AVZ Discussion 2022

[llhtom]

Albanese and Wong are spineless fucking weasels hanging Australian mum and dad AVZ investors out to dry

Fuckers.....

Majority of the politicians are the same. Overpaid useless bureaucrats.

 

[trollate]

i DID not make IT to agm!!!! please CAN someone summarise the overall MOOD of the AGM using one of 4 photos:

Smug Nige:

Ready to ride off into the sunset Nigel:

Putting on a brave face Nigel:

No hope Nigel:

 

[staz]

Agreed ; read this and then re reading the announcement from last night is somewhat c

The Failed Crusade to Keep a Rare-Earths Mine Out of China’s Hands​

Failure of one Western company to build China-free rare-earths supply is a glimpse at how Beijing has come to dominate the critical minerals​

By
Jon Emont

Nov. 22, 2025 11:00 pm ET

For years, a mining project in Africa held the promise of helping free the West from its dependence on China for rare earths. Some weeks back, it fell into Chinese hands.

The failure of Peak Rare Earths, an Australian mining company, to build a China-free supply of rare-earth minerals offers a look at how Beijing came to dominate the global supply of critical minerals—a position it is now deftly leveraging for geopolitical gain. China has choked off the supply of rare earths to wring key concessions from President Trump in his trade war.

The sale of Peak to a Chinese rare-earth behemoth earlier this autumn is part of a pattern that means that, by 2029, Beijing will receive all the rare earths flowing from Tanzania, one of the world’s major emerging sources of the elements, according to Benchmark Mineral Intelligence. Some liken it to the grip China enjoys today over cobalt production in the Democratic Republic of Congo.

“This is a very strategic loss,” said Gracelin Baskaran, a critical-minerals expert at the Center for Strategic and International Studies. “This increases [Chinese] market power and it increases their market capacity to destabilize an already very fragile market.”

Since China began restricting the supply of rare-earth minerals to the world earlier this year, Western countries have searched for critical-mineral deposits to quickly bring into production—only to find that Chinese companies have already bought up many of the most promising deposits of rare earths, lithium, nickel and others.

In 2010, Australian company Peak had discovered one of the world’s best rare-earth deposits in Tanzania. Instead of shipping the ore to China, it planned to refine it in the U.K., developing an integrated operation outside of Asia.

By then, China already controlled most of the world’s major rare-earth mines. Huge Chinese exports kept rare-earth prices low, making it difficult for Western companies to raise money to exploit new mines. Years went by.

By 2019, Rocky Smith, then CEO of Peak, asked foreign governments for help in developing the Tanzania mine. His timing was good. Trump was in the midst of a trade war against Beijing, and Chinese state media warned China could use rare earths as a weapon. “The United States risks losing the supply of materials that are vital to sustaining its technological strength,” a commentary in the People’s Daily said.

Smith secured a letter of interest from the Overseas Private Investment Corporation, a U.S. government institute that funded projects in the developing world. However, Tanzania’s then-leader John Magufuli opposed foreign mining projects, and the U.S. government backed off from funding. Other governments also declined to put money forward.

In 2021, Magufuli died in office, and was , who looked more favorably on foreign mining projects.

But Peak’s backers were growing antsy. In 2022 a cornerstone investor, U.K. private-equity firm Appian Capital Advisory, sold its 20% share in Peak to Shenghe Resources, a partly state-owned Chinese rare-earths juggernaut that has steadily bought up stakes in promising rare-earth deposits in Tanzania from Western companies that controlled them.

Appian says that it had made repeated attempts to get U.K. government funding to push the project forward. “This would have provided a large part of the U.K. and Europe’s rare earths, but there was zero backing,” said Michael Scherb, Appian’s CEO.

Peak’s management insisted that even with a large Chinese shareholder, it would stick to its plan to supply buyers outside of China.

Tough choices​

That commitment soon began to falter. In 2022 rare-earth prices started dropping as China jacked up production. That year, Peak made Bardin Davis, a banking veteran and Peak executive, its CEO, and appointed a new executive chairman. Shortly afterward, Peak announced an agreement with Shenghe whereby the Chinese company would receive between 75% to 100% of the mine’s output for seven years. Shenghe would also get a board seat.

