POL - Polymetals Resources

[System]

Polymetals Resources has recently acquired 100% interest in Golden Guinea Resources SARL (Golden Guinea) which owns two exploration licences within the Siguiri Basin in Guinea, West Africa. The Siguiri Basin occupies the north-eastern corner of Guinea and hosts several large active gold mining operations and is notable for its widespread gold anomalism. The Basin is broadly covered by exploration or exploitation tenure and there is little vacant land available for new exploration participants in the region. The region is considered prospective and relatively immature from an exploration perspective and produces over 500,000 oz of gold/year. The largest operation is the AngloGold Ashanti Siguiri Gold Mine, located 37km west of the Golden Guinea licences, which has now produced more than six (6) million ounces over its 20-year life.

The two Golden Guinea exploration Licences, known as Alahiné (64.21km2) and Mansala (48.23km2), host many historic and current small scale gold mining operations conducted by local individuals known as artisans.

Previous field activities at Alahiné comprised of two soil sampling programs and one reverse circulation drilling campaign. Initial whole of licence soil sampling at Mansala conducted by the Company achieved similar results to Golden Guinea’s Alahiné work with significant gold anomalism defined.

Of the 3,758 soil samples analysed, numerous +40 parts per billion (ppb) gold anomalies were reported with a peak soil value of 93.98 grams per tonne being obtained from Mansala. Of note is that some 16% of the combined Alahine and Mansla Licence Areas (112.44 km2) returned anomalous soil values of +40 ppb gold.

It is anticipated that POL will list on the ASX during June 2021.

Home - Polymetals Resources

Polymetals Resources Ltd (ASX:POL) is an Australian mining and exploration company with a project portfolio with significant potential for the discovery and development of both precious and base metals resources. Project Endeavor Mine Million tonnes of ore grading Zinc Lead Silver Latest...

www.polymetals.com

 

[Dona Ferentes]

Listing date	15 June 2021 #
Company contact details	https://www.polymetals.com/site/content/ Ph: TBA
Principal Activities	Minerals Exploration
GICS industry group	TBA
Issue Price	$0.20
Issue Type	Ordinary Fully Paid Shares
Security code	POL
Capital to be Raised	$10,000,000
Expected offer close date	28 May 2021
Underwriter	Not underwritten. Beer & Co Pty Ltd (Lead Manager)

 

[Dona Ferentes]

and another inauspicious launch

POL debuted 29/06 at 17c and has struggled all week. Closed at 16c today .

 

[greggles]

Some great assay results from the first six holes drilled at POL's new Endeavor Ag-Zn-Pb Mine in NSW. Mineralisation is near surface with silver grades being particularly impressive but it all looks pretty solid. Most holes finished in mineralisation which means they may have just scratched the surface with this first round of drilling.

POL share price is currently up 72.22% to 31c with an intraday high of 46.5c. Market cap is still only ~$15 million.

 

[Dona Ferentes]

Up 120% on the day, with a bunch of thick high grade zinc equivalent hits at the newly acquired Endeavour polymetallic mine in NSW, include a highlight 81m @ 19.5% ZnEq from 77m to end of hole.

POL says these near surface grades up to 13.9g/t gold, 2,020 g/t silver, 12% zinc and 17% lead underpins its mine restart strategy.

But quickly retraced.

There's a presentation out today, showing a pathway:
• The Endeavor Mine is operationally ready and provides excellent potential to re-establish long-term production of silver – zinc – lead as well as gold.
• Significant asset portfolio independently valued +$150 millionincluding; underground mine, processing facility infrastructure and Cobar real estate.
• JORC (2012) Compliant Resources of 16.3Mt at 8.0% Zn, 4.6% Pb and 79 g/t Ag.
• Strategic regional position – 41km2 Mining Leases + 1,100km2 Exploration Licences;
• Existing in-mine, near-mine and regional exploration targets.
• Management team have long-term knowledge and experience of the asset and the Cobar region.
• All operational approvals in place.

 

[Dona Ferentes]

As gigh as 44c

CONFIRMATION OF UNMINED SOUTH LODE MINERALISATION WITH
INTERCEPT OF 71M AT 11.02% ZINC EQUIVALENT.
High-grade South Lode mineralisation up to 1,535 g/t silver bolsters Endeavor mine restart strategy.
Polymetals Resources Ltd is pleased to announce initial RC drilling results for holes targeting the South Lode at its newly acquired Endeavor Ag-Zn-Pb Mine in NSW
(refer ASX announcements dated 17th April and 28th March 2023).

High grade mineralisation intercepted by PSL020 is as follows1
:
PSL020(RC):
• 71m @ 0.43 g/t Au, 272 g/t Ag, 3.6% Zn, 4.2% Pb and 0.13% Cu from 107m to 178m (11.02% ZnEq)2
• including 34m @ 0.76g/t Au, 492g/t Ag, 7.3% Zn, 4.8% Pb and 0.14% Cu from 144m (19.0% ZnEq)
• including 8m @ 0.89g/t Au, 914g/t Ag, 8.9% Zn, 5.3% Pb and 0.16% Cu from 154m (29.2% ZnEq)

 

[greggles]

Updated MRE released today. Everything seems to be firming up nicely for POL at the Endeavor Mine.

