AFL - AF Legal Group

[grace]

Here goes folks. Here is the start of those assay results coming in. Looks like Cardinia is going to firm as a 3km long open-pit shallow operation...very nice grades too! Hang in there, I think you'll be rewarded.

HIGH GRADE GOLD RESULTS
FIRM UP 3km CARDINIA SYSTEM

Coherent shallow high-grade gold intersections from an ongoing program of close-spaced RC drilling has significantly increased the mining potential of the 3km Cardinia gold system at Navigator’s 950,000 oz Leonora gold project

The drill results include some of the best intersections yet obtained from Cardinia:-
• 12m at 10.4 g/t gold from 8m
• 7m at 15.1 g/t gold from 5m
• 1m at 67.8 g/t gold from 24m
• 9m at 6.0 g/t gold from 8m
• 12m at 4.2 g/t gold from 13m
• 6m at 7.9 g/t gold from 4m
• 4m at 11.3 g/t gold from 10m

The initial RC drill results enhance the mining potential of the entire 3km Cardinia gold system which, in conjunction with significant gold systems identified at Tonto and Mertondale South, appears likely to provide Navigator with a third large open pit work area within the Leonora project (in addition to ten other satellite open pit areas).

And some comments from Colonel Sanders..

“Having a free-dig gold system that is potentially open pitable over a three kilometre strike length adds substantial backbone to the Leonora gold project”, Managing Director Mr Sanders said. “We have quadrupled the gold resource at Leonora over the last three years and there are still extensive areas with shallow untested resource potential; the deeper underground potential is largely untapped”, he added.

 

[grace]

BRR presentation out today, highlighting market cap of only $50oz which ignores all other assets (also jorc not updated for recent results). Tom Sanders says Cardinia is derisking due to continuity, with high grade, sitting in soft oxide (free dig), weathered to 90mtrs, shallow pit operation. Cardinia now 3km long and possible extension of another km.. More results to come in on Tonto, Mertindale with 4 drill rigs in operation.

http://www.brr.com.au/event/44765

 

[grace]

Some really good assay results out today, but the market doesn't care at the moment. Plenty of high grade, close to surface. Will put the resource well and truly over 1million oz IMO. Feasabilility study due Mid 2008.

Here are a few of those reported...

17m at 5.2 g/t gold from 6m
11m at 10.7 g/t gold from 7m
11m at 5.3 g/t gold from 2m
2m at 33.9 g/t gold from 23m
23m at 3.3 g/t gold from 2m
4m at 27.3 g/t gold from 21m
7m at 14.1 g/t gold from 16m
1m at 64.8 g/t gold from 5m
3m at 21.4 g/t gold from 12m
4m at 13.2 g/t gold from 18m
11m at 4.5 g/t gold from 9m

http://aspect.comsec.com.au/asxdata/20080610/pdf/00849483.pdf

Assay results are also pending from a program of aircore drilling aimed at extending the resource from 2km to 3km in the southern portion of the Cardinia gold system

 

[grace]

Some really good assay results out today, but the market doesn't care at the moment. Plenty of high grade, close to surface. Will put the resource well and truly over 1million oz IMO. Feasabilility study due Mid 2008.

http://aspect.comsec.com.au/asxdata/20080610/pdf/00849483.pdf

Thought I would share The Speculators comments on this one today as a heap of drilling results are due, upgraded resource and Feasability study.

I would hang on and hope for some recovery.

Company overview
Real-time quote
NAV.AX , 0.275, -0.010, -3.510%): With a 950,000oz gold resource 240km north of Kalgoorlie, it hopes to complete a pre-feasibility study in the current quarter when its share price may then get a lift provided the gold price holds (as I expect). Navigator’s shares have tumbled from a year’s high of $1.15 to a low of 29.5c and last week closed at 30c.

 

[grace]

Some nice drill results out today, and a little buying coming back in. Looks like this one should stack up to a low cost, open pit, near surface, high grade operation. First mining planned for 2009 (late). Hope the gold price goes into orbit by then.

Shallow high-grade gold intersections from RC drilling of the Bruno area, located in the northern part of the 3km Cardinia gold system, have further enhanced the mining potential at Navigator’s 950,000oz Leonora gold project.

Better drill intersections, which in most cases approximate estimated true width, include:-
9m at 53.0 g/t gold from 19m (NCGC01561)
10m at 15.1 g/t gold from 15m (NCGC01556)
16m at 8.3 g/t gold from 10m (NCGC01630)
16m at 7.5 g/t gold from 16m (NCGC01579)
4m at 21.6 g/t gold from 23m (NCGC01488)
24m at 4.3 g/t gold from 10m (NCGC01685)

I won't bore you with it as there are 13 pages of drill results. I think this resource will firm up nicely in the next jorc release. They don't seem to have any trouble finding gold. 5 mills exist within a 70km radius that have spare capacity.

