PAN - Panoramic Resources

[The Triangle]

Pan back down to below $300 million market cap - From the quarterly these are the main points I picked up:

• Just over 150,000 tonnes mined
• 1.08% nickel (@80% recovery)
• 0.57% copper (@94% recovery)
• 0.06% cobalt (@86% recovery)
• Cash balance increased by about $3 million but they drew down $15 million in debt so again we have another WA based small miner burning cash.
• Low end of FY23 guidance is 6,600t Ni, 4,100t Cu, 400Co - So they aren't far off that with Q1 - but still need big improvement to swing cashflow positive in my opinion. The table below should be the concern for any shareholders or potential holders.
• Page 4 of the quarterly report also gives a picture of the mine - it looks very deep and looking to go deeper. Deeper = more expensive.

Obviously, all eyes on IGO now that they have picked up western areas and the western areas share in PAN and I think PAN will need more capital by January/February. Without that speculation of a takeover, I think PAN would be back below 10 cents.

 

[divs4ever]

i hold PAN ( substantially underwater )

am a little surprised this wasn't taken over along with WSA ( WSA held roughly 20% of PAN , so i suppose the WSA owner controls that stake now )

would IGO start forcing board/management changes , instead of a take-over ( sort of like the SVW-BLD relationship )

if IGO offers a scrip deal ( for PAN ) i would prefer that to cash ( just in case somebody at IGO monitors these forums )

 

[The Triangle]

i hold PAN ( substantially underwater )

am a little surprised this wasn't taken over along with WSA ( WSA held roughly 20% of PAN , so i suppose the WSA owner controls that stake now )

would IGO start forcing board/management changes , instead of a take-over ( sort of like the SVW-BLD relationship )

if IGO offers a scrip deal ( for PAN ) i would prefer that to cash ( just in case somebody at IGO monitors these forums )

Hate to rub salt.

Only 3 years ago this is what IGO offered for PAN. Those shares would be worth 1/13th of $15.53 or about $1.20 per share but instead they are worth $0.145. PAN incompetence? PAN looking after their own jobs over shareholder interests? IGO seeing the light and pulling out? Who knows... But it does serve as one of the many examples of why I usually dump 1/2 or more of my shares on the announcement of any takeover in any sector on any exchange.

Me thinks the PAN board would be smart enough to know they need to do what IGO wants (as they own 20%) otherwise they'll risk losing their seats. Also I suppose PAN is only about 2-3% the value of IGO. It might be at a point where IGO just doesn't care about PAN anymore like they did years ago. No matter what happens I'm sure PAN will find a way to screw this thing up for a 3rd or 4th time.

 

[sptrawler]

The only thing in PAN's favour, is the fact they are actually producing and processing concentrate, so if IGO has plans of developing a joint battery production facility, they may be interested.
Otherwise PAN has to substantially increase their output and recovery rates, 1% is very low.
Just my opinion

 

[divs4ever]

Hate to rub salt.

Only 3 years ago this is what IGO offered for PAN. Those shares would be worth 1/13th of $15.53 or about $1.20 per share but instead they are worth $0.145. PAN incompetence? PAN looking after their own jobs over shareholder interests? IGO seeing the light and pulling out? Who knows... But it does serve as one of the many examples of why I usually dump 1/2 or more of my shares on the announcement of any takeover in any sector on any exchange.

Me thinks the PAN board would be smart enough to know they need to do what IGO wants (as they own 20%) otherwise they'll risk losing their seats. Also I suppose PAN is only about 2-3% the value of IGO. It might be at a point where IGO just doesn't care about PAN anymore like they did years ago. No matter what happens I'm sure PAN will find a way to screw this thing up for a 3rd or 4th time.

View attachment 148624

the drop from my 'averaged-down ' SP of slightly under 50c has rubbed in PLENTY of salt

bought from July 2011 ( @ $1.77 ) down to a low of 28.5 cents May 2013 and a final parcel at 35 cents in November 2019 ( possibly hoping for an in specie issue of the hold mining assets )

i urge any intending buyers of this stock to be very careful


( i am betting IGO was happy that offer dell through as well )

i held IGO between September 2020 and April 2021 , resulting in a positive outcome ( i bought on the Tropicana mine exposure )

 

[Captain_Chaza]

What's your Logic in Averaging DOWN?

