I thought I'd share a quick review I did today on Arrowsmith North. I get a bit jumpy when I see the share price bouncing around below where it should be so I thought I'd try and put some facts behind what's happening. IMHO we are looking good. The italics are quotes from the company, the standard text is my comments. The red box are the Next Steps from the RIU Sydney prezzo.
Next steps 2021
• Finalise offtakeagreements
"Interest in theCompany’s products from Arrowsmith North remains incredibly strong, andcontinues to grow. Demand for significant bulk samples ahead of bindingofftakes from potential offtake partners in South Korea, Japan and Taiwan hasled the Company to undertake a substantial pilot plant-scale testwork programon 1 tonne of Arrowsmith North ore." - Market update 25 May 21
I like that demand is strong and growing and is in the right parts of Asia.
• Results fromcompleted grade control drilling
"The Companycompleted its grade control program at Arrowsmith North in March 2021, drilling130 holes for 1,459 metres, and all assay results and other determinations havenow been received. These results were in line with expectations and will allowthe Company to update the Mineral Resource Estimate in the area covered by thedrilling" - Market update 25 May 21
Grade control ok.
• EPA and miningapproval
"The EPA will assessthe proposal under s39A(1) of the Environmental Protection Act 1986 at a PublicEnvironmental Review (PER) level of assessment for a 4 week period, whichcommenced on 18 May 2021. This is consistent with the Company’s expectationsto-date on process and timing for environmental approval at ArrowsmithNorth". - Market update 25 May 21
Submitted and should hear something soon. Additional documents lodged in support of the application.
• MOU Geraldton Port
"The Company hascontinued its discussions with the Mid West Ports Authority (MWPA), operatorsof the Geraldton Port, around logistics and access to port facilities forexport. The outcome of these discussions has been positive as the Company looksto secure a long-term relationship with MWPA. The Company has commenced thetestwork on Arrowsmith North silica sand final product for MPWA that isrequired by the MWPA to change its EPA licence conditions to facilitate exportof silica sand products from Geraldton Port". - Market update 25 May 21
The port is supportive and is awaiting it's EPA licence approvals.
• MOU rail access
I could see noupdate on this, any ideas anyone?
• Financing
"Interest remainsstrong from third party debt financiers to fund development and construction ofthe plant for Arrowsmith North. The Company has commenced its engagement of AMCConsultants to undertake a comprehensive independent technical review of the project,which will underpin due diligence on the project by potential financiers." - Market update 25 May 21
Strong interest, consultants appointed.
• Construction
"The Company hascommissioned experienced sand processing engineers, ProjX Engineering, to carryout a detailed engineering design for the Arrowsmith North processing plant.Following this, the Company will specify and tender appropriate processingequipment for the plant to be procured at the earliest opportunity following adecision to mine at Arrowsmith North." -Market update 25 May 21
Design underway.
• First production
"Production forecast to commence in late CY2021" - RIU Sydney May 2021
If all the above holds true, then it looks like any dips are buying opportunities for me.
GLTAH
(20min delay)