AVZ Discussion 2022

[bloke383]

"Dear Ladies and Gentlemen,

After corona-related restrictions on travel and personal contacts, we are all the more pleased to be able to personally invite you with this email to the lunch presentation of the Australian raw materials company - AVZ Minerals Limited .

AVZ Minerals shares are traded in Australia and Germany: ASX: AVZ / FSE: 3A2

Their course has been at an unprecedented high for months: Over 400% in just 6 months!

Possible reasons for this, such as achievements, outlook, strategies and visions for AVZ's Manono lithium project, will be explained to us by Managing Director Nigel Ferguson in presentation events in Frankfurt, Stuttgart, Munich and Zurich. Personal discussions will be possible with a manager whose name will soon be associated with the very large global lithium producers.

Since his last visit in summer 2019, the Manono Lithium and Tin Project has made tremendous progress. With a 24% stake in Manono by the Chinese Suzhou CATH Energy Technologies worth USD 240 million, production is scheduled to start as early as the end of 2023.

In 2020, AVZ Minerals presented an impressive feasibility study for at least 20 years of profitable production, which can now be considered obsolete. AVZ, numerous bulk buyers, CATH and last but not least the Congolese government, which holds 25% of Manono, want to aim even higher. Instead of the previously calculated annual tonnage capacity of 4.5 million tons, the lithium mine should now be able to process 10 million tons of ore per year. After extensive drilling programs, the lithium reserves were expanded by more than 41% in a first step in 2021. JORC lithium resources identified to date are 401 million tonnes grading 1.65% lithium oxide. These are already world records for lithium projects.

At Manono, AVZ has only examined one of six identified pegmatite orebodies. In 2017, analysts from China's Ministry of Mines named the Manono Project as the Escondida of Lithium (largest copper mine in Chile). Significant amounts of mineable tin and tantalum also exist at Manono. Before the importance of e-metals could be recognized, there was a tin mine on the site.

Lithium mining from solid rock (pegmatite) clearly belongs to the future, in which sustainability of raw material production will be decisive for project developments. Far too much water was and is still wasted for lithium production from salt lakes, which we know from South America, among other places.

With the implementation of global e-mobility, raw materials such as lithium, copper, tin, nickel, manganese and cobalt are becoming increasingly important and the demand for them will grow even more rapidly. All of these metals are found in the Congo in particular. It is therefore not surprising that large Chinese investors are particularly well represented in this African country. China is also by far the largest producer of chemical components for the battery industry, which is also largely based in China. So far, there are numerous major investors from the Far East both in the share register and in the order books of AVZ.

The mine planned by AVZ Minerals is intended to extract lithium-rich ore from pegmatites and initially convert it into 6% spodumene concentrate (SC6). Chemicals suitable for batteries, such as lithium sulphate, hydroxide and carbonates can then be obtained from this. Within a short period of time, their prices have risen by clearly three-digit growth rates.

A world-class gold deposit has already been developed in the Congo with Moto Goldmines, and AXINO has been involved from the very beginning. Now it seems that we can repeat this success with AVZ Minerals.

Anyone who relies on lithium and future e-mobility should not miss this presentation by AVZ Minerals.

Please have a look at the latest video of AVZ and its Manono project at the end of this message.

AVZ Minerals has everything a budding producer with a world-class project needs:

1. Huge lithium deposit with further high potential for growth
2. Global demand for lithium and other ferrous metals is exploding
3. Mine license & completion of second feasibility study for Manono expected soon
4. Potent major shareholders, numerous purchase guarantees and strong project partners
5. Experienced management with many years of activities in the Congo

6. Exit strategies for AVZ and its shareholders, eg possible project part sales or takeovers "

https://events.axinocapital.de/avz-roadshow/

Takeovers?

This better not end up the same way as PSC or I will be FUCKING PISSED !
PSC had a world class lithium asset as well & management were on the verge of announcing full funding &/or a jv partner . Instead the project was basically gifted to a Chinese company by the Zimbabwean Govt & our management tried to tell us it was a great outcome for shareholders with the sale price achieved . Check out PSC current market cap ! You can't trust the Chinese !
They better release the BFS before any sale/takeover is considered !

 

[njoy84]

I wonder why they would hold a roadshow in europe if they were planning a takover. My thoughts are that maybe a part of roche dure will be sold in the future to focus the exploration of the huge expansion project. As the description of the roadshow points out they have only explored one of the six pegmatites. another scenario could be that after they have new drill results they will use part of the expansion project to fund an upgrade of the plant.

These are my thoughts on this and would not read too much into it in advance, but would also be pissed off if they sold us cheap.

