Anglo Pacific Group Live Discussion

reevesfamily4224 06 Dec 2018

VALE - Nickel and Iron Ore Statement HI Buzz, seems to have gone very quite regarding APF all round. One wonders if issues like those with Spain are taking a lot of the companies time up. I had until recently been reasonably confident that a couple of deals would be announced before the year end with one of them, in view of financing available, being quite big. I look for an announcement each day but all quite so far,. S

The_buzz 04 Dec 2018

VALE - Nickel and Iron Ore Statement U.S. – 4 Dec 18 Vale aims to turn around nickel business before electric car... Brazilian miner Vale SA , the world's top nickel producer, wants to shore u... markets.businessinsider.com Nickel PRICE Today | Nickel Spot Price Chart | Live Price of Nickel per Ounce |... Nickel Price: Get all information on the Price of Nickel including News, Charts and Realtime Quotes. I was left a bit confused by this statement. They are lowering the output slightly compared to last year, but they can produce significantly more vanadium if required. It sounds like they are treading carefully and not flooding the market, but re-assuring manufacturers that they can meet a significantly higher demand if battery production really takes off. As for APF, Brazilian Nickel seems to have gone very quiet. I would have thought that some performance of their small pilot production plant should have been given by now. [link] Iron ore - Vele is predicting a small increase in production next year. The Buzz

The_buzz 14 Nov 2018

Largo Resources Record Q3 2018 Results Hot off the press:- largoresources.com Largo Resources Reports Record Third Quarter 2018 Cash Flows Before Non-Cash... Q3 2018 Highlights (unless otherwise noted, all financial amounts in this news release are expressed in Canadian dollars) Net income of $71.4 million and basic earnings per share of $0.14 Revenues of $149.5 million in Q3 2018, a 179% increase over Q3... “Q3 2018 Highlights (unless otherwise noted, all financial amounts in this news release are expressed in Canadian dollars) Net income of $71.4 million and basic earnings per share of $0.14 Revenues of $149.5 million in Q3 2018, a 179% increase over Q3 2017 and a 45% increase over Q2 2018 Cash provided before non-cash working capital items of $127.5 million in Q3 2018, an increase of 64% over Q2 2018 Cash operating costs of $5.41 (US$4.14) in Q3 2018 Record production of 2,563 tonnes of vanadium pentoxide (V2O5) in Q3 2018, a 4% increase over Q2 2018 and a 16% increase over Q1 2018 Record overall V2O5 recovery rate of 82.2% achieved during the month of September Cash balance of $128.1 million and net debt level of ~$35 million as of September 30, 2018 Average V2O5 price of ~US$19.66/lb V2O5 in Q3 2018” ‘Mark Smith, Chief Executive Officer for Largo, stated: “Largo delivered robust financial performance as a result of record operational output from the Maracás Menchen Mine in the third quarter. The Company also reported the highest ever revenues and operating cash flows to date of $149.5 million and $113.4 million, respectively, and continues to strengthen its balance sheet every quarter. Production at the Maracás Menchen Mine continued to be strong delivering its best quarter of the year with record production of 2,563 tonnes of V2O5. We continue to advance the expansion project at the Maracás Menchen Mine and the Company remains on track to achieve its increased production guidance for 2018.”’ What more can one say - record production, record prices and profits. PLUS things are on schedule for an upgrade in production volumes from 800t/ month to 1000t/month in Q2 2019:- the expansion project to achieve production of 1,000 tonnes of V2O5 per month (the “Expansion Project”), from the current average 2018 monthly production of approximately 800 tonnes, is progressing as planned, with a completion target of Q2 2019.’ ie Since Vanadium is already a big contributor to APF’s royalty stream, the outlook looks particularly promising for APF. As always there is a caveat, and that is that one assumes that the vanadium price holds up. Inspection of Largo’s latest presentation, they clearly expect demand to remain strong for some time to come so one should be reasonably optimistic of continuing firm prices:- [link] The Buzz

reevesfamily4224 12 Nov 2018

BHP Billiton Train Crash Hi Buzz, its the Oman Sovereign wealth fund. Oman is one of my former areas work wise in the past. Unfortunately I believe that Spain continues to not have a large commercial relationship with Spain hence the room for leverage by the Omani’s is limited. I saw an interesting quote by JT in the FT recently saying that Anglo Pacific had got back its investment in Berkeley. Good news but still a heavy loss on share value fall. S

