Gold and Cobalt the Preferred Flavour of Recent Listings
IPO WATCH: The Roadhouse has been a bit slow catching up on all the new resources companies to have listed over the holiday break.
ARDEA RESOURCES (ASX: ARL)
Ardea Resources (ASX: ARL) is a spinout from Heron Resources (ASX: >>>) to work up that company’s portfolio of non‐Woodlawn exploration and development tenements.
The stock has traded at a premium to its 20 cent IPO value, which raised $6 million.
The company holds or will hold rights to Heron’s Kalgoorlie nickel project, which hosts a JORC 2012 resource of 805 million tonnes at 0.7 per cent nickel and 0.05 per cent cobalt.
The project is the subject of an ongoing Pre-Feasibility Study, focussing on high‐cobalt resources.
Website: www.ardearesources.com.au
COBALT BLUE (ASX: COB)
Cobalt Blue (ASX: COB) was spun out of Broken Hill Prospecting (ASX: BPL) and raised $10 million at 20 cents per share to join the booming cobalt-rush.
The company’s focus is the Thackaringa cobalt project, which covers an area of 63 square kilometres, located 23km west of Broken Hill in western New South Wales.
The company’s stated strategy is to advance the development of the Thackaringa Cobalt Project via a structured series of feasibility studies.
The steps involved include:
Stage (1): Targeting a 100 million tonne (JORC 2012-compliant) Inferred Resource base and completion of a Scoping Study by June 2017. Target beneficial interest at end of Stage (1) is 51 per cent;
Stage (2): Defining Indicated Resource base, metallurgical, geotechnical and base-line environmental studies. Complete a Pre-Feasibility Study (JORC 2012-compliant) by June 2018. Target beneficial interest at end of Stage (2) is 70 per cent;
Stage (3): Defining Ore Reserve base, completing a Bankable Feasibility Study satisfying JORC 2012 modifying factors by June 2019. Target beneficial interest at end of Stage (3) is 85 per cent;
Stage (4): Securing project financing and confirming a decision to mine by June 2020. Target beneficial interest at end of Stage (4) is 100 per cent and transfer of full legal title to the company.
Website: www.cobaltblueholdings.com
Horizon Gold Limited (ASX: HRN) completed a $15 million IPO and listed on 21 December 2016.
Horizon is focused on exploration and development of the company’s 100 per cent-owned Gum Creek project in Western Australia, which has historically produced over one million ounces of gold.
Horizon Gold is using the funds raised from the IPO to fund an aggressive exploration program and development studies at Gum Creek.
The project covers approximately 724 square kilometres and hosts JORC 2012-compliant Mineral Resources of 17.3 million tonnes at 2.25g/t gold for 1.25 million ounces of gold.
Existing infrastructure at the site includes a 110-person camp, operational airstrip, tailings storage facilities, and an extensive road network.
Also on site is a 600,000 tonnes per annum processing plant, however due to its age and condition a fair whack of capital investment would be required to return the plant to operating status.
Horizon Gold is concentrating on multiple high-priority drill targets and possible resource extension opportunities it has identified for its near-term exploration activities.
Website: www.horizongold.com.au
Source: Company announcement