HLX - uranium and gold

[p0ssy]

I bought into these today - below is a copy of a posting elsewhere. The oppies are quite cheap but expire end of March.

copied this from asf's by "young trader"

Hope you dont mind mate.Apologies if you do.


Thought it was about time for an update on assesment given recent changes


HLX
Share structure
100m shares + 25m 14c 31/3/07 opeis,

15c Mkt Cap = $18.75m
20c = $25m
25c = $32m
30c = $37m
35c = $44m

Projects

Tunkillia Gold, HLX is 49% Free Carried by MEP, OXR has taken an option to earn 25% as well, if the project stakes up OXR have expressed their desire to purchase it outright as with Prominent Hill

This is the jewel in the crown,

JORC stands at 10.5Mt@2.2g/t = 730k oz's Au
However this is a 18month old JORC that HLX outlined, MEP has been drilling away for the past 12-18months and a new JORC is due out soon, the new JORC will probably be 15Mt@2.5g/t = 1.34 Million oz's Gold

Cap Ex is estimated to be $30m - $50m for a 1Mtp.a. or 2Mtp.a. plant

Cash operating costs are estimated at $400 oz which at a current AUD spot of $800 oz provides some very nice cash flow figures

NPV of project
Assumptions:
Resource = 730k oz's
Margin = Estimated to be $400/oz but use $300/oz to be safe
Cap Ex = $50m

730k oz's @ margin of $300oz = $220m less Cap Ex -$50m = $170m

Net to HLX = $170m x 49% = $80m = 64c HLX

Clearly alot of potential here and the most important factor that seperates HLX from other speccies is that a Proven Development company MEP are doing all the hard work to get the project going, thus funding is not going to be an issue, also as OXR has a back door option to buy into the project it spices things up a little. so its only a matter of time.

EXPECTING JORC UPGRADE WITHIN 2 MONTHS (expecting 75% increase to resource)

Glenburgh 100% Gold, W.A.
JORC 1.1Mt@3.1g/t = 110,000 Oz's Au, they're targeting a minimum 500k oz resource for a stand alone project

Lake Everard HLX 49% TOE (Toro) 51% Searching for uranium
S.A. part of Tunkillia area

Recent surveys by Toro Outlined several huge anamolies, they will be drill tested by a massice 1000 Hole Campaign in March/April



Yallen 30% Free Carried by API, Pilbara W.A.

The drilling confirms a mineralised
zone of 2.7km x 900m, up to 30m thick and grading
up to 60% Fe.

2700x900x30 = 73m Cubic Metres Ore

Now over at the YML thread gringokonyo and camaybay established that 1cubic metre ore = 4 tonnes

73m Cubic Metres = 292mt Ore grading say 58% Fe



Expect an update within the next 1 month as diamond drilling has been completed and results released by AQA but not HLX

Summary
This truly is one of the last few undiscovered GEM's, previously only Tunkilia provided true fundamental value, but now we can add Yalleen to the list as AQA/API JV are determined to get into production ASAP and will fully fund development if need be.

The U grounds around Tunkilia provide HUGE SPEC UPSIDE!

[JBmurc]

Helix Resources Ltd (ASX:HLX) is another small copper-gold-iron ore explorer that has exploded in the market over the last two months.

In August, the shares stood at 6c and reached 16.5c on October 11 only to fall back to 14c on Friday.

Helix Resources has also been exploring a lot harder over the past 12 months, indicated by the chairman's address from Greg Wheeler to shareholders in the annual report.

Mr Wheeler said that during the period, Helix has focused on three concurrent strategies:

* Monetise and/or progress development scenarios for our mineral resource assets, including divestment of non-core assets;

* Identify and secure new ground in regions where operating mines and infrastructure are present and where drill targets have been identified; and

* Review potential merger or project acquisition opportunities to create 'size' and/or synergy benefits.

The scoping study completed for the Yalleen iron ore project reports technical and financial viability based on a 5Mtpa road haulage option to access the proposed API WPIOP rail infrastructure 70 kms to the west.

The financial evaluation indicates significant operating margins can be achieved and detailed studies regarding development aspects have commenced.

"We monetised our Glenburgh gold asset by vending it into the successful listing of Gascoyne Resources Ltd [ASX:GCY] in December 2009 and distributed in-specie to shareholders +80 per cent of the shares held valued at $3.2 million," Mr Wheeler said.

"The Tunkillia Gold JV continues to be funded by Minotaur, with Helix continuing to dilute until value is seen in the Minotaur exploration and development initiatives regarding the asset.

"We have secured significant ground holdings in NSW targeting copper and gold, with initial drilling programs increasing our confidence that mineralised copper zones will be delineated of sufficient size and grade to consider hauling and processing at nearby operating mills with excess capacity.

"We expect to have continuing news flow throughout 2010 from drilling programs on our NSW copper & gold targets," the chairman said.

At the beginning of the month, Helix Resources gave a resource update on its Canbelego JV (HLX 51 per cent - and earning 70 per cent; Straits Resources 49 per cent), located 40 kms southeast of Cobar in central New South Wales.

An inferred resource (estimated internally by the joint venture partners) confirms at a 0.3pc Cu cut-off -1.5Mt @ 1.2pc Cu, or at a 0.8pc Cu cut off - 1Mt @ 1.5 per cent Cu from the resource model at the Canbelego mine prospect.

This initial resource provides a solid foundation for the project and reaffirms Helix's strategy to identify mineral resources near existing processing infrastructure with potential for access to excess capacity.

The company is confident it can continue to build on this initial resource base with copper mineralisation open along strike and down dip at the Canbelego mine prospect, and by following up encouraging early stage results from numerous regional targets on the tenement.

Additional RC drilling is commencing this week at Canbelego to test the Priority 1 regional targets and near-resource extensions.

Helix expects assay results to be available mid 4Q2010.

At the Restdown JV (HLX earning 70 per cent from Glencore International AG) RC drilling will commence (directly after the Canbelego drill program) on two greenfields gold targets - the Good Friday and Sunrise prospects.

The +1,200m RC drilling program is targeting primary gold mineralisation associated with robust (+10ppb Au) gold in soil anomalies surrounding, and nearby to, minor historic workings (goldfield produced high-grade gold from quartz veins in the early 1900s).

Helix expects assay results to be available in 4Q2010

SHARE PRICE MOVEMENTS

*********************

Shares of Helix Resources finished steady at 14c. Rolling high of the year is 19c and low 5.6c. The company has 131.9 million shares on issue with a market cap of $18.4 million.

Helix Resources is pushing ahead on advancing the Yalleen iron ore JV project located in WA. along with drill testing its NSW copper and gold targets.

The Yalleen iron ore project is joint ventured with API Management Pty Ltd (50 per cent Aquila Resources, 50 per cent AMCI) and forms part of their West Pilbara iron ore project which comprises multiple JVs.

The company also has several other mining projects including its NSW Canbelego copper JV and Restdown & Muriel Tank gold JV.

It also has the Tunkillia Project, Gawler Craton uranium project and Olary project in SA and Booyeema nickel project in WA.

One broker has given the company, which is in exploration stage, a discount rate of 18.7 per cent to arrive at a fair value of 95c for the stock.

It also says the company has good potential for its most advanced Yalleen iron ore project and Tunkillia gold project.

The company has broad expertise in bringing interested companies on board to further assist in achieving its desired goals through potential operational synergies.

BACKGROUND

**********

Helix Resources Ltd was listed on the Australian Stock Exchange in 1986 and is focused on acquiring and developing assets within the bulk commodities, base metals and precious metals sectors.