The_buzz 12 Nov 2018

Orvano Minerals FY2018 El Valle Gold Mine Results FY2018 results look good to me, orvana.com Orvana Announces Record Year End Gold Production COMPLETES SUCCESSFUL TWO-YEAR RAMP-UP PROVIDES 2019 PRODUCTION GUIDANCE TSX:ORV TORONTO, Oct. 17, 2018 /CNW/ - Orvana Minerals Corp. (TSX:ORV) (the "Company" or "Orvana") is pleased to provide production results for the fourth quarter of fiscal 2018... APF have a royalty in the El Vallee gold mine in Spain. "Anglo Pacific has a 2.5% life of mine NSR royalty on the El Valle-Boinàs/Carlés (‘EVBC’) gold, copper and silver mine owned by TSX-listed Orvana Minerals Corp (‘Orvana’). " “FY 2018 Production – El Valle Mine Gold production of 58,259 ounces or an increase of 13% compared to 51,546 ounces in 2017; Copper production was 5.1 million pounds, compared to 5.5 million pounds in 2017; Higher grade drifts (oxides ore) increased by 82%, to 6,861 meters during FY 2018, contributing to successful production results for the year; Higher-grade oxides production was 37% of mill ore feed, compared to 22% in 2017; Q4 gold grade of 3.06 g/t was below Q3’s 3.36 g/t, as per planned mining schedule.” Juan Gavidia, CEO of Orvana Minerals stated, “We are pleased to have produced above 100,000 ounces of gold in FY 2018. … We anticipate 2019 to be key to our expanding exploration and business development programs.” NB The royalty is based on production, not profit. So expansion of exploration etc programs indicates a possible longer life of mine and/or higher turnover. That said APF’s 2017 results show that APF had only a 3.5% exposure to gold:- [link] With gold around $1200/oz and production of bout 58,000oz, then a 2.5% royalty gives $1.74m on my calculator, so gold still gives a useful contribution to profit. The Buzz

reevesfamily4224 09 Nov 2018

BHP Billiton Train Crash Hi Buzz, many thanks for this. No doubt the crash has a bearing on the share price rise today………unless an acquisition announcement is nearing ? S

The_buzz 09 Nov 2018

BHP Billiton Train Crash [link] Iron ore market quite strong at the moment. Also helping price of coking coal. APF having a good day today. I cannot see anything particularly new out today. More of a technical recovery. Berkely Energia just said that one of their major investors has made a significant reduction in their holdings. One might speculate that the low BKY share price is due to this selling, or that the market is pricing in a high probability that the mine won’t be built. From memory I thought that Qatar were putting in lots of money - I wonder if they also have some political power with money being held back from other Spanish projects? The Buzz

The_buzz 07 Nov 2018

BHP Billiton Train Crash In case you missed it:- BBC News Runaway train derailed in Australia It travelled at high speed for 50 minutes with no-one aboard before being forcibly derailed. the Guardian – 7 Nov 18 Mangled wreckage of BHP runaway train revealed in video footage Western Australia iron ore train travelled 92km before deliberate derailment The train was from BHP Pilbara region - where APF have a royalty awaiting mine development. A train was inadequately parked and was unintentionally set in motion (I vaguely recollect that something similar to this happened with a fuel train that was inadequately parked in Canada a few years ago.). The 4 locomotive, 268 wagon train fully loaded with iron ore travelled at 68mph for 57 miles. The train was deliberately derailed: fortunately no one was injured but the line will take at least a week to clear up . I refrained from posting earlier as there was some initial suggestions that the price of iron ore might be going up. I have now found some evidence of this in these links:- Business Insider Australia – 6 Nov 18 Iron ore's losing streak came to a spectacular end after BHP deliberately... Iron ore’s three-day losing streak came to a spectacular end on Monday with strong gains recorded across all of the major grades. cmegroup.com Iron Ore 62% Fe, CFR China (TSI) Futures Quotes - CME Group Find information for Iron Ore 62% Fe, CFR China (TSI) Futures Quotes provided by CME Group. View Quotes As one would expect it looks more like a short term boost to prices, but I note that the scale of operations is so huge that a localised problem can have ramifications in the wider market. But also note what is also said in some of these reports:- Insurance Journal – 6 Nov 18 BHP's Western Australia Iron Ore Train Derailment Will Take Week to Recover BHP Billiton Ltd. expects to take about a week to recover from the derailment of one of its iron ore trains that's halted its rail operations in Western “Iron ore surged in October as steel mills in China churn out record volumes before anti-pollution curbs kick in over winter and the government beefs up stimulus.” I had noticed recently a small recovery in the price of iron ore and one would hope that this is reflected in the performance of the APF royalty in Labrador. Although timescales are much much longer, the future APF Pilbara royalty will be appearing on the horizon sooner that I was expecting if the Chinese demand for iron ore continues to be insatiable. The Buzz

