has further confirmed its intention to provide a turn-key Engineering, Procurement and Construction ("EPC") offer for the construction of the Project.
MCC will establish a special team to meet with the Company to discuss and finalise the turn-key EPC contract specifications. The Company believes the MCC offer will be commercially competitive and provide guarantees for the construction price and EPC process. The parties will work together to enable MCC to prepare a commercial proposal and offer for the turn-key EPC construction of the entire Project by 21st July 2008. The target date for construction to commence in Australia is 31st October 2008 with a target to complete turn-key construction by 30th April 2011.
MCC has also offered to finance or assist in arranging finance sufficient to fund the Project from Chinese banks. GPNL has requested and MCC has agreed to consider coordination of the sale and off take of nickel in China.
Upon execution of the turn-key EPC construction contract for the Project, MCC intends to invest equity (in an amount to be agreed) in the shares of GPNL.
MCC has an exclusive right to negotiate and finalise financing and construction agreements until September 2008.

[bergan] 30/1/2008 15:34

yes vermilion1966 - good news and the first of many i think to come. Interesting company, huge potential esp with the China link and the change of mgmt at the top. Also,off most people's radar.

[vermilion1966] 30/1/2008 13:55

Fantastic news. Unlike most minor miners GPN no longer have to worry about raising capital, and can concentrate in getting the nk out of the ground - and there's lots of it! 120,000 tpa - 10% of the world's demand for nickel.

[vermilion1966] 30/1/2008 13:50

Gladstone Pacific Nickel Ltd ('GPNL' or 'the Company') today announced the
Company had executed a Memorandum of Understanding ('MOU') for the development
of its $3.65 billion Gladstone Nickel Project (the 'Project') with one of
China's largest conglomerates.

[terrytibbz] 21/1/2008 11:57

well i sold this as i needed the money outside my investment account, but i think it has good upside but i got my timing all wrong on it.

[smiler 0] 19/1/2008 10:59

Gladstone Nickel Project Feasibility Study shows US$625 million profit after tax and interest in first year of full production.

Background

Stage 2 of the Project involves expansion to four autoclaves whereupon the Gladstone Nickel Project (GNP) will produce approximately 120,000 annual tonnes of nickel and 12,000 annual tonnes of cobalt. The total Project, once completed, would place Gladstone as one of the world's most significant nickel and cobalt producers.

The IDFS for Stage 1 of the Project is based on the Gladstone plant being supplied with a blend of Marlborough ore (~30%) and east coast New Caledonian ore (~70 %). Marlborough is a key element of the Project, providing secure local ore supply and risk mitigation for any foreign ore supply disruptions. Detailed mine plans and costs have been completed at the Marlborough deposits. The majority of the overseas ore required for the plant is to be obtained from a Joint Venture between Société Minière Georges Montagnat and the Company under an arm's length laterite ore purchase arrangement (as announced on the 20th August 2007). Drilling is now underway to generate a JORC compliant mine ore reserve for the JV deposits. Overseas ore costs also include the direct purchase of 800,000 tonnes of ore per annum from Société des Mines de la Tontouta, a company that owns nickel mines and numerous nickel tenements on the east coast of New Caledonia.

Outputs from Financial Model Unit
Current

Real NPV @ 8% Discount Rate, 100% equity after Tax US$M
4,322

IRR %
17.6%


KPI's in First Year of Full Production
Nickel Production tonne
64,753

Cobalt Production tonne
6,164


C1 cash cost after credits US$/lb
2.71

Free Cash Flow US$M
989

EBITDA US$M
1,373



Major Input Variables (Real basis Jan 2008)
Nickel Price US$/lb
12.89

Cobalt Price US$/lb
44.00

AUD:USD AUD:USD
0.8852

Sulphur Price (FOB Vancouver) US$/tonne
420

Capital Cost at relevant exchange rate US$M
3,656

The consumption rates of reagents and consumables have been estimated by Aker Kvaerner Australia Pty Ltd as part of their role in completing the IDFS. Prices for key reagents have been based on current prices in January 2008. In addition, shipping costs have been calculated based on 10 year long term shipping contract rates provided by industry experts.

A comprehensive labour list has been developed for the proposed operations with an estimated 530 employees required at the Gladstone plant. Labour rates have been based on industry surveys in the Gladstone region.

Maintenance material costs for the refinery were estimated at US$40 million per year based on percentages of direct capital costs of plant, equipment and infrastructure. Additional mine maintenance estimates were provided by mining consultants IMC Consultants Pty Ltd and SRK Consulting Pty Ltd for both Marlborough and New Caledonia respectively.
Average expected feed grades from the mines are expected to produce nickel metal of 63,952 tonnes per annum and cobalt of 6,114 tonnes production per annum for the first 10 years of full production in Stage 1.

