MLM - Metallica Minerals

[UPKA]

That chinese grounp YTG also has abt 30% shares in YTC which is based in NSW. YTG has raised abt $150m in capital to expand overseas, now it looks like they r buying into small caps in Australia, looking for company that might strike on big resources. bt that $150m will only go to whoever got the most potential, so funding from the chinese is not guaranteed. js my 2 c

 

[ta2693]

I think MLM is going to have a very good future
reason,
1st coal tenement looks very promising, especially the small land near dalby. if 1165 and 1164 can find something. it is going to rock. I think they have a fair chance.
2nd 25m cok shares worth 23m
3rd 5m cash on hand
4th, bauxite's price is very strong now. $60+/ton
5th, CAPE has 34mt bauxite jorc. huge potential MLM holding 40% of CAPE. That is what I like. World class deposit.
6th, Ni project BFS says Ni project can bring in $680m in 10 years.
7th 35.5m 0.73% (Market cap 56m ) ni vs AGM 14mt 1.04%ni (market cap (837m) I do not think the difference is fair.

 

[Spineli]

I think MLM is going to have a very good future
reason,
1st coal tenement looks very promising, especially the small land near dalby. if 1165 and 1164 can find something. it is going to rock. I think they have a fair chance.
2nd 25m cok shares worth 23m
3rd 5m cash on hand
4th, bauxite's price is very strong now. $60+/ton
5th, CAPE has 34mt bauxite jorc. huge potential MLM holding 40% of CAPE. That is what I like. World class deposit.
6th, Ni project BFS says Ni project can bring in $680m in 10 years.
7th 35.5m 0.73% (Market cap 56m ) ni vs AGM 14mt 1.04%ni (market cap (837m) I do not think the difference is fair.

I listened to Andrew Gillies via the Boardroom radio call this morning, discussing what you have above + the fact that they wish to offload their coal projects which are contained within its 100% owned subsidiary 'MetroCoal' (7 coal deposits or so) into its own vehicle with separate management via an IPO in the first half of 2009.

Gillies mentioned that MLM would retain significant exposure to coal...any ideas as to what stake in the new entity MLM will retain??

He also mentioned they are closely following LNC/MEE and the CSG technology as it is developing.

 

[ta2693]

50m market cap for a decent coal company is just too cheap in current market. actually I do not know any.
COK 401m, mcc 4211m flx 3946 whc 1466.

 

[cooper208]

50m market cap for a decent coal company is just too cheap in current market. actually I do not know any.
COK 401m, mcc 4211m flx 3946 whc 1466.

If I may just add to your point of view. They also hold 25m COK shares and have several $m in the bank - so do the maths on the market cap of the actual coal. Never mind they have about 800k tonne Nickel jorc resource (which is actually the flagship project) and well the coal is valued at about $0.
I think they are still feeling the pinch of some ANZ opes selling. The stock isn't that liquid so they may have been having trouble offloading.

 

[YOUNG_TRADER]

I like em too Taa

Very high NTA, lots of projects, 2 IPO's on the way, strong Coal exposure yet to be caught on to


So much more

 

[Spineli]

My big concern with this Co. lies within their Nickel Focus via the NORNICO Nicket Project. I think they have made a good decision to list the coal assets separately, allowing for much greater attention to that part of their business.

My concern with Nickel projects has been reported on widely amongst the larger players e.g. BHP/RIO:

http://business.smh.com.au/nickel-fall-hurts-bhp-20080524-2hsg.html

Nickel fall hurts BHP -

"Nickel's decline to its lowest in almost two years may hurt BHP Billiton, the world's third-largest producer of the metal, more than its takeover target Rio Tinto.

Nickel makes up about 16% of BHP's profit and its slide may hold BHP back relative to mining companies such as Rio and Anglo American, London-based MF Global analyst Tobias Woerner wrote today in a report. Nickel for delivery in three months fell as much as 15% this week on the London Metal Exchange to $22,350 a tonne, the lowest since July 2006."

 

[JTLP]

I like em too Taa

Very high NTA, lots of projects, 2 IPO's on the way, strong Coal exposure yet to be caught on to


So much more

Is that the YT buy signal?

