# VCN - Vulcan Resources



## exgeo (21 February 2007)

Vulcan is a Finland focussed exploration company. Barry Eldridge is part of the management team (formerly of Portman mining PMM). Undiluted market cap of A$23m at 23c/share. This seems cheap to me- compare to the market caps of DEG Degrey for example, with projects much less advanced than VCN.

*Kylylahti Base Metals (VCN 100%)*

Resource of 7.45 Mt @ 1.07% copper, 0.22% cobalt, 0.43% zinc, 0.22% nickel and 0.69 g/t gold (4.8% copper equivalent). The deposit is still open at depth. Company's current focus is on finishing the definitive feasibility study on this project by Q207, while continuing to extend the resource. The PFS recommended a 500Ktpa underground decline mine with total expected revenues of A$900 million over 10 years and net operating cashflow of A$430 million. Construction to start late 2007, production by 2009. Discussions with financers are under way now. All company resource estimates are by Snowden Mining Consultants.

Resource extension drilling
Drillhole 927B gave: 98.5m @ 1.15% Cu, 0.21% Co, 0.20% Ni, 0.79% Zn and 1.25 g/t Au (5.2% copper equivalent) for example.


*Kuhmo Nickel-PGM (VCN 95%)*

Vaara, Peura-aho and Hietaharju deposits within the Kuhmo Nickel Project in Eastern Finland. The Resources above a nickel equivalent grade of 0.3% nickel total: 7.6 Mt @ 0.4% nickel, 0.1% copper, 0.3% palladium and 0.2% platinum. The Resources contain almost 30,000 tonnes of nickel metal and over 120,000 ounces of PGE and demonstrate the capacity of the komatiites at Kuhmo to host substantive amounts of nickel metal. Up to 3% Ni, 2% Cu, 16 g/t PGE (from VCN drill core). In addition, there are a further nine drilled nickel sulphide occurrences within the project area which will be investigated over the next 12 months.

*Other*

Vulcan also has extensive vanadium, nickel-copper and platinum group element projects in northern Finland.

*Corporate structure*

99.7m shares, 34m options, giving an undiluted market cap of A$23m at 23c. A proposted AIM (London) listing has been shelved subsequent to the AIM pre-listing in 10/11/06.


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## mahmoodf (21 February 2007)

I agree. I hold shares in these puppies and will be looking to accumulate more. Very cheap compared to what resources they have, where they are located and who their main shareholders are.


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## exgeo (20 March 2007)

Vulcan Resources Limited has commenced a 2,000 metre, 40 hole programme of diamond drilling at its Kuhmo nickel sulphide project in eastern Finland. The first hole completed at the Peura-aho prospect intersected 6 metres of massive sulphide with visible pentlandite (Nickel mineral) and chalcopyrite (Copper mineral) at 55 metres depth, significantly thicker than expectations. Massive sulphides in prior drilling generally grade from 2.5-3.0% nickel, approximately 1% copper and 2-4 g/t Pt+Pd+Au.


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## exgeo (11 May 2007)

*FIRST ASSAY RESULTS AT KUHMO NICKEL PROJECT EXCEED EXPECTATIONS*


> 6 Metres at 2.2% Nickel, 4.1 g/t Palladium plus Platinum in Massive Sulphides Significant Thickness in Other Holes, Assays Pending.




This grade is nearly a platinum group metals mine grade in itself. Either the nickel or PGM are economically significant grades by themselves. Market cap. still only AUD $40m @ 40.5c (99m shares). Best of all, this company is not a daytrader's plaything (yet). Nobody knows about it. Just look at the number of posts in this thread when compared to Halcyon (HCY) for example. Further to go I'd say.


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## mahmoodf (11 May 2007)

Totally agree with you exgeo. And that's why I like this stock. It just moves up slow and steadily. Apart from today!  

It seems to have been totally missed by the investing community. But I don't think that is going to last much longer.


