All highlighted by Bob:There are seven key points which set...

All highlighted by Bob:
There are seven key points which set Torque Mining Ltd (Torque) above recent IPO’s and should ensure the success of the company.

1)Torque is gold focussed and through the BCD Resources joint venture Torque expects a cash flow from gold mining by mid-2013 (subject to Feasibility Study and various Governmental approvals – see Prospectus). In respect to projections at this stage they are dependent on a feasibility study which BCD expect to complete late March but preliminary estimates suggest Torque should receive net cash of between $3.5m and $8m depending on gold price – respectively US$1550 to $2000, in the 12 months from mid-2013. For further info see scoping study on Torque’s web site (and we have preliminary info from the study in progress) but the above figures are projections only at this stage. The BCD JV incorporates about one third of present resources and if the partners decide to include all resources in the BCD JV, cash flow continues for perhaps 2/3 years. Funds from the BCD JV and this IPO will target increasing gold resources at Moina which could continue the BCD JV or lead to a stand-alone venture at Moina.

2)Torque controls almost all the multi-metal (including gold) historic Moina mining district in Northern Tasmania. This district has small to moderate gold resources and Torque management believes it is at the same stage of development (not comprehensively explored for gold), as the Cadia District in New South Wales and numerous gold districts in Western Australia were 20-30 years ago, all of which have since yielded multimillion oz resources after comprehensive exploration. Management sees no impediments to Torque achieving similar results at Moina.

3)At Moina gold is associated with sulphides. A Three Dimensional Induced Polarisation Survey (3DIP) over much of the district defined existing resources (indicating the exploration technique works at Moina) and is considered an outstanding success. It has indicated numerous, previously unknown sulphide targets (and possibly gold), some of which could be very large. 3DIP is a new and advanced exploration technique and has not yet been extensively used in Australia. This is a major advantage for Torque in comparison to any previous exploration programs, and is expected to lead to major discoveries in the near future.

4) Approximately $9 million has been spent by Torque and parent Frontier Resources Ltd (Frontier) on exploration in Tasmania. Exploration on Torque’s major projects is at advanced or development stage. Funds raised will go into drilling, feasibility studies etc.

5)Torque has three diamond core rigs plus ancillary equipment.


6)Torque has very experienced and committed management. I have already invested $340,000 in Torque and have committed to a further investment of $300,000 in the IPO. This commitment confirms that I consider Torque a very attractive IPO that should achieve substantial success.

7)Torque plans an Issue of a “loyalty” option four months after listing. Torque will also release any assay results for approximately 14 drill holes completed over the past few months but not yet assayed, and a Feasibility Study for the development of the Stormont deposit.