If so i'm waiting for the mad scramble today (being monday now).

 

[Sean K]

Fundamentally, looks very interesting.

Technically, I really like this chart for a potential breakout from the long term downtrend.

The bottom looks to be in, with clear support displayed. Just about to hit horizontal resistance at 60, and if cleared will take it out of the long term downtrend, and possibly an uptrend, where some good short term gains may be experienced.

 

[JTLP]

Fundamentally, looks very interesting.

Technically, I really like this chart for a potential breakout from the long term downtrend.

The bottom looks to be in, with clear support displayed. Just about to hit horizontal resistance at 60, and if cleared will take it out of the long term downtrend, and possibly an uptrend, where some good short term gains may be experienced.

Hmm MLM seems to be languishing around the 55 cent mark. Nothing worthy of note atm.

Still the sell side is stacked...and with ~680,000 at 60 cents, will need some nice ann to give it a roost!

How's the chart looking Kennas? (it's only been 2 days LOL)

 

[Sean K]

Hmm MLM seems to be languishing around the 55 cent mark. Nothing worthy of note atm.

Still the sell side is stacked...and with ~680,000 at 60 cents, will need some nice ann to give it a roost!

How's the chart looking Kennas? (it's only been 2 days LOL)

LOL. No change really. 60 looks to have formed up as a bit of a fence. Those sell orders are rediculous. Who does that? That is not how you sell something for the best price. I think capping. Or insanity.

 

[Sean K]

I'm a bit surprised this company has just a $50m MC.

NORNICO resource 35.5Mt @ 0.73% Ni for 259,000 tns of Ni, IGV $5.7b.
Aims to be producing 1Mt per annum for 7500 tn Ni = $16.5m revenue.
Capex/Opex?

Has 40% of Cape Alumina (bauxite) to be IPO'd in Q3 (will cureent holders get a discount bite?)

Lucky Break Ni JV (FMC 40% manager, MLM 60%)
Plans a 250K tn plant for 1600 tpa Ni = $3.5m gives MLM $2.1m revenue.

Coal (Metrocoal 100%) "Holds six granted coal tenements (EPC’s 1152, 1159, 1164 -1167) and one EPC Application (EPCA) 1251 (acquired during the March Quarter), covering over 4,000 square kilometres of coal bearing strata in the Surat and Moreton Coal Basins. The majority of the known coal bearing strata is within 100m to 300m below surface and is considered highly prospective for coal seams suitable for Underground Coal Gasification (UCG) exploitation, with potential for power generation and fuel production using Coal to Liquids (CTL) processing technology."

Other projects. A bunch:
Gold-Based Metals
Limestone - Lime
Scandium JV
Uranium JV
Zircon-Rutile JV

$5.8m in cash.
25m shares in COK = $20m ish.

With $25m in cash and investments, their projects are only valued at $25m...

And interestingly, Kagara Zinc hold 18.2% - takeover?

 

[JTLP]

Hi Kennas,

I'm pretty sure I remember reading in an MLM announcement something about the need to do a capital raising in the near future??? (don't quote me on that).

Perhaps TA(insert numbers here) and Young Jeezy (YT) can shed some light on this?

 

[laurie]

I think Andrew Gilles needs to do some selling of this company instead of talking about its flagship project,it's a dog chasing its tail syndrome this should be IMHO well over 80cents just on the coal side let alone it's other minerals

cheers laurie

 

[Spineli]

I think Andrew Gilles needs to do some selling of this company instead of talking about its flagship project,it's a dog chasing its tail syndrome this should be IMHO well over 80cents just on the coal side let alone it's other minerals

cheers laurie

Hence the proposed IPO of MetroCoal (7 or so tenements) during the first half of 2009. I agree with you on the need for some redirection. Nickel prices are falling, coal prices are rising, interest in coal projects has gone over the roof. Perhaps they can speed up the listing of MetroCoal?

 

[Sean K]

Hence the proposed IPO of MetroCoal (7 or so tenements) during the first half of 2009. I agree with you on the need for some redirection. Nickel prices are falling, coal prices are rising, interest in coal projects has gone over the roof. Perhaps they can speed up the listing of MetroCoal?