Hopefully this has seen the bottom now.

 

[Sean K]

Some nice drill results out today, and a little buying coming back in. Looks like this one should stack up to a low cost, open pit, near surface, high grade operation. First mining planned for 2009 (late). Hope the gold price goes into orbit by then.

Hopefully this has seen the bottom now.

Could have a little to go grace but should be getting close. Probably relying on a POG steady climb and some stability in the overall markets. MC at $41m and MC to oz au $45, which isn't really cheap for a sub 1m oz au explorer, but doesn't factor in recent drilling results.

When's a resource upgrade due and for what deposit?
What do they have to do to get into production Capex wise?

kennas

 

[grace]

Could have a little to go grace but should be getting close. Probably relying on a POG steady climb and some stability in the overall markets. MC at $41m and MC to oz au $45, which isn't really cheap for a sub 1m oz au explorer, but doesn't factor in recent drilling results.

When's a resource upgrade due and for what deposit?
What do they have to do to get into production Capex wise?

kennas

MC of $41 mill (140 mill shares & options) at 30 cents.

Cash $10 mill (although will be less per quarterly).

MC of $31 mill excluding cash

Have
Gold resource 950 000 plus a new upgrade due

REO deposit (Cummins Range) with initial JORC of 38,400 tonne of REO (1.1 mill tonne of ore) and more with lower cut-off, including phosphate at 10% (most rare earth deposits also have phosphate just like Mt Weld) and uranium at a nice grade too.

Two free carried NI-PGM JV's.

So I guess to value just on gold is a little unfair.

Looking at gold though, plans are for
- mining late 2009 at 70 000 oz per annum first 2 years (open pit)
- 100 000 oz next 2 years
- underground as well after year 4 adding to production

I haven't seen any estimate of cost for capex and opex, only to say it will be low. Prefeasability was due July 08, so that will tell a few things.

There are plenty of options in relation to mills though. Resource upgrade was due June 08, but as the assays are only just rolling in, I guess it might be this qtr some time. It is running late.

So MC of $31 mill excluding cash. I'd put at least $10 mill on the REO/Phosphate/uranium deposit (this deposit is only partly drilled).

MC of $21 mill (attributing zero to other JV's) for 950 000oz is only $22/oz, with a big upgrade due very soon.

Looks low to me, especially if the mention of low cost, high grade, near surface, open pit mines are also shown in the prefeasability study due any day.

 

[grace]

MC of $41 mill (140 mill shares & options) at 30 cents.

Cash $10 mill (although will be less per quarterly).

MC of $31 mill excluding cash

Have
Gold resource 950 000 plus a new upgrade due

REO deposit (Cummins Range) with initial JORC of 38,400 tonne of REO (1.1 mill tonne of ore) and more with lower cut-off, including phosphate at 10% (most rare earth deposits also have phosphate just like Mt Weld) and uranium at a nice grade too.

Two free carried NI-PGM JV's.

So I guess to value just on gold is a little unfair.

Looking at gold though, plans are for
- mining late 2009 at 70 000 oz per annum first 2 years (open pit)
- 100 000 oz next 2 years
- underground as well after year 4 adding to production

I haven't seen any estimate of cost for capex and opex, only to say it will be low. Prefeasability was due July 08, so that will tell a few things.

There are plenty of options in relation to mills though. Resource upgrade was due June 08, but as the assays are only just rolling in, I guess it might be this qtr some time. It is running late.

So MC of $31 mill excluding cash. I'd put at least $10 mill on the REO/Phosphate/uranium deposit (this deposit is only partly drilled).

MC of $21 mill (attributing zero to other JV's) for 950 000oz is only $22/oz, with a big upgrade due very soon.

Looks low to me, especially if the mention of low cost, high grade, near surface, open pit mines are also shown in the prefeasability study due any day.

I think NAV has a little sping in its step now with the appointment of Gordon Galt as Director. Colonel Tom is good at finding the gold, and Gordon will be good on the development to mining next year. Just the man they need for the job I think. I think I'll stick with this one now on the strength of management.

“At the same time we are delighted to have secured the services of Mr Galt who will bring to the company more than 30 years of mining industry experience, including that as Managing Director of Newcrest Mining”.

In the past ten years Mr Galt has worked as Managing Director of companies engaged in the development and operation of large resource projects and is currently engaged in funds management and corporate advisory work. Dr Trench described the appointment of Mr Galt as a natural progression as the company moves towards development of its Leonora gold project that is currently at pre‐feasibility stage.

Mr Galt’s current board positions include:

• Director of Taurus SM Holdings Pty Ltd and subsidiaries New Holland Capital and Taurus Funds Management Limited (a 4.7% shareholder in Navigator),

• Non‐executive Chairman of Discovery Metals Limited (ASXML),

• Non‐executive Director of Aquila Resources Limited (ASX:AQA),
“Mr Galt has a long track record in creating shareholder value and his skills will be a catalyst for further growth”, Dr Trench commented.