I have always wondered!
It Makes no sense to me

After a couple of AVERAGING DOWNS
Do you feel it is now safe to put your wife and children onboard ?
I just can't figure it out

My Apologies
You don't need to answer
I am just thinking aloud

 

[sptrawler]

It is becoming make or break time for PAN, they have raised a lot of money, they have commenced processing, they have to start delivering.
Nickel price is settling around the U.S$10-12/lb, which is higher than Panoramic required to become viable, the wet season is finishing so there should be some serious announcements IMO.
If not, well I think the market will lose patience.
I've tipped them in the yearly tipping comp, on the basis that they actually have got a viable mine, hopefully my faith isn't misplaced.

 

[CanOz]

It is becoming make or break time for PAN, they have raised a lot of money, they have commenced processing, they have to start delivering.
Nickel price is settling around the U.S$10-12/lb, which is higher than Panoramic required to become viable, the wet season is finishing so there should be some serious announcements IMO.
If not, well I think the market will lose patience.
I've tipped them in the yearly tipping comp, on the basis that they actually have got a viable mine, hopefully my faith isn't misplaced.

Here are some fundamental facts about Panoramic Resources:

• Market capitalization: As of January 2, 2023, Panoramic Resources had a market capitalization of approximately AUD 638 million.
• Revenue: In the financial year ending June 30, 2022, Panoramic Resources reported revenue of AUD 372 million.
• Profitability: Panoramic Resources reported a net profit of AUD 65 million in the financial year ending June 30, 2022.
• Dividends: Panoramic Resources has a history of paying dividends to its shareholders. In the financial year ending June 30, 2022, the company paid a dividend of AUD 0.05 per share.

As for the outlook for 2023, it is difficult to make specific predictions about the performance of Panoramic Resources or the mining sector in general. The performance of mining companies can be influenced by a wide range of factors, including commodity prices, economic conditions, and political and regulatory developments.

Commodity prices are likely to be an important factor for the mining sector in 2023, as they can have a significant impact on the financial performance of mining companies. Changes in global demand for commodities, as well as supply and demand dynamics within the industry, could affect the outlook for the sector.

Economic conditions are also likely to play a role in the performance of the mining sector in 2023. Factors such as economic growth, inflation, and interest rates can all influence demand for commodities and, in turn, the performance of mining companies.

Political and regulatory developments could also impact the mining sector in 2023. Changes in government policies and regulations, such as changes to environmental regulations or mining laws, could affect the costs and feasibility of mining projects.

It is difficult to predict which of these factors will have the greatest impact on the mining sector in 2023, as the performance of the sector can be influenced by a wide range of variables. It's always wise to do your own research and consult with a financial advisor before making any investment decisions.

Cheers,


CanOz

 

[greggles]

11.5c the bottom for PAN?

A recent 12+ year increase in the Savannah Nickel Operation LOM and a bullish forecast from Morgan's has given the PAN share price a much needed kick in the pants.

PAN is our preferred nickel exposure on the ASX with a 12+ year mine life, on track to reach nameplate production this year, and significant exploration at both Savannah, Savannah North and regional targets.

While our DCF valuation is built on PAN’s published study operating life only, based on recent positive drilling results beneath Savannah workings, and open-ended mineralisation at Savannah North, we see strong potential to increase the mine life through upcoming exploration and Resource definition drilling to re-classify Inferred and Indicated Resources into mineable Reserves.

PAN also produces copper and cobalt in concentrate, giving significant by-product credits and additional revenue over the life of mine.

 

[UMike]

Panoramic equity raising imminent

By BRIDGET CARTER​

DATAROOM EDITOR

Panoramic Resources is understood to be set to announce its equity raising plans by the end of the week, with the stock in a trading halt on Tuesday pending an announcement.
It comes after DataRoom reported on Monday that the country’s only pure play nickel producer was looking to tap the market through broker Canaccord. The understanding is that the group is looking for about $40m and Azure Capital is also involved.
Panoramic told the market that its securities would remain in a halt until Thursday or when an announcement was released to the market about a potential capital raising.
As reported by this column on Monday, the company is under pressure to repay lender Trafigura and has faced operational issues with its Savannah Nickel Project in Western Australia.
IGO has 21 per cent of the company, after inheriting that through its acquisition of Western Areas, so it will be interesting to see how its involvement plays out.
Panoramic’s shares last traded at 9.2c.
Zeta Resources, backed by well-known investor Duncan Saville, also has 13.1 per cent in the stock, and some question whether he will support a raise.