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## PETA 23 (27 June 2007)

Hi there
I am very new to share trading and while I love reading what you all have to say a lot goes way over my head - I brought VCN on the advice of a friend and see today that they have gone into a trading halt - do you think thats good? What is you opinion of this stock? 
Cheers


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## Sprinter79 (27 June 2007)

This was contained in their announcement yesterday:

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The principal changes from the Resource Estimate announced in January 2007 are as follows:

*Contained copper metal and copper grades up 15% and 9% respectively

*Contained cobalt metal and cobalt grades up 15% and 9% respectively

*Contained nickel metal up 5%

*Tonnes up by 5%

*Confidence levels improved


Vulcan’s Managing Director, Dr Alistair Cowden, said “The Company has achieved a great deal since acquiring the Kylylahti deposit 30 months ago. Tonnage has more than doubled and the contained copper has increased 55% from Outokumpu’s prior estimates, cobalt 87%, nickel 150%, gold 80% and the total value of contained metal by 90%. Kylylahti remains open at depth and the Company will re-commence drilling in August. Geological understanding has improved and our target is to lift the Resource beyond 10 million tonnes with the aim of further extending mine life beyond 13 years and further improving grades.”

Vulcan expects that the Definitive Feasibility Study will be available for release to market in August. The study will present significant changes in the size and scope of the project since the Pre-Feasibility Study of November 2005.

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All looks good for an increase in SP when they return to trading. I'm not sure why they asked for a trading halt, seeing as they've already released some strong data. I'm guessing that there is something bigger than what they announced yesterday


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## Gspot (27 June 2007)

I think it's got something to do with getting the backing to actually proceed with building the Kylylahti Plant. 
Wouldn't sell in a hurry if price jumps, as the Kuhmo nickel results are due, and I think it could be worth waiting for?
Good times ahead! IMO.


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## exgeo (29 June 2007)

1) Director buys 250,000 shares on-market at 49.5c ($123,773 total cost) on June 29.

2) Peura-Aho Nickel sulphide deposit – Drilling results: Best intersection of 57.6m @ 1.3% Ni, 0.6% Cu. Highest individual assay values obtained are 3.2%Ni, 5.2% Cu, 5.7 g/t Pd, 2.7 g/t Pt.

3) Vulcan today announced a $49m capital raising and a decision to seek a co-listing on the Norwegian Stock Exchange (Oslo Bors).*** Proceeds from the issue will be used to accelerate the development of the Kylylahti Copper-Cobalt-Nickel Project and Resource delineation and evaluation of the Kuhmo Nickel Project.


***(exgeo note: The company says that liquidity is much better on the Olso stock exchange when compared with AIM in London. I emailed the contact given in Norway and he confirmed that the Oslo stock exchange is an order-driven market - like Australia - not a market-maker system, with its attendant large spreads which act to deter trading).


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## exgeo (7 July 2007)

July 06, 2007

Vulcan Wisely Takes A Dual Listing On The Norwegian Stock Exchange


By Our Man In Oz



It’s been a tough couple of years for Vulcan Resources, the small Australian-based explorer with both feet fixed firmly in Finland. But, a quick glance at the company’s share price shows just how close Vulcan is to making the transition from explorer to mine developer. Since mid-March, when the base metal specialist was bouncing along the bottom at around A23 cents, it has since more than doubled. One immediate explanation for the rise is that speculators have discovered the high nickel content in Vulcan’s polymetallic projects. Another is that the more serious-minded investors are able to see through short-term metal market fluctuations to recognise that Vulcan is close to completing a feasibility study into the proposed development of the Kylylahti orebody, and is generating excellent drill results from a second.
A step along the development road was taken on Tuesday when Vulcan announced a fresh resource estimate for its Kylylahti copper/cobalt/nickel project. At 7.85 million tonnes of material rich in copper, cobalt, nickel, zinc and gold. Kylylahti is now known to hold a resource of 92,000 tonnes of copper, 18,850 tonnes of cobalt, 17,280 tonnes of nickel, 38,485 tonnes of zinc and 177,000 ounces of gold – and it’s still growing as exploration plunges deeper down strike. 

