BKT - Blackrock Mining

[SCHUMACHER]

Time to start a thread on Blackrock Mining - 99.1% TGC Purity graphite :D

iIn terms of other graphite plays this company would have to be worth a serious look - massive TGC grades and resource and more news coming my end of this month - should move strongly into the 20's by end of August is my pick IMO

"A global resource of 131 million tonnes at 7.9% TGC holds 10.4Mt of contained graphite. This extensive resource contains a high-grade portion of 37.6Mt @10.2% TGC, or 16.7Mt @11.1% TGC."

as a comparison to my other graphite junior RNU ( I sold 70% of my RNU today to buy BKT ) - this company has 10 times RNU'S resource and further advanced than RNU so apples for apples and pound for pound BKT is a better deal at todays price - Im guessing but they would be at least 2 years ahead of RNU

RNU= 16 Mt
BKT = 131 Mt :D

read on -

http://www.blackrockmining.com.au/projects/technical-and-financial-studies/

Black Rock Mining Limited (ASX:BKT) is focused on developing its Mahenge Graphite Project, which holds the largest high-grade flake graphite resource in Tanzania and is one of the largest contained graphite resources in the World. The Mahenge Project is undergoing a Pre Feasibility Study (PFS) which is due for completion in August/September 2016, following positive scoping study results earlier in the year.

A global resource of 131 million tonnes at 7.9% TGC holds 10.4Mt of contained graphite. This extensive resource contains a high-grade portion of 37.6Mt @10.2% TGC, or 16.7Mt @11.1% TGC.

Metallurgical test work indicates excellent flake size and quality with up to 99.1% TGC concentrates produced from a simple four stage flotation process. This provides potential to manufacture battery grade spherical graphite without the expense and environmental impact of a final chemical purification step.

The large resource with high-grade zones, high proportion of coarse flake and potential to produce exceptionally high purity coarse graphite flake offers flexibility to develop a long life mine that can supply high quality graphite products to customers for decades.


Our focus

• Developing the Mahenge Project into a long-life producing asset
• Develop downstream value-added processing capabilities
• Leverage our exploration capabilities to discover and develop new assets

[SCHUMACHER]

THIS INFORMATION is from another site which i found highly interesting to add to my current research on BKT - It also reinforces why ive shifted my cash into BKT for the long haul - this poster was comparing VRC and its capitualtion recently - looks like im not the ony one that thinks BKT's purity 99%+ is outstanding -

:)



1. even 5ppm vanadium in the concentrate is bad. Namangale 1 has vanadium in the deposit, like SYR. this may possibly be hindering VRC since the mineralogy may be different to BKT & MNS

2. most of the entire sample must exceed 99% TGC like BKT have done. VRC can't expect to advance with sub-par announcements like the last two

3. BKT is a justified new star because it has premium metallurgical properties & is quietly going about its business straightforwardly, without hype & conservatively (see how well written the quarterly report was)

4. BKT is being tested by Japanese, Americans & Europeans

5. in the end, it all depends on real offtake contracts. each company is competing for them.

6.but now, BKT is shaping up with the goods. it is looking better than VRC. that's it, for now"

[stoploss]

HI Schumacher ,
I think if you are quoting someone from another site, you should credit that and the poster .
Personally I find on other sites some are not as genuine as you will generally find on here .
So everyone is enlightened and can do their own DD, personally I think it would be a good idea to credit the original poster , that way if we know form past experience they are pump and dump merchants we can keep clear .

Thanks so much for all the work you have been putting into your posts . Personally I have been investing in mining services- just having a dabble with MSV after reading your post .
TPP.ax is my preferred stock in this space , but sector is showing some good gains at the moment , they all might be rerated .....

Cheers
S/L

[SCHUMACHER]

HI Schumacher ,
I think if you are quoting someone from another site, you should credit that and the poster .
Personally I find on other sites some are not as genuine as you will generally find on here .
So everyone is enlightened and can do their own DD, personally I think it would be a good idea to credit the original poster , that way if we know form past experience they are pump and dump merchants we can keep clear .

