Transaction in-line with strategy to focus on Tier 1 asset portfolio
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Project Update: Lake Hope High Purity Alumina (HPA) Project, WA
Impact Minerals Limited (ASX:IPT) is pleased to announce that it has appointed an experienced marketing manager to spearhead the company’s engagement with potential off-take partners and customers for High-Purity Alumina (HPA) produced from the Lake Hope HPA project, located 500 km east of Perth in Western Australia (Figure 1).
HIGHLIGHTS
- Marketing Manager with expertise in critical minerals, appointed to spearhead the company’s engagement with customers and off-take partners.
- Negotiation Protocol signed with the PBC for the Ngadju Aboriginal people with a first meeting set for October 16th.
- Mining studies completed with quotes awaited for costs for mining and transport of the lake sediment to Kwinana.
- Final report awaited for an upgrade of a significant part of the Lake Hope alumina resource to the Measured Resource category.
- Engineering studies for the proposed process plant in Kwinana continue on schedule with a focus on acid reuse.
- Testwork progressing with a 20 kg sample of intermediate material being prepared for acid leaching as part of the Low Temperature Leach Process.
Joseph Casella joins Impact following five years at Tianqi Lithium, the majority owner of the Greenbushes lithium-tantalum mine, where he was responsible for the commercial aspects of the Kwinana Lithium Hydroxide plant. This involved customer management and new product development for lithium processing by-products, in particular providing marketing support for feasibility studies to beneficiate aluminosilicates into high-purity products.
Joseph’s expertise includes developing and refining market strategies, managing complex supply chains, leveraging benefits from international trading houses, and leading circular economy and ESG initiatives which will also form part of his role. His deep understanding of critical mineral markets, including lithium and aluminosilicates, positions him as the ideal leader for spearheading customer engagement in
Impact’s HPA business. His proven track record in building strategic customer relationships and business development will significantly contribute to driving growth and fostering new opportunities in this sector, and the company welcomes him on board.
Recent ASX releases by Alpha HPA Limited (ASX:A4N), a leader in the HPA industry, show significant global demand for a wide range of HPA products with indicative interest from potential clients of more than 30,000 tonnes per annum. This is well over Alpha’s planned production of 10,000 tonnes per annum and indicates the underlying strength of the HPA market, which is estimated to be growing at an annual compound growth rate of 15% to 20%. Impact’s marketing strategy will be to identify specific market entry points where the HPA from Lake Hope can deliver the greatest value in use for end-users.
Click here for the full ASX Release
This article includes content from Impact Minerals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
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Impact Minerals Limited
Investor Insight
With a mining lease application underway and a scoping study that shows excellent economics, Impact Minerals’ game-changing, advanced Lake Hope high-purity alumina project makes for a compelling investment case.
Overview
Impact Minerals (ASX:IPT) is an exploration and development mining company focused on discovering and developing new resource projects within Australia. Lake Hope, a transformational acquisition by the company and its current flagship asset, is a high-purity alumina (HPA) project in Impact’s home territory of Western Australia, a tier-one jurisdiction.
This advanced-stage project allows the company to fast-track the asset toward development, firmly establishing the company on the road to production and increasing shareholder value.
HPA is a high-value product with various uses in several industries that are key to the transition to a low-carbon world. It is mainly used in LED lighting, micro-LED screens, and ceramic-coated separators in lithium-ion batteries. Both these markets are forecast to grow dramatically over the next decade, and a looming supply shortage is predicted for 2026.
HPA is also necessary for producing synthetic sapphire and scratch-resistant glass. With these ever-widening applications for HPA, demand for this resource is expected to grow from US$3.18 billion to US$12.21 billion by 2030 with a compounded annual growth rate of about 20 percent.
Lake Hope is the company’s current focus as it moves towards production, and where a very shallow, high-grade resource of HPA precursor material has been identified in the top two meters of a dry salt lake. The deposit has unique physical and chemical properties that will allow for inexpensive digging and mining, with transportation to a processing facility off-site in an established industrial area. This will accelerate the approvals processes required to get into production.
With a mining lease application pending, Impact aims to bring Lake Hope, which contains almost 1 million tons of potential HPA, into production when the forecast average price for 4N HPA (99.99 percent Al2O3) and related products is about US$20,000 per ton. The ‘4N’ designation indicates the purity grade, making it suitable for high-tech end uses.
Outstanding economics from the latest scoping study released by the company shows Lake Hope’s potential to be the lowest-cost producer of HPA globally by up to 50 percent.
Lake Hope has a maiden mineral resource estimate (MRE) of 3.5 million tons at 25.1 percent alumina (Al2O3) for a contained 880,000 tons of alumina. The company also received heritage clearances for the entire Lake Hope deposit further de-risking the project and providing another critical component in the company’s application for a mining lease.
Impact completed a bulk sampling and test pits program at the Lake Hope project in December 2023, and later reached a key milestone by producing HPA greater than 99.99 percent (4N) purity from the metallurgical processing of lake clays acquired from Lake Hope.
