Azure Minerals secures $1.5M funding for Mexico silver discovery

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THE BOURSE WHISPERER: Azure Minerals (ASX: AZS) announced it has been able to lock in funding of $1.5 million, which it intends to spend on fast-tracking the recently announced high-grade silver discovery at Mesa de Plata, on the company’s Alacrán project in Mexico.

Existing Azure shareholder and prospecting Svengali, Mark Creasy has agreed, through his private company Yandal Investments, to subscribe to a placement of 62.5 million Azure shares at 1.6 cents per share to raise $1 million.

In addition to the Creasy contribution, Azure has also received news a New York-based resources fund, which has previously invested in the company, has agreed subscribe to 31.25 million shares, also at 1.6 cents each, to raise an additional $500,000.

Azure said the capital raising will allow further assessment of the Mesa de Plata prospect, where initial drilling intersected thick zones of high-grade silver mineralisation commencing from surface and extending to depths of 70 metres.

“We are very pleased that Mr Creasy has agreed to increase his shareholding in Azure, and also welcome the ongoing support of the US fund which has further increased its investment in the company on the back of the previous funding announcement of 16 July 2015,” Azure Minerals managing director Tony Rovira said in the company’s announcement to the Australian Securities Exchange.

“This support and additional investment is a significant endorsement of the recent success at Alacrán.

“We are now well-positioned to undertake the close-spaced drilling program at Mesa de Plata and to drill test new silver targets that our ongoing exploration is identifying.”

Email: admin@azureminerals.com.au

Website: www.azureminerals.com.au

Orinoco Gold limbering up for Cascavel gold production

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THE BOURSE WHISPERER: Orinoco Gold (ASX: OGX) informed the market of the progress the company is making in regards to development activities at its Cascavel gold mine in central Brazil.

Orinoco declared it is running on schedule to achieve first gold production from Cascavel in early 2016.

In July the company took the decision to change the location of its processing plant from Sertão to Cascavel.

It has since been granted all necessary environmental licenses to allow the processing plant to be constructed at the Cascavel site.

Orinoco said the decision delivers savings in operational expenditure as well as other strategic and logistical benefits.

Most importantly, the plant will be in a central position relative to other potential sources of mill feed, such as the exploration targets at Garimpo, Cuca and Tinteiro, all of which are located close to Cascavel.

Construction of the Cascavel processing plant, with the crushing circuit being manufactured in Brazil expected to be delivered to site in November, is on track.

The gravity circuit is being fabricated by Gekko Systems and is scheduled to be factory commissioned in Ballarat then shipped from Australia in October to arrive in Brazil in December.

On-site commissioning is anticipated for early in Q1 2016 with a gradual ramp-up to full capacity of around 90,000 tonnes per annum expected by late 2016 to match the progressive ramp-up of the underground mining operation.

This is also moving along with development of the Incline Shaft at Cascavel now approximately 40 metres from the portal.

The shaft is currently within a zone of more intense alteration than Orinoco expected as the shaft progresses down the main vein.

A further two initial level drives (Level 0 Central and Level 0 North) have also commenced, providing access to the upper portions of the Cascavel mineralisation.

This will provide access for stoping activities over the coming months.

“We are very pleased by the strong progress being made at Cascavel, which puts the company firmly on track to make the leap from gold explorer to gold producer early next year,” Orinoco Gold managing director Mark Papendieck said in the company’s announcement to the Australian Securities Exchange.

“The presence of visible gold in all development faces currently accessible at Cascavel, and the presence of thicker than anticipated mineralisation provides strong support for our belief that the project can underpin an exceptionally high-grade, high-margin mining operation.”

Email: info@orinocgold.com

Website: www.orinocogold.com

Impact Minerals fills Rights Issue book to raise $1.9M

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THE BOURSE WHISPERER: Impact Minerals (IPT: ASX) announced a 100 per cent take-up of its recent rights issue, raising $1.9 million, after costs.

The company said the proceeds would combine with recent previous cornerstone financial support the company has received to provide exploration funding potentially worth up to $9.3 million.

The rights issue follows the announcement in July of a capital investment into Impact by Twiggy Forrest’s Squadron Resources, which will invest up to $7.3 million in Impact, including an initial cash injection of $3 million ($1 million subject to shareholder approval).

Impact has earmarked the funding for its major projects at Broken Hill and near Orange in New South Wales and at Mulga Tank, located northeast of Kalgoorlie in Western Australia.

The company was also awarded NSW and WA government co-funding totalling $353,000 towards drill programs at Broken Hill and Mulga Tank.