Mr Galt said that “the Leonora gold project hosts near‐surface gold mineralisation and long term exploration upside that is rare these days. I look forward to working with the Navigator team to bring the project into production and to grow the Company where I can”.

1998‐2000: Managing Director of Newcrest Mining Limited

Overall responsibility of Newcrest’s business interests. Moved Newcrest in to ASX 100 in December 1999. Improved profit from $174,000 in 97/98 to over $60 million in 99/00. Lowered unit production costs for eight consecutive quarters. Significantly improved safety record.

Awarded Gold Industry CEO of the Year Award in 1999.

 

[bowman]

I've just become aware of this as a rare earths play.

There's not a lot of reference to rare earths in this years announcements, so I assume they are not currently focused on progressing the Cummins Range project?

 

[CapnBirdseye]

Anyone been watching NAV?

NAV are an unhedged gold producer in WA. Recently they have been ramping to to a 100,000 oz/yr production. June is to be their first full capacity month.

Anyhow, they have about 1.7M of of reserves, mostly low grade. All the infrastructure is in for their bronzewing project. They are anticipating operating costs costs of <$800/oz and are expected to be reduced over time.

So, considering in-the-money options only (there are a good few options out there.... not sure how to handle these in EV/oz estimates) I'm getting EV/oz of about $47. Current Mc is about $79M.

If we assume a POG of A$1350, then they are looking at profits of $55M based on operating cost of $800/oz which management say to be conservative.

Now, these guys are unhedged. With a high operating cost this does give some downside risk. Nonetheless, they seem to be pretty good value on the current numbers. There is also potential some upside on operations and exploration. Se their laters presentation.

So, my question is am I missing something here? These guys do seem pretty cheap to me. My guess is that the market may be waiting for them to get a few months of operation in before getting involved.

 

[springhill]

For those with an eye on the Rare Earths scene, NAV are due to spin off a REE based company, focused on developing the Cummins Range deposit, in early 2011. Those with a holding in NAV (at an undisclosed date, late 2010) will receive a capital return in the form of shares in the new company, aswell as a pro-rata entitlements offer to subscribe for additional new shares in the REE company.
http://www.asx.com.au/asxpdf/20101022/pdf/31t9n0cnh3l8wk.pdf

 

[Donga]

For those with an eye on the Rare Earths scene, NAV are due to spin off a REE based company, focused on developing the Cummins Range deposit, in early 2011. Those with a holding in NAV (at an undisclosed date, late 2010) will receive a capital return in the form of shares in the new company, aswell as a pro-rata entitlements offer to subscribe for additional new shares in the REE company.
http://www.asx.com.au/asxpdf/20101022/pdf/31t9n0cnh3l8wk.pdf

Great week for NAV on gold front and also rare earth minerals - so good to see this one start to move

 

[SilverRanger]

Just saw an ad on Bloomberg TV about this company, seems like they are quite keen on getting some investor attention

 

[mr. jeff]

Looks like it may be getting a leg up ?
daily chart for 3 months from big charts.

 

[Trevor Perth]

The Company's plans for 2011 were posted on their web site yesterday.
Looks as though they have decided to go alone on developing REO
by offering shares in a new company to existing Navigator holders.
Potentially it could be a brilliant move. It will be interesting to see how the prices shakes out on Monday.

 

[Donga]

The Company's plans for 2011 were posted on their web site yesterday.
Looks as though they have decided to go alone on developing REO
by offering shares in a new company to existing Navigator holders.
Potentially it could be a brilliant move. It will be interesting to see how the prices shakes out on Monday.

Not sure if this come out, but is link to a good read about the NAV rare earth play... http://www.raremetalblog.com/2010/10/australia-becomes-a-two-speed-rare-metals-story.html. I'm in

 

[grace]

Not sure if this come out, but is link to a good read about the NAV rare earth play... http://www.raremetalblog.com/2010/10/australia-becomes-a-two-speed-rare-metals-story.html. I'm in

Gosh, can't believe my luck. I dumped this stock a couple of months ago, only to see Rare Earth's go bolistic ever since. I've held this thing for years too.

 

[RAREARTH]

Disappointing performance of SP since the Placement so a good buying opportunity now - see discussions on HotCopper

 

[RAREARTH]

The company expects to issue an ASX announcement on the terms of the spin-off of the rare earth asset early next week - stay tuned.

 

[TabJockey]

I went in NAV this morning at 23c in a big way after allot of research over the weekend.

Its currently earning 6c a share from its gold alone. The rare earths that are going crazy in ARU and lyc have not even been rated by the market, once the rare earths are spun off you would expect them to get some market attention. So the more entitlements I get now the better.

Plenty of sellers at 24c, not sure who these people are but this company is worth allot more than 23c right now, and even more into the future.

Holding with a 12 month target of 72c plus RE spin off.