MMN - Macmin Silver

[explod]

I think a lot of 'babies' got thrown out with the bath water over the last few weeks, MMN being one of them. Deeply oversold, now making up for lost time.

Well Uncle, it is on the way back now, low volume yet but the selling is drying up which is always a healthy sign.

 

[greenfs]

The graph on this one is looking brilliant. I will now do my research and consider a first time buy of this stock.

 

[bean]

View attachment 13045

The graph on this one is looking brilliant. I will now do my research and consider a first time buy of this stock.

Macmin yes an excellent Silver play. Please remember Silver is a very small market and the price of silver can really move which may effect the price of the stock. Silver is going a lot higher.

The following link has several article at the bottom of the page
under the heading

Timeless Articles on the Precious Metals Bull Market from FSO's Jim Puplava since 2002

http://www.financialsense.com/metals/main.htm

Should all be read so you get a good understanding on the Fundamentals behind buying a silver stock.

If the price of this stock drops it will get back and higher than this price

 

[explod]

Yes Bean, I have liked MMN for some time after talking to locals near the mine about a year ago. A good move on the chart today, and interestingly, in the last twelve months it has stayed near to the movements in the silver price.

 

[explod]

Sorry about that I posted MMN as 6 months, dont know how to change but here we go again.

......................................................................................................

 

[doogie_goes_off]

Latest financing - what will be the effect?

Lets say they achieve 160,000 oz / month

At the measured level for heap leach (presumably the best economics) they have roughly 3oz/t silver. Thats ~55,000t a month. They have 1300000t measured at this grade so after 24 months this "hypothetical stockpile" is gone. If they could achieve this with the money at hand ($9M for production cost and ancillary exploration) they make $1.92 (around $2) Million/month for 24 months or $50 Million, presumably their production cost would be a bit bigger than that (reagents, machinery and staff) so say $30 Million in 2 years. Presumably lots of the indicated resource will be upgraded/drilled out so we may be able to double this figure. That'll cover the convertible notes 5-10 fold and leave them with cash in the bank.

The net result is share price up today and if the EPA provide the green light another 10% + rise could be on the way, I hope they keep everyone informed of progress.

*note - uses $12 for silver (low) and US$ quoted here

 

[Jimminy]

have had recent dealings with some staff there. They tell me they are beginning to employ more staff and will be employing more in the near future; for the silver mine five minutes east of Texas.

Things will begin to ramp up shortly there.

 

[Real1ty]

COMPANY OPERATIONS UPDATE​

TWIN HILLS MINE
Silver Powder Production
Silver powder production for November was 10,400oz and production to date in December is 32,500oz. Production is significantly higher to date in December, due mainly to the continuous shift operation introduced for the electrowinning plant in late November. There is 41,800oz of silver powder in storage.
Production is expected to increase as irrigation is extended to cover the remainder of the current 150,000 tonnes on the leach pad and take a step up when a higher rate of crushed ore becomes available from the upgraded crushing circuit.

Process Improvements
A Merrill Crowe plant is required for extraction of silver from the leachate solutions once the level of contained silver falls below the efficient operating range of the electrowinning plant.
Construction of a modular plant by the Company will commence in January. Once the first module has been commissioned additional modules will be constructed as required.
The estimated cost of the first module is expected to be approximately $150,000.

Mining and Leach Pad Construction
Mining operations are currently in advance of crushing, with stockpiles of 95,000 tonnes on the crusher run-of-mine pad and 109,700 tonnes of material on the low grade pad at the end of November.
This has enabled items of mining equipment to be utilized in earthworks for construction of the next leach pad area to the west of the current pad and ponds.
This next pad area will have the capacity to hold approximately 400,000 tonnes of agglomerated ore.The pad area and associated drain launders to the existing storage ponds will be lined with high density polyethylene and ready to receive stacked ore by the end of March 2008.
Current crushing production is being placed on the existing pad which has a capacity to hold an estimated 200,000 tonnes on its first lift of 8m high.

