Zanaga Iron Ore Share Discussion Threads

[extrader] 20/10/2021 18:32

Hi BR,

P and D was a speciality of MinorMiner, who moved on to other fields about 18 months ago.

HTH

[bad robot] 20/10/2021 18:01

Extrader how many P&D have organised here in the last 4 years?

Party is over.


BR
BR IN WE TRUST
RED MERCURY CREW

[extrader] 04/10/2021 13:29

.."It's a very slow process , working the machinations of geoeconomics, but the planets are gradually aligning for this company. Glad to be here.

Maybe.

Maybe not :

- 5 September : coup in Guinea, putting a question mark over BaoWu's ambitions for Simandou ;

- 10 September : audioconference with C-B, where BaoWu supplants COIDIC in the management of SEZ and related matters, including steel mill (and/or power plant ) and announces its intention to invest in iron ore extraction.

IMO

[extrader] 03/10/2021 19:35

Hat tip to Mattradio elsewhere for this :

hxxp://zes.gouv.cg/fr/reunion-technique-du-10-septembre-2021-par-visio-conf%C3%A9rence

CAD Fund (COIDIC shareholder) and BaoWu Steel, China's biggest steel producer hold a mtg 10 Sept with the C-B SEZ authorities + reps from Min of Finance and Hydrocarbons to discuss, inter alia :

- CAD Fund propose to remove COIDIC from its role in the feasibility study work with SEZ; and
- CAD FUND propose to replace COIDIC with BaoWu Steel.

BaoWu has been seeking to buy into Simandou, Guinea . See this from April 2021

hxxp://aeabc.org/china-to-expedite-simandou-iron-ore-mine-project/


.."Baowu is in talks with both consortia. It has expressed interest to buy the stake of Rio Tinto and is also in talks with the SMB-Winning consortium. Baowu is also setting up an alliance of Chinese steelmakers including Capital Steel, China Minmetals and Jianlong Group.

Under the proposed plan, Baowu will invest USD 4.5B into the Southern Blocks and USD 1.5B into the Northern Blocks. In terms of financing, 35% of the financing will come out Baowu’s own pocket, 25% from the sovereign wealth funds, 10% from institutional investors and 15% from infrastructure investors..."

Maybe it's using C-B as a stalking horse to chivvy Guinea along..... or maybe it's using C-B as 'Plan B' ?

All IMO/AIUI

[jaforsadi] 28/9/2021 13:31

Dnt worry tops trader is pumping away to try and make some money maybe some of his sheep will buy in

[greenelf] 28/9/2021 13:06

No progress at all. Stalled for years now.

[philjeans] 28/9/2021 10:51

Great time to BUY.

Market likes the progress - so do I.

Added.

[gismo] 28/9/2021 07:53

I think many have known this for a long time. Best ignored. Very sad person

[rangenoresources] 28/9/2021 07:23

Posters do realise that Terminator101 gets paid 10p a post. Very sad life he leads trolling boards to upset posters.

[terminator101] 28/9/2021 07:11

Noting in those results to indicate that this lifestyle drivel will turn around anytime soon. Indeed its confirmation that the death spiral finance is not done yet"4,350,000 ordinary shares remaining to be placed at 27 September 2021" Will go down even more, sub 2p IMO

[extrader] 24/9/2021 17:04

Hat tip to 99 icecream elsewhere :

hxxps://www.aspistrategist.org.au/iron-ore-futures-possible-paths-for-australias-biggest-trade-with-china/

..China’s hopes that Guinea on Africa’s west coast could become a rival to Australia and Brazil may come to naught. Although the Simandou mountain in Guinea contains vast reserves of high-quality ore, getting it onto ships involves a 650-kilometre rail link through rugged country to a jetty that must traverse 15 kilometres of mudflats before the seabed can be dredged to allow for supertankers.

Chinese engineers have performed similar marvels at home, but a twist in Guinea is that the rail route must go through heavily populated areas providing commuter and general freight transport as well as transporting up to 2 million tonnes of iron ore a week. And then there’s the political instability, with a military coup ousting the government there a few weeks ago...

