Scandium, Cobalt, and Water Purification: CleanTeQ HoldingsA Microcap Teaser Solution In Advance !!
(Australian stock exchange CLQ, OTC pinks CTEQF).
CleanTeQ is sure to be the answer to future teasers you will be reading about from resource gurus, To save you all the trouble of solving them, I decided to write this article.
My portfolio was grotesquely overweight in gold and silver positions, and in moments of anxiety I thought it would be a good idea to diversify and take a few positions in something other than gold mines, royalty companies, Mongolian exploration companies, and small-cap copper miners with major operations in the Democratic Republic of Congo.
Thus I made a small speculation in CleanTeQ, solely on the basis that mining titan Robert Friedland was the Chairman, and CleanTeQ was the only resource company I could find that seemed to be in a position to mine scandium, a very rare metal that sells for a couple of thousand dollars a kilo.
My due diligence was so slight that I was embarrassed to emphasize my position to the readers at Stock Gumshoe. We are supposed to study these things a little more than I did for CleanTeQ. And after entering at 50 cents, the stock promptly dropped to 35 cents or so, making me glad that I did not look foolish by publicizing my position.
As the weeks went by, I started to find more information on the company that I should have found out beforehand. This was partly accidental, partly from other Gumshoe readers, and partly from new announcements and company news that occurred after I took a position. But the findings were all very positive, and because the company is so interesting I thought it warranted its own thread apart from the hard asset thread which I moderate.
I have a full long position and high hopes. And I thank Secretsquirrel, Griffin, Larry McKenna, and several others who helped fill in the missing pieces of the puzzle.
Below are my findings, opinions, and summary on CleanTeQ Holdings:
BUSINESS MODEL CleanTeQ is a hybrid company based with three bases: scandium mining and production, cobalt mining and production, and water purification. This seems like an odd combination, but as you will see, it is not. It is a stroke of genius. And I will explain why we should care about scandium and cobalt.
(1) The company is starting production of the Syerston mine, the world’s only scandium mine;
(2) The company will also produce significant amounts of cobalt as a co-product to the scandium;
(3) The company has a large-scale water purification technology, which will target municipalities,
Industrial operations with waste water problems, and mines, which also have water problems
PROSPECTS FOR THE THREE SEGMENTS
(1) Scandium is a very rare metal that usually occurs in only small amounts that are not economical to mine. It is mostly available as a by-product and the market is opaque, usually between private parties. Scandium has very beneficial applications in aerospace, aviation, and technology, but has not been widely applied because there is not a sufficiently reliable supply of it.
(2) Cobalt is essential in many batteries. Lithium gets all the investment press, but a majority of the battery formulations need cobalt, which is rare compared to lithium. Cobalt has a similar supply situation as scandium, it is mostly a by-product and is not commonly a prime mining target in and of itself. But demand for the electric energy market is growing rapidly and cobalt demand is growing and will continue to grow accordingly. Supply chains on cobalt are iffy.
(3) Water purification is a pressing need throughout the world. Cities with lots of people, industrialized places with lots of factories, or mines with waste water, all have a real and pressing need for large scale water purification. I think most people can accept this premise of widespread demand without a lot of documentation.
HOW DO THESE SEGMENTS RELATE TO EACH OTHER ? I cannot get too technical about the water purification technology, but I will try to explain what I understand, and how it relates to the scandium and cobalt operations. They call it Continuous Flow Ionization. Ionization is not a proprietary technology per se, but CleanTeQ has developed a way to implement ionization in a continuous feed, automated loop that improves volume, improves economics, is reasonably priced for installation, and can be custom-modified to specific waste problems. It can be used in conjunction with other filtration techniques. Further, it can be modified TO EXTRACT CERTAIN SUBSTANCES from the feed waste water. This is done by modifying the resins that are used in the ionization process.
Now it so happens that CleanTeQ has developed resins that can extract scandium and cobalt from waste water. So they potentially will have commercial sources of rare metals from the by-product waste of their water purification process !
HOW CLOSE IS THE WATER THING TO REALLY HAPPENING ? It is happening. CleanTeQ has signed a memorandum of understanding with a major Chinese municipality to implement their technology. There is a joint venture, 55% Chinese/45% CleanTeQ. Once the first one is up and working, China has a mind-boggling potential for water purification. For their teeming urban centers and for their mining and industrial locations, shall we say the potential is very large ?
CleanTeQ has 100% of rest of the world. CleanTeQ is closed-mouthed about other commercial sources, but they let on that they have been in contact with the likes of GE, Dow, and other big hitters. They state a pipeline target of $100 million by 2020; I predict they will do much better.
HOW CLOSE IS THE COBALT THING TO REALLY HAPPENING ? Very close. Battery useage is soaring and is the strategic target of many governments, corporations, and environmental groups. Batteries need cobalt.
HOW CLOSE IS THE SCANDIUM THING FROM HAPPENING ? This will take a while because the applications are high tech, with long lead times, and there is only one scandium mine in the world (CleanTeQ’s newly commissioned Syerston mine). CleanTeQ intends to develop the scandium market by being a reliable source of supply, and by driving the price down.
CleanTeQ will have viable margins with scandium prices up to half of current prices.
To give you an idea, the Russians made a few MIGs with scandium/aluminum alloys. They were faster, lighter, stronger. An addition of 0.5% scandium to aviation aluminum strengthens the frame, removes the need for riveting, reduces weight, and makes repairs easier. . The Russians dropped it because of costs; and Boeing and Airbus will not use it without a reliable source of supply. But there is about to be a reliable source of supply: CleanTeQ.
WHAT ABOUT IP PROTECTION ? I believe the IP and know-how moat is sufficient. CleanTeQ holds a perpetual license from a high-level Russian research organization that provided some of the foundation technology. I am not a patent lawyer and a lot of the know-how will be proprietary, not patented. CleanTeQ has been at this for over ten years, I think the barriers to entry are sufficient.
MANAGEMENT Totally a plus. Robert Friedland is the Co-Chairman and CEO, he has 20% of the company, great credibility and clout with the Chinese, and an unbelievable track record in mining. Sam Reggall is the other co-chairman. I know little about him, other than from my observations of him on an Australian investment show that aired last week. He was impressive.
MONEY AND FINANCES I don’t think there is anything at all to worry about. Friedland must be worth billions, the Chinese are in, and the concept has enormous potential.
Sources: as I mentioned, information is scant. My sources were the CleanTeQ website, presentations and and interviews with Friedland and Reggall, and the sketchy information on the brokerage sites. Nothing you cannot find on your own.
Long CleanTeQ
This is a discussion topic or guest posting submitted by a Stock Gumshoe reader. The content has not been edited or reviewed by Stock Gumshoe, and any opinions expressed are those of the author alone.
Ideas from the Tony Seba Disruption
I am old and slow and have a limited attention span.
I am also very stubborn and it is very difficult to change my opinion.
Frankly, I am pretty pig-headed when I get an idea stuck in my head.
So it is hard enough managing two threads, one on precious metals and one on battery materials and Clean Teq. But Tony Seba’s video on Clean Disruption has so many inestment implications, my investment brain is disrupted.
I didn’t even want to migrate over to Ben’s #batteries thread because it is two disruptive to my routine to be heavily involved in a third thread. So what I think I will do is simply post investment ideas from the Tony Seba disruption video on this thread, without expressing an opinion or entertaining deep discussion on them.
I may or may not take positions in these ideas.
If someone else wants to take these ideas and create a thread discussing them, they are free to do so; but I would prefer to keep this thread relatively undisrupted, and just make call-outs on otherdisruptions of interest.
**
1. The first target was energy storage and VRB/vanadium, in which I have stumbled on one very promising speculation and one solid investment in spite of myself.
This remains a subject of intense interest on this thread. Long $CTEQF, long $SPNRF/$SRI.
2. The second target was solar cells, which in contrast appears unattractive as an investment sector, and in which I have no positions. Best not to spend too much time on it here, unless one feels a major opportunity is identified with high probability of success. No position. No disruption to portfolio allocations yet.
**
3. I now suggest a third target: Auto parts dealers. At some point, these guys should be badly disrupted. I have no opinion on them or their stocks, other than that; nor do I yet have any positions in them. But they should be losers, one would think, in the Big Disruption.
I am just calling them to everyones attention. This is not for a lot of detailed discussion on this thread.
A brief list of major auto parts dealers:
$AZO Auto Zone
$ORLY O’Reilly Auto
$AAP Advance Auto Parts
$PBY Pep Boys
No position, negative long term outlook; would want to be short, sell calls, or buy puts when sure that the Disruption Scenario is in process.
4. A fourth sector is the tech sector, especially companies who are in position with technologies vital to the autonomous vehicle movement. I have only very slight interest in this sector; I am just calling out ideas from Seba’s video.
The specific companies he mentions are Nvidia and Quanergy. No position, favorably inclined. He also identifies LIDAR as a critical technology. No opinion on investment targets is offered.
5. A fifth sector is the used car business, and those who finance it. In the Seba Scenario, these businesses will melt faster than a Popsicle in the Sahara Desert. In my most boring times I am casually looking for public companies in this sector that woull crash and burn in the Seba Scenario.
6. OIL…I think caution is called for. Big oil will look to get into other
businesses, and oil is good for a lot of things besides gasoline. Big oil is pretty tough and resilient. Expensive producers are likely dead ducks…deep offshore people, like RIG and Transocean, or shale guys that need high oil prices or pipeline companies to uneconomic sources. Unfavorable outlook, nothing specific to offer now.
7. AUTO MAKERS…they are going to have a tough time of it, even if they get on the EV bandwagon. In the Seba Scenario, new vehicle purchases are headed for very steep declines. In addition, there are going to be a lot of new manufacturers; Seba said DYSON was going into the business; and the easy expansion in China will end, because the Chinese will eventually make most of their own cars.
Nothing specific to suggest at the moment.
Oops.. $RIG is the ticker for Transocean. One company.
No position, negative long term outlook.
Deep water drilling company.
