AVZ 0.00% 78.0¢ avz minerals limited

donegaldemon, I think 5 things regarding BNB and its Chairman...

  1. 2,362 Posts.
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    donegaldemon,

    I think 5 things regarding BNB and its Chairman coming to Manono.

    They would be impressed with firstly the resource:

    *our proven 72 years of historical data from our Brownfield's site.

    *approximately half of the few results(9 holes) being high grade world record intercepts,

    *spodumene mineralisation being homogenous and close to the surface, and therefore cheap and easy and to mine

    *our early metallurgy that has shown that almost all the lithium is contained in spodumene and not lepidolite, and contains few impurities/low mica so is excellent for concentrating to battery grade lithium. By the way, in early historical experiments in the 1950's it was shown that it is very easily possible to obtain a spodumene recovery efficiency of 80% and over 6% Li2O(courtesy of Mineralised), fantastic for commercial purposes of being able to readily and efficiently(cheaply) concentrate lithium to battery grade.

    *that AVZ will be able to claim tin credits from a tier one tin resource plus tantalum credits. Tin will also be in high demand for the electric vehicle/storage revolution both in the electrical componentry for EV's(far greater number of electrical components than vehicles with internal combustion engines) plus tin used for lithium-ion batteries(many patents). Tin anodes have been proven to hold twice the charge and potentially double the range for electric vehicles; a game changer!

    * that AVZ is in a mining friendly jurisdiction in the DRC, with the Chinese and the DRC government in part ownership. The Chinese have a very good relationship with the DRC government with many successful Chinese ventures in operation, not to mention other large successful non-Chinese mining companies like Glencore. There is far less red tape to mining in the DRC than Australia, and therefore mining development can potentially occur much more quickly. For example Huayou who have a stake in us got 5 copper/cobalt projects up and running in 12 months, and in an AVZ mining official presentation they have a timeline for a mine to be commissioned and operational timeline by 2019/2020!

    Secondly, the mammoth size of the Manono deposit would meet BNB's large, long term demand needs for lithium.

    From announcement this week:

    "BNB has developed the next generation of lithium iron phosphate batteries with energy densities of 220 Wh/kg, and for its lithium nickel cobalt manganese (LiNiCoMn)O2 batteries, energy densities of 330 Wh/kg have been reached, both of these battery series are planned for mass production in 2020. BNB holds the dominant market position for the supply of batteries to China's bus industry. The company has strategic supply agreements with Yutong Bus, Zhongtong Bus, King Long Bus, Yaxing Bus, Higer bus and Wuzhou Long Bus, with purchase orders in excess of 2 million kWh, and 5 billion yuan."

    Thirdly, they would also know that because of the mammoth size of AVZ's high grade deposit(potentially multiples of any hard rock lithium resource on the planet), and the potential to be the lowest cost producer that AVZ has the potential to control lithium pricing and supply; a worthy prize indeed!

    Fourthly, BNB would be impressed with the go ahead for China to build the hydro plant in the DRC, the Chinese approximate 300 million upgrade on road infrastructure, and how Huayou(mining), who have a stake in AVZ, were able to get 5 copper/cobalt projects up and running in the DRC in 12 months. This information gels with mentions in the announcement of "BNB’s Chairman and AVZ Executive Management around working together to ACCELERATE the DEVELOPMENT and PRODUCTION of the Manono Lithium Project." together with.... "AVZ’s Executive Chairman Klaus Eckhof commented: “We are very excited by THE PACE and professionalism demonstrated by BNB as they move through their due diligence process with AVZ.

    The above smells of an urgency to mine, and potential moves happening next week!

    Lastly, regarding prospective results we legally cannot say anything, suffice to say that going on past stellar announcements/historical data(they know where to drill!) you would expect them to be good. I also believe that the next results will be a multiple compilation to give the greatest impact for the visit of BNB and its Chairman.

    One other thing, according to Mistie our next intercept is likely to eclipse all our other world records, and it makes sense knowing where they are drilling.

    Mistie stated:

    "I am anticipating that a world record mineralised assay intersection of +294m @ 1.5%+ Li2O is returned as only 0.12m of the intersected spodumene bearing pegmatite was not in fresh rock."

    https://unauthorised investment advice/wp-content/uploads/2018/02/Screen-Shot-2018-02-01-at-10.56.06-am.png


    P.S. ONE

    The mention of the other large companies that AVZ has MOU's with in the last announcement was no accident in my opinion. It may be a hint that next week(results?, BNB/Chairman visit) may force the hand of other companies, and I haven't even mentioned the biggest elephant in the room yet; CATL!

    "AVZ also advises that discussions with other memoranda of understanding parties, Guangzhou Tinci Materials Technology Co. and Shanghai GreatPower Industry Co. remain ongoing."


    P.S. TWO

    The site visit of BNB with its Chairman's is planned for Wednesday the 27th of March. It is therefore not unreasonable to suggest that drill results may hit Monday/Tuesday of next week to have the greatest impact on this visit, which could ultimately influence important investment decisions. If this is the case, there may be a FOMO Friday. Therefore in my opinion there is only a small window to take a position in AVZ, which I still believe to be at a bargain basement price considering the potential richness of AVZ's resources, and potential investment moves, be it from a JV-mining /company investment announcement-off-takes, institutional buying(eg."HK Insto promising to pick up an initial 30M shares.", REMX-US based ETF fund last Friday taking a big position(TEN MILLION DOLLARS!), or, even a takeover.("However if a buyer, such as “one of the bigger Chinese miners” comes knocking, AVZ won’t turn it down.", Klaus Eckhof, CEO of AVZ).

    Cheers M8

    AIMO
    Last edited by Mining8: 23/03/18
 
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