Ormonde Mining Share Discussion Threads

[steelwatch] 08/6/2016 17:47

DJ2 - from the 24/5 announcement:

Project Timeline Update

In February the Company reported upon an administrative appeal in relation to an element of the compulsory land acquisition process underway which the Company considered to be merely vexatious. This belief has been supported by a recent negative finding (favourable to the Company's position) at the initial administrative level of this appeal process, however Project timelines remain likely to be impacted. Following receipt of updated specialist legal advice related to the relevant appeals process and timelines the Company is now finalising discussions with its project partner and debt provider on the optimisation of the project delivery schedule with details to be announced in due course.

Annual Report due by end of June may give more insight.

[digger jim2] 08/6/2016 16:51

With the general lack of news I presume the September 2016 mine start-up announced over a year ago is now not going to happen ?

Seems to me that since poor Kerr died not much (if anything) has happened, all very disappointing and the web-site seems to have been abandoned.

Wondering if its worth holding on to my shares or bailing out at a loss but at least getting something as I don't like the lack of progress.

Any advice or insight appreciated.

Thanks

Jim

[admiral jellicoe] 30/5/2016 18:02

Closing at 0.015 cent, a 8.5% drop for de day! 330000 traded.Iseq is very bizarre indeed!

[admiral jellicoe] 30/5/2016 16:11

Dooh!! Silly me did not realise London is shut. Thanks for de pointer!!

[carlo sartori] 30/5/2016 15:38

'd read nothing into it Admiral. The value of the share transactions is VERY small and such discrepancies for infrequently traded shares is not unusual between London and Dublin exchanges. I'd suggest when London opens again tomorrow (closed today) there will not be any great change in the share price from last Friday.

But I'll be delighted to be proved wrong!!

Carlo.

[admiral jellicoe] 30/5/2016 14:27

Anybody any idea what is going on with the share price on the Iseq?Up 113% this afternoon, yet only 170,000 shares traded?Still flat in London! I wonder is it a fault on the Iseq as distinct from a real rise in SP?

[12vic] 27/5/2016 16:22

Few good trades going around 1.6

[bizana] 25/5/2016 16:45

Davy 24/05/2016

Drilling programme confirms extension of mineralisation
Several holes in a five-hole, 2,000-metre drilling programme intersected substantial grades and widths below the vertical depths of the established mineralisation used in the open pit model. Currently, the pit design terminates just over the 200 metre level and the drilling just completed records intersections over 100 metres deeper than this level. This points to support for the expectation that an underground mine can be developed when the open pit mining cycle reaches its planned nine-year life. Additional drilling will continue during the construction period and initial production periods.

Aside from depth extension, the drilling added data points to the resource model and further confirmed the existing resource interpretation for the project.

The drilling also confirms the fact that the northern end of the pit is more complex, with drilling intersecting multiple schist rafts present in the granite that contains the tungsten mineralisation. Additional drilling is required but it will not be in the near term.

Project timeline update – detail announced in due course
The third party administrative appeal of the compulsory land purchase, which Ormonde believes to be vexatious, failed in the first part of the appeal process. Nonetheless, as guided in its earlier announcement, Ormonde still believes that timelines will be affected – a fact confirmed with the receipt of specialist legal advice in the interim period.

The group will provide an update on these timelines when it has put in place a new work schedule following completion of discussions with its project partner and debt provider (no debt is currently drawn so discussions relate to timing and matching of the facility with expenditures). Once completed, the details will be made known in due course.

Tungsten market has firmer tone
Recent tungsten pricing has recovered from the lows seen in 2015 with APT now trading at around $220 per MTU (metric tonne unit). While any delay in project delivery is unwelcome, this is likely to be minimal in the context of the project cycle and, as we have pointed out before, should ensure that initial production is more aligned with the tungsten price cycle.

[granto2] 25/5/2016 11:55

yes I notice that all drills were not listed, I assume we had a dud. All miners tend to talk it up, so excellent is never excellent in my book.

[steelwatch] 25/5/2016 11:38

The construction management contract award was actually announced in February, but I had an alert for the above article on my phone this morning for some reason, so posted thinking it was something new.

This is the original:

[12vic] 25/5/2016 11:10

Thanks steelwatch - good find .

[12vic] 24/5/2016 20:07

Based on comparison to previous drilling the results look good to me - notably the 23m and 25m widths grading 0.26 and 0.21 respectively. However I've no particular skill in interpreting this data and its difficult to put it in perspective without a schematic of new and old drill hole locations - this may be released in time.

I'm not sure I'd write of the North side of the pit just yet. I'm reading it more as the central part of the pit is the more prospective - hence they intend to concentrate there first.

Steve Nicol is not the type to describe drill results as "excellent" without reason.If you've seen any of his presentations you'd know he's no marketeer far more likely to tell it straight down the line.

Out of interest did anyone notice we are missing a drillhole? Not clear if they chose simply not to go with number 6.

[dolores123] 24/5/2016 20:02

Perhaps Oaktree will buy out ORM's share - say 6/7p per share would be enough for me!

