tomingley progress report, page-9

This is one to lock away and buy on any weakness.... IMO

Here's a couple of recent encouraging reports:


Full steam ahead at Tomingley
By KIM BARTLEY May 23, 2013, 8:52 a.m.
Sixty noses are to the grindstone at an emerging mine site 50 kilometres south-west of Dubbo.

Earthworks have been the order of the day since Alkane Resources received a mining lease from the state government for the $116 million Tomingley Gold Project (TGP) in February.

But the footings for the central section of the project’s processing plant have been put in place in readiness for the construction phase of the project to be ramped up.

Alkane’s managing director Ian Chalmers reports that infrastructure basics will be completed by November.

Currently the TGP’s 46-kilometre water pipeline from Narromine to Tomingley is the only entry in the column of finished works.

Nevertheless, the multi-commodity miner and explorer is pleased with the progress towards commissioning of the mining site late this year.

In fact, Mr Chalmers said the work was “most definitely rocketing along” with 60 workers currently on site.

“A lot of earthworks on the western side of the (Newell) highway are done, so that means all of the drainage and roads and things like that,” he said.

Earthworks on the eastern side of the highway would be launched as the processing plant took shape, he said.

“We’ll start to build the processing plant in the next couple of weeks,” Mr Chalmers said.

“It will take five months or so to build it, but in the meantime we’ll go across to the eastern side of the highway and do all the earthworks for the mining there.

“We also have to build the highway underpass. There’s a fair bit going on.”

The ball mill, in pieces at the site, must also be assembled before too long.

It was ordered after the TGP got the thumbs up from the NSW Department of Planning and Infrastructure in late July 2012.

Mr Chalmers provided a progress report after returning to Perth from the company’s annual general meeting in Sydney.

It was the first time the annual event was held in NSW, the home of Alkane Resources’ two advanced projects, the TGP and the Dubbo Zirconia Project (DZP).

About 75 participants heard that gold production would begin at Tomingley in early 2014. Up to 60,000 ounces would be produced annually for up to 10 years through open cut and underground mining.

The TGP will provide a revenue stream for the company in its bid to launch the DZP based on a world class resource of rare metals and earths at Toongi, 30 kilometres south of Dubbo.

The present net value of the DZP, based on a 20-year mine life and one million tonnes per annum production, is $1.23 billion.

Alkane Resources advised the meeting that it would “shortly” lodge an environmental impact statement with the NSW Department of Planning and Infrastructure.

The two projects will require an investment by the company of about $1 billion and generate up to 1000 construction and production jobs.

=========================================================

And this:

Alkane Energy Plc Rating Reiterated by Liberum Capital (ALK)

Posted by: Masoud Bidgoli Posted date: May 22, 2013 In: Analyst Articles - UK, Investing

Alkane Energy Plc (LON: ALK)‘s stock had its “buy” rating reiterated by investment analysts at Liberum Capital in a note issued to investors on Wednesday, AnalystRatingsNetwork.com reports. They currently have a GBX 44 ($0.68) target price on the stock.

Shares of Alkane Energy Plc (LON: ALK) opened at 29.34 on Wednesday. Alkane Energy Plc has a one year low of GBX 17.65 and a one year high of GBX 34.00. The stock’s 50-day moving average is currently GBX 20.4.