In February 2024, a new proprietary metallurgical process for producing HPA from the lake clays was identified. Impact produced 99.99 percent (4N) Al2O3 from a low-temperature leach (LTL) process. The LTL process may lower the capital and operating costs to produce HPA compared to the sulphate process which underpinned the recent scoping study. The LTL process will be included in the ongoing pre-feasibility study in parallel with the sulphate process at marginal extra cost to determine the best processing route to HPA. The PFS is due to be completed in late 2024.
A comparison of the LTL process and the sulphate process
The company is well funded to finance the pre-feasibility study at the Lake Hope High Purity Alumina project and exploration activities at the Arkun battery minerals project.
Impact Minerals was also one of the inaugural cohort of seven companies selected to be part of the prestigious BHP Xplor program. BHP Xplor, an accelerator program introduced by BHP in August 2022, is designed to help provide participants with the opportunity to accelerate their growth and the potential to establish a long-term partnership with BHP and its global network of partners.
The BHP Xplor funding was used to identify new target areas for copper and other energy metals around the Broken Hill area in New South Wales, eastern Australia, where Impact has been quietly adding to its ground position for several years.
Additionally, the company is exploring its large Arkun battery metals project, also in Western Australia which covers nearly 2,900 square kilometres. Three new exploration licence applications were submitted recently immediately north of the Arkun project along trend from the recently discovered REE soil geochemistry anomalies at Hyperion, Swordfish and Horseshoe, and the Caligula copper anomaly. These anomalies require drill testing which will occur in 2024 and is an exciting development in the emerging mineral province of southwest WA.
A strong management team with over 50 years of combined industry experience leads the company. With a mining and exploration geology degree, Dr. Mike Jones, managing director, launched a long career consulting and leading mining organizations. Peter Unsworth, the non-executive chairman, has more than 35 years of experience in multiple financial sectors, such as securities industries and wealth management. Paul Ingram, a non-executive director, has led several mining companies since 2003. Impact Minerals has the experience and expertise to lead the company to success.
Company Highlights
- Impact Minerals is an exploration and development mining company focused on rapidly moving its flagship Lake Hope high-purity alumina (HPA) project toward production.
- The Lake Hope project has a high-grade maiden mineral resource estimate (MRE) of 3.5 million tonnes at 25.1 percent alumina (Al2O3), for a contained 880,000 tonnes of alumina that can be converted to HPA.
- HPA is used throughout multiple industries, and the overall HPA market is projected to grow by a CAGR of 18.4 percent by 2030.
- A pre-feasibility study is currently in progress and scheduled to be completed by Q4 2024. A mining lease application for the Lake Hope High Purity Alumina (HPA) was recently lodged with the aim of being granted by 2026.
- The company’s project portfolio also includes assets with high-grade mineral deposits of a range of base, critical and precious metals.
- Impact Mineral’s 2,000-square-mile Arkun nickel-copper-PGE project in Western Australia has produced encouraging assays that motivate further exploration. Maiden drill programmes are planned for early 2025.
- The company is also exploring its Broken Hill copper project in New South Wales following a major grant under the auspices of the BHP Xplor program in 2023..
- A strong management team leads the company with experience in geology, mining and corporate finance.
Key Projects
Lake Hope HPA Project
Impact Minerals’ Lake Hope HPA project is in Western Australia, a tier-one mining jurisdiction. HPA is a crucial component in many new and emerging technologies, creating ongoing demand for high-grade sources. The Lake Hope project is the company’s flagship as it moves toward production.
Project Highlights:
- Maiden Mineral Resource Estimate: A maiden mineral resource of 3.5 million tonnes at 25.1 percent alumina (Al2O3) for a contained 880,000 tonnes of alumina has been defined at the Lake Hope HPA Project. About 88 percent of the resource, or 775,000 tonnes of alumina, is in the higher confidence indicated resource category.
- Amenable to Open-pit Mining: The Lake Hope project is a unique HPA asset amenable to shallow, open-pit mining. The deposit is soft and shallow, allowing for cheap digging and minimal infrastructure requirements. This type of deposit also lowers the environmental footprint of the operation.
- Fast-tracked to Production: A mining lease application is currently underway. Once granted, the company will begin working towards a pre-feasibility study and mini pilot plant. Impact Minerals plans to reach a complete pilot plant by 2026.
- Impressive Results of the 2023 Scoping Study: Outstanding economics show Lake Hope to potentially be the lowest-cost producer of High Purity Alumina (HPA) globally by up to 50 percent. Key outcomes from the scoping study include:
- Annual production of 10,000 tpa of 4N HPA with an initial 25-year mine life
- Annual EBITDA of A$174 million.
- 2 years construction period with 5,000 tonnes of production during the first year, 8,000 tonnes in the second year and 10,000 tonnes of production thereafter.
- US$934 million post-tax NPV8 at an IRR of 55 percent.
- Mining Lease Application: Amining lease application was lodged in mid-2024 over the West Lake resource while a miscellaneous licence application (L63/99) was lodged to cover mine infrastructure and haulage road.