Thanks so much for all the work you have been putting into your posts . Personally I have been investing in mining services- just having a dabble with MSV after reading your post .
TPP.ax is my preferred stock in this space , but sector is showing some good gains at the moment , they all might be rerated .....

Cheers
S/L


thanks SL- yes ddzx is the person to reference - he/she s very credible and always provides quality contributions at HC -

In terms of Graphite plays ive learnt alot about what to look for as every deposit can be different - looks to me that BKT have the goods over many other hopefulls and their EV is in great shape compared to peers as are their grades TCG (TOTAL CONTAINED GRAPHITE)

Also people who are reading this coverage on BKT check out the PRESENTATION BELOW - Looks like feasibility study due by end of 2016 and they also looking at offtake agreements - alot happening here for BKT and they may just well be the Graphite play to look at if your considering a long term play

http://www.aspectfinancial.com.au/docserver/01758419.pdf?fileid=01758419&datedir=20160719&edt=MjAxNi0wOC0yMisxMzozNDo1NSsxMjArNjEyMDg3ODIrZX RyYWRleG1sK3JlZGlyZWN0Ky9pbWFnZXNpZ25hbC9lcnJvcnBh Z2VzL0V0cmFkZVBERlRpbWVvdXQuaHRtbCsvaW1hZ2VzaWduYW wvZXJyb3JwYWdlcy9wZGZkZWxheWVkLmpzcA==&popup=true

1) Graphite resource discovery of 131Mt @8.9% TGC* including 37.6Mt@ 10.2% TGC

2) Exceptional metallurgical characteristics achieving >99 % TGC flake purity with scope for further improvement
. Premium pricing for premium flake

3) Potential to manufacture spherical graphite for Lithium Ion Batteries (LIBs) without chemical purification.
Additional price premium on success

4) Pre Feasibility Study underway utilising a World class technical team
. Simple logistics


more information on BKT :

HIGHLIGHTS
• Cascades zone is returning very wide zones of graphite mineralisation, currently up to 200m at the central zone.
• Cascade drillhole logging indicates higher grades of mineralisation compared to the Ulanzi zone, with coarse flake size and a deeper weathering profile
• Drilling programme expanded to incorporate wider graphitic zones into resource envelope
• Infill drilling of Ulanzi completed mid July 2016 with incoming assay results confirming 2015 drill results. Updated resource expected in September 2016

As always DYOR

[SCHUMACHER]

PS- IM looking for a future mid cap company that can deliver - BKT seem to me like they have one of the best deposits in the graphite space, strong management and heading into feasibility phase coupled with looking for offtake agreements being major catalysts :)
- this is what im looking for - not interested in large issued script companies with EPS dilution once they hit production etc.... think BKT could time the graphene bull market perfectly especialy if they can supply multiple facets of the graphene inductry other than just batteries... im referring to industrial coatings, nano technology etc...

BKT deposit compared to its peers is probably superior based on recent metallurgical results and 99.1% TGC - being necessary for the lithium battery space

BKT capital structure is excellent :)

Capital Structure

Shares on Issue 285m
Quoted Options on Issue 75m
Market Capitalisation A$46M
Directors’ ownership 29%
Cash in Bank A$2.4M

Perhaps a retest of 20c could be on the cards now

[SCHUMACHER]

from graphite101 HC thread- looks like the PFS due any time now!!!!!

29th August (today)
Guys heres my final thoughts for today - the company stated the following so expect PFS ( Pre-feasibility ) any day now !!

"Based on the positive conceptual economics from the Scoping Study, a Pre Feasibility Study commissioned and results are expected in late August to early September"

Now if they add offtake agreements to this then up she rises - GLTA

read on.....................

27th August
Time to focus ON THE INVESTMENT PROPOSITION and to show potential investors and HC viewers what we have to offer:

Black Rock Mining Limited (ASX:BKT) is focused on developing its Mahenge Graphite Project, which holds the largest high-grade flake graphite resource in Tanzania and is one of the largest contained graphite resources in the World. The Mahenge Project is undergoing a Pre Feasibility Study (PFS) which is due for completion in August/September 2016, following positive scoping study results earlier in the year.