“We are delighted with the response to the rights issue with all shares being subscribed for and with more than 340 shareholders taking up their entitlement,” Impact Minerals managing director Dr Mike Jones said in the company’s announcement to the Australian Securities Exchange.

“In addition, our major German shareholder also took up a significant portion of their rights.

“We are also pleased to welcome to the share register, a second German investor who subscribed for a large number of shortfall shares.

“The drilling program underway at Broken Hill is the start of what will be the most exciting period in our company’s history as we try to unlock the upside potential on all three of our flagship projects over the next 12 months.

“The fact that we also have an almost unprecedented amount of $353,000 from government drilling co-fund initiatives to fund two of our planned programs is an independent testament to the projects’ potential.”

Email: info@impactminerals.com.au

Website: www.impactminerals.com.au

Metalicity satisfies ASX listing rules with completion of Admiral Bay acquisition

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THE BOURSE WHISPERER: Metalicity Limited (ASX: MCT) informed the market that the company has completed the acquisition and associated funding of the Admiral Bay zinc project and Rocky Gully nickel-copper project.

The project acquisitions and funding arrangements were part of re-compliance requirements with Chapters 1 and 2 of the Australian Securities Exchange Listing Rules in order for Metalicity to be re-instated to the boards of the ASX.

The company declared it has satisfied all of the conditions set by the vendors and funding parties to settle the acquisition of the Admiral Bay and the Rocky Gully projects.

This includes the receipt of US$5 million, which is currently held in escrow and which Metalicity anticipates will be unconditionally released shortly.

Metalicity said it expects to be re-instated to and trading on the ASX on or about the 29th September 2015.

“Completion of the acquisition and funding is a significant achievement and the company is now fully funded to accelerate development of the Admiral Bay zinc project, which has the potential to be long life, low cost and is located in the world class mining jurisdiction of Western Australia,” Metalicity managing director Matt Gauci said in the company’s announcement to the Australian Securities Exchange.

“The development of Admiral Bay comes at a time of expected zinc supply shortage and we look forward to an active work program and further discussions with potential partners post reinstatement to trading on the ASX.”

Kibaran Resources ups Tanzanian graphite production targets

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THE BOURSE WHISPERER: Kibaran Resources (ASX: KNL) has completed an updated production growth strategy for the company’s main flagship projects in Tanzania in East Africa.

The upshot from the update is an increase in potential graphite concentrate tonnages per annum from Kibaran’s Epanko and Merelani-Arusha graphite projects, demonstrating they have potential to produce a combined 150,000 tonnes per annum of concentrate by the 6th year of mining and processing operations.

This represents a 50 per cent increase over initial estimates the company released earlier this year of a headline rate of 100,000 tonnes per annum.

The company’s was impelled to update its growth strategy modelling after reading the, “Roskill Natural & Synthetic Graphite: Market Outlook to 2020”, report, which highlighted anticipated future increases in global demand for premium quality large flake graphite.

Kibaran said it has set its initial production targets in two stages over the first six to seven years, while planning for production increases at both Epanko and Merelani-Arusha.

“While we appreciate the technical perspectives of the longer-term production targets, we will for now seek to meet current demand by planning to commence at a prudent rate of 40,000 tonnes per annum and then build output quickly in response to future increases in demand,” Kibaran Resources managing director Andrew Spinks explained in the company’s announcement to the Australian Securities Exchange.

Kibaran recently annouonced the signing of a total of 30,000 tonnes per annum offtake agreements for 10 years with Germany’s ThyssenKrupp (20,000tpa) and a further 10,000tpa binding offtake agreement with another European graphite market trader.

Kibaran claims to be the only listed graphite entity globally with a binding offtake agreement with a partner outside of China.

The company declared its intentions to develop Tanzania as a graphite hub to counter the Chinese domination of the global graphite market.

These aspirations received a further boost earlier this month when a German Government-backed and guaranteed bank affirmed support for the Epanko project by stepping up to provide lenders of project finance, insurance against commercial and political risk.

Kibaran has a third graphite project in its Tanzania pipeline, known as Tanga, which the company has plans to include in its push for global graphite dominance outside of China for the refectory, spherical battery market and high end graphite markets.

Email: info@kibaranresources.com

Website: www.kibaranresources.com

Minotaur Exploration announces Sandfire Resources to continue Altia earn-in

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THE BOURSE WHISPERER: Minotaur Exploration (ASX: MEP) advised the market that Sandfire Resources (ASX: SFR) has indicated its intention to continue sole funding exploration at the Altia project near Cloncurry in Queensland.

