MM8 - Medallion Metals

[System]

Medallion Metals Limited is a resources exploration and development company which owns two prospective West Australian projects with a major focus on precious and base metals.

The Company owns the Ravensthorpe Gold Project (RGP) and the Jerdacuttup Project (JP) (both prospective for precious and base metals) which are located in the Goldfields-Esperance region of Western Australia, approximately 550 km southeast of Perth and 185 km west of Esperance, the nearest deep-water port. The Company acquired the Projects from Silver Lake Resources Limited (ASX:SLR) in 2016 for $5.5 million.

The two Projects consist of 47 mining tenements (four Prospecting Licences, one Prospecting Licence Application, 22 Exploration Licences, five Exploration Licence Applications, 12 Mining Leases and three Miscellaneous Leases) which are 100% owned by the Company other than three Exploration Licences to which the Company has 100% rights to all minerals other than lithium and tantalum and one Exploration Licence Application held as to 80%.

The tenement holding stretches over 653 km² , with annual expenditure commitments of approximately $0.9 million per year and rents and rates of approximately $0.15 million per year.

The historic Kundip mining centre, which is the focus of RGP, consists of numerous mineralised structures which have sustained varying levels of exploration and mining activity over their history.

Since acquiring the Projects, the Company has:

• spent an additional $15.3 million on Mineral Resource definition drilling, regional exploration, testwork, studies, activities associated with environmental and statutory approvals and administrative expenses; and
• reported JORC 2012 Mineral Resources estimates at RGP over three adjacent deposits within the Kundip area (Flag Harbour View and Kaolin) and progressed permitting and completed a feasibility study in May 2020 for a proposed gold mine at Kundip that indicated robust economics for open pit and underground mining and processing of mined ore on-site.

The Company's primary aim is to become a gold producer at the Ravensthorpe Gold Project in the near to medium term.

It is anticipated that MM8 will list on the ASX during March 2021.

Medallion Metals - High Margin Gold In Western Australia

POISED TO TRANSFORM WESTERN AUSTRALIA’S GOLD AND COPPER LANDSCAPE Medallion Metals is on a pathway to transforming the landscape for gold and copper mining in Western Australia with its flagship Ravensthorpe Gold Project (RGP), located 550km southeast of Perth, at the strategic intersection of...

medallionmetals.com.au

 

[Dona Ferentes]

listing not locked in, as at today.. difficulty finding the money?

Listing date	12 March 2021 #
Company contact details	Medallion Metals - High Margin Gold In Western Australia Medallion Metals is a minerals exploration company based in Perth, Western Australia. The Company is focused on increasing the established resources at its 100% owned Ravensthorpe Gold Project (RGP), situated 550km south-east of Perth. Located in an historically proven mineral field, the... www.medallionmetals.com.au Ph: +61 8 6243 3990
Principal Activities	Mineral exploration and development
GICS industry group	TBA
Issue Price	$0.25
Issue Type	Ordinary Fully Paid Shares
Security code	MM8
Capital to be Raised	$12,500,000
Expected offer close date	12/03/2021
Underwriter	Fully Underwritten. Argonaut Capital Limited (Underwriter) and Argonaut Securities Pty Ltd (Lead Manger)

 

[Dona Ferentes]

listed on 22 March, but not really holding head above IPO. Volumes are paltry

 

[Faramir]

I am choosing MM8 for Yearly 2022 Tipping comp because Harrison Massey, Argonaut chose it in The Bull 13 Dec Buy Hold Sell

18 Share Tips – 13 December 2021

Jabin Hallihan, Morgans BUY RECOMMENDATIONS QBE Insurance Group (QBE) QBE underwrites and provides insurance products to customers across the globe. QBE has increased insurance rates over the past year, which is likely to increase margins and underlying profit into 2022. Pricing tailwinds are...

thebull.com.au

The flagship project of this copper and gold explorer is located at Ravensthorpe in Western Australia. The company has an existing gold JORC resource of 674,000 ounces, of which 80 per cent is indicated and 92 per cent is within 200 metres of the surface. Following an aggressive drilling program, we believe the company will be able to expand this resource above 1 million ounces by early 2022.