The Helix strategy is to acquire large tenement holdings in the prospective exploration regions of Australia, use of leading-edge exploration methodologies and techniques under the guidance of a skilled Board and management team, and create shareholder wealth whilst managing risks.

Helix's most significant development asset is the Yalleen iron ore project situated in the Robe Valley in the West Pilbara region of Western Australia.

The project has an inferred and indicated resource estimate of 84.3Mt channel iron ore with exploration upside.

Helix released a scoping study on Yalleen development in August which was positive.

The preliminary economic evaluation indicated post-tax NPV range of $900 million to $1.1 billion with two potential infrastructure solutions for transporting ore to customers.

Helix is contributing 30 per cent of funding and recognises the benefits of a partnership with a focused, well-funded project manager and JV partner to advance this project.

During 2009/10 the company accumulated significant landholdings in the Cobar/Girilambone region of NSW prospective for gold and copper with operating mines with excess capacity and excellent infrastructure.

Drilling copper and gold targets will be the company's main exploration focus during 2010.

This year Helix has gained exposure to Chile with a dedicated in-country general manager and geologist targeting prospective gold and copper regions.

The company is accumulating tenements in its own right as well as joint ventures.

Helix also has exposure to 800,000 oz of gold at the Tunkillia JV in South Australia, exposure to magnetite via the Bonython Metals Group Olary JV and has acquired significant landholdings in the eastern succession of the Mt Isa region in Queensland.

It has sufficient funds to carry out its exploration and development programs, whilst maintaining a watching brief on acquisition opportunities that may arise in 2010/2011.

[JBmurc]

HELIX EXECUTE MOU COVERING THE ‘SHERPA PROJECT’ LOCATED IN MARICUNGA BELT - CHILE
SUMMARY Memorandum of Understanding [MOU] signed with Sherpa project Vendors whereby Helix, through its Chilean subsidiary, has a right to explore and acquire 90% of the Project for US$2.7M in staged payments over 4 years
The Sherpa target is gold associated with the porphyry systems of the Maricunga Belt, located in the shadow of the Barrick/Kinross Cerro Casale JV 23Moz Au deposit and the same belt as Exeter’s Caspiche Project (26 Moz Au).
Helix is currently undertaking Due Diligence procedures and the 1st Option payment of US$60,000 is due and payable 15th January 2011

[steve fleming]

I agree JB.

Yalleen is the jewel in HLX's crown...but has some really interesting gold and copper exposure/plays.

reminds me a bit of GIR

Hold HLXOA

[JBmurc]

[QUOTE=steve fleming;328090]I agree JB.

Yalleen is the jewel in HLX's crown...but has some really interesting gold and copper exposure/plays.

reminds me a bit of GIR

Yeah a very undervalued stock If my AMU get brought out I'll be shopping for some HLXOA/HLX a pretty safe play in Jnr explorer ranks IMHO

[JBmurc]

Been buying more HLX of late a takeover target if their ever was Yalleen a very nice asset I'm sure others are keen on the expected large cashflows
going off the RB Milestone Research report HLX will need 181mill CAPEX 70% debt based so HLX will need to raise round 30mill to pay for their 30% share to bring Yalleen iron ore mine into production(HLX have a good set of J.V deals an good exploration grounds that will likely be sold to help with the 30mill)

the life of the mine 12yrs average production 5mtpa iron ore --cashflows after costs=$317,750,000 per year (HLX earning 30%)

Yalleen Upside -resource base increases/I.O prices increase Downside-Iron ore prices falling costs rising etc

[JBmurc]

HLX Qtr report looks like a screaming buy IMHO --CFE should take them over HLX major asset their Iron ore mine J.V is just south of Cape lambert plus the fact they have a large amount of great J.V & tenements 30-40mill takeover.

http://www.aspectfinancial.com.au/docserver/01145538.pdf?fileid=01145538&datedir=20110128&edt=MjAxMS0wMS0yOSswNzo1NzowNysxMjArNjExMjQ0NDcrZX RyYWRleG1sK3JlZGlyZWN0Ky9pbWFnZXNpZ25hbC9lcnJvcnBh Z2VzL0V0cmFkZVBERlRpbWVvdXQuaHRtbCsvaW1hZ2VzaWduYW wvZXJyb3JwYWdlcy9wZGZkZWxheWVkLmpzcA==&popup=true

[shasta]

HLX Qtr report looks like a screaming buy IMHO --CFE should take them over HLX major asset their Iron ore mine J.V is just south of Cape lambert plus the fact they have a large amount of great J.V & tenements 30-40mill takeover.

http://www.aspectfinancial.com.au/docserver/01145538.pdf?fileid=01145538&datedir=20110128&edt=MjAxMS0wMS0yOSswNzo1NzowNysxMjArNjExMjQ0NDcrZX RyYWRleG1sK3JlZGlyZWN0Ky9pbWFnZXNpZ25hbC9lcnJvcnBh Z2VzL0V0cmFkZVBERlRpbWVvdXQuaHRtbCsvaW1hZ2VzaWduYW wvZXJyb3JwYWdlcy9wZGZkZWxheWVkLmpzcA==&popup=true

Cheers JBMurc

Been reading the presentation, & i like what i've read so far, they have some big resource companies as neighbours, & a mixed bag of projects across different metals

Will dig a little deeper ;)

[JBmurc]

Cheers JBMurc

Been reading the presentation, & i like what i've read so far, they have some big resource companies as neighbours, & a mixed bag of projects across different metals

Will dig a little deeper ;)

yeah IMHO market value doesn't at all represent their assets--- much does depend on RIO cutting a good deal on using their railway for HLX biggest asset their 30% interest in the Yalleen iron ore mine (300mill+ earnings p.a est)

[shasta]

yeah IMHO market value doesn't at all represent their assets--- much does depend on RIO cutting a good deal on using their railway for HLX biggest asset their 30% interest in the Yalleen iron ore mine (300mill+ earnings p.a est)

Yeah teaming up with AMCI/AQA is a bloody good JV partner to have, i've always been impressed with AQA's coal & iron ore projects, but its already a large company & i'm looking at the < $20m mcaps, low EV companies

[shasta]

Yeah teaming up with AMCI/AQA is a bloody good JV partner to have, i've always been impressed with AQA's coal & iron ore projects, but its already a large company & i'm looking at the < $20m mcaps, low EV companies

HLX - Exploration & Project Update

http://stocknessmonster.com/news-item?S=HLX&E=ASX&N=529050

Current SP $0.135 (MCap ~$20m)

HLXOA up 21% to $0.085 (5/11 expiry, strike price 5c)

[steve fleming]

HLX - Exploration & Project Update

http://stocknessmonster.com/news-item?S=HLX&E=ASX&N=529050

Current SP $0.135 (MCap ~$20m)

HLXOA up 21% to $0.085 (5/11 expiry, strike price 5c)

It amazes me the quality of HLX's assets, relative to its market cap.

In addition to its Australian iron gold and copper, HLX's Chilean exposure offers significant upside which is currently completley discounted.

I am guessing the market is not impressed with the situation that HLX is in with its billion dollar (HLXs share) Yalleen asset, where HLX are effectively locked out of control (though not currently as bad as the AGS/Quaestor situation)....not a good position to be in when your JV partners refuse to hand over development reports.

The good thing for HLX is that each of the JV partners have buy out rights prior to development - the question is when will ACMI want to bring Yalleen into development?

