ACS - Accent Resources

[wipz]

Lab techs must have brought up couple of days back

Katanning Project has produced high quality iron and vanadium concentrates:

Mine Hill concentrate: 62.8% Iron & 1.89% vanadium pentoxide

Red Hill concentrate: 61.9% Iron & 1.94% vanadium pentoxide

We're right next to MGX with market cap of $24mil. At all time high of 30c, blue skys ahead!

 

[Blackchip]

Highlights
The second stage of beneficiation testwork on the Katanning Project has produced high quality
iron and vanadium concentrates.
Mine Hill concentrate: 62.8% Iron & 1.89% vanadium pentoxide
Red Hill concentrate: 61.9% Iron & 1.94% vanadium pentoxide
The concentrate quality compares well with other titanomagnetite projects. Titanomagnetite is being
increasingly accepted as a source of iron ore in the steelmaking industry.
The vanadium content and low levels of deleterious elements in the concentrate is also comparable
to the concentrates at leading South African vanadium operations.
The testwork also showed that more than 70 per cent of the titanium can easily be removed from
the Katanning titanomagnetite, which potentially increases its suitability for use in steelmaking. A
high titanium tailings fraction will be further tested to assess the possibility of recovering ilmenite
as a by-product.
Importantly, the testwork indicates that excellent mass recoveries and concentrate quality can be
achieved at a relatively coarse grind size (300 microns). By contrast, conventional magnetite projects
require energy intensive fine grinding (typically finer than 45 microns).
Data have now been received from a high resolution aeromagnetic survey over the entire Katanning
project, covering a total area of more than 720 square kilometres. The magnetic data is being
processed and interpreted to generate drill targets. Drilling at Katanning is anticipated to commence
around January 2008.

 

[YOUNG_TRADER]

Still holding heaps of these and waiting for true value to occur,

I still firmly believe ACS is undervalued but it looks like it won't be for a few more weeks that true value will be realised, (around the time that they do more work on Mt Gibson me thinks )

Chart wise dissapointing that it has fallen back below 28c,

On the upside Katanning is shaping up to be a real goer, still waiting

 

[YOUNG_TRADER]

Looks like ACS will have to consolidate more under 28c,

But I did like the presentation yesterday, lots of info on Katanning,

Also looks like Mt Gibson (my favourite project of the lot and why I bought) will be drilled Jan-Feb, can't wait and I bet the Chinese group Sinom that bought Extension Hill can't wait either, after all the need more Magnetite to meet economies of scale

 

[kerosam]

pretty much on support at the moment 24.5cts... YT, do you think the price will close up the gap before heading upwards (hopefully)again?

 

[Bowey]

Anyone still accumulating ACS?
This thread has been very quiet since December, what's going on? Out of favour?

YT, any chatter?

Cheers

 

[Sean K]

Anyone still accumulating ACS?
This thread has been very quiet since December, what's going on? Out of favour?

YT, any chatter?

Cheers

Hmmm, not accumulating but sold out last August on the breakdown and keeping an eye on it. Waiting for any sort of stability on global markets to start going big into semi spec, risk required ventures....which this is one. I think we're just dead cat and waiting for the true resurection, which may be a while away.

 

[YOUNG_TRADER]

Bowey still here,

As I said, once ACS got the large high grade magnetite hits ie 60m's at 35-45% Fe it became a value play for me

Its mkt cap is dirt cheap given the potential it has,

As I have always said, once they get a JORC they will sell the magnetite to the Chinese group Sinom who bought Extension Hill off MGX

 

[Bowey]

Thanks guys,

For the short term I sold out to concentrate my funds on some other movers, this one is too stagnant for the moment. I will come back when conditions change.

I noticed some more interest by Sinosteel in MIS, buying up cheap yesterday, so I guess the Chinese are looking out for buys, maybe ACS in future - who knows.

 

[YOUNG_TRADER]

Well just like MDX, out of nowhere ACS have sprung to life, so here are the fundies again

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



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,

Grab samples have yielded some significant results so far though
Moreover they have been doing alot of mapping and testing, I wonder if they have some target sizes already?




