# AET - Ausmelt Limited



## noirua (18 April 2006)

Ausmelt designs and supplies Top Submerged Lance (TSL) Smelting Technology. TSL is a high-intensity bath smelting technique with wide applications in the non-ferrous, ferrous, and precious metals industry. With over 25 years in the mining and metals industry, Ausmelt has achieved commercialisation of the process globally with the installation of twenty five furnaces processing copper, lead, zinc, nickel and PGM concentrates and waste materials.

In addition to its non-ferrous TSL business, Ausmelt is expanding its services & technologies to meet its mission of providing technology solutions across the metals production process chain. These technologies include ferrous TSL technology and mining flotation chemicals.

Ausmelt recently won a Major contract with the Chinese nickel producer, Jilin Nickel Group ( jilin ), China's second largest nickel producer. The contract will deliver revenues in excess of $5 million over the next 18 to 24 months. Design work is due to start immediately. The smelter with produce 220,000 tonnes a year of nickel-copper concentrates and 55,000 tonnes per year of nickel-copper oxide material. It will also recycle materials from the process. This is the third such contract won by Ausmelt this financial year.

Ausmelt also has an AM2 hydroxamate based mineral flotation reagent which has been developed and patented. This is used mainly to increase metal recoveries from a wide range of ore types and a wide range of applications.

Triako Resources (TKR) have a 25% interest in Ausmelt and Felix Resources a 2.5% interest through their 90% owned subsiduary S.A.S.E. Ausmelt has a 5% interest in S.A.S.E.

Ausmelt have purchased the Whyalla pig iron Demonstration plant from Felix Resources ( Felix hold certain rights through S.A.S.E. to repurchase the plant. )
ADC, 78.5% owned by Ausmelt and 21.5% by Felix Resources ( Felix interest has certain limitations and they hold the rights to shares in Ausmelt if ADC are not floated on the ASX by late 2007. )
The Ausiron(R) process for direct ironmaking is based on Ausmelt's commercially successful Top Lanced technology. ( Felix Resources hold full rights to the use of this technology in South Australia through their 90% owned subsiduary S.A.S.E. )

The Ausiron(R) technology builds on the non-ferrous success, with the process already proven at the purpose-built Demonstration Plant in Whyalla, South Australia.

A chinese steelmaker is currently undertaking a feasibility study based on a 500ktpa Ausiron(R) Module.

Ausiron has submitted a proposal for pig iron production using mining tailings.
Ausmelt is pursuing a project to establish commercial operations using its Whyalla Demonstration Plant. The plant will be reconfigured to a non-ferrous application, proven in commercial use elsewhere. Once established the project offers consistent revenues from primary and secondary processing operations.


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## noirua (20 April 2006)

Ausmelt closed at 57.5 cents in light trading on Wednesday, up from the 52 week low point of just 21 cents. The stock is a second liner in the metals business that has been overlooked, may move to test the 70 cent level.


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## noirua (21 April 2006)

Now at 72.5 cents, AET have already beaten my 70 cent target - new target $1.00. Has beaten many mining stocks in its leap from 21 cents.


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## noirua (24 April 2006)

A jump to 89.5 cents today by AET was the point I decided to unload half my stock. Should go on from here, however, it is quadruple its 52 week low.


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## Knobby22 (24 April 2006)

I followed this stock for years noirua and took it off my watchlist last year Doh!.
Well Done!


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## noirua (24 April 2006)

Knobby22 said:
			
		

> I followed this stock for years noirua and took it off my watchlist last year Doh!.
> Well Done!




Hi knobby22, AET have been a bit of a disaster since FLX bought some stock in 2003. The MD remained confident about the companies outlook when new orders dried up, that included the ferrous side under the name ADC. Trading remains quite light, so the stock needs to be watched carefully.


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## noirua (26 April 2006)

Up to $1.00 on new orders from Korea, could now go on to test $1.20.

http://www.asx.com.au/asxpdf/20060426/pdf/3wfvz0lttxjkp.pdf


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## noirua (2 May 2006)

MD's Half Yearly Report ( Boardroom Radio ):

http://www.brr.com.au/event/AET/31/10314/wmp/04ocvenrux/xzvubdbrb8


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## noirua (14 August 2006)

First Lead smelter contract for China has pushed up Ausmelt's shares to 75 cents.


