Phoenix Global Mining Share Discussion Threads

[mr ashley james] 12/7/2006 18:34

Shock as CEO quits Impala
By: Jim Jones
Posted: '04-JUL-06 12:58' GMT © Mineweb 1997-2004



JOHANNESBURG (Mineweb.com) -- Keith Rumble, CEO at Impala Platinum, has announced his resignation effective 31 December 2006, "to pursue other interests." The official announcement states that David Brown, incumbent chief financial officer at Implats, will replace his boss.

Rumble, Implats CEO since July 2001, is one of ten finalists in this year's Moneyweb "CEO's CEO of The Year" and as such, is regarded by his peers, and many others, as one of the top bosses in the country. The record shows that under Rumble's leadership, Implats has significantly grown its platinum production profile and, equally important, its resource base over the past six years, and improved its relative competitive position in the platinum business.

Returns to investors from Implats have been significant. Rumble was in the Moneyweb radio studio on Monday night, in connection with his role as a CEO's CEO finalist. Rumble agreed that mining was "an extremely tough environment," adding "regrettably, I think it's an environment where people have been stereotyped as being the kick-butt type of manager that succeeds."

Rumble said that he was "trying to do things differently there. I think one has to try and engender a little bit more of a participative management style into the workforce, and some of our recent appointments have been of that type of nature. But there is still a long way to go in that regard. The old typical South African mine manager has been a grey-bearded, hard, rough-and-tough sort of miner.

"That has to change. We are, I think, seeing some of the fruits of transformation coming through, and different backgrounds are bringing different approaches as well. I think that's hugely encouraging."

Rumble joined Implats from Rio Tinto, which remains one of the world's biggest diversified resources companies.





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[mr ashley james] 02/7/2006 13:57

Wesizwe Platinum's South African empowerment dilemma
By: Jim Jones
Posted: '29-JUN-06 15:00' GMT © Mineweb 1997-2004



JOHANNESBURG (Mineweb.com) -- For the present Wesizwe, the South African black empowered platinum hopeful, is in no danger of seeing its empowerment ownership diluted below the 26% mandated by government for all of South Africa's mines. The company is 33%-owned by the Bakubung community, with a further 19% by other black shareholders.

So, given the company's current market capitalisation, even if no capital were to be raised from black shareholders, the R100 million currently being sought for the next phase of drilling would only cut black ownership to 45%. The next R100 million reckoned to be needed to complete the prospective mine's bankable feasibility study some two years hence would only cut black ownership to 41% -- well within the mandatory 26% -- if absolutely nothing were to be raised from black investors.

The dilemma is explored fully by CEO Michael Solomon in the latest annual report. By this year's first quarter Wesizwe had an attributable PE4 (platinum, palladium, rhodium and gold) of 6.886 million ounces, well within the initial target set when the company launched. But more is needed with exploration drilling likely to last well into 2008 or beyond.

The dilemma highlighted by Solomon is that the current black shareholders may not have the capacity to fund their R102 million share of the R200 million estimated. And though it might well be possible to identify other black empowerment shareholders, raising money through the Johannesburg stock market is not likely to be altogether easy. Johannesburg lags way behind its Canadian, Australian and London counterparts in its appetite for exploration company investments. But if Wesizwe were to turn to a foreign bourse for further funds, its empowerment credentials might well be difficult to sustain.

Taking the project through completion of a bankable feasibility study is one thing. Raising the significantly greater amounts that will be needed later to establish an operating mine is quite another. The company has approached various state institutions in a quest for funding to enable its present black shareholders to follow their share of future capital-raising exercises. But as yet, those approaches have been more exploratory than conclusive, hence Solomon's extensive commentary of the empowerment issue.

Not that Solomon is daunted by the prospect of raising money in Johannesburg. But the success of Wesizwe (and of other explorers for that matter) would appear to call for a significant shift in the appetite for risk investments in the local market.

