Proactiveinvestors Australia Aspire Mining Ltd https://www.proactiveinvestors.com.au Proactiveinvestors Australia Aspire Mining Ltd RSS feed en Mon, 22 Jul 2019 03:08:34 +1000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Aspire Mining obtains approval from Mongolian Reserve Council for total Ovoot reserves in Mongolia ]]> https://www.proactiveinvestors.com.au/companies/news/220966/aspire-mining-obtains-approval-from-mongolian-reserve-council-for-total-ovoot-reserves-in-mongolia-220966.html Aspire Mining Ltd (ASX:AKM) has obtained approval from the Mongolian Reserve Council (MRC) in relation to the Ovoot reserves at its Ovoot Early Development Project (OEDP) in Mongolia.

This follows the company’s submission incorporating and consolidating all past data and information on Ovoot.

Aspire received the results of a pre-feasibility study (PFS) for the early development of the world class Ovoot Coking Coal Project in February 2019 by first constructing a haul road able to deliver up to 4 million tonnes per annum of coking coal to the nearest rail head at Erdenet.

From there the coal can be railed north or south to export markets.

Aspire’s strategy is to progress with low capital intensity road-based development to deliver early production

Ongoing works also aims to advance the larger-scale and longer-term Erdenet-to-Ovoot railway development

Ovoot to Erdenet and the rail line from Tavan Tolgoi to Sainshand

  READ: Aspire Mining substantial shareholder lifts stake to 27.49% from 16.1%

MRC approvals are required before the Detailed Environmental Impact Assessment (DEIA) can be undertaken and on completion, applications for mine permits and associated approvals can be made.

The company has a continuous engagement program to keep the local communities aware of the OEDP progress while outlining the positive impacts of employment, capacity building and infrastructure.

The local district and province have decided to combine road and mine approvals at the community level into one package, which has caused a delay in the company’s planned program to complete the DFA.

The completion of the DFS is now expected before the end of calendar 2019 with the timeframe for first coal production remaining mid-2021.

READ: Aspire Mining releases positive early development PFS as markets absorb high-profile coal takeover bid

Timeline to first production

 

Aspire expects to be in OEDP production by quarter-two 2021 with a 15-month haul road construction period beginning in late 2019 – early 2020.

Russian – Mongolian joint venture Ulaanbaatar Tumur Zam (UBTZ) owns and manages the Mongolian rail network and on May 24, 2019, Aspire and UBTZ executed a corporation agreement.

The agreement ensures an allocation by UBTZ to Aspire of rail line capacity from Erdenet to the Mongolian – China border at Zamyn Uud.

It guarantees up to 4 million tonnes per annum of rail line capacity will be available to the company in support of its OEDP requirements.

 

 

In 2014 the company conducted initial test work on blending Ovoot coking coal and identified a substantial opportunity to value add to Tavin Tolgoi’s non-coking coal resources through blending with Ovoot’s ‘fat’ coking coal.

Tavan Tolgoi is Mongolia’s largest coking coal mine and with the OEDP now presenting near-term production, Aspire and Tavan Tolgoi’s government owner Erdenes Tavan Tolgoi can take the next step in evaluating the opportunity.

Tavan Tolgoi is in the middle of an IPO process planned to occur later in the year.

Aspire is also currently forming a short list of potential international technology partners.

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Mon, 27 May 2019 12:00:00 +1000 https://www.proactiveinvestors.com.au/companies/news/220966/aspire-mining-obtains-approval-from-mongolian-reserve-council-for-total-ovoot-reserves-in-mongolia-220966.html
<![CDATA[News - Aspire Mining substantial shareholder lifts stake to 27.49% from 16.1% ]]> https://www.proactiveinvestors.com.au/companies/news/217486/aspire-mining-substantial-shareholder-lifts-stake-to-2749-from-161-217486.html Aspire Mining Ltd (ASX:AKM) substantial shareholder Tserenpuntsag Tserendamba has lifted his interest in the Mongolian coal developer to 27.49% by acquiring shares in on-market transactions and participation in a placement.