The scoping study was underpinned by a sulphuric acid process allowing the company to achieve a new milestone by producing HPA with purity of more than than 99.99 percent (4N) from the metallurgical processing of lake clays acquired from Lake Hope. The company further identified a new proprietary metallurgical process for producing HPA from the lake clays. Known as the low-temperature leach (LTL) process, this also produced 99.99 percent (4N) Al2O3 and has the potential to lower even further the capital and operating costs to produce HPA compared to the sulphate process. The LTL process will be included in the ongoing pre-feasibility study along with the sulphate process to determine the best processing route to HPA. The PFS is due to be completed in late 2024.
Broken Hill Copper Project
The Broken Hill project has a significant land position of 815 square kilometers and hosts multiple targets with the potential for high-grade copper. Broken Hill is located in New South Wales, Australia, an area known for its prolific silver-lead-zinc mining operations and the giant Broken Hill deposit.
Project Highlights:
- Participant in the BHP Xplor Program: Impact was selected for the BHP Xplor program in 2023 based on its Broken Hill project. The program is designed to allow participants to accelerate growth and establish a long-term partnership with BHP.
- Potential for Additional Minerals and Deposits: As well as copper, the project has significant exploration potential for magmatic nickel-copper-PGE sulphides, and at the time the host rocks were formed, Broken Hill was located close to the world-class nickel-copper-PGE deposit of Jinchuan and the significant Lengquisheng deposit. The project area also has the potential to contain zinc-lead-silver deposits, providing even more value.
Arkun Nickel-Copper-Gold-Lithium-REE Project
The Arkun project is a 2,900-square-kilometer nickel, copper and gold project located in the emerging Ni-Cu-PGE province near the world-class Julimar Ni-Cu-PGE deposit and surrounded by Anglo American Corporation, which secured its ground holding shortly after Impact secured its asset. Anglo-American is one of the world’s top ten mining companies, and their presence in the region brings confidence in the project’s potential.
Project Highlights:
- Additional Exploration Underway: Impact plans follow-up work programs, including drilling, at its priority targets.
- Significant Targets Identified: Recent soil sampling identified two new prospects:
- Hyperion prospect - Located in the northwestern part of the project area returned with rare earth element anomalism of up to 5,880 ppm (0.59 percent) total rare earth oxide (TREO+Y) and neodymium and praseodymium (Nd+Pr) of up to 21 percent.
- Caligula prospect - Initially identified on the roadside, the Caligula prospect is a large and significant target for porphyry copper mineralisation.
- Three New Exploration Licences: Impact applied for three new exploration licences expanding Arkun project along trend from the recently discovered REE soil geochemistry anomalies at Hyperion, Swordfish and Horseshoe as well as the Caligula copper anomaly.
Management Team
Peter Unsworth - Non-executive Chairman
Peter Unsworth, formerly a chartered accountant, has over 35 years of experience in the corporate finance, investment and securities industries and a wealth of management experience with public and private companies. A former executive director with a leading Western Australian stockbroking company, Unsworth has been a director of several public exploration and mining companies. He recently completed a long time serving as chairman of the Western Australian Government-owned Gold Corporation (operator of The Perth Mint). Unsworth is the founding chairman of Impact Minerals.
Dr. Mike Jones - Managing Director
Dr. Mike Jones is the founding managing director of Impact Minerals Limited, which was listed on the Australian Stock Exchange in November 2006. Reporting to the board of directors, he is responsible for the company's performance as it moves towards production at its Lake Hope High Purity Alumina Project and also for implementing strategies to explore and maximize the value of the company's other extensive tenement holdings.
Since listing, he has helped raise more than $60 million to help fund the exploration of Impact’s projects and managed the company through significant adverse events, including the global financial crisis and the Fukushima nuclear disaster, which affected Impact’s considerable investment in the uranium sector, a five-year global downturn in the mining sector and more recently, the COVID-19 pandemic.
Paul Ingram - Non-executive Director
Paul Ingram is a geologist with extensive experience managing major mineral exploration programs for several publicly listed companies and has been involved in the mining sector for over thirty years. He has designed and implemented innovative techniques for exploration in remote areas and has managed projects in countries throughout Australia and East Asia. Ingram has been a director of the following listed companies in the past three years: Polo Resources from January 2008 to January 2011; A-Cap Resources since June 2009; Consolidated Global Investments since September 2006; Caledon Resources from February 2003 to March 2008; and Australian Pacific Coal since March 2011.
Dr Frank Bierlein - Non-executive Director
Dr. Frank Bierlein is a geologist with 30 years of experience as a consultant, researcher, lecturer and industry professional. Bierlein has held exploration and generative geology management positions with QMSD Mining, Qatar Mining, Afmeco Australia and Areva NC, and consulted for, among others, Newmont Gold, Resolute Mining, Goldfields International, Freeport McMoRan, and the International Atomic Energy Agency. He is currently a non-executive director of PNX Metals. He was previously a non-executive director of Gold Australia NL and chaired the advisory board of a Luxembourg-based private equity fund between 2014 and 2021.