The man charged with converting Kylylahti into a mine is Vulcan chief executive, Alistair Cowden. He told Minesite from his office in Perth that studies into how best to attack Kylylahti were “almost complete”. He said a definitive feasibility study was close to technical completion but he was still waiting on a financial analysis and final cost estimates. When released in the next few weeks the study is likely to reveal a significantly different project to that first proposed by Vulcan in pre-feasibility studies. 

“The scope, size, capital and operating costs are completely different,” he said. “The main change is simply that the resource at Kylylahti has got a lot bigger as a result of our exploration. The plant we’ll need will be slightly bigger and the concentrate processing side of things will probably be different. What we really want to do is lift the resource above the 10 million tonne mark and extend the mine life beyond 13 years.” 

The core issue for Cowden has been how to maximise the benefits of high metal prices. By spending more up front Vulcan expects to be able to achieve a number of benefits such as improve metal recovery. The end result is that Vulcan is likely to announce a higher capital cost than the pre-feasibility estimate of A$120 million. “It’ll be a bigger number for a bigger project,” he said. 

So far, the market has been told that during its first seven years of production Kylylahti is expected to produce an average of 8000 tonnes of copper, 1000 tonnes of nickel, 1300 tonnes of cobalt, 2000 tonnes of zinc and 8000 ounces of gold. That cocktail of metals will emerge in two product streams. A copper/gold concentrate, and a nickel/cobalt concentrate. Customers are already lining up for the material with letters of intent signed with a number of smelters. Cowden said the timing of future events included the release of the definitive feasibility study in the next two months, leading to finalisation of financing, and a decision to mine by the end of the year, with first metal reaching the market in mid-2009. 

On financing, Cowden described his talks as being with “all the usual suspects, and a few unusual ones”, but declined to name names. Since then, however, he has done the sensible thing and is raising  A$49 million  by a non-renounceable rights issue through Pareto Securities in Oslo and is taking a dual listing on the Norway Stock Exchange. A move which should be considered  by anyone with assets in  Scandinavia and, indeed in Europe,  as the Oslo Bors is bouncing. On government approvals, three are required. One is an extension of the mining licence, then an approval for mine site (expected in October/November), and the final official piece of paper is the concentrate processing document expected early next year. No delays are expected because the mine and plant are in an existing mining region. 

While Kylylahti trundles down the runway as Vulcan’s first mine a second project in Finland is rapidly taking shape in the background. Kuhmo, some 300 kilometres further to the north, continues to return attractive nickel assays. Best results from the latest drilling program included six metres of mineralisation grading 2.2 per cent nickel, 0.6 % copper, 0.14 % cobalt, plus 2.5 g/t palladium and 1.6 g/t platinum, starting at the relatively shallow depth of 55.3 metres. Other holes even closer to the surface returned similarly encouraging results with one hitting mineralisation at a depth of 16.5 metres which included  2.7 metres assaying 1.8 % nickel plus good copper and palladium grades. 

“Kuhmo is shaping as something rather special,” says Cowden. “The nickel looks very interesting. It’s the potential for open-pittable, sulphide nickel which is attracting a lot of interest in what we’re doing in Finland. Add to that there’s a nickel smelter and refinery owned by Norilsk in Finland. Getting something up and running there quickly is possible and the results are continuing to come in.” 

Cowden said the plan for Kuhmo was to report a fresh resource estimate, plus definitive metallurgy and undertake a scoping study this year, moving into a bankable study position by the end of the year. Limiting factors include a manpower shortage in tackling two projects at the same time, a hint that Vulcan might have to decide whether to pursue the “bird in the hand” in the form of copper-driven Kylylahti, or an emerging “bird in the bush” in the form of nickel-driven Kuhmo, or raise sufficient finance to do both. The decision now seems to have been made.

www.minesite.com


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## hypnotic (13 September 2007)

News out with Kuhmo Nickel Project drilling results!

