Author Topic: ALS.TO - Altius Minerals  (Read 1093220 times)

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Re: ALS.TO - Altius Minerals
« Reply #5270 on: December 01, 2017, 04:23:52 PM »
I was wondering when the Altius post would finally come out today?

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linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5271 on: December 01, 2017, 05:44:31 PM »
Point taken. LIF is very boring. It just goes straight up.

Some real news. The McChip Q3 royalty revenue came in very, very low. What the hell did Altius pay C$8 million for?

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5272 on: December 02, 2017, 02:33:56 AM »
Sokoman Iron raises $604K out of proposed $800K in flow through units. Satisfies Altius requirement they raise at least $500K to acquire Moosehead Gold option. Should see drilling in 2018.

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5273 on: December 02, 2017, 04:22:06 AM »
Altius took the last C$50 million from Fairfax on November 10th. But no new royalty deals have been announced. Has the cash been sitting still? I doubt it.

In LIF I see two unusual, high volume trades a couple days after November 10th. 200K plus shares traded in each transaction. Altius picking up another 500K shares of LIF for C$10 million plus?

Investment thesis remains the same. Much cheaper buying equity of the royalty pass through vehicle than buying an equivalent producing royalty directly.

In 2018 I expect Altius to receive C$9 million in revenue from its current 3.2 million share LIF equity position. Buying an equivalent royalty would cost C$90 million or more in this market.

Most important question for LIF investors: Is the pellet premium structural and long lasting? Pellet premium has risen from US$5 or US$10 per tonne to US$58 per tonne in a very short period of time. Altius has made its call.

If premium is structural even Goldman Sachsís gloomy scenario of US$50 benchmark iron ore by the end of 2018 makes little difference to IOCís bottom line.
« Last Edit: December 03, 2017, 01:38:42 AM by linealdin »

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5274 on: December 02, 2017, 10:59:54 AM »
LIF concentrate production on an uptrend. 18.7 million tonnes in 2015, 19.2 million tonnes in 2016. 15.4 million tonnes so far in first 3 quarters of 2017. For the year they should hit 21 million tonnes with a solid Q4. This will actually be underperformance of IOCís guidance of 22 million tonnes for 2017.

Guidance for 2018 will be at least 22 million tonnes. And 23.3 million tonnes, full nameplate capacity, will be the next benchmark.

Over the next few years, if thereís any strength in the iron ore market, IOC will restart the CEP3 expansion project to get the nameplate capacity to 30 million tonnes. Theyíve already done the feasibility studies. Plenty of rail & port capacity. And the market is short of the high quality pellets and ore IOC produces.

Expansion is how the LIF stock price gets to $50 or $60, even in a flat iron ore market. That is the case for a long term hold. Enjoy the regular dividends and see how much IOC is producing in 5 years. Could be a substantial change.

« Last Edit: December 02, 2017, 11:28:08 AM by linealdin »

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5275 on: December 02, 2017, 12:06:10 PM »
Rio Tinto tried to take over LIF in 2001 before the supercycle really got going. But they lowballed the bid, LIF was trading at $11.50 and Rio first offered $13.50, then $14.50. Soundly rejected.

Should have offered $20 to $23. Still would have saved them a fortune in royalty and dividend payouts once the iron ore price took off.

So the companies have been dancing around each other for a long time. An expansion to 50 MTA, which has been discussed, would certainly require a takeout of the LIF royalty and equity position.

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5276 on: December 03, 2017, 02:02:44 AM »
Iron ore benchmark on Friday hit US$70. Sneaky strong. Shrugging off Goldman Sachs predictions.


linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5277 on: December 04, 2017, 03:27:45 AM »
https://www.bloomberg.com/news/articles/2017-12-04/iron-ore-surges-toward-bull-market-as-china-supercharges-steel

Iron ore 62% benchmark jumps 3.7% to US$72.68. Now officially in a bull market (up 20% from low in October).

