AIS, Aeris Resources Limited

[nipper]

Bell Potter second pick for 2021 goldie

Aeris Resources (AIS)
Aeris Resources had a transformational year in 2020, primarily due to the acquisition of the Cracow Gold Mine from Evolution Mining. From a single-asset
copper company highly leveraged to the copper price, AIS is now a multi mine copper/ gold producer offering a balanced exposure to two of our preferred metals.

Following completion of the acquisition on 1 July 2020, Cracow delivered an excellent maiden quarter for AIS, with production and costs beating our expectations. Combined with a good performance from Tritton, AIS cut its net debt position from ~$60m to $28.3m over the quarter. AIS has since repaid a further A$7.5m of its Bridging loan ahead of schedule and made a voluntary US$2.0m repayment to its Tranche B facility.

The Cracow acquisition, the strengthening of the balance sheet, the restructure of the share register and some exciting recent exploration success at Tritton is, in our view, just beginning to gain recognition in the market. We forecast strong earnings and cash flow growth in FY21 on low multiples and see the opportunity for a material re-rating for AIS in 2021.
Buy, Target Price $0.112

[blacksheep]

In Reply To: blacksheep's post @ Nov 27 2018, 02:13 PM

Argonaut soars on nearology

Today’s news sent nearby copper explorer Argonaut Resources (ASX: ARE) soaring with the company attracting a speeding ticket from the ASX after its share price sky-rocketed more than 30% during trade from $0.018 to a high of $0.024.

Commenting on BHP’s find, Argonaut chief executive officer Lindsay Owler said it was a “spectacular discovery” and could possibly rival BHP’s own Olympic Dam mine if the size and processing economics were right.

He said the 180m at 6% copper was one of the “longest highest-grade hits” the copper industry has seen in a long time.

“The hole ended in mineralisation so who knows how long that total intercept of 425.7m could actually turn out to be.”

IOCG’s geophysical signatures
Mr Owler is particularly interested in the geophysical signature of BHP’s discovery, which he said has similarities to Argonaut’s own anomalies within its Torrens copper project about 40km away.

“With these South Australian-style iron-oxide, copper, gold (IOCG) orebodies, they all start off having the iron component being magnetite, which has a strong magnetic signal and is also dense,” he explained.

“Then, in the alteration process, which brings in the copper mineralisation that magnetitic iron is converted to haematitic iron and the copper comes in.”

“Hematite is an iron mineral that’s entirely nonmagnetic, but it’s still dense. So, in searching for IOCGs, you are looking for areas that were previously magnetic and have been converted into density-only or gravity-only anomalies,” Mr Owler noted.

He added they were often in proximity to magnetitic bodies.

Mr Owler pointed out that Argonaut’s Murdie and West Lake Torrens prospects, within the Torrens project, were of particular interest because they possess the “exactly the same flavour” in geophysical signatures as BHP’s discovery.

Olympic province explorers
Aeris Resources (ASX: AIS) owns a 70% interest in the Torrens project, with Argonaut’s holding the other 30%.

Torrens is about 75km from Olympic Dam. Previous drilling at the project returned 246m at 0.1% copper.

In 2019, the joint venture plans to carry out drilling over the next two years.

Aeris also rocketed on news of BHP’s discovery ending the day at $0.16 – up almost 27%.

In addition to BHP, Argonaut and Aeris, the Olympic province is home to other IOCG explorers including OZ Minerals’ (ASX: OZL), which owns the Prominent Hill mine and the advanced and Carrapateena project, which is under construction.

Rex Minerals (ASX: RXM) is progressing the Hillside project where an extended feasibility study and a Chinese feasibility study are nearing completion.

Once the copper market improves and the studies have been completed, Rex is looking to finance and develop the project.

Red Metal (ASX: RDM) has the Punt Hill and Pernatty Lagoon joint venture with OZ Minerals. A maiden 6,000m drilling campaign is underway to test six targets.

Not to be left behind, Cohiba Minerals (ASX: CHK) has begun reviewing its Pernatty and Peninsular projects in the province after Red Metal and OZ Minerals kicked-off drilling at adjacent tenements.

Cohiba said it has been encouraged by preliminary geochemcial sampling results.

Meanwhile, BHP’s own Olympic Dam mine in the area is known as one of the world’s largest multi-mineral deposits and is projected to produce around 180,000t of copper in the 2019 financial year.

https://smallcaps.com.au/bhp-rio-tinto-majo...ar-olympic-dam/

[blacksheep]

SP up 23% @ 16c/share

Could be due to BHP recent ann...

BHP today confirmed identification of a potential new iron oxide, copper, gold (IOCG)
mineralised system, located 65 kilometres to the south east of BHP’s operations at
Olympic Dam in South Australia.

As part of BHP’s ongoing copper exploration program, four diamond drill holes,
totalling 5346 metres, intersected copper, gold, uranium and silver mineralisation of
IOCG style on BHP’s exploration licence 5941.

Kelaray Pty :Ltd are holders of EL 5614 which lies 75 klms from BHP's Olympic Dam Mine - a jv between ARE & AIS.
Kelaray also have applied for ELA 2018/00160 which lies between the BHP tenement and the jv tenement

The Torrens Joint Venture
The Torrens Joint Venture is between Argonaut Resources NL and Aeris Resources Limited (ASX: AIS) and
relates to the Torrens Project, EL5614.

The Torrens Joint Venture is exploring for iron oxide-copper-gold systems in the highly prospective Stuart
Shelf region of South Australia. The Torrens Project is located near the eastern margin of South Australia’s
Gawler Craton (Stuart Shelf), within 50 kilometres of Oz Minerals’ Carrapateena copper-gold deposit and
75 kilometres from BHP Billiton’s Olympic Dam mine.

ARE received a speeding ticket today - here's their response

The Company notes the ASX announcement made by BHP today titled “BHP copper exploration
program update” announcing the potential identification of a new iron oxide, copper gold mineralised
system in the Olympic IOCG Province. A copy of the announcement can be found on the ASX
markets announcement platform using the following link:
https://www.asx.com.au/asxpdf/20181127/pdf/...nhy97knh83z.pdf

The Company’s Lake Torrens tenements are in same Olympic IOCG Province, nearby to this
discovery. The Company previously announced that a major program of drilling at the Torrens
anomaly to similar depths as BHP’s discovery drilling is imminent. We are of the opinion that the
announcement of BHP’s discovery in combination with near-term commencement of Argonaut’s
drilling is likely to have have influenced the prices and trading volumes of the shares of the Company.
The Company is not aware of any other information apart from this in relation to the recent trading
in its securities

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[bg99]

Big dilution coming for AIS shareholders .... cap raising 20c/share for 175m shares current no shares 280m... price down from current 32c/share

https://www.asx.com.au/asxpdf/20180921/pdf/...jdgqx12kj3p.pdf
https://www.asx.com.au/asxpdf/20180921/pdf/...jdrx5xhtpgr.pdf

All is not lost with diluted EPS of 15c/share though