[kimboy2] 19/1/2008 10:18

At the present day price for nickel. What would be the profit at a long term price of say $6/lb.

That would be the important question for any would be investors and whether the risks are worth the reward.

[smiler 0] 18/1/2008 21:53

LONDON (Thomson Financial) - Gladstone Pacific Nickel said that it expects its profit after tax and interest from stage 1 of its nickel project in Queensland, Australia to be 625 mln usd in its first full year of production.

The company also expects earnings before interest, tax, depreciation and amortisation from the project of 1.37 bln usd and gross revenues of 2.42 bln usd.

Gladstone said the operating cost as announced on Oct 25 2007 has been revised to 2.71 usd per pound of nickel from 2.19 usd per pound due to change in exchange rates.

The company said that stage 2 of the project involves expansion to four autoclaves, after which the company will produce around 120,000 tonnes of nickel annually and 12,000 tonnes of cobalt.

The total project, once completed, would place Gladstone as one of the world's most significant nickel and cobalt producers, the company said.

[smiler 0] 18/1/2008 10:20

Gladstone Pacific Nickel Limited
18 January 2008


GLADSTONE PACIFIC NICKEL LTD

ACN (104 261 887)
('Gladstone'' or 'the Company')

Feasibility Study Results

GLADSTONE NICKEL PROJECT FEASIBILITY STUDY SHOWS US$625 MILLION PROFIT AFTER TAX
& INTEREST IN FIRST YEAR OF FULL PRODUCTION

The Managing Director of the Company, Mr John Downie, announced today the final
financial results of the Feasibility Study for Stage 1 of the Gladstone Nickel
Project ('the Project') ('IDFS').

The study demonstrated, in the first year of full production assuming a two year
ramp up that the Project is expected to generate gross revenues of US$2,417
million and Earnings Before Interest, Tax, Depreciation and Amortisation
('EBITDA') of US$1,373 million at real 1st January 2008 terms using current
prices and exchange rates. Profit after tax and interest from the Project, in
the first year of full production, is projected to be US$625 million in real
terms at a gearing ratio of 70% debt for a 10 year loan period with an interest
rate of 8.5% per annum.

'The study analysis confirmed the Project net present value ('NPV') at US$4,322
million(1) using an 8% discount rate and current prices and exchange rates. The
Directors believe this is one of the most advanced projects in the nickel
pipeline. It is situated in a low sovereign risk environment, and it has strong
economics as well as potential for significant expansion.' Mr. Downie said.

The previously reported cash unit operating cost as announced on 25th October
2007 has been revised from US$2.19 to US$2.71 per pound of nickel, net of
by-product credits, due to overseas ore being indexed to the nickel price and
due to a change in exchange rates. The capital cost, also reported in the 25th
October 2007 market release has also been revised from US$3,400 million to
$3,656 million as a result of a change in the exchange rates.

The Company plans to build one of the world's largest nickel and cobalt
production facilities at its site in Queensland, Australia, treating 100% owned
ore inventory from Australia together with ore from its Joint Venture in the
South West Pacific. Stage 1 of the Project comprises a two autoclave plant
including atmospheric leach at Gladstone, producing refined nickel and cobalt
metal. The plant will process Marlborough ores blended with substantial tonnages
of ore imported from Gladstone's joint venture in New Caledonia. The plant can
expect to produce up to 64,753 tonnes of nickel and 6,164 tonnes of cobalt in
the first year of full production.

Lets hope so Terry !! still waiting for GCM !!!

[terrytibbz] 13/1/2008 20:36

good hopefully a few buyers will appear, this is a low risk stock with good upside in this space and the fundraising catalyst is already underway.

[smiler 0] 11/1/2008 09:03

Gladstone Pacific Nickel Limited
11 January 2008

11 January 2008
GLADSTONE PACIFIC NICKEL LIMITED

APPOINTMENT OF ADVISER

Gladstone Pacific Nickel Limited ('Gladstone') announces the appointment of
Grant Thornton Corporate Finance as Nominated Adviser to the Company with
immediate effect.

Gladstone's shares will be readmitted to trading on the AIM Market with effect
from 9am today.

:)

[bergan] 02/1/2008 11:38

thanks for that terrytibbz - just found out that Insinger are no longer allowed to act as NOMAD to aim listed companies..... not sure of the reason why.....