[shasta]

It amazes me the quality of HLX's assets, relative to its market cap.

In addition to its Australian iron gold and copper, HLX's Chilean exposure offers significant upside which is currently completley discounted.

I am guessing the market is not impressed with the situation that HLX is in with its billion dollar (HLXs share) Yalleen asset, where HLX are effectively locked out of control (though not currently as bad as the AGS/Quaestor situation)....not a good position to be in when your JV partners refuse to hand over development reports.

The good thing for HLX is that each of the JV partners have buy out rights prior to development - the question is when will ACMI want to bring Yalleen into development?

Yeah the two stocks that stun me for being so cheap is HLX & MOX.

But youre right HLX cant finance the outright purchase so they are hamstrung for now, but still 18,000t Cu & 800k Au resources support the market cap easily

[Damo79]

Hi guys. Been looking at Helix this evening since I have a parcel of money that wants to become shares. Based solely on the Yaleen project, HLX looks extremely undervalued, as everyone on this thread has said.

But could someone give me a summary of the API dispute. It's a bit difficult to work out by trawling through announcements from Aquila and googling. I gather that API own 70% of Yaleen and Helix has the other 30%, and API is 50:50 Aquila and AMCI, and that Aquila and AMCI have been busy suing each other over the last few years.

How does this affect the Yaleen project?

Is there a court case ongoing concerning Yaleen, or is there just a general hold up concerning the project due to the bad relationship?

Who is actually progressing the project, and how far are we from a decision to mine (I note I just used "we", does that mean I've decided to buy?)?

Is a takeover that most likely scenario, and what is the potential value of Helix's share?

Thanks in advance for sharing your research :D Meanwhile, I'll carry on with mine (pun?).

Cheers
Damo

[steve fleming]

Hi Damo,

I am not aware of any legal dispute around Yalleen Project, however I do understand the following:

1) Yalleen Project JV currently still operates under a temporary Heads of Agreement. Documentation formalising the arrangement has been under negotiation for many many months, and i am very surprised, and slightly concerned, that it is yet to be finalised.
2) API (as operator of the JV and controlled by AMCI/AQA) controls the information regarding the Yalleen Iron Ore JV and determines what info they provide HLX. HLX were forced to produce their own costly scoping study, which while it highlighted the profitability of the project, it is meaningless as API will be doing their own scoping analysis, which HLX have not yet seen.
3) API determines the timing of the development of the JV

The issue as I see it, is simply the problem with many JVs, in that each partner has different agendas, HLX, as a minority JV partner cannot influence the timing of development or mining, and therefore is unfortunately in a very weak position in relation to what is a quality asset. HLX doesn't know when a decision to mine will be made as API haven't shown HLX their development or scoping studies.

[JBmurc]

Yeah HLX continues downtreading 12c with bids at 11c might have to ring the Company ask the some Q's round the Yalleen Project which if goes ahead would surely see HLX get takening over or a major payout of their share...

If I'm happy with the answers 500-600k HLX be on the shopping list going by this years volume could take awhile

At current Iron ore prices the Parties involved would be stupid not to advance the project further rail access the biggie....

other annoucements to look forward to over the short term--
-5000m resource evaluation reverse circulation (RC) drilling program is scheduled for March 2011 to test extensions and continuity of significant gold intercepts on the Restdown JV (hlx earning 70%)

-Drill test EM conductor located east, and parallel to, Canbelego Inferred Resource of 1.5Mt @ 1.2% Cu
-Drill test a series of discrete magnetic bullseye (± gravity) features on the Quanda and Five Ways Projects.

later in the year -Tunkillia will be drilled further with JORC upgrades

[steve fleming]

Updated Research Report

http://helix.net.au/aurora/assets/user_content/File/Helix_Resources_Limited_-_Semi_Annual_Update.pdf

"We value the Company based on PV of cash flows which are expected to be generated from its Yalleen Iron Ore Project. Assuming a discounting factor of 16.6% for the project and a production span of 12 years, we have arrived at a target price of $1.169, which provides an upside of 874% to the current market price."

current price = 12c

[JBmurc]

Updated Research Report

http://helix.net.au/aurora/assets/user_content/File/Helix_Resources_Limited_-_Semi_Annual_Update.pdf

"We value the Company based on PV of cash flows which are expected to be generated from its Yalleen Iron Ore Project. Assuming a discounting factor of 16.6% for the project and a production span of 12 years, we have arrived at a target price of $1.169, which provides an upside of 874% to the current market price."

current price = 12c

Isn't just crazy not often to you get a value 800% above current share price --Has the market just over looked or just doesn't care for HLX or the J.V partners to get on a move towards production at the Yalleen Iron Ore Project could it well just sit on the back burner with HLX having little choice but wait to the big J.V wants to move on and buy it off HLX ...I hope it's more along the lines of the major market sleeper that once a Rail agreement with RIO etc is annouced the market will re-awake to HLX and get a mass of Investors/traders fighting to get on board and in turn pushing the SP well north of 50c......towards $1 esp if HLX is then approched by the J.V partners on buying out their interests
-HLX could well command a massive cash balance in 2012

[JBmurc]

--Latest presentation--
http://www.helix.net.au/aurora/assets/user_content/File/InvestorPresentationMarch2011.pdf

1-2Qtr
-Shouldn't be long till we get some results at Restdown & Canbelego & Fiveway drilling to start all in NSW
-1500m drilling in chile early April start 400mt potential Cu,Ag,au
-Olary Iron ore drilling 1bill+ target

-Tunkillia Gold drilling result any day as well 46% HLX

[shasta]

HLX - Quarterly Report

http://stocknessmonster.com/news-item?S=HLX&E=ASX&N=536590

$3.5m cash & EV just $13.3m @ 11c

[shasta]

HLX - Chile Cooper exploration

http://stocknessmonster.com/news-item?S=HLX&E=ASX&N=542025

Grades arent too flash, so they will need to drill some more & hopefully hit some better grades

[JBmurc]

Very early days shasta on the chile play, only some chip samples and one 156m RC drill which had copper-rich minerals and molybdenum hosted in porphyry from 23m to the end of hole..we will find out more on this first drill soon then we can see what we really have here which will still be early days with 2000m in total with more to come...
All I can see so far is there is minerals from only 23m below surface ,,now next door there is a small tonnage 2.5% copper operation,, HLX believe the prospect area could well hold a 400mt resource we now need to see if it's economic from the grades we drill and assay it could well not be but we will find out this year...just checkout how many major copper mines are in chile

Opts going ex funds will be adding to the 3.5mill cash balance soon taking it closer to 5mill....opts are well in the money

Market cap 15.37mill LOL

[roniirani]

Hi Shasta

I think the grades in that announcement are just from surrounding chip samples and aren't anything new. Looks like they are just letting everyone know that drilling is underway and that results will be out in a few weeks. Anyway that was my reading on it - lets hope the drilling grade are much better than those from the chip samples.

disc: stock held

[evilroyrule]

someone trying hard to make sure people convert their oppies! lots of ann. lately. this shld be the one to get us going!

[JBmurc]

someone trying hard to make sure people convert their oppies! lots of ann. lately. this shld be the one to get us going!

When the joint venture agreement for Yalleen where current development activities are taking place, allows Helix to sell to API its 30% interest at fair value at JV decision to mine, which the Company considers feasible to occur 2011/12. then we will see a rocket under the SP....RB Milestone est an average revenue of 542million p.a for the 12yrs of production at a average $109USD per ton iron ore price(current price $179p.t USD) they value HLX share to be worth 170mill
even if they HLX get half of this amount their SP will have to go 6 fold just to reach cash backing ......it's only a matter of time only wish the API would pull finger

[JBmurc]

CHINA's steel production is expected to soar by up to 25 per cent over the next five years, removing any fears of a decline in demand for Australian iron ore and coking coal in the medium term.