Placement and Convertible Loan Financing to Further Advance the High-Grade Reward Gold Mine
Vertex Minerals Limited (ASX:VTX, Company) is pleased to announce that firm commitments have been received for a placement and convertible loan financing to raise up to $2.1M at $0.16 per share1 before costs (Capital Raising).
- Firm commitments have been received for a strategic placement to an existing investor to raise $1.10M (before costs) at an issue price of $0.16 per share (Placement).
- Placement proceeds will be further augmented by loan funding of $0.98M, under a convertible facility agreed with institutional / sophisticated investors (Loan). Subject to shareholder approval Loan funds will be converted to fully paid ordinary shares at an issue price of $0.16 per share.
- Proceeds are intended to be applied towards the acquisition of an Ore Sorter and the associated conveyance equipment, purchase of an Underground Drill Rig and working capital.
Vertex’s Executive Chairman, Roger Jackson commented:
“We are very pleased to have the support of a strategic investor in this placement along with some of our very supportive existing shareholders backing the convertible loan. The funds will be used to acquire a laser Ore Sorter which will be integrated into the Gekko gravity gold plant along with an underground drill rig. The drill will be focussed on the high-grade targets below and along strike of the high-grade gold resource at Reward. We wish to build our gold inventory from within our Reward mine. We are on track with the plant refurbishment and preparations to move the Reward mine into production in January 2025”
Placement Details
The Placement will comprise the issue of up to 6,900,000 new fully paid ordinary shares at an issue price of $0.16 per share. Subject to shareholder approval, the placement participant will also receive three (3) free attaching options for every five (5) shares. The options will be on the same terms as existing VTXOA options, which have an exercise price of 25c per share and an expiry date of 17/07/2026 (VTXOA Options).
The Placement will be conducted in a single tranche using the Company’s capacity under Listing Rule 7.1.
Click here for the full ASX Release
This article includes content from Vertex Minerals, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Antilles Gold Limited (ASX: AAU) – Trading Halt
Description
The securities of Antilles Gold Limited (‘AAU’) will be placed in trading halt at the request of AAU, pending it releasing an announcement. Unless ASX decides otherwise, the securities will remain in trading halt until the earlier of the commencement of normal trading on Friday, 11 October 2024 or when the announcement is released to the market.
Issued by
ASX Compliance
Click here for the full ASX Release
This article includes content from Antilles Gold, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Strong In-Fill Drilling Results Pave Way for Upgrade of Cornerstone Theia Deposit at Mandilla
In-fill drilling demonstrates strong continuity within of known gold mineralisation, supporting upgrade from Inferred to Indicated status.
Astral Resources NL (ASX: AAR) (Astral or the Company) is pleased to report assay results for a 70- hole (6,512 metre) in-fill RC drill program at the Theia deposit, part of the 100%-owned Mandilla Gold Project (Mandilla), located approximately 70km south of Kalgoorlie in Western Australia (Figure 1).
- Assay results received for a 70-hole (6,512 metre) in-fill reverse circulation (RC) drill program at the cornerstone Theia deposit at the Mandilla Gold Project, with best results including:
- 8 metres at 1.82g/t Au from 29 metres and 33 metres at 1.82g/t Au from 64 metres, including 2 metres at 25.9g/t Au from 90 metres in MDRC886;
- 10 metres at 5.33g/t Au from 38 metres including 1 metre at 37.5g/t Au from 43 metres in MDRC908;
- 6 metres at 1.74g/t Au from 70 metres and 18 metres at 2.54g/t Au from 84 metres including 1 metre at 24.8g/t Au from 93 metres in MDRC906;
- 7 metres at 0.70g/t Au from 44 metres and 19 metres at 2.12g/t Au from 67 metres including 1 metre at 19.5g/t Au from 71 metres and 1 metre at 14.8g/t Au from 78 metres in MDRC885;
- 17 metres at 0.73g/t Au from 40 metres and 14 metres at 1.64g/t Au from 83 metres including 1 metre at 12.5g/t Au from 84 metres in MDRC875;
- 29 metres at 0.67g/t Au from 25 metres and 17 metres at 1.37g/t Au from 64 metres including 1 metre at 14.9g/t Au from 80 metres;
- 1 metre at 223 g/t Au from 15 metres in MDRCD918;
- 1 metre at 21.3g/t Au from 12 metres and 22 metres at 0.53g/t Au from 60 metres in MDRC869;
- 15 metres at 1.27g/t Au from 60 metres in MDRC899;
- 14 metres at 1.35g/t Au from 96 metres in MDRC894;
- 2 metres at 5.56g/t Au from 70 metres in MDRC902; and
- 6 metres at 1.96g/t Au from 69 metres in MDRC910.
- 34-hole (3,750 metre) extensional and in-fill RC drill program completed recently at the satellite Kamperman deposit, with assay results pending.
- The RC rig has now been relocated to Mandilla to complete a 20-hole (3,579 metre) in-fill program at the Iris deposit to support its inclusion in the upcoming Pre-Feasibility Study (PFS). Once this program is complete, a 16-hole (2,540 metre) extensional drill program will be undertaken to test for extensions to the fresh rock gold mineralisation at the Eos deposit.