Mr Tserenpuntsag has acquired almost 507.152 million shares since May 30, 2018, thereby taking his overall stake to more than 914.5 million.

The vast majority of these, in excess of 476 million valued at $10 million, were acquired in the company’s placement last year.

Financing package nets $15 million

This was part of a strategic financing package that netted Aspire a total of $15 million.

Aspire has two key assets in northern Mongolia, the wholly-owned Ovoot Coking Coal Project and a 90% stake in the Nuurstei Coking Coal Project.

Ovoot is a world-class asset containing 255 million tonnes of coal reserves which makes it the second largest coking coal project by reserves in Mongolia.

READ: Aspire Mining delivers robust PFS, on path to early coking coal production from Ovoot

Aspire is on a path to early production of high-quality ‘fat’ coking coal from Ovoot after receiving robust financial outcomes from a pre-feasibility study (PFS).

The Ovoot Early Development Project (OEDP) PFS has confirmed a compelling strategy to unlock value from a base case starter pit.

This project involves mining relatively low ash, low strip ratio and high yielding ‘fat’ coking coal from a starter pit that sits within the existing 255 million tonnes Ovoot JORC-compliant ore reserve.

The proposed OEDP pit will only mine 15% of the Ovoot project reserves, while the company awaits a rail connection to facilitate mining the remainder.

READ: Aspire Mining set to benefit from China’s preference for non-seaborne coal imports

Further potential upside is expected from the full rail development or further extensions to the OEDP open pit.

A definitive feasibility study is expected to be completed during the September 2019 quarter.

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Fri, 29 Mar 2019 16:31:00 +1100 https://www.proactiveinvestors.com.au/companies/news/217486/aspire-mining-substantial-shareholder-lifts-stake-to-2749-from-161-217486.html
<![CDATA[News - Aspire Mining releases positive early development PFS as markets absorb high-profile coal takeover bid ]]> https://www.proactiveinvestors.com.au/companies/news/215769/aspire-mining-releases-positive-early-development-pfs-as-markets-absorb-high-profile-coal-takeover-bid-215769.html Aspire Mining Ltd (ASX:AKM) (FRA:WKU) (OTCMKTS:ASPXF) specialises in coking coal project development in Mongolia. It is run by David Paull, a chairman and managing director who has headed up companies for the past 15 years.

What does Aspire Mining own?

The key asset is the world-class Ovoot project in northern Mongolia.

Aspire’s Ovoot Early Development Project (OEDP) pre-feasibility study (PFS) for the project was welcomed by investors last Friday, with the share price gaining up to 39% in subsequent trading when compared to Thursday’s closing price before the study release.

The company’s shares rested 28% higher by late lunchtime yesterday.

Aspire’s Ovoot PFS looked over by the market last Friday modelled a 9.2-year mine with an early-development starter pit drawing on 36.8 million tonnes of ore reserve.

The company’s target of about 4 million tonnes a year production is based on the Mongolian rail network’s existing capacity for carrying ore from the project with coal to be trucked to the nearest railhead.

Aspire plans to mine about 4.6 million tonnes a year and sell 4 million tonnes a year (net of 2% loss) into the system.

By mining only 15% of the existing 255 million tonnes of JORC-compliant ore reserves, Ovoot has future upside if extensions are made to the OEDP pit and if full-scale rail capacity can be secured to benefit the project.

This rail capacity is expected to come with development of the planned Erdenet to Ovoot Rail connection.

Washed coal is proposed to be delivered via a 560-kilometre yet-to-be built special-purpose haul road to connect to the railhead at Erdenet.

The coal would then be delivered to the Mongolian rail network that has confirmed available capacity for OEDP coal to the Mongolian/China border crossing of Erlian to Chinese end customers.

Aspire’s OEDP PFS valued to the project at US$586 million based on a before-tax net present value (NPV10) calculated at a 10% discount.