China is the world's leading steelmaker, producing about 46 per cent of global supply, and iron ore is the linchpin of Australia's $100 billion plus two-way trade with China, accounting for about 30 per cent of our exports.

China's state-run China Iron and Steel Association (CISA) has unveiled its latest estimates of steel production, forecasting output of between 650 million and 750 million tonnes by 2015, up from 612 million tonnes last year.

The figures are based on China's latest Five-Year Plan (2011-2015), which was signed off by the National People's Congress in March, and annual GDP growth of between 8 per cent and 9 per cent for the next five years, seeing a rise in production of 11 per cent to 25 per cent.

"The latest Five-Year Plan is great for the industry," Fortescue Metals executive director Russell Scrimshaw told The Australian.

"There are railways, airports and a new commitment to low-cost housing. We estimate steel production might reach 750 million to 780 million tonnes by 2015, with a 20 million to 30 million-tonne annual increase, and iron ore imports will be about 820 million tonnes by 2015," Umetal.com analyst Xu Guangjian said.

China mines about 50 per cent of the iron ore needed for its steel mills, but its home-grown resource is magnetite, a form of ore with low iron content of between 20 per cent and 30 per cent.

The other 50 per cent is imported high-content haematite from Australian, Brazil, India and a handful of other nations, with Africa poised to become a major producer in coming years.

Australia's position has also been bolstered by a recent ban on iron ore exports by India, which supplies about 80 million tonnes a year to its neighbour.

A continuing mismatch between supply and demand has pushed iron ore prices to record highs over the past six months, as steel production across the globe continues to rise. But major projects to increase iron ore production -- including a significant boost in capacity in the Pilbara -- are yet to come on line.

And CISA has continued to complain about high prices, which are hitting steel industry profitability. In the first quarter of the year, the average import price for iron ore was $US157.60 a tonne, a year-on-year increase of 57 per cent, according to CISA.

Based on 230 million tonnes of quarterly import volume, China's steel industry would spend an extra 13.2 billion yuan ($1.9bn) due to the increasing price of iron ore, the deputy secretary of the Party Committee of CISA, Luo Bingsheng, said. "Production costs, especially with high price of ore, will support the steel price not to drop dramatically."

Mr Xu said the steel price would remain at high levels and the recent lowering of prices by mills would be temporary, since demand remained strong. "But some restrictive policies, like the limit of electricity usage, will affect the price for a period of time."

As well as iron ore, Australia is emerging as a major supplier of coking coal, which is also used in Chinese steelmaking.

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[steve fleming]

When the joint venture agreement for Yalleen where current development activities are taking place, allows Helix to sell to API its 30% interest at fair value at JV decision to mine, which the Company considers feasible to occur 2011/12. then we will see a rocket under the SP....RB Milestone est an average revenue of 542million p.a for the 12yrs of production at a average $109USD per ton iron ore price(current price $179p.t USD) they value HLX share to be worth 170mill
even if they HLX get half of this amount their SP will have to go 6 fold just to reach cash backing ......it's only a matter of time only wish the API would pull finger

Yep, HLX need API to start making some decision about Yalleen...however in the meantime HLX have their interesting NSW and Chile coppe/gold projects that they are progressing.

Have converted all my HLXOA options, saw that my cheque was presented yesterday. will be good to have HLX get this option conversion off their back.

[JBmurc]

Yep, HLX need API to start making some decision about Yalleen...however in the meantime HLX have their interesting NSW and Chile coppe/gold projects that they are progressing.

Have converted all my HLXOA options, saw that my cheque was presented yesterday. will be good to have HLX get this option conversion off their back.

Yeah should know very soon how many of the 44.9mill opts were converted into new HLX shares ,be pretty stupid to not exercise them if you got them cheap

[trackers]

Anyone have any insight into when API is going to progress dfs studies etc for West Pilbara stage 2 and beyond? I've been researching this one lately and am amazed by Helix's resources and potential, but this project on the massive go slow probably isn't helping any..

[JBmurc]

Anyone have any insight into when API is going to progress dfs studies etc for West Pilbara stage 2 and beyond? I've been researching this one lately and am amazed by Helix's resources and potential, but this project on the massive go slow probably isn't helping any..


--From the RB milestone report--
the joint venture agreement for Yalleen where current development activities are taking place, allows Helix to sell to API its 30% interest at fair value at JV decision to mine, which the Company considers feasible to occur 2011/12. Similarly, the Tunkillia project, where the Company has a 47% interest, could be sold at a decision to mine.

so your'd think at the latest a decision to mine before the end of next year...worth keeping an eye on AQA to see how they progress ..

[shasta]

--From the RB milestone report--
the joint venture agreement for Yalleen where current development activities are taking place, allows Helix to sell to API its 30% interest at fair value at JV decision to mine, which the Company considers feasible to occur 2011/12. Similarly, the Tunkillia project, where the Company has a 47% interest, could be sold at a decision to mine.

so your'd think at the latest a decision to mine before the end of next year...worth keeping an eye on AQA to see how they progress ..

Ive followed AQA for quite a while now, as i like there pipeline of projects for coal, iron ore & manganese, but i see they have another dispute over the Isaac Plains coal project 50/50 with Vale.

Companies that have litigation with JV partners do really send red flag warnings to me.

HLX might be better off selling there interest & using the money to fund there copper/gold projects, just seems until the market knows the outcome of the Iron Ore project, it will continue to languish well below "fair value"

[JBmurc]

Ive followed AQA for quite a while now, as i like there pipeline of projects for coal, iron ore & manganese, but i see they have another dispute over the Isaac Plains coal project 50/50 with Vale.

Companies that have litigation with JV partners do really send red flag warnings to me.

HLX might be better off selling there interest & using the money to fund their copper/gold projects, just seems until the market knows the outcome of the Iron Ore project, it will continue to languish well below "fair value"

Yeah I agree the value of the 30% of HLX Iron ore holding must be worth many million with the fesiabilty study showing a 12yr 500mill+ cashflow p.a at 109t Iron ore..even if HLX were paid out 30% of the likely EBIT of one years production at current Iron ore prices they should receive over 100mill.........

[trackers]

Thanks for the info guys, no doubt this will re-rate strongly sometime in the next year or so - Looking at an entry at some stage, but just on the sidelines for now.

I'm keen to see what the rest of the drilling (40 odd holes?) at sundown unveils in the next couple weeks - They are in very very good ground there (Cobar basin), they even mention the nearology with my biggest holding: YTC's Hera and Nymagee mine.

[JBmurc]

Another day another low SP 8.5c no interest -- the depth bids low to 8c
Market Cap =13mill just over 200mill shares Cash 5.5mill

43mill HLXO opts converted out of the 52mill listed--- next opts unlisted 17mill ex. price 53c 31/10/11

HLX have underway currently

-Chile RC drilling at Gold project 100%hlx
-Chile RC drilling/assays at copper project 100%
-NSW RC drilling regional VMS copper target 100%
-Canbelego drilling parallel to copper discovery 70%
-Restdown Gold further work soil samples/mapping to target next round drilling.44 more drill results to be announced-looking good shallow grades/widths 70%
-Olary- Iron ore 10 hole RC drilling

what does the market value the above $0

[trackers]

Too cheap for me, I'm in.