Unfortunately I can't be at the roadshow but I'm sure my fellow European holders will take a look.

kind regards
njoy

 

[bloke383]

I'm hoping Axinocapital may have taken a bit of editorial liberty as to how to talk up AVZ to prospective investors with their dot point 6 of a possible sale or takeover ? I'm really Really hoping that's all it is ...
What a way to ruin a weekend

 

[Frank]

To remind: https://www.theeastafrican.co.ke/te...-burdens-dr-congo-brings-to-eac-table-3769482

In an earlier interview with The EastAfrican, Equity Group CEO James Mwangi said they were seeking Tesla boss Elon Musk to establish a plant in DRC to avail himself of the raw materials and add value at the source.

Elon Musk says Tesla may have to get into the lithium business because costs are so 'insane'

According to Benchmark Mineral Intelligence, the cost of the metal has gone up more than 480% in the last year.

www.cnbc.com

KEY POINTS

Elon Musk tweeted Tesla may get into the lithium mining and refining business directly and at scale because the cost of the metal, a key component in manufacturing batteries, have gotten so high.

“Price of lithium has gone to insane levels,” Musk tweeted.

Lithium deposits are not uncommon in the US, but refining resources are limited.

EV and battery big talk must now switch to mining as supply chain bites​

www.benchmarkminerals.com/membership/ev-and-battery-big-talk-must-now-switch-to-mining-as-supply-chain-bites/

More Food for thought on the Road to Mining Manono Bro

Now bring on that ML DRC

So i can see that bloody amazing BFS asap

Cheers

Frank

 

[Fletch77]

This better not end up the same way as PSC or I will be FUCKING PISSED !
PSC had a world class lithium asset as well & management were on the verge of announcing full funding &/or a jv partner . Instead the project was basically gifted to a Chinese company by the Zimbabwean Govt & our management tried to tell us it was a great outcome for shareholders with the sale price achieved . Check out PSC current market cap ! You can't trust the Chinese !
They better release the BFS before any sale/takeover is considered !

Was that an alcohol fuelled rant by any chance ?

If a TO did occur below $3 this year I would be extremely surprised and pissed off also, but no use getting wound up over it.

i really want to see AVZ SP reach full potential into production and IMO I think this will happen.. but a TO next year at $4 wouldn’t be the end of the world for me personally.

No matter the outcome we are in for a very entertaining and lucrative ride with this one

 

[Frank]

 

[Sammy_da_Smile]

Going back to 2020 when seeking a European investor was often talked about on the forums. As we know with covid, the team couldn't travel.

From memory there was even the chatter of a JV with a European entity, could this be the road show that seals the deal or at least kicks of some discussions?

To remind:

AVZ progresses lithium development funding discussions

ASX-listed lithium hopeful, AVZ Minerals, says it is knee-deep in negotiations with potential offtake partners and debt financing providers to breathe life into the staged, US$545 million development of its massive Manono open-pit lithium and tin project in the DRC.

thewest.com.au

AVZ progresses lithium development funding discussions

Tue, 15 September 2020 10:20AM
Matt Birney

ASX-listed lithium hopeful, AVZ Minerals, says it is knee-deep in negotiations with potential offtake partners and debt financing providers to breathe life into the staged, US$545 million development of its Manono open-pit lithium and tin project in the Democratic Republic of the Congo that boasts one of the largest hard-rock lithium deposits on the planet.

The Perth-based, $178 million market-capped company is looking at debt financing options for developing Manono with several parties in Europe, the Middle East and South Africa.

According to management, discussions are progressing well with its prospective lenders, who have been carrying out due diligence on the potential long-term mining operation since its Manono data room was made available a few months ago.

Meanwhile, AVZ said its discussions are also advancing well with multiple potential offtake customers for significant volumes of spodumene concentrate and even lithium sulphate and tin.

Tenders for the Manono processing plant and associated infrastructure are currently being evaluated and the company intends to award contracts once management has made a final investment decision, which AVZ indicated in a presentation last month is expected some time this month but still “dependent on financing activities”.

The definitive feasibility study on Manono completed this year has forecast a whopping EBITDA of US$8.35 billion and a profit after tax of US$3.77 billion over the initial modelled 20-year life of the proposed mine.

AVZ owns 65 per cent of the project currently.

Manono’s net present value, discounted at 10 per cent, has been calculated at US$2.34 billion before tax, and the project shows an internal rate of return before tax of 53.15 per cent based on the CAPEX figure of US$545 million, with an impressive payback period of just one-and-a-half years pre-tax.

The project’s latest stated indicated and measured resources for the Roche Dure deposit of 269 million tonnes represent arguably the world’s largest mineable primary spodumene resource, says AVZ. Tonnes in the inferred category lift the overall resource figure to a monster 400Mt going 1.65 per cent lithium oxide.