Seba Scenario Sez expensive oil will be stranded.
OIL…no position…good grief. Stansberry pitching shale oil, while the Seba Scenario paints a disaster. They can’t both be right.
Funny…Stansberry says the US will be “the new Saudi Arabia” of oil. If the Seba Scenario comes, Saudi Arabia will be hurting, and being the “new” one won’t be so great.
OIL.. HN, I feel like Stansberry has been saying that for several years now.
Good point HN, Stansberry was doing that a couple years ago when I was reading his stuff, I do not know about currently. If he still is, shame on him. If not, could be because this is an indicator of how quickly change is happening, change is coming with almost lightening speed. Keep in mind we are entering a Grand Solar Minimum right now, not a couple or few years from now but today. The hip people have known this was coming for a very long time, history does repeat itself and natural law always prevails, but chose to seriously limit releasing information to the likes of us (the little people). Efficient battery power has become a must as the effects of the Grand Solar Minimum will be felt for at least two or three Solar Cycles. If this event plays out with maximum consequences the timeline could be much longer and more severe. I do not believe in coincidence HN, tech that is being released today has been held in queue IMO, these advancements did not just recently get discovered. So what are you going to do if my statement is accurate? How about if I am full of fecal matter? It makes no difference because you are in the right sector at the right time regardless of change or no change in climate and sun status, the technology is here today and set to rock the structures in our business and social world. Kind of a win-win when one of the win’s is more pleasant than the other. That being said I am reasonably confident our monetary and total economic environment is in for a real shock on a grand level, that situation has me concerned and I am at a loss except to my default, physical metals. Best.
Porter Stansberry’s economic predictions for 2018 start around the 9 minute mark and are relatively brief. Good news for commodities and our favorite stocks if he is correct.
https://www.youtube.com/watch?v=hMU-wtlDHT8&t=443s
Long $CTEQF, $ARRRF, $SPNRF, $IVPAF
If Seba is right a lot of people are going to be blindsided.
And that includes a lot financial analysts and observers, to say nothing companies that will go under and the ordinary working people that are going to be out of jobs.
The horse ‘market’ sure changed…..a city street full of horse and buggies to one-1 car and in less than 10 years all cars and one-1 horse …..things happen faster today.
Ppl wanted ‘cars’, the roads/gas stations happened…….I wonder who will design the first electric charging station that may have 1 gas pump, just for the (horse) ICE car/truck/bus.
I also think the shock is going to be major.
If you look at the American economy for the last 100 years, it is striking how much of it was a result of manufacturing, the autombile industry, and the oil & gas industry. Steel, rubber, gasoline, road construction, glass, radios, petro-chemicals, insurance, retail…all built on the automobile.
Our real estate was developed because of it. And now it is going to go south…far and fast. And most of the other manufacturing is already out of the country.
Not a pretty prospect. God help us.
$SPNRF website copy
” The Company, through its subsidiary VanSpar Mining Inc., will continue its activities in the vanadium sector, including the development and exploitation of high grade vanadium prospects it has identified in China.”
$SPNRF…talk about thinly traded.
Talk about the “Gummie Effect.”
I put in a measly order for a couple shares of Sparton, and move the price all by myself from 7 cents to 8 cents. That’s a 14% increase.
Honestly I didn’t mind paying an extra penny. It is my opinion that whether the market cap of Sparton is $10 million or $12 million right now is not going to be very important.
HN if any gummies are interested in subscribing to an Australian email service on small mining etc stocks.
It’s a free service: www. smallcaps.com. au
Some my already subscribe.
$CLQ ow – December Quarterly Activities and Cash Flow Report
Link 2 15 PAGE PDF: http://www.asx.com.au/asx/statistics/announcements.do?by=asxCode&asxCode=CLQ&timeframe=D&period=T
Family Cyber Security equity > $FZO.asx JUST took #Starter position @ ,615AUD
$EUC my average price per share is .171aud, attempting to reduce average cost-per-share & establish a large OW position. 😉
#ASX NOW! – Notice $MEI.asx > http://www.asx.com.au/asx/markets/equityPrices.do?by=asxCodes&asxCodes=auz+clq+jrv+ncz+arl+mei+cob+fzo+pil+euc BEST2ALL!
Glad to see the CleanTeq Water division picking up more business per the news release SoGiAm ! This area of business will be huge soon also….Cowboy
$CTEQF…great quarter on the ground for Clean Teq. The only disappointment for me in the announcement was that the Fosterville contract did not mention mineral recovery from the waste. On the other hand, it is a contract, and they appear to have a new technique in their assortment of purification applications (for desalinization?).
And they are actively working on contracts in four continents.
$CTEQF Do you think they might spin off the water business as some point? That would be cool! Glad to see it picking up steam!! The potential there seems unlimited.
So I thought there used to be 3 things they were involved in – Metals – Syerston, Water, and one other. Was it some kind of technology? I think they mentioned something in the report about graphite or something. I can’t remember what the third area was.
HN IMHO don’t forget
graphite and graphene, as over the next 24/36 months it’s going to be big.
It’ll cover many applications.
billville…I agree 100% about graphene but I do not see
good investment options for people like me that are directly in graphene.
I see graphene is a tech investment, not a commodity investment; and the winners are going to be big corporations who have many other aspects to their business than graphene applications.
In some ways I see it like the silicon in solar panels. Huge growth, lots of applications, but no clear path to make a direct and focussed investment.
Silicon…I thought the same HN about silicon after reading the posted links on it.
I’m sorry, but I don’t get your comment here. If you go to the store and buy it, someone has to produce it, no? Tis still a commodity.
edski, it is an enormous business and huge volume.
But how do we as investors make money on it ?
The solar panel makers are huge volume big caps, there are tons of big guys trying to kill each other. And it is a law of manufacturing and technology that
prices will come down. So margins go down and down.
As an investor, I do not like these characteristics.
Now plenty of people have no objection to big caps.
And if you like large industrial companies as stock investments, that is fine.
All I am saying is that I am not personally attracted to large cap manufacturers in high tech businesses with tons of competitors producing commodities, even if the volumes are large.
Could happen someday.
If the water division is spun off, I think it is long ways off.
I do not think it will happen soon.
Looking at how Friedland operates I also do not think he would sell a majority interest. In an offering he will retain effective control of the company. The fraction he offers will provide capital and a valuation for the part he still owns.
The technolgy, science and applications are closely intertwined with the minerals, the expertise and IP is hard to split up.
It is best for you to go to the Clean Teq website, and the Clean Teq Water website.
$CTEQF… $SPNRF… Pu Neng…connections matter
Some time ago while doing due diligence on the Clean Teq water, I found that they had entered a JV, with one of the parties being The Three Gorges Corporation, and that the Clean Teq JV had landed a contract.
I had never heard of Three Gorges Corporation, but I found out immediately that they are perhaps the main hydro power authority in China, with three hydro stations on the Yang-tze river, one of which I believe is the largest in China. Three Gorges is a major power player.
Some months later, Clean Teq takes on the Chinese as an equal partner, and Mr. Jiang Zhao Bai of the Pinxin group is made Co-Chairman. On Jiang Zhao-Bai’s resume are many connections to Chinese infrastructure, urban development, and many other industries.
Fast forward to November 2016. Pu Neng, which I was not following, lands a contract for power storage in Hubei, which I have never heard of. I do not notice because I am not interested in power storage.
But now I am. And today I learned a little about Hubei, which in November gave Pu Neng a contract for power storage. Hubei is a province. It is in north-central China and has 58 million people in it. There are many large cities in it. For example, Wuhan. Ever hear of Wuhan ? No ? Me neither. But it is really big. It is in Hubei.
And there is something else in Hubei. In the western part of the province, one will find the largest of the Three Gorges Corporation hydo installations.
Clean Teq, Clean Teq Water, Pu Neng, and Robert Friedland are well-connected to the highest levels of Chinese industry, governance, and infrastruture.
The connection has started to produce major orders.
Long Clean Teq, long Sparton
$CTEQF long Hendrix, good find!
I’m just wondering here about something. Right now the relationship between Friedland and China is going great, but I think there could be a danger of or at least the possibility that something might negatively effect that relationship. I have no idea what, but as far as risk is concerned, this does seem like something that could possibly happen. Of course, hopefully it won’t, but would you agree that such a risk does exist?
As far as Cleanteq is concerned, they will be fine even without China I’m sure. There would be a bit of a bump in the road at that point, but they would overcome that and things should still work out fine.
They have a technology the Chinese need so that’s great. As long as it is not stolen from them, the relationship should continue long term.
Sparton, because of it’s ownership in Pu Neng, and because Pu Neng has leading technology as well, hopefully will be needed long term by China. Pu Neng’s important technology reduces the risk of any such problem occurring, but hopefully the technology will not be duplicated or stolen.
This is not to be taken as a negative post. I’m just brainstorming, thinking out loud about possible issues that probably will not, but possibly could come up in the future.
Niiz…did not take it as a negative at all, it has been a concern of mine and is a valid point. I myself avoid Chinese equities.And the Chinese have not shown the greatest respect for patents and trademarks.
I have thought about this issue a lot. Quick answer:
I believe there is respect, trust and goodwill between Friedland and the Chinese. I do not believe the Chinese will unfairly damage Friedland or his companies.
***
Long answer:
The structure of Friedland’s deals is very finely drawn and subtle on this point. There is an incredible balance and delicacy about the ownership, location, risks, profits, and mutual opportunities.
There is a great deal of mutual respect, fairness and trust.
There is evidence that supports this opinion is as follows:
1. For no consideration, no payment, no contract, Friedland gave a gold mine to the Chinese that became China’s largest gold mining company: Zijin Mining.
The nature of the Chinese is that they have a long memory and remember who their friends and enemies are. It’s bad Chinese karma to cheat a benefactor who gave you a gold mine. Friedland made the first move to build a lot of trust. I don’t think they will forget it.