 

[Dona Ferentes]

In a two day trading halt so as to allow the Company to complete a capital raising by way of share placement;

 

[greggles]

In a two day trading halt so as to allow the Company to complete a capital raising by way of share placement;

$3.65 million raised through the issue of 11,777,115 FPO shares at 31c per share. Funds raised to be applied to the Endeavour Mine Restart Study with a final decision to be made during Q4 2023.

 

[Dona Ferentes]

: POL has formed a non-exclusive strategic alliance with Metals Acquisition Limited (ASX: MAC) to advance synergies aiming to extract greater value from both the Endeavor and CSA Copper Mines, both located in the Cobar Basin, NSW Australia.

HIGHLIGHTS
• MAC to invest up to $5.0 million @ $0.35/share in POL.
• POL and MAC to enter into an agreement to treat high-grade zinc ore at POL’s Endeavor Silver Zinc Mine.
• POL to provide MAC with excess water offtake to enhance CSA ore treatment capacity.

ALLIANCE OBJECTIVES
MAC owns and operates the high-grade CSA Copper Mine located 5 km to the north of Cobar NSW. Polymetals high-grade Endeavor Silver Zinc mine is located 30km to the north of CSA.

The alliance between MAC and POL will allow each company to exploit synergies between the neighbouring mines. The relationship aims to deliver enhanced operational and financial outcomes by increasing mine production at both projects.
.
.... and up 20 per cent. Nice to have a big brudder around.

 

[Dona Ferentes]

: POL has formed a non-exclusive strategic alliance with Metals Acquisition Limited (ASX: MAC) to advance synergies aiming to extract greater value from both the Endeavor and CSA Copper Mines, both located in the Cobar Basin.

The alliance between MAC and POL will allow each company to exploit synergies between the neighbouring mines. The relationship aims to deliver enhanced operational and financial outcomes by increasing mine production at both projects.
.
.... and up 20 per cent. Nice to have a big brudder around.

and some movement at the station???

now 41c, which apart from a short spike in June is a high for the year

from MAC , which has just raised money:

..proceeds will be used to repay [MAC's] expensive mezzanine debt facility as soon as possible. That will leave it room to move to some low key “unorganic growth opportunities” which is bizspeak for M&A work.

..There are a handful of other miners operating in the Cobar region with attractive copper or zinc assets. MAC has a deal with PolyMetals, for example, covering water and Poly’s Endeavour mine and processing plant, which MAC wants to be able to access

 

[houtman]

POL is interesting for silver.

The previous owners of the Endeavour mine had a wall collapse, so to raise $ for remediation they sold a 100% (that's right, 100%) royalty for the silver component of the ore.
Naturally they slowly went bust and also presumably avoided areas with elevated silver in favour of zinc and lead.

The new owners have had the royalty restructured to 4% overall.

There is a silver rich shallow area that they are targeting as a priority.

Looking to produce 1st 1/2 next year.

 

[Dona Ferentes]

pretty Poly what a cracker

.
Polymetals Resources Ltd is developing the high-grade Endeavor silver zinc lead mine within one of Australia’s premier polymetallic mineral provinces the Cobar Basin in New South Wales. First production is on track for H1 2025.

Highlights
• EGM approves the completion of the acquisition of Endeavor.
• Updated Stage One 10-year Mine Plan:
Pre-tax NPV8% = $414m and IRR = 345%.
Free Cashflow = $609m and EBITDA = $89m/annum during first five years.
• Completion of placements totalling $9.3 m approximately to fund ongoing work at Endeavor.
• Finalised terms with global commodity trader Ocean Partners for a US$20 million (~A$30 million) pre-payment/loan facility.
• Matthew Gill (Mining Engineer) retires from POL Board and assumes role of GM Endeavor Mine.
• Initiated critical path capital works and advanced senior management team recruitment.
• Completed the next phase of the Carpark near-mine drilling.

 

[houtman]

pretty Poly what a cracker

View attachment 186348
.
Polymetals Resources Ltd is developing the high-grade Endeavor silver zinc lead mine within one of Australia’s premier polymetallic mineral provinces the Cobar Basin in New South Wales. First production is on track for H1 2025.

Highlights
• EGM approves the completion of the acquisition of Endeavor.
• Updated Stage 1 10-year Mine Plan: Pre-tax NPV8% = $414m and IRR = 345%. Free Cashflow = $609m and EBITDA = $89m/annum during first five years.
• Completion of placements totalling $9.3 m approximately to fund ongoing work at Endeavor.
• Finalised terms with global commodity trader Ocean Partners for a US$20 million (~A$30 million) pre-payment/loan facility.
• Matthew Gill (Mining Engineer) retires from POL Board and assumes role of GM Endeavor Mine.
• Initiated critical path capital works and advanced senior management team recruitment.
• Completed the next phase of the Carpark near-mine drilling.

Yes it was all positive apart from the Carpark prospect phase 3 drilling with "no significant ore grade intercepts".