Proved and probable ore reserves at Manono stand at 93Mt grading 1.58 per cent lithium oxide and are forecast to support production of 13.72Mt at 6.1 per cent lithium concentrate and 900,000 tonnes of primary lithium sulphate over the initial mine life of 20 years.

 

[Frank]

 

[TheCount]

Big week coming up - I can feel it in my bones…..

Well, it’s either that or the Freedom Ale talking!!

Cheers,
TC.

 

[Winenut]

Big week coming up - I can feel it in my bones…..

Well, it’s either that or the Freedom Ale talking!!

View attachment 4030

Cheers,
TC.

I'm not really a beer kinda bloke but that looks bloody refreshing!

 

[LEFOOL]

 

[bloke383]

Was that an alcohol fuelled rant by any chance ?

If a TO did occur below $3 this year I would be extremely surprised and pissed off also, but no use getting wound up over it.

i really want to see AVZ SP reach full potential into production and IMO I think this will happen.. but a TO next year at $4 wouldn’t be the end of the world for me personally.

No matter the outcome we are in for a very entertaining and lucrative ride with this one

No alcohol was consumed before writing that post . I am just frustrated with the management & bod of ASX listed companies not doing what they are required to do ... maximize returns for all shareholders . With their salaries & free shares/options they don't care if the absolute best outcome is not presented to shareholders re takeovers for example . I had shares in PSC & all shareholders got duded with that one . PSC mcap is basically capped at $400 to $500 million while having a much larger resource than CXO & SYA (for example) , whose mcap are both $2 billion plus .

So I though Felix T gave his ministers a 2 week deadline to get back to him regarding developments in the mining industry , & that was well over a month ago ?
Frank found this one ... "CES President Jean-Pierre Kiwakana calls on government to implement the project to create electric battery manufacturing plants at local level"
We've had indirect confirmation of full (?) funding for AVZ from the AfDB
It appears the mining licence has been rubber stamped with the sleuthing done this week
A roadshow through Europe at the end of the month
How much longer before we get this show on the road ...

 

[Frank]

If / when we ever get this "Show on the Road" - C'mon Antoinette, just Sign & Rubber Stamp the Farkin' thing will ya, like tomorrow

We know you want / need to Minister of Mines And if we / us SH's can hold on long enough and there's No TO @ $3 - Lol, As if

Well, here's what we could expect to see down the Road to Manono if all goes to plan according to Constantin and the Thrasher

Food for thought, It's a Lot to swallow i know

The Proof is in the Pudding or is it the Pie

With plenty for everyone to go around

Frank

 

[CashKing]

If / when we ever get this "Show on the Road" - C'mon Antoinette, just Sign & Rubber Stamp the Farkin' thing will ya, like tomorrow

We know you want / need to Minister of Mines And if we / us SH's can hold on long enough and there's No TO @ $3 - Lol, As if

Well, here's what we could expect to see down the Road to Manono if all goes to plan according to Constantin and the Thrasher




View attachment 4041


View attachment 4040


View attachment 4042

Food for thought, It's a Lot to swallow i know

The Proof is in the Pudding or is it the Pie

With plenty for everyone to go around

Frank

View attachment 4043

Hahaha Wombat loves a good TO story…. He may or may not wanted the board sacked not long ago , Ahh bless him I guess we need people like this to keep us all sane

 

[cruiser51]

Hahaha Wombat loves a good TO story…. He may or may not wanted the board sacked not long ago , Ahh bless him I guess we need people like this to keep us all sane

He wanted to sell out at 15 cents too.
Why doesn't he just sell and move on ffs?

 

[Xerof]

Can anyone else NOT get onto the CAMI website? Seems to have been taken down, or blanked out.

I wonder why Too much info put up perhaps?

Could be just my mac and iPhone, so would appreciate an independent verification from one of you guys

 

[Remark]

Can anyone else NOT get onto the CAMI website? Seems to have been taken down, or blanked out.

I wonder why Too much info put up perhaps?

Could be just my mac and iPhone, so would appreciate an independent verification from one of you guys

Not here, the site's still working.

 

[Sammy_da_Smile]

Can anyone else NOT get onto the CAMI website? Seems to have been taken down, or blanked out.

I wonder why Too much info put up perhaps?

Could be just my mac and iPhone, so would appreciate an independent verification from one of you guys

Working for me mate.

 

[Xerof]

Ok, thanks mate (s)

 

[Frank]

He wanted to sell out at 15 cents too.
Why doesn't he just sell and move on ffs?

It's going to be interesting to see who is still holding in a year or two, four or more from now for me tbo

When, where and at what point in time some of us SH's say, "Thanks for everything, I'm outta here"

God knows we've seen our share of weirdo's, trolls, negative nancy's come and go over the years

Wonder how our old mate GC is going, knowing what "could have been" with some patience

That's gotta hurt in hindsight

Still in Therapy i'm guessing

To remind,