Australian (ASX) Stock Market Forum

AZS - Azure Minerals

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Im not sure that we do too many price targets here, perhaps a possible valuation based on fundamentals might be more appropriate. Im not good at those, somebody else might have some suggestions?

I know Fat Prophets reccomended a buy on this a couple of weeks back, i dont subscribe, im not sure if they had a valuation?

At the very least AZS has certainly secured the market's interest, and with announcements due often for the rest of the year, all things going well, it should provide some potential upside.
 
Just wondering if any ASF members receive the Fat Prophets Mining report and if so give a brief summary on what they had to say about AZS, it would be interesting to see what the Fat boys had to say.
 
Mick check your private messages I have just sent you something that may may be of interest. Cheers, spotty
 
Good finish for the week for AZS it is setting a very positive platform heading into the release of drilling results from La Bufa and the regional sampling program, which is what brought the company to everyones attention in the first place.

Just reviewing the June AMEC presentation where Tony Rovira highlights that the company has "significant valuation upside from near term exploration success", when he made this presentation he would of known the first few assay results from La Bufa, could this mean that they have found something significant?

Maybe I am reading too much into it but why would you highlight the fact that the shareprice has significant near term upside if you didn't have some killer information on hand. Otherwise you would lose the confidence of your shareholders and the would make it hard to promote the company.

Remember this is coming from the man who was responsible for the discovery of the Cosmos mine for JBM.

Would be interested to hear peoples thoughts on his choice of words in the June AMEC presentation!!
 
much like I was able to get a bit of info from Peter McNeil on FNT, Tony Rovira of AZS has been kind enough to reply to my email from the other side of the world in Mexico within 30 minutes quite amazing.

Looks like he is lining up a listing on the TSX, being very coy about larger institutional involvement, which would account for the large volume on Tueday and Wednesday.

Also sampling/drilling results due to be released very soon.

Due to the high grade nature of previous results, the new set of results has the potential to move the shareprice significantly.

Very much reminds me to the run up of FNT when I found out the date of the release of the Resource upgrade for Kodu.

Tony is very well respected in the Australian mining community, and is responsible for the discovery of the Cosmos Mine for Jubilee Mines (JBM)


Anyway here is the Q&A

Dear Michael,
I'm currently in North America visiting both Mexico and Canada. In response to your queries, please see answers below.
Best Regards,

Tony Rovira
Executive Chairman


Hello,

I am currently a member of a couple of different share forums in which quite a few of our members are now holders of Azure shares, and as an exercise of saving time we have come up with a list of questions for Azure management rather than bombarding the company with individual phone calls.

I hope the management of Azure will be able to find the time to respond as it is always good to see a company that cares about its shareholders.

Anyway here goes


1. What is the current statuts in regards to the drilling results from La Bufa, has the company received the latest results or are they still awaited from the lab?

Results are taking 3-5 weeks to get back from the lab. At this stage we only have results from about half the samples submitted. Results will be released as soon as we can.

2. Is AZS having delays in regards to assay results from the lab, like companies here in Australia?

Yes, exploration in North America is very busy, including all the labs.

3. How is drilling progressing on the Pozo De Nacho prospect?

We are currently in the third hole of a 6-7 hole program. No assays yet.

4. Has the company had any thoughts about a listing on the TSX as they seem to pay a premium for junior resource companies with operations based outside Australia, unlike shares traded on the ASX?

I am currently in Canada (visiting both Vancouver and Toronto) meeting with brokers, investment banks, lawyers etc regarding a possible TSX listing. The response so far has been favourable. This is just one of several corporate ways forward that we're investigating, and when we have formalised something it will be announced.

5. Has the company got a basic outline in terms of exploration over the next 6 months, eg which prospects, when?

Yes, and this will be part of the Quarterly Report to be released in late July.

6. How many members make up your ground exploration team and how does their experience in exploration compare to companies of similar size?

We have an Australian exploration manager who is living in Hermosillo, Sonora, Mexico, with his family. Under him we have 4 Mexican exploration geologists ranging in experience from 20 years to 2 years. This is giving us a very significant competitive advantage over our competitors in Mexico, as many of them operate out of Canada with no permanent presence in Mexico.

7. How does the exploration technology in Mexico compare to whats on offer in Australia?

Not much difference. The technology is available.

