HRZ - Horizon Minerals

[philmac]

Anyone out there been following this stock? It's gone up about 40% in the last few weeks on very small volume. They have a vanadium molybdenum deposit in North Queensland.
I'm hoping someone can put a chart up for me.
Many thanks
p.s I have a small stake.

 

[newbie1]

A postitive announcement out late today might be of interest and should have some positive affect on the share price.

 

[refined silver]

Not sure why this stock doesn't have its own thread, other than its must be well under the radar.

Market Cap $25m @27c. $4m cash. JORC resource 4.82Billion tonnes @ 0.27%V2O5 and 223g/t MoO3 for 17 billion pounds of Vanadium and 1.4billion pounds of Moly. Plus non JORC of about 50% more.

Did a fair bit of DD before buying in as these numbers are so stupid it doesn't make sense. It gives the stock 10 fold more in-ground resources per $ of market cap than any other stock I know, and I know a few good ones.

The catch seems to be - can it be extracted economically. The compamy is working on metallurgy and claims to have found a simple cost-effective process for at least 1/3 of the resource area.

The MD seems to believe as he owns 30% of the stock and keeps buying more on the open market.

Any thoughts, comments???

 

[refined silver]

Well it obviously did have its own thread and my post has now been joined to it. I looked through all the I-P pages though. Where do lost stocks go when they fall off the available pages?

 

[Bushman]

Well it obviously did have its own thread and my post has now been joined to it. I looked through all the I-P pages though. Where do lost stocks go when they fall off the available pages?

Thanks for the heads up. That is a whopping resource. I'll keep an eye on it. Some decent buy depth building at what has been the support line for the last 3 months.

Nice presentation too. Any further word on the issues with mining the deposit? Looks like they are constructing a pilot plant.

Cheers again.

 

[refined silver]

Yep, will be interesting to see how the pilot plant goes.

Another point is that it seems very tightly held -Management own 33% and the top 20 shareholders 66% (I assume management is included in that), but that still doesn't leave to many loose shares.

Technically - been in a nice long consolidation.

Fundamentally seems crazy. If realised, they have over a TRILLION dollars in the ground. Like I said, too absurd for words. 30 times the Vanadium of PMA!! And for once Management is putting their money where it were it should be.

 

[refined silver]

Management still buying more shares on market in December and January. Only smaller parcels but it all adds up.

 

[YOUNG_TRADER]

Guys keep an eye on IRC,

I bought some IRC a few months back and sorta forgot about them, they have an 8 Billion Tonne JORC resource in Qld for Vanadium and Moly, grades are low but comparable to WVL (another Vanadium stock I like)

The best part about IRC though is now its NTA is like 20c-25c because of its huge holding in RWD (a Pootash stock I like) and thus I have been buying more and more this week

I love companies with solid NTA backings that trade close to NTA because their downside is limited and upside well unlimited really (ie like MXR)

Anyhoo that $8 Billion Tonne JORC has an I.G.V in the trillions of dollars, so it might be worth keeping IRC on your radar

 

[sam76]

I have spoken with a director there and he said we shouldn't take into account the holdings in RWD.

He also said they had patened technologhy to extract the V chaeply and effiently.

I had it on the watch list but took it off due to illiquidity

 

[YOUNG_TRADER]

I have spoken with a director there and he said we shouldn't take into account the holdings in RWD.

He also said they had patened technologhy to extract the V chaeply and effiently.

I had it on the watch list but took it off due to illiquidity

Shouldn't count the RWD holdings?

but IRC hold 8m RWD, @ $1.50ish thats $12m, with 92m shares on issue IRC's RWD holdings = 13c thats nearly half the SP

So I'd have to disagree with you there Sam

 

[sam76]

I know mate, That's what I said to him as well.

But it's what he said.

Got me beat.

here's cheers

 

[YOUNG_TRADER]

I know mate, That's what I said to him as well.

But it's what he said.