2. Friedland permitted the Chinese to acquire equal equity in a very important thing to them: He gave them a stake equal to his in Ivanhoe Mine’s Kamoa-Kakula-Kakula West copper project. This is is of primary importance to one very specific Chinese entity: the Chinese State Power Grid. They are the largest user of copper in the world,
supply security and cost is a major issue for them; and Friedland has given them a measure of security on this commodity.
Notice, that it is the State Grid that is now repayiing the favor to Friedland at Pu Neng.
And which Chinese entity, pray tell, is mining the African copper ?
Why, it is none other than Zijin Mining, the descendant of the gold mine that Friedland gave to the Chinese state for nothing way back when.
3. The formation of the JV water project based in China with Three Gorges Corp was a major step. Friedland shows trust and earns support. He shows he trusts them to have a project completely inside China. He got the contract. That’s the Chinese State Grid again.
4. Friedland’s deal on Clean Teq with Jiang Zhao Bai is a great synergistic move. Friedland went into China, did deals and showed trust; then he takes an equal Chinese partner in Australia.
This opens the floodgates for Chinese establishment support for Clean Teq projects in the home territory: the home folks are going to profit; they will support Cleanteq, they have skin in the game. They will profit on Clean Teq business in the homeland.
But note: The deal is for deals inside China. Clean Teq still has the world outside of China. Fair enough, wouldn’t you say ?
5. The Pu Neng deal goes a step farther. Here you might say Friedland is taking a chance. But his method has always been to show trust and goodwill to China. We do not know exactly how they will divvy up the spoils because we do not know a lot of details, like from whom and at what price the vanadium will be. But they will work it out and it will be fair.
The fact that HPX is the beneficial owner of a majority of Pu Neng was a surprise to me. It was almost a shock that the Chinese are allowing Friedland to own controlling interest in a company on Chinese soil that could be vital to their energy policy. This shows a great deal of mutual trust on both sides.
Nor is Friedland at the mercy of the Chinese because Pu neng is based in China. He is going to solve a major energy problem for them; and he has a lot of assets and leverage outside of China: the Sunrise project, the African copper, the Clean Teq technology, the off-takes with Easpring, and whatever he has up his sleeve at I-Pulse and HPX.
And Pu Neng has great potential outside of China as well, for example in Africa, where Friedland HAS A DISTRIBUTOR.
6. It is not just about money. Friedland is helping China achieve some critical objectives: The Chinese people are sick of pollution. The country needs clean power. The country needs to move away from paying for imported oil. Friedland is helping the Chinese establishment achieve important objectives, and the Chinese establishment is also getting rich from it. Why would they hurt him ?
8. Financially, Friedland seems more than fair to his partners and to the host countries where he operates. He is their benefactor and he does it in a way that is recognizeable. In the DRC, he gave 15% equity in addition to the 5% required by law; he is building power and railway; he is a national benefactor.
9. Here’s another point of mutual profit. Clean Teq will be gertting contracts all over the world for installations. They just got one in Australia.
Where do you think this equipment will be manufactured ? Where are the factories that will make and fabricate Clean Teq installations ?
Back to the relationship. At this point it is clear, to me at least, that there is mutual respect, trust and co-operation. The Chinese establishment is going to make a lot of money, solve problems, and achieve objectives. Robert Friedland and his companies will a make a lot of money in the process.
I believe the Chinese will not unfairly damage Robert Friedland and his companies. I believe they will work together. Of course partners can have a falling out; but I do not believe there is anything unfair or underhanded in the intentions of either side, and the incentives to work together are very high.
**
Honestly, I wish Friedland was in the United States, working to solve our economic and power grid problems.
$CTEQF – long $SPNRF – np yet
Thanks. Well thought out and very helpful!
There are valid questions being raised about Sparton, I recommend you check them out before you commit to anything.
There are risks, and some of the questions cannot be answered decisively.
$SPNRF/$SRI Sparton Resources…$CTEQF Clean Teq…long both tickers
My confidence is really high in the long-term prospects of both Clean Teq and Sparton Resources. More than confidence…I had conviction in Clean Teq; now I have conviction in Sparton Resources, because Sparton Resources has an interest of about 15% in
Pu Neng.
The fact that Sparton is an 8 cent stock with a $12 million market cap that no one has ever heard of would be considered a negative by many people.
But that is what is getting me excited.
**.
We now have really solid evidence that the Chinese State Grid is going to give major support to Clean Teq and Pu Neng.
But the truth is, we had evidence of it before: When Three Gorges Corporation formed a JV with Clean Teq Water, that was evidence. But we didn’t understand what Three Gorges Corporation was, or how important they could be.
We also had solid evidence when Jiang Zhao-bai was named co-chair of Clean Teq.
Jiang Zhao Bai is effective a proxy and representative for the Chinese establishment.
We were excited but wanted to wait and see what would happen.
And we didn’t know that energy storage was a major priority for the Chinese State Grid, because we hadn’t read the Chinese state position paper about energy storage that was published in last September.
And we got real proof in November, when Pu Neng got a real energy storage contract from Hubei. But we just didn’t notice it in November, because we didn’t know where or what Hubei was, and we had not heard of Pu Neng. Nor did we know anything about Pu Neng’s technology, or vanadium, or power storage.
But… now we’ve noticed. Now we know: The Chinese State Grid is going to give major support to Clean Teq and Pu Neng.
PTNUF / PGM. Hey all, I don’t hear much chatter regarding Platina lately. I know they recently ousted Robert Mosig, either that or he quit. Not sure. I know some folks are slightly fed up with the direction or lack thereof. Was just wondering if anyone has positions, and their current thoughts. Best
gumdaddy…I think Platina is still an excellent in-the-ground cobalt/scandium speculation. But it does not merit being a primary speculation or investment in those commodities.
If you have one or two cobalt/scandium stocks, I would not own it.
You might consider it as a third or fourth or fifth, if you can suport that many.
Just my opinion.
Thanks HN. Yes, I do have it as one of my primary’s, along with CLQ. I have been thinking about pulling out of PGM and splitting that into CLQ, APTO, (one of Dr KSS recomendations), and maybe Sparton has better sea legs than PGM at this point?
gumdaddy, I cannot give portfolio advice. But there is no other stock that I know of. let alone a cobalt speculation, that I would rather own than CLQ. CLQ is my largest position and is much, much larger than I would consider for PGM.
PGM is an in-ground commodity speculation.
CLQ is going to be a major company.
I have no opinion on APTO, and I myself have exited clinical biotech speculations altogether.
As a matter of fact, while I like PGM as a speculation, I sold my position today to raise cash for Sparton. Sparton is a conviction stock for me.
Recent events at $PGM $PTNUF and Mosig’s resignation were discussed at length about a week ago…search back a little bit, Renbycage called it out and there were a number of posts about it and the prospects going forward.
I transferred my position in Platina over to Ardea just before Mosig’s resignation. I bought it as a cheap cobalt speculation, but wasn’t impressed at all with the direction they were going. At +33%, I grabbed the money and ran. I’d consider buying it back again at the 8 cents I originally paid for it, under new management with some kind of plan.
$SRI $SPNRF SPARTON RESOURCES
My verbosity and intervening posts have obscured the important:
Sparton Resources… conviction stock, vanadium & energy storage (VRB)
Timeframe……………. 3-5 years to a liquidity event
Upside…………………… double-digit multiples
Probability…………….. Very high
Price/market cap……..six to eight cents…..$ 10- 12 million
I am comfortable now with a full position but will go overweight.
The reasons and logic are above, in those really long posts that I do.
Sparton has just recently come to my attention. If anyone has reservations or a contrary opinion, I would appreciate hearing about it.
I started digging into Sparton tonight. Interesting stuff.
HN how do you think sparton will fund themselves going forward? Just by principle the dilution that could occur is my biggest worry. I see the are drilling for gold, have some sort of oil drilling service called edcor which seemed to have lost money this year. I think they are looking to get into physical vanadium mining in china possibly. I’m not particularly interested in all the sideshows and am somewhat worried they will dilute the reason to be in which is the indirect Pu Neng holding
My opinion is that Sparton doesn’t have to fund themselves to do anything. The can just sit there and do nothing.
Sparton has 18 % of Pu Neng. What does Sparton need to do?
It is better if they do absolutely nothing and spend no money at all.
They do not need to do anything but wait for Pu Neng to make a lot of money and go up in value.
Rather, Sparton controls about 15% of Pu Neng by virtue of an 87% stake in Vanspar,. Vanspar owns 18% of Pu Neng HPX/Friedland the rest.
Totally agree that’s what they should do. I’m just wondering if that’s what they will do. I might be able to get in touch with management. We will see.
I am long Sparton so I can express my opinion to them also.
The financials at Sparton are bad, but the numbers are all pretty small. They are peanuts compared to the potential value of 18% of Pu Neng.
Very good call-out. There is a chance that Sparton will not do any mining at all, never ship or profit from gold or vanadium mining, and waste a lot of money on exploration. Could happen.
That would be bad for shareholders.
But Sparton has about 15% of Pu Neng and won’t get that value until Pu Neng valuations go up and there is a liquidity event.
If they are going to lose money in exploring, I think the amounts are minor compared to their underlying asset, which is already
generating orders from China State Grid.
If Sparton management is completely irresponsible and incompetent, I suppose they could waste a lot. It is a risk.
But in the end, Sparton management wants to get rich also; and it is obvious that the best strategy to do this is to get out of Friedland’s way and watch Pu Neng kick ass in VRB for three or four years.
I also have been digging into Sparton and have yet to finish my research. However, it is clear to me that they are facing a liquidity crunch (based on their last financials), and it’s not clear to me as yet as to how they are going to deal with it. On the other hand, and to be fair, this is nothing new for Sparton. That’s been the case for 10 years or so and they are still here.
Ashton…for sure there are questions about Barker and the predecessor company. Lots of fumbling around without a lot of results.
It looks to me like they had a contact for exploration and development of some vanadium deposits in a Chinese province. This could be the reason that Friedland went after the company and gave 18% of Pu Neng to Vanspar.
Hi all,
Bit culture shocked, but Long and Large – SRI:CNV since last few days.
