Australian (ASX) Stock Market Forum

HIO - Hawsons Iron

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CAP has continued its gains over the last month, but the ASX has finally gotten interested in what is driving the share price north.

In response to an ASX Price Query, the company said:
CAP is not aware of any other explanation for the recent trading in its securities, other than the continued strength within the iron ore market and the fact that the Company now holds approximately 94% of the Hawsons Iron Joint Venture.
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Today the share price has hit a high of 22.5c but has since retreated back to 18.5c.

The ore that will be produced at the Hawsons Iron Ore Project will be the Supergarde (70% iron) product which fetches a premium price, currently around $US256/tonne. Management believes there is a disconnect between the CAP share price and the iron ore price, but the market is catching on.

CAP.png


Long term, CAP could be a real goer if this Project gets off the ground in the right economic environment. The big question is where will the iron ore price be when Hawsons goes into production in 3-3.5 years?

big.chart-CAP.gif
 
Hawsons Iron doing very well since mid-November, up from 7.5c to 15c. Iron Ore stocks were oversold are now the quality companies are bouncing back. The Hawsons Iron Project is one of the better iron ore projects currently in development. The numbers speak for themselves:

Hawsons_Iron_Project.png


As a long term iron ore bull position, you can't do much better than HIO. It's got a very good 2022 coming IMO.
 
greggles said:
The Hawsons Iron Project is one of the better iron ore projects currently in development. The numbers speak for themselves
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the numbers do, indeed. 70% Fe

Steelmaking is experiencing a revolution, with an unprecedented focus on increased productivity and decreased pollution, which has stoked demand for higher grade iron ore products.​

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Been looking at this one for the Stockpicking 2022,

Iron Ore price I believe will pick up in 2022, leadership looks good, there project looks good.

1640780424265.png


Not long at all, in the grand scheme of things especially with the growing demand for steel.

After falling by -12.7% in 2020, steel demand will increase by 12.2% in 2021 and 4.3% in 2022, reaching its pre-pandemic level
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A quote from an economist from worldsteel - (https://www.worldsteel.org/media-ce...ldsteel-Short-Range-Outlook-October-2021.html)


Latin America, India, Mexico, Brazil all these countries as they develop are needing more and more steel, I think demand will increase substantially. Supply chains will likely open up and remove there congestion as the world opens up even more in 2022, especially in the automotive industry.
 
I am extremely bullish on Hawsons as I believe they have the best iron in the world at 70% grade and will be of the best stories from 2022 and into the future. The board is very transparent, they have just been offered another $200 million if needed and I know that the government is also a strong believer and is backing it. This is indeed my pick of the year and will hopefully have many gains.
 
jamezo10 said:
I am extremely bullish on Hawsons as I believe they have the best iron in the world at 70% grade and will be of the best stories from 2022 and into the future. The board is very transparent, they have just been offered another $200 million if needed and I know that the government is also a strong believer and is backing it. This is indeed my pick of the year and will hopefully have many gains.
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Yep, I am just waiting for a good price to enter, hoping I dont miss the window. Will be a test of my TA skills.
 
As per the 21 Feb 2022 announcement.

BFS to assess increased Hawsons Iron Project capacity from 10 Mtpa to 20 Mtpa

<snip>
“Preliminary work has identified a direct-to-port slurry pipeline as a 20 Mtpa transport
option,” he said. “Whilst the expanded scope will assess the economic viability of this option,
we expect the transport cost savings may be significant and we also expect a reduced-carbon
logistics footprint and other ESG benefits.

“As you would expect, a 20 Mtpa option would increase the total capital cost for developing
the Project. However, the potential benefits are so compelling, the option warrants thorough
evaluation. Both the 10 Mtpa and 20 Mtpa options and ways to mitigate risk are being
assessed,” he said.

Mr Granzien said the PFS had capped production at 10 Mtpa due to the carrying capacity of
the existing rail export route.
“The scale, quality and homogeneity of the Hawsons’ orebody and the demand for high-
quality magnetite due to the shift to green steel enables us to consider transport options to
remove that capacity constraint,” he said.

“A direct-to-port slurry pipeline offers Hawsons a higher level of autonomy and potentially
opens up the Braemar minerals province for further development.
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</snip>
 
and cleaning up control

The Company has executed an agreement with Starlight Investment Company Pty Ltd to purchase its 6.037 per cent interest in the Hawsons Iron Project Joint Venture for $10 million and secures full beneficial ownership and control of the Hawsons Iron Project.

Key Points
• Strategic transaction gives HIO 100% control of the Hawsons Iron Project
• HIO to pay Starlight $10 million for its 6.037% JV interest
• Significantly enhances the decision-making process during development and production • Delivers material flexibility for offtake agreements and project financing options
• Initial $5 million payment being met from existing funds, with normal security provided for the $5 million balance
• Balance via two instalments: $3 million within three months and the final $2 million within six months
• Funding available through LDA Capital $200 million equity facility, if required
 
Tyre Kicker said:
Aren’t they years away from producing?
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Takes a while for sure, might be a tad quicker with Worley doing the "ground work". From HIO's website:

ASX Release 31 March 2022
Hawsons Iron awards contracts to global specialists to progress BFS
Hawsons Iron Ltd (HIO) has engaged global specialists to examine optimum infrastructure pathways, process engineering design and decarbonisation opportunities to improve the economics and Environment, Social and Governance (ESG) outcomes for its Hawsons Iron Project.
Key points
• Worley Services Pty Ltd (Worley) with Mineral Technologies Pty Ltd, has been engaged to
manage the Hawsons Iron Project’s process engineering studies.
• Worley’s Advisian business has been engaged to determine an ideal Energy Balance that
optimises ESG and sustainability outcomes.
• As part of the extended Bankable Feasibility Study (BFS) studies to incorporate a 20 million
tonne per annum (Mtpa) production option:
o slurry pipeline specialists Fortin Pipelines will examine an underground, direct-to-port
slurry pipeline; and
o global port infrastructure experts Royal HaskoningDHV will examine port options.
• SLR Consulting to lead the environmental approvals across New South Wales and South
Australia.
• BFS work program is progressing on schedule with expanded scope.
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this one just keeps getting more and more momentum...
what are you seeing besides a nice incline?
 
HIO as per 12 Apr 2022 announcement retains Federal Government renews Hawsons’ Major Project Status

Hawsons Iron Ltd (HIO) is pleased to announce the Federal Government has renewed the Hawsons Iron Project’s Major Project Status for three more years in recognition of its potential to supply high-quality magnetite for the production of low emissions steel.
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Note to self,
HIO is Hawsons Iron
HAW is Hawthorn Resources.
Right, glad I've got that cleared up. ?
Can't rightly tell much difference from the charts of each either...
 
Remiss of me not to add a chart.
It's had a very good run.
Not one I've traded though, only owing to not having looked at it, and some confusion about the HIO or HAW thing.
Will be keeping an eye on it to see how it travels from here.

Screenshot_20220424-125011.png
 

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