Ovoot’s corresponding internal rate of return (IRR) was 43.7% and included mine, logistics, waste pre-stripping and haul road capital expenditure.

The attractive average life-of-mine (LOM) net direct C1 Cost of US$81/tonne delivered to the China border at Erlian would position Aspire as a second quartile producer on the global cost curve.

A March-loading cargo of seaborne Australian coking coal was sold at $216.50 a tonne cost and freight (cfr) China to an end user in northern China last week.

Average annual earnings before interest, tax, depreciation and amortisation (EBITDA) was US$172 million for OEDP for a rapid 24-month payback from commercial production with life-of-mine EBITDA of US$1.6 billion.

Aspire hopes its early development vision will transform it into a significant long-term coking coal producer.

The company is backed by supportive major shareholders Mongolian businessman Mr Tserenpuntsag and Kong Kong-based commodities trader and transportation carrier Noble Group.

A fully-funded definitive feasibility study (DFS) for OEDP is underway and is expected in the September 2019 quarter.

Aspire had $15.4 million cash on December 31 and expects $2.9 million of cash outflows in the March quarter.

It plans to spend $1.8 million on exploration and evaluation in the March period.

What’s the wider context?

Aspire’s PFS comes as financial markets absorb the attractiveness of undeveloped coking coal projects and public and private company interest in project and company takeovers.

Gina Reinhart’s unlisted company Hancock Prospecting Pty Ltd made an up to $740 million cash bid last week for Canadian coking coal mine developer Riversdale Resources Limited.

Michael O'Keeffe and Steve Mallyon pre-IPO outfit Riversdale has the early-stage 4.5 million tonnes a year Grassy Mountain hard coking coal development project in Canada which had a $US80 a tonne free-on-board cost price target.

First coal from the 195 million tonnes high-quality coking coal project is expected in 2021.

Denver-based private equity house Resource Capital Funds has 48 per cent of Riversdale, making any commitments it makes vital to the potential success of the proposed takeover.

The Riversdale has recommended no action.

Greater interest in Atrum Coal Ltd’s (ASX:ATU) nearby project to Riversdale has also been put down to the excitement Hancock’s offer has generated among punters.

Yancoal Australia Ltd (ASX:YAL) (FRA:YA1) (HKG:3668) and Whitehaven Coal Ltd (ASX:WHC) (FRA:WC2) are two major coal producers on the ASX.

The duo has been touted as likely peers for Riversdale which was tipped last July to be a likely number three on the ASX in EBITDA stakes after Yancoal and Whitehaven, if it made a stock market debut.

Aspire’s planned 4.6 million tonnes a year production levels sit just beyond Riversdale's proposed level but the Australian company’s bottom-line EBITDA would be calculated using rail-capacity sales of up to 4 million tonnes a year.

Inflection points Success or failure of Hancock bid for Riversdale IPO success of Riversdale proceeds with a proposed ASX listing Major miner interest in coking coal development projects as takeover targets Continued Resource Capital Funds interest in coal development projects Funding for DFS-level study for Ovoot Early Development Project Continued development of Mongolian rail network capacity beyond existing capacity of 4 million tonnes a year for Ovoot Ovoot construction and development funding for the early-stage project Project funding for full-scale project feasibility studies, construction and development Chairman & managing director David Paull pleased with PFS financial metrics

“We’re looking at a starter pit which effectively funds an early start with the infrastructure, wash plant, road capital, etc to give the project a start without having to wait for rail,” chairman and managing director David Paull told Proactive Investors in a video interview broadcast last Friday.

“We’re still working on rail in the background but this gives us, within our control, a fast start-up and it’s quite exciting.

“The mandate was to get production for 4 million tonnes per annum, which is the existing capacity available to us in the Mongolian rail system, so that’s what we have done.

“We’ve proven the concept which is identifying a low-strip-ratio high-yielding part of the deposit and (that) creates a fantastic financial outcome.”

