ARU, ARAFURA RESOURCES LIMITED

[nipper]

ARU up 20% today on medium vol


No announcement.... presented at the New World Metals Conference held in Perth of Friday.

Definitive Feasibility Study (DFS) in 2019
Ore Reserves & Mining Inventory updated in 2020
Capital cost A$1,026m Low cost producer at US$23.71/kg NdPr (current price US$66.36/kg*)
Costs include ESG compliance
Only Australian NdPr focused project that is shovel ready

that is a lot of money needed

[nipper]

And Arafura going after even more money

Arafura Resources Limited (ASX: ARU) announced today that it will be undertaking a fully underwritten pro-rata non-renounceable entitlement offer to eligible shareholders of new fully paid ordinary shares in Arafura on the basis of 7 New Shares for every 20 fully paid ordinary shares in Arafura held as at 7.00pm AEDT on 25 June, at an issue price of $0.085 per New Share, to raise approximately $23.2 mill (before costs).

The Entitlement Offer will be made without disclosure to investors pursuant to section 708AA of the Corporations Act 2001 (as modified by Australian Securities and Investments Commission Corporations (NonTraditional Rights Issues) Instrument 2016/84). Arafura expects that the Entitlement Offer will close on 12 July 2019.

The Entitlement Offer is open only to Arafura shareholders with a registered address in Australia or New Zealand as at the Record Date. The ASX Listing Rules and the terms of your Arafura options require Arafura to notify you of your right to participate in an entitlement offer of New Shares and the Record Date for the Entitlement Offer.

Your options do not entitle you to participate in the Entitlement Offer. Assuming your options are currently exercisable, to participate in the Entitlement Offer in respect of your options you would need to exercise your options and be entered onto Arafura’s share register as a shareholder on or before the Record Date.

[nipper]

In Reply To: nipper's post @ Aug 13 2018, 10:07 AM

And again

Trading Halt - Capital Raising

[nipper]

Arfura going after some more money :

a 1 for 4 accelerated non-renounceable entitlement offer (Entitlement Offer) at $0.08 per share to raise approximately $11.5 million

to progress further development of the Company's Nolans NdPr Project in the Northern Territory

by carrying out technology, engineering and piloting activities as required to progress to a definitive feasibility study (DFS)

and to enable project execution readiness, and for general working capital purposes.

[nipper]

A proposal to mine rare earths at a site north of Alice Springs has been given environmental approval with stringent conditions.

The Northern Territory Environment Protection Authority says Arafura Resources’ Nolans Project can be managed to avoid unacceptable impacts and risks over the mine’s 55-year life.

Arafura plans to mine rare earth elements, including neodymium, praseodymium, apatite, monazite and allanite, which are used in products such as wind turbines and the electric motors in hybrid vehicles.

In its 16 recommendations to the NT government, the EPA said mining waste, including naturally occurring radioactive material, should be permanently stored on the mine site.

The EPA has also expressed concern over the potential impact on groundwater and has offered proposals to deal with the eventual closure and decommissioning of the mine.

“This proposal comes with long-term environmental risks that will require a high level of ongoing regulatory scrutiny across,” EPA chairman Paul Vogel said in a statement.

The EPA said the mine’s operators should integrate mine closure planning with its operations to allow for progressive rehabilitation of the site. It says a bond should also be paid to ensure the rehabilitation’ costs were not left to the NT government should the mine be abandoned or the company become insolvent.

Within its recommendations and conditions, the EPA said the risks and impacts associated with the project could be avoided or sufficiently mitigated....

http://www.theaustralian.com.au/business/m...1dfc469d8d1f5a8

[blacksheep]

In Reply To: blacksheep's post @ Aug 24 2017, 05:43 PM

Australia Rapidly Dominating Global Rare Earths Supply

Right now, the world is consumed with sourcing battery materials such as lithium and cobalt, but in order to produce the associated energy to charge these devices, REEs must necessarily be the next global mineral craze. We simply cannot continue to power the world with old dinosaur bones, and the wind turbines and generators of the future are to be built around permanent magnet motors. The Nolans resource is long-life and low-risk with planned output that can support more than three decades of production, meaning that the resource should come online during peak pricing and continue until after 2050.

