Re: AVA - Aviva Corporation
MC - $14m
SP - 8.5c
Shares - 166m
Options - 7m
Cash - $1m
During the June 2012 quarter, Aviva continued work on its metals and energy projects in Africa.
Exploration activities continued to focus on the West Kenya Project and more specifically on drilling at the Kimingini and Bushiangala Prospects located within the Kakamega Dome area.
Results received to date continue to be encouraging.
A resource upgrade on the Bumbo base metal deposit was completed – the Resource was given improved confidence and moved 1.32 MT grading 4.37% Cu Equivalent – (2.29% Cu, 0.59g/t Au, 36.60g/t Ag and 5.02% Zn) into an Indicated category. Modelling of peripheral gold mineralization at Bumbo identified 290,000 tonnes grading 2.25g/t Au and 64.96g/t Ag. A further 500,000 to 700,000 tonnes of peripheral gold mineralization has also been identified with a possible grade of between 1.50 and 1.90g/t. This has been classified as an Exploration Target. Metallurgical test work is underway.
As announced on 3 May 2012, Aviva received confirmation that the Acting Commissioner of Mines and Geology in Kenya had registered Aviva’s 51% interest in Special Licences No. 123 and No. 213 on its West Kenya Joint Venture. This followed Aviva’s announcement on 26 October 2011 that it had achieved its 51% earn-in milestone as part of its joint venture agreement with AfriOre International (Barbados) Limited, a wholly-owned subsidiary of Lonmin Plc.
At the Company’s Mmamantswe Coal Project in Botswana, licences were renewed for a further two years. The area for renewal was reduced by 50% whilst the two licences, PL070 and PL069, were consolidated into a single licence covering 453.7 square kilometres. Aviva also undertook discussions with government stakeholders regarding the Company’s Environmental Impact Assessment for Mmamantswe.
During the quarter, Aviva issued 1 million unlisted ordinary options, comprising two tranches of 500,000 options each, as part of the Company’s Executive and Employee Option Plan.
On 22 June 2012, Aviva announced that it had agreed to issue 7.5 million convertible notes at a face value of $0.10 per note to the Company’s major shareholder, Sentient Executive GP IV Limited to raise A$750,000 to progress its projects in Africa and cover general working capital requirements.
• Results from drilling at Bushiangala in the Kakamega Gold Camp include the following highlights:
o 10.82m @ 3.96g/t Au from 48.60m (ASBSDD010)
o 9.04m @ 13.05g/t Au from 5.96m (ASBSDD012)
o 1.00m @17.1g/t Au from 4.96m (ASBSDD013)
o 2.50m @ 11.3g/t Au from 10.26m (ASBSDD014)
o 5.84m @ 8.52g/t Au from 67.25m (ASBSDD015)
• Aviva’s 51% interest in Special Licenses No. 123 and No. 213 (part of its West Kenya Joint Venture) registered by the Commissioner of Mines and Geology.
• Coal Prospecting Licenses at Mmamantswe Coal Project in Botswana renewed for a further two years
• Aviva met with Botswana Government stakeholders to discuss the final Environmental Impact Assessment (“EIA”) report for the Mmamantswe coal and power project.
• Aviva issued convertible notes to the Company’s major shareholder, Sentient Executive GP IV Limited to raise A$750,000 to fund progress on African projects and general working capital
• Negotiations regarding potential material corporate transaction close to finalisation.
• Bumbo Resource Upgraded to - Indicated Category
I don't like companies that talk in metal equivalents. Eg, the CuEq resource AVA I have highlighted at the top.
If your resource isn't big or strong enough, don't spin it.