 

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Tue, 05 Mar 2019 16:30:00 +1100 https://www.proactiveinvestors.com.au/companies/news/215769/aspire-mining-releases-positive-early-development-pfs-as-markets-absorb-high-profile-coal-takeover-bid-215769.html
<![CDATA[Media files - Aspire Mining PFS shows 'fantastic financial outcome' with further optionality ]]> https://www.proactiveinvestors.com.au/companies/stocktube/12406/aspire-mining-pfs-shows--fantastic-financial-outcome--with-further-optionality-12406.html Fri, 01 Mar 2019 10:10:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/12406/aspire-mining-pfs-shows--fantastic-financial-outcome--with-further-optionality-12406.html <![CDATA[News - Aspire Mining delivers robust PFS, on path to early coking coal production from Ovoot ]]> https://www.proactiveinvestors.com.au/companies/news/215567/aspire-mining-delivers-robust-pfs-on-path-to-early-coking-coal-production-from-ovoot-215567.html Aspire Mining Ltd (ASX:AKM) is on a path to early production of high-quality ‘fat’ coking coal from the world-class Ovoot project in northern Mongolia after receiving robust financial outcomes from a pre-feasibility study (PFS).

The company said that the Ovoot Early Development Project (OEDP) PFS completed by it and lead PFS consultants FMS LLC confirmed a compelling strategy to unlock value from a base case starter pit.

This project involves mining relatively low ash, low strip ratio and high yielding ‘fat’ coking coal from a starter pit that sits within the existing 255 million tonnes Ovoot JORC-compliant ore reserve.

READ: Aspire Mining’s Ovoot product can help address forecast ‘fat’ coking coal shortage

Aspire’s executive chairman David Paull said the OEDP was set to transform Aspire into a significant long-term coking coal producer.

He said the OEDP pit would only mine 15% of the Ovoot project reserves, while the company awaited a rail connection to facilitate mining the remainder.

Further potential upside would come from the full rail development or further extensions to the OEDP open pit.

Investors have responded positively with shares up 32% to 2.5 cents in early trading.

DFS underway

A definitive feasibility study (DFS), which is fully funded, is underway and is expected to be completed during the September 2019 quarter.

Paull said that quality undeveloped coking coal projects in the world were rare and sought after.

“This was demonstrated by [this week’s] $600 million cash takeover bid by Hancock Prospecting Pty Ltd for Riversdale Resources Ltd, a coking coal mine developer in Canada.

“This is an exciting development for the company which is well supported by our two major shareholders Mr Tserenpuntsag and Noble Group.”

36.8 million tonne starter pit

The Base Case OEDP starter pit utilises a 36.8 million tonne ore reserve carve out from the Ovoot project reserves and supports an initial 9.2-year mine life whilst development of the planned Erdenet to Ovoot Rail connection continues in parallel.

Washed coal will then be delivered via a 560-kilometre special purpose haul road that will be constructed to connect to a railhead at Erdenet.

The coal will then be delivered on the Mongolian rail network that has confirmed available capacity for  OEDP coal to the Mongolian/China border crossing of Erlian to Chinese end customers.

READ: Aspire Mining set to benefit from China’s preference for non-seaborne coal imports

The OEDP Base Case will transform Aspire into a significant pure-play coking coal producer positioned in the second quartile of the global cost curve.

Among the results are:

Outstanding Base Case economics with unleveraged NPV10 (pre-tax) of US$586 million with an IRR of 43.7% (inclusive of mine, logistics, waste pre-stripping and haul road capex). Attractive average LOM net direct C1 Cost of US$81/tonne delivered to the China border at Erlian which will position Aspire as a second quartile producer on the global cost curve. Average annual EBITDA of US$172 million and rapid 24 months payback from commercial production with life of mine EBITDA of US$1.6 billion.

Paull said: “The PFS confirms the 100%-owned Ovoot Coking Coal Project is one of the most attractive coking coal development projects globally in terms of high investment returns, low capital intensity and quality of product that is located on the doorstep of the major consumer, China.

