ACS - Accent Resources

[YOUNG_TRADER]

Hi guys

Nothing special here, I just had a look because it had fallen to an all time low

Shares on Issue
40m
28m 20c 30/9/09 Opies

Mkt Cap at 11c = $4.4m



Projects

Mount Gibson
Earning 80% from MWE,
Very crap Magnite grade Iron Ore ie 35%
Trying to target a very large scale low grade Magnite style deposit


Noresman
100% Gold Project
Near old CRS ground, drilling suggests grades of 1.5g/t - 2g/t Au
But target size for now is only around 65k oz's Au YUCK!


Don't ask me why I'm posting on this, as I said, I researched the stock because today it fell to all time low, so thought I'd post up my findings,

Perhaps its at an all time low for a reason ie its sh_it!

 

[Sean K]

Norseman will be upgraded by the look of it after the recent drill results, but for me to be really interested it'd have to have the potential for 2m + oz au.....Not sure if it can get there, but maybe that market cap, and all time low make it interesting....

Noted on their website a buy/outperform from Aequs (who are they ) when it was at $0.18, based more on the fe potential at Mt Gibson.

Looks like they're trying to court the Chinese and Koreans to me....and a couple of the directors are an Oh and a Peng......

Have about $4m in the kitty......

Are you bottom picking now YT? You know what they say.......

Chart is pretty scarey.

Scarey website too:

www.accentresources.com.au

 

[YOUNG_TRADER]

couple of the directors are an Oh and a Peng......

Are you bottom picking now YT? You know what they say.......


Scarey website too:

lol, in stiches,

On a serious note I didn't really dig that deep, now I'm gonna take a look at their website and see this report.

Thanks K

 

[YOUNG_TRADER]

Another ann re the Magnetite potential of the Mt Gibson project,

I have attached some images to show just how proximate ACS is working to Mt Gibsons huge Magnetite project

Positives
- Recent work shows good potential for a similar large tonnage magnetie deposit next door to MGX's project

- Chinese interest in ACS

- Mkt cap of under $5m offers huge leverage!

 

[GRTRADER]

The announcement doesnt seem to have affected SP yet though but it might be a good one to watch.

 

[YOUNG_TRADER]

Strong rise on the ann of a newly discovered Vanadium district in W.A. see ann

 

[YOUNG_TRADER]

Should add mkt cap still only about $6m

 

[GRTRADER]

i knew i should have bought more

 

[YOUNG_TRADER]

Something maybe brewing over at Ascent,

A few placements recently, broker support/coverage

Some changes in substantial holding,

One to keep an eye on

 

[Fool]

That is one scary looking graph.

I will keep an eye on this one but I think I will keep my money well away from it for the moment.

 

[Sean K]

Noted on their website a buy/outperform from Aequs (who are they ) when it was at $0.18, based more on the fe potential at Mt Gibson.

Looks like they're trying to court the Chinese and Koreans to me....and a couple of the directors are an Oh and a Peng......

Chart is pretty scarey.

Scarey website too:

www.accentresources.com.au

Chart isn't as scarey now, looking to break up on longer term picture. Something's up.

Their web site is still cra@p!! How do you invest in a company that can't get a web site right!!

I suppose the thing that still interests me is the fe project, and iron is as irrational as uranium was a year ago right now.....

 

[YOUNG_TRADER]

Hey guys,

Here's my next Iron Ore play,

Whats funny is how uneducated/ignorant I was back in Jan re Magnetite, I didn't even know what it was thus 35% = crap grade for me, lol now I know anything above 30% is good for magnetite operations,

The big thing to remember here is that the issued shares were recently doubled by a placement to brokers etc at 12c, also the share price has run up very strong in the past 2 weeks,

It could either be a pump and dump by brokers - Which I doubt given the upside potential of the deposit

Or brokers accumulating with a research note or some significant news soon, which I think

Anyway the deposits real which is what I focus on

ACS​

Mkt Structure

Shares
100m + 30m 20c Opies 30/9/09

Mkt Cap @ 20c = $26m Current
Mkt Cap @ 30c = $39m Target 1
Mkt Cap @ 50c = $65m Target 2


Cash
$6m + $6m when opies exercised therefore = $12m


Placement
It should be noted that 55m shares were placed at 12c recently, these shares from what I understand it were placed to Sophisticated Investors who are very unlikely to stag a profit, but may do so nevertheless,

Thus caution is advised when buying, the shares come one Friday 27th July, so it will be intersting to see what they do,



Projects


Mount Gibson Iron Ore, 80% maybe more, Mid West W.A. 5km's from MGX's operations
Although there is no JORC yet, drilling so far has shown 20m -80m thick 30% - 40% Fe Magnetite Ore from 16m - 30m down

From these drilling results, the potential strike length of 8km's and talking to the company, its clear that ACS have a very good chance fo firming up minimum 100Mt@30-35% Fe

Now adjacent to ACS's Mount Gibson project is Extension Hill, which was MGX's early Magnetite discovery of 240Mt's (unsure of grade) The Chinese (Sincom Investments Ltd) bought this off MGX. The problem is Extension Hill is only 240Mt's and minimum a standalone operation of Magnetite needs 400Mt's, thus you can see why ACS's Mount Gibson project is vital to Sincom.