 

[Chilledpain]

Solid, conservative team with no pumpy announcements – just consistent results. ~$40m MC presently (I’d argue significantly undervalued considering their progress since listing). Trading at around original IPO price currently (~25c).
- Highly experienced management with proven previous successes in multiple ventures and plenty of skin in the game.
- Great jurisdiction being in WA (Ravensthorpe based) with Ravensthorpe airport close by (Ravensthorpe approx. 550km from Perth, hour & 20 min flight). Mining location is around ~17km away from Ravensthorpe town centre (adjacent to main highway). MM8 also own an 89 man mining camp in Ravensthorpe. Local community supportive of resources as demonstrated by Mt Cattlin (Galaxy, ASX:GXY) and Ravensthorpe Nickel Operations (First Quantum, TSE:FQM).
- Heritage clearance, permitting significantly advanced, ministerial statement obtained (commencement can proceed when ready). Granted mining studies.
- Initial PFS completed showing RGP project is technically & commercially viable.
- 700Koz gold resource @ ~2.4g/t looking to expand this to 1.5moz ultimately with infill drilling and further exploration of the project. Current resource is open at depth and strike meaning rapid expansion highly probable. As mentioned in recent interviews, there is old historical (non JORC compliant) resource estimates that have been documented by previous owners and MM8 is in the process of upgrading these resources to JORC compliant. Mineral Resource estimate to be announced March 22 and added to the existing JORC resource. Interestingly, 92% of the current resource was drilled to an average depth of 85m – this is very shallow considering the type of deposit. Substantial silver and copper credits (bonus). Their AOI has multiple target lodes that are all projected to intersect. If this turns out to be the case and they find the main zone, there’ll be a huge bonus as concentrations and widths would increase substantially in this area. (again, this would just be a bonus – they’ll get to where they want to go without it assuming existing results keep replicating)
- 32,000m drilling program underway to expand the resource – drilling outside the current known resource has been fruitful. Significant step outs and hitting decent grades. (Still haven’t found the edge of the resource indicating a very large system).
- Undervalued vs peers measured @ EV / Resource.
- AISC under $900 USD (profitable even with much lower gold prices)
- Mine establishment estimate at $85m.
- Additional Pb, Zn, Ag, Au owned tenement – either looking to spin this off or partnership with another miner. (JORC 2012 Mineral Resource of 5.6Mt for134kt Pb, 77kt Zn, 67kt Cu, 9.8Moz Ag &
162koz Au. 2011 DFS demonstrates technical and commercial viability at current prices) Book value on this alone is probably valued at close to their current market cap.
- MM8 recently divested some of their Nickel tenure to Nickelsearch (new IPO). The IPO appears to have closed early according to the Automic website which would indicate the raise was successful. Upon listing, MM8 will hold ~15% of SOI in Nickelsearch in which MM8 will give consideration to transferring ownership of Nickelsearch shares to MM8 shareholders via an in-specie distribution upon the conclusion of the 12 months escrow period.

 

[Faramir]

For January 2023 Tipping Comp, I am choosing MM8. I chose MM8 for the yearly comp of 2022 and it went down by only 30%. My other three picks lost much more. Therefore MM8 is my “winner” for 2022 ?.

If I didn’t looked through that second page on the yearly comp thread, I would not have known I picked MM8. (I sort of knew that I was performing badly but I guess that is part of choosing stock tips at random).

No input this time, just a chart.

 

[Dona Ferentes]

and with Medallion having a MC of $17M , this is a gamble ?

IGO entered into an exclusivity deed with Medallion Metals Limited that grants Medallion a period of exclusivity to negotiate a proposed transaction whereby Medallion will acquire the Cosmic Boy processing facility and associated infrastructure at the Forrestania Nickel Project, following the completion of nickel processing at Forrestania.

During the exclusivity period (being 9 months, with the ability to extend for up to a further 3 months), IGO and Medallion’s intent is to conduct due diligence, progress discussions and negotiate binding transaction documentation. IGO and Medallion also intend to negotiate on a non-exclusive basis the grant of gold and silver rights to Medallion across the Forrestania tenement package (subject to any pre-existing third party rights).

During FY25, IGO will transition Forrestania into care and maintenance. After 18 years of commercial nickel production from the Flying Fox and Spotted Quoll mines, Forrestania’s nickel reserves are approaching depletion. The opportunity to divest the valuable assets at Forrestania to another party, such as Medallion, would be a positive outcome for both IGO and Medallion.

Importantly, IGO will retain lithium and nickel rights at Forrestania.