YML - Yilgarn Mining

[YOUNG_TRADER]

Minigwal (Marengo) is a very promising tenement, 280K North East of Kalgoorlie and was purchased in July 2004. Originally owned by BHP as a promising exploration area for Uranium.

Are you serious?, thats very very interesting

 

[ALFguy]

Mount Korong (Marengo) is situated 60K North East of Leonora.

Minigwal (Marengo) is a very promising tenement, 280K North East of Kalgoorlie and was purchased in July 2004. Originally owned by BHP as a promising exploration area for Uranium.

Thanks noirua, not sure why I didn't just look this up myself.

Very interesting information. Be nice if they mention U in an ann, but I'd rather this didn't 'go off' and just kept a steady day to day rise.

 

[YOUNG_TRADER]

Hmmm time for an update based on YML Qtrly

 

[ALFguy]

Hmmm time for an update based on YML Qtrly

YT, you work far too hard

No information about the new tenements strangely.

Did like the bit about discussions with Chinese steel mills though.

 

[YOUNG_TRADER]

YML Fundamental Analysis​

Mkt Structure
Shares
60m + 20m 25c 30/6/07 options
Fully Diluted Mkt Cap
@20c = $12m Current
@30c = $24m
@40c = $32m
@50c = $40m
@$1 = $80m Target

Cash
$4.5m + $5m if options are exercised

Projects
1. Rose Dam
Used this Gold project to generate $6.6m in cash, good cash cow and shows management knows how to get a project going

2. Irwin Hills JV YML-40% MRE-60%, Nickel, In W.A.
JORC 20Mt@ 1%Ni (Nickel) + 0.12%Co (Colbat)
High levels of Chloride so having trouble getting MRE to agree to Toll Treatment at its Murrin-Murrin Plant, although its Laterite Nickel its not that bad as MRE is the Laterite King!
MRE stated in their last Qtrly that "Preliminary mining studies are underway to determine the viability of direct trucking of ore to Murrin Murrin plant"

The cobalt upgrade pilot scale testwork is proceeding and will be reported upon once results are to hand

3. Carr-Boyd YML earning 51% from TIR (Now part of CSM Cons-Min) can earn up to 90%
JORC 600Kt's@ 1.4%Ni + 0.5%Cu all within 100m of the surface so open pittable!
Using an EV of $5 lb Nickel and $2 lb Cu this first pass JORC gives the deposit an In Ground Value of over $150m

The Company expects to receive the results of this Study by early May

4. Marillana 100% interest, Iron Ore, In W.A. 2kms from BHP’s Brockman Deposit 225Mt@ 60% Fe This project is the SPEC KILLER! Its an Iron Ore tenement 2kms west of the Brockman Deposit (225Mt@ 60% Fe) Its old Hamersley Ground who outline a STRIKE OF 10KM's! Grading an avg 60% Fe! Width is probably 350m avg and thickness of the Iron Ore is 15m.

Initial JORC Estimate was 30Mt@58.4%Fe but this was from a very small portion the lease, I estimate it could be as big as 10kms x 350m wide x 15m thick = 240Mt@58%Fe

The in-fill drill programme, with the objective of establishing a JORC compliant resource in the North-West Sector, is scheduled to begin in late May, 2007. The current mineralisation estimate for the North-West Sector is 30Mt grading 58.4% Fe.


Mining Study
An independent mining consultant has carried out a preliminary open pit mining assessment with the objective of indicating stripping ratios and mining costs that could be applicable to the North-West Sector (based on the current mineralisation estimate). The assessment indicated a stripping ratio (overburden : mineralisation) of approximately 4:1 and an overall mining cost of $7.60 per tonne (i.e. per tonne of the 30Mt mineralisation estimate). This assessment takes into account the “free digging” nature of the “valley-fill” material overlying the mineralised zone.


The Company has received several preliminary enquiries from Chinese steel mills regarding ore sales (DSO and beneficiated products) and/or possible participation in the project.


5. Other Spec projects
East Sunrise 100% interest, Gold, 35 kms south of Laverton
Historical exploration has returned promising drill intersections including 14m at 10.2 gpt gold. Further drilling is planned for early 2007. Just food for thought.


