IRL - India Resources

[adobee]

I have read a brief article in relation to India resources this morning however cant find any posts in relation to this company. If anyone can direct me to a thread on this please do else if there arent any and people are familiar with the company perhaps we can start a new one here.

 

[Kauri]

Re: India Resources

Out of todays West Australian on the new float India Resources..
Kiernan eyes hot debut for India play


5th June 2007, 9:00 WST



Mining veteran Michael Kiernan will hope that Twiggy-mania rubs off on his latest venture tomorrow when India Resources makes its sharemarket debut.

Andrew "Twiggy" Forest has emerged as one of India Resources' biggest share and optionholders, having invested in the company’s initial public offering.
Joining Mr Forrest on the list is prominent Perth company director John Poynton and Mineral Resources co-founder Chris Ellison.
India Resources raised $11 million in its IPO, including $1 million in oversubscriptions, after selling shares at 20 ¢ each. India Resources will have a $16.2 million market capitalisation when its shares start trading.

Mr Kiernan set up India Resources to invest in and develop metal opportunities on the resources-rich subcontinent.
Based on the sharemarket success of other companies backed by Mr Forrest, India Resources could well be in for a strong debut.
In addition to Mr Forrest’s flagship, Fortescue Metals Group, which hit another record high of $41.08 yesterday, Niagara Mining has also enjoyed a stunning share price run.
Not that Mr Kiernan is short of supporters himself.
The serial director, whose interests include Territory Resources, Monarch Gold and Uran, is the biggest individual shareholder in India Resources, with a stake of about 6.2 per cent.
PETER KLINGER

 

[alankew]

Kauri did the article give a breakdown of the total holding of all the top 20.Recently got onto ZNC in snother ipo and the top20 held about 70% and this really boosted the price in the 1st few days.Thanks in advance if you have the info

 

[Kauri]

Kauri did the article give a breakdown of the total holding of all the top 20.Recently got onto ZNC in snother ipo and the top20 held about 70% and this really boosted the price in the 1st few days.Thanks in advance if you have the info

Have attached the top 20 holders... also have attached the top 20 option holders... note that some holders hide behind nom accounts etc..

 

[adobee]

MEDIA RELEASE 17 JULY 2007
INDIA RESOURCES TO COMMENCE PRODUCTION EARLY 2008 -
MARKET UPDATE
Diversified minerals developer India Resources (ASX:IRL) is on track to commence copper production
in the first quarter of 2008,

 

[Pommiegranite]

I have just bought a position in this stock. The fundamentals appear to be excellent. With so much of my portfolio still in the exploration stage, I wished to add a near producer. IRL fits the bill.

They have many projects in India, where operating costs are much less that other countries. For our lady investors, they also have Diamond appeal!

Any comments on the fundamentals or chart which I have added?

INDIA RESOURCES LTD (IRL)


CAPITAL STRUCTURE

Shares - 16,200,000
Options - 10,831,200


Total Diluted Market Cap

@ 0.325 - $43,925,700


DIRECTORS

Michael Kiernan - Executive Chairman

Over 30 years experience in manganese, chromite, iron ore, nickel, gold, coal and copper/zinc projects. Founding Managing Director of the diversified minerals producer Consolidated Minerals.

Eoin Rothery - Managing Director

Extensive experience includes three world class mines Jundee, Broken Hill and McArthur River together with vast international and diverse geological environments. Has track record of significant exploration success particularly in manganese, gold and zinc discoveries. Previously held the position of General Manager Exploration with Consolidated Minerals Limited.



MEDIA

Resource Stocks Magazine: http://www.indiaresources.com.au/files/India_Riding_the_Next_Wave.pdf




PROJECTS


Surda Mine – Copper + Nickel, Molybdenum, Cobalt, Gold, Silver & Uranium

Production – Q1 2008 - Target - 4,500 tonnes of copper concentrate pa

The Surda Mine is located in Jharkhand State within the Singhbhum Mobile Belt of eastern India. The Singhbhum belt comprises a 200km long, east-west trending arcuate belt of folded supracrustal rocks, overlying the northern margin of the Singhbhum-Orissa Craton. The belt is host to a number of mineral deposits and existing underground copper mines.

The Surda Mine is part of the Indian Copper Complex, a group of six mines owned by HCL that operated between 1928 and 2003..

The Surda Mine represents an early opportunity for IRL to access and evaluate a producing copper operation in India, with significant potential based on historical production figures of 8,986,348 tonnes at 0.95% Cu.



