Savannah Resources Share Discussion Threads

[edgein] 13/12/2017 08:43

HD,

Its the way AIM operates at the moment unfortunately/fortunately. If it were as bullish as it used to be we'd never get opportunities like this. A company sitting on a world class project with a JV with Rio T in Moz. About to go into production from decent grade shallow copper in Oman (about 6 months). The CEO chipper on interviews claiming the white stuff is everywhere in Portugal (we can see the reason for that today), and now potentially the largest lith asset in Europe shaping up. If it wasn't for sellers we wouldn't be getting these at a £34m cap that's for sure. That's starting to look rather small for the mineral sands project. Its one to shuffle away and like SOLG it will pop at some point. Either that or one of the large lith companies will make an offer the management cannot refuse. No wonder the recent raising was done pretty much bang on the share price though.

Regards,
Ed.

[hiddendepths] 13/12/2017 08:22

We still have sellers into strength, which is disappointing.

[edgein] 13/12/2017 07:52

Hiddendepths,

When you have those sort of intersects quite a few! Great grades, shallow, large intersects the prospectivity of the area is huge. The RNS simply is outstanding!

Regards,
Ed.

[paleje] 13/12/2017 07:48

Quality counts. As per DA's Walsall presentation at the start of the month. Mcap too low.

[meteor1] 13/12/2017 07:44

Amazing Lithium drill results in Portugal, 2.1% Li spodumene, near surface. Extensive drilling completed and more underway. Remember we have 8 areas with mining licence granted and drilling is only taking place in three.

[hiddendepths] 13/12/2017 07:41

How many times can you get "outstanding" into a single RNS? Not complaining though, not at all!

[ged5] 08/12/2017 15:28

Also agree with you BW but it would depend on Al Marjan. They do have 29.39%. Although a possibility of a takeout I think there's more value in proving up the Lithium project first.

[dubby] 08/12/2017 15:09

Agree with you there BW, i don't think we will take anything out of the ground, company with be taken out, not fussed either way.

[broncowarrior] 08/12/2017 13:01

Yep, I think people are more reserved about metals these days but we really do seem to be in a sweet spot here; just need to get things a little further up the value curve and when we start generating cash flow in Oman we should see a significant re-rating IMO.

Likelihood of a takeout of lithium project or whole company also got to be a possibility at some point.

[ged5] 08/12/2017 10:04

From the same article:-

Let’s take a look at the most significant commodity in terms of usage and world growth. Copper has had a great 2017, as the price has made higher lows and higher highs throughout the year. Chilean miner Codelco believes prices could test record highs above $10,000 a ton, as the supply-demand balance shifts to “substantial” deficits from 2018 onwards. Goldman Sachs also predicts the metal will continue to benefit from synchronized global growth. Copper is up by around 23% this year and is trading a three-year high.

[ged5] 08/12/2017 10:01

Thanks to a poster on SML thread elsewhere.

The rate at which global automotive markets are adopting electric vehicles (EVs) is accelerating at a much faster pace than even some of the keenest market observers had estimated at the start of 2017, opening up seemingly once-in-a-lifetime investment opportunities amongst the key ‘energy metals.

Since the beginning of 2017, the market has reached a new peak of lithium-ion battery capacity in the pipeline. An additional 153 GWh has been added to planned capacity build-outs this year alone, taking the total to 372 GWh. But there are estimates that suggest by 2025 we will need to be around 750 GWh, of which 645 GWh will be for EVs.

Lithium-ion battery demand will continue to be the story that dominates the lithium market. This will be led by Chinese demand and their build-out of new hard rock lithium conversion capacity will be the one- to three-year processing story to watch. The emergence of western EV auto manufacturers is a comparatively new trend that will influence the supply chain.

[ged5] 08/12/2017 09:01

Indeed Edgein.

Worth a reminder of this from the interim results:-

The pilot plant is expected to be constructed and commissioned by the end of 2017, and once operational will be used to produce bulk samples of concentrate for metallurgical and product test work. This will help us refine our final production model whilst also supporting test marketing to be undertaken by our partner Rio Tinto (or its affiliate), which has an offtake agreement on commercial terms for the purchase of 100% of heavy mineral concentrate produced at Mutamba.

[edgein] 08/12/2017 07:40

Yeah excellent progress Pilot plant now up and running, should provide plenty of test results over the coming months for the company. I've been adding more here recently, given progress and the imminent JORC it would be rude not to.

Regards,
Ed.

[inbrackets] 07/12/2017 23:01

Just waiting for someone to shout 'Bingo'.

[ged5] 07/12/2017 19:54

So the commissioning of a pilot processing plant at the Mutamba has been completed.

Yet another box ticked.

[ged5] 03/12/2017 12:54

Thank you paleje.

[paleje] 03/12/2017 00:42

Yes Ged and I spoke with David after the show, which was recorded and I think sharetalk will publish it.

Nothing new was said, it can't be, but David was asked by an investor about the poor share price performance and he acknowledged it and agreed it needs to improve. I asked him afterwards about other European lithium competition in particular EMH and how he saw Portugal in comparison. He said as I suppose you'd expect, he thought Portugal compared we'll and it was quality that counted. He also referred me to European Lithium another oz outfit whose mcap has gone a bit wild lately. He said look at them, see their mcaps both around 50m then look at ours around 35m but we've got Oman and Moz too never mind Finland.

I'm not a technical man and I stayed away from the geology but I liked David he's a bloke I'd do business with on a handshake, my wife was with me she liked him too. I don't know at what point the share price will get real but I think it will.

[ged5] 02/12/2017 11:18

Did anyone attend last nights talk?

[ged5] 01/12/2017 10:10

Talking finished, connections made, stands dismantled, bags packed, breakfast digested, the journey North begins.

Onward and upwards is the cry. Walsall here we come!

Next week message from Perth maybe; message from Muscat maybe; ceremonial guard at Jangamo on Thursday not maybe - tis planned.

[ged5] 30/11/2017 12:00

PORTUGAL
Hopeful of JORC resource by end of this year.
Drilling ongoing
Continue until January
Those samples for metallurgical tests and re-evaluation of the resource.
Hope for 2nd drill
Smiling again when talking about the white stuff!

MOZAMBIQUE

Official opening of the pilot plannt
Hopes the Governor will be in attendance
PFS mid 2018
Full feasibility 2019
LOT OF INTEREST IN THE PROJECT

OMAN

Still on track for mining start 1st half 2018
Production 2nd half

[inbrackets] 30/11/2017 11:10

New interview and gives some idea of when new should be out.

[ged5] 30/11/2017 10:24

Hi IB

Is there news due and is it due soon? :)

[inbrackets] 30/11/2017 08:45

Ged, due, and due soon.Much like further major items on both Oman and Portugal that are also due, and due soon.

[ged5] 30/11/2017 08:14

Video of Mutamba Pilot Plant Project: Week 20, Plant Commissioned.

Very nice but more important for me is the paragraph above which reminds us the environmental studies report is due.