Since Shenghe had bought its stake in the company, Western governments treated Peak as being part of the “nexus with China,” said Davis. That made it difficult to raise funds from Western funding agencies for its plans to develop the mine. Meanwhile, Peak risked losing its mining license in Tanzania if it didn’t make progress building the mine.

The company embarked on a global search for joint-venture partners or buyers, but only received one indicative offer—from Shenghe. In 2024, Peak announced a plan to enter a joint-venture arrangement with Shenghe under which the Chinese company would invest to develop the mine.

But then, in response to stiff tariffs Trump slapped on China in April, Beijing implemented a new export control regime on rare earths that strangled global supply and sent shock waves through Western industry, which relies on the minerals to make everything from cars to drones and jet engines.

Peak said it would formally scrap the planned joint venture with Shenghe, citing “recent geopolitical and regulatory developments.” A major problem, Davis said, were regulations Beijing had introduced in recent years restricting the export of Chinese rare-earth technology that would have made it difficult for the Australian and Chinese companies to work together.

This May, Shenghe moved in, offering to buy all of Peak for a premium roughly eight times that of average mining and metals acquisitions, according to data from S&P Global Market Intelligence. The price, Shenghe said, was worth it for a mine it had long considered “the premier undeveloped rare earth project in the world.”

A last-minute possibility of keeping the mine in Western hands emerged when a U.S. private-equity company, General Innovation Capital Partners, made a nonbinding offer that exceeded Shenghe’s. Mike Gallagher, a former Congressman known for his hawkish views on China, is a senior adviser to General Innovation.

But while General Innovation says on its website that one of its focuses is materials extraction, it appeared to have a limited track record in mining critical minerals, said Davis, a potential problem for Tanzanian regulators. Peak’s board said the firm hadn’t provided evidence it could fund the acquisition. Peak turned down the offer, concerned about the fee it would have to pay if it broke its exclusivity clause with Shenghe.

General Innovation didn’t respond to requests for comment.

In all, shareholders received roughly four times the pre-announcement share price from the Shenghe sale. In October, Peak was formally delisted from the Australian stock exchange. Shenghe now controls one of the world’s best rare-earth deposits.

The Chinese “have a long view on this stuff and the money part is not a big deal to them,” said Smith, who served as Peak’s CEO until 2020. Peak is “just one more piece, one more rare-earth deposit that they are going to be bringing into China.”

Stopping Chinese state-backed companies from buying up the world’s strategic mines has become an urgent priority for the West. After Shenghe’s purchase, the U.S. and Australia agreed to strengthen tools to review and deter “critical minerals and rare earths asset sales on national security grounds.”

But mining experts say there are few legal avenues to prevent Australian-listed companies, which do much of the world’s mineral exploration, from selling their mines abroad. Chinese companies are outbidding Western rivals, thanks to generous state support and their skill in navigating developing countries, where corruption is often rampant.

Earlier this month, the European Union opened an investigation into the proposed sale of Anglo-American’s nickel operations in Brazil to a subsidiary of a Chinese state-owned mining giant, citing the possibility that European steelmakers would lose access to a crucial supply source. In recent years, Canada has also strengthened investment laws to make it tougher for Chinese companies to buy mines and has forced some Chinese companies to divest from assets.

Cheers
F

I was a PEK shareholder for many years.
A whole lot more backstory here.

The main deposit at Ngualla, Tanzania was NdPr for the powerful magnets used electric motors in EVs smartphones etc.
The deposit was high quality and low on radioactivity - which was a problem that companies like Lynas had to deal with.

The project was ready as far as I was aware in 2017.
Peak just needed the mining license issued, but that was delayed when a gold mining company Acacia mining, was involved in a dispute with the Government of Tanzania for years.

The deposit was discovered by Peak in August 2010. A scoping study of the project was completed in 2012, followed by a preliminary feasibility study (PFS) in March 2014.