Regards Alan Lee Barker.
https://www.bloomberg.com/research/stocks/people/person.asp?personId=7099661&privcapId=3182352
Sparton Resources Inc (SRI:Venture)
Alan Lee Barker M.A Sc., MSc(Applied), P. Eng., P.Geol.
President, CEO & Executive Director,Sparton Resources Inc.
This person is connected to 20 board members in 6 different organizations across 10 different industries.
See Board Relationships
— —
Background*
Mr. Alan Lee Barker, M.A Sc., M.Sc.(Applied), P. Eng., P.Geol. has been the Chief Executive Officer and President of Sparton Resources Inc. since June 2002. Mr. Barker has been Executive Director of Sparton Resources Inc. since November 11, 1985. He serves as Independent Geological Consultant, with over 40 years of broad experience in the mining industry. He served as Technical Advisor at Vaaldiam Resources Ltd. He served as Technical Advisor at DNI Metals Inc. He served as the Technical Advisor of Dumont Nickel Inc. Mr. Barker was part of the gold exploration team at Lacana Mining Corporation and Corona Corporation and was active in diamond exploration for SouthernEra Resources Limited. Mr. Barker served senior management positions in several junior and major mining companies, where he was involved in the discovery and development of a number of base metal, precious metal and industrial mineral deposits. Mr. Barker has generated and managed exploration, evaluation and development programs for various commodities in North and South America, Africa, Australia and the former Soviet Union. He supervised the initial exploration program on the Diavik Project near Lac de Gras in the Northwest Territories which led to the discovery of over fifty kimberlite bodies, four of which commenced commercial production in 2003. He served as an Executive Vice President of SouthernEra Resources Ltd., Mr. Barker was involved in the discovery and development of the Marsfontein kimberlite pipe in South Africa. Since 1991, he has been closely involved in the exploration, discovery, evaluation and development programs of several significant diamond deposits in Canada’s Northwest Territories, South Africa, Angola and parts of South America. He is active in gold exploration in southwestern China. Mr. Barker also was heavily involved in exploration and development of Diavik, Canada’s second diamond mine. He has advised Diadem with respect to its Franklin and Otish Mountains projects. He serves as the Chairman of the Board of VanSpar Mining Inc. He has been a Director of Diadem Resources Ltd. since October 14, 2005. He serves as a Director of Cancor Mines Inc., Vaaldiam Resources Ltd., and Unisphere Waste Conversion Ltd. He served as an Independent Director of Melkior Resources Inc. since October 10, 2001. He served as Director of Skeena Resources Limited from May 2001 to June 30, 2010. He served as a Director of Vaaldiam Mining Inc. since March 22, 2010. He has been Member of Technical Advisory Committee at Waseco Resources Inc. since February 2017. Mr. Barker is a Professional Engineer. He served as a Member of Advisory Committee at DNI Metals Inc. He is a Fellow of the Geological Association of Canada, is a Member of the Society of Economic Geologists, the Canadian Institute of Mining and Metallurgy and the American Institute of Mining Engineers. Mr. Barker holds a B.A.Sc. degree in Applied Geology in 1966 from the University of Toronto and a Master of Science degree in Mineral Exploration and Economics in 1968 from McGill University.
Diadem Resources Ltd.
Vaaldiam Resources Ltd.
Vaaldiam Mining Inc.
Unisphere Waste Conversion Ltd.
DNI Metals Inc
Melkior Resources Inc.
Skeena Resources Limited
Waseco Resources Inc.
University of Toronto
McGill University
Vaaldiam Resources Ltd. prior to reverse merger with Mineracao Paraguacu Industria e Commercio Ltda.
VanSpar Mining Inc.
I think that what Barker had that was of interest to Friedland was a contract involving vanadium deposits in a Chinese province.
From my perspective I am more interested that their 18% investment in Pu Neng be realized as cash in my brokerage account someday, as opposed to being spent by Sparton on prospective drilling.
I realize that usually we want to have the same objectives of management and trust their direction; and in this case we are not satisfied with that aspect.
The circumstances arguing for an exception are that we are persuaded of the very large upside of the underlying asset Pu Neng, and cannot invest in it in any other way that I know of.
Sparton…honestly I would prefer that Sparton never gets a dime for anything and just sits there a few years until Pu Neng is worth a couple of billion dollars.
Sparton Resources…Speculating about what happened in the past
Usually when we speculate it is about future events. However, with Sparton Resources, there are questions which make us want to know about the past, because there are things about Sparton’s history that raise questions about its value as a present investment.
Before offering my guesses and speculations about their past, let me just emphasize that I do not think the past means too much here. Whatever they did previously, it has resulted in Sparton having a potentially valuable asset: about 15% of Pu Neng.
***
Here is the gyst of what I think might have happened.
Sparton’s corporate predecessor was a struggling explorer/developer working in China. They had contacts and projects and potential but were unable to get anything meaningful off the ground.
Along the way, they acquired something of value, I am not sure exactly what; but it was something of value…contacts, expertise, agreements, connections, something.
I do not know what, but there was something of value at Prudent Energy/JDL.
But they had too many problems and could not capitalize.
Along comes Robert Friedland. He sees the situation, and wants the asset.
**
Friedland: “Look. You guys aren’t going anywhere. You aren’t going to do it.
You are not making anything and your company is worthless. You got lawsuits and nothing you can take to the bank. But I can use what you got and get something done. I’ve got everything that is needed…money, contacts, financing. I can put something valuable together. We will take your struggling worthless company and make a new entity, Pu Neng. What you are bringing to the table is only worth about a fraction of the thing. We’ll give you 15% of Pu Neng, the new thing, and we’ll put Barker on the board of Pu Neng.”
Barker: “How about 20%?”
Friedland: “What you got isn’t worth 20%. You are lucky I am offering 15%. It should only be 10%.But let’s get this done. I’ll give you 18% and a board seat on Pu Neng. You’re crazy not to take it.”
Barker: “OK, 18%. But I got these other prospects in gold and vanadium. I shouldn’t let them go, I’ve put a lot of money in there.I think we got gold and vanadium. I know the territory.”
Friedland: “Nah, not with Pu Neng. Pu Neng is not a miner. I got enough of those already. And I don’t even like it on Vanspar’s balance sheet, either, to be frank.
Be smart and keep the drilling away from Pu Neng. Keep your long shots away from Pu Neng and Vanspar, we got a sure thing here.
But if you want to fool around rock hunting and drilling, then create a new entity. Call it “Sparton Resources”. Sparton could own a controlling interest in Vanspar, and you can do what you like at Sparton. If you make something of it, and find a vanadium project and get to the finish line, then Pu Neng can buy from you. ”
Barker: “Sounds great. Let’s do it. 18% of Pu Neng, then.”
Friedland: “Done deal.”
Sparton history speculation…Reading the 2016 report, the hypothetical unknown asset of interest to Friedland held by the Pu Neng’s predecessor is likely to have been a contract with a Chinese province for exclusivity on some vanadium deposits.
“unknown asset picked up along the way”…in current article, Barker says he has IP on certain aspects of Pu Neng VRB technology.
So the unknown assets of value appear to be the provincial vanadium contract, expertise and experience in China, and patents for VRB.
There had to be something. Friedland didn’t give 18% of Pu Neng to Vanspar and a Pu Neng board seat to Barker, for nothing.
$SRI
HN
Some interesting news on $SRI if you search Sparton at Metalsnews.com
Top 3 search articles are:
1) Announcment today about a new drill contract with Edcor Drilling AU Quebec
2) Vanadium MOU ( 70% interest) China
3) Interview with Lee Barker and relationship with RF plus more
Regards
Thank you chas2411 !
Couldn’t get the metalnews link to work. Could you sum up what the article had to say about the Friedland-Barker relationship ?
A great read Chas ! Thanks. Especially this one.. http://www.metalsnews.com/Metals+News/MetalsNews/Dr.+Allen+Alper,+PhD+Economic+Geology+and+Petrology,+Columbia+University,+NYC,+US/FEATURED1194868/Sparton+Resources+Inc++(TSXV+SRI)+Developing+World+Class+Primary+Vanadium+Deposits+in+China+with+a+Direct+Interest.htm ….Cowboy
Great article; thank you for that. It would be interesting to know who the large investor was who sold his shares was. Long $CTEQF (OW) and doing my DD on $SPNRF
Probably someone named Eric.
As in Sprott or Finlayson.
Only joking, but who knows.
Whoops, I thought you meant the private investor who put cash in to Sparton to maintain their 18% proportion. Finlayson would not be a seller.
HN
Can you open the lInk from Cowboy ?
It’s there
Yeah, got it, thanks !
Sparton Resources Inc. (TSX.V: SRI): Developing World Class Primary Vanadium Deposits in China with a Direct Interest in Flow Battery Manufacturing, Interview with Lee Barker, President and CEO
By Dr. Allen Alper, PhD Economic Geology and Petrology, Columbia University, NYC, US
on 12/26/2017
Sparton Resources Inc. (TSX.V: SRI) is developing world class primary Vanadium deposits in China. These are high grade, easily exploited, and a preferred source of vanadium for electrolyte manufacturing in PRC. We learned from Lee Barker, President and CEO of Sparton Resources, that the energy storage industry in China is blossoming and, as a result of a huge spike in the price of vanadium in China, they are now developing new domestic production of vanadium. We also learned from Mr. Barker that Sparton has a subsidiary called VanSpar Mining that owns 18% of the battery manufacturing company with the factory in China. That factory has been reactivated and is now producing new batteries and engaging in clients to have new contracts for selling more batteries in Australia, Taiwan, and China. According to Mr. Barker, Sparton has patents on the processing technology, and is currently looking for investors to acquire the high-grade vanadium deposits inside China and develop them, and tap into the under-supplied Chinese vanadium market.
Dr. Allen Alper: This is Dr. Allen Alper, Editor-in-Chief of Metals News, interviewing Lee Barker, President and CEO of Sparton Resources Inc. How is the battery business in China developing?