A global resource of 131 million tonnes at 7.9% TGC holds 10.4Mt of contained graphite. This extensive resource contains a high-grade portion of 37.6Mt @10.2% TGC, or 16.7Mt @11.1% TGC.

Metallurgical test work indicates excellent flake size and quality with up to 99.1% TGC concentrates produced from a simple four stage flotation process. This provides potential to manufacture battery grade spherical graphite without the expense and environmental impact of a final chemical purification step.

The large resource with high-grade zones, high proportion of coarse flake and potential to produce exceptionally high purity coarse graphite flake offers flexibility to develop a long life mine that can supply high quality graphite products to customers for decades.

Our Focus

• Developing the Mahenge Project into a long-life producing asset
• Develop downstream value-added processing capabilities
• Leverage our exploration capabilities to discover and develop new assets

Technical Studies

Scoping and Pre Feasibility Studies
The Company completed and reported its Scoping Study Report on 22 March 2016.
Key assumptions and findings for the Scoping Study were:
• 52,000 tpa concentrate production from 500,000tpa feed
• Concentrate shipped by road to the port of Dar Es Salaam
• Capex US$57.3m
• The Study returned conceptual cash operating costs of US$458/t, indicating lowest cash costs in Tanzania
• More detail can be found in the Scoping Study announcement dated 22 March 2016
Based on the positive conceptual economics from the Scoping Study, a Pre Feasibility Study commissioned and results are expected in late August to early September.
Parameters are for 50,000 tpa concentrate production as a base case project with 25,000 tpa expansion capacity or by adding a second processing train of 50,000tpa then achieving 100,000tpa concentrate capacity.

Metallurgical Testwork
A substantial metallurgical test programme has been underway since October 2015 to enable a detailed understanding of the characteristics of Mahenge graphite mineralisation. The graphite concentrate is being tested for its suitability of use for conventional applications as well as the fast growing lithium ion battery market. This has provided valuable data to optimise a processing flowsheet.
This base programme has since been progressively optimised to the extent that in June 2016 a concentrate sample grading >99.1% purity was achieved across the entire size fraction >75μ. Of significance is that this was achieved from a simple four-stage flotation process alone and without the usual chemical purification stage.

Several graphite end users have commented that Mahenge concentrates at these high purity levels have potential to directly manufacture uncoated then coated spherical graphite without the cost and environmental impact of chemical post-processing. Typical spherical graphite processing utilises chemical purification as a final step.

Spherical Graphite Test Work
Mahenge concentrate is currently being evaluated in Germany for a full suite of tests on spherical graphite and expandable graphite properties. Spheronised graphite is being inserted into test cells to determine detailed electrical characteristics.
A larger 10t bulk sample is being prepared for pilot-scale processing to manufacture 1t of high purity concentrates for spherical graphite test work. This concentrate will be going to several spherical graphite equipment manufacturers for detailed evaluation and to determine a processing flowsheet.
Spherical graphite samples will also be produced for evaluation by end users.

Graphite marketing
BKT is marketing its graphite concentrates in Europe, Japan, Korea, the USA and China.
Numerous requests have been received for samples of flake and spherical graphite for detailed evaluation. The Company expects this evaluation process to lead to long term offtake agreements

Logistics
Infrastructure is relatively straightforward and being assessed in detail for the PFS.
The project is located 450km by road from Tanzania’s largest port in Dar es Salaam.
A rail link to the port is 60km from Mahenge at Ifakara Discussions have commenced for rail access.
The nearby Kidatu Hydroelectric Scheme runs 128kv power lines to Ifakara and a smaller power line to Mahenge which would have to be upgraded to provide the required 3-4Mw of power. Discussions are underway for the provision of grid power.


Must Read links:


http://www.blackrockmining.com.au/wp-content/uploads/2016/07/1573038.pdf

Cheers G101

[noyed]

Would you still recommend this as a buy over RNU?