Hindustan Copper Limited - Exploration MOU

IRL has the benefit of a Memorandum of Understanding (MOU) for general exploration on HCL’s various leases including tenure around the Surda Mine and around HCL’s current operations at Malanjkhand and Khetri. IRL will undertake detailed evaluation of exploration areas to be determined in consultation with HCL.
To ensure cost effective and quality exploration drilling, IRL intends to engage Swick Mining Services Limited who are renowned as competent and experienced Western Australian drilling contractors with nearly 50 years of operation


Aravalli Base Metals – Zinc, Lead & Copper

IRL has acquired the Aravalli project which is an advanced exploration asset in a recognised zinc-lead-copper mineralised region with three operating mines. The project consists of two Reconnaissance Permits (RPs) in Rajasthan (North-Western India) including Relmagra, 1905 sq km area 50km north-east of Udaipur and Nasirabad, a 670sq km area 20km south-east of Ajmer.
As per recent company announcement – drilling ramped up and to commence August 2007

The total strike length of the anomalous mineralisation trends within our Reconnaissance Permits amounts to a minimum of 50 km.

Relamagra RP
The Relmagra RP lies within the Bhilwara belt. Lead-zinc deposits occur throughout the belt, hosted by calc-silicate bearing dolostones and graphite-mica shchist horizons.
The prominent feature of the Relmagra RP is the operating zinc-lead mine at Rajpura-Dariba in the centre of the lease, on an excised mining lease.

Nasirabad RP

The Nasirabad RP lies within the Delhi belt with the major deposits of Kayar and Rampura Agucha located 20km North East and 40 km South of the RP. These are lead zinc, but the main potential in the Nasirabad RP is copper as there are several known occurrences in close proximity, all appearing to be associated with the major shear zone that separates the Delhi belt in the northwest from the Bhilwara belt to the southeast.


Diamonds

The Company’s diamond initiative will focus on the Bhandara Diamond Project which is made up of seven granted reconnaissance permits in Orissa, as well as three reconnaissance permit applications in Chhattisharh.
The strategic interest in diamonds is underpinned by the fact that India has the world’s biggest diamond processing industry and major diamond companies including De Beers, the world's biggest diamond miner are active in the country and has an active exploration program underway on ground adjacent to one of India Resources’ tenements.
The company’s diamond exploration activities are focused on three project areas, Bhandara, Dhawar and Bundelkhand, located in three established diamond-bearing kimberlitic fields in peninsular India.


Coal

IRL is currently holding discussions with Cooks’ Constrcution Pty Ltd, Australia’s largest privately owned earth moving and mining contracting company with extensive coal mining experience, with a view to establishing a joint venture. It is intended that any resulting joint venture entity would apply for rights to explore and develop coal projects in India.
With an increasing coal demand that outstrips the supply, India is seen as having big coal mining potential for foreign companies



CHART


After spiking upon listing, this stock has suffered a gradual sell off over the last month for non fundamental reasons. With 3 consecutive updays, I have now taken a position, as I see this as the beginning of a reversal.

 

[sharemadder]

With this company going into early production in 1st quater of 2008 this has to be very much undervalued. Low shares on issue and still low market cap. I'm mistified why?

 

[sharemadder]

This is a sleeping giant

MEDIA RELEASE 17 JULY 2007
INDIA RESOURCES TO COMMENCE PRODUCTION EARLY 2008 -
MARKET UPDATE
Diversified minerals developer India Resources (ASX:IRL) is on track to commence copper production
in the first quarter of 2008, with promising geological analysis of historical mine data at its primary
Surda project, and refurbishment of the plant continuing ahead of schedule.
India Resources Chairman Michael Kiernan said several high grade zones had been identified which
are now the target of further testing.
“Production is expected to commence in the first quarter of 2008 with the review of the Mosaboni
concentrator plant at the Surda mine now complete and refurbishment underway,” Mr Kiernan said.
“We have hit the ground running from our ASX listing last month and have also gathered a clearer
understanding of the Surda mine area, with several high grade zones identified which we will
selectively target for exploration and mining.”
The Mosaboni concentrator, which is where the Surda copper is processed, has a total annual
capacity of just over 900,000 tonnes of ore.
For the six years prior to its closure in 2003, the Surda mine produced 1,473,000 tonnes at an
average grade of 0.9% copper. IRL, in alliance with Hindustan Copper Limited, has an annual
production target of 4,500 tonnes of copper metal in concentrate.
The company advises it is also ramping up exploration at its Aravalli base metals project, which is
being targeted for copper, lead and zinc deposits. Geological Survey of India (GSI) summary reports
have identified highly prospective areas within the Relmagra Reconnaissance Permit. A drilling
program is aimed to commence in early August.
Mr Kiernan said development of these and other projects in India would allow shareholders to
capitalise on the huge potential of the India resources industry.
“We believe that investors have a great opportunity within this sector – India has world class ore
bodies with others yet to be discovered. India’s resources industry is relatively underdeveloped using
modern exploration and mining techniques,” Mr Kiernan said.