One of these bright young sparks making commodity price predictions for an investment bank said recently to Bloomberg the iron ore price would be at US$50 by the end of 2017. I guess he still has a couple weeks to be right.

nostradamus

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Re: ALS.TO - Altius Minerals
« Reply #5278 on: December 04, 2017, 05:23:06 AM »
December 04, 2017 08:13 ET

Adventus Zinc Announces C$10 Million Bought Deal Private Placement

Adventus Zinc Corporation ("Adventus Zinc" or the "Company") (TSX VENTURE:ADZN) has today entered into an agreement with a syndicate of underwriters co-led by Cormark Securities Inc. and Haywood Securities Inc. (the "Underwriters") pursuant to which the Underwriters have agreed to purchase on a "bought deal" private placement basis 11,363,637 common shares of the Company (the "Shares") at a price of C$0.88 per Share (the "Offering Price"), representing total gross proceeds of C$10,000,000.56 (the "Offering"). It is anticipated that Adventus Zinc's strategic shareholders including Altius Minerals Corporation, Greenstone Resources LP and Resource Capital Funds will participate in the Offering. Closing is expected on or about December 21, 2017 and is subject to regulatory approval including that of the TSX Venture Exchange and the securities regulatory authorities.

In addition, the Company has granted the Underwriters an option (the "Underwriters' Option"), exercisable in whole or in part, on the closing date, to purchase up to 1,704,546 additional Shares at the Offering Price. In the event that the Underwriters' Option is exercised in its entirety, the aggregate gross proceeds of the Offering will be C$11,500,001.

The net proceeds of the Offering will be used by the Company to fund the Curipamba Project in Ecuador and its Ecuadorian Exploration Alliance, general and administrative expenses, corporate activities as well as working capital for the Company.

The Shares will be offered for sale on a private placement basis pursuant to applicable exemptions from the prospectus and registration requirements in the following jurisdictions in all of the Provinces of Canada and elsewhere.


linealdin

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Re: ALS.TO - Altius Minerals
« Reply #5279 on: December 04, 2017, 07:04:01 AM »
December 04, 2017 08:13 ET

Adventus Zinc Announces C$10 Million Bought Deal Private Placement

Adventus Zinc Corporation ("Adventus Zinc" or the "Company") (TSX VENTURE:ADZN) has today entered into an agreement with a syndicate of underwriters co-led by Cormark Securities Inc. and Haywood Securities Inc. (the "Underwriters") pursuant to which the Underwriters have agreed to purchase on a "bought deal" private placement basis 11,363,637 common shares of the Company (the "Shares") at a price of C$0.88 per Share (the "Offering Price"), representing total gross proceeds of C$10,000,000.56 (the "Offering"). It is anticipated that Adventus Zinc's strategic shareholders including Altius Minerals Corporation, Greenstone Resources LP and Resource Capital Funds will participate in the Offering. Closing is expected on or about December 21, 2017 and is subject to regulatory approval including that of the TSX Venture Exchange and the securities regulatory authorities.

In addition, the Company has granted the Underwriters an option (the "Underwriters' Option"), exercisable in whole or in part, on the closing date, to purchase up to 1,704,546 additional Shares at the Offering Price. In the event that the Underwriters' Option is exercised in its entirety, the aggregate gross proceeds of the Offering will be C$11,500,001.

The net proceeds of the Offering will be used by the Company to fund the Curipamba Project in Ecuador and its Ecuadorian Exploration Alliance, general and administrative expenses, corporate activities as well as working capital for the Company.

The Shares will be offered for sale on a private placement basis pursuant to applicable exemptions from the prospectus and registration requirements in the following jurisdictions in all of the Provinces of Canada and elsewhere.



Will cost Altius C$2.7 million of this offering to keep its current 27% position in Adventus.

Adventus had C$6.7 million in cash at the end of September, and they aren't drilling anywhere yet, so this is just taking advantage of the unusually high stock price. Opportunistic. With the bought deal they will be cashed up for the next 2 years.
« Last Edit: December 04, 2017, 08:41:48 AM by linealdin »