With write ups like this ,and a heap of news flow early next year , the .10c or below will be a distant memory.I've been topping up at .10 and .105 , Should of went harder I think !!! Good luck to all holders Strandline set for re-rating as mineral sands projects progress, says Argonaut 15th December 2017
Resources Rising Stars
Emerging mineral sands producer Strandline Resources (STA) has won high praise from Argonaut Securities analyst Matt Keane, who has forecast the company’s shares to rise from 10c to 26c.
Keane said Strandline release this week of positive drilling results from the Tajiri corridor located on the northern Tanzanian coast highlighted probable extensions to the current Mineral Resources of 59Mt at 3.7% total heavy mineral (THM).
He also noted that a new thick channel/trench zone was discovered east of the T3-T4 strandline deposits.
“Argonaut estimates up to 40-50Mt could be added to Tajiri in the updated resource estimate, due in Q1 2018,” Keane said.
“Other newsflow in the new year includes offtake and funding options for the Fungoni Project and the likely commencement of a Tajiri feasibility study.
“We also anticipate potential monetisation or partnering on the Western Australian Coburn Project.”
Strandline has announced that it is engaging with potential partners on its 100 per cent-owned Coburn project. Coburn is a fully-permitted large-scale, low-grade deposit with a zircon rich Reserve of 308Mt at 1.2 per cent THM.
In 2015, a revised BFS by the company detailed a 19-year mine life, producing 182,000tpa of mineral sands with upfront capex of $173 million generating a $306m NPV.
“Little or no value is ascribed to this project in the current share price, therefore any monetisation or partnering could result in a re-rating of the stock,” Keane said.
Strandline has also lodged a Mining Licence application for its Fungoni mineral sands project and is expecting a response from Tanzania’s Energy and Minerals Ministry early next year.
“We believe this project will be among the first to navigate the new approvals process under the revised mining legislation,” Keane said.
“As mineral sands are non-metalliferous, they should not incur increased royalties and are unlikely to require mandatory Government warehousing prior to export.”
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