To get the IPO happening they need some hits in the current drilling campaign to show that there's some coal in the ground. If they do get some good results (should be out soon) then that should provide a significant boost and be able to push ahead with the IPO. Let's hope there's some coal there!! Looks prospective of course, but who knows with these things.

As metioned and shown in chart above 60 was a challenge, and it didn't have the steam. That 600K seller at 61 might have contributed. arrrrggghh! Has broken out of the short up trend and now looking at just sidways. Downtrend still looks over at this stage, unless 45 is breached again. eeeek! Hard to see that unless Ni goes completely pear shaped, and the coal drilling comes up with dirt.

 

[Sean K]

I'm a bit surprised this company has just a $50m MC.

NORNICO resource 35.5Mt @ 0.73% Ni for 259,000 tns of Ni, IGV $5.7b.
Aims to be producing 1Mt per annum for 7500 tn Ni = $16.5m revenue.
Capex/Opex?

Has 40% of Cape Alumina (bauxite) to be IPO'd in Q3 (will cureent holders get a discount bite?)

Lucky Break Ni JV (FMC 40% manager, MLM 60%)
Plans a 250K tn plant for 1600 tpa Ni = $3.5m gives MLM $2.1m revenue.

Coal (Metrocoal 100%) "Holds six granted coal tenements (EPC’s 1152, 1159, 1164 -1167) and one EPC Application (EPCA) 1251 (acquired during the March Quarter), covering over 4,000 square kilometres of coal bearing strata in the Surat and Moreton Coal Basins. The majority of the known coal bearing strata is within 100m to 300m below surface and is considered highly prospective for coal seams suitable for Underground Coal Gasification (UCG) exploitation, with potential for power generation and fuel production using Coal to Liquids (CTL) processing technology."

Other projects. A bunch:
Gold-Based Metals
Limestone - Lime
Scandium JV
Uranium JV
Zircon-Rutile JV

$5.8m in cash.
25m shares in COK = $20m ish.

With $25m in cash and investments, their projects are only valued at $25m...

And interestingly, Kagara Zinc hold 18.2% - takeover?

Still surprised this is hovering around $50c and an MC just a bit over $50m.

Just to expand on a couple of things mentioned above:

Metrocoal are targetting 1b tn of coal. Current drilling program underway. Seed financing found for IPO next year. MLM now have 87%. MLM shareholders will have an allocation set aside in the float.

Cape Alumina are targetting $250-300m revenue from their Bauxite project. MLM 40%. $100-120m revenue. Yesterday Cape A released an updated resource estimate, 100.8Mt @ 53.5%. Floating this year, same situ for current holders.

Check the Ni projects mentioned above and add in the value that Metrocoal and Cape provide for a $25m relative MC (less value of COK and cash).

Will be rerated eventually. I hope.

 

[Sean K]

Seems Cape Alumina need access through RIOs grounds. RIO, why not just buy CA? Wait till after it lists though please. Thanks!

Cape Alumina signs Pisolite Hills Project haul road
Initial Access Agreement with Rio Tinto Alcan

Cape Alumina will commence environment and cultural heritage surveys for a proposed haul road from the Company’s Pisolite Hills Bauxite Project across adjoining mining leases held by Rio Tinto Alcan on the Weipa Bauxite Plateau on western Cape York.

The first phase survey for a 34 kilometre haul road from Pisolite Hills to a barge loading point near Port Musgrave follows the signing of an initial access agreement with Rio Tinto Alcan.

 

[laurie]

I have been on since IPO and think its time for me to use the money else where, this is like watching a yoy-yoy going up and down the main problem is BROKERS not on their radar screen AG has been south trying to get some interest into MLM without success I think like me they are bored seeing the same graphs over and over

cheers laurie

 

[dj_420]

Hey guys

Just trying to find out some more details regarding the Cape Alumina IPO, how much of the float will be available to MLM shareholders? Is there a maximum uptake allowed and what is the record date to be on the MLM register?

Thanks for your help