Ngualla received the environmental certificate in March 2017.

In April 2017, a bankable feasibility study of the rare earth project was completed. It was updated in October 2022.

The Government of Tanzania granted a Special Mining Licence (SML) for Ngualla Project to MML in April 2023.

Ngualla Rare Earths Project in Tanzania is one of the largest Neodymium and Praseodymium (NdPr) rare earth deposits in the world.

The project is owned and operated by Mamba Minerals Corporation Limited (MML), which is 84% owned by Peak Rare Earths via 100% owned UK subsidiary Ngualla Group UK. 2023

The remaining 16% is with the Government of Tanzania. 2023

As for the Chinese company Shenghe - dealings were all good with Peak, dealings with the Government of Tanzania also good.
None of this Zinjin and the DRC clownshow stuff.
The UK has always had strong trading and investment ties to Tanzania.

Appian Capital Advisory did very well when they sold their 19.9% stake to Shenghe at 99 cents which was a premium of 28.3% to the 5 day VWAP.

After all the delays at PEK I sold at a loss, but then bought a small parcel after Appian sold to Shenghe.

The last Peak CR at 10 cents was heavily discounted, most holders were not impressed (me too), but those that loaded up did well when Shenghe finally bought out the rest of the company.

Shenghe then acquired the remaining shares for 44.3 cents and it was over.

So the main issue was the WEST just was not interested in doing anything.
Shenghe just did everything by the book and walked away with the prize.

I also think Acacia Mining deserved a shonky achievement award for delaying mining projects in Tanzania for years.

The other thing to note was that Peak was never a crapper darling, so it didn't attract many traders after the initial exploration work was completed.
Lack of interest on the crapper resulted in a small community of respectful informed posters - top crowd.

A boring stock stuck in limbo for years.

 

[Carlos Danger]

i DID not make IT to agm!!!! please CAN someone summarise the overall MOOD of the AGM using one of 4 photos:

Smug Nige:
View attachment 93377

Ready to ride off into the sunset Nigel:
View attachment 93375

Putting on a brave face Nigel:
View attachment 93376

No hope Nigel:
View attachment 93374

 

[Winenut]

View attachment 93383

Probably the best of the four in general....

 

[Mr Clean]

i DID not make IT to agm!!!! please CAN someone summarise the overall MOOD of the AGM using one of 4 photos:

Smug Nige:
View attachment 93377

Ready to ride off into the sunset Nigel:
View attachment 93375

Putting on a brave face Nigel:
View attachment 93376

No hope Nigel:
View attachment 93374

This is objectively hilarious

 

[Flight996]

The on again, off again peace deal is now scheduled for signing on 4 Dec 2025.

DRC/Rwanda • Tshisekedi and Kagame due in Washington to seal peace pact

Under pressure from the United States, the DRC president will travel to meet Donald Trump's team on 4 December and sign a peace agreement with his Rwandan counterpart. It's a risky move, given that

www.africaintelligence.com

Cheers
F

 

[Jongo]

The on again, off again peace deal is now scheduled for signing on 4 Dec 2025.

DRC/Rwanda • Tshisekedi and Kagame due in Washington to seal peace pact

Under pressure from the United States, the DRC president will travel to meet Donald Trump's team on 4 December and sign a peace agreement with his Rwandan counterpart. It's a risky move, given that

www.africaintelligence.com

View attachment 93384

Cheers
F

Nigel mentioned the 4-Dec signing during the AGM, but he also mentioned that Kagame was sick earlier in November. However, from a Google search today it is apparent that Kagame is now ok and hence, the 4-Dec signing will proceed. That is, unless the fat fukker reneges again.

 

[cruiser51]

Nigel mentioned the 4-Dec signing during the AGM, but he also mentioned that Kagame was sick earlier in November. However, from a Google search today it is apparent that Kagame is now ok and hence, the 4-Dec signing will proceed. That is, unless the fat fukker reneges again.

It is possible some people are suffering from the 'I don't want to sign illness'.

Ask the uniformed one, without the AFR, what the best remedy is.