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
- Drilling to commence on both projects

 

[YOUNG_TRADER]

Well ACS has sorta surprised me, but then I did say we would see alot of life + proper re-rating closer to drilling,

But the good thing is ACS is drilling on its 2 flagship projects (although they haven't yet announced if the Mt Gibson program has started) but the Katanning certianly has,

Below are some extracts from company presentations re Mt Gibson, just re-iterating the history of the whole MGX-Sinom sale deal and why ACS's Mt Gibson will be so valuable to the Chinese group Sinom.

"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."

While drilling to JORC may take a few weeks the wild card is that like MDX, ACS releases a target estimate prior to drilling which would then give the mkt a serious idea of what they have, and remember it doesn't matter that its Magnetite as THATS WHAT SINOM NEEDS!

Like MDX, ACS have been busy doing alot of mapping, surveying, sampling and as you can see they already have some drilling wih very meaty hits, thus I'd say we can expect a target estimate which should cause a re-rating

But my opinon only

 

[Ants]

Good to see this one alive again. One of the few I held through out the end of last years hiccups. (along with mak)

 

[YOUNG_TRADER]

Well I don't want to get too excited but I think something is definately up,

The chart looks like a clear breakout to me,

I reckon that the company is going to release target estimates for Mt Gibson and maybe even Kataning

And depth is very scarce

 

[YOUNG_TRADER]

Hmmm, just looked at the chart I posted up is not that clear as it doesn't show the strong run up last few days

Here's another chart, it clearly shows a strong run up prior to the drill program starting at Kataning which to me suggests insiders, the fact that the stock wasn't sold off on the news suggests to me that there's something more lucrative yet to be announced which was what those that bought at 15c-20c are waiting for,

This is all my speculation but I'm trying to make heads or tails of whats going on

 

[wipz]

Well knowing the history of ACS and being bought up before a major announcement, something big might be on the cards.

 

[smurfette]

Hi guys,
I am a long time reader, first time poster.

I've read quite a few posts from Young Trader on stocks which have risen significantly in the past, more recently MDX.

I have spent a bit of time this weekend researching ACS, in particular their Mt Gibson project and have noticed that as you have already mentioned Young Trader, that connections and similarities can be made to a deal done between MGX and Chinese company Sinom for a 200Mt magnetite deposit near by.

I have noticed that the MGX 200Mt deposit consisted of an 8km strike, where as ACS claim a 14km strike length. Can we infer anything in regards to the target size of the Mt Gibson project from this?

Also Young Trader, what are your thoughts on the Katanning project? I actually owed Aurox Resources (AXO), a company also with a ferrovanadium project and had past success with them.

I’m researching this company for the first time after it impressed me on Friday rising over 40% on a day most of the market was down. Young Trader, if you have any free time this weekend, I would love to hear your opinion.

Thanks,
Smurfette

 

[giss]

ACS has had some ups & downs like any other share out there lately. However it is a thinly traded stock. While alot of it seems to be in the control of the company's hands anyone coming in to buy can be assured that the share price does stay relatively protected from severe fluctuations. The hope is that some of these drill sites does really show value & attract new buyers. If this happens the stock (being thinly traded) will skyrocket. As mentioned by YT the value could in just one area be worth a share price of 50c. I've been sitting on this stock for a long time now & thinks it will, when the right information presents itself, have little to hold it back.

 

[YOUNG_TRADER]

Hi Smurfette,

Re your Mt Gibson questions I did go to the effort of already putting out my thoughts on the potential size, its in one of the images, I have re-posted it so have a look,

I basically worked out how many tonnes MGX found at Extension Hill per km of strike and then extrapolated it for a max target size for ACS,

ie MGX 250Mt's for 8kms strike = 31.25Mt's per km of strike

ACS 14kms strike at max 31.25Mt's per km strike = MAX 437.5Mts now this is only a possible max mineralistion, ie based on some extrapolation of figures, I'd say though that given the avg hits of 40m's-50m's @ 35%Fe I'd say around 250Mt's seems a reasonable target.

 

[smurfette]

Thanks Young Trader,

It certainly would be fantastic if the company could firm up a 250 Mt resource at Mt Gibson.

However, I really wanted to hear your thoughts on their Katanning Project.

Please let me know tonight if you can because I don't hold any at the moment and tomorrow might be a good time to do some buying.

Smurfette

 

[prawn_86]

Smurfette,

Members here provide general information, not buy or sell recommendations.

You are just as capable as doing research as everyone else, as all of the info is publicly available.

I would suggest it is not wise to buy on the back of somones elses comments, without your own research, no matter who that person is.