8. Does the company have easy access to drill rigs in Mexico?

There are plenty of drilling rigs in Mexico several hundred operate out of Hermosillo) but they are all busy. We just need to book well in advance.

9. How long before the company would be in a position to start releasing JORC statements on some of its more advanced prospects?

JORC implies Mineral Resources or Ore Reserves. We're not at that stage yet.

10. Has the company been approached by any larger Institutional Investors about taking a stake in the company?

Maybe

11. Has the company got any expectations on the tonnage acheivable at some of its more advanced projects?

Too early to tell

12. Is the company currently conducting/waiting for results from sampling across any of its prospects?

Yes, more surface sampling results to be released very soon.

13. Will Tony Rovira be taking a hands on approach and spend most of his time in Mexico or rely on his ground teams for exploration and run the company out of Perth?

I'm spending a reasonable amount of time in Mexico and also Canada. Whatever it takes to make this successful.

14. Is the company planning an presentations/roadshows to raise awareness of the companies potential?

So far this year I have presentations to shareholders in Adelaide, Melbourne, Sydney, Brisbane, the Gold Coast and Perth. More of these types of presentations will be carried out over the next 6 months.


Once again hope you will be able to reply to most of the above questions

Kind Regards

Michael
 
mick2006 said:
much like I was able to get a bit of info from Peter McNeil on FNT, Tony Rovira of AZS has been kind enough to reply to my email from the other side of the world in Mexico within 30 minutes quite amazing.

Looks like he is lining up a listing on the TSX, being very coy about larger institutional involvement, which would account for the large volume on Tueday and Wednesday.

Also sampling/drilling results due to be released very soon.

Due to the high grade nature of previous results, the new set of results has the potential to move the shareprice significantly.

Very much reminds me to the run up of FNT when I found out the date of the release of the Resource upgrade for Kodu.

Tony is very well respected in the Australian mining community, and is responsible for the discovery of the Cosmos Mine for Jubilee Mines (JBM)


Anyway here is the Q&A

Dear Michael,
I'm currently in North America visiting both Mexico and Canada. In response to your queries, please see answers below.
Best Regards,

Tony Rovira
Executive Chairman


Hello,

I am currently a member of a couple of different share forums in which quite a few of our members are now holders of Azure shares, and as an exercise of saving time we have come up with a list of questions for Azure management rather than bombarding the company with individual phone calls.

I hope the management of Azure will be able to find the time to respond as it is always good to see a company that cares about its shareholders.

Anyway here goes


1. What is the current statuts in regards to the drilling results from La Bufa, has the company received the latest results or are they still awaited from the lab?

Results are taking 3-5 weeks to get back from the lab. At this stage we only have results from about half the samples submitted. Results will be released as soon as we can.

2. Is AZS having delays in regards to assay results from the lab, like companies here in Australia?

Yes, exploration in North America is very busy, including all the labs.

3. How is drilling progressing on the Pozo De Nacho prospect?

We are currently in the third hole of a 6-7 hole program. No assays yet.

4. Has the company had any thoughts about a listing on the TSX as they seem to pay a premium for junior resource companies with operations based outside Australia, unlike shares traded on the ASX?

I am currently in Canada (visiting both Vancouver and Toronto) meeting with brokers, investment banks, lawyers etc regarding a possible TSX listing. The response so far has been favourable. This is just one of several corporate ways forward that we're investigating, and when we have formalised something it will be announced.

5. Has the company got a basic outline in terms of exploration over the next 6 months, eg which prospects, when?

Yes, and this will be part of the Quarterly Report to be released in late July.

6. How many members make up your ground exploration team and how does their experience in exploration compare to companies of similar size?

We have an Australian exploration manager who is living in Hermosillo, Sonora, Mexico, with his family. Under him we have 4 Mexican exploration geologists ranging in experience from 20 years to 2 years. This is giving us a very significant competitive advantage over our competitors in Mexico, as many of them operate out of Canada with no permanent presence in Mexico.

7. How does the exploration technology in Mexico compare to whats on offer in Australia?

Not much difference. The technology is available.

8. Does the company have easy access to drill rigs in Mexico?

There are plenty of drilling rigs in Mexico several hundred operate out of Hermosillo) but they are all busy. We just need to book well in advance.

9. How long before the company would be in a position to start releasing JORC statements on some of its more advanced prospects?

JORC implies Mineral Resources or Ore Reserves. We're not at that stage yet.