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## noirua (7 September 2006)

A report by Company Secretary and Commercial Manager, Mr Jim Fogarty, is generally confident on the repeat orders front on the non-ferrous side but less so on chemicals. Acquisition opportunities have proven too expensive and none have been made. 
No comment on the ferrous side of operations was a little disappointing as Chinese and Indian interest was expected: http://www.brr.com.au/event/AET/31/14223/wmp/gclzjnx0h8


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## noirua (19 September 2006)

The shares have fallen backs since the third quarterly announcement and now trade at 67 cents.

Does this radio report by Mr Jim Fogarty, Company Secretary, add to expectations?  http://www.brr.com.au/event/AET/31/14223


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## Knobby22 (19 September 2006)

noiru

To me, the present price is slightly cheap.

The coming year will be good, and there is the added bonus of the chemical business as it improves.

I like the fact it is now producing dividends.

The reason I don't say it is a bargain is that the business does rely on the mineral boom continuing and on winning contracts. I would like to see it make bigger profits.

It is a good company though, and if the price drops much more it will clearly be a buy. I will put it back on my watchlist.


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## noirua (19 September 2006)

Knobby22 said:
			
		

> noirua
> 
> To me, the present price is slightly cheap.
> 
> ...





AET does have the Triako factor coming into play as shareholders of the company receive free shares in AET as part of CBH's successfull takeover.

There are the ongoing costs on the ferrous side - no contracts signed as yet - with the development of the Whyalla, former iron ore to pig iron demonstration plant. S.A.S.E. ( 90% owned by Felix Resources, Ausmelt have a 5% interest)  have certain options on shares in Ausmelt should ADC ( owned 78.5% by Ausmelt and 21.5% by felix Resources, the latter with some limitations ) -AET are managers of the project-, not float ADC on the ASX by 2007. Felix own 2.5% of Ausmelt and Ausmelt retain options in Felix, the latter at present having no value.

Ausmelt, imho, do need to diversify and failure to do so makes them highly cyclical.


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## noirua (13 October 2006)

A jump to 85 cents in the last few days has come as Triako Resources relinquish their substantial holding of 25% in Ausmelt - the grey cloud has been lifted.


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## noirua (15 October 2006)

After dropping back from 85 cents to 80 cents, AET have closed the week up 25 cents at 90 cents and compares to the low for the year of 32 cents - a goodbye Triako Swan-song.


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## Knobby22 (16 October 2006)

Ausmelt have really spiked!


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## noirua (17 October 2006)

Ausmelt are now charging ahead to $1.20 this morning. Triako having relinquished their 25% holding leaves this small company open to interest.


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## noirua (17 October 2006)

Radio broadcast showing a memorandum of understanding that should lead to an agreement with Zinoflex concerning Zinc residues at the companies plant at Whyalla:  http://www.brr.com.au/event/aet/31/16294

Acorn Capital have become a major shareholder in Ausmelt, raising their holding to 6.78%.


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## noirua (25 November 2006)

AET have stood still at around a dollar or a little over for quite a time now. Up from lows of near 20 cents, this may be time called, on the stocks consolidation as the raft of exciting new contracts give Ausmelt reason to cheer.


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## noirua (28 November 2006)

S.A.S.E. ( 5% owned by Ausmelt ) sold its 100% interest in the iron ore deposits at Peculiar knob and Hawks Nest in South Australia; To Southern Iron Pty for A$750,000, shares in Southern Iron Pty worth A$450,000 - S.A.S.E. retain royalties over the Iron Ore Tenements.

Western Plains Gold ( now Western Plains resources ( WPG ) ) have since acquired Southern Iron.

WPG expect to start iron ore production in 2008 at a rate of 2 mtpa.


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## noirua (18 December 2006)

Ausmelt have been forgotten of late, that is, after their run-up from 20 cents.  The company have very many new contracts and the latest are agreements with Zinifex and Yong Poo Corporation. 

Looking good for 2007 are AET, IMHO.


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## noirua (16 January 2007)

Ausmelt trade at $1.05 and have not moved much since the stock spike last October. I am still holding about half my investment since the 400% run up. Ongoing contracts plus a 5% interest in Peculier Knob Royalties, through a 5% holding in S.A.S.E., and ADC., are both a future plus.