[mr ashley james] 30/6/2006 14:56

Platinum Futures up US$44.30 from US$1205.70 to US$1250

[mr ashley james] 29/6/2006 13:39

Updated Futures Commodity Charts in HEADER

[smilewithme] 06/6/2006 22:00

Wow! Excellent News on the way to a Mine! Maturi 51 million tonnes and Birch Lake 39 Million tonnes ;-)



Tue Jun 6, 2006
Franconia Receives 43-101 Resource Estimate On Maturi Copper-Nickel-PGM Resource At Birch Lake, Minnesota

--------------------------------------------------------------------------------

June 6, 2006, Spokane, Washington: Franconia Minerals Corporation ("Franconia") is pleased to announce it has received a resource estimate for the Maturi copper-nickel-platinum group metal (PGM) target, part of the Birch Lake Project in Minnesota. The Maturi target lies on a package of mineral rights acquired in 2005 by Franconia from American Copper & Nickel Company, Inc. (ACNC). The Maturi target is located about 3 miles north of Franconia's 39 million tonne Birch Lake copper-nickel-PGM resource. A supporting Technical Report, prepared by Roscoe Postle Associates to NI 43-101 standards, will be filed and made available on SEDAR within 45 days.

Brian Gavin, president of Franconia, said, "The 51 million tonne Maturi Inferred Resource complements our 39 million tonne Inferred Resource at Birch Lake and raises the possible scenario of two nearby underground copper-nickel-PGM mines feeding one central processing facility - all controlled by Franconia. Conceptually, the capital costs of one plant would be split between two mines giving a big boost to the 'bottom line'. Also, neither Maturi nor Birch Lake has been fully drilled out as yet".

Inferred Resource Estimate,
Maturi Zone, Birch Lake Project, Minnesota

(Smilewithme – I have placed figures in column from new release to make easier to read – I take no responsibility for transposing these ie. please check yourself)

Cut Off NSR $25.00
Tonnes (millions) 51.2
Copper (%) 0.74
Nickel (%) 0.28
Cobalt (%) 0.02
Palladium (g/t) 0.27
Platinum (g/t) 0.10
Gold (g/t) 0.05

Metal price assumptions: copper $1.20/lb, nickel $4.50/lb, cobalt
$10.00/lb, palladium $300/oz, platinum $800/oz, gold $450/oz.

This estimate was prepared by Graham Clow and Richard Routledge, of Roscoe Postle Associates Inc. (RPA), both appropriately qualified persons according to NI 43-101.

ACNC, and its parent company Inco Limited, did extensive drilling at Maturi between 1950 and 1974 and developed a 1,100 feet deep exploration shaft. This estimate is based on 41 surface drill holes and 12 underground drill holes totaling 46,178 feet including material re-sampled and re-assayed in 2000 from 26,246 ft of core (1,400 samples) for copper, nickel, cobalt, platinum, palladium, gold and sulfur. No further exploration or evaluation has been done since that time. The mineralized zone is about 75 feet thick and dips at approximately 45 degrees to the southeast. The uppermost portion of the zone reaches within 170 feet of the surface.

Maturi is three miles northeast of the Inferred Resource at Birch Lake. The resource estimate summarized below was completed in 2005 by RPA to 43-101 standards using different long-term metal prices.
A re-estimation of the resource at Birch Lake to include drill data from 2005 and updated long term metal prices is currently underway. The resource estimates at Birch Lake and Maturi will form the basis of an independent Preliminary Economic Assessment, which will include a "scoping-level" economic evaluation, including a cash flow analysis, of the potential viability of mining the Birch Lake and Maturi resources concurrently.


Inferred Resource Estimate,
Birch Lake Zone, Birch Lake Project, Minnesota

(Smilewithme – I have placed figures in column from new release to make easier to read – I take no responsibility for transposing these ie. please check yourself)

Cut Off NSR $30.86
Tonnes (millions) 39.3
Copper (%) 0.72
Nickel (%) 0.22
Cobalt (%) 0.01
Palladium (g/t) 1.01
Platinum (g/t) 0.49
Gold (g/t) 0.23

Metal price assumptions: copper $1.05/lb, nickel $5.00/lb, cobalt
$10.00/lb, palladium $225/oz, platinum $750/oz, gold $410/oz


Franconia Minerals Corporation trades on both the TSX-V in Canada and OFEX in the UK under the symbol FRA. (For additional information see www.franconiaminerals.com.) The directors of Franconia Minerals Corporation accept responsibility for this announcement. Franconia presently has 37,165,054 shares issued and outstanding.