- As part of the current RC drill program at Mandilla, several dedicated RC holes will be drilled for the purpose of groundwater testing to support the hydrogeological study stream of the PFS.
- A diamond drill (DD) rig will also be mobilised this quarter to complete four deep in-fill holes ahead of an update to the Theia MRE, which is expected in the March Quarter, 2025.
Astral Resources’ Managing Director Marc Ducler said:
“As we move into the December Quarter, far from slowing down ahead of Christmas, we are increasing our exploration and drilling effort on multiple fronts in order to advance the Mandilla PFS as quickly as possible.
“The recent 70-hole/6,512 metre in-fill drill program at Theia was designed to ensure that the Stage 1 and Stage 2 pits, as contemplated in the Mandilla Scoping Study, had the necessary drill density to satisfy the requirement for the Mineral Resources in this area to be classified as Indicated. The assay results from this program will support that outcome.
“Our attention at Mandilla is now turning to an in-fill RC program at Iris, for which 90% of the Mineral Resource is currently categorised as Inferred. This program will focus on the higher-grade portion of the Iris deposit. If this program is successful, further drilling will be undertaken.
“Additionally, four RC pre-collars have been completed at Theia ahead of the expected arrival of a diamond drill rig in late October which will complete four diamond tail in-fill tests to feed into an updated Theia MRE.
“Meanwhile, a 34-hole/3,750 metre RC drill program at Kamperman has recently been completed. This program targeted extensions to the north and north-east of the currently interpreted mineralised envelope. If this drilling is successful in extending the mineralised envelope, then a significant in-fill program will be required.
“The update to the Feysville Mineral Resource is expected shortly. This will kick off several technical work streams at Feysville aimed at collecting the necessary data to allow development of Feysville’s gold deposits as part of the Mandilla PFS.
“This is an exciting time for the Company following the strongly supported institutional capital raise completed in late September. Astral now has the balance sheet strength to accelerate our exploration efforts at both Mandilla and Feysville and complete the necessary project studies as we advance towards becoming a plus 100,000oz pa gold producer in the heart of the Kalgoorlie Goldfields.”
Click here for the full ASX Release
This article includes content from Astral Resources, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
Newmont Announces Definitive Agreement to Divest Akyem for up to $1 Billion
Newmont Corporation (NYSE: NEM, TSX: NGT, ASX: NEM, PNGX: NEM) ("Newmont" or the "Company") has announced today it will sell its Akyem operation in the Republic of Ghana to Zijin Mining Group Co., Ltd. ("Zijin") under a definitive agreement, for cash consideration of up to $1 billion. The sale is part of Newmont's ongoing program to divest non-core assets as the Company makes a strategic shift to focus on its Tier 1 assets.
Under the terms of the agreement, Newmont is expected to receive cash consideration of $900 million upon closing. A further $100 million is expected to be received upon the satisfaction of certain conditions. 1
Proceeds from the transaction will support the Company's capital allocation priorities, including strengthening the balance sheet and returning capital to shareholders.
"The sale of Akyem represents continued progress on the non-core asset divestiture program announced in February, supporting our focus on the Tier 1 assets in Newmont's portfolio that will drive sustainable growth and the return of capital to shareholders," said Tom Palmer, Newmont's President and Chief Executive Officer . "We believe the proposed transaction results in the greatest overall value for Newmont shareholders and is the best strategic fit for Akyem. We are confident that Akyem will continue to thrive under new ownership with long-term benefits for local stakeholders and surrounding communities. The successful completion of this transaction will strengthen our confidence in Ghana as a favorable mining jurisdiction and Newmont will continue to support the growth and development of the region including our development of Ahafo North."
"In line with President Afuko-Addo's address in February we ensured that our robust divestment process provided equal opportunity for all potential buyers, Ghanaian and international, to participate," said Rahman Amoadu, Newmont Managing Director, Africa . "Additionally, we have included the Minerals Income Investment Fund (MIIF) in the process in preparation of their potential investment in Akyem to further Ghanaian interest in the mine."
The transaction is expected to close in the fourth quarter of 2024, contingent on satisfaction of customary conditions precedent, including regulatory approvals. As a result, the transaction is not expected to have a material impact on Newmont's 2024 outlook and the Company has not adjusted its non-core guidance for the year.
Newmont remains committed to Ghana including the investment of $950 million to $1,050 million of development capital in the Ahafo North gold mining project in the Ahafo region of Ghana.
Advisers and Counsel
In connection with the transaction, Citi acted as Newmont's exclusive financial adviser, Treadstone Resource Partners acted as strategic adviser, and Davis Graham & Stubbs LLP and Reindorf Chambers acted as legal advisers.
About Newmont
Newmont is the world's leading gold company and a producer of copper, zinc, lead, and silver. The Company's world-class portfolio of assets, prospects and talent is anchored in favorable mining jurisdictions in Africa, Australia, Latin America & Caribbean, North America, and Papua New Guinea. Newmont is the only gold producer listed in the S&P 500 Index and is widely recognized for its principled environmental, social, and governance practices. Newmont is an industry leader in value creation, supported by robust safety standards, superior execution, and technical expertise. Founded in 1921, the Company and has been publicly traded since 1925.