Kanowna South Earning 70%, Gold, W.A. Drilling to commence shortly,

Plumridge Earning 60%, Mineral Sands, W.A.
JV with Western Areas
Looking to do some drilling in 2007

Byro Farmed out 70% Free carried 30% up to $1m exp, Nickel & Copper, W.A.
Mithrill farmed in and should do some drilling by 2nd Qtr 07, following up on oxide intersections of Nickel & Copper,

Ravensthorpe 100%, Base metals, W.A. Grounds near BHP's Ravensthorpe project, apparantly prospective for Zinc/Lead,


Attributable Value
Irwin Hills @$2.50lb Ni =$50m, YML 40%= $20m
Remember Laterite (low grade) No Cap-Ex as can be treated at JV partner MRE's Murrin Murrin Plant,

Carr Boyd @ $5lb Ni + $2lb Cu = $150m, YML's up to 90%= $135m
JV with Cos Min, Excellent Open Pittable Options and scoping study due very soon!

Marilliana 30Mt @ $15t= $450m,
Elephant Ground, possibly only 5% of total size, excellent Infrastructure with BHP Rail Running Straight passed deposit! 50m of top soil, drill results due soon. Current Iron ore prices $75+/t estimated cost = $7.6/t Margin = $65+ t yet I'm only using $15


Total = Approx $600m or $7.50c a share

 

[KIWIKARLOS]

So does this mean the feasability study will come out in may?

 

[ALFguy]

So does this mean the feasability study will come out in may?

That's what the quarterly says.

 

[dubiousinfo]

I imagine they would be wanting to get a good positive feasability out in May so that the 25c opies are well in the money when they expire at the end of June.

Having said that, with the SP at 24.5c, I am surprised people are prepared to pay 5c for 25c opies with only 2 months to run. SP has to be at 30c in 2 months just to break even.

 

[Mozart56]

Looks like many don't have the patience to wait another month for the juicy announces. Understandable as this stock has promised so much yet appears to take so long to be re-rated. I've been waiting for 2.5 years, so another month won't kill me. If it hits $7.50 YT then the wait will have been worth it!

 

[noirua]

"Minigwal" - http://www.intierra.com/html/properties/Minigwal Magnetite_Titanium_Vanadium Prospect.htm

 

[rico01]

"Minigwal" - http://www.intierra.com/html/properties/Minigwal Magnetite_Titanium_Vanadium Prospect.htm

Excuse my ignorance, but what does the above link have to do with Yilgarn

 

[ta2693]

I imagine they would be wanting to get a good positive feasability out in May so that the 25c opies are well in the money when they expire at the end of June.

Having said that, with the SP at 24.5c, I am surprised people are prepared to pay 5c for 25c opies with only 2 months to run. SP has to be at 30c in 2 months just to break even.

And 110000 is bid on 4 c, are they crazy or know something we do not know?
Why do they choose to use option? I think it must have their reason. One of them may be to hide their intention.

 

[Crash]

Thanks for all your opinions/calculations YT!

 

[noirua]

Excuse my ignorance, but what does the above link have to do with Yilgarn

Hi, please refer to previous posts on Minigwal.

The following should make everything clearer.

Minigwal and the Minigwal belts: Yilgarn Mining's tenements straddle the Jasper Hill Fault, between the Jasper Hills Dome and Minigwal/minigwal belts in the Irwin Hills - Stella Range.
The smaller tenements, at Rockwell and Matilda, also intrude into the area between and in Merolia, and Minigwal P39/2588 tenement within the E39/352 Yilgarn Mining Area.
These are all part of the Laverton Region Project.

 

[rico01]

Hi, please refer to previous posts on Minigwal.

The following should make everything clearer.

Minigwal and the Minigwal belts: Yilgarn Mining's tenements straddle the Jasper Hill Fault, between the Jasper Hills Dome and Minigwal/minigwal belts in the Irwin Hills - Stella Range.
The smaller tenements, at Rockwell and Matilda, also intrude into the area between and in Merolia, and Minigwal P39/2588 tenement within the E39/352 Yilgarn Mining Area.
These are all part of the Laverton Region Project.

Thank-you
looks like there could be many more things to be unearthed

 

[ALFguy]

Since Carr Boyd is the one we're all waiting on (initially), I thought this paragraph in relation to Minecomp's open pit study was interesting:

Open pit mining studies have demonstrated that there is potential for a significant increase in
value if inferred mineralisation adjacent to the old stopes in Shoot 1 is included in the
optimisation process. During the period the decision was taken to drill extra reverse
circulation (RC) holes with the objective of upgrading these resources within the Open Pit
design from Inferred to Indicated status. This was considered necessary ahead of a decision
to mine.