It is clear the companies intention is to firm up a 100Mt resource and sell it to the Chinese (Sincom Investments Ltd).

Depending on the end result, I would expet a 100Mt@35%Fe deposit to fetch close to $50m = 50c ACS


While the project still doesn't have a JORC, I'm betting it will be a matter of time.



Katanning Ferro Vanadium, Up to 90%, W.A.
This project is an early stage AXO Aurox Balla Balla, its Ferro Vanadium and covers an Area of 500km² so could b very very large,

However it is still very early days,

Grab samples have yielded some significant results so far though


Noresman Gold, 100%, W.A.
JORC 65k oz's Gold (grades 1.5 g/t - 2g/t Au) This deposit is too small to justify any sort of stand alone operation, however Toll Treatment of the Ore could net $5m+



Summary

- 100Mt Resource at Mt Gibson should be worth 50c to ACS
- Chinese interest in Mt Gibson as they desperatley need to get more Ore to make Extension Hill a viable project
- Katananning looks promissing
- Very large placement done recently at 12c
- Share price has run hard in the last few weeks,


Even though there was such a large placement done at 12c, I firmly believe that the recievers are in it for the Chinese deal and are unlikely to stag a profit, so I bought shares on Friday at 22c-23c I also bought options at 10c-11c,

Cheers

 

[Sean K]

Thanks YT.

You're right, has run pretty hard and it's hard to call on what happens when the placement shares hit the market. I tend to agree that 'sophisticated' investors (I hate them - it's just prejudiced ) will probably hold, or most will. They are also probably more in the know of what the company is up to. (hmmm, this could be a negative too

I'm going to have a closer look at the Vanadium. I think the iron is a monty due to it's location, initial drilling, and stated claim to sell it off to 'someone'. Just need to shore up 100 Mtn ish.

Cheers.

 

[56gsa]

Whats funny is how uneducated/ignorant I was back in Jan re Magnetite, I didn't even know what it was thus 35% = crap grade for me, lol now I know anything above 30% is good for magnetite operations,

Interesting links here re the Mt Gibson deposit and could be enough to get the Chinese on board

Interested in your positive view re magnetite YT - as far as I know the only magnetite operation in Oz is Savage River in tassie and that has grades of 50%+ ... magnetite will become viable as global haematite resources dwindle but i can't see that happening in the ST... the stage before that is to do as GBG have done and look to process in China - but this is still to become operational - are these the sorts of operations you see potential YT?

 

[Sean K]

I'm going to have a closer look at the Vanadium.

This is under a joint project with ABM Resources who seem to be preoccupied with several other projects at the moment. The Vanadium wasn't even mentioned in their last quarterly, or their web site! Where did you find the info YT?

 

[YOUNG_TRADER]

This is under a joint project with ABM Resources who seem to be preoccupied with several other projects at the moment. The Vanadium wasn't even mentioned in their last quarterly, or their web site! Where did you find the info YT?

Check ACS's announcements Re Vanadium,

Also ABM aren't interested in this project, thus why ACS can earn 90% in it,

There are some links to AXO although I can't verify this

 

[UPKA]

"The problem is Extension Hill is only 240Mt's and minimum a standalone operation of Magnetite needs 400Mt's, thus you can see why ACS's Mount Gibson project is vital to Sincom."

Hey YT, js wondering where did u get that 400Mt figure from?

 

[surfingman]

As far as I know the only magnetite operation in Oz is Savage River in tassie and that has grades of 50%+ ... magnetite will become viable as global haematite resources dwindle but i can't see that happening in the ST...

I have been looking into this a small amount but still learning as fast as possible as I'm watching a company looking to develop a Magnetite project, one steel has a made their Hematite plant at Whyalla a Magnetite feed operation back in 2007.

"Converts Whyalla Steelworks to magnetite feed which frees the hematite ore
reserve for accelerated sale. It is planned to increase annual sales from one
million tonnes up to a maximum of four million tonnes. Sales at this level could
be expected for approximately 10 years"
http://www.onesteel.com/images/db_images/news/Project Magnet 23 May 2005.pdf
http://www.ferret.com.au/articles/20/0c030120.asp

This isn't a purely magnetite operation its mixed with hematite to create the final pellet is that correct?

I have found Gindalbie Metals will come online at 8 mt/annum Magnetite production by 2010, slide 4
http://www.gindalbie.com.au/Investor+Relations/Presentations//Downloads_GetFile.aspx?id=133

Still researching just interested in your thoughts.

 

[YOUNG_TRADER]

I spoke with the company,

My advice is give the company a call and chat to the management, they just ooze confidence that they're going to sell the Mount Gibson deposit

 

[YOUNG_TRADER]

Interesting links here re the Mt Gibson deposit and could be enough to get the Chinese on board

Interested in your positive view re magnetite YT - as far as I know the only magnetite operation in Oz is Savage River in tassie and that has grades of 50%+ ... magnetite will become viable as global haematite resources dwindle but i can't see that happening in the ST... the stage before that is to do as GBG have done and look to process in China - but this is still to become operational - are these the sorts of operations you see potential YT?

I don't think it matters here 56gsa

You see I'm 100% positive that the Chinese (Sincom) whou bought MGX's deposit are like vultures waiting for ACS to fimr up its JORC and pounce,

So like I said, its a matter of when imo not if it gets bought