“The Board and the company’s major shareholders are committed to advancing the OEDP to first production as quickly as possible.”

The extended case

The OEDP Extended Case involving a further cutback of the OEDP pit highlights the attractive economics associated with a longer life continuation of the OEDP.

This scenario delivers:

Increased mine life (at 4.0 million tonnes/annum) to 12.5 years. An unleveraged NPV10 (pre-tax) of US$758 million with an IRR of 44.5% (inclusive of mine, logistics, waste pre-stripping and haul road capex). Potential to extend mine life further through future cutbacks with additional mine planning.

Aspire considers the strong forecast cashflow from the OEDP will be complementary to achieving a much larger production profile based on the future rail connection.

A medium-term large-scale, rail-based production project remains the company’s optimal outcome.

If this does not occur, the OEDP PFS confirms globally significant coking coal production can be rapidly achieved in a low capital intensity manner to unlock attractive economics that are not rail dependent.

Aspire considers the OEDP could feasibly be extended into a multi-decade haul road-based operation upon completing additional studies should a rail connection ultimately not occur.

The financing process is progressing with strong ongoing support from major shareholders Mr Tserenpuntsag and Noble Group.

Strong preliminary interest has been received from a range of specialist financiers to provide debt funding for the mine, wash plant and/or road.

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Fri, 01 Mar 2019 09:53:00 +1100 https://www.proactiveinvestors.com.au/companies/news/215567/aspire-mining-delivers-robust-pfs-on-path-to-early-coking-coal-production-from-ovoot-215567.html
<![CDATA[News - Aspire Mining set to benefit from China’s preference for non-seaborne coal imports ]]> https://www.proactiveinvestors.com.au/companies/news/214048/aspire-mining-set-to-benefit-from-chinas-preference-for-non-seaborne-coal-imports-214048.html Aspire Mining Ltd (ASX:AKM) is likely to benefit from China’s increasing controls over seaborne coal imports owing to its coal projects in neighbouring Mongolia.

The restrictions mean that Mongolia’s coal exporters are forecast to overtake Australia as China’s top coal supplier from this year, according to a report from London-based commodity research firm IHS Markit.

Tipping the balance

In 2018 Australia had 44% of China’s total coal import market share against Mongolia’s 43% but HIS Markit says this balance will swing in Mongolia’s favour in future years.

Improving Mongolia-China road and rail infrastructure linkages and Beijing’s focus on capping seaborne imports have been cited by the research firm as two key drivers in tipping the balance.

READ: Aspire Mining’s Ovoot product can help address forecast ‘fat’ coking coal shortage

Aspire is a leading ASX-listed Mongolian metallurgical coal company with projects in the country’s north.

Executive chairman David Paull noted: “China’s shift toward increased Mongolian coal imports is an inexorable trend given both Mongolia’s proximity on China’s doorstep and the enormous quantity and quality of Mongolia’s coal endowment.”

Aspire is expected to deliver an updated Early Development Plan Pre-Feasibility Study on its world-class, JORC-compliant 281.1 million tonnes Ovoot Coking Coal Project this month.

The company also has the smaller Nuurstei Coking Coal Project.

READ: Aspire Mining is fast-tracking a world-class coking coal project

Mongolian road delivery of coal is unaffected by China’s seaborne import control programs.

IHS Markit says many anticipate some form of control over seaborne imports will be exerted by China at various stages this year, with Beijing said to have adopted a policy of limiting seaborne imports at around 2017 levels.

China cut coking coal imports from Australia by 9% on the year in 2018, to 28.23 million tonnes from 30.98 million.

This came as China’s intake from Mongolia increased by 5% to 27.68 million tonnes from 26.30 million.