10. Has the company been approached by any larger Institutional Investors about taking a stake in the company?

Maybe

11. Has the company got any expectations on the tonnage acheivable at some of its more advanced projects?

Too early to tell

12. Is the company currently conducting/waiting for results from sampling across any of its prospects?

Yes, more surface sampling results to be released very soon.

13. Will Tony Rovira be taking a hands on approach and spend most of his time in Mexico or rely on his ground teams for exploration and run the company out of Perth?

I'm spending a reasonable amount of time in Mexico and also Canada. Whatever it takes to make this successful.

14. Is the company planning an presentations/roadshows to raise awareness of the companies potential?

So far this year I have presentations to shareholders in Adelaide, Melbourne, Sydney, Brisbane, the Gold Coast and Perth. More of these types of presentations will be carried out over the next 6 months.


Once again hope you will be able to reply to most of the above questions

Kind Regards

Michael
Click to expand...
Hi Mick 2006,

My father went to the AZS presentation in Melbourne in May 07. It was held jointly with other companies presenting their information. My father viewed the AZS presentation as being the most informative and exciting. He reckons that if AZS's interests were in Australia, not Mexico, that AZS's share price would be much higher. Their projects in Mexico are all potential company makers. Thanks Mick 2006 for doing all the hard work.
DYOR
 
Your 100% correct there Greggy, investors in Australia need to open their eyes to the rest of the world. Australia is no longer considered a prime target for large scale base metal discoveries (except for iron ore/coal).

Rio Tinto have already stated last month that they have moved their exploration budget away from Australia.

We won't have to wait long as soon as AZS get their listing on the TSX they will gain a whole lot of interest from investors worldwide.
 
Very useful stuff here Mick and greggy,

I lifted this off the company website.From the point of view of Sovereign Risk and general Mine friendliness Mexico seems to be a safe haven for Azure.

Cheers Ya'll :)

Why Mexico?
MEXICO

Low sovereign risk (ranked #4 in the world of countries for favourable mining investment).
Political and financial stability with North American-style legal and accounting systems.
Low taxation rates and no mining royalties.
Foreign companies, foreign ownership, and repatriation of capital allowed.
500 years of mining history – strong government, bureaucracy and public support for mining.
Strategic geographical location in world class mining region.
Well trained and experienced workforce readily available.
 
Using BSG as an example the big institutions worldwide are certainly more than happy to plough money into the company which is also based in Mexico.

AZS is at ground zero they have been hoarding substantial quality landholdings in Mexico and now they have a quality exploration team working around the clock to define exactly what they are sitting on.

Add this to the potential of a listing on the TSX, the next couple of months should be very interesting for AZS.
 
Excellent research Mick, Greggy,

Well what can I say except this stock has got me interested...big time.

How many more projects does this company have?!?! How many more does it have lined up?:eek:

I'd better back up my ramp..before I get my knuckles rapped.

As an investor in Thor Mining, I have been constantly disappointed with Management team, who don't believe in shareholder communication. What has kept me on board, was my original decision to invest based on the high grade Molydenum Sulphide, at MolyHill.

Now it appears as though Azures, Pozo De Nacho :cool:, with 0.75% MoS2 in parts, may well trump Molyhill (MoS2 0.26%) on a peer comparison for MoS2 resource grades alone




What remains to be seen is the size of the resource at Pozo De Nacho. Molyhill does have an indicated tungesten-moly resource of 1,750,000t.

However, Pozo De Nacho has a 1.4km by 0.5km molybdenum soil anomaly!! This is huge, and is surrounded by a 2k x 0.5k Copper anomaly.

Does anyone know when we can expect an inferred resource for this? The AMEC presntation says its at advanced drilling stage.


Thor has 2 secondary projects (Uranium @ Hale River+Harts Range) and has a market cap s $50 million.

Azures' Market Cap is $30million but has so many more enticing projects.

So, by peer comparison, its kind of obvious how undervalued Azure is.

Its nice to see Pozo De Nacho is primarily a Moly play. (Thor's Molyhill is Tungsten-Moly).

ohh...and then theres the Moly they have at mysterious LaBufa :bowdown:

Party On!!!:bananasmi
 
Hey PG good to have you onboard, funny enough it was the massive grade lead/zinc/silver sampling results that got me interested in the first place.