Many iron(s) in the fire (:D) - Severely undervalued on its current JORC resources + big upside from Chile / Restdown.

Its also exactly one month since the maiden RC Chile drill holes completed - With what looks like visible copper hits?

"Helix’s first hole JO-001 was drilled to a depth of 156m,and our Chilean senior geologists (both + 20 years experience) have logged varying percentages of copper-rich minerals and molybdenum hosted in porphyry from 23m to the end of hole."

"first batch of assays from JO-001 are expected to be available in the coming weeks."

http://www.stocknessmonster.com/news-item?S=HLX&E=ASX&N=542025

Will see what happens

[JBmurc]

Too cheap for me, I'm in.

Many iron(s) in the fire (:D) - Severely undervalued on its current JORC resources + big upside from Chile / Restdown.

Its also exactly one month since the maiden RC Chile drill holes completed - With what looks like visible copper hits?

"Helix’s first hole JO-001 was drilled to a depth of 156m,and our Chilean senior geologists (both + 20 years experience) have logged varying percentages of copper-rich minerals and molybdenum hosted in porphyry from 23m to the end of hole."

"first batch of assays from JO-001 are expected to be available in the coming weeks."

http://www.stocknessmonster.com/news-item?S=HLX&E=ASX&N=542025

Will see what happens

great to have you on board I brought a few more myself might even take my holding to 500k once I've talked with Mgmt really would like to know more round the Yalleen asset .

[Entrep]

Couldn't resist and jumped in at 8c. Was looking seriously at 10c a few weeks ago, downside seems to be limited

[trackers]

great to have you on board I brought a few more myself might even take my holding to 500k once I've talked with Mgmt really would like to know more round the Yalleen asset .

Thanks JB couldn't leave you here all by yourself. Hopefully some news re: Chile drilling soon, but happy to wait medium term as Yalleen story develops. Hi to Entrep too :)

[evilroyrule]

i too am here, but can be found in the presidential suite. i went the long way and bought hlxoa and converted so my entry no where near as cheap.

[JBmurc]

i too am here, but can be found in the presidential suite. i went the long way and bought hlxoa and converted so my entry no where near as cheap.

right now there was 5 .......HLX now bring onthe news i have chills just think about HLX upside once the Tax-loss selling is finished watchout July/Aug 10c+ once more IMHO

[yabster]

Still drifting South though- so am still watching- apparently some drill results coming soon- is that right JB?

[JBmurc]

Still drifting South though- so am still watching- apparently some drill results coming soon- is that right JB?

yeah we should have at least 6 major results on different HLX projects over the 2nd half of this year

[trackers]

From HC:

HLX will announce the drilling results of Joshua Porphyry project soon, which was commenced at 17, May, 2011.

"Initial drilling is considered very encouraging, confirming potential for an Exploration target* of +400Mt at this prospect."

--

Very keen on seeing the results from this Chile drilling... Surprised at the weakness (big buyers of the placement at 12c getting out?), but happy to hold... SP held up reasonably well at end of week

[JBmurc]

got my 500k holding thanks to the tax loss selling madness --drilling results of Joshua Porphyry project should be out next week
the best spec buy explorer on the ASX with JORC resources in Iron ore,gold,copper

well looking at the sellling deth we may have reach the bottom of the tax-loss selling pressure bring on July IMHO

[JBmurc]

yep like I thought Tax loss selling over an now the sellers stop the mindless selling -depth looking really good any decent news on any of several different HLX projects/JVs an off the SP will fly.

--also had a few hundred sitting in my account so decided I might buy a few more HLX no sellers seem keen at lower levels 7.7c bid so placed bid 8c nothing then 30mins later bid at 8.3c bang got my 5k but the seller sold 9k at market keeping the sp at 7.7c fun n games....

[buns]

yep like I thought Tax loss selling over an now the sellers stop the mindless selling -depth looking really good any decent news on any of several different HLX projects/JVs an off the SP will fly.

--also had a few hundred sitting in my account so decided I might buy a few more HLX no sellers seem keen at lower levels 7.7c bid so placed bid 8c nothing then 30mins later bid at 8.3c bang got my 5k but the seller sold 9k at market keeping the sp at 7.7c fun n games....

Sounds like mindless buying if you are entering a share based on some unknowns personal tax situations.

I don't mean to sound like a jock, but speculating peoples tax positions, and talking about buy/sell pinball does nothing to the HLX discussion but make the sensible/value adding posts disappear.

[JBmurc]

Sounds like mindless buying if you are entering a share based on some unknowns personal tax situations.

I don't mean to sound like a jock, but speculating peoples tax positions, and talking about buy/sell pinball does nothing to the HLX discussion but make the sensible/value adding posts disappear.

yes you do sound like a jock

Mindless buying!! speculating tax!!.. have you read this thread at all-do you follow HLX at all

[roniirani]

Some early Chile drill results.

http://www.asx.com.au/asxpdf/20110707/pdf/41znf557srb75z.pdf

Nothing to get too excited about.

[JBmurc]

Some early Chile drill results.

http://www.asx.com.au/asxpdf/20110707/pdf/41znf557srb75z.pdf

Nothing to get too excited about.

yes nothing to amazing in those results but they do have good depth of resource lets hope we see some higher grades local

[JBmurc]

A reply I Just got from Mr wheeler after e-mailing a few Q's on the Yallen project..

Dear Mr Jbmurc

The answers to your questions are as follows:-

1. I would guestimate the DFS costs for the JV might be in the range of ?$10M to $20M, of which HLX would be 30% or $3M to $6M. We would look to raise funds via equity after WPIOP Stage 1 DFS and funding approval received, so late 2012 is my guess.
2. You are correct. We consider a commercially acceptable deal could be negotiated after certainty with Stage 1 development given AMCI/AQA have a 15% interest in HLX as well as 70% of the JV via API. We note however that AQA has a history of arguing with JV partners over Projects and ?value leakage? occurs. Using the price at which AGO purchased GIR in Jan 2011, the HLX share of in-ground Fe resource for Yalleen would be in the range $40M to $80M

As stated in the June Quarterly, based on the 8,000m RC drilling completed, we will release in the next few weeks details regarding
- Restdown Gold Resource
- Olary Fe drilling in SA
- Joshua copper project Chile last 3 hole assays

Regards
Greg J Wheeler

[percy]

JB.
Thank you for the above post.

[JBmurc]

asked Greg on the timetable from AQA his reply...looks like we at least have Stage 1 DFS this Qtr..............

The latest AQA release suggests the WPIOP Stage 1 DFS is now due out during Sep 2011 Quarter and that funding discussions for the $6,000M Capex costs are progressing. This compares to statements end 2010 that DFS, development decisions and funding will be in place by 30 June 2011 ? so I consider the market may be somewhat wary of their ability to deliver given obvious timetable slippage. That said, I consider API may get some traction over the next 6 to 12 months with some Chinese funding support and co-operation between JV parties, the Stage 1 Project could move forward with a Decision to Mine in 2012 for Production mid-2015.

Yalleen JV has the potential to be a 8Mtpa stock feeder to the proposed API Stage 1 infrastructure in late 2015.

I consider the better strategy has been adopted by AGO and BCI ? do deals and get into production at earliest opportunity. That is why AGO Market Cap has rocketed past AQA in past few years.

These are only my thoughts and I am unable to predict the future.