Crushing Circuit – Upgrade Stage 1
A contract for installation and operation of additional screening capacity consisting of a 6m by 2.4m three deck screen and six transfer conveyors has been awarded and includes the provision of an experienced crushing supervisor.
The supervisor is expected to arrive in January 2008. However, due to a heavy workload, the contractor now estimates that the current upgrade may not be completed before 15 May 2008 although every effort will be made to complete earlier.
The additional screening capacity will extract more fine material (less than 4mm) between the existing jaw and cone crusher for sending direct to the agglomeration and stacking stage.
This is designed to increase overall throughput and reduce wear and cost in the later stage of vertical impact crushing equipment which is currently exacerbated by recirculation of excessive fine material.
An additional benefit of the increased screening capacity will be the ability to increase the density of blasting patterns to produce more fines during blasting which will reduce the load on the crusher capacity.
The contractor’s supervisor will monitor and oversee the performance and maintenance of the entire crushing circuit and recommend further improvements and refinements which can be made once the impact of the first stage upgrade is assessed and quantified.

EXPLORATION AND PROJECT ACQUISITION
As mentioned in the last update, the Company continues to increase its interest in silver/zinc/lead projects throughout Queensland to provide for future advancement and expansion of operations.
This strategy underpins the long-term focus of the Company to seek out high quality silver resources for development.
The following provides a summary of recent changes in the Company’s exploration tenement interests.

Central Queensland
Tally Ho Project
Exploration Permit for Minerals 15168 (EPM15168 – Connors Range), (ASX releases dated 9th May 2006 & 13th September 2006) was granted on 16 November 2007. The Connors Range EPM surrounds the recently drilled Tally Ho silver prospect and covers the south-eastern portion of the Tally Ho Intrusive Complex (THIC).
The grant of the Connors Range EPM paves the way for continued exploration along strike (in both directions) from the already identified mineralization of the Tally Ho Silver prospect.

Further drilling targeting a number of along strike positions and areas adjacent to the already identified mineralization is planned for the first half of 2008.
A second Exploration Permit for Minerals (EPM15775 – Denison Creek), which covers the northern portion of the THIC and adjoins EPM15168, was granted on 30 October 2007. This EPM had been previously been referred to as ‘Pisgah’ in an ASX release dated 13th September 2006.

The grant of both the Connors Range and Denison Creek EPM’s allows Macmin to undertake regional exploration of the THIC, which we believe could host additional previously unidentified Intrusive Related Mineralising Systems.

Mt Scott Project
Exploration Permit for Minerals 15854 (EPM15854 – Mt Scott) was first mentioned in an ASX release dated 13th September 2006.
Subsequent to our initial positive results from drilling at the Tally Ho silver prospect, a review of the available literature identified a number of prospects (Mt Scott, Mt Scott South and Kelvin’s) associated with the Mt Scott Granite which are described as having similarities to the Tally Ho mineralising system, and have seen little to no follow-up exploration.
The Mt Scott EPM covers these prospects and an initial field inspection will be undertaken in early 2008, with a view to planning follow-up exploration as appropriate.
In addition to the regular quarterly reports, the Company will continue to provide operations updates as progress is made.

http://www.macmin.com.au/

 

[Warpspeed]

Latest financing - what will be the effect?

As long as they can hold their own at this stage and cover cash costs, and not dilute the shares any more. All we need to do now is wait. Eventually silver will pass $20, $30, who knows....

Income will rise steeply once silver slips from the manipulators grasp, without having to scale up production by as much as it might appear at this point.

 

[explod]

As long as they can hold their own at this stage and cover cash costs, and not dilute the shares any more. All we need to do now is wait. Eventually silver will pass $20, $30, who knows....

Income will rise steeply once silver slips from the manipulators grasp, without having to scale up production by as much as it might appear at this point.

I have a Brother-in-law living at Upper Coomera, which is nearby and we have been keeping tabs on this mob. I think that MMN is one of the great bargains among small caps, no soverign risk like many and into increasing production of a resource that is going up.

 

[Real1ty]

Mineral Resources : Concept to Development
MACMIN SILVER LTD
(A.B.N. 53 056 776 160)
P.O. Box 7996 Telephone: (07) 5592 2274
Gold Coast Mail Centre Facsimile: (07) 5592 2275
Queensland 9726 Email: info@macmin.com.au
AUSTRALIA Internet: www.macmin.com.au
21st December 2007
Dear Shareholder / Optionholder,

INITIAL ADVICE OF NON-RENOUNCEABLE RIGHTS ISSUE​

Macmin Silver Ltd (Macmin) is pleased to inform you of its non-renounceable Entitlements Issue (Issue) to raise up to a maximum of approximately $18.5 million.
The purpose of the issue is to allow the Company to pursue its objective of consolidating its unique position as the premier silver focused company in Australia. This will be done by upgrading of the Twin Hills Silver Mine as well as undertaking exploration and acquisition activities to increase the silver resource base of the Company.