Mr. Lee Barker: Very well. We’ve made a lot of progress over there. Certainly there have been a lot of very positive developments, both in the energy storage side and the vanadium market side. On the vanadium side, about 4 months ago, the Chinese government banned the import of waste from their steel mills and waste piles from various types of processing plants, coal plants, etc. About 25% of China’s vanadium actually comes from reprocessing that kind of imported waste, most of which comes from South Africa or Russia. That represented a huge spike in the price of vanadium locally and internationally, which I think augurs well for raising funding and for developing new domestic production in the country, because they’re not going to be able to have these outside sources now. Vanadium product prices have fallen to more realistic levels now, but are still in a favorable range for consumers. That was one of the bigger developments. More recently the central government has mandated large energy storage components for all renewable electricity projects like wind and solar and provided a policy statement encouraging the use of vanadium flow batteries for this purpose.
The battery business is going well. The energy storage industry in China is blossoming. There have been a lot of new proposals and new mandates by the Chinese government for energy storage, including in September, a guideline for the use of vanadium flow batteries in the 100 megawatt hour capacity range for all new energy storage programs. Along with this, they are mandating at least 10% minimum of renewable energy projects as storage, so 10% of the capacity of that project has to be set up as some form of energy storage. That’s very positive for the battery industry, as well. Most recently, Pu Neng, the battery company, has announced a large 12megawatt hour battery contract which may be expanded to 40 megawatt hours. This represents significant value for Pu Neng and obviously Sparton through VanSpar.
Dr. Allen Alper: I understand the Chairman of Pu Neng’s holding company is Robert Friedland, who is a member of the Canadian Mining Hall of Fame.
Mr. Lee Barker: I’ve known Robert for a long time. I was associated with him a few years ago regarding a company doing gold exploration in China. For the last five years I’ve been working on vanadium mining opportunities in China. I understood grid scale Vanadium Flow Batteries would be the future of electrical energy storage.
We were looking for markets for the very high purity vanadium from our projects. Our vanadium was perfect for making electrolyte for flow batteries. We contacted Prudent Energy, as a potential vanadium customer. But in 2014 the company was dysfunctional and I successfully negotiated a contract to buy it and began looking for investors to finance the acquisition. Early in 2016 Robert Friedland showed interest and 8 months later we finalized an agreement with HPX TechCo, part of the privately owned advanced technology company, I-Pulse Group, chaired by Mr. Friedland. I-Pulse has strong Asia connections and a very strong, innovative technical team. They decided vanadium Flow batteries for large scale grid level energy storage are currently the best option available and his organization is supporting our business. 70% of the market for vanadium flow batteries in the world for the next 5 years is expected to be in China and Pu Neng is well- positioned to support this demand.
Dr. Allen Alper: That sounds great. Could you give our readers/investors an overview of Sparton Resources, what you’re doing in the vanadium space, and also what you’re doing with your battery investment?
Lee Barker: Certainly. Sparton Resources has a subsidiary called VanSpar Mining, which is a private BVI subsidiary company. VanSpar owns 18% of the battery manufacturing company that has its factory in China, but is actually owned by a Cayman Islands company. That factory has been reactivated and is now producing new batteries and encouraging customers to have new contracts for selling more batteries in Asia. They are negotiating contracts in Australia, Taiwan, and a number inside China, as well. That’s all very positive. It’s moving forward. The company is actually looking very good now.
In the vanadium business itself, we have identified several world-class vanadium deposits in south China. We’re in the process now of seeking financing to acquire one or more of those resource bases. They represent world-class resources of vanadium, very high-grade and easy to process. We have patents on the processing technology, and we’re in the process now of seeking investors that will allow us to acquire those, and develop them, and try and feed into this market now, which is definitely under-supplied now, inside China.
Dr. Allen Alper: That sounds excellent.
Lee Barker: It’s a very positive development. It’s something that, because it’s a niche situation for a commodity, has been tied to the steel industry. We’re not concerned about it being tied to the steel industry, because we can feed both the steel industry and the battery business simultaneously with any production we can generate from these deposits. It’s not restricted to one thing or the other. There are about three different products we can produce and sell from these deposits.
These deposits have been drilled. They have 43-101 reports. We’ve done a lot of work ourselves on them, as have others. They’re ready for acquisition. We just have to assemble a financing package for them.
Dr. Allen Alper: What kind of financing are you looking for?
Lee Barker: Initially, probably in the range of about $2 million to $3 million. The acquisition cost of one of them will probably be very cheap, because it will relate to a leasing situation we expect. The acquisition of one of the other two or three that we have on our plate may involve a series of cash payments over time, but we’re in the process of starting to negotiate those. Ultimately, the total amount of money needed to get from acquisition up to the production stage is anywhere from $10 million to $25 million, depending on which one of the deposits we actually begin with. It’s not a lot of money in the context of what capital costs are for most mining projects. Part of the infrastructure’s already available and the deposits have been well drilled off. They’re easy to mine because they’re flat-lying and they’ve been partially developed in small pits previously, so we have a lot of positive things going for us that don’t have to be redone or started from scratch. It’s almost a reactivation situation of some existing mining pits that were developed previously.
Dr. Allen Alper: They’re located in China?
Lee Barker: Yeah, these are in south China. These deposits are in black shale rather than magnetite iron ore, and so the processing technology is much cheaper and much cleaner. The product that you produce is a much higher grade of vanadium, so that allows it to be used for the chemical industry as opposed to just producing ferrovanadium for steel alloying. The price for the high-purity vanadium material is about 40% higher than the standard grade, and the only material we would produce from these deposits would be the high grade, so we’re looking at something that really is worth in the range of two to three times the value of a copper deposit. If we have a 1% vanadium deposit, which these are close to being, you’re looking at a 3% copper deposit. There are not very many 3% copper deposits in the world.
Dr. Allen Alper: That sounds excellent. Could you say a little bit more about the outlook for vanadium?
Lee Barker: I think it’s very positive. The steel industry is reviving itself. There are no stockpiles in China only 3 main producers who are also sellers and consumers. There is room for more domestic production and prices are in a reasonable range now. It’s coming back slowly with the rest of the world economy. The demand for vanadium and vanadium flow batteries we believe over the next three to five years is probably going to consume as much as 10-20% of the vanadium market, whereas today it’s only about 3%. That growth is going to be tied to a more widespread acceptance of vanadium flow batteries for energy storage. Over 70% of the world’s flow battery market is expected to be in China and Asia for the next 5 years. At the moment, probably the usage of the vanadium flow battery as opposed to other forms of storage is relatively modest, but the technology has been proven and is starting to be recognized as probably the only commercializable technology right now that exists. Our company has proven that because we’ve built very, very large flow batteries that have been operating for over two and a half, almost three years now. Once this recognition starts to come forward and we start to get new business and new installations, I think there’s going to be a much, much wider acceptance of this technology.
Lithium batteries only last three to five years. They can be dangerous. They can explode. They’re quick to build and quick to install, but on a cost-of-storage basis over time, a vanadium flow battery will last 20 years and a lithium battery will last four to five. The actual cost of vanadium batteries is about one- quarter of the cost of the lithium batteries, and in fact, the vanadium battery is 100% recyclable at the end of its life, whereas the lithium ones aren’t. It’s a very positive thing that, I think, the energy storage industry is starting to recognize now. As more and more units are used, and they’re used positively, and they’re proven to be acceptable, I think we’re going to see a much, much larger demand.
Dr. Allen Alper: That sounds excellent. Could you elaborate a little bit on Robert Friedland’s group?
Lee Barker: Yeah. Robert Friedland’s group is the main investor in this battery business, in which we own the minority interest. The company is called HPX TechCo. It is part of a group of technology companies that Robert Friedland and his partners have financed, called the I-Pulse Group. There’s a website for the I-Pulse Group where you can see all the people behind it and the various subsidiary companies.
This group is involved in a number of mining and non-mining-related technology developments that are actually very exciting. They have a system for producing metal parts and fusing metal parts together, using pulses of electromagnetic energy as opposed to using conventional welding methods, where you have to have fluxes and heat. They have contracts with Airbus and some other companies, auto companies in Europe. The HPX company has a subsidiary called CleanTech in Australia that’s developed a process for extracting both cobalt, nickel, and a metal called scandium, which is very highly used for alloying with aluminum. It can make an aluminum-alloy material that’s nearly as strong as steel but of course about 40% lighter. It is developing a large nickel-cobalt -scandium deposit. If you go on the I-Pulse website, you’ll see a lot of this information.
I-Pulse is a wide-ranging technology organization. One of its subsidiaries is the majority owner of the Prudent Energy, now named Pu Neng Energy, the battery builder in China in which we have the minority interest. It’s a rather exciting company. It’s worth looking on their website to see the various things they do in terms of technology development and evolution.
Dr. Allen Alper: That sounds excellent. Could you update our readers/investors on your background, your team, and your board?
Lee Barker: Our company has evolved. My background is mineral exploration and project development for the last I guess 55 years now. I’ve been involved in exploration and development projects all over the world for a number of commodities, base metals, precious metals, diamonds. I was involved in one of the large diamond discoveries here in Canada.
Working in China for the last 12 or 14 years, we’ve developed a number of projects for what we call specialty metals. We started off with a gold project. We actually owned and operated the sixth-largest germanium mine in the world at one time, which we sold. We became involved in the vanadium business through our connections with one of the large Chinese state-owned organizations. For the last seven or eight years, we’ve been focusing on developing these vanadium resources. As you know, the early timing was probably not very good with the 2008 meltdown, and things have never really fully recovered from that yet, but getting the battery company contract sewn up and getting the Friedland group of people involved in the acquisition was very positive for us. We see that as a very strong support group that will help things move forward very positively.
Dr. Allen Alper: That sounds excellent. Could you tell me a bit more about your board?