Got me beat.

here's cheers

Ohhhhh I know what you mean, he said the same sort of thing to me when I said I like the high NTA, he laughed and said when this project gets going don't worry about your 20c Asset Backing

I was intially very sceptical of the project to be honest, I mean if its worth Trillions of dollars then whats he doing until I spoke with him and understood just how important and long a process it is to perfect the engineering side of a mining operation, particularly vanadium opps

I mean look at WVL (formerly PMA) price chart, it clearly shows it took WVL a good 12months + to sort out all of its technical and engineering aspects, after this period which I have labelled "Phase 1" the stock began to get re-rated "Phase 2" as the mkt began to realise its potential as it headed towards production ie "Phase 3"

IMO IRC are about to come out of "Phase 1" as the director has indicated they have almost finished their detailed engineering and technical studies which have been going on for 12months really

So I'm all set for the possible "Phase 2" gains

 

[Sean K]

I can't understand why Ruane wouldn't be interested in his RWD investment and it's impact on IRC. I think RWD is undervalued as discussed in that thread, and it could have a material impact on IRCs sp. He should actually be emphasising it IMO!

Any idea when they're expected to announce whether this patented technology makes the deposit economical? Or what price Moly and Vanadium need to be for Julia Ck to be a goer? Seems crazy that their Va grades are so similar to WVL and yet it's not economical. It's close to surface isn't it? Must be something to do with the other metals in the deposit perhaps.

The past week or so price action has looked pretty encouraging with a few white candles. Approaching potential breakout around these levels. Lots of resistance at 30 for some reason. 23-25 looks be be well established support, so not too much downside perhaps?

 

[Sean K]

I can't understand why Ruane wouldn't be interested in his RWD investment and it's impact on IRC. I think RWD is undervalued as discussed in that thread, and it could have a material impact on IRCs sp. He should actually be emphasising it IMO!

And now with some options conversion IRC hold 13.87% of RWD. Wonder how many more options they have to convert?

 

[YOUNG_TRADER]

Hey Kenna I think they have around about another 1.5m RWDO = a total of 9m RWD


IRC have 92M shares on issue
and the following assets
Cash $4m
RWD holdings 9M @ $1.40 = $12.6m
UK XTR holdings + CBM = $3m
RER holdings = $1m

Total =$20.5m = 22c NTA

Thats probably why 23c is "well established support" because your getting the company for free at those levels

Also many doubted M Ruwanes other company RWD, however over time the company has begun to show its true value,

As I show'd with the WVL chart, it took 12months of technical/chemical and engineering studies and flowsheets to perfect the Windimurra Process, IRC has been doing the same and according to my estimates is about to enter Phase 2, ie the end of the planning/engineering phase and the begining of the move towards production phase, the phase which incorporates the most Share Price growth



The

 

[Sean K]

Hey Kenna I think they have around about another 1.5m RWDO = a total of 9m RWD

Cheers YT. Hitting that resistance line with just 4 sellers left. I don't think it will break through until it comes out with some good news on the engineering, or if RWD goes crazily up over $2.00 ish perhaps. Must take IRCs investment in them seriously around those sort of levels.

 

[YOUNG_TRADER]

Cheers YT. Hitting that resistance line with just 4 sellers left. I don't think it will break through until it comes out with some good news on the engineering, or if RWD goes crazily up over $2.00 ish perhaps. Must take IRCs investment in them seriously around those sort of levels.

lol well there's 30c gone,

The stock is so tightly held it seems, I know as at August last year the main man Michael Ruane held about 33% of the company but continued to buy on mkt at 24c-28c

Because he's over the 20% he can only buy 3% every 6 months (its called the 3% "Creep Rule")

Anyway I like the fact that the main man Michael has put his money where his mouth is, our wealth as shasrholders are directly linked to his, ie he makes it work we all get rich

Michael Ruane is a Chemical Engineer and is the key to making the Julia Creek multi Trillion $ deposit work

 

[Gekko]

