INR - Ioneer Limited

MC - $9m
SP - 6.3c
Shares - 148m
Options - 27m
Cash - $1.2m

Major shareholders
Osisko Mining Corporation 9.9%
ABN AMRO Clearing Sydney Nominees 5.3%
Peter Nicholson 3.9%

Rob Reynolds, chairman
Mining/exploration finance and management
Alacer Gold, Exeter, Delta Gold
Bernard Rowe, managing director
20 years exploration and corporate experience
Ashton, Drake, Tri Origin
Peter Nicholson, technical director
30 years exploration and management experience
Geopeko, Eupene, Savage
Pat Elliott, director
Corporate finance
and management
Morgan Grenfell, Crossland Uranium, MIL Resources, Argonaut Resources

Agreement with Osisko
● Osisko may earn an initial 45% interest in five gold projects in Nevada by spending a total of US$8million over 4 years.
● Global will manage and operate during this phase.
● Upon completion of the earn-in, Osisko must select which projects it wishes to continue funding.
● Osisko to sole-fund projects it selects through to completion of bankable feasibility study and in doing so will increase to 70%.
● Projects not selected by Osisko will be returned to Global and Osisko will have no ownership interest nor any other rights.
● Global and Osisko will assess other gold opportunities in Nevada.
● $2M budget for 2012 (minimum commitment) including $1M for drilling on four projects.

Lone Mountain, Nevada
• 38 km² property covering highly prospective “window”
• Located between Carlin and Jerritt Canyon gold deposits
• Excellent potential for large Carlin-style system
• New detailed gravity survey completed
• Drill ready targets
• GSC has option to acquire 100% interest from owner
• Osisko funding exploration

Excelsior, Nevada
• Under-explored gold zone
• Walker Lane in southern Nevada
• Drill intercepts over 2.2km of strike
• Multiple zones of shallow, oxidised gold
• Part of a much larger mineralised zone
• Gold mineralisation identified over 10km long zone
• GSC earning 70% by spending US$3M over 4 years and cash payments of $100K.
• Over $600,000 spent to date

Sara Sara, Peru
• Large porphyry lithocap
• >15 sq km of advanced argillic alteration
• IP anomaly
• Cu-Mo, Ag-Re mineralisation
• 70 sq km, mostly covered

2012 work program
• $2.5M exploration budget for 2012, fully funded
• Drilling a minimum of 4 projects
• $2M Nevada budget funded by Osisko
• May 2012 – drilling Sara Sara high-grade silver
• June/July 2012 – drilling Lone Mt and Excelsior gold
• Aug/Sept - drilling Bartlett gold/copper

Global Geoscience has bounced off support at 25c and is currently trading at 31c.

GSC is a potential producer of lithium-boron and is currently developing the Rhyolite Ridge project in Nevada, USA. Further details regarding the company's operations can be found in the Diggers and Dealers Presentation released by the company on 6 August 2018.

The PFS for Rhyolite Ridge is due this quarter, so some of the more recent interest in the company could be because of that.

The chart shows a nice uptrend has been forming over the last week and a half so GSC has been added to my watchlist.

Recently raised $50 million in over subscribed cap raise so now have $80 million on the books ….

Market cap around $500 million

DFS and Financing expected to be finalised by end FY19 … Construction into 2020-2021

barney said:

Recently raised $50 million in over subscribed cap raise so now have $80 million on the books ….

Market cap around $500 million

DFS and Financing expected to be finalised by end FY19 … Construction into 2020-2021

Click to expand...

GSC up another 7.81% today. Good volume again of 5.5 million shares. The uptrend is still intact. Clearly someone is interested in getting on board, although the lack of recent announcements make me wonder why all this activity is happening now. You'd think the ASX would have sent them a "please explain" by now.

On November 6th, 2018, Global Geoscience Limited (GSC) changed its name and ASX code to Ioneer Limited (INR).

May Competition Stock Pick - No rhyme or reason behind this one. Daily scan flagged it and in the Lithium zone so who really knows. Daily Chart below

Significant BO of large base pattern. My pick for Oct19 but this could be a start of something larger and longer than a month.

After breaking out, price fell a little but it did make a higher low and broke out again.
DFS is not due until Q1 2020. My pick for Nov19 mthly comp.

Why did it rise?

Knobby22 said:

Why did it rise?

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Probably the followers of livewire. Their article included the following about INR on 21 Oct, the day the price rises started. Could be that the red cordial brigade at Hot Copper and other such places did their thing and talked it up wherever they could.

This theme is a key driver for another of our preferred exposures, being Nevada lithium-boron project developer Ioneer Limited (INR). Ioneer is currently completing a Definitive Feasibility Study on its Rhyolite Ridge project, aiming to bring into production an initial 20ktpa of lithium carbonate or hydroxide (as well as a large boron production stream). This would make Rhyolite Ridge the USA’s largest indigenous source of lithium units. Ioneer has a unique orebody, it’s not a hard rock or a brine deposit, instead, it’s a sedimentary hosted deposit that has proven to have very high recoveries of lithium and boron, and at very low cost. A domestic and low-cost source of lithium from a generational style asset such as Ioneer would appear very valuable (as would its boron production at a time when the largest USA based boron mine is nearing its end of life). The Company has openly stated it is in partnering discussions with off-takers and/or industry players, and we think any of these, if finalised, could lead to a much higher share price.