At Newmont, our purpose is to create value and improve lives through sustainable and responsible mining. To learn more about Newmont's sustainability strategy and initiatives, go to www.newmont.com .
Cautionary Statement Regarding Forward-Looking Statements
This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbor created by such sections and other applicable laws. Where a forward-looking statement expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, such statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by the forward-looking statements. Forward-looking statements in this news release include, without limitation, (i) expectations regarding Q4 and 2024 outlook; (ii) statements regarding the sale of Akyem including, without limitation, expectations regarding timing and closing of the pending transaction, including receipt of required approvals and satisfaction of closing conditions (see below for additional information); (iii) expectations regarding receipt of consideration and government ratification of mining leases (see below for additional information); (iv) expectations regarding use of sale proceeds, capital allocation priorities, and return capital to shareholders; and (v) other statements regarding future events or results. Estimates or expectations of future events or results are based upon certain assumptions, which may prove to be incorrect. The closing of the transaction is subject to the satisfaction of certain customary conditions precedent, including but not limited to, Zijin obtaining the necessary filings, approvals, or registrations from the National Development and Reform Commission, the Ministry of Commerce and the State Administration of Foreign Exchange of the People's Republic of China, and the parties receipt of a no objections letter from the Minister of Lands and Natural Resources of the Republic of Ghana. A failure to satisfy these conditions precedent would delay and/or prevent closing of the transaction. Similarly, receipt of $900 million in cash consideration is subject to closing of the transaction, and an additional $100 million in cash consideration is expected to be paid after the earliest to occur of the ratification of the extended eastern mining lease by the Parliament of Ghana, the ratification of a replacement mining lease to the extended eastern mining lease by the Parliament of Ghana and the five year anniversary of the closing date. The purchase price payable at the closing is subject to adjustments for closing cash, working capital, inventory, finished goods inventory, and other customary purchase price adjustment items. If Zijin were to suffer certain losses in the future in connection with the lack of ratifications of the mining leases by the Parliament of Ghana, then Newmont will provide indemnification upon certain agreed conditions, up to an aggregate amount not exceeding $200 million in aggregate based on a $1 billion purchase price. The definitive agreement for the transaction also includes representations, warranties, covenants, termination rights and other provisions customary for a transaction of this nature including with respect to transition services, tax matters, employee matters, indemnification, and dispute resolution. For a discussion of risks and other factors that might impact future looking statements and future results, see the Company's Annual Report on Form 10-K for the year ended December 31, 2023 filed with the U.S. Securities and Exchange Commission (the "SEC") on February 29, 2024, under the heading "Risk Factors", and other factors identified in the Company's reports filed with the SEC, available on the SEC website or at www.newmont.com . The Company does not undertake any obligation to release publicly revisions to any "forward-looking statement," including, without limitation, outlook, to reflect events or circumstances after the date of this news release, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. Investors should not assume that any lack of update to a previously issued "forward-looking statement" constitutes a reaffirmation of that statement.
_____________________
1 The closing of the transaction and receipt of consideration remains subject to the satisfaction of certain customary conditions precedents, with contingent consideration also remaining subject to ratification of the underlying lease. See cautionary statement regarding forward-looking statements and additional information on conditions.
View source version on businesswire.com: https://www.businesswire.com/news/home/20241008161026/en/
Investor Contact – Global
Neil Backhouse
investor.relations@newmont.com
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John Feneck: 5 Factors to Consider When Buying Junior Mining Stocks
John Feneck, portfolio manager and consultant at Feneck Consulting, sat down the Investing News Network for a strategy focused discussion outlining what criteria his firm uses when looking at juniors.
Feneck laid out and discussed five points investors should consider when evaluating a junior mining company in order of importance: management, project, jurisdiction, share structure and management ownership.
On the topic of jurisdiction, Feneck said he is paying close attention to several silver companies in Mexico that have open-pit projects but are awaiting permits.
Some of the companies awaiting government approvals are Silver Tiger (TSXV:SLVR,OTCQX:SLVTF), Sonoro Gold (TSXV:SGO,OTCQB:SMOFF) and Discovery Silver (TSXV:DSV,OTCQX:DSVSF).
“All three of those are waiting on the new person in charge, (President) Sheinbaum, to give them direction in October as to how things are going to roll going forward,” Feneck said. "So the stock prices of these companies have been very depressed as a result of investors waiting."
While the outcome is still unknown, his firm performed due diligence by reaching out to the companies to get their thoughts on the situation and their backup plans.
The conversation later turned to knowing when to enter and how much to invest in new plays.
“My process is different than just about everyone that I've talked to in that we admit that we can't get it correct all the time on the entry point … Therefore, we buy (into a given stock) six to 10 times over a given year, usually,” he said.
These purchases are typically in the US$5,000 range as opposed to US$50,000 because he doesn’t want to move the stock too much upon entry and he wants those that follow him to be able to enter as well.
Watch the interview above for more from Feneck, including other stocks that stand out to him and which strategies he uses to know when it’s time to sell.