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## windwalker (19 February 2007)

Still holding in this one


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## noirua (19 February 2007)

windwalker said:
			
		

> Still holding in this one




Looks very promising on the non-ferrous side and still has prospects on ferrous developments, both through the top lanced technology. Outlook is very rosy on all fronts.


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## noirua (21 February 2007)

Half Yearly Report - Mr Paul Abbott, MD
http://www.brr.com.au/event/AET/31/19230


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## noirua (7 March 2007)

AET have commissioned the latest smelter for Russian Copper Company:  http://www.asx.com.au/asxpdf/20070307/pdf/311byzh523s0rf.pdf


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## noirua (4 April 2007)

It's contract after contract being added that are building up well for Ausmelt and the last two in Russia and Korea make this stock look neglected. Hopefully AET will start to move back to former highs.


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## noirua (15 April 2007)

Back up to a Dollar a share. 
If you bought around the 20 cent low point then your laughing, but if you bought before that at over $2.00 your probably cursing your luck. I'm fortunately one of the former and cry out the virtues of the Top Lanced Technology in what, hopefully, will be an ever expanding enterprise; Not only in non-ferrous but ferrous also, the latter being a bit more into the future. 

Difficult to value this one as its past record depended strongly on obtaining new orders for smelters in Asia. So there are risks, though I personally remain confident in Ausmelt's future and the companies excellent MD, Mr Paul Abbott:  http://www.ausmelt.com.au


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## ozambersand (25 May 2007)

The price of this will probably jump as they have just signed a contract with Zinifex for some heap leaching of ore from its Tasmanian mine.


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## noirua (25 May 2007)

ozambersand said:


> The price of this will probably jump as they have just signed a contract with Zinifex for some heap leaching of ore from its Tasmanian mine.





Closed at $1.27, up 27 cents as Ausmelt go-ahead for the big Whyalla project is landed and all that expenditure proves worthwhile.


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## noirua (27 May 2007)

Forgotten in Ausmelt's recent results are the 5% shareholding in S.A.S.E. 

S.A.S.E. hold shares in Western Plains Resources (WPG) and royalties over iron ore production at Peculiar Knob and Hawks Nest in S.A.
WPG are expected to start production in early 2008 that will reach 3 mtpa.


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## noirua (16 August 2007)

Amongst the gloom, Ausmelt confirm their Russian Lead contract and announce a new Lead project with Votorantim Metals Zinco. The combined contracts are worth $4.5 million:  http://www.asx.com.au/asxpdf/20070816/pdf/31402k62j33wnx.pdf


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## noirua (18 September 2007)

A rise to $1.12 in response to favourable sales of the AM2 flotation reagent, $300,000 a month, augers well for Aumelt.


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## noirua (19 September 2007)

AET is becoming a forgotten stock. It should not be, as it is closely aligned to non-ferrous metals and perhaps iron ore, not that much further down the line.


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## noirua (5 October 2007)

AET are moving ahead now after doing not that much for a year or more.  Closed the week at $1.32 following earlier confidence in sales of its AM2 Flotation agent on positive sales. 

Should be one to watch as profits come in on new top lanced technology sales.


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## noirua (15 October 2007)

AET have moved on to $1.38 and further news is awaited on its ADC venture at the Whyalla Plant and its interest in S.A.S.E.


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## noirua (20 November 2007)

The AGM report of Ausmelt looks quite upbeat and the Zinc plant prospects at Whyalla, with Ziniflex, takes pride of place.
Back up to $1.41 and more than seven times their low point of three years ago.
Lots to go for at AET, imho:  http://www.asx.com.au/asxpdf/20071119/pdf/315x3b0mz5q2v5.pdf


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## noirua (10 December 2007)

Boardroom Radio Reports by Mr Paul Abbot, MD.