But your right the molybdenum has huge potential, puts alot of others molybdenum grades into insignificance.

Over the last 6 months I have become what I guess you would call a momentum trader, indentifying sector/stock trends early and getting in before the masses follow.

The good thing in AZS favour is that it has exposure to the commodities currently in focus Iron Ore/Lead/Molybdenum.

Also the buy rating from Fat Prophets introduced alot more investors to the stock and the fact they will quite often update their subscribers will only help longer term.

And then finally the stock will have momentum with the constant release of drilling results over the coming months.
 
If you like junior resource companies that have plenty of newsflow AZS would fit the bill perfectly.

If you review the June AMEC conference presentation along with the email I received from Chairman Tony Rovira the company is due to release up to 5 market sensitive announcments in the month of July.

- final results from La Bufa (molybdenum/copper/gold)
- first results from Pozo De Nacho (molybdenum/copper)
- results from regional sampling program
- latest news regarding project acquisitions
- quarterly report(containing upcoming drilling campaign)

with Mexico well known for its high grade deposits any one of the result releases has the potential to significantly move the shareprice.

The phase AZS is entering very much reminds me of when FNT was heading towards the release of the Kodu resource upgrade when there was several announcements in a short space of time and the shareprice doubled in less than 2 weeks.

With so much news over the coming month AZS could become firmly foccused in investors minds.
 
with so much newsflow due to come out of the company in July, I also forgot to mention the fact that there will be two sources of media attention also.
Last week the Australian Daily Assay column wrote a very positive piece on AZS finishing with the fact they were awaiting a response from Tony Rovira in relation to a few questions. So expect another piece in the Australian shortly.

Also with Fat Prophets starting coverage with a buy rating expect them to update their subscribers once the news starts flowing out of AZS.

Also looking very positive on open with already 550k above the closing price on Friday.

And now 9.7 million on the buy side with no additional sellers added from Friday.

Should open at 20c plus and have a crack at the recent high of 22c
 
While the fundamentals look good, I am not too impressed with the chart.

The volume spike when the SP jumped to above 0.20 then SP closing lower and lower indicate that some big players offloaded during the spike. I will be watching to see if there is enough interest to fill the gap left by the offloading.
 
looks like someone is off loading a stake at 20c, started very strong and wiped through 20c on a couple of ocassions only for repeated large sell orders to stall the rise.

It will take the release of the next round of exploration results to break through the barrier now. Shouldn't have to wait to long this week or next.

I would suspect a lot of buying between 18c-19.5c before the release of the results.
 
Mick, a friend called AZS today and was told that final assays for La Bufa were being sent to Peru rather than Vancouver due to backlogs so my guess is probably next week at the earliest.
 
Can someone please explain why someone is dumping soooo many today? Surely they realise the price will go higher on anticiaption yet this person doesnt seem to care? Is that a warning that results may not be that good or am I just being silly?
 
Brinks said:
Can someone please explain why someone is dumping soooo many today? Surely they realise the price will go higher on anticiaption yet this person doesnt seem to care? Is that a warning that results may not be that good or am I just being silly?
Click to expand...

Everyone has their own trading plan. I don't think you can read anything into this. The same person may have a buy order for less!
 
wouldn't worry too much about the sell down at 20c, for all those FNT holders you would remember the annoying week where it couldn't break through 13c because of someone selling down, and a few days later it was 25c.

All it will take is couple of days of volume like today and it will be a distant memory.

What is encouraging is the 5.5 million on the buy side above 14c and the 2.5 million shares that have changed hands today above 19.5c.

If anything the more shares we can weed out before the announcements come out the better, means less resistance going forward.
 
interesting to watch the way AZS behaved today, within the first ten minutes it had blown through the resistance at 20c very easily only to then be met by a constant stream of large sell orders at that level.

There was no shortage of buyers all day with almost 3 million shares changing hands at 19.5-20c in a very tight range.

I get the feeling that once the sell down/blocking orders are finished at the 20c level we could see AZS go on a substantial run.

Interesting to note that alot of the blocking orders were pulled after close which makes me think that someone wants to build a stake under the 20c mark.

With plenty of news upcoming and exposure to the current hot commodities such as
Iron Ore/Lead/Zinc/Molybdenum things are certainly looking good for AZS.


Would be interested to hear all holders or potential holders thoughts on the near term future/todays trading in AZS
 
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