This takes Sandfire into a second earn-in period with the objective of earning the right to acquire an 80 per cent interest through ongoing expenditure of $4 million over three years, taking its all-in spend to $8 million.

Sandfire has completed its initial $4 million work program, giving it the right to acquire its minimum interest of 60 per cent in the tenements that cover the earn-in deal.

According to Minotaur, Sandfire’s notification to continue said the activities it had undertaken so far had provided enough encouragement for it to believe further discoveries and increases in the current mineral inventory wer possible.

“Minotaur welcomes Sandfire’s continuing participation in Altia and its view of the deposit’s potential to be enhanced through the next phase of work,” the company said in its ASX announcement.

The Altia project comprises two main areas of interest, known as the Northern JV area and Southern JV area and lies within Minotaur’s broader Eloise copper project.

The Northern JV area hosts the Altia lead-silver deposit and has been the main area of focus for exploration activities by Sandfire over the past three years.

Email: admin@minotaurexploration.com.au

Website: www.minotaurexploration.com.au

Iron Road fires up CEIP with Chinese five spice

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THE BOURSE WHISPERER: Iron Road (ASX: IRD) told the market about the recent progress it has made towards forming long term off-take agreements it considers will underpin development of the company’s Central Eyre iron project (CEIP) in South Australia.

Iron Road declared it has signed five separate non-binding Memorandum of Understandings (MoU) with leading, globally involved Chinese steel companies, aimed at progressing long-term iron ore supply agreements for the CEIP.

The company explained that, at this stage, four of the Chinese companies have asked to remain anonymous for now, for reasons of commercial confidentiality, however, Iron Road is confident of their commitment to take up the agreements.

On a positive note, the company that can be identified, Shandong Iron & Steel Group Co Ltd (ShanSteel), has signed a further agreement, progressing its intention to enter into a Letter of Intent with Iron Road covering the supply of premium iron products to ShanSteel from the CEIP.

The ShanSteel Agreement also proposes ShanSteel and Iron Road will collaborate to seek a project funding solution to enable Iron Road to reach a final investment decision, in order to commence construction during 2017.

“Our high quality product from the CEIP offers significant advantages for steel mills intent on running the most efficient and environmentally compliant operations, hence the strong interest we have received from a number of parties,” Iron Road managing director Andrew Stocks said in the company’s announcement to the Australian Securities Exchange.

“The MoUs are aimed at establishing a detailed understanding of the commercial and technical benefits the CEIP product will deliver for steel mills, prior to entering a Letter of Intent for the long term supply of iron ore product from the CEIP.”

Email: admin@ironroadlimited.com.au

Website: www.ironroadlimited.com.au

Sheffield Resources cock-a-hoop with Thunderbird ilmentite results

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THE BOURSE WHISPERER: Sheffield Resources (ASX: SFX) announced that metallurgical testwork conducted on ilmenite from the company’s 100 per cent-owned Thunderbird mineral sands project, located near Derby in Western Australia, has confirmed primary ilmenite can be substantially upgraded using a simple low temperature roast (LTR) process.

The technical aspects of the testwork focused on reducing the iron (II) peroxide (Fe2O3) levels and increasing the titanium dioxide (TiO2) content of the ilmenite to obtain a product that will attract a higher selling price to a broader market.

Sheffield said it achieved this by using a simple, low temperature (4500C) reduction roast, and subsequent magnetic separation stage, which upgraded TiO2 in the primary ilmenite by 22 per cent to 56.1 per cent TiO2 and increased the iron (ii) oxide (FeO) to Fe2O3 ratio.

The company indicated the LTR process to be efficient at reducing Fe2O3 within the ilmenite, which it said resulted in an increase in both TiO2 grade and acid solubility.

The results of the sulphuric acid solubility testwork demonstrated the TiO2 solubility for the 4500C LTR ilmenite product to be high at 96.2 per cent using an acid-to-ore ratio of 1.67.

“This is a breakthrough result for the Thunderbird project,” Sheffield Resources managing director Bruce McQuitty said in the company’s announcement to the Australian Securities Exchange.

“It confirms that the primary ilmenite can be substantially upgraded using a simple LTR process.

“The LTR process and magnetic separation acts as a homogenising process, reducing variability in the ilmenite product.

“These results confirm that the LTR ilmenite from Thunderbird will be one of the highest grade sulphate ilmenites globally and should be a preferred feedstock that is likely to displace poorer quality ilmenites.”

