Zanaga Iron Ore Share Discussion Threads

[tidy 2] 28/11/2017 17:47

GLEN have recently struck a deal for $700m in a similar situation to this. The RNS was posted here a few days ago it may be in GLENS RNS's to Track down and get an idea of their MO.

[tidy 2] 28/11/2017 17:44

Yes you are correct on point 1. Licenses and permits awarded to The Zanaga project. Project team controls decision making which I assume ZIOC has a seat in. GLEN funding the project this far ($350m) was the deal that gave them the 1 share controlling factor. GLEN will be in charge of who becomes their forward partner for the project and a percentage of ZIOC's 50% -1 share Holding will be the negotiating tool up for sale. Hopefully giving ZIOC another dilution free, free carry for a minority percentage of Zanaga. Providing they are not completely bought out. If ZIOC retain a %age I'd expect a special dividend for shareholders at a specific price decided and up for vote.

[divmad] 28/11/2017 17:30

tidy2,

A few comments on your generally correct and persuasive post above:

1. ZIOC doesn't hold the permits and licenses. The Zanaga Project, jointly owned by ZIOC and Glen (the controlling shareholder) holds the licenses etc.

2. SXX for comparison purposes you mention, but let's get the facts there straight. It will NOT take 10 years to bring to production using two funding tranches. The second tranche, which will likely by all debt financed, is slated for a year from now, so that first revenues can be generated by 2021, four years from now!

3. A question for you. Does GLEN operate anywhere else on a global scale mine, with a minority partner with whom they had to buy out from 50% or more to gain control? Or is it their thing to insist on 100% ownership (minus any required local Government ownership)?

[tidy 2] 28/11/2017 17:11

Collecting stock. GLEN leading the way they can't manipulate that.

[little minx] 28/11/2017 16:56

Fleeced or filling orders hard one to call

[tidy 2] 28/11/2017 16:36

True good read but. How funny are they Say hardly anything about ZIOC but use it's popularity to ramp another stock lol. No mention of free carry through GLEN 50/50 Jv partner at all. Or the size and purity of the resource. Comparison to SXX fine in terms of where ZIOC's Mcap May be heading for ie £1bn but unlike SXX, ZIOC has not been diluted due to GLEN's desirability and liking of the resource. Sxx does require £2bn capex which it has funded through the market in 2 phases. £1bn for tunnel construction for 5 years followed by £1bn infrastructure another 5 years. That's 10 yrs and funding ultimately through dilution. Zioc / GLEN requires £2bn however ZIOC has not been diluted due to GLEN footing the bills to prove up the resource due to savvy deal making and further negotiating will see a similar deal or GLEN would lose their controlling interest on a resource they have already invested $350m to get this far. IMO ZIOC will negotiate a further free carry through a sale of a portion of its remaining 50% to GLEN or another Giant Major and will not only free carry but will reward shareholders with a special dividend at a set price and allow them to reap the rewards of a stake in what willl be one of the largest mines in the world. They will then have a minority stake of a world class resource run, funded and managed by Giant majors. A total buyout could follow or they may continue to hold and prosper during many years of production. Remember so far only 53% (25km) of the 47km has been explored and proved up and puts it in No5 worlds largest slot but it is already the No1 purest and the only one not exploited. Reo / GLEN / ZIOC watch this space. Only £43m cap and ready to go with ZIOC holding all the licenses and permits.

[amitburnshort] 28/11/2017 15:52

A very good read:

[tidy 2] 28/11/2017 14:47

350 free carried by Giant GLEN and cap only £44m. Broker target $1.7bn pre study completion and all approval grantings. Zioc now has the lot apart from the Mcap. The JV is a whopping 50/50 +/- 1 share also. Unheard of.

[topazfrenzy] 28/11/2017 14:45

rerate down maybe

[amitburnshort] 28/11/2017 14:38

Iron Ore is rallying.
ZIOC are ready to exploit the Asset with Glencore (or sell it)
Major rerate on the way.

[topazfrenzy] 28/11/2017 14:31

Miners all down, China looking stuffed, back to 8p here soonish

[amitburnshort] 28/11/2017 14:16

MMs been holding this down, silly shorts opened at 25p for the un-researched.

I feel a squeeze on the way.

[reks] 28/11/2017 14:06

people playing into MM hands - if they buy and hold they have to tighten spread and move it up - why should we help those who got in late load up at cheap prices!!!

[reks] 28/11/2017 14:03

sure is - take off time!

[amitburnshort] 28/11/2017 13:55

This is set to explode here, coming any time now. Shorts closing, and large buy orders in....watch.

[reks] 28/11/2017 13:51

days high paid moving on tiny buys - BOOM?

[reks] 28/11/2017 13:42

twitter saying Sinosteel offtake agreement - £1+ if true

[reks] 28/11/2017 13:37

PYC lol how much cash they got its a placing pump

[letmepass] 28/11/2017 13:35

Guys PYC massive news in...

[reks] 28/11/2017 13:27

16.2p paid we are off!

[amitburnshort] 28/11/2017 12:52

I don't think so, share price moving north very quickly. Very Very large orders in, and took a long time to fill buys from yesterday....BOOOOOM

[davidpines] 28/11/2017 12:43

Na just more sellers is overbought now

[amitburnshort] 28/11/2017 12:21

Looks leaky to me....could pop and shorts burned.