Lee Barker: Right now we have three people on our board. One of our board members retired from all his boards last month. But we have a gentleman named Rick Williams, who’s a former securities lawyer, also an entrepreneur in the mining industry for over 30 years. He runs a company called Waseco Resources, who has a very nice gold project in Nevada near Newmont’s producing Phoenix deposit. He’s been involved in international projects in Indonesia and various other countries including Mexico.
We have Wes Roberts, who’s a mining engineer, formerly with the Heenan Blaikie Mining Group here in Toronto, and subsequently with a law firm that also set up its own mining group independently. Wes is working with a merchant bank now called Gravitas. Wes is a very practical guy. He has hands-on mining experience. He’s actually worked in mines plus he has an MBA that allows him to look at the financial and commercial side of things as opposed to just the technical side.
We’re probably bringing another board member in soon, who will possibly have some relationship with the energy storage business, but certainly with the commercial financing industry. I’m a board member as well.
Our CFO is a Chinese-Canadian, with experience both in China and North America, as the CFO and director of a number of listed companies both backed by Chinese investors and by Western investors. We have a good backbone. We have a director on our advisory board who’s in China and has worked with us for 14 years. He’s also a fluently bilingual Chinese lawyer, involved in Canada for eight years. He worked with Smith Lyons, the Chinese government, and the Ned Goodman group of companies back in the 1980s. We have a pretty well-rounded group of people, with expertise in most fields that can keep us in line rather than just an exploration guy like myself, who loves to find things.
Dr. Allen Alper: That sounds like a very well-balanced and experienced board. That sounds great. Could you tell our readers/investors a bit about your capital structure?
Lee Barker: Yes. The company has about 120 million shares issued right now. Including 5.3 million 10 cent warrants. There also are some options of about 2.75 million shares at 10 cents. The company has been trading in the four to eight cent range for the last two or three months. A major shareholder has recently disposed of his position, and created a lot of liquidity, but it’s depressed the share price a bit. We’re quite confident, now that stock is gone, that we’ll be able to move that share price up into a more favorable range.
The Company is clean. We did a shares-for-debt transaction in the last couple of months that has cleaned up the balance sheet. The outstanding moneys that we owe on a short-term loan basis are with investors that actually invested in the vanadium project for us in the VanSpar private company, so we have no pressure from anybody to deal with that. We’re hoping to be able to show significant value once this battery company business starts to flourish. There’s a reasonable expectation that the company will be listed on a stock exchange and we’ll be able to have liquidity for our share ownership, cash in and then pay dividends to everybody, or dividend the shares out, depending on what makes the best sense for all the shareholders.
Dr. Allen Alper: That sounds good. How would our high-net-worth readers/investors, invest in your company, if they wanted to?
Lee Barker: Right now, they can buy stock on the public market. We’re listed on the TSX Venture exchange. The stock’s trading between nine and eleven cents. It’s quite liquid. There are buyers and sellers available every day. If they are U.S. investors, they can do their trades through a broker that has a corresponding trading partner in Canada, or if they’re investors in Canada, obviously they can trade through their own personal accounts.
Dr. Allen Alper: What are the primary reasons our high-net-worth readers/investors should consider investing in your company?
Lee Barker: I think the share price right now is very depressed because of this past overhang of the shares that this gentleman has disposed of in the marketplace. We see the growth and the value of the battery business in the multiples of the share price at the moment. The thing is, you can be a trader or an investor. I think we’re looking two to three years out for this now, but at the current share price of four to five cents, there isn’t a lot of risk in the context of where the company is likely to go. We have a strong ability to generate new projects with the right financing, and at the share price we’re at now, we feel the company is clearly undervalued.
Dr. Allen Alper: That makes sense.
Lee Barker: The energy storage industry right now is just starting to take off. At the conference in San Diego for the Energy Storage National Association. There were probably over 150 players, and wind and solar people there, and battery builders, and various related businesses, so there is a growing market now. It’s politically correct. It’s government-sponsored. Governments have dictated these things. The state of Massachusetts is putting in storage. New York State is putting in storage with their wind systems along the lakes and various places, California is a leader in renewables and storage, so its time has come. Now is hopefully the time that we’re going to be able to reap the rewards from this. We may have been a little bit early in getting involved in it, but now hopefully it’ll come to fruition.
Dr. Allen Alper: That sounds very promising.
Lee Barker: Yes, thank you!
81A Front Street E, Suite 216
Toronto, Ontario, M5E 1Z7
Telephone/Fax: 647-344-7734
E-mail: info@spartonres.ca
Web: http://www.spartonres.ca
$SRI-.T Re: above article post.
Thank you SS.
How will a list for Van-spar effect $SRI-T.
from text:
This represents significant value for Pu Neng and obviously Sparton through VanSpar.
The Company is clean. We did a shares-for-debt transaction in the last couple of months that has cleaned up the balance sheet. The outstanding moneys that we owe on a short-term loan basis are with investors that actually invested in the vanadium project for us in the VanSpar private company, so we have no pressure from anybody to deal with that. We’re hoping to be able to show significant value once this battery company business starts to flourish. There’s a reasonable expectation that the company will be listed on a stock exchange and we’ll be able to have liquidity for our share ownership, cash in and then pay dividends to everybody, or dividend the shares out, depending on what makes the best sense for all the shareholders.
How does/will a listing for Van-spar affect $SRI.T
There were questions but DR Allen Alper did seem to just move on to get through the questions. Lacking spontaneity of a true conversation between parties but perhaps that is how these role…..
Did I miss an explanation of this from HN. If so, my apologies…..
Lulu thanks. If true the interview gives reassurance on a number of doubtful things.
Thanks Squirrel !!
$SRI $SPNRF…Sparton Resources…questions and doubts
Usually in our mining speculations we are looking for strong management, which may or may not have a valuable underlying asset.
In the case of Sparton, we have a strong underlying asset, but we have questions about the management.
**
The track record of Sparton management is not compelling, and the active mining prospects are speculative, and there are serious questions about what they will do with the company. The financials are weak. It would be dishonest for me to sweep these issues under the rug. There is a reason that Sparton sells for 6 or 8 cents and has a market cap of $10 million.
But the underlying asset, 18% of Pu Neng, is very solid. And in my opinion, it will be
very large, and it will be worth a lot more than $10 million.
**
It is surely possible that Barker will mismanage Sparton, waste money on fruitless
projects, and not find anything. He might blow it , have a cash crisis, and even go bankrupt. But there is a floor value under it all…18% of Pu Neng.
We can monitor Sparton to see if Barker is wising up or continuing to waste money. If he persists in going in a direction detrimental to shareholders, it will be obvious.
Barker had to surrender 80% of the potential profit on a portion of his stock to a private investor, to keep up the 18% interest in Pu Neng. So he is clearly got problems. But the private investor saw opportunity.
This is a crazy thing to consider, but I think the value of Pu Neng will increase at a lot faster rate and arrive at a lot large number, than the amount of waste and loss that Sparton can accumulate.
**
Barker could change direction. He is on the Board of Pu Neng. He will see what is happening.
Whatever his ambitions and dreams are, he will be present at Pu Neng board meetings. He will see clearly that all he needs to do to get rich is…nothing. Maybe he will say to himself, “What am I knocking myself out for ? Why do I need to find a gold strike or new vanadium mine, I will be rich beyond my wildest dreams just keeping out of the way here.”
Of course he might say “I am going to be worth t $500 million, so I can go borrow more for my stupid drilling program in Patagonia.”
We’ll see. If Barker makes a mess of Sparton, someone will be there to buy it.
$T.RNX- RNC Minerals press release from today.
http://www.rncminerals.com/2018-01-18-Beta-Hunt-Mine-Gold-Production-Increases-21-in-Q4-2017-Exits-Year-at-70-000-Ounce-Annualized-Production-Rate
http://www.spartonres.ca/news/press-release-january-18-2018/
Sparton Resources.
Sure this been posted?
NEWS
News Release
SPARTON RESOURCES INC.
DRILL PROGRAM TO BEGIN ON QUEBEC GOLD PROPERTY
VANADIUM DEVELOPMENTS AND
FLOW BATTERY MARKETING INITIATIVES CONTINUE
TORONTO, ONTARIO JANUARY 18, 2018. Sparton Resources Inc. (TSXV.SRI) (“Sparton” or
the “Company”) announced today that it has signed a drill contract with Edcor Drilling Services for a
minimum of 1,000 metres of core drilling on the Bruell Gold Property in Vauquelin Township, Quebec. The
work is expected to start in the third week of January 2018 and requires a minimum of 3-4 weeks to
complete.
DRILLING PROGRAM
The initial 1,000 metre program will involve testing an area on the east part of the claims where several
past drill holes returned encouraging gold values associated with a 300 metre long Induced Polarization
geophysical anomaly that has been incompletely tested.
Drilling in this area in 2005 returned values of 5.32 gm/tonne gold over 2.44 metres and 6.51 gm/tonne gold
over 2.13 metres in one drill hole, and 1.15 gm/tonne gold over 9.5 metres and 3.23 gm/tonne gold over
1.5 metres in an adjacent hole, 100 metres to the east. Approximately 5 holes are planned for this area.
Three other areas on the claims have also been selected for initial testing. Each of these has encouraging
gold values in past drilling and associated geophysical targets that have not been comprehensively tested.
ACCESS AND INFRASTUCTURE
The 36 Bruell claims are accessible from Val d’Or and Senneterre by paved Highways 117 and 113, and
local forestry roads and logging trails. The property contains a number of structurally hosted vein type gold
occurrences and two (2) shallow, vertical shafts, the Bruell 1 and Bruell 2, and one inclined shaft, the
Avocalon (Aurora zone). Exploration work dates back to 1934, with the last significant work done in 2005.
New winter logging operations taking place in the claim area will facilitate access to the planned drill sites
with serviced road access now nearly completed.
Follow up work will be planned after all assay information is available.
VANADIUM DEVELOPMENTS
Initial planning and budgeting for the Yao Wan Project evaluation in Shaanxi China is underway. The
priority activities will be discussed with the property owners and a final program approved in early February.