Clifford mentioned Guineas shallow continental shelf at the AGM a few years back as a 'material' contrast to PN's deepwater capabilities, the latter no doubt useful from a 'strategic' perspective , as well.

Ho hum

[johncasey] 24/9/2021 15:22

iron price recovering,hope you all took the opportunity to top up at 4.3p

[greenelf] 20/9/2021 13:44

Very true, it takes all sorts. I know you have some reservations with Orph, fair enough.

[extrader] 20/9/2021 13:42

Maybe. But it's binary and I'm positioned accordingly, so not really bothered.

I've got a bit more exposure over at ORPH, where I see you also post. Getting the assessment right matters more in that case.

I'm maybe somewhat less persuaded than you there.

That's what makes a market. There'd be no fun to be had - or money made - if we all felt the same way.

[greenelf] 20/9/2021 13:25

All that is left..Straw + clutching

[greenelf] 20/9/2021 10:17

All murky and muddy. Every silver lining gets buried in mud. GL.

[extrader] 20/9/2021 09:48

Zanaga has always been binary, so nothing new there.
ZIOC is now a smaller %age, but mostly for the right reasons ;->

China will be even keener to reduce dependency on Oz...and now to 'send a message're the subs.

The Guinea coup shows the risk of switching one strategic dependency for another.

France is pulling out of 5-6 African countries in the Sahel region and is being challenged by Russia (Wagner Group) in the CAR, next door to C-B.

It's just had its nose bloodied and its role in the world questioned.

With Afghanistan 'sorted' (hah !), the next version of the Great Game is likely to be Africa, IMO.

AT said a while back that ZIOC was hoping to identify a 'shift in dynamics' to break the impasse.

Well, there's certainly a lot shifting ! Whether in a helpful way is, of course another matter.

HTH

[greenelf] 20/9/2021 09:24

"Wonder why that is"? Wondet why many people are pizzed off after a decade plus of nothing and complete zero from the BOD. Expecting another mealy-mouthed RNS at end of month... researching this that another and feekall happens in reality. Even the supposed 'approaches' by interested parties have dried. Thanks for asking, you are welcome.Don't take this personally, extrader, you are a good poster whom I value. Just my current view. I would love to be positive on this, but are miles away from that scenario.

[greenelf] 20/9/2021 09:18

Ps. Have you trimmed your 3% ish position here? If not, shoulda done.

[extrader] 20/9/2021 08:40

some weird peeps on LSE think low prices are a boon to Zanaga...

They are if you're a steel producer and are interested in vertical integration.

Why are the Chinese (lead by BaoWu)so interested in Simandou ?

At Simandou, Chinese Baowu Steel (the largest steel producer in the world) wants a big role in the project. Why is that?

1. The greater the supply of iron ore - the lower the price - Baowu needs massive amounts of ore and wants it a cheap as possible.
2. If Baowu owns both mines and steel foundries then a lower (higher) iron ore price causes lower (higher) profits in the miner offset by higher (lower) prices in the steel foundry. This is why many businesses are vertically integrated (e.g. oil firms being explorers, refiners and retailers).

So Baowu Steel and China in general wants more supply of ore for both economic reasons and for political reasons.

In cyclical markets there is inevitably a reluctance to buy at the top of the cycle and overpay.

In Zanaga's case, apart from the general background of finding alternatives to Australia, there's now (maybe) a newfound interest in alternatives/additions to Simandou/Guinea.

And, speaking of Australia, the nuclear subs issue is only going to strengthen Chinese resolve to 'send a message' to them

Further, China's strategic wish to pivot to higher grade ore to scale back emissions hasn't changed, if anything likely to grow as it burnishes its 'green credentials' (hah!)and tidies up preWinter Olympics.

So it's a bit more nuanced than you make out, IMO.

And you could have chosen to include the above explanation - based on a comment from 99icecream, not me - but chose not to.

I wonder why ?