WMC - Wiluna Mining Corporation

Any BLK holders out there!

Current resources could allow this to be scaled to a world scale 45000 bpd!
according to todays announcment. SP reach a high of 19c today.

How would BLK get $2.5 billion to fund the Scaddan Project? What capital rasing? maybe a potential sell of its assets?

antzlovinit said:

Any BLK holders out there!

Current resources could allow this to be scaled to a world scale 45000 bpd!
according to todays announcment. SP reach a high of 19c today.

How would BLK get $2.5 billion to fund the Scaddan Project? What capital rasing? maybe a potential sell of its assets?

Click to expand...

CTL has certainly dropped off the radar for most, I think the interest last year was being stoked by an expectation that we would not be seeing oil prices much below $100/barrel, and hence the CTL process made a lot of sense. We'll see the commentary pick up as oil increases over the next couple of years as recoveries take proper hold. Still a lot of risk with BLK and other start ups in this area (like SYS). From SYS presentations the break even point requires prices of around $60/barrel - the move down to $30-$40 earlier this year probably spooked a lot of people...

But, in my view, heavy transport is going to need diesel for a long time - you just can't make an electric truck without a massive break through in technology - and as for jet fuels, pretty unlikely that we'll have electric or nuclear powered planes!! There's a place for CTL in the future, for me spreading your investment across start up CTL players is a good way to bring forward retirement to somewhere around 2014 - 2016, not that far away!

Some have rubbished GLX/SYS on this forum, but I wouldn't necessarily write them off, they are further down the track than BLK - PFS complete, BFS underway. Will be a good one to pave the way for BLK, "Early bird gets the worm - but the second mouse gets the cheese"

Are we looking at birds or mice here?

Re: LNC - Linc Energy

Blackham Resources shares skyrocket
November 30, 2009 - 6:29PM

AAP

Shares in Blackham Resources Ltd skyrocketed on Monday after it signed a non-binding deal with Synfuels China Co Ltd to establish a coal-to-liquids Fischer-Tropsch diesel facility in the Esperance region of Western Australia.

Blackham shares closed 13 cents, or 54.17 per cent, higher at 37 cents.

The Fischer-Tropsch process involves converting a carbon monoxide and hydrogen mixture, which is extracted from biomass, coal or methane, to liquid fuels.

The parties have agreed to conduct studies in coming months to apply Synfuels China technology to the development of Blackham's Scaddan project, which is a joint venture with Wesfarmers Premier Coal Ltd.

It is expected a formal agreement, subject to positive studies, will be executed by the second quarter of 2010.

Blackham said it intends to dry lignite at Scadden prior to gasification.

"The innovative drying technology developed by Synfuels China is of significant interest," Blackham chairman Brett Smith said in a statement.

antzlovinit said:

Any BLK holders out there!

Current resources could allow this to be scaled to a world scale 45000 bpd!
according to todays announcment. SP reach a high of 19c today.

How would BLK get $2.5 billion to fund the Scaddan Project? What capital rasing? maybe a potential sell of its assets?

Click to expand...

To fund this project a capital raising will not be needed in my view, look at Altona energy and CNOOC's agreement for example, CNOOC will fund the feasibilty that costs about $30m for a 50% stake. Same can apply here with wesfarmers owning 30% they will have to come to the party and Blackham will be deluted down to 30% to complete the feasibilty and a extra 20% to get to production as mowibble stated earlier for Blackham to own 10% of the project at 45000bopd production stage, at current crude prices that is a profit for the project of approx. $650m(at current crude prices which is very cheap considering most economies are yet to start growing).

Blackhams share at 10% is $65m, give it a PE of just 10 for a 73 year life asset that’s $650m. You can't possibly argue with that.

This is the worst case scenario, in this scenario i have diluted Blackham to the hilt. We still have to take into account that when Synfuels china takes an equity stake that Blackham will not absorb all dilution and Westfarmers will also need to step up.


Shenhua CTL built a 20000bopd for approx. $1.6billion and they use Synfuels china's technology. If you look at blackhams scoping study (12/11/2008) to use other technology the capex. would have been $2.5b(and all othe oz CTL plays are basing there projects on that capex)for 15000bopd. Shenhua have mentioned that they could produce a barrel of oil from coal using Synfuels China's technology for US$23.00. (big margins)


This mob has one of the best director in Bryan Dixon, a huge resource on a third of there tenements and now chinese partners, not to mention a fe resource potentially in the billions.

all for about $10mil..Crazy!