Regards

Greg

[JBmurc]

The West Australian
, 2011, 10:01 am
Aquila Resources says it has secured preliminary environmental approval for its West Pilbara API joint venture iron ore project.

Aquila announced this morning the Environmental Protection Authority has recommended the Environment Minister Bill Marmion approve the mine and rail facilities for the project subject to conditions.

The first stage of the project, in which Aquila holds a 50 per cent stake, envisages a 30mtpa mining operation based on reserves south of Pannawonica and a 282km rail network connecting the mine with a proposed new port facility to be build at Anketell Point, west of Cape Lambert.

The EPA report is subject to a two-week appeal period.

Shares in Aquila closed up four cents at $5.39.

AQA ann.
http://www.aquilaresources.com.au/index.cfm?objectid=5CB9DC5B-C09F-1F3C-C876CFDD55127C38

[yabster]

Looking at the API site the West Pilbara project is broken down into four projects one of which is Yallen.

Project Parties and Participating Interests
West Pilbara - Red Hill Iron Ore Project Australian Premium Iron 60% earning up to 80%
Red Hill Iron Limited 40% reducing to 20%

West Pilbara - Mt Stuart Iron Ore Project Australian Premium Iron 70%
Cullen Resources Limited 30%

Mt Elvire Iron Ore Project Australian Premium Iron
DeBeers 100%
Royalty
West Pilbara - Yalleen Iron Ore Project Australian Premium Iron 70%
Helix Resources Limited 30%

The West Pilbara Iron Ore Project Stage 1 includes deposits encompassed within the West Pilbara - Mt Stuart Iron Ore Joint Venture with Cullen Exploration Pty Ltd and the West Pilbara - Red Hill Iron Ore Joint Venture with Red Hill Iron Limited.

Anyone looked at Cullen (CUL) - lot of other projects other than the JV.

With regard to Helix/Yallen - it can either wait (2015 and beyond) to start getting some cash from the project or get paid out $40m - $80m (seems to be a big variation there) assuming API are prepared to buy them out.

Given the MC is around $13m a $40m pay out would be attractive I would have thought? In saying that the valuation on the Helix site valuing the share at $1.16 uses a PV OF $173M - with production starting in 2014 going to 2025, seems way too optimistic to me.

Anyway just some thoughts- I don't hold but am interested in a position. HLX up 6% today on the Olary results.

[JBmurc]

Yes HLX now up 12% on mid 400k volume(HLX is a very low volume traded share biggest days since DEC10 only round 1mill)

-I'm no Geo but Olary result look very good 124m@31%FefromSurface  140m@30%Fe from4m

-right next door HAV have a 147mt 30%Fe JORC
----about HAV-----
Havilah’s 100% owned Maldorky iron ore deposit contains a JORC Indicated Resource of 147.8 Mt of 30% Fe (18% Fe cut‐off grade). It is a flat, shallow orebody exploitable via a simple open pit mine. The ore is readily upgradeable to a premium grade magnetite‐rich product containing very low levels of impurity elements. It is located only 26km from a railway line that links to South Australia’s main ports.
Havilah Resources is pleased to announce that it has signed non‐binding Memorandum of Understanding (MOU) with Hunan Valin Liangang Import and Export Co., Ltd and Zoomlion Material Handling Equipment Co., Ltd

So if HLX do have a similar resource to HAV which we will know in time I'm sure HAV/HLX could work together with the Chinese.

next couple weeks
-Restdown resource ann.(not likely to be anything stunning but give us a idea on potential)
- Joshua copper project Chile last 3 hole assays (hope to see .50%++ copper grades over very fat widths)


--------------------------Another project market values $0------------------------
Tunkillia Gold Project
EL 4495, 4596, ELA 183/2010 Minotaur 54.65%; Helix Resources 45.35% diluting
Planning is advanced to undertake biogeochemical sampling surveys across key structures within EL 4495 and 4596 once access approvals under a DEF are forthcoming. Similar surveys are planned along the Yarlbrinda Shear Zone once ELA 183/2010 is granted. Following highly encouraging laboratory studies by CSIRO on the technical viability of in-place extraction of oxide gold, discussion are underway with CSIRO on a range of field trials to document porosity, permeability and hydrological characteristics of the Tunkillia oxide deposit. The CSIRO report, being a multi-client research report, is presently under a confidentiality embargo.

[roniirani]

Maiden 100,000 oz resource announced at Restdown. http://www.asx.com.au/asxpdf/20110817/pdf/420fmkkwxy4tqj.pdf

[JBmurc]

Maiden 100,000 oz resource announced at Restdown. http://www.asx.com.au/asxpdf/20110817/pdf/420fmkkwxy4tqj.pdf

well it's a start how much it grow will be the key 500koz JORC would be a nice size for a nearby producer

Also HLX still holds 4 million GCY shares worth 1.1mill+ AUD
If HLX distrubuted to shareholders at 51 HLX shares to one free GCY share value wise it would be like getting a 6-7% divie

[JBmurc]

Jbmurc

Thanks for the email and comments. We are very pleased with progress on a number of our mineral assets.

We consider GCY a core holding for HLX at this stage and have already distributed 80% of the GCY shares to HLX shareholders.

With +$4.5M cash and investments, the EV for our mineral assets is about $9M, which compares to the in-ground value of the mineral inventory we are entitled to being +$3,000M. At some point we expect the market to recognise the quality of our assets and re-rate the share price.

Regards

Greg J Wheeler FCA; SF Fin; G.AICD
Executive Chairman

------------------------------------------------------------------------------------------------------------

worth keeping an eye on the HLX depth any decnt buying is going see us over 10c quick smart

[JBmurc]

I still believe HLX to be one of the most undervalued explorers on the ASX...with the latest updates an e-mail's I have recieved from GJW....Currently HLX have 4.5mill in cash+recieveables 13mill market cap so a E.V of 8.5mill for that you get

--GOLD--interests

-Restdown has 100k JORC resource
Detailed aeromagnetic survey (50m lined spacing) highlights a large zone of interest (9km wide by +20km long) and geochemistry is identifying multiple target areas for drilling to increase the above JORC

-Tunkillia-Gold 800koz JORC (46% hlx duluting)
-NSW-VMS targets tobe drilled
-Talca Gold Project-chile-(hopefully drilling this year if can secure a RC rig)....
-GCY-4 mill shares

---IRON ORE----

-Yalleen 84.3mt 57% fe (30%) likely to be sold 40m-80m

-Olary -good drilling results on par with nearby peers within the area HLX looks to have Iron ore discovery how big is yet to be known IMHO it could well be as big as Yalleen. 70-80mt 30% fe.

---COPPER/gold-------

-Canbelego JV (51%) 1.5mt 1.3% cu -

-Joshua Copper Project? Chile (100%)
o Mineralised copper porphyry system confirmed from maiden drilling, results include:-o 156m @ 0.20% Cu + 0.1g/t Au from surface
o 147m @ 0.22% Cu + 0.1g/t Au from surface

-Loa Project Chile- ? Targeting Cu porphyry systems. Licence 23,400Ha situated ?40km west of the Chucquicamata Copper Mine and 40km along strike N of Spence Copper Mine in Region II

[shasta]

HLX - December Quarterly

http://stocknessmonster.com/news-item?S=HLX&E=ASX&N=574563

MCap ~$12m, Cash/Investments ~$4m, = Low EV of approx $8m

Re the 45% owned Tunkillia Gold JV project with ASX:MEP, ASX:MUX has purchased the MEP interest, of note is that MUX is ~62% owned by KZL

MUX has a large JORC Copper, Gold & Silver resource (Cu= 225kt, Au= 2.5m/oz, Ag= 32m/oz) excluding the Tunkillia resource

Of course the main value driver in HLX remains its 30% JV interest in the Yalleen Iron Ore project

[percy]

Been a long time since anybody has posted on this thread.
Just getting myself organised to take up the options in the capital raising to continue exploration activities.Price is $0.025 per option.Exercisible at $0.015 on or before 30th September 2014.Will apply for additional options.