 

[divs4ever]

you can count me out ,

i hold PAN and it will take something truly amazing there to unlock my wallet once again

 

[UMike]

Same. fkn bottom draw Again.

 

[sptrawler]

Add to that the price of nickel has been sitting around $US 9.50 for a while and a cap raising isn't going to be attractive.
A cheap takeover more likely, but IGO were burnt with WSA and low material recovery rates, so as @UMike said, it may be back to the bottom draw for another stint.

 

[divs4ever]

i was looking to add some NIC ( sub 79 cents ) but that isn't looking so good either ( to get the top up done )

but looks like MCR was the best of the standalone nickel miners , will be interesting to see how BHP goes with the OZL nickel deposit

interesting that IGO got singed , they are normally a savvy bunch

 

[sptrawler]

Pan needs to get its recovery rate up, or its input costs down, it will be interesting to see if they have a plan.
Just my two cents worth.

 

[Dona Ferentes]

Panoramic equity raising imminent ... it is understood to be set to announce its equity raising plans by the end of the week, with the stock in a trading halt on Tuesday
Panoramic told the market that its securities would remain in a halt until Thursday or when an announcement was released ...
As reported by this column on Monday, the company is under pressure to repay lender Trafigura and has faced operational issues with its Savannah Nickel Project in Western Australia.

IGO has 21 per cent of the company, after inheriting that through its acquisition of Western Areas, so it will be interesting to see how its involvement plays out.
Zeta Resources, backed by well-known investor Duncan Saville, also has 13.1 per cent in the stock, and some question whether he will support a raise.

Jumping ship??

Panoramic’s shares last traded at 9.2c.


WA nickel, copper and cobalt explorer Panoramic Resources’ largest shareholder IGO Limited won’t open its chequebook for a deeply discounted $40 million raising that is currently underway, Street Talk can reveal.

The $40 million placement is priced at 5¢ a share, a whopping 45.7 per cent discount to the last close and 48.2 per cent lower than the five-day volume weighted average price. Canaccord Genuity and Morgans are the joint lead managers, while Foster Stockbroking is a co-manager. Bids are due at 3pm Wednesday. The placement is underwritten

 

[UMike]

Jumping ship??

Panoramic’s shares last traded at 9.2c.


WA nickel, copper and cobalt explorer Panoramic Resources’ largest shareholder IGO Limited won’t open its chequebook for a deeply discounted $40 million raising that is currently underway, Street Talk can reveal.

The $40 million placement is priced at 5¢ a share, a whopping 45.7 per cent discount to the last close and 48.2 per cent lower than the five-day volume weighted average price. Canaccord Genuity and Morgans are the joint lead managers, while Foster Stockbroking is a co-manager. Bids are due at 3pm Wednesday. The placement is underwritten

Haven't much in it. And that small amount is going to halve.

Always seem to have one dud on the books. Just got bought out of TOY (FUN) now this.
(bettter hold on otherwise cvn is next).

 

[divs4ever]

Haven't much in it. And that small amount is going to halve.

Always seem to have one dud on the books. Just got bought out of TOY (FUN) now this.
(bettter hold on otherwise cvn is next).

i still have a marketable parcel only down 81% but that may change tomorrow , and not because i have bought some

 

[sptrawler]

This is the time in the cycle, where those who aren't making money, struggle to raise it from cash strapped punters.
Capital raising in a recession, tends to show which companies are swimming naked, when the cash goes out with the tide.

 

[The Triangle]

This is the time in the cycle, where those who aren't making money, struggle to raise it from cash strapped punters.
Capital raising in a recession, tends to show which companies are swimming naked, when the cash goes out with the tide.

No. This is just panoramic.

I cannot believe all these mining companies in WA that manage to get money. This operation and this company have failed over and over and over and over again.

It's amusing because only a week ago IGO admitted the western areas takeover was a disaster. And remember IGA walked away from panoramic.

Heck of a discount though.