I would prescribe a crowbar, or 4 x 4 behind the ear, followed by a panadol.
I'm mechanically trained and had a strong dislike of my biology teacher, on top of that I did not score high in diplomacy.

 

[Mcconnellmary]

It is possible some people are suffering from the 'I don't want to sign illness'.

Ask the uniformed one, without the AFR, what the best remedy is.

I would prescribe a crowbar, or 4 x 4 behind the ear, followed by a panadol.
I'm mechanically trained and had a strong dislike of my biology teacher, on top of that I did not score high in diplomacy.

I personally love your treatment plan

 

[Jacob Kiraz]

Offer was in the cents. So would be interest to know if high or low "cents". Guess it's close to the offer the guy from the FT wrote. Guess we could be lucky if we receive something around AUD 1-2.

I think it'll be $1 or 90 cents

 

[Hodlandwin69]

$10bil - $20bil USD
Is ~$4.20-$8.40 AUD/ps.
Assuming that money all goes to AVZ, no taxes or split with other Dathcom parties

 

[Sangster]

It is possible some people are suffering from the 'I don't want to sign illness'.

Ask the uniformed one, without the AFR, what the best remedy is.

I would prescribe a crowbar, or 4 x 4 behind the ear, followed by a panadol.
I'm mechanically trained and had a strong dislike of my biology teacher, on top of that I did not score high in diplomacy.

Don't waste a panadol on that prick. Even an appropriate dosage for someone like him, say 5 packs force fed, won't provide fast effective relief for shareholders. Just give him another solid whack with the crowbar.

 

[Sangster]

Offer was in the cents. So would be interest to know if high or low "cents". Guess it's close to the offer the guy from the FT wrote. Guess we could be lucky if we receive something around AUD 1-2.

The important thing to remember is the offer was a small upfront payment and ongoing royalties for many years. The part that was in the cents was not the whole offer and the amount interested parties may pay is not fully described by the upfront portion of KoBold's first offer.

I don't want to start price guessing or raising people's hopes but neither do I want to see anyone getting depressed or losing hope. Let's all stay grounded and tell crap jokes while interested parties worry about how much of that $12B they may or may not be left with after the auction.

 

[hedrox]

Kuntz

 

[Sangster]

Speaking of crap jokes,

Why did Fat Felix cross the road?
Because Trump kicked him in the arse and told him to get the fuck over there and sign the bloody contract.

Why did the Americans cross the road?
To buy Manono.

Why did the Americans cross back over the same road?
Because Nigel told them to go get more money.

Why did the Americans cross the same road yet again?
Because they brought more money.

Why did more Americans cross the road?
To outbid the first lot of Americans.

Why did Nigel look smug?
Because we got our fucking $12B.

 

[Sangster]

Kuntz

The translation is wrong. It should be "Zijin set to be sued for $12B".

 

[wombat74]

Offer was in the cents. So would be interest to know if high or low "cents". Guess it's close to the offer the guy from the FT wrote. Guess we could be lucky if we receive something around AUD 1-2.

I recall reading somewhere something along the lines Kobold was offering a figure that would recoup AVZ's costs (exploration etc ) plus a little gravy on the side . Kobold are a bunch of grubs . IMO

 

[staz]

Q19. What progress have Zijin made on building a mine on CDL? Zijin are nearly ready to deliver product. The plant plus associated infrastructure ( including the Hydro Plant ) has nearly been completed. Delivery via Kalemi and on to Dar Es Salaam is the expected route.

Top effort grassseeds
It's a relief to get some important questions answered.
I was always interested as to the delivery route from Manono to customers.
From memory this overland Manono to Kalemi route was shocking - there was an article about trucks getting hit with arrows.

 

[Charbella]

I recall reading somewhere something along the lines Kobold was offering a figure that would recoup AVZ's costs (exploration etc ) plus a little gravy on the side . Kobold are a bunch of grubs . IMO

If that’s the case, why did AVZ bother signing the MOU and pausing the ICDIS process?
What a waste of 6 months!