The_buzz 02 Nov 2018

Maracas Menchen Expansion (V2O5) Mine expansion approved:- largoresources.com Largo Resources Secures Maracás Expansion Permit in Brazil Largo Resources Ltd. ("Largo" or the "Company") (TSX: LGO) (OTCQX: LGORF) is pleased to announce that Instituto do Meio Ambiente e Recursos Hidricos (" INEMA ") has published the Company's environmental license (the " License ") for the Maracás... “The expansion will see production capacity at the Maracás Menchen Mine increase 25% from the nameplate rate of approximately 800 tonnes per month of vanadium pentoxide (“V2O5”) to 1,000 tonnes per month (the “Expansion Project”).” A very optimistic statement from the CEO:- “Mark Smith, Chief Executive Officer for Largo, stated: “Securing this permit was a key milestone in our expansion project and we now look forward to delivering a substantial increase in capacity on time and on budget. Demand for vanadium continues to increase worldwide and the supply side fundamentals continue to indicate a shortage of the commodity in the near-term. Largo continues to believe an elevated price environment for vanadium will persist and being one of the lowest cost producers of the metal, should continue to benefit greatly as a result.”” ie 25% more V2O5 nameplate capacity and the CEO is very optimistic about future demand for vanadium and in turn high prices. For APF this means a useful projected uplift in the V2O5 royalty. The Buzz

reevesfamily4224 02 Nov 2018

Board Change - Vanessa Dennett Hi Buzz, good points all. The company I believe has only ten people on its books so as it seeks to expand almost certainly will need additional resources. At the agm a Director mentioned that last year alone they had looked at in the region of 100 investment possibilities. Presumably with bigger funds they will be looking at an even greater numbers and indeed larger perspective deals. I used to operate in South Africa ten years ago business wise at government level and it was not easy then. It has got a lot more difficult since so I would share your concern. However, JT has consistently spoken of acquisitions in safe jurisdictions so hopefully that will not turn out to be the case. With talks of trade talks improving between the USA and China hopefully that will also prove less worrying to the markets. So saying all of that I it will be interesting to see what added value the new director will bring. S

scholomo 02 Nov 2018

Board Change - Vanessa Dennett The info was found on the LSE web site for APF under the heading Share news

scholomo 02 Nov 2018

Board Change - Vanessa Dennett Hi Buzz At the miners conference recently they announced there would be two large acquisitions in the next two months probably in the USA They would consider selling some acquisitions and come to the market if the Acquisitions were very expensive I will let you know the site I found this info

The_buzz 02 Nov 2018

Board Change - Vanessa Dennett First thoughts - who have we lost? Then - yet another board member - how many more does the company need? As would be expected there is an impressive CV. … but what else can one squeeze out of this announcement? "Vanessa is a highly experienced mining executive, … specialising in M&A transactions and joint ventures. " ie She is being brought in to help assess royalty purchases. “at a time when the Company is looking to accelerate its rate of growth” - ie some ambitious royalty purchases are being lined up to keep her busy for a few years - At least that is what she is expecting “. I look forward to being part of the growth journey over the coming years.” To some respects that would be anticipated if the Kestrel production is doubled and that royalty stream needs to be replaced at an accelerated pace. Scholomo - I have not seen the mention of share issues to fund these royalty payments - they already have a huge banking facilities available and I would not want to see a large dilutive share issue, possibly at an advantage rate to a third party. There was a mention of her being “a qualified attorney, notary and conveyancer (South Africa)”. Now I would not have thought that APF would be buying into S Africa with political upheavals and its requirement on mine ownership by indigenous people. However, it does show capability in this are that will be needed by APF. Conclude - one needs to get high calibre directors to recognise what moves are financially attractive but are able to sift out the ‘dodgy’ deals. The Buzz ps I have noted a bit of weakness in the price of thermal coal and nickel recently, but still good prices. V2O5 still strong. Nov 2018 uranium spot price slightly up and long term slightly down. Gold recovering slowly.

reevesfamily4224 31 Oct 2018

Q3 Trading Results Hi Buzz, well up on last year which was a great year for them so very positive. Board clearly ambitious and with the firepower to deliver. Should be an interesting next period, and not least the dividend hint ! . Best wishes S

scholomo 31 Oct 2018

Q3 Trading Results Hi Buzz THey did confirm they hope to announce two large investments in the next couple of months, probably in the USA.Avoiding hot spots around the world.Even with their large cash position they announced they may come to the market for some more funds if the investments are very large