Don't forget to follow us @INN_Resource for real-time updates!
Interview by Charlotte McLeod. Article by Georgia Williams.
Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Securities Disclosure: I, Georgia Williams, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
5 Best-performing ASX Gold Stocks of 2024
The price of gold has maintained an upward trend since the start of the year, setting records in Australian dollars along the way. Its most recent high came on September 24 when it reached AU$3,894.04 per ounce.
Higher pricing comes on the back of increased instability in the Middle East, where tensions have been inching closer to breaking out in a wider regional war that could threaten critical supplies of oil from the region.
Additionally, a change in rate policy by the US Federal Reserve that saw it drop interest rates by 50 basis points on September 18 shifted investor sentiment in gold’s favour. The move came as inflation edged toward the central bank’s target rate of 2 percent, while data indicated a cooling jobs market became more balanced through July and August.
How have these events shaped Australian gold stocks? Read on to learn about the biggest year-to-date gainers on the ASX.
Data for this article was retrieved on October 3, 2024, using TradingView's stock screener, and only companies with Market capitalizations greater than AU$50 million are included.
1. Larvotto Resources (ASX:LRV)
Year-to-date gain: 428.57 percent
Market cap: AU$122.45 million
Share price: AU$0.37
Larvotto Resources is a gold exploration and development company working to advance its flagship Hillgrove gold-antimony project in New South Wales, which it acquired in late 2023.
Hillgrove is currently in the pre-development stage, and Larvotto released the pre-feasibility study for the project on August 5. In the release, the company reported total resources of gold at 1.04 million ounces of gold from 7.26 million tonnes of ore with an average grade of 4.4 grams per tonne (g/t). In addition to gold, the company also reports 93,000 tonnes of antimony on site with an average grade of 1.3 percent.
The study also included a maiden ore reserve estimate, with 3.15 million tonnes of ore grading 3.2 g/t gold and 1.2 percent antimony for 320,000 ounces and 39,000 tonnes of contained metal respectively.
The company indicated a post-tax net present value of AU$157 million and an internal rate of return of 50 percent with a payback period of 2 years, contingent on prices of US$2,000 per ounce of gold and US$15,000 per tonne of antimony.
Shares in Larvotto saw significant gains following news in August that China had decided to ban antimony exports. China is the world’s largest exporter of antimony, which is used in the production of solar panels, military applications and electronics. The mineral is commonly found within gold-bearing quartz veins.
On August 21, the company reported that it had received the final drilling permits for the second drill program at Hillgrove and would commence 5,250 metres of drilling on August 26.
Shares in Larvotto reached a year-to-date high of AU$0.445 on September 12.
2. Catalyst Metals (ASX:CYL)
Year-to-date gain: 262.73 percent
Market cap: AU$641.22 million
Share price: AU$2.92
Catalyst Metals is a gold development and production company focused on its Plutonic mine in Western Australia and Henty mine in Tasmania.
The company acquired Plutonic as part of a takeover of Vango Mining in 2023. On March 28, the company announced it had repaid the first tranche of an AU$12.1 million convertible note that it inherited as part of the purchase.
Since the takeover, Catalyst has been working to increase production at the mine, and the company announced in its March quarterly report that performance had improved. Production for the quarter reached 21,252 ounces of gold, a slight increase over the previous quarter despite equipment breakdowns.
In the company’s fiscal year-end update released on July 10, the company said it continued to make improvements at Plutonic, with annual production at the mine reaching 85,000 ounces under its ownership versus only 60,000 ounces in the previous year, which was prior to its acquisition.
As for its Henty mine, Catalyst said Henty achieved record quarterly production of 6,926 ounces in its fiscal Q4 and produced 24,982 ounces during the year. According to the company, the mine is on its way to annual production of 30,000 ounces.
On August 29, Catalyst released in-depth year-end results. During the period, the company said it achieved its first profit, with a net profit after tax and impairments of AU$23.56 million versus a loss of AU$15.63 million in the previous year.
Catalyst released updated ore reserves and guidance on September 11, sharing that its ore reserves had grown by 105 percent over the past year to 1 million ounces and that in the next three years it planned to increase its annual production from 100,000 ounces to 200,000 ounces.
Shares in Catalyst reached a year-to-date high of AU$2.92 on October 2.
3. Australian Gold and Copper (ASX:AGC)
Year-to-date gain: 260.29 percent
Market cap: AU$65.43 million
Share price: AU$0.25
Australian Gold and Copper is an exploration company that has spent 2024 focused on advancing the Achilles gold-silver discovery at its South Cobar project in New South Wales, Australia.
The company has made several advancements at the project through its exploration programs this year, including the identification of new targets at Achilles, as reported on April 23.
A subsequent announcement on May 15 caused shares to soar when the company reported follow-up drill results from Achilles with a highlighted assay of 2.2 grams per tonne (g/t) gold over 43 metres, including 16.9 g/t gold over 5 metres.
On August 5, Australian Gold and Copper reported that its recently commenced geophysical survey, which was designed to test for targets at Achilles, revealed the potential for a second zone west of Achilles that will be the target for future drilling programs.