Brian Gavin, President
Franconia Minerals Corporation

For more information contact:

Brian Gavin
Franconia Minerals Corporation
111 East Magnesium Road, Suite A
Spokane, WA 99208,USA
Tel: [phone]
E-mail: [e-mail]
www.franconiaminerals.com

Colin Bird
Lion Capital Corporation Ltd.
4th Floor, 2 Cromwell Place
London SW7 2JE, UK
Tel: [phone]
E-mail: [e-mail]

[biswell] 05/6/2006 14:06

ASH

I thnk GOLD is due to visit one of it's lower ma's , below $600 possible and my preference is for $585

Check out Bank of America I think you will find they have raised their Federal Funds rates tp 5.75%

Will take PLAT down also I would have thought to circa $950

Just me personal thoughts

B

[smilewithme] 05/6/2006 13:59

FRA could begin mine with 250 workers – local press



Grandforks Herald June 5th

Mining boom anticipated on the Iron Range
BOB KELLEHER
Minnesota Public Radio


"The list keeps going - in a couple of years, Franconia Minerals could begin its underground copper/nickel mine with another 250 workers"

What other mining junior (with such a low market capitalision and such tremendous upside) is at this stage i.e. moving towards a mine?

Also interesting to note that Polymet Mining are mentioned in the same article:

"PolyMet Mining Corp. is close to a decision on a copper/nickel mine near Hoyt Lakes. That's 400 permanent jobs for at least 20 years - in addition to construction and spinoff jobs"

As I have posted earlier:

With news due any day on Franconia's Maturi resource, consider how Polymet Mining have performed over the past few years – both companies are drilling in same area – Polymet is ahead in terms of progress but as Franconia catch up, expect to see a ten bagger!

As far as I can see, that seems to be the only difference between the two companies, (apart from the fact that Franconia has several other major projects elsewhere in the US – zinc in San Francisco, copper at Red Knoll etc. And perhaps that explains Franconias slower progress at Birch Lake – they have a lot of other things happening too!

Following Franconia's own suggestion that they and Polymet Mining are peers (as described in their Corporate Presentation , I took a look at Polymet.

Franconia and PolyMet Mining are listed on the same exchange and are mining in the same area as described in earlier post/ article – they are only separated by several miles as shown:






Today, PolyMet's market capitalisation is around 500 million dollars. (£250 million)
Franconia's is around 20 million dollars. (£10 million)

As the two year chart below shows, a year ago PolyMet – were around 50 cents but now are over four dollars (at time of writing) – the share price suddenly took off (in reponse to results, progress etc). PolyMet continue to make excellent progress.

Today, Franconia are around 60 cents (30p equivalent in Toronto, 30p on Ofex).........in a year they will be......the sky's the limit......











Smilewithme

[smilewithme] 31/5/2006 14:14

Hectorp,

Remember that we are talking about Platinum and other resources in the US itself - how easy can you get with infrastructure in place etc etc

FRA Birch Lake grades are better than Polymet Mining's at Northmet.

And although the Polyment Mining tonnage is higher, then that is an over-simplification since lower tonnage with higher grades may be higher net present value.

I have already posted on the main Franconia thread regarding comparision between the two companies - the Polyment market capitalisation is in the hundreds of millions compared to FRA in the ten's of millions etc etc

Main Franconia research thread is at FRANCONIA MINERALS CORPORATION: Platinum & Zinc For The Twenty First Century (FRA)

Since Franconia is on your watch list, you will also be aware of their zinc resource at San Francisco and potentially other copper resources in Arizona.

What other junior explorers so close to production are this cheap. The Minnesota local legislature is pouring money at them to help them get mine started.

Encourage you to move them from your watch list to hold list...

;-)

[hectorp] 28/5/2006 13:41

Only problem with FRA might be there are no outstanding looking grades above chart, and some considerable local roadbulidng and the preocessor is 30? miles away. Of course , it is very inexpensive at the moment. Just depends how the copper price swings as it seems the strongest element in the equation. its on my close watch list. as are! of course ML ROK ATV LTH.

[smilewithme] 23/5/2006 15:13

Hi All,

With news due, anyone looking to pick up a platinum play cheaply, in todays markets, should take a look at Franconia Minerals on OFEX. (Inferred Resource of around 500 US Million Dollars to be confirmed against market capitalisation of around 10 million pounds)



If someone is thinking of getting in, then now maybe is the time ;-)

Franconia Minerals Corporation (TSX-V: FRA; OFEX: FRA) is focused on exploring and developing and Platinum Group Metals Base Metals (especially zinc) in the continental United States. Headed by a proven management and technical team with over 200 years of mining and exploration experience, the Company's head office is in Spokane, Washington.

Franconia's most advanced exploration project, the Birch Lake Platinum-Palladium-Copper-Nickel project, is located in the Duluth Complex in northeastern Minnesota. The Company is also actively exploring for base metals at its San Francisco zinc property in Utah and its Red Knoll copper property in Arizona. Franconia has exploration agreements with Teck Cominco American Inc.



