Author Topic: ALS.TO - Altius Minerals  (Read 1487371 times)

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #6380 on: August 20, 2018, 06:26:18 AM »
https://www.newswire.ca/news-releases/adventus-and-salazar-announce-additional-2018-drill-results-at-the-curipamba-project-including-371-metres-of-300-copper-3655-gt-gold-3217-zinc-4113-gt-silver-and-680-lead-691248611.html

More Adventus infill drilling results from Curipamba. 7310 of planned 7500 meter infill program completed.

The grades of the latest set are spectacular:

4.58 meters of 36% copper equivalent
8.16 meters of 28% copper equivalent
15.57 meters of 4.5% copper equivalent
6.27 meters of 14% copper equivalent
18.55 meters of 6% copper equivalent


hohi

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Re: ALS.TO - Altius Minerals
« Reply #6381 on: August 20, 2018, 07:04:35 AM »
Someones listening...

"ALTIUS RE-ESTABLISHES NORMAL COURSE ISSUER BID "

http://altiusminerals.com/uploads/ALTIUS-RENEWAL-OF-NCIB-Aug-20-2018-FINAL.pdf
Cheers,
hohi.

current resource positions: ALS.TO  //  NILSY  //  IVN.TO   //   DPM.TO   //   GAZ

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #6382 on: August 20, 2018, 07:20:33 AM »
Someones listening...

"ALTIUS RE-ESTABLISHES NORMAL COURSE ISSUER BID "

http://altiusminerals.com/uploads/ALTIUS-RENEWAL-OF-NCIB-Aug-20-2018-FINAL.pdf

NCIB is almost always on. Not really news. They wonít be making significant buybacks until the stock price is under C$11 (when they purchased last year).

Also very target rich environment. Resource juniors have been hammered, the capital markets are closed them. They have to sell royalties to survive. New royalty deals, already signed, should close soon for both the renewable energy and lithium partnered vehicles.

A lot of royalty term sheets flying around. Altius just needs to choose the best deals. Thatís where the cash is headed during this period of commodity market weakness. Opportunities abound for those with liquidity and courage.
« Last Edit: August 20, 2018, 07:22:57 AM by linealdin »

no_free_lunch

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Re: ALS.TO - Altius Minerals
« Reply #6383 on: August 20, 2018, 07:34:34 AM »
Linealdin, since you are such a prolific poster, do you mind sharing your thoughts / model on valuation?

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #6384 on: August 20, 2018, 08:06:48 AM »
Linealdin, since you are such a prolific poster, do you mind sharing your thoughts / model on valuation?

There was an extensive discussion of valuation with Petec and others recently in the thread.

Iím not interested in fine-tuned financial models. I can recognize when something is cheap. I believe the potash royalties were worth Altiusís market cap last week (C$500 million). Thatís an audacious statement today but when potash prices rise to US$500 or US$600 per tonne during this bull cycle it will become accepted wisdom. Everything else Altius owns I get for free.

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #6385 on: August 20, 2018, 08:23:55 AM »
Timelines for royalty investments to close (from Daltonís remarks on the conference call):

1) Multiple royalty and equity deals being negotiated with cash-constrained juniors during Q2. Altius surprised that the broader market offers no competing sources of financing for these high quality projects. They expect to close several smaller deals in H2 2018. I expect Wolfden-size deals, around C$10 million.

2) Discussions with renewable energy producers and developers ongoing. No set timeline.

3) One lithium royalty co-investment closed, one more in advanced discussions.

4) Strategic investments into the diamond spinout and planned IPO will be revealed in the next few weeks.

*

This period of market weakness will help Altius close this flurry of smaller royalty deals before the commodity bull market starts marching upwards again and valuations rise. We will thank Trump for scaring everyone with a fake trade war.

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #6386 on: August 20, 2018, 08:46:24 AM »
https://www.juniorminingnetwork.com/junior-miner-news/press-releases/878-tsx-venture/nai/51114-canex-metals-commences-exploration-program-on-british-columbia-property-portfolio-recently-optioned-from-altius-minerals.html

Canex sends a 3 person crew to do surface exploration on the 5 recently acquired Altius properties in British Columbia. Mapping and soil sampling.

Canex had only C$175K in cash at the end of March. Canex hasnít been able to issue shares and raise cash since March 2016 (when it was named Northern Abitibi and raised C$230K). It is starving but the equity markets are closed.

Canex will probably pay these 3 prospectors three thousand each for a couple months of work. Canít afford more than that.

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Altius is negotiating now with juniors with promising development projects who are as shut out of the equity markets as Canex is. Altius will easily dictate good terms.

Gregmal

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Re: ALS.TO - Altius Minerals
« Reply #6387 on: August 20, 2018, 09:00:44 AM »
I'm somewhat new to this company, but can anyone provide a valid reason why the company will not repurchase shares? I've always found that managers love talking about how great the company is, and how cheap it is, but unless they are repurchasing shares and actively buying stock themselves, it's typically all salesman bullshit.

Is there any metric they've provided that can demonstrate significantly better risk adjusted returns via their current capital allocation strategy?

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #6388 on: August 20, 2018, 09:12:23 AM »
https://www.google.com/amp/s/www.nasdaq.com/article/nutrien-steers-potash-recovery-as-bhp-waits-in-the-wings-20180820-00517/amp

Excellent Reuters piece on the complex dynamics of the potash space. Nutrien intends to actively deploy its 8.1 million tonnes of unused capacity to beat down the potash price if it rises too high and thus attracts new competitors, most importantly BHP and its Jansen mine. Jansen supposedly needs at least US$400 per tonne potash long-term to justify the massive capex.

linealdin

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Re: ALS.TO - Altius Minerals
« Reply #6389 on: August 20, 2018, 09:19:57 AM »
I'm somewhat new to this company, but can anyone provide a valid reason why the company will not repurchase shares? I've always found that managers love talking about how great the company is, and how cheap it is, but unless they are repurchasing shares and actively buying stock themselves, it's typically all salesman bullshit.

Is there any metric they've provided that can demonstrate significantly better risk adjusted returns via their current capital allocation strategy?

Altius does re-purchase shares. It has a very, very long history of significant buybacks, and their timing is usually spot-on (catching the bottom). Check SEDI. Iím sure theyíve bought back more shares, on a percentage basis, over their 20 years of existence than most companies in the royalties/resources space.

Buybacks are one tool in the arsenal. Altius uses that tool well.