[granto2] 24/5/2016 18:03

hello again you guys, I'm not too bad on mineral grades but this is not a metal I can claim any expertise in. However, I know that ORM were previously working on grades of 0.22% WO3 to 0.33% WO3, and that grades below 0.10% were discarded, so I assume that 0.10% is the minimum required to profit from. So, these grades look quite good in comparison, a few rich veins which always bodes well. But, this RNS albeit dressed nicely, does admit that some of the bore hole drills hit grades that are not priority ( code language for 'barely profitable'). Also, the quality grades were discovered very deep in the mine. No easy pickings there. here comes another 'but'….But this is an add-on to the already declared resources and any add-on should be deemed a 'gift horse' and not to be dismissed. Oddly, equally important is it proves up the existing reserves and that in itself is an additional comfort. so bringing it back to basics, If you were Goldman Sachs CEO and were buying this company out, how much extra value would you attach to todays drill report? My answer is 'I'll give you an extra 5% or 10% max…. better to have it than not …. ok guys that's my layman's assessment ...

[steelwatch] 24/5/2016 17:44

granto - these are grades reported at Hemerdon. I think our grades compare favourably overall:

[dolores123] 24/5/2016 17:27

Haven't a clue Granto - what about you!!

[granto2] 24/5/2016 12:11

pity the market isn't biting the news. any comments on the quality of the grades, Dolores ? are you good at grades?

[steelwatch] 24/5/2016 11:41

SP Angel today

Tungsten - APT European prices stood at $213-225/mtu vs $215-225/mtu

Ormonde Mining* (LON:ORM) 1.35 pence, Mkt Cap £ 6.4m – Drilling at Barruecopardo shows depth potential

• Ormonde Mining reports the results of a 2000m, five hole, drilling programme “confirming extensions to the mineralisation at depth beneath the main central part of the planned 9 year open pit” and also “following up a potentially expanded zone of mineralisation under the shallow northern end of the planned open pit …”

• The results include a 23m wide intersection at an average grade of 0.26% tungsten trioxide from a depth of 172m followed by a further 5m long intersection at an average grade of 1.95% from 404m, both in hole BAR 83 as well as 25m at 0.21% from 334m in hole BAR 85 and 6m at 2.59% from 2536m in hole BAR 86.

• “Drilling in the Northern area (BAR83, BAR84, and BAR87), below the shallow end of the currently defined open pit confirmed that this part of the resource is more complex, with multiple schist blocks present within the granite being intersected during drilling. Further drill testing is warranted to follow up on the original results from the 2012 drilling, but such work will not be immediately prioritised.”

• The results support the concept of extending the life of the Barruecopardo mine beyond the currently planned open pit into a phase 2 underground operation.

• The company has also taken the opportunity to provide an update on the project timetable for the development of the Barruecopardo mine which received mining permits late in 2014. In February this year, Ormonde Mining reported that there had been an administrative appeal relating to “an element of the compulsory land acquisition process”.

• Although the company’s actions have been exonerated “at the initial administrative level of this appeal process, … Project timelines remain likely to be impacted”.

Conclusion: The intersection of high grade tungsten mineralisation at depth below the pit development at Barruecopardo provides long-term potential to extend beyond the initial 9 year open pit into longer term underground mining.

[dolores123] 24/5/2016 07:49

Excellent drilling results confirm that the tungsten mine is much bigger and deeper than just the original 9 year open pit mine.

[cpap man] 24/5/2016 07:40

Steve Nicol, Ormonde's Managing Director, commented:



"The excellent drilling results achieved from the recently completed drilling program below the base of the planned open pit are most satisfying, confirming our belief that there is significant potential to substantially extend the mine life at Barruecopardo through the development of a Stage 2 underground mine. Works in this regard, including further drilling, will continue during the project construction and initial production periods."

[rileyma] 24/5/2016 07:36

The land issue needs sorting as a priority.
Then this will fly
meantime tungsten strengthens,,,,,

[steelwatch] 24/5/2016 07:18

Going underground it seems :o)

[dolores123] 20/5/2016 15:21

Thanks for that 12vic.

A good article and here is just an extract

"Compounding the positive sentiment, while global growth prospects may remain uncertain for most, robust growth projections for end use markets of tungsten has led industry observers to call the recent price rise as a sustained long-term recovery towards 2011 to 2014 averages of $380 per mtu. The depressed oil, gas and mining industry is expected to grow as prices for oil stabilize at levels above $30/bbl. The aviation industry, which consumes tungsten for jet turbines, expects a 31 per cent rise in the passenger demand by 2017. Tungsten is essential in cutting tools used in the automobile industry which is estimated to grow 2.8 per cent in 2016. Lastly, the global construction equipment sector, again for which tungsten is an integral raw material, is expected to grow 4 per cent this year."

Sounds good for ORM.

[12vic] 20/5/2016 14:48

Afternoon

Good piece on tungsten market. Positive view on future outlook , with some analysis of supply and demand factors that should drive price.

www.vir.com.vn/masan-sees-bright-future-in-tungsten.html