 

[Spaghetti]

This stock caught my eye after reading following article in mining news. Smallish volume but seems to be headed in the right direction after a slump.

INDIA Resources' Surda copper mine is expected to be in full production by December, several weeks ahead of schedule, after the first 900 tonnes of ore was raised.

The company said refurbishment work at the mine, which closed in 2003, was well advanced and the concentrator should be operational next month.

Earlier estimates stated the mine would ramp up to full production early next year but India Resources chairman Michael Kiernan said the project was progressing well.

"With more than 200 people on the ground in India, we are making great strides towards completing the refurbishment of the mine and the Mosaboni concentrator plant," he said.

Kiernan said the company was also exploring potential expansion opportunities in India with its alliance partner Hindustan Copper and has been short-listed amongst bidders for the Banwas project, which will be tendered in November.

Surda produced more than 1.47 million tonnes at an average grade of 0.9% copper during its six-year life to 2003 and the refurbished mine has a production target of 4500 tonnes per year.

The company has selected two initial mining targets which are estimated to contain between 5-600,000t averaging about 1% copper.

The concentrator has a capacity of about 900,000t ore and the initial production at Surda is projected to be 450,000t, which the company was hoping to eventually double.

Shares in India were up another 1c to 23c in morning trade, after closing 1c higher yesterday.

http://www.miningnews.net/storyview.asp?storyid=118953&sectionsource=s0

 

[Spaghetti]

Wow, sorry should have posted earlier, has taken off just in the last little while. Up 17% all of a sudden.

 

[gilbertw]

I hold this stock and I believe the SP will continue to surge over the next few months as copper production comes on stream. Top management, top projects and diversified, located in India should mean low costs of production too.

I predict the SP will be $1 by the end of January. Producing in december...

What is interesting is that I have not heard one bad comment about this company... everyone is positive and why not...

Good shareprice rises lately on the back of a strongly rising ASX and production announcements...

Time to sit back and watch this one roar over the medium term I think

 

[doctorj]

I predict the SP will be $1 by the end of January. Producing in december...

Any chance of some support for that number (technical or fundamental) please?

I don't mind the look of IRL, but it wouldn't surprise me to see a placement later in the year to get them over the line at their copper project and to get some of their other things cracking.

 

[sharemadder]

Rough numbers to support $1 SP by Xmas

Any thoughts?

With initial production of 450,000 tonnes of Ore a year through the concentrator what will SP be worth?

Very Basic Calcs

450,000 tn * 1000 kg * 2.2 (lb conversion) * 1% Cu grade (assume full extraction) * $3 lb for Cu = US$29,700,000 Gross

Double that when they get the concentrator to 900,000 tonnes production plus then further upgrades.

With shares outstanding of 81,789,065 I expect we will see $1 + soon especially towards December when mining is expected to be in full swing.

Then there's more with the large number of other leases / projects such as diamonds in India which they intend to begin exploration soon.

I think IRL has huge potential over next 12 months. Strong management in Aussie and strong backing from Indian partners.

 

[doctorj]

Doesn't the indian government have a share in the project?

Any idea what their costs might be? Recovery rates?

 

[sharemadder]

[FONT=Arial,Bold]About India Resources[/FONT]​

The company is headquartered in Perth, Western Australia with the primary objective to maximize shareholder wealth by capital growth and dividend through the discovery of economic mineral deposits and the development of profitable mining operations.​

IRL is applying Australian exploration expertise and cost effective mining techniques to project in India, to capitalise on country huge growth and market opportunities.​

The Company’s portfolio of assets comprises:​

Hindustan Copper Limited - Surda Mine​

The Company has the benefit of an alliance with Hindustan Copper Limited (HCL - a Government of India enterprise) with the initial focus on identifying existing operations and areas where large-scale mineralisation has been proven. HCL is the sole integrated producer of primary copper in India and is listed on the Mumbai, Delhi, Kolkata and Madras exchanges.