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Wed, 06 Feb 2019 16:07:00 +1100 https://www.proactiveinvestors.com.au/companies/news/214048/aspire-mining-set-to-benefit-from-chinas-preference-for-non-seaborne-coal-imports-214048.html
<![CDATA[News - Aspire Mining’s Ovoot product can help address forecast ‘fat’ coking coal shortage ]]> https://www.proactiveinvestors.com.au/companies/news/212642/aspire-minings-ovoot-product-can-help-address-forecast-fat-coking-coal-shortage-212642.html Aspire Mining Ltd (ASX:AKM) is buoyed by an independent study that shows coking coal from its Ovoot project in Mongolia can help address a forecast shortage of quality ‘fat’ coking coal in China.

This study by international coal market consultants Fenwei Energy Information Services Co Ltd forms part of a pre-feasibility study (PFS) for Aspire’s Ovoot Early Development Plan (OEDP).

Annual supply gap

The Coal Quality Competitive Assessment of the OEDP in Chinese Markets report identifies an annual supply gap of 16–22 million tonnes for fat coking coal in China over the period to 2025.

Fenwei’s report categorises the OEDP washed coking coal as a moderate ash, moderate sulphur fat coking coal.

This indicative specification, which will be confirmed on release of the PFS results due shortly, puts Ovoot coking coal well within the marketable specification ranges for fat coking coal brands in China.

Fat coking coal is used in blends to produce coke for steel making in blast furnaces.

It creates conditions for good meltability, improving coke’s wear strength, and creates conditions for adding other coals with low caking capability.

READ: Aspire Mining is fast-tracking a world-class coking coal project

Aspire owns the world-class Ovoot Coking Coal Project in Mongolia’s north, which is the country’s second-largest coking coal project by reserves.

The OEDP targets early production of washed coking coal via a truck and rail operation to end markets with 12 to 15 months of final operational and board approvals.

Operational expansion at Ovoot can occur following construction of the Erdenet to Ovoot Railway, which is being progressed by Aspire’s subsidiary, Northern Railways LLC.

READ: Aspire Mining completes $15 million financing for Ovoot early development

Fenwei noted in its report: “Due to the stricter requirements on coke quality in large blast furnaces and the increasing blending ratio of hard coking coal, [the] fat coal market may see a large gap of 16-22 million tonnes (per annum) in 2018-2025, which needs to be filled by imported coal, especially low and medium sulphur fat coal.”

Helping meet the deficit

Aspire’s chairman David Paull said: “The targeted 3 to 4 million tonnes per annum of washed fat coal production from the Aspire OEDP will go part of the way to meeting this deficit.”

 

The Fenwei report indicates that fat coal as a percentage of total Chinese coal blends will rise from 13.6% to 14.7% between 2018 and 2025 resulting in annual total fat coal demand of 76 million tonnes.

Of this, only 11 million tonnes annually of low sulphur (< 0.75%) fat coal is expected to be mined from Chinese domestic mines.

Medium sulphur type

Ovoot coal is considered to be medium sulphur at 1.2% and the medium sulphur type makes up 44% of fat coal consumption in China’s steel industry with high sulphur coals starting at +1.5% having a 28% share of the market.

Fenwei said that given the forecast higher proportion in blends, demand for fat coal in China was rising at a time when domestic fat coal production was predicted to be stagnant over the forecast period.

Hebei highest value market

China’s Hebei Province is forecast to provide the highest value market for Ovoot fat coking coal with a long-term price forecast range of Rmb1,217 to 1,307 (US$176-191) per tonne delivered to customers in the province.

Aspire said that market dynamics for coking coal, and fat coking coal in particular, were expected to underpin relatively stable future pricing.

READ: Aspire Mining shares surge on revealing viable rail link between Ovoot and Russian border

While the report focused on China, given the northern location of Ovoot, there are also viable markets in Eastern Europe, Russia and the Russian Far East with new lower rail tariffs being offered by Russian Railways.

