Kodal Minerals Share Discussion Threads

[cpap man] 31/1/2020 09:11

It's Friday - KOD an' chips day!

[the brex pistols] 31/1/2020 09:09

Buying it hard down here we are.

[cpap man] 30/1/2020 11:40

Kodal Minerals* (KOD LN) 0.065p, Mkt Cap £6m – MOU signed with Mali Lithium to explore synergies of Bougouni Lithium project

In a rare case of common sense Kodal Minerals reports it has signed an MOU with Mali lithium to explore synergies of the Bougouni Lithium project in Mali.

A tie-up between the two companies makes great sense due to cost and time savings in the phased and sequenced development of both projects and the sharing of transport and other logistics.

The two companies are looking at:

Sharing of facilities in the town of Bougouni pre-development to support exploration and fieldwork;

Establishing common workshops for servicing, storage and catering (a mine marches on its stomach);

Creating common supply chains for spares, reagents, fuel and other consumables;

A joint strategy for transport and shipping which are critical and could lead to very substantial savings not to mention the avoidance of logistical problems

A joint approach to community development which will again save on costs and probably be more effective overall than two separate community programs.

The two companies also intend to negotiate an access agreement for the Bougouni West Project currently owned by Kodal Minerals through the Bamabara option agreement.

Questioning of Kodal Minerals Feasibility Study reveals the involvement of DRA, Standing Wave (Red Star Construction), Orelogy, Knight Piésold, and Kodal’s Steven Zaninovich

DRA providing oversight and the overall estimate review function for the Feasibility Study.

Kodal Minerals Feasibility Study estimates are based on similar projects completed in the region and the experience of Kodal’s Steven Zaninovich

Metallurgy, recovery rates and concentrate quality was reviewed by DRA who have experience the design and commissioning of the two Pilgangoora lithium project in Australia run by Altura and Pilbara Minerals.

Feasibility Study costs were estimated in Q4 2019 in US dollars and developed on the basis of a mining contractor operation with quotes from AMS Ausdrill, BCM and ETASI, a local Mali contractor. They include:

Contract mining costs.

Contract grade control costs.

Capital works relating to establishing mining operations.

Owners mining costs.

The timetable for initial concentrate in 2021 looks tight and is dependent on funding solution.

Permits: Kodal has an Environmental permit and Community development plan approval which has been submitted with Mining License application.

The company will also need licenses for Water abstraction from the Baoulé river, camp construction and more routine items like: radio licence, fuel storage, solid waste management, land fill, explosives, chemical storage, power production, etc.

Consultants are to be used for the permitting of trucking through Mali and the Ivory Coast. We expect the company to review the road route from a safety perspective due to the very large tonnage to be hauled to the San Pedro port.

Duties include Mali export clearance at €3.00/t and border crossing at €3.50/t all of which are included in the transport cost estimate.

Funding: Discussions are ongoing with Kodal’s Chinese partner who have expressed interest in working with Kodal on the plant and other items…

Lithium price assumption: Kodal used US$680/t for the Feasibility study following a review of operating companies, other proposals and industry review.

We agree current price for Spodumene concentrate of $480-550/t for 5-6% Li2O min should improve though it is normal for Feasibility Studies to be run at prevailing price levels with scenario valuations at differing prices.

Conclusion: Combining the two lithium projects should create a new centre for lithium mine production and could offer potential for further processing and value addition in Mali. Trucking spodumene concentrate to the port of San Pedro should create early cash flow to get the mine’s stated while stakeholders consider the potential for further processing in Mali or in the Ivory Coast.

*SP Angel acts as Financial Adviser and broker to Kodal Minerals A partner at share price Angel acts as Chairman to the company.

[hyper al] 30/1/2020 10:23

Well someone wants this stock.

Funds and big investors have said they are moving out of fossil fuels, it would make sense for them to move into renewables.

Renewables will be the next big boom after the Internet.

[cpap man] 30/1/2020 09:55

I can see this at 1p+ with funding hmmmm - tic tock cash will be coming in fast

[hotaimstocks] 30/1/2020 09:48

I can see this at zero without funding hmmmm - tic tock cash running out fast

[andy] 29/1/2020 21:35

Finally some good news for Kodal, this MOU makes sense IMO.

[skiboy10] 29/1/2020 20:45

EyeGuy

Posts: 18,350

Price: 0.0775

No Opinion
RE: Delighted...Today 12:56

Rns best taken in context with Monday’s rns. NPV between $200-300 million. That’s only going up with the synergies announced today. Capex likely coming down then IRR goes up. Brilliant.
Can see a few days of big blue days here. Complete mid match between mcap and NPV. Should close substantially

[skiboy10] 29/1/2020 15:19

Makes sense they would do this given the proximity of the licences. Only a few more bags to break even but it’s a good start!

[hyper al] 29/1/2020 15:03

Looks like a record volume, looking at the 5 year chart

[cpap man] 29/1/2020 14:45

Over one billion shares traded so far today @ KOD

[cpap man] 29/1/2020 14:40

Yes amazing volumes today @ KOD

[dmitribollokov] 29/1/2020 13:30

10% of the outstanding shares traded already

[bsg] 29/1/2020 11:57

Lets hope so, probably finish flat today.

[cpap man] 29/1/2020 11:56

bsg a well known de-ramping TROLL from the past!

[cpap man] 29/1/2020 11:52

Tis but JUST THE START.

[bsg] 29/1/2020 11:51

Tis but an MOU.

[hyper al] 29/1/2020 11:45

Maybe the big boys are moving from oil into Lithium

[wrtmf] 29/1/2020 11:43

interesting. on my radar for q4-2020/q1-2021, [if not bought out]

rns 27/1:

'LOM revenue exceeding USD$1.4bn, with an initial concentrate sale price of $680/t based on operations commencing H2 2021, thereafter, increasing 2% year-on-year.'

[dmitribollokov] 29/1/2020 11:25

wow massive volume

[cpap man] 29/1/2020 11:20

Easy target....lol

[cpap man] 29/1/2020 10:35

Almost there already!

[acuransx] 29/1/2020 10:18

Come we need this to break 0.08...