The company also provided an update on RC drilling, including that assays for the first five holes showed gold, silver and base mineralization extending to the north, south and at depth. It said it would be commencing diamond core drilling in mid-August to help identify higher-grade zones at the project.
Shares of the firm reached a year-to-date high of AU$0.56 on May 22 alongside a rally in the gold price.
4. WIA Gold (ASX:WIA)
Year-to-date gain: 209.52 percent
Market cap: AU$156.23 million
Share price: AU$0.13
WIA Gold is an exploration company focused on developing projects in Africa. The company's primary goal is to advance the Kokoseb deposit at its Damaran gold project.
Kokoseb is located on WIA's Okombahe exploration licence, which consists of 12 tenements across a 2,700 square kilometre area within the Damaran Belt in Northwest Namibia. WIA Gold holds an 80 percent stake in the exploration licence, with the remaining 20 percent being held by Namibian state-owned mining company Epangelo.
On April 16, the company released an updated resource estimate for Kokoseb, reporting 2.12 million ounces of gold from 66 million tonnes at 1 g/t gold with a cut off of 0.5 g/t gold.
The company reported drill results from the project on August 20 that identified high-grade mineralization below the current resource as well as new mineralization in the Eastern zone. WIA reported a highlighted intercept from the new area grading 4.95 g/t gold over 4 metres.
WIA Gold also owns the early stage Bouafle project, which is located in Côte d'Ivoire and has been granted two exploration permits, with a third under application. On May 27, WIA reported that it had commenced reverse-circulation drilling at the site with the intention to test 10 previously identified trends.
In an update on September 2, the company reported results from the first phase of reconnaissance drilling at Bouafle. Highlighted assays from the 5,682 metre drill campaign included 4.54 g/t over 10 metres and 87.43 g/t over 4 metres. The company plans to follow it with a second phase of 2,000 metres in October.
Shares in WIA Gold reached a year-to-date high of AU$0.16 on September 19 alongside a surging gold price.
5. Ora Banda Mining (ASX:OBM)
Year-to-date gain: 158.33 percent
Market cap: AU$1.15 billion
Share price: AU$0.62
Ora Banda Mining is a gold producer operating out of the Eastern Goldfields region of Western Australia. Its flagship Davyhurst asset is composed of 92 tenements covering approximately 1,200 square kilometres with multiple significant zones.
As of June 30, 2024, Davyhurst hosted total mineral resources of 1.95 million ounces of contained gold, from 23.3 million tonnes of ore with an average grade of 2.6 g/t gold. The site hosts pre-existing infrastructure, including a 1.2 million tonne per annum processing facility.
Ora Banda completed gold mining operations at its Missouri and Sand King open pit mines in January and April 2024, respectively. The company's Riverina underground gold mine entered commercial production in August, and it is now developing the Sand King underground mine.
In Ora Banda’s annual report released on September 26, the company said its fiscal year 2024 has been a significant one as it ramped up production at the Riverina underground mine and delivered record gold production at Davyhurst of 69,900 ounces of gold, a 46 percent increase over the prior year.
The Missouri and Sand King open pits contributed a combined 56,574 ounces during the period before they ceased operations.
Looking forward, the company has set increasing guidance figures over the next two years, expecting production in the 100,000 to 110,000 ounce range in its fiscal year 2025 and in the 140,000 to 160,000 ounce range in fiscal 2026. The bulk of the increase over the two years is attributed to new production from the planned Sand King underground mine once it comes online in fiscal 2025.
Shares in Ora Banda reached a year-to-date high of AU$0.69 on September 25.
FAQs for ASX gold stocks
How to invest in gold on the ASX?
As Australia is a top gold-mining jurisdiction and the country's government is supportive of mining, there are plenty of options for investing in gold on the ASX. Between gold miners operating major projects and gold explorers hunting for the next significant gold discovery, investors can choose what kind of company matches their risk appetite and portfolio.
When looking for a gold company to invest in, be sure to do your due diligence and learn about the company's key characteristics, including its leadership team, its finances and the geology of its projects.
How to buy gold stocks on the ASX?
Once you’ve selected a company or multiple companies to invest in, you can buy gold stocks using trading apps with access to ASX stocks, or you can get the help of a stock broker.
How to buy gold ETFs on the ASX?
For investors who prefer broader exposure to a sector, exchange-traded funds (ETFs) are a good option, and the ASX is home to multiple gold-focused ETFs. Because they are traded on exchanges like stocks, you can buy ETFs using the same methods described above. ASX-listed gold ETFs to consider include:
- ETFS Physical Gold (ASX:GOLD), which promises "low-cost access to physical gold via the stock exchange" and can be redeemed for physical gold.
- Perth Mint Gold (ASX:PMGOLD), which tracks the international price of physical gold.
- BetaShares Gold Bullion (ASX:QAU), which also tracks the physical bullion price.
Don’t forget to follow us @INN_Australia for real-time updates!
Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: Spartan Resources is a client of the Investing News Network. This article is not paid-for content.
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