THE BOURSE WHISPERER: Gulf Manganese (ASX: GMC) provided the market with an operational update on the company’s smelter refurbishment activities in South Africa and on the Kupang site works program in West Timor.

Gulf Manganese has the refurbishment of two smelting furnaces underway in Pretoria, South Africa prior to their scheduled shipment to Kupang in Q4 2017.

The company said refurbishment of the furnace equipment is progressing while dismantling of equipment at Transalloy’s site is near completion, with the furnace shells and slipping devices currently being removed with a target completion date of 31 August 2017.

The company has also had contracts for the refurbishment of the equipment components awarded, and all dismantled equipment has been safely transported from Transalloy’s site to the various subcontractors where refurbishment activities has commenced.

In West Timor, Gulf has entered into an agreement with Indonesian-based PT Weltes Energi Nusantara to work under EPCM contractor XRAM Technologies (Pty) Ltd to undertake the construction phase of the Kupang Smelting Hub Facility.

At Kupang, site development works are continuing following the clearing of the Bolok industrial area and connection of site power last month.

While this is happening, Gulf is continuing to work to secure initial manganese supplies from local miners.

“Discussions are progressing well and the company expects to execute binding agreements in the near term,” Gulf Manganese said in its ASX announcement.

“Gulf is also actively progressing permitting requirements for the sale and shipment of manganese concentrates (>49% Mn) under the Indonesian provision for smelting and processing companies to sell concentrate during construction to assist with cash flow.

“The sale of manganese concentrate has the potential to be a significant near-term value catalyst for the business and the Company looks forward to providing further updates in due course.”

Email: info@gulfmanganese.com

Website: www.gulfmanganese.com

THE BOURSE WHISPERER: Tlou Energy (AX: TOU) has been granted a Mining Licence for the company’s Lesedi coal bed methane (CBM) project in Botswana by the Department of Mines in the Ministry of Mineral Resources, Green Technology and Energy Security.

Tlou Energy is an AIM and ASX-listed company focused on delivering power in Botswana and southern Africa through the development of coal bed methane.

The Mining Licence for the Lesedi CBM Project was the first application of its kind to be lodged in Botswana,” Tlou Energy managing director Tony Gilby said in the company’s announcement to the Australian Securities Exchange.

“The awarding of the Mining Licence by the Ministry is a major milestone for the company, further de-risks the project, and is an important prerequisite to developing the first commercial gas-to-power project in the country.

“The issue of a Mining Licence will pioneer the development of a new and exciting natural CBM gas industry in Botswana, an industry that will lead to a new indigenous source of energy, income and employment for the country.

“Having been granted a Mining Licence will also further enhance our proposal for the Botswana Government sanctioned CBM fuelled pilot power project which is due to be submitted later in the week.”

Tlou Energy explained that in Botswana, holders of Prospecting Licences (PL) are issued Mining Licences once exploration on a relevant Prospecting Licence has been concluded and the holder of the Prospecting Licence is ready to commence commercial production.

The company anticipates receiving notification from the Ministry that it has been granted a licence over the area applied for, at which time it will make a further announcement containing material terms of the licence.

Tlou Energy has also submitted renewal applications for the Mamba project licences.

The Mamba project consists of five CBM prospecting licences in Botswana covering an area of approximately 4,500 square kilometres the company considers to be highly prospective, as it is situated adjacent to the Lesedi CBM project and on-trend with the results observed to date.

The company has received confirmation from the Ministry that the licences have been extended for a period of three months whilst it completes a review of Tlou’s renewal application for a further period of two years.

Email: info@tlouenergy.com

Website: www.tlouenergy.com

THE BOURSE WHISPERER: Hammer Metals (ASX: HMX) has struck a new Joint Venture Agreement with Mount Isa Mines Limited.

Hammer Metals explained the ne JV was negotiated as a pre-condition to its purchase of the 51 per cent interest in EPM 14467, held by AuKing Mining (ASX: AKN) (formerly Chinalco Yunnan Copper Resources Limited).

EPM 14467 is located adjacent to the Mary Kathleen uranium mine, east of Mount Isa and covers the Mary Kathleen Shear Zone that hosts several copper-gold, uranium and REE prospects, including Jubilee, Koppany and Blue Caesar.

Mount Isa Metals retains its 49 per cent interest in the tenement.

Hammer considers the tenement to be highly prospective as the tenement covers a sequence of altered rocks adjacent to the Mary Kathleen Shear Zone with the known copper, gold, uranium and REE deposits mentioned above to the north and south.

According to Hammer there are several soil anomalies and drill intersections that remain to be followed up with drilling, as well as a gap in recent surface geochemistry coverage between Koppany North and Koppany – a distance of 1.8 kilometres – which also needs to be looked at.

The company said this data will be fully reviewed and an initial program of work will be prepared and presented to the JV committee for review.

“Hammer is very pleased to now be working side by side with Glencore in the Mount Isa district,” Hammer Metals CEO Alexander Hewlett said in the company’s announcement to the Australian Securities Exchange.

