CXM Centrex Metals

[donnie]

Heres another metal company with a good find, keep an eye on this one for a run.[][:I]


Centrex Metals Ltd has extensive tenement holdings over iron ore resources and exploration targets on Eyre Peninsula in the southern Gawler Craton adjacent to existing rail/port facilities.

Fig. 1 :: Centrex Metals Ltd Exploration Licenses, Eyre Peninsula (Click to see image)

The resources and targets are mainly within the early Proterozoic Middleback Subgroup sequence of banded iron formations (BIF) that host the historically important and currently operating iron ore mines of the Middleback Range (Onesteel Ltd). The extensive iron formations of Eyre Peninsula contain significant inferred resources of hematite and/or magnetite banded iron formation. Both historical and recent assays and metallurgical work have confirmed their potential and furthermore, the compositions of magnetic separations are favourable with high iron and low silica, alumina, phosphorous, alkalis and manganese.

Three categories of iron ore have been considered:

massive hematite ore (as traditionally mined) with Fe > 56% and low impurities (eg. phosphorous and silica);

hematite-rich BIF or jaspilite (interbanded hematite, quartz and/or iron silicates) with Fe >30%; and

magnetite-rich BIF (interbanded magnetite, quartz, marble and/or iron silicates) with magnetite content as determined by magnetic Davis Tube Separation (DTS)
>20% by weight.

please read the rest on their website

http://www.centrexmetals.com.au/projects/projects.html

__________________________________________________ ________________
RECENT DRILLING INTERSECTS 100m @ 61.2% Fe AT WILGERUP IRON ORE DEPOSIT

Highlights

o Widest ever intercept recorded at Wilgerup at 100m grading 61.2% Fe recorded in drill hole W06R116 further highlights potential resource extensions and continuity of mineralization of the North Hematite Pod.

o 80m x 20m and 80m x 40m RC infill drilling to be completed by 7 February to permit estimation of Indicated Resource for the North Pod.

o Diamond drilling to provide samples for Ore Characterization test work to commence around 14th February
__________________________________________________ ___________________________
Wilgerup North Hematite Pod

Centrex Metals Limited has been conducting reverse circulation (RC) drilling at the Company’s Wilgerup hematite deposit located 30 kilometres south east of Lock on Eyre Peninsula, South Australia since September 2006. The drilling is nearing completion with only two (2) holes remaining in this campaign.

RC drilling has been completed to provide grid coverage on 80m x 20m and 80m x 40m spacing in order to support the estimation of an Indicated Resource.

Recent deeper drilling (including W06R101 which recorded 62m grading 65.6% Fe to 124 metres depth) extended hematite mineralization at depth. Hole W06R116 drilled 160 metres north of W06R101 has returned the widest hematite intercept thus far recorded with a mineralized intercept of 100 metres grading 61.2% Fe. The hole was terminated due to drilling difficulties whilst still in hematite at 174 metres. The intercept further extends the ore potential by an additional 50 vertical metres.

[shasta]

I was going to start a CXM thread, (but found this one) as i will be adding them as 1 of the 5 stocks into the long term portfolio.

Presentation, showing the cash, JV funding deals, & about the supportive shareholders
http://stocknessmonster.com/news-ite...E=ASX&N=183402

Announcement confirming WISCO's payment & JV funding
http://stocknessmonster.com/news-ite...E=ASX&N=183690

Presentation showing the logistics, & development of the South Australian hub, where CXM plan to build port infrastructure
http://stocknessmonster.com/news-ite...E=ASX&N=183702

Enjoy the reading folks, saves me having to disect it all

CXM has plenty of cash & large shareholders are funding the main projects, & with a few in the pipeline, i see this as a 2 - 3 year investment

MCap @ $0.33 = $103m, cash per 1st presentation $57m, + WISCO direct payment $26m (before taxes), + WISCO has stumped up with another $25m in JV funding, taking the JV funding by CXM's two cornerstone shareholders, CXM has a negative EV.

Only concern is the lack of Port infrastructure, but do some research on there JV partners/cornerstone shareholders & u see the Chinese have deep pockets & the $180m capex costs are rather modest, & owning the Port infrastructure outright (or in partnership with South Australian Govt), will also derive some income for CXM, as other companies would be interested in pursuing a Port loading allocation.

FE grades are extremely good, so should be of DSO export quality, & the JV partners/shareholders will take up the offtake agreements.

Plenty to like with CXM, & i wudn't be surprised if WISCO took them over within the next 2 - 3 years.

Disc: Nil, not back in market as yet

[shasta]

CXM - Presentation

http://stocknessmonster.com/news-ite...E=ASX&N=184355

A great read about the proposed deep water port in Eyre Pennisula, South Australia.

Goes into detail about the proposed time frames of the development stage & background on the benefits to the area etc

CXM @ 32c has an MCap ~$100m, but add cash, jv funds, both held & to be received & CXM becomes a negative EV

Disc: Nil, but on the long term buy list

[shasta]

CXM - “PORT SPENCER” ADOPTED AS FORMAL NAME FOR CENTREX’S PROPOSED DEEPWATER PORT IN SA

http://stocknessmonster.com/news-ite...E=ASX&N=184526

Its all progress i guess, market continues to ignore the fact the EV is negative when taking into account JV funds to be received

Remember the capex for this Port Infrastructure is a rather modest $A180m

CXM remains my favoured Iron Ore stock, based on the potential i see with its projects & there JV partners/Shareholders

[Joshuatree]

Agree re a great long term stock to have but dont expect much action in the short to med term,i sold beacuse of this.

[shasta]

CXM - Presentation announced today

http://stocknessmonster.com/news-ite...E=ASX&N=184603

I lost my spreadsheet analysis i did on CXM, but its cashed up ~$100m & with another $16m due in JV funding, so it remains a negative EV stock!

[shasta]

CXM - CENTREX’S RESOURCE UPDATE FOR FUSION BRINGS TOTAL EYRE IRON MINERAL RESOURCES TO 613.6Mt

http://stocknessmonster.com/news-ite...E=ASX&N=184690

More positive news for this very promising Iron ore stock

[shasta]

CXM - New base metals discovery for Lincoln Minerals at Minbrie on SA’s Eyre Peninsula

http://stocknessmonster.com/news-ite...E=ASX&N=186526

Bit of a bonus for ASX:LML as CXM did the drilling but only retain the Iron ore rights on the permit

LML's MD's comments at the bottom mentioning Terramin, OZ Minerals & Rex Minerals as a general comparison is rather outrageous!