Re: BLK - Coal export and Gold mines

Coal export and Gold mines

From last quarterly;
http://www.asx.com.au/asxpdf/20111031/pdf/4225ytp76xsnbp.pdf

in process of scoping study for coal export and great potential in new Gold mines.

this presentation shows the potential of BLK's old GOLD MINES to be revived and Deposits

http://www.asx.com.au/asxpdf/20111024/pdf/421ytfbdwv8zd0.pdf


may well be a short to mid term producer and exporter of coal.

scadden shows robust economics for exporting 8mtpa raw coal out of Esperance port.

http://www.asx.com.au/asxpdf/20111130/pdf/422ydx8kzx739k.pdf

Re: BLK - Near surface high grade gold up to 71 g/t

Blackham Resources improves open pit mining economics with near surface, high grade gold at Matilda

http://www.proactiveinvestors.com.a...surface-high-grade-gold-at-matilda-26295.html

http://www.asx.com.au/asxpdf/20120312/pdf/424yn99ggjnq9d.pdf

I haven't looked at BLK since back in the days when UCG, CTL and CSG were white hot. Latest info.

Shares on issue - 53.9 million
Options $0.26 – $0.38 2012-14 - 6.2 million
Options $1.00 2012-13 - 2.1 million
Market cap. (AU$0.16) AU$8.6 million
Cash, investments & receivables (May. 2012) AU$1.3 million
Structure Equity Facility AU$7.7 million

Major shareholders
HSBC 14.6%
KINGSREEF PTY LTD 11.6%
J P MORGAN NOMINEES 4.6%
WIDERANGE 4.5%
DEUK SUNG BAE 3.6%
INFEON LIMITED 3.3%
Top 20 64%



MATILDA GOLD PROJECT
•A large, highly prospective tenement holding in the Wiluna region of Western Australia.
•Formerly unloved and forgotten – assets include previously operating mines and infrastructure.
•Resource 12.8 Mt @ 1.9 g/t for 790,000 oz Au.
•Near term aims - grow the gold resource to > 1 Moz
•Exploration Target 0.5 to 2Moz (4.4 to 11Mt, 2 -6g/t) 1
•3.6Mt @ 2.2g/t oxide resources fall with in historical pit shell optimisations2. Plans to re-evaluate the economics on these resources as a matter of priority.
•Opportunity to become a gold producer during a period of historically high gold prices.
MATILDA PROJECT TENURE
•Major position in Wiluna Greenstone Belt.
•4 Moz of gold production from that belt to date.
•Wiluna Mine Resource: 12.7 Mt @ 5.4 g/t Au = 2.22 Moz Au (Apex Minerals Annual Report, Oct. 2011).
•40 km of strike along Wiluna Mine Sequence
•10 km of strike along Coles Find Mine Sequence.
•More than 600 km² of tenure.
•Little systematic regional exploration in more than a decade.

NICKEL
•Ultramafic sequence extends over 40 km, varying in true thickness from 100 to 600 m.
•Main body of nickel laterite resource extends > 19 km, averages 15m in thickness and is generally 30m deep.
•Inferred laterite nickel resource: 80.5 Mt @ 0.77% Ni, 0.058% Co and 8.84% MgO (Agincourt Annual Report, 2006).
•Only limited drilling over full strike of ultramafic host – further drilling provides potential for resource upgraded.
•Nickel sulphide potential vast – Independence joint-ventured into the project in 2006 and terminated the JV during the GFC
•Numerous targets generated and several economic-grade intercepts drilled.

COAL PROJECTS
•Scoping study for coal export via Esperance port finalised.
•1.4Bt of coal
•Scaddan 1.04Bt CV 7.9mj/kg
•Zanthus 0.35Bt CV 7.2mj/kg
•Very low mining cost.
•Close to infrastructure corridor and Esperance port.
•Studies on development of a coal-to-liquids facility to produce diesel and other oil products now completed.

springhill said:

I haven't looked at BLK since back in the days when UCG, CTL and CSG were white hot. Latest info.
Major shareholders
HSBC 14.6%
KINGSREEF PTY LTD 11.6%
J P MORGAN NOMINEES 4.6%
WIDERANGE 4.5%
DEUK SUNG BAE 3.6%
INFEON LIMITED 3.3%
Top 20 64%

Click to expand...

That's interesting - BLK have a common director with HDG, and some of the other people involved with HDG are major shareholders here (most notably Nathon McMahon (Kingsreef pty ltd) who has been quite active with his share purchases lately).

Vader said:

That's interesting - BLK have a common director with HDG, and some of the other people involved with HDG are major shareholders here (most notably Nathon McMahon (Kingsreef pty ltd) who has been quite active with his share purchases lately).

Click to expand...

Well spotted Vader.

He became a substantial holder this year.
http://www.asx.com.au/asxpdf/20120301/pdf/424rr8shxpyv9z.pdf

And increased his holdings.
http://www.asx.com.au/asxpdf/20120514/pdf/4267q7qtsb85pj.pdf

Company Presentation.
http://www.asx.com.au/asxpdf/20120806/pdf/427vzmh2vqjvyv.pdf

MATILDA GOLD RESOURCE GROWS TO 922,000oz
● Matilda Mine resource grows to 211,000oz gold
● Resources increase to 922,000oz for the Matilda Gold Project
● Resources over the M10 deposit and 3 other deposits still being estimated
● Mine economics at Matilda to be evaluated

BLACKHAM TO REVIEW FRASER RANGE PROJECT FOR NICKEL POTENTIAL

● Fraser Range Project lies 20km from Nova Discovery
● Granted tenement with drilling provides head-start on competitors
● Potential for JV to allow company to maintain focus at Matilda Gold Project

Blackham Resourcesadvise that it is conducting a review of the nickel potential at its wholly owned Fraser Range Project following the recent discovery of the Nova deposit by Sirius Resources Limited.
Blackham’s Fraser Range Project (E69/2506) lies approximately 20km from Nova, 150km east of Norseman in Western Australia.