“This JV now completes Hammer’s acquisition of AuKing’s tenement interests in the Mount Isa region.

“The range of prospective copper-gold targets acquired are considered to significantly enhance Hammer’s current tenement portfolio in the Mount Isa region.

“The acquisition includes a 100 per cent interest in EPMs 14019, 14022 and 12205, which cover the previously defined Elaine-Dorothy copper-gold inferred resource, the GEM copper-gold resource, and the Elaine uranium prospect as well as a range of other copper-gold drill intersections at the Jubilee, Koppany, Mt Dorothy, Pindora and Prince of Wales prospects.

“The tenements also cover strike extensions of mineralised trends and favourable host rocks identified within Hammer’s adjacent tenements.”

Email: info@hammermetals.com.au

Website: www.hammermetals.com.au

THE BOURSE WHISPERER: Australian Potash (ASX: APC) has completed a bookbuild for a placement to institutional, sophisticated and professional investors to raise up to $3 million.

Australian Potash said the raising attracted an oversubscribed placement of 30 million fully paid ordinary shares (New Shares) at an issue price of 10 cents.

The company announced a subsequent Share Purchase Plan (SPP) to raise around $2 million to be offered to eligible shareholders and Bonus Loyalty Option Issue for shareholders on the register at 29 September 2017.

Funds raised will be used to advance the company’s 100 per cent-owned Lake Wells sulphate of potash (SOP) project and the 100 per cent-owned Yamarna gold project.

Work will continue to advance progress of the Lake Wells Feasibility Study, including the installation of a further four SOP brine production bores, brings total installed to seven.

Other work will entail a long-term production bore test pumping program of 3 to 6 months, the commissioning of a large scale five pond pilot evaporation program as well as Resource extension through exploration target estimate on a recently acquired palaeochannel extension.

At the Yamarna gold project APC is accelerating gold exploration programs involving further exploration work across 18 priority gold targets (9 high priority gold targets) with the first drilling of higher ranked targets expected to commence in the second half of this year.

The Yamarna work follows the recent announcement by neighbour Gold Road Resources (ASX: GOR) at the Ibanez prospect of gold results two kilometres south-east of Australia Potash’s tenement holding.

“APC will continue to aggressively progress the study phase of the Lake Wells SOP project,” Australian Potash executive chairman Matt Shackleton said in the company’s announcement to the Australian Securities Exchange.

“We have defined the largest indicated SOP resource estimated in Australia to date, developed early stage relationships in the largest market for SOP through MoUs and completed a scoping study with very strong economics.

“The scoping study confirmed a conventional, proven abstraction method to produce a high quality SOP product in the bottom of the global cost curve.

“APC’s key focus is on positioning the company to deliver a strong Feasibility Study in H1 CY2018 that confirms the potential for a high returning project and positions Lake Wells as a superior Australian Sulphate of Potash project.

“In addition, funding will be applied to commencing exploration at the Yamarna gold project, following up the extremely positive findings of CSA Global’s report on the gold prospectivity of APC’s northern Yamarna greenstone tenements.

“The company’s Yamarna tenements run contiguously north of and 65 kilometres along strike from neighbouring explorer Gold Road Resources.

“That company has successfully delineated several million ounces of gold across several project areas, including the Gruyere mine currently under development.”

Website: www.australianpotash.com.au

THE BOURSE WHISPERER: Red River Resources (ASX: RVR) has finalised offtake agreements for zinc and lead concentrates to be produced from the company’s Thalanga zinc project, located in Northern Queensland.

Red River said the agreement had been struck between its wholly-owned subsidiary Cromarty Resources and Trafigura Pte Ltd.

The Offtake agreements are fixed tonnage contracts, with tonnage anticipated to be produced during the first three year period from the commencement of commercial production, and are structured to help minimise Red River’s working capital requirements.

Cromarty has also entered into a facility agreement with Trafigura, pursuant to which Trafigura will make available up to US$10 million to assist, if required, with the costs of production and general working capital expenses.

The Offtake agreements are in respect of 122,000 dry metric tons of zinc concentrate and 27,400 dry metric tons of lead concentrate, with pricing to be determined by reference to applicable metal prices on the London Metal Exchange at the time of shipment, with tonnage expected to be shipped in the first 36 months following commencement of commercial production.

Under the terms of the agreements, zinc and lead concentrates will be trucked approximately 200 kilometres to the Port of Townsville, for onward delivery to customers.

“The execution of zinc and lead concentrate offtake agreements with Trafigura is the culmination of a competitive process involving a number of leading trading and smelting companies,” Red River Resources managing director Mel Palancian said in the company’s announcement to the Australian Securities Exchange.

“The highly competitive nature of the process has allowed us to obtain outstanding offtake terms for both zinc and lead concentrates which will contribute to the success of Thalanga.

“We look forward to building on our close working relationship with Trafigura as we complete the process of bringing the Thalanga zinc project back into production, which we are on budget and on schedule to achieve in 4Q CY2017.”

Website: www.redriverresources.com.au