The Entitlements Issue​

Macmin is making a non-renounceable Entitlements Issue of up to aproximately 92.4 million fully paid ordinary shares at 20 cents per New Share. Every two New Shares will be accompanied by a free New Option exercisable at 25 cents on or before 30 October 2008.
If fully subscribed, the Issue will raise up to a maximum of approximately $18.5 million.
The offer does not require shareholder approval.

Shareholders registered or entitled to be registered at 5pm Australian Eastern Standard Time on 3 January 2008 are offered 1 New Share for every 5 Shares then held, at an issue price of 20 cents per New Share.
The “ex” date for entitlements is 27 December 2007, therefore shares purchased after 27 December 2007 will not provide the buyer with entitlements in the Issue.
Where fractions arise in the calculation of entitlements, they will be rounded up to the next whole number of New Shares.
Entitlements will be shown on the personalised Entitlement and Acceptance Form which will accompany the Prospectus when it is mailed to shareholders. Shareholders may apply for New Shares and New Options in excess of their
entitlements.
The New Shares and New Options will rank equally in all respects from the date of issue with existing ordinary securities (MMN) and quoted options (MMNO) respectively.
There are no entitlements to New Shares for options currently held.
An Optionholder who exercises options and becomes registered as the holder of the shares issued on exercise of the options by 5pm on 3 January 2008 will be entitled to participate in the Entitlements Issue in respect of those
shares.

http://aspect.comsec.com.au/asxdata/20071220/pdf/00798169.pdf

 

[refined silver]

This should start to put a fire under MMN shortly. Silver has quite a bit to go to catch up with gold.

 

[Warpspeed]

Yes, silver is doing great, but.....

Macmin have effectively capped the share price with this new entitlements offer at least until the end of January.

Not many existing MMN shareholders are going to pay much more than twenty cents for Macmin now, until this entitlement offer closes.

 

[refined silver]

Yes, silver is doing great, but.....

Macmin have effectively capped the share price with this new entitlements offer at least until the end of January.

Not many existing MMN shareholders are going to pay much more than twenty cents for Macmin now, until this entitlement offer closes.

Exactly. With the free option, it makes sense to sell some existing stock to pay for the entitlement offer, even management have been doing that.

It was the same Nov 05 when about 80,000+ options expired and the share price held under 12c and then went to 45c as soon as they expired.

After 18 months, I can wait another 2 weeks...

 

[Flying Fish]

Does any one know if the recent very heavy rain falls in Queens land will affect the macmin silver production? Will this have an effect on there process and transport? Did the rains miss them? thank you

 

[Boyou]

FF. I just checked the rainfall stats on Bureau OF Meteorology site and Texas,which is the closest population cntr to the Twin Hills Mine has had only 25 mm total for the month.
Looks like they are still waiting for the drought to break in that part of the world..so no disruption to production ,at least from the weather.
On the subject of MMN silver production .I did read that their silver powder is "slightly " contaminated and thus makes it unsuitable for some purposes. Perhaps this is a handicap going forward ,if other producers don't have this problem.
I hink it has something to do with their refining process.Any comments from the wise owls of silver?

Hi Ho

 

[grace]

Does any one know if the recent very heavy rain falls in Queens land will affect the macmin silver production? Will this have an effect on there process and transport? Did the rains miss them? thank you

My relatives own the neighbouring property, and it would have to rain for 40 days to flood......it never does that. My relative works for the mine too. Interestingly, they are buying some of my rellies land for expansion purposes (I think more from infrastructure point of view). Might have to go fossicking when I visit next!

 

[refined silver]

Seems like a bit of chart-painting going on, although not sure why. The last two days have been after hours trades at subtantial discounts to the last traded price, plus this has been a bit of pattern for a while now.

Usually I'd say its shorts trying to paint-charts, to be able to cover. But there's been decent volume at low prices so they should have been able to do that, and the stock is already beaten down, so very little more downside to squeeze out. Maybe some brokerage or hedge fund angling for a private placement at a super low price?

The chart below doesn't show it very well, need to look at a tick by tick chart or the yahoo beta which I don't know how to save and paste.

 

[Warpspeed]

A new progress report for Macmin Silver, out now,

http://www.macmin.com.au/announcements/2008/index.htm#May2008

.

 

[doogie_goes_off]

I am really suprised the market has not reacted positively to the Imwauna gold resource 1.8Mt @ 12g/t Gold is a good quality resource, given the large shareholding in NGG I would have thought the market would appreciate the announcement a bit more.