Ausmelt signs $9.3 million Bulgarian contract with Intertrust: http://www.brr.com.au/event/AET/31/36519

2007 Annual General meeting:  http://www.brr.com.au/event/AET/31/32252


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## noirua (8 January 2008)

"Ausmelt signs its ninth chinese contract", for a top lanced new copper smelter to be built by AET:  http://www.asx.com.au/asxpdf/20080108/pdf/316tr4rwns6vmw.pdf


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## noirua (18 February 2008)

"Ausmelt wins 1.25mtpa copper plant project in China":  http://www.asx.com.au/asxpdf/20080218/pdf/317h84r6hbgqs1.pdf


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## noirua (18 February 2008)

Half Yearly Report for Ausmelt to 31st Dec 07 - 34.1% after tax profit increase and dividend doubled:  http://www.asx.com.au/asxpdf/20080218/pdf/317hlfwj2qwx0s.pdf


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## noirua (19 February 2008)

Radio Report of Ausmelt's Half Year Results with MD, Mr Paul Abbott:  http://www.brr.com.au/event/41053
"Fantastic results says MD"


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## noirua (13 May 2008)

Ausmelt continue to move from strength to strength. News of the agreement with Metala Xpl; the copper smelter in Namibia; licensing agreement with Korea Zinc; Bolivian Contract and 3rd stage, new tin smelter in Bolivia; Brazil Lead Project; and so it goes on and on:  http://www.ausmelt.com.au/home.htm


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## noirua (10 July 2008)

Ausmelt have fallen back about 20% in the last week or so and this is despite the impressive report at the Micro Cap Conference and a further contract in Asia.
Everything is going well for AET and their interest of 5% in S.A.S.E. is always overlooked. They will receive their share of $1 per tonne of all future Iron Ore production, by WPG, from the massive Hawks Nest tenement in S.A.
Production should start during 2009 and there is an inferred resource of around 800 million tonnes. 
Other holders in S.A.S.E. are Felix Resources (90%) and Krakatau Steel (5%).


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## noirua (6 August 2008)

noirua said:


> Ausmelt have fallen back about 20% in the last week or so and this is despite the impressive report at the Micro Cap Conference and a further contract in Asia.
> Everything is going well for AET and their interest of 5% in S.A.S.E. is always overlooked. They will receive their share of $1 per tonne of all future Iron Ore production, by WPG, from the massive Hawks Nest tenement in S.A.
> Production should start during 2009 and there is an inferred resource of around 800 million tonnes.
> Other holders in S.A.S.E. are Felix Resources (90%) and Krakatau Steel (5%).



As Western Plains Resources continue drilling at their iron ore tenement at Hawks Nest, S.A. with plans to mine 2 million tonnes per annum, AET will then get Annual Royalties, through their 5% share of S.A.S.E.,  of A$100,000 per annum.
This is not a large sum by any means but WPG hope to double this output in due course and will help Ausmelt continue in their drive for steady earnings.


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## noirua (26 November 2008)

AGM results with MD Mr Paul Abbott at BRR radio (includes update on the Whyalla Smelter):  http://www.brr.com.au/event/53938


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## Knobby22 (18 May 2009)

Ausmelt is back on my watchlist.

It is starting to look inexpensive, noirua.
Need to study the company re: future dividends.


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## Knobby22 (19 October 2009)

Noirua.

Did you see the takoever offer announced today. No details were provided.

I have to admit I still don't own any and was shocked when I saw the present price. If there is a takeover offer it would surely be multiples of the presnt price. Have you an opinion?

Knobby


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## noirua (24 November 2009)

Knobby22 said:


> Noirua.
> 
> Did you see the takoever offer announced today. No details were provided.
> 
> ...




The upgrade to a lead up off-market agreed bid is now 80c - 90c. This type of bid takes a longtime and may be put to FIRB for a decision.  Only a small company but their technology is personal and unique to them, and markets are still a bit unsure of the eventual outcome.


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## skc (23 December 2009)

noirua said:


> The upgrade to a lead up off-market agreed bid is now 80c - 90c. This type of bid takes a longtime and may be put to FIRB for a decision.  Only a small company but their technology is personal and unique to them, and markets are still a bit unsure of the eventual outcome.




What a takeover battle developing. There are multiple bids in the past 48 hours.

85c Outotec
$1 Unknown bidder
$1 Outotec (matching)
$1.25 Outotec (outbidding themselves)
$1.35 Tenova S.A.
$1.35 Outotec (matching)
$1.45 Xiyang Group (off market, conditional)

Can it go any higher? Plenty of action above $1.45 today.

I bought them at 93c when the first unknow bidder emerged, sold half at $1.05 when Outotec made the matching $1 offer, and left the other half at $1.2 as my bracket order, thinking it was a safe distance... 

Then stupid Outotec made on market $1.25 bid without any announcement. So that took out my other half as well. UNBELIEVABLE.


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