Website: www.sheffieldresources.com.au

TNG signs Life of Mine Offtake Agreement for Mount Peake

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THE BOURSE WHISPERER: TNG Limited (ASX: TNG) gave the market something to think about with the announcement of a binding off-take agreement for the company’s 100 per cent-owned Mount Peake vanadium-titanium-iron project in the Northern Territory, along with a technology transfer agreement for the TIVAN refinery.

These agreements have been reached with major Korea-based ferro-vanadium group WOOJIN IND., CO., LTD., (WJN).

The life-of-mine off-take agreement encompasses binding commitments for WJN to take or pay a minimum of 60 per cent of the vanadium pentoxide (V2O5) and other vanadium products from Mount Peake with a minimum guaranteed price which is, based on the cost of production estimates determined under the project’s Definitive Feasibility Study, 20 per cent above TNG’s forecast cost of production.

The company said the off-take agreement will allow more accurate forecasts of project’s revenue and profitability and creates a strong foundation for the projects financing and development.

“The significance of this historic agreement should not be underestimated, with WJN’s commitment to purchase at least 60 per cent of our vanadium production, on a take-or pay basis with a guaranteed minimum price and opening the way to securing investment from Korean and other international companies towards financing and development,” TNG limited managing director Paul Burton said in the company’s announcement to the Australian Securities Exchange.

TNG has also struck a binding agreement for the transfer of ferro-vanadium (FeV) production technology from WJN.

A FeV conversion plant will be installed at TNG’s TIVAN refinery site, which the company said will allow further diversification of its product portfolio, as well as moving it up the vanadium value chain with a product that is directly saleable to major steel mills on a global basis and take advantage from any price advantage of one product over the other (V2O5 vs FeV).

TNG said WJN’s proprietary technology has the world’s highest vanadium recovery rate and TNG expects this to be most beneficial to the company providing additional profitability over the project’s life.

“In addition the technology that TNG will access via the technology transfer agreement from WJN provides TNG with an additional competitive advantage to produce a high value product with proven highest vanadium recoveries in the world, which is in line with our corporate aim to be the lowest cost producer of the highest purity products,” Burton said.

“These agreements crystallise a very close and strong relationship developed over the past year from a nonbinding Memorandum of Understanding to a commercial agreement for the life of the project.

“WJN are one of the world’s leaders in ferro-vanadium production, with a strong Research and Development capability and a considerable depth of marketing expertise in the global vanadium industry and as a result a tier one partner for TNG.

“This will spearhead TNG to become a potentially world leader in the vanadium sector

Email: corporate@tngltd.com.au

Website: www.tngltd.com.au

Kibaran Resources gets German Guarantee

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THE BOURSE WHISPERER: Kibaran Resources (ASX: KNL) announced it has received confirmation of ‘in-principle eligibility for cover’ for the company’s Epanko graphite project by the German Government.

The company said this was a milestone in the project’s financing process as the confirmation means Kibaran has met the first condition to receive an UFK-guarantee from the German Government in combination with financing by German state-owned KfW IPEX-Bank, one of the world´s leading development banks.

Kibaran, through KfW IPEX-Bank and with the support of its off-take customers ThyssenKrupp AG and a European Trader, has been investigating eligibility for an Untied Loan Guarantee – Garantie für Ungebundene Finanzkredite (UFK).

The company has been informed KfW received confirmation of in-principle eligibility for cover for the project.

According to Kibaran, the confirmation is based on ThyssenKrupp AG and its European trader supplying the German industry with graphite.

Kibaran explained the German Federal Government provides UFK coverage in the form of loan guarantees for loans awarded by lenders to the financing of eligible projects by providing lenders insurance against commercial and political risk.

Eligible projects contribute to the supply of critical natural resources to Germany in the form of a long-term off-take contract between the borrower and a German off-taker.

The project has to be economically viable and comply with international environmental and social standards.

“We are very pleased to have successfully achieved the first major milestone in our debt funding process,” Kibaran Resources managing director Andrew Spinks said in the company’s announcement to the Australian Securities Exchange.

“Confirmation of the in-principle eligibility for cover under an Untied Loan Guarantee follows six months of negotiations and provides a level of certainty for the bank to provide debt funding for the development of Epanko.

“This is significant as it strengthens our strategic alliance with Germany, which is the world’s fourth largest economy and is the leader in the development of graphite in the industry, having developed spherical graphite for the battery market, renewables and other uses for emerging markets.

“KfW IPEX-Bank is continuing to assess lending to Kibaran for UFK supported debt financing for the construction of our graphite project in Tanzania.”

Email: info@kibaranresources.com

Website: www.kibaranresources.com