I watched a couple of interviews of David Sproule (executive chairman and has a large share holding), he comes across as a man that watches the pennies very carefully. I like.

 

[Dona Ferentes]

pretty Poly what a cracker...
Polymetals Resources Ltd is developing the high-grade Endeavor silver zinc lead mine within one of Australia’s premier polymetallic mineral provinces the Cobar Basin in New South Wales. First production is on track for H1 2025

still going .... no new news ...
.... insiders buying?

.

 

[houtman]

still going .... no new news ...
.... insiders buying?
View attachment 186930
.
View attachment 186929

Hard to say.

There was a few times this morning with 5 or less sellers in the queue.

David Sproule owns about 60m(last time I checkd) of the approx 190m shares on issue so it could have been just a lack of free float.

Also not many other companies have projects ready to go in the short term.

 

[Country Lad]

After doing all the research before buying a week ago, I see livewire has a nice summary:

Polymetals Resources price chart

Last Price / Market Cap

• $0.555 | $108 million

What / Where

• Endeavor Mine, New South Wales

Stage / Next Steps

• Stage: Development/Production
  • Polymetals Resources acquired the operating Endeavor Mine from CBH Resources in August
  • Updated/Optimised Mine Plan completed in August:
    • 10-year Mine Plan: Pre-tax NPV8% = $414m
    • Free Cashflow = $609m and EBITDA = $89m/annum during first 5 years for 14 month payback period
    • Payable metal: Zinc 260kt, Silver 10.6Moz and Lead 90kt
    • Pre-production CAPEX = $28m and Maximum cash drawdown = $30m
  • Mine restart work has commenced
  • US$20 million (~A$30 million) pre-payment/loan facility secured
  • 6-year offtake agreement with Ocean Partners for zinc and silver-lead concentrates produced from the Endeavor Mine (Zinc: 50% Benchmark and 50% at Spot References, Silver-Lead: Benchmark for high silver concentrates)
• Next steps:
  • Ramp up planned refurbishment works, recruitment of key management personnel
  • Targeted first concentrate production and and sales revenue in "H1 2025" according to company

Reserves

• Measured, Indicated, and Inferred Mineral Resource 44.2Moz silver (Measured 13.2Moz, Indicated 23.2Moz, Inferred 7.8Moz), , Measured, Indicated, and Inferred Mineral Resource 1.3Mt zinc (Measured 370kt, Indicated 700kt, Inferred 240kt), Measured, Indicated, and Inferred Mineral Resource 730kt lead (Measured 220kt, Indicated 400kt, Inferred 110kt)

Latest Activity

• September 2024 Quarterly Report
• London Metal Exchange-Presentation
• Full Year Statutory Accounts
• Endeavor Mine Funding and Offtake secured

Cash in Bank vs Cash Burn

• $4.5 million cash in bank on 30 September
• $1.5 million cash burn in September quarter vs $250,000 per quarter cash burn in FY24

 

[Dona Ferentes]

still tracking hiya.. 77c

 

[houtman]

November pick - Mcap is up to about $150m, would have preferred a quiet day today but it jumped 18%.

Country Lad's post above covers most of the known knowns, it's a solid project.

The upper north load (UNL) has recently produced good drilling results from 4 x geotechnical holes, including 67.1m @ 517 g/t silver equivalent, all 4 finished in mineralisation.

They'll use the UNL to get the project off to good start, it has high silver grades.

David Sproule is a Metallurgical Engineer and has had dealings with this project in the past, specifically the tailings.

The below is from the mine restart study, I'm intrigued (highlights mine)-

10.7.1 Leaching
Metallurgical test work has been completed in the past for increased recovery of silver and gold
from the ore stream. This is particularly relevant with respect to potential supergene ore and
flotation tailings.
The only historic commercial leaching of Endeavor mineralisation was conducted
by Polymetals Chairman, David Sproule, during 1993 – 1995.
The tailings processed had resulted
from treatment by Pasminco of 100,000 t of supergene ore mine from the “South Lode”, which
contained approximately 16 Moz of silver and 29,000 oz of gold. Then owner Pasminco, produced
a flotation concentrate which typically assayed 15,000 g/t silver, 15 g/t gold, 6% copper and 15%
lead.

The tailings retreatment campaign by Mr Sproule (as Polymetals Australia Pty Ltd) involved
purchase and off-site treatment of the tailings to produce silver/gold doré.

A total of 84,000 t of flotation tailings grading 550g/t silver and 3.5g/t gold was treated via
cyanidation and Merill Crowe to recover 81% (1.2 Moz) silver and 70% (6 koz) gold. Elevated
cyanide soluble copper required that aluminium be used as the cementation (reducing) agent.

There is an opportunity to progress with investigation of potential gold and silver recovery via
cyanidation of UML supergene ore and Sector 1 tailings. This possibility is considered as a
potential Stage 2 revenue stream, following further test work and re-establishment of steady state
commercial operations at Endeavor. It may be that high silver/gold grade tailings generated from
the restart operation will be stored separately for later treatment