IRL, in alliance with HCL, plans to re-open and operate the Surda Mine with an initial objective of delivering annual production of 4,500 tonnes of copper concentrate. The HCL Surda Mine closed in January 2003 and for the six years prior produced a total of 1,473,000 tonnes at an average grade of 0.9% copper.​

Hindustan Copper Limited – Exploration MOU​

IRL has the benefit of a Memorandum of Understanding (MOU) for general exploration on HCL’s various leases including tenure around the Surda Mine, and around HCL’s current operations at Malanjkhand and Khetri. IRL will undertake detailed evaluation of exploration areas to be determined
in consultation with HCL.​

Aravalli Project​

The Company has acquired two Reconnaissance Permits in Rajasthan (north western India). The permits cover a combined total of more than 2,570 square kilometers. The Aravalli Proterozoic metamorphic belt is prospective for copper, lead, zinc as well as gold. IRL has recently completed a reconnaissance drilling program with positive results.​

Coal​

As has happened in China, India’s rapidly growing economy is driving a surge in demand for power. IRL is currently seeking suitable projects for rights to explore and develop coal projects in India.​

Diamonds​

The Company’s diamond initiative will focus on the Bhandara Diamond Project which consists of seven granted Reconnaissance Permits in Orissa, as well as three Reconnaissance Permit applications in Chhattisgarh, located in the region of several kimberlite ore bodies.​

Visit: www.indiaresources.com.au

 

[PBH]

This one is not without risk;

From the financial report: "The Directors are in the process of assessing various options for the raising of sufficient
additional equity funds to enable the Group to meet its commitments under the HCL agreement and
other operating commitments. The Directors’ expect to have raised the additional equity funds prior
to 31 December 2007.
Should the Directors’ not be able to raise sufficient additional funds, there is significant uncertainty
whether the company and the consolidated entity will be able to continue as a going concern and
therefore whether they will be able to pay their debts as and when they fall due and realise their
assets and extinguish their liabilities in the normal course of business and at the amounts stated in
the financial report".

Will be interesting to see how the fundraising goes...

 

[rafsanjani]

Pretty positive note on future copper demand in India --- not a bad place to be producing copper

http://www.commodityonline.com/news/topstory/newsdetails.php?id=2977

2007-10-04 13:49:48

India’s copper use to go up in a big way
Commodity Online
MUMBAI: With an infrastructure boom looming large over the country, India is set to witness a big leap in the consumption of copper in the coming days.

According to reports, India will see its copper consumption going up by around 10 per cent compared with the world average of 4.56 per cent.

The government’s rural electrification plan coupled with the urbanisation of semi developed cities are likely to drive copper demand over the next decade.

Currently, India consumes approximately 6 lakh tonnes of copper with a per capita consumption of 0.4 kg.

The Chinese average for the same is 2.6 kg and the developed country average is 15 kg. The country produces approximately 8 lakh tonnes of copper, with secondary copper accounting for 25 per cent.

With the demand for energy increasing with urbanisation, the power and electronics industries are likely to attract more and more investments towards the end of the 11th Five Year Plan, which requires an additional capacity of 100 gw.

Currently, with an existing capacity of 124 gw, the country faces a shortfall of 7.3 per cent and a peak load shortfall of 11.7 per cent.

The power sector’s consumption of copper will remain high as the energy demand is estimated to grow at 6-7 per cent annually.

 

[Miner]

I am afraid as the share price has remained sluggish and never crossed the price it traded immediately after listing and only soft announcement of gettnig lease of diamond etc with no positive inclination how it will ensure - it could be a dodgy investment for many.
The option price is going disproportionate with share price considering it was a freebie when the share was listed.
ANy one has a concrete other than those soft announcement to suggest the share price will really touch 50 cents before Dec ?

Regards

Miner

 

[Rimtalay]

www.minesite.com
October 17, 2007

Mr Kiernan Goes to India Hand-in-Hand With Hindustan Copper


By Our Man In Oz



Take your eye off the ball in sport or business and someone else will seize it. Australia learned that last week when it’s old enemy, England, took its opportunities to score a famous rugby victory. Consolidated Minerals, a business which has had its attention diverted by multiple takeover bids and time-consuming defence is now watching one of its enemies seize the day in India. Michael Kiernan, one-time chief executive of ConsMin has picked up a ball dropped by his former company to create a new business based initially on an old copper mine near Calcutta. First ore was hauled to the surface by the aptly-named India Resources at the Surda mine three weeks ago, and first copper concentrate should be produced early in the New Year. It’s not a big project, and Kiernan is keen to keep a low profile in a difficult country, but it is a project with considerable potential, and it is a project which his old firm dropped which adds to the interest.
The Surda opportunity, which involves a joint venture with India’s dominant copper producer, Hindustan Copper, was originally designated within ConsMin as its “Indian initiative”. The plan was to apply geological and mining knowledge gained in Australia to the conditions found in India. As all geology students learn in their first year, India, Australia and Africa, were once joined in the giant southern super-continent known as Gondwanaland. It’s this geological link which largely explains why similar mineralisation is found in Australian, India and South Africa – iron ore, diamonds and gold being commodities which bring the regions together.