Franconia is held by Bruce Rowan's Starvest

and Tiger Resource Finance




Main Franconia research thread is at FRANCONIA MINERALS CORPORATION: Platinum & Zinc For The Twenty First Century (FRA)

I have also started a couple of "temporary threads" :

Franconia Minerals OFEX heading for ten bagger (FRA)



and

Franconia has more Platinum than Eurasia – news expected (FRA)





Summary:
------------

There is some news flow due soon, which hopefully will see major moves upwards. We are waiting on scoping study for a resource at Maturi (historical values are shown below) Scoping study for Birch Lake has been published already. After that, they will publish a joint scoping study to process both resources together.

Currently the NPV of Birch Lake is 222 million US Dollars
Maturi might be about ten per cent higher than BL - that give us 500 million US Dollars which may be processed together. (And Franconia's market capitalisation is only around £10 million pounds!!!!!!! )

As FRA have said, "Conceptually, the capital costs of one plant would be split between two mines giving a big boost to the 'bottom line'" - expect that to be described in scoping study due out in several weeks.

Also, neither Maturi nor Birch Lake has been fully drilled out as yet.

- Maturi mineralization is open down dip to the east
- Birch Lake could be expanded along strike to the north and south

So what's already big - very big - could become even bigger.


Detail:
-------


The NPV of BL at lower January 2005 prices and 8% discount rate was 222 million US Dollars. If Maturi is comparable and they can be mined together, then the sky will be the limit! In my opinion the Maturi update will be good news - othewise why bother with a scoping study!







"The Maturi resource is located about 3 miles north of Franconia's Birch Lake PGM-copper-nickel project."

"Although still in the exploration phase, Maturi may well complement our inferred resource at Birch Lake and raises the possible scenario of two nearby underground copper-nickel-PGM mines feeding one central processing facility - all controlled by Franconia. Conceptually, the capital costs of one plant would be split between two mines giving a big boost to the 'bottom line'. Also, neither Maturi nor Birch Lake has been fully drilled out as yet."

______________________________________________________________

Birch Lake has...




This all looks very promising and hopefully we should know more soon..

Smilewithme

[mr ashley james] 10/5/2006 01:25

Yikyak,

We have hit my first US$388 toz target next stop EW Wise is US$522 toz IMHO



Time to be a Palladium Bull I would have thought.

All IMHO, NAG, DYOR etc

Cheers

Ash:)

[sbs] 09/5/2006 10:58

I prefer Platinum.

Can I wait for $2,000/oz? This is all happening faster than I expected :-)

[trade 0utta here] 07/5/2006 12:55

Palladium!!

[hectorp] 06/5/2006 18:56

so it appears that Eastern, Jewellery demand , is helping Palladium, this trend could greatly increase in scope and scale with peeps in China with $300 to spend on a nice ring, or clasp, which if in Platinum may cost $600 or so. ( at Retail prices). what would you buy in their position? I assume Palladium is equally non- corrosive as platinum.

[trade 0utta here] 02/5/2006 13:51

Still interested in your views though!!

[trade 0utta here] 02/5/2006 13:16

Sorry just saw the chart I was after in the header
Hadn't realised it was there....

[trade 0utta here] 02/5/2006 13:14

AJ

Do you have the latest 'chart' for Palladium please
What is your view on Palladium? Time to take some profits yet?

[hectorp] 25/4/2006 08:34

try the silver thread is why - AG is the epic.

[hectorp] 24/4/2006 19:23

Palladium unaffected today.. 60 day chart bullish here.

[hectorp] 24/4/2006 19:19

I dont expect silver to reach $15 an ounce. I suspect it will fall to $9-10 in weeks.

[ducktack] 13/4/2006 23:25

Surprised no mention of Silver anywhere.
Has outperformed all metals since beginning of the year.
Upcoming ETF and suggested amount would remove 15% of available reserves. Supply is only 1/5th of what it was 20 years ago and yet price has only very recently begun it's uptrend.
Have a good read over the weekend as there's loads to digest and then compare to recent price rises.
If it goes parabolic you won't have time to get in as the below articles demonstrate:








Reg's DT

Update 17/4 21.00hrs Now 1350 up 60c on the day. Looks like the parabola could be on despite being overbought for the past 4 weeks. From research this is the nature of a parabola and is a very rare phenominum. Good if you're in a b*stard if you're trying to get an entry point with minimum capital for s/losses.If you're already in tighten stops ever more as it continues up.