1.35Moz GOLD RESOURCE AT MATILDA

● Resource estimate of 281,000oz au at M1 deposit, Matilda Mining Centre
● Largest tonnage and highest grade of Matilda deposits
● Resources increase to 1.35Moz for the Matilda Gold Project
● Resources have grown 336% this year and 2 deposits still being estimated
● Focus to now shift to development

Blackham looks the goods. Blackham Resources hits 1.4Moz at Matilda.

http://www.blackhamresources.com.au...88/BLK Initiating Coverage Final 20121016.pdf

gold resource grows to 1.4Moz an increase of 76% during the quarter
from September quarterly

Blackham's management are of the view that as it adds to the technical certainty and mining economics via scoping studies and a preliminary feasibility study the company is likely to be re-rated in line with its peers.

It came out of a trading halt today and closed up 44% closing at 24.5c on a turnover of just over 1 million. However it did hit an intra-day high of 28.5c.

February 2018 was a record month of gold production for Blackham Resources. 6,713 ounces for gold were produced, compared to 6,498 ounces in January. Mill feed grade improved to 1.5 g/t, a 13% improvement on January. All in sustaining costs reduced to A$912/oz in February 2018, a 21% decrease on January (A$1,158/oz). Average realised gold price during the month of A$1,670/oz.
Cash and bullion of $31.4 million and secured debt of $43.8 million at 28 February 2018.

Blackham Resources have proven to be one of the ASX listed gold producers with really good economics. A$758 per ounce profit is exceptional.

Share price finished the day up 52.83% to 8.1c. Chart is starting to look good.

Well what can I say.....is this oversold or what.

Market did not like the latest update and dropped 21.2% to 5.4c

https://newswire.iguana2.com/af5f4d...91217/BLK_Operations_Update_and_FY19_Guidance

OPERATIONS UPDATE AND FY19 GUIDANCE
Highlights
- Operations generate positive cash flows again in the June quarter

- Record six months of gold production to Jun’18 of 40,024 oz (Dec’17 half: 30,541oz), a 31% increase on last half

o 1,012kt milled for the half (Dec’17 half: 822kt), a 23% increase on last half achieved through successful de‐bottlenecking of the process plant o Mill feed grade improved to 1.47g/t (Dec’17 half: 1.26g/t) due to processing more high grade ore, and less dependence on low grade stockpiles

o All in sustaining costs per ounce (“AISC”) for the half were A$1,294/oz (Dec’17 half: A$2,063/oz) resulting from a step change in economics being achieved during the half. Excluding the impact of sustaining capex, which mainly comprised a tailings dam lift, AISC for the half was A$1,141/oz. 

- Jun’18 Qtr gold production of 19,393oz (Mar’18 Qtr: 20,631oz), in line with previous quarter

o Record throughput of 535kt milled for the quarter (Mar’18 Qtr: 477kt), a 12% increase on last quarter

o Mill feed grade of 1.44g/t consistent with prior quarter (Mar’18 Qtr: 1.51g/t)

o Process recoveries reduced to 78.6% (Mar’18 Qtr: 89.4%) due to the main ore source being the transitional and fresh ore from the now completed M4 pit, a one‐off isolated issue which was the primary constraint to achieving higher production in the quarter and half year, as well as increasing AISC

o Process recoveries in the first half of July are back above 90% due to the main ore source being oxide ore from the M1 and M2 pits

o AISC for the quarter of A$1,509/oz (Mar’18 Qtr: A$1,092/oz)

o Stripping ratio for the quarter increased to 8.8 times (Mar’18 Qtr: 3.9 times) representing an investment in next quarter’s production and a large contributor to the higher AISC in the Jun’18 quarter 

- Average realised gold price of A$1,685/oz for the half, and A$1,696/oz for the Jun ’18 quarter 

- Current gold forward sales contracts of 26,389oz @ A$1,742/oz over the next 8 months 

- Net debt at 30 June 2018 reduced to $8.4m (31 March 2018: $10.4m)

o Cash and bullion of $23.9 million and secured debt of $32.3 million

- Production guidance for FY19 is 77k‐89koz @ an AISC of A$1,250‐$1,450/oz

Trav. said:

Well what can I say.....is this oversold or what.

Market did not like the latest update and dropped 21.2% to 5.4c

Click to expand...

Unbelievable …… something doesn't feel right

Maybe its the AISC potentially rising up to $1450 coupled with the retreating POG … time will tell.