Given that the majority of state and corporate promises to move entirely to renewable energy sources and electric vehicles focus on completion by 2040-2050, Arafura is in a very good position indeed. Additionally, the buyer trend at the moment is for longer term fixed contracts for NdPr supply in almost unanimous anticipation of continued price escalation into the medium term, so customers will not be difficult to come by. NdPr as a segment is expected to have a CAGR of around 8% or more through to 2025, but personally, I think this will become an accelerating growth rate from around 2021. Arafura stock is currently trading at AUD$0.084, an absolute bargain considering the next decade will likely see Australia become a global leader of REE exports.

https://investorintel.com/sectors/technolog...bal-domination/

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[blacksheep]

In Reply To: blacksheep's post @ Aug 14 2017, 09:51 PM

Gets a mention here

Higher near-term neodymium and praseodymium oxide prices will provide a significant boost for late-stage rare earth exploration companies – particularly those with a high level of potential revenue exposure to neodymium and praseodymium oxide, along with heavy rare earths used in high-grade NdFeB permanent magnets, such as terbium and dysprosium.

Such companies and projects include, among others, Peak Resources and its Ngualla project; Mkango Resources and its Songwe Hill project; and Rainbow Rare Earths and its Gakara project, all in Africa. In Canada, CREE companies to watch include Commerce Resources and its Ashram project; Matamec Resources with its Kipawa project; and Search Minerals with its Foxtrot project, in Canada.

Greenland Minerals & Energy is also advancing the Kvanefjeld project, in Greenland, while Minera BioLantanidos is advancing the El Cabrito project, in Chile. Other notable projects include Alkane Resources and its Dubbo project; Arafura Resources and its Nolans project; and Northern Minerals, which is developing the Browns Range, all located in Australia.

http://www.miningweekly.com/article/rising...rket-2017-08-22

[blacksheep]

Strong performance today following their ann. Up 14% finishing @ 7.8c. See also the Roskill article linked below re REE's
https://roskill.com/news/rare-earths/

The latest pricing information has neodymium-praseodymium (“NdPr”) oxide FOB China, at
US$73.30/kg. Prices are now at their highest levels since before China removed its export
restrictions on rare earths in May 2015. NdPr is the main product Arafura anticipates producing
from its 100%-owned Nolans project and NdPr price is the key driver of Nolans project
economics.

About NdPr

NdPr is in short supply globally and isthe critical raw material in the manufacture of ultra-strong,
high-performance permanent magnets, which are used extensively in the automotive industry
for electric components such as seats, mirrors, wipers, steering and braking.

Importantly, the compound has also emerged as a key enabler of hybrid and electric vehicles as
high-performance magnets play a key role in electric traction motors. While traditional petrol
or diesel combustion engine motor vehicles each use approximately 0.7 kg of NdPr oxide,
electric or hybrid vehicles require an additional 1 kg.

The increasing shift towards hybrid and electric drivetrain technologies among the world’s
leading automotive manufacturers is expected to continue to positively influence market
fundamentals for NdPr.

The demand for NdPr oxide is expected to grow at 8% per annum to 2025 from current global
consumption of 33,340 tonnes.

[mcart117]

In Reply To: mullokintyre's post @ Mar 20 2014, 04:26 PM

Hi Mick, I think you could be right.

About 12 months ago I posted on a company called MTB. Somebody had put up a question. The point of the story is they had a decent resource but absolutely no cash, and I felt really sorry for anyone still holding.

Sad thing is ARU is heading in the same direction. A decent resource, years and millions invested in research on how to develop it, but not enough cash and apparently very little interest from anyone not actually on the payroll.

In a couple of years the kitty at ARU might have run dry, the buy side might have dried up and sellers might be queueing to offload at $0.001. Sadly, I am still holding - another example of my falling victim of the RE hype 3 years ago.

I think I said on GGG that until LYC either goes broke or turns a profit undeceloped RE resources with be something of a financial quagmire. I just wish I wasn't such a blithering idiot, climbing on a bandwagon, just as sensible people were getting off it!

[mullokintyre]

Not sure if this co is going to survive. Took my substantial losses and sold out.

Mick