Hey Kenna I think they have around about another 1.5m RWDO = a total of 9m RWD


IRC have 92M shares on issue
and the following assets
Cash $4m
RWD holdings 9M @ $1.40 = $12.6m
UK XTR holdings + CBM = $3m
RER holdings = $1m

Total =$20.5m = 22c NTA

Thats probably why 23c is "well established support" because your getting the company for free at those levels

Also many doubted M Ruanes other company RWD, however over time the company has begun to show its true value,

As I show'd with the WVL chart, it took 12months of technical/chemical and engineering studies and flowsheets to perfect the Windimurra Process, IRC has been doing the same and according to my estimates is about to enter Phase 2, ie the end of the planning/engineering phase and the begining of the move towards production phase, the phase which incorporates the most Share Price growth



The

A few things YT. Firstly, i suppose we cant ignore the RWD holding. Its 14cents at these levels, or 50% of the current capitalisation. At this time last, RWD was half its current level (at 70c this time last year) while IRC was at these current levels. So your getting half your RWD holding or $6.5mn for free.

But what i am intersted in is the Julia Creek vanadium/oil shale/Molybdenum project. The quarterly reports im reading as we speak show a tonnage of 4,898Mt - 5bn tonnes? - "where extensive oil shale deposits exist near surface with potential for oil recovery via shallow open cut mining operations". 5bn tonnes speaks for itself (im sure it gives an almost laughable igv), but whats makes this interesting is that there is "potential for oil recovery via shallow open cut mining operations". This looks easily mineable.

So I think that i can confidently say that like eveyone else, I am coming across this company for the first time ever and struggling to comprehend why the share price and capitalisations is so low. Not for the Reward holding, but for the JC tonnage.

The sinister part of me (and we all have a sinister side) says Managing Director Michael Ruane has been intentionally keeping the share price down so that he can buy more shares. I say that because since January 2007, 20 or the last 43 ASX released announcements or so, have been on market purchases of shares by he.

Or are the grades not good enough?

Am i reading JC and these announcements upside down? And if possible, can you share with us where you bought your shares and if you had difficulty? I say that, because the depth looks scarce and id like to know if you had trouble taking your position. Maybe im just lazy?

 

[YOUNG_TRADER]

Hey Gekko,

The JORC at Julia Creek is actually 8 Billion Tonnes, theres a high grade component and a low grade component (see the pic)

re the grades, well the next major ASX vanadium producer to be is WVL and their avg grade is 0.46% V vs IRC's is 0.4% EQUIV (ie 0.37% + Moly credits)

WVL's JORC is 140Mt's@0.46% V [Mkt Cap 155m shares @ $2 = $310m]
vs
IRC's 4,898Mt's@0.4% V Equiv [Mkt Cap 92m shares @ 30c = $28.5m]

So grades shouldn't be a problem

Whats very intersting is comparing IRC's Moly grades to that of the next big ASX Moly producer MOL

MOL JORC 650Mt's@ 450g/t Mo + Cu and Ag credits (low) [Mkt Cap 100m Shares+options @$2.80 = $280m
vs
IRC's JORC 4898Mt's @ 0.37%V +310g/t Mo [Mkt Cap 92m shares @ 30c = $28.5m]

With Moly and Vanadium prices soaring I think IRC's Julia Creek could become a monster project in time and is certainly worth more than the few million EV its recieving currently once the NTA is take into account

I mean IRC has a 5 Billion Tonne JORC for the high grade area which is at surface and has grades just below that of WVL's Vanadium and MOL's Moly, what a monster

 

[Datsun Disguise]

Hi All,

First time look at IRC - sounds like a sleeper based on comments so far. The announcements are interesting - huge amount of stuff on directors interests and changes in sub. holdings - must say the resource updates are rather low key. Plenty of other companies would have those kind of tonnages up in lights. That and the use of a lot of jargon says to me that these guys seem to be trying to keep a lid on things for the time being - not a lot of units available on the market as of now - less than 100,000.....

Now lets see if that resistance becomes support.