The priority will be to implement a shallow drilling program to acquire detailed information on the near
surface Historical Estimates provided by the project database, which indicate a near surface vanadium
mineralized zone containing 5,433,900 tonnes grading 1.02% V2O5 and containing 75,632 tonnes of V2O5.
(See Company News Release dated January 2, 2018).
It should be noted that the near surface vanadium endowment quoted here is considered “Historical
Estimates” under NI 43 -101 and include estimates from data generated from work done by a Chinese
Licensed Exploration Organization which was engaged by the Yao Wan, the exploration license owner, for
various work programs between 2006 and 2015.
The data are believed to be reliable and were generated using recognized calculation procedures and
analytical techniques. The “Historical Estimates” are related to Chinese category 332 and 333 level
resource reporting standards.
More work needs to be done to upgrade or verify these “Historical Estimates” into current resource
categories. While VStar has the right to acquire a 70% equity interest in the Yao Wan exploration license
and project (and through it the Company a net 56% interest), the Company recognizes that sufficient work
has not been yet done to classify the “Historical Estimates” as current mineral resources or mineral
reserves.
As such, Sparton is not treating the “Historical Estimates” as current mineral resources or mineral reserves
or implying any economic value to them. Insufficient metallurgical testing has been completed on the Yao
Wan mineralization to understand recoverability of the vanadium from these deposits, and cost estimates
for open cast or underground mining have not yet been made by an independent organization.
VANADIUM FLOW BATTERY UPDATE
Pu Neng Energy, a leading vanadium flow battery manufacturer in which the Company holds a minority
interest, continues to pursue new sales opportunities for its products and its representatives have recently
attended a number of energy storage conferences in developing markets.
A. L. Barker M.A.Sc., P. Eng., P. Geol. is the Qualified Person under NI 43-101 for the technical information
in this news release and has reviewed all available data for the Bruell and Yao Wan Properties and
approved the contents of this news release.
For more information contact:
A. Lee Barker, M.A Sc., P. Eng., P.Geol.
President and CEO
Tel./Fax: 647-344-7734 or Mobile: 416-716-5762
Email: info@spartonres.ca Website:www.spartonres.ca
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
Information set forth in this news release involves forward-looking statements under applicable securities laws. The forward-looking statements
contained herein include, but are not limited to, financings and transactions being pursued, and all such forward-looking statements are
expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this news release are made as of
the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result
of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although the Company believes
that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will
prove to be correct and, accordingly, undue reliance should not be put on such forward-looking statements. This news release does not
constitute an offer to sell or solicitation of an offer to buy any of the securities described herein.
We Seek Safe Harbour
Sparton…everything is upside down with Sparton.
I don’t want there to be any good gold finds because they will want to spend money for more drilling. I’d like the gold project to be a dud so they can focus on vanadium. And for heaven’s sake I hope they dump that natgas project.
If the stock goes down, I like it because I can accumulate more of it. There is a floor under Sparton…15% of Pu Neng. Imagine, the price has been down to 2 cents.
**
Seriously the article provides some comfort on a few things. First is that Barker sounds like he knows what he is doing. Second is that he hinted that he is the owner of some of the IP involved in the VRB. Third is that he goes back a long way with RF…maybe even they were together on the gold project that RF gave to the state ministry that morphed into Zijin. Fourth is that Barker has been working for over a decade in China. Fifth is that, despite some prior billing disputes and growling at each other, Sparton and Friedland seem to be OK together. And whatever happened, Barker is on the board of Pu Neng.
There are still doubts about what Sparton will do under Barker. I also dislike the fact that the board and the management seem to be identical. And granted there are a lot of questions about Sparton projects and financing. Granted.
But I don’t get the feeling that he can mess it up too badly; and underneath is the Pu Neng equity. There aren’t any doubts in my mind that 15% of Pu Neng will be a large number. So I look at it as a holding company with drilling expenses.
I am OK with my risk on this one. Slightly oversize position. Sparton could be a home run before the end of the 5 year Chinese energy storage plan.
We’ll get plenty of indications along the way.
HN
How low would Sparton have to go for you to buy more?
I have good til cancels in at 7 and 7.5.
If filled, they will put me at the limit of what I am comfy with. Subject to change without notice, of course.
We seem to a little lucky, news and interviews breaking.
Obviously I was more greedy than fearful, because I jumped in at 8 cents. But as I have said before, I am a little itchy and impatient when I make up my mind, and I could have another crummy entry if the stock goes to 5 or 6 cents.
C’est la vie. Going to watch what they do management-wise; I think that is more important than the daily fluctuations. My intention is for 4 year horizon with periodic check-ups.
**
One other thing I thought about: I don’t think RF cares about it right now, but at some point it will be in his interest to have a good valuation on Sparton, because by inference Pu Neng’s valuation can be eyeballed from it.
So when an IPO on Pu Neng is on the horizon, or if Barker gets in trouble, I think there is going to be a floor support for the stock price. But Barker didn’t sound too worried or desperate, although I wish he wasn’t fishing around so much for private high net worth investors.
Another thing. Sparton is a great takeover candidate for anyone who would like a hunk of Pu Neng.
You can get 15% of Pu Neng right now for about $12 million at 8 cents a share on the TSX.
hedy1234…I cancelled my G-T-C’s. for Sparton. I needed money for MGX, and if Sparton dropped I filled the GTCs, I would be overextended. Whether I buy more Sparton on weakness is now conditional….if the drop were to be on some type of news, I would have to look at it and consider.
Also, I did add some; and my position is as large as I am comfortable with until new developments present themselve.
Honestly MGX is in some ways an analogy to the Pu Neng situation. MGX just acquired a flow battery start-up which could have outrageous value in the near future. Instead of Friedland behind Sparton(?) /Pu Neng, we have Teck behind MGX/ZincNix.
The Teck acquition ZincNyx uses zinc batteries. This technology is not widespread and unlikely to dominate but there is no reason it cannot have a place if it is priced correctly; and Teck can supply the zinc.
IMO there’s room for a few shots in VRB and battery storage. The business is going to go bananas in the next three years. It is going bananas now, we don’t need to wait for an ignition.
$SPNRF/$SRI Sparton Resources – I think I’m starting to connect the dots on this one and will post my thoughts a bit later. I now have a very good idea as to why Friedland needed Barker and vice versa (and HN is right – IP is a big part of it).
In the meantime, folks might want to re-listen to this Freidland interview at the Canadian Mining Symposium in London, UK, in May 2017. The actual interview is about 44 minutes long, with Friedland starting to speak at the 7 minute mark. While I think the entire interview is well worth a listen, if you just want to hear his take on vanadium skip to the 36:45 mark where he talks about China. After that, make sure you listen as well from the 49:18 point forward; that’s where he lays out his favorite metals for the future.
https://soundcloud.com/northern-miner/episode-70-the-unabridged-robert-friedland-sessions
Ashton, the interview was fantastic and well worth listening to again.
It was a foundational talk in my investment strategy in commodities, and provided
targets outside of gold, silver, and copper.
Sienna Resources to acquire the Slättberg Cobalt-Nickel-Copper Project in Sweden
SIE:TSX.v |$SNNAF:USA NEW POSITION | A1XCQ0:Germany
New project has 12 old mines on the property
Project is Year Round Accessible with Paved Roads Right to Drill Targets
Drill Ready with Drilling Expected in Early 2018
Battery Metals Demand for Cobalt, Lithium, Nickel at Historically High Level Due to Electric Vehicle Battery Growth
Sienna Resources to acquire the Slättberg Cobalt-Nickel-Copper Project in Sweden
Sienna Resources (SIE—TSX.v) (A1XCQ0 –FSE) (SNNAF—OTCBB) is pleased to announce it has entered into an exploration and option agreement (the “Agreement”) with EMX Royalty Corporation (EMX–NYSE (American) TSX.v) to acquire the Slättberg Cobalt-Nickel-Copper Project in Sweden (the “Project”). The Project consists of two adjacent exploration permits comprising approximately 9513 contiguous acres.
Slättberg is located 25 kilometers northwest of Falun, Sweden. Slättberg is a historic mining camp hosting cobalt-nickel-copper rich massive sulfide mineralization that occurs within a two kilometer belt of historic nickel-copper mines. The Project contains drill defined massive sulfide mineralization that extends to ~100 meters in depth, and remains open for expansion at depth and along strike. The Project is accessible year round, with nearby rail, power and 5 smelters in the Nordic region. At least 12 historic mines are located on the property, with historic operations dating back to the late 1800’s.
Mineralization at Slättberg is hosted by 1.8-1.9 Ga (Svecofennian) supracrustal rocks (metavolcanics and metasediments) located along the southwestern flank of a large gabbroic intrusive complex. The historic mines are positioned along an east-west trend of massive sulfide occurrences developed in and around a similarly oriented body of “leptite”. This is a local term used to describe rhyolitic/felsic tuffaceous rocks commonly associated with sulfide mineralization in Bergslagen. Mafic and ultramafic rocks also occur in and around the mine workings.
Sweden is at the forefront of an exploration and development boom in the mining industry. The country’s favorable business environment includes a low corporate income tax rate, a proactive geological survey, and broad public support for export-led resource extraction. Sweden has a long history of mining, and is host to some of Europe’s largest active mines.
Jason Gigliotti president of Sienna states, “We are very pleased to have the opportunity to have access to this project. We are positioning Sienna ‘at the forefront of the battery metals revolution.’ This new project lies within one of the top mining jurisdictions in the world with significant mining history. The infrastructure is as good as any drill target I have seen. There are paved roads within metres of planned drill targets and this prospect is accessible year round. This new cobalt-nickel-copper prospect houses 12 past mines and we are optimistic about what new mining techniques could achieve. We expect to be drilling this property early in 2018. When you couple this new project with our ‘Clayton Valley Deep Basin Lithium Brine Project’ in Nevada, it is clear that Sienna is focused the battery metals space. Management is looking forward to a very active 2018 season and we are very optimistic about the future growth of the company.”