[Damo79]

I lost money on this previously, but was back in below 4 cents. They don't seem to accomplish much, but have in ground assets that makes the current market cap seem silly. Anyway, thought I'd bump the thread up since they jumped 50% today (on tiny volume) in case somethings actually up.

PS. this is gonna be good for my trading comp stats :D

[Entrep]

Something about a Mitsubishi investment... or so I read on HC

[JBmurc]

If the below sale completes HLX will command 4.2-4.5c in cash backing .....I'm happy paying the same for the shares

OLARY MAGNETITE PROJECT SOLD FOR
development of projects in Australia and Chile
$4.75M AND 1% FOB ROYALTY
Funding partners’ Lodestone Equities Ltd have purchased Helix’s remaining 50% interest in Olary Magnetite Pty Ltd, whose sole asset is the Olary Magnetite Project (EL3956 and EL4022) in South Australia, for $4.75M cash and a 1% FOB Royalty. Lodestone now hold 100% of the Project.
The Sale agreement no longer requires Helix to define a maiden JORC resource for the Project, and Helix is continuing to support Lodestone by providing in-field technical assistance and receives a management fee while we complete the Lodestone funded 12,000m drilling program.

[JBmurc]

MMmmmm interesting.....hoping this is a mother lode of a Copper discovery

[JBmurc]

Trying to buy more today but sellers running away ...got a good feeling bout hlx going forward ...
Good cash backing ,,tightly held shares outside the small traders
Major jv ..... diverse investment scope ....mgmt have large amounts invested

[JBmurc]

Looking forward to the next few anns.....the trading in HLX of late just shows how tight HLX is held with such small amount up for sale
huge gaps through the depth .....If this comes together it has all the makings of a 10 bagger ....
was gutted to not have got the HLXO at .045 today wanted to buy them but bloody smart phone/E*trade didn't want the trade to work
hoping to get a few more ......anyone else interested in HLX at the mo.... if not just read below then read a recent presentation \report on HLX assets ...E.V= is peanuts........very under the radar /unloved by the market...

BLANCO Y NEGRO - CHILE
Maiden diamond drill hole at the Blanco Y Negro Mine Prospect intersected 19.45m @ 2.04% Cu, 1.06g/t Au and 550ppm Mo from 85.05m in DDHHU-001. The drilling confirms the presence of high grade copper and associated gold and molybdenum in a zone of brecciation and veining hosted in andesitic volcanics with a strike exceeding 500m. This result confirms the prospectivity of the target in a region with good infrastructure.
Downhole geophysics (EM) will be undertaken in DDHHU-001 to isolate off-hole massive sulphide conductors with the mineralised intercept including a 0.45m zone of massive chalcopyrite, chalcocite and pyrite zone returning 17.21% Cu, 10.43g/t Au and 5341ppm Mo. Artisanal workings and sub-cropping gossan on mineralised structures have been mapped over +500m of strike (refer Figure 2). An additional 2,000m of drilling is being prioritised and expected to commence next month to assist in defining the potential strike and the down dip extent of mineralisation.
DDHHU-002 located east of the main high-grade target zone was drilled to intersect a chargeable IP anomaly at depth. The hole intersected a pyrite–rich brecciated intrusive with the best gold result of 4m @ 0.4g/t Au from 14m and anomalous copper up to 0.46% Cu returned from 2m sampling.
JOSHUA MOU UPDATE
Helix has let lapse the Memorandum of Understanding [MoU] entered into with Mitsubishi in October 2012 regarding the Joshua Copper Project on the basis Restdown Gold JV (70%) Mitsubishi has been unable to complete its due diligence procedures and sign the Binding Agreement within the agreed timetable. Mitsubishi have indicated they are well advanced with their due diligence procedures and remain interested in concluding a deal acceptable to both parties. Helix will recommence discussions with several other interested 3rd parties that have approached the Company looking for copper exposure in Chile, whilst concurrently planning to undertake a ±800m diamond drill program at Target 4. Target 4 is located 1 km E of Target 1 drilling and is considered part of the large 10km2 porphyry system being targeted.

[JBmurc]

--Research report out--

http://www.helix.net.au/aurora/assets/user_content/File/Helix%20Resources(Final)15March2013.pdf


buying HLXO selling HLXlike the increased leverage

[JBmurc]

Happy to have come home on friday to see my HLX sold @ 6.5c and just now get my fill of HLXO 4.5c (1.5 ex price 2014) now bring on the
News on upcoming drill program's

[JBmurc]

Current HLX story:

On March 7, Helix announced they drilled maiden holes at their Blanco Y Negro prospect in Chile, one of which intercepted a shear-hosted brecciated vein from an intrusive source which returned 19.45m@2.04% Cu, 1.06g/t Au and 550ppm Mo from 88m (DD-001). The news of that result produced a profitable trade with share price spiking from 4c to a peak of 9.5c intraday, before closing at 6.4c.

There is a good probability that an even more profitable trade is about to unfold within a favourable risk/reward balance.

Currently Helix are conducting a downhole electromagnetic survey (DHEM) on hole DD-001, with a view to define conductive targets prospective for massive sulphide mineralisation. A proposed 2000m drilling campaign to test those targets is due to be announced very shortly. Within the 19.45 mineralised intercept in DD-001 there is a small zone of massive sulphides (mostly chalcocite with pyrite) that returned very high grades of 17.21% Cu, 10.43g/t Au and 5341ppm Mo over 45cm. That high grade zone is right at the very downhole end of the larger reported intercept.

Referring to the figure below, DD-001 intercepted a NW/SE striking vein, dipping at about 45 degrees to the SW, mineralised over a true width of some 16m. The mineralisation extends to surface where oxide ore has been exploited by artisanal miners at between 1 - 2 %Cu. Cu and Au grades are depicted separately by the purple histograms with peak grades occurring immediately above where the hole intercepts the footwall of the vein.



It is postulated here that the very high grade zone has been formed by supergene enrichment by reducing conditions at the water table. Therefore it most likely sits as a tabular flat-lying body constrained by the hanging-wall and footwall of the host vein. The schematic of drill hole DD-001 above suggests that the drill bit clipped the high grade supergene zone (over 45cm), just before it exits the host vein. Evidence for this is supported by the drill core, which shows predominately massive chalcocite (Cu2S, dark grey), which is common to supergene enrichment of copper deposits, abruptly ending to transition into relatively unaltered and unmineralised andesitic volcanics (refer image below).



Therefore, the whole extent of the supergene zone hosting the very high grades is currently unknown. It is anticipated that the drilling about to be announced will target such high grade zones to determine at least their vertical and possibly lateral extents along strike. Furthermore, as the supergene zone is flat lying, it may be targeted by directing holes oblique to the dip of the vein, thereby intercepting much vein mineralisation in their progress.

So, given that the discovery of the supergene zone over 45cm in DD-001 is unlikely to be representative of its complete vertical extent, a trade possibility presents itself if high grade zones are well defined by the EM and drilling intercepts them again with larger widths, possibly many times larger, and also possibly in multiple holes.