Additionally, I wonder who the third party is they refer to below:

The Company has been conducting metallurgical testwork on drill core to establish the
suitability of Carr Boyd ores for treatment at a third party nickel concentrator under a
proposed Ore Off-Take Agreement. The Company anticipates that this testwork will be
completed sometime in May, 2007 following which (but subject to the testwork) the Off-Take
Agreement would be entered into.

Note, early may is only 10 days away

 

[YOUNG_TRADER]

Re Carr Boyd, thats great news, looks like their going down the toll treatment path = Much shorter lead time to production, very very low cap ex and quicker flow of profits!

All sounds good to me,

What they also need to do is get a Chinese partner on board for Marilliana, that will do the trick,

This company is so undervalued, its just a matter of waiting for that value to be unlocked

 

[YOUNG_TRADER]

YILGARN MINING
Cobwebs to come off Carr Boyd nickel-copper mine later this year
Junior Australian company Yilgarn Mining Ltd plans to lift about three decades of mothballs off the Carr Boyd nickel-copper mine north of Kalgoorlie by September.

Author: Ross Louthean
Posted: Thursday , 19 Apr 2007

PERTH -

Studies are progressing to re-open the mothballed mine by initially mining open cut before accessing old and new targets at depth by underground method. The nickel-copper resource now comprises 8,500 tonnes of nickel metal and 2,900t of contained copper.

Yilgarn Mining (ASX:YML) is earning a 51% stake in Carr Boyd from Australian Nickel Mines, a subsidiary of Consolidated Minerals Ltd which earlier this year took over Titan Resources that had held Carr Boyd along with exploration assets on the Widgiemooltha Dome.

Yilgarn's Managing Director David Burt said that to March the company has spent $A1.5M (US$1.25M) on Carr Boyd which was originally mined by Great Boulder Mines (later taken over by WMC Resources) in the late 1970s. The company needs to complete a total capital expenditure of $A3.5 M ($US2.9 M) to earn its controlling stake.

Burt said today that the company has an indicated-inferred sulphide resource of 597,000 tonnes grading 1.38% Ni and 0.48% Cu, and that mining contractor Barminco Ltd will carry out the overall scoping study for the open pit and two stages of underground mining. Results of this study were expected by May.

Metallurgical test work was being carried out for treatment at a third party nickel concentrator as an offtake agreement. While not naming the party the candidates could include BHP Billiton's Kambalda concentrator, the same company's facility at Leinster or LionOre International Mining's Avalon plant at Bulong.

David Burt has had a long history with the Australian nickel industry, having led the discovery teams that found Mount Keith (now owned by BHP Billiton), the now closed Nepean mine near Coolgardie and the rich Silver Swan shoot (now held by LionOre).

Meanwhile cobalt upgrade pilot-scale testing is proceeding on ore from the Irwin-Coglia nickel-cobalt laterite project well north of Carr Boyd. This is in a joint venture with Murrin Murrin Holdings and GlenMurrin Pty Ltd (Minara Resources Ltd and Glencore AG), owners of the big Murrin Murrin laterite mine and treatment facilities near Laverton.

The test work is based on core samples from the Coglia South deposit which has a resource of 2.3 Mt @ 1.27% Ni and 0.22% Co, based on a 1% Ni cut-off grade.

Yilgarn Mining also owns an iron ore project in the Marrilana region of WA's Pilbara where mineralisation in the North West Sector is now 30 Mt @ 58.4% Fe. With the northern wet season over, the company plans both infill and extension drilling on North West Corner where the ore has "relatively low combined impurities."

An independent mining consultant has carried out a preliminary open pit assessment indicating a stripping ratio of overburden to mineralisation of 4:1 and an overall mining cost of $A7.60/t ($US6.30/t).

The company said the project is well located in terms of infrastructure including existing and planned railways and roads.

 

[Ted]

Just had a look at the YML chart on Comsec (all data). Can anyone tell me what happened to cause the SP collapse between '99 - 04.

Ted

 

[KIWIKARLOS]

Meanwhile cobalt upgrade pilot-scale testing is proceeding on ore from the Irwin-Coglia nickel-cobalt laterite project well north of Carr Boyd. This is in a joint venture with Murrin Murrin Holdings and GlenMurrin Pty Ltd (Minara Resources Ltd and Glencore AG), owners of the big Murrin Murrin laterite mine and treatment facilities near Laverton.

Hey YT

does this project involve Yilgarn?

All signs are looking positive for the Car Boyd mine, especially if they start producing by September