The Digger

The Digger Articles

Global Strategic Metals NL is an Australian-based exploration and development company with interests in precious, base metals and lithium. The company’s flagship project is its 80 per cent owned, advanced Wolfsberg Lithium Project in Austria, which recently received approval from the Austrian Government to proceed with mining two 500t bulk samples, putting the project firmly on the road to full mine development and commercial production
Metallurgical test work undertaken at Sheffield’s Thunderbird deposit demonstrates a high quality zircon, ilmenite, rutile and leucoxene products can be achieved using conventional processing methods. Scoping level studies are well advanced which will lead to pre-feasibility studies expected in 2H2013. An active drill program at Dampier and at the Fraser Range ‘Red Bull’ nickel copper-project will commence imminently and will likely lead to positive news flow.
In a further demonstration of the irrationality of financial markets at present, the price of gold has fallen sharply over the past few weeks, despite a host of supporting factors that under normal circumstances would result in a stampede towards the precious metal. We’ve recently witnessed a ratcheting-up of the rhetoric from the rogue state of North Korea, more poor economic news emanating out of the USA, and a host of deteriorating economic indicators out of Europe (hot on the heels of the Cyprus bail-out).
The company being cashed up is able to aggressively explore a large strategic acreage that’s positioned in one of the world’s best uranium provinces, the Northern Territory’s Alligator River region. Alligator has conducted extensive drill programs over its project area, with a total of 10,991 metres of drilling completed during 2012. Results to date justify a more systematic drill out of the Caramal deposit area during 2013, which will likely lead to a revised and upgraded Resource estimate. 
The 500km2 Matilda Gold Project has been very fertile for discovering new gold resources, proving the adage that the best place to explore is close to old mine workings. To date, the discovery and acquisition cost is ~$4.00/oz and with a 30,000m drilling programme underway, further resource upgrades are likely. Since acquisition in late 2011, the global resource for MGP has increased 384% to 24.5Mt @ 1.9g/t for ~1.5Moz gold. A recently agreed funding agreement with GCG provides the necessary capital to complete exploration and feasibility studies. A near term production opportunity exists should Blackham Resources reach an agreement to treat their ore through Apex Minerals’ Wiluna Gold Processing Plant.
The economic potential of Avalon Minerals Ltd’s, Viscaria Copper-Magnetite Project in northern Sweden has been further enhanced by recent drill results which continue to extend the known mineralisation at higher grades than previously estimated, suggesting that a significant increase to the overall NPV of the project will be able to be achieved
The company's Penumbra mine was recently commissioned and production is set to ramp up as a second continuous miner is installed. Well on track to produce 2.2Mt ROM for ~1.8Mt of saleable thermal coal for FY13. The much larger De Wittekrans project has potential for +30 year mine life producing a further 2.4Mtpa of export coal.
Don't forget these dates! April 2013   Dates to Remember 30-Apr-2013

Mining recent and upcoming floats plus IPO's, Mining conferences.

Don't forget these dates! April 2013

Dates to Remember  
Mining recent and upcoming floats plus IPO's, Mining conferences.
Breakaway Research combines technical and financial expertise to produce insightful reports on emerging resource companies. As a CEO you need to communicate with prospective investors by providing independent assessment of the key assets and value drivers for your company. Our reports are widely distributed to prospective investors via Breakaway Investment Group’s resource newsletter, ‘The Digger’, as well as through mainstream business media and at investment conferences.
Vital Metals has historically been a tungsten-focused company, with 100% ownership of one of the world’s most advanced, undeveloped tungsten deposits – the Watershed Project in far north Queensland. Watershed is being fully funded through DFS at a cost of $5.4m by Japan’s JOGMEC group.

The company has actively diversified its exploration focus by farming-into an exploration project in southern Burkina Faso, West Africa, where gold is the primary target. Drilling has so far returned highly encouraging results, with the company returning for an aggressive follow-up campaign in 2013.
Wolf Minerals is in the final stages of securing finance to advance the Hemerdon Ball tungsten and tin project into production. This is a major achievement and is testament to sound management and a quality project. The EPC contract has now been awarded to GR Engineering with the expected time of construction and commissioning scheduled for 24 months.
Goldminex Resources has a large and highly prospective portfolio of copper-gold exploration projects located in PNG. A JV agreement signed with Vale.S.A. will provide a total of US$20M of exploration expenditure to earn 51% in six selected tenements. US$12M has been spent to date with another US$8M due over the next 24 months. Exploration completed to date continues to highlight the potential for numerous targets to host large scale mineral deposits.
Richard Karn's presentation at the Mines & Money Hong Kong, March 2013 conference, presents the picture of a world shortage of 48 Specialty Metals that are experiencing supply threats, but says that 40 occur in Australia's unique geological setting and may be produced within the next 3-5 years, meaning there are more opportunities than coal and iron to look forward too!
The company has announced a Maiden Mineral Resource of 10,600t at its Rinaldi Prospect within the Kumarina Project located 108km NE of Horseshoe Lights. Most of the Rinaldi resource is in the Measured and Indicated categories and is less than 120m from the surface. The mineralisation remains open at depth. Rinaldi is one of many targets within the Kumarina Project and the exploration potential is very high for adding significant copper resources. Quantification of Rinaldi has boosted the Company’s global copper resource to 101,600t, which is approaching critical mass for potential development.
it’s encouraging when an exploration company exemplifies the definition of the term explorer, which according to my dictionary: ‘travels into undiscovered or un-investigated territory’. In 2005, while contemporaries wrestled over projects in Australia or headed to less-politically friendly climates in Africa, Azure Minerals journeyed to Mexico. “We were looking for projects, but what was available in Australia was too expensive and most of the good projects had been well picked over,” Azure Minerals managing director Tony Rovira told Wally Graham.