Geology might be the link, but politics is the difference. Australia is an easy place to explore and mine. South Africa, with its race issues, somewhat harder, and India, courtesy of a civil service designed by Sir Humphrey Appleby of Yes Minister fame, all but impossible. ConsMin discovered this three years ago when it made little headway with its India Initiative despite Kiernan egging things along. When management and ownership issues swamped ConsMin it dropped the plan, only to watch Kiernan, who has been stalking his old firm with an eye on revenge as much as profit, swoop in to claim the deal, and strike a novel business arrangement with an Indian partner.

“One thing I learned about doing business in India is that you must have local involvement, and a local partner,” Kiernan told Minesite. To that end, he appointed a senior local representative and teamed up with Hindustan Copper. Their plan is to re-open Surda, which last produced in 2003, and target initial annual production of 4,500 tonnes of copper in concentrate. This material will be acquired by Hindustan at what is believed to be a substantial discount.

How big a discount is a secret. However, Minesite’s Man in Oz reckons that a casual observer wouldn’t be far off the mark to assume a discount of somewhere between a 33 per cent and a 50 per cent of the London Metal Exchange copper price on that initial 4,500 tonnes, a contribution which might best be seen as the “entry fee” India Resources must pay to do business in a complex country. Once up an running Kiernan is confident that India Resources will be accepted as a useful contributor. It is, for example, expected that the introduction of highly-efficient Australian mining techniques, will quickly get Surda’s output above the start-up target. Copper produced above the 4,500 tonne mark is likely to receive the full LME price.

Details are yet to be fully revealed, but there is little doubt that India Resources is off and running. A few days ago the company announced a fresh A$20 million capital raising pitched at A20 cents a share. Kiernan said the funds would be partly used to expand Surda. “We are now on the cusp of full time mining at Surda,” Kiernan said. “Refurbishment work on the mine and the associated Mosaboni concentrator is nearly complete, with a team of more than 200 people on the ground making great strides, and all key plant and infrastructure in place or on order.” Kiernan said India Resources was also continuing a strategic exploration programme on a range of commodities throughout India, to capitalise on the largely undeveloped potential in the country.

Kiernan’s plan for India is to avoid setting himself up as a big target, no small feat for a big man. He told Minesite that he has watched bigger Australian companies go to India with the same geological theory in their briefcase, and fail miserably. “India isn’t an easy market, but neither was China when we started doing business there,” Kiernan said. “But, if you can find a way into the economy the opportunities are enormous. The lights blinking in New Delhi are an obvious sign that coal is an excellent exploration target for us. Diamonds are another opportunity which is coming our way.”

There is no attempt by Kiernan to hide the fact that his India Initiative is a direct pinch from ConsMin. The board structure of the India Resources says as much with Kiernan joined by Allan Quadrio, Andrew Simpson, and other ex-ConsMin executives in much the same way as this team can be found at Territory Resources, a Kiernan-led iron ore miner in Australia’s Northern Territory. The typical straight talking Kiernan said of India that he was “not betting the farm, just a paddock”. The plan is to be opportunistic and to prove that Australian expertise can “dig and deliver” in a way which is faster and cheaper than traditional Indian methods, and to work closely with partners such as Hindustan Copper. “It’s really a work in progress,” Kiernan says. “But it’s showing a lot of potential, especially as India moves to free up its economy to overseas investment.”

On the market, Australian investors are starting to show an increased awareness of Kiernan’s India play, despite a traditional reticence when it comes to foreign destinations. Over the past few days as news of Surda’s production start and expansion plans filter through the share price of India Resources has crept marginally higher. From around A21 cents in late September the stock is now trading around A23.0 cents cents, which values the entire company at a very untaxing A$12 million – which Kiernan might note is about the price of a paddock on a good farm these days. (Must be a bloody big paddock! Ed)

 

[Jack_Junior]

Hi all,
Does anyone have any up to date news on IRL?
I hold a solid amount of this stock and would have thought that they were a good chance of getting back to somewhere around the 40 cents or so they first listed at as all the documented news on them has been positive but the share price has dropped a little over the past month or so and I would have thought that it may be on the move with the commencment of production at Surda not far off.

Any info not found on the IRL website would be much appreciated

Cheers