INR popped up in my weekly scan, coming off a nice base too.

(click to expand)

Since the pop, price has drifted lower. The recent cap raising at 0.20/share has also caused more selling. Price is now at 0.20. The company now has more money to complete the DFS and make a start on the initial engineering requirements.

My selection for the Dec19 monthly comp since the price is now at the SPP price.

peter2 said:

Since the pop, price has drifted lower. The recent cap raising at 0.20/share has also caused more selling. Price is now at 0.20. The company now has more money to complete the DFS and make a start on the initial engineering requirements.

My selection for the Dec19 monthly comp since the price is now at the SPP price.

Click to expand...

Pete
It looks like the SPP was limited to SI and Institutions.
So interested shareholders not on SI category can buy the shares lesser prices than 22.5 cents if act fast?
https://www.asx.com.au/asxpdf/20191121/pdf/44bsk99w5kj7jw.pdf

INR returned ~ 18.75% in 2019 with a high of $0.27. Once the current share placement dust settles ( @ $0.20 ) I then hope that it can take out the 2019 high and have a sneak peak at ATH $0.525

Just bought into INR the other day @ ~12 cents, and I will pick up more over the coming months:

- large resource 146.5 Mt
- Long-life mine ~26 years with ore reserves ~60Mt
- Experienced leadership team
- Decent financials from DFS with NPV~US$1.27B and forecast EBITDA ~$US288M
- Project timing milestones to be in-sync with global economic recovery
(https://www.asx.com.au/asxpdf/20200430/pdf/44hcwgvfq4pfst.pdf)

Stock has been trending down for most of the last year, a reversal of trend is possible based on stock fundementals, positive news flow and announcements that coincide with project milestones and targets:

Ioneer looks interesting. I like how all their presentations are 'post tax' - as opposed to the common model of 'pre-tax' which we see with WA miners. Position on cost curve - if true - is what makes this investment worthy. Location is good, they have adequate cash at the moment to plod along for another year, but they really need financing sorted out and I believe any mining company needing capital in the next 6 months is going to struggle unless it comes in the form of government funding. Throw in corona, the state of the US, economic havok and I'm happy to sit on the outside for now.

The Triangle said:

Ioneer looks interesting. I like how all their presentations are 'post tax' - as opposed to the common model of 'pre-tax' which we see with WA miners. Position on cost curve - if true - is what makes this investment worthy. Location is good, they have adequate cash at the moment to plod along for another year, but they really need financing sorted out and I believe any mining company needing capital in the next 6 months is going to struggle unless it comes in the form of government funding. Throw in corona, the state of the US, economic havok and I'm happy to sit on the outside for now.

Click to expand...

True; Capex for the project is ~US$735M which is quite significant. Possibly a combination of project finance that involves:

- Equity capital raising; share purchase plans and placements
- Debt capital raising; structured corporate bonds
- Direct High-Net-Worth private investor arrangements
- Federal and State government loans/initiatives/support

Hard work, but not impossible.

Chronos-Plutus said:

True; Capex for the project is ~US$735M which is quite significant. Possibly a combination of project finance that involves:

- Equity capital raising; share purchase plans and placements
- Debt capital raising; structured corporate bonds
- Direct High-Net-Worth private investor arrangements
- Federal and State government loans/initiatives/support

Hard work, but not impossible.

Click to expand...

I should correct the project Capex in the comment above; it is ~US$785M. Also that some of the project finance will likely be sought from strategic partners.

The resource is globally significant being the only lithium-boron deposit in North America and one of only two in the world. The project will create a great positive economic impact generally across the USA over multiple decades. (https://www.asx.com.au/asxpdf/20200512/pdf/44hrbkwhrm6x8t.pdf)

Orecobre - lithium /boron
Rhyolite Ridge - lithium boron project
American Pacific Borate & Lithium (ABR)
PKK Group - Boron Nitride Nanotubes (BNNT)

Boron: Making Modern Life Possible
https://www.visualcapitalist.com/bo...&utm_medium=social&utm_campaign=SocialWarfare

that was 2017....

Dona Ferentes said:

Orecobre - lithium /boron
Rhyolite Ridge - lithium boron project
American Pacific Borate & Lithium (ABR)
PKK Group - Boron Nitride Nanotubes (BNNT)

Boron: Making Modern Life Possible
https://www.visualcapitalist.com/bo...&utm_medium=social&utm_campaign=SocialWarfare

that was 2017....

Click to expand...

And Ioneer just signed boric acid distribution and sales agreements (https://www.asx.com.au/asxpdf/20200521/pdf/44j05mzb4sy4cd.pdf)