Northvolt is planning to be the largest battery factory in Europe at roughly the same size as Tesla’s Gigafactory. Jason Gigliotti states “Northvolt wants to locally source as much battery material as possible such as cobalt and nickel. There are now more than 20 mega battery factories currently being planned or constructed globally, creating a massive demand on the battery metals such as lithium, cobalt and nickel. Sienna is focused on exploring and developing projects that will meet this insatiable demand.”
‘Clayton Valley Deep Basin Lithium Brine Project’ in Nevada
The technical contents of this release were approved by Greg Thomson, PGeo, a qualified person as defined by National Instrument 43-101.
If you would like to be added to Sienna’s email list please email info@siennaresources.com for information or join our twitter account at @SiennaResources
Contact Information
Tel: 1.604.646.6900
Fax: 1.604.689.1733
http://www.siennaresources.com Long #henrrixNuzzlez & #G8Gummunity!
#Best2ALL! ~ BenJammin’
$SRI $SPNRF…beware of the “Gummie Effect”. The people on this thread are capable of moving the price. This is a really thinly traded stock.
ROBERT FRIEDLAND AND THE CHINESE CORPORATE/STATE HAIRBALL
One of the underlying factors in my interest in Sparton Resources is a small insight into the connections and relationships between Robert Friedland and a large group of Chinese interests.
The connections are sometimes hard to make out, and their importance is often obscure in the beginning. We see a name or a company or a Chinese government entity, and we do not fully understand the significance of what we are seeing.
***
You read that Friedland has allowed Zijin Mining to acquire an equal interest in the copper project at Ivanhoe.
Item: Zijin is China’s largest gold miner
Item: Friedland gave them a gold mine decades ago, for nothing
Item: China State Grid is the world’s largest user of copper and largest corporation
Item: Last September a state paper was sent to all major Chinese government subdivisions giving guidance to develop energy storage.
China is going electric.
You read that a Chinese billionaire has become co-chair of Clean Teq. He is Jiang Zhao Bai, of Pengxin Mining. He controls the Pengxin Group.
Item: Pengxin is a major industrial conglomerate
Item: Pengxin is in urban development and infrastructure, construction, mining, information, technology, real estate, and international trade
Pengxin is a proxy for the Chinese establishment.
You read that Clean Teq has enetered a joint venture in China. One of the JV partners is Three Gorges Corporation.
Item: Three Gorges is the major power company on the Yang-tze River
Item:: they have three major hydro plants and 9 substations on the Yang-tse River
Item: They are a major player in China State Grid
By virtue of his JV, Robert Friedland is partners with the world’s largest corporation, and the world’s largest user of copper. Friedland is partnered with the Chinese establishment.
You read that Pu Neng has been awarded a contract to Pu Neng for VRB in Hubei.
Item: Three Gorges Corporation is in Hubei.
Item: Hubei is a province with 58 million people It is diverse and industrialized
Item: Power generation and mining are major industries in Hubei.
Item: Energy storage is a target of a national program
Item: Pu Neng is a world leader in VRB, the leading energy storage technology
Item: Pu Neng VRB installations have passed muster with China State Grid
Item: Robert Friedland contols 87% of Pu Neng
Item: VRB requires vanadium
Pu Neng’s VRB is approved by China State Grid.
The conclusion becomes inescapable that Robert Friedland and his companies
are vetted, endorsed, and supported by the Chinese establishment.
Long Ivanhoe Mines , Clean Teq Holdings, Sparton Resources.
Hn you said,
“The connections are sometimes hard to make out, and their importance is often obscure in the beginning. We see a name or a company or a Chinese government entity, and we do not fully understand the significance of what we are seeing”
That’s as maybe, yes true but you nailed it concisely, connecting the dots which is your forte for sure. This a great investment opportunity for all here!
Knowing the Chinese through my previous business and on a personal level this is going to happen. Friedland’s focus will be on this 100% without a doubt as he reads the future well…
Sparton’s stand alone makeup is pretty poor on paper. It is the connections, position, and interest in Pu Neng that are decisive factors for me.
If I looked at Sparton without reference to Pu Neng and VRB and Friedland, all I would see would a scattered explorer/developer with some vague prospects and lousy financials.
It looks Barker is dead set on mineral exploration. I think that is why Sparton was set up the way that it is.
He has done it all his life; and maybe he has something in the vanadium deposit or the Canadian gold claim.
But these are irrelevant to the interest in Pu Neng.
As I say, I look at Sparton as a holding company that has drilling expenses.
**
CHINESE VANADIUM…I would like to find out something about the vanadium prospect and will check into it.
If it good then obviously it will be an exponential plus to Sparton, because we know the thing will be financed by the Chinese Hairball, and we know there will be offtake as soon as a mine can produce anything. But I have no opinion about it; and again it is irrelevant to the equity in Pu Neng.
Dilution is normal with all developers and explorers. They all need more capital all the time. I would not be concerned about it in normal situations, and here I am counting on Sparton to find anything. But I just want them not to waste equity in a that diminshes their stake in Sparton. That is a sensitive point,
because I think loss of equity now will be extremely expensive later.
BRUELL GOLD PROJECT…I could care less. They are spending a couple hundred thousand on drilling. Since I am long Sparton, I am obligated to check it. Best case, it might be something. Worst case,
Barker is wasting money on exploration.
CASH AND STOCK…I don’t care if Sparton spends some cash or takes on a little debt that can be managed. The critical issue is that
there be no major dilution in Sparton stock or its interest in Pu Neng.
There is no guarantee that Barker will see it the same way.
I see the interest in Pu Neng as a valuable asset to be capitalized.
Barker may see Sparton’s equity in Pu Neng as attractive collateral to finance his ambitions in exploration.
HN -I just tried to post a lengthy comment with several links. It disappeared, so I am assuming it just held up in some review process. Correct?
Ashton A post with more than two links goes to mediation. It should show up soon.
That is to filter out spammer bots.
Thanks Arch – I’ll remember that for next time.
I just got this from Pure Energy $PEMIF .
http://cambridgehouse.com/e/vancouver-resource-investment-conference-2018-69
has anyone been to one of these conferences?
PEMIF long
No, but I am considering it.
$No ticker
If you do, I will contribute toward your expenses.
HN – if I may. I have attended a few of these symposium/conferences in the past when I worked in the securities business ( 20 + ago)…..depending on how many days, often the speakers who you want to hear conflict due to scheduling times. This is similar to a bio-conference where speakers are looking for money, presenting an enticing story, pushing the fear or greed glands.
In my humble opinion:
There is another conference which may be of more value. It is put on by Micheal Campbell from “Money Talks, Vancouver”. Martin Armstrong from Armstrong Economics is a key speaker. One is able to purchase a complete video rather than attending, very reasonable considering the costs of actually attending…..the negative to that the video is not released until 48 hours.
2018 World Outlook Financial Conferences – Vancouver, BC Canada
I wonder if we could benefit from the video ( which we may not know whether it is shareable until it arrives in my in-box) . I intended to ‘order it’ and since I really want to be able to contribute more, I would do my best to share…….
The conference could be very worthy not just for mines/metals/minerals etc but the disruption thesis.
Fellow Gummies…would you please review the link below and tell me what you think of the list of attendees and if worthy? It would help solidify my decision to order the video and contribute more.
Thank you Lulu
http://moneytalks.net
DUE DILIGENCE ON ROBERT FRIEDLAND AND THE CHINESE CORPORATE/STATE HAIRBALL…for when you are bored
Usually, one has a stock of interest and investigates it.
We have done this with Ivanhoe, Clean Teq, and Sparton..
What we have encountered is a complicated web of interlocking state, corporate, and individuals that are effectively a proxy for the Chinese establishment; and Friedland and his companies are in the middle of this network.
As an investor, I have become very confident of the eventual success of my investments and speculations in the companies controlled by Friedland that are positioned favorably within this network.
The network includes:
China State Grid, hence Chinese state power and energy interests
Three Gorges Corporation
Zijin Mining, hence Chinese state mining interests
Pengxin Group and its affiliates
Jiang Zhao Bai and his associates
Hubei Province and subdivisions (home territory Three Gorges)
Shanghai/Shanxi Province and subdivisions (Home territory Pengxin)
Easpring
Friedland public : Clean Teq, Easpring, Ivanhoe Mines
Friedland private: HPX, I-Pulse
It may be a fruitful activity to investigate the entities in this network.
At the least, it will be interesting. We might come across other opportunities.
We might recognize the meaning faster than the next person.
For example: When you look at Jaxon Mining, a nanocap gold explorer in BC,
it will mean a lot more to you when you read that Zijin Mining has a big stake in them.
For example: When you read an obscure news release about a contract on VRB
to somebody in Shaanxi province, it will mean more and you might even know the
players involved. It will likely be a Pengxin company delivering a contract to Pu Neng.
*****
ROBERT FRIEDLAND AND THE TONY SEBA DISRUPTION
Robert Friedland is in the thick of the trends presented by Tony Seba.
He saw the trends long ago, and for over a decade has directed his efforts toward commodities that he believes will benefit from it.
Friedland has the same message as Seba, but from another perspective, and with a different style and emphasis. Friedland talks a lot about disruption…in mining, mineral extraction, and technology.
As a result, even though I was mentally disrupted by Tony Seba, my investments were not seriously thrown into question , because a lot of my positions were in Friedland companies or the commodities he is targeting.
These ideas are now pretty firmly entrenched in my thinking. My investment perspectives for the future have been affected by Robert Friedland and Tony Seba.
Lest we forget, Sama Reources ($SME-T,$LNZCF). HPX (Friedland) owns approximately 15.4% of Sama’s issued and outstanding shares and 26.7% assuming only the exercise of its Warrants. And Sama owns ~40.3% of SRG Resources.
Haven’t forgotten. Long $LNZCF.
And let’s not forget $FEXXF and $CMCRF, either. They are looking like losers. And $CDBMF also.
We must stay objective. We don’t want blind hero worship of RF.
But if the company is in the middle of the Chinese Hairball it is probably not an exploration play and is much more likely to work out.