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AWV - Anova Metals

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Kimberley Rare Earths Limited (KRE) has been specifically formed by Navigator Resources Limited (NAV) to develop the Cummins Range Rare Earths Project.

On completion of its Initial Public Offering, KRE will, subject to certain conditions, acquire an immediate 25% ownership of the Cummins Range Project from its parent, Navigator Resources Limited, with the opportunity to earn an additional 30% interest with expenditure of $10 million in exploration over a four year period to obtain a majority 55% interest. KRE will then have the right to earn up to an 80% interest in the Project through the completion of a feasibility study in bankable form.
 
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Re: KRE - Kimberley Rare Earths

'Heavily oversubscribed' - Listing begins tomorrow, i'd expect gains from the get go.
Rare earths are super popular at the moment, everyone wants a piece. I'd imagine once this goes to market everyone will jump in. DYOR however.

I've put it in my watchlist for tomorrow.
 
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Re: KRE - Kimberley Rare Earths

Calculations...

5.416m rare earth asset (cost price)
17.317m cash reserves (16/05/11)
125.584m shares

Asset backed SP = $0.181

Thus @ the current SP of $0.15
Current value of 25% cummins range = 1.521m

Value of rare earth oxides has been booming of late.
Enough said.
 

springhill

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Re: KRE - Kimberley Rare Earths

MC - $8.1m
SP - 7.3c
Shares - 112m
Options - NQ
Cash - $12m

KRE have a fantastic MC:Cash ratio, my main concern is the rate of cash burn. Around $1m last quarter and $1.6m this quarter (projected). Unfortunately for KRE they are not getting any SP appreciation bang for their buck.
Is this a case of the market not appreciating the MC:Cash Ratio + project potential, or is it a waiting game for further progress?

Malilongue Project - Mozambique
Strategic metals exploration project
 Vundu: prospect confirmed as significant rare earths target
- Soil geochemical results enhance prospectivity
- Second target identified on Vundu extended grid
- Strong neodymium anomalism observed
 Chigaio: major strategic metal prospect defined
- Significant lithium anomalism identified
- Significant tantalum and tin anomalism identified
 Follow up exploration underway
 Soil geochemical coverage extends to 80% of the granite margin

Cummins Range Project – Western Australia
Light rare earths development project
 Conceptual mining studies completed
 Conceptual rare earth separation flow sheets developed
 Preliminary Evaluation Study results scheduled for July

KRE holds a 40% interest in the mineral rights (excluding gemstones), and has entered an agreement to earn up to a 90%, in the Malilongue Project in Mozambique. Malilongue comprises two tenements with significant exploration potential including for pegmatite-hosted heavy rare earth elements and other strategic metals. KRE began field exploration at Malilongue in March 2012.

KRE also holds a 25% interest, and the right to earn up to 80%, in the Cummins Range Project in Western Australia. The Cummins Range Project comprises an exploration tenement in the East Kimberley within which is contained an Inferred Resource of 4.17 Mt at 1.72% TREO (total rare earth oxide), 11.0% P2O5 and 187 ppm U3O8 (using a 1% TREO cut off). The Cummins Range Project is one of only a few Australian rare earths projects with a Resource reported in accordance with the JORC Code
 

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springhill

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Re: KRE - Kimberley Rare Earths

Cummins Range rare earths project: Positive assessment from concept study

• Concept study supports technical viability
• Resource fully exploitable via simple open pit design
• Conventional process flow sheet achievable
• Commercial scale production rate supports 16 year mine life
• Economics enhanced with scale‐up to include third party feeds

The Cummins Range rare earths deposit has significant intrinsic advantages of favorable mineralogy, ease of mining, and relatively low technical and country risk. A low‐risk metallurgical flow sheet has been defined based on successful concentration test work and conventional downstream unit processes.
The base case project concept is for straightforward open pit mining and concentration at the site, then downstream processing into five separate rare earth products at a coastal port location. The principal market is Asia.
A 16 year mine life results from a production rate of 3,000 tonnes per annum (tpa) TREO, which accommodates both the scale of the project and market factors. Improved project economics are possible through capacity scale‐up of the downstream processing facility to treat potential third party or additional KRE feed concentrates.
Next steps are to identify and investigate strategies and opportunities for the optimisation of downstream processing before proceeding with further engineering or exploration.
 

springhill

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Re: KRE - Kimberley Rare Earths

Malilongue Project: Rare earth prospectivity confirmed and extended

• All first phase soil geochemical assays received
• Significant TREO prospect at Vundu confirmed
• Large TREO prospect at Tombalala identified
• Heavy rare earth prospectivity increased;
- Alluvial xenotime pebbles assay 40% TREO and 27% HREO.
- HREO anomalism in central granite pluton identified
• Trenching campaign in progress
 
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Seven years later and still waiting for a payoff... wasnt rare earths supposed to be the next big thing ... ie Lithium???
 
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