Argent Minerals Ltd

ARD Details
Progress is impressive: Argent Minerals Ltd (ASX: ARD) reported high-grade base and precious metal project assays from recent drilling which are currently being received at Kempfield project in which the company has 100% interest. In West Wyalong project, the company has 51% interest and now moving to 70% large porphyry copper gold target. Drilling would commence with NSW Government assistant.  This program, totaling 2,300 meters in six holes is the first drilling program, which is conducted by Argent to test the Theia and Narragudgil geophysical targets. A projected cost of this program is up to $200,000 of direct drilling costs which will be co-funded by the NSW Government, merit based Co-operative Drilling fund. At Loch Lilly, Argent Minerals has right to earn 90%, and has recently negotiated joint venture. The company said drilling would commence soon with NSW Government assistance.
 

Loch Lilly – Kars Belt (Source: Company Reports)
 
Argent would drill-test two identified geophysical targets, Eaglehawk and Netley, each with a 500-meter diamond drill hole. Up to $150,000 of drilling costs is cofounded by the NSW Government Cooperative Drilling fund. The cash as on December 2016 is at $ 1.6 million while the group got over 350,000 in merit based co-funding awards from NSW Government. The stock has fallen about 11.7% on February 27, 2017 owing to some volatility but otherwise rose 155% in last three months (as at February 24, 2017). We rate the stock a “Speculative Buy” at the current market price of $ 0.043

 
ARD Daily Chart (Source: Thomson Reuters) 

Danakali Ltd

DNK Details
Successful advancement of Colluli Potash Project:Danakali Ltd (ASX: DNK) reported the highlights of advancement of world class Colluli Potash Project. The project received an approval of Social and Environmental impact Assessment (SEIA) by the Entrean Ministry of Land, Water and Environment. The company has commenced the optimization of FEED (Front End Engineering Design). The mining agreement and license approvals are positively progressing towards completion. The project has 1.3 billion tonne resource, 1.1 billion tonne ore reserves and mine life of over 200 years. The project will have premium product with limited global production centers.  It has unique capability to produce diverse range of potash types and has one of the highest grade of SOP deposits in the world. It has very high potassium content and very low waste to product ratios. 

Gross Margin (Source: Company Reports)
 
Colluli is geographically superior with regard to key growth markets and has logistical superiority in the Danakil basin. The capital intensity of Phase II is exceptionally low at US$411/ tonne. It has over 300 million tonne of high quality rock salt that will be mined to access the potassium salts. The project indicates massive growth potential. Meanwhile, the company reported strong cash position of $10.9 million at the end of December quarter. We feel one can look at the stock from “Speculative Buy” perspective at the current market price of $ 0.75

 
DNK Daily Chart (Source: Thomson Reuters) 

PNX Metals Ltd

PNX Details
Zinc-gold-silver project: PNX Metals Ltd (ASX: PNX) is developing the Hayes Creek zinc-gold-silver project and exploring for gold and base metals in the Northern Territory.  The company has exposure to three of the best performing metals over the last year. Its JORC 2012 resources have 182,000 tonne of zinc, 271,000 ounce of gold and 17.1 Moz silver. The project is located within existing infrastructure corridor on granted Mineral Leases. Hayes Creek is superior to many on grade equivalence, capital intensity and proximity to infrastructure. The pre-feasibility study is fully funded for completion mid-2017.  Having exposure to three metals help company mitigate the risk against individual price fluctuations. During December, the company has raised $2.6 million before costs via a share placement priced at 2 cents per share to institutional and sophisticated investors. The short-term share price catalysts include resource upgrade and PFS advancement. We recommend the stock a “Speculative Buy” at the current market price of $ 0.024

 
PNX Daily Chart (Source: Thomson Reuters) 

Verdant Minerals Ltd

VRM Details
Resource progress:Verdant Minerals Ltd (ASX: VRM) informed that the Bankable feasibility study and the Environmental Approvals Process are progressing on schedule at the company’s 100% owned Ammaroo Phosphate Project in the Northern Territory. The company has finished the northeastern part of the resources. 

Ammaroo Phosphate Project Timeline (Source: Company Reports)
 
For Silica project, samples from Dingo Hoe are undergoing proprietary test work overseas with a view to establishing suitability for conversion to a valuable high purity quartz product. The stock price is moving upward since mid-December 2016 (80% surge in last three months as at February 24, 2017) and seems to continue the trend. We feel the stock is a “Speculative Buy” at the current price of $ 0.037

 
VRM Daily Chart (Source: Thomson Reuters)

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