Vulcan Resources Limited (“Vulcan”) today announced it has received further high-grade platinum and palladium results from the Hietaharju nickel sulphide deposit at the Kuhmo Nickel Project in Finland. Vulcan is actively exploring six identified nickel sulphide deposits and has reported results from Peura-aho and Hietaharju in the last few months, results are now available from the last four drillholes at Hietaharju.

Holes HIE-27 and 28 returned multiple zones of shallow sulphide mineralisation (12 metres below surface) including:

5 metres at 2.1% nickel, 1.5% copper, 3.7 g/t palladium and 2.7 g/t platinum

The high palladium and platinum values are very encouraging. Hietaharju clearly has potential to deliver platinum group element (PGE) grades which may contribute significantly to revenue from mining.

Looks like there is a bit of action from this news today. What i like about VCN is:
- Institutional Shareholders include Finnish Industry Investment Ltd (12.04%) & AGD Mining Limited (18.13%). 
- And its got good cash to fund its programs. $7.1 Mil in the March Quarter
- Great prospect with Kuhmo and Kylylahti!!

exgeo are you still holding??

Cheers,

Hypnotic


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## exgeo (13 September 2007)

No, I sold mine a while ago, so sorry, can't hold your hand on this one- you're on your own. But noted that a director bought a large block at 49c a few months ago (see posting above, in this thread).


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## Gspot (7 April 2008)

"The Kylylahti Definitive Feasibility Study (“DFS”) is proceeding on schedule and is due for
completion at the end of March. Following review and sign off it is anticipated that the results of the
DFS will be released to market in early April." Quoted from 13 March announcement DRILL RESULTS INDICATE POTENTIAL FOR EXTENSION TO KYLYLAHTI DEPOSIT.
With $46 million cash in the bank and positive drill results continually coming from the Kumho Nickel project, I think this one should get back to it's old stomping ground of around 40c pretty soon.
That's what I'm hoping for, anyway. Appreciate some of the finer brains on this site giving their


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## Gspot (10 April 2008)

Gspot said:


> "The Kylylahti Definitive Feasibility Study (“DFS”) is proceeding on schedule and is due for
> completion at the end of March. Following review and sign off it is anticipated that the results of the
> DFS will be released to market in early April." Quoted from 13 March announcement DRILL RESULTS INDICATE POTENTIAL FOR EXTENSION TO KYLYLAHTI DEPOSIT.
> With $46 million cash in the bank and positive drill results continually coming from the Kumho Nickel project, I think this one should get back to it's old stomping ground of around 40c pretty soon.
> That's what I'm hoping for, anyway. Appreciate some of the finer brains on this site giving their




Well since this post Vulcan jumped 25% and are now in trading halt till Monday. The DFS for Kylylahti is ready to rock n roll, and going by the jump, here's hoping she's a goer.
Back to the 40c's come Monday...I hope?


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## Gspot (5 June 2008)

Vulcan now up to 42c. That's a 100% jump in 2 months. 
Is anyone following this company, or am I holding all too myself.
Oh well, next stop 60c, i hope??


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## Kipp (16 September 2009)

Not sure if this qualifies as a breakout, on a day when the market is up 100pt might mean nothing... but I have been waiting in the last couple of weeks for it to close above 12c, and it finally has... on very solid volumes.  Any TA's out there like to offer a more qualified opinion?

Recent action in URL can only be positive for the company (pending merger).

[disc stock held]


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## exgeo (1 October 2009)

From Minesite.com. Tim Treadgold writes for (among others) Shares Magazine..............................................................................


> September 30, 2009
> 
> *The Potential Of The Vulcan Resources/Universal Resources Merger Appears To Have Been Overlooked By Investors*
> Tim Treadgold
> ...


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