Trade considerations:

It is anticipated that if the exploration unfolds in line with the above; over the duration that drilling is announced, if mineralisation is reported from visual examination of core, and up until the day assay results are released, share price may run. Naturally, as more unknowns are known then risk decreases at a technical level. But anticipation of success may cause price to get a little frothy in the process, leaving more downside if there is a failure at some point. The company has other assets to support price at current levels. These include the primary asset; the large Joshua copper porphyry project in Chile, which has been subject to ongoing JV discussions with Mitsubishi. Other assets include 30% of Yalleen - 50Mt @ 57% Fe, and 30% of Tunkillia - 1Moz AuEq (1 g/t).

Market cap - $11m (undiluted) @ 5.5c
Cash - $4m (Dec qtrly).
Speculative short term target MC on bonanza grades - $50m

[JBmurc]

some more interest today(up 16%) hope this in a pre-curser to some good news

[JBmurc]

CANBELEGO JV
Helix is drilling two drill holes below the Canbelego Copper Deposit targeting beneath high-grade copper plunge
positions the Canbelego Resource. A fixed-loop EM conductor plate supports the depth continuity of high grade
sulphide mineralisation below the known resource. Helix is also drill testing an EM conductor associated with
strong copper in soil anomalism (up to 0.3% Cu) at the Caballero Prospect. This combined work will take Helix to
70% equity in the Canbelego JV. Results are expected in August.
RESTDOWN JV
The Company has completed four RC holes to follow-up the initial 70m@1.1g/t Au intersected in first-pass drilling
at the Boundary Prospect. Alteration consistent with that in the initial hole has been encountered in this drilling.
Results are due in August.
KOREE PROJECT (100% HLX)
The Company has completed three RC holes into the Amity Reward South Prospect to follow-up a strong gold in soil
anomaly associated with several +10g/t Au (Max 39g/t Au) surface rock chips. Results are expected in August.

[Entrep]

Looks like this could slowly be coming back to life...

[JBmurc]

Looks like this could slowly be coming back to life...

Yes someone's keeps loading up the 4c bids another 300k today if it's the same guys he'll brought some 1.3mill shares so far this month round 4c

[JBmurc]

Canbelego Drilling Extends Mineralisation at Depth
Assay results from the recent RC/Diamond drilling at the Canbelego Prospect demonstrate that copper mineralisation extends at depth with high copper grades present.
Helix Resources Limited
Gold, Copper, Iron Ore in Australia and Chile
Results include:
Helix Re2smour@ces6L.8im%iteCdu(AfrSoXm:H2L1X9)mis awmithinienrals1e5xmplowraitdioenzconmepaonfyafnoo cumsaeldoouns i(d>en0t.i1fic%atCioun), accoqpupiseirtioin adnrdill development of projects in Australia and Chile
hole CBLRC018  12m @ 1.2% Cu incl. 3m @ 2.1% Cu and 1m @ 2.1% Cu returned from 248m in drill hole
CBLRCD017.
The above two intersections at the Canbelego Prospect, lie below the historical mine workings and previous drilling intersections (refer to figures 1 and 2). The current results extend the resource potential down dip by 40m to 220m vertical depth.
The holes have been cased with PVC piping to enable down-hole EM surveys to be undertaken, providing a platform for geophysics to test for conductors related to possible continuation of mineralisation below the 250m level. Historically, a number of Cobar District mines have been observed to improve in mineralisation grade and thickness below 250m depth.
At the Caballero Prospect, located 2.5km southeast of the Canbelego Prospect, 1 metre re-samples from the previously reported CBLRC020 RC drill hole in August have now been received.
In September Helix drilled a second RC hole (CBLRC021) at Caballero, which was planned to intersect approximately 50m below CBLRC020 (refer Figure 3). Hole CBLRC021 has now been completed to a depth of 168m. It has intersected several zones of oxide and sulphide copper mineralisation, including a sulphide interval containing chalcopyrite between 120m -130m down hole. This zone of sulphide mineralisation appears to correspond to the top of the EM conductor position and is down dip from the higher grade zone of copper oxide material in CBLRC020.
Samples have been submitted to the laboratory with results expected within two weeks.

[percy]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02363690-6A1028449?access_token=83ff96335c2d45a094df02a206a 39ff4
Pleasing seeing HLX back drilling.

[percy]

https://stockhead.cmail20.com/t/d-l-qilukdl-yupddjlly-jh/

[percy]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02373888-6A1032660?access_token=83ff96335c2d45a094df02a206a 39ff4

Love that word "massive"...
Well it "really works" as the share price is up 128.6% today.Massive.

[JBmurc]

Nice work percy ... great results ,,, was actually looking over AIS pre-open thinking they looked like a great Cu producer play ...

[percy]

AIS gets a good write up here.
https://livewiremarketsptyltd.cmail19.com/t/j-l-fyuoc-ydtteyktj-y/

[JBmurc]

AIS gets a good write up here.
https://livewiremarketsptyltd.cmail19.com/t/j-l-fyuoc-ydtteyktj-y/

Yes read that article ... so many great companies AIS one thats certainly on the BUY list

[percy]

Bit of fun yesterday with 1,094,119,928 shares traded for $38,395,819, with VWAP of 3.06cents.Up 171.4% for the day.
Now for the interesting bit.HLX market cap is $41,576,557 at 3.8 cents.Total number of shares on issue 1,094,119,928.
Yes more shares traded than on issue..A lot of trading...lol.

[JBmurc]

Bit of fun yesterday with 1,094,119,928 shares traded for $38,395,819, with VWAP of 3.06cents.Up 171.4% for the day.
Now for the interesting bit.HLX market cap is $41,576,557 at 3.8 cents.Total number of shares on issue 1,094,119,928.
Yes more shares traded than on issue..A lot of trading...lol.

Thats Crazy ..... day traders galore ...

[greater fool]

Bit of fun yesterday with 1,094,119,928 shares traded for $38,395,819, with VWAP of 3.06cents.Up 171.4% for the day.
Now for the interesting bit.HLX market cap is $41,576,557 at 3.8 cents.Total number of shares on issue 1,094,119,928.
Yes more shares traded than on issue..A lot of trading...lol.

These numbers look remarkably similar to me. :confused:
Alternative facts?

[percy]

These numbers look remarkably similar to me. :confused:
Alternative facts?

Whoops.
Number traded was 1,254,026,335....................more than the issued capital.
All other figures are correct.

[percy]

Capital raise.
That was quick.

[soulman]

Capital raise.
That was quick.

Making good use to the higher stock price.

Seems to have a few punters in the know, with yesterdays weak close.

[percy]

Making good use to the higher stock price.

Seems to have a few punters in the know, with yesterdays weak close.

I agree...................................

[stoploss]

Making good use to the higher stock price.

Seems to have a few punters in the know, with yesterdays weak close.

Judging by the turnover in the shares , everyone was in the "know" :t_up:

[percy]

Judging by the turnover in the shares , everyone was in the "know" :t_up:

Well I did not....lol.
Electric vehicles contain around 180 pounds of copper - about four times the amount used in combustion engines. Wind turbines use about four times as much copper per megawatt of electricity, compared to traditional power plants driven by fossil fuels. There is upside for the metal.

[percy]

Sold the ones I brought on 23rd of March at 1.39 cents,today at 4.3 cents.
Thought I did well, but left too much on the table, as they finished the day at 5.1 cents.
Still left with my original small holding, in case they ever do a SPP.
The shares placed at 2.7 cents come on the market in week's time.