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Wed, 16 Jan 2019 10:35:00 +1100 https://www.proactiveinvestors.com.au/companies/news/212642/aspire-minings-ovoot-product-can-help-address-forecast-fat-coking-coal-shortage-212642.html
<![CDATA[Media files - Aspire Mining fully-funded to progress Ovoot early development plan after strategic financing ]]> https://www.proactiveinvestors.com.au/companies/stocktube/11672/aspire-mining-fully-funded-to-progress-ovoot-early-development-plan-after-strategic-financing-11672.html Wed, 19 Dec 2018 21:21:00 +1100 https://www.proactiveinvestors.com.au/companies/stocktube/11672/aspire-mining-fully-funded-to-progress-ovoot-early-development-plan-after-strategic-financing-11672.html <![CDATA[News - Aspire Mining appoints two to board following strategic financing ]]> https://www.proactiveinvestors.com.au/companies/news/210818/aspire-mining-appoints-two-to-board-following-strategic-financing-210818.html Aspire Mining Ltd (ASX:AKM) has appointed non-executive director Achit-Erdene Darambazar and executive director Boldbaatar BatAmgalan to its board.

The appointments are a direct result of the recent completion of strategic financing to principally fund feasibility and other studies for the Ovoot Early Development Plan (OEDP).

The two directors represent Mongolian businessman Tserenpuntsag Tsedendamba, a major shareholder of Aspire.

READ: Aspire Mining completes $15 million financing for Ovoot early development

Aspire’s executive chairman David Paull said: “We welcome Archit and Boldbaatar to the board.

“With their relevant in-country and international experience and qualifications, we are delighted that they have joined the board as we implement the OEDP.”

Non-executive director Darambazar is financial adviser to Tserenpuntsag Tsedendamba and president and CEO of a leading Mongolian investment banking firm.

Executive director BatAmgalan will use his background in public relations and government to help advance the OEDP.

PFS expected to be complete by January 2019

Ovoot, a potential future open pit and underground mining project hosts JORC-compliant reserves of 255 million tonnes of premium coking coal.

A PFS has been completed and Aspire is now fast-tracking studies for a trucking based solution via the OEDP.

The OEDP means production from the project can be unlocked earlier due to the project no longer being entirely tied to rail infrastructure.

The PFS for the OEDP is expected to be completed by January 2019.

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Mon, 10 Dec 2018 08:41:00 +1100 https://www.proactiveinvestors.com.au/companies/news/210818/aspire-mining-appoints-two-to-board-following-strategic-financing-210818.html
<![CDATA[News - Aspire Mining completes $15 million financing for Ovoot early development ]]> https://www.proactiveinvestors.com.au/companies/news/210724/aspire-mining-completes-15-million-financing-for-ovoot-early-development-210724.html Aspire Mining Ltd (ASX:AKM) has settled the $15 million strategic financing package that it revealed late August 2018.

Most notably, the company now has a cash position of around $15.6 million.

Aspire is now debt free and fully funded through to completion of all Ovoot Early Development Project (OEDP) feasibility studies.

READ: Aspire Mining is fast-tracking a world-class coking coal project

The strategic financing comprises 476.1 million shares issued to Aspire’s new major shareholder Mr Tserenpuntsag at 2.1 cents for $10.0 million.

A total of 161.3 million shares issued at 2.1 cents to Noble Group Limited (OTCMKTS:NOBGF) repay the balance of US$2.4 million debt principal and accrued interest.

Finally, 80.9 million shares issued at 2.1 cents in relation to the additional placement for $1.7 million.

Debt free to deliver coking coal production from Ovoot

Aspire’s executive chairman David Paull said: “it is very pleasing that Aspire is now in a strong financial position with no borrowings.

“On behalf of the board, I thank our strategic shareholders, Mr Tserenpuntsag and Noble Group, for their support in achieving this financing outcome.

“Their ongoing support, together with that of our broader shareholder base, reflects the attractiveness of the OEDP.

“We look forward to delivering the OEDP feasibility details in early 2019 and quickly progressing towards first coking coal production.”

PFS expected to be complete by January 2019

Aspire is expediting the pre-feasibility study (PFS) in relation to the OEDP and other feasibility studies in relation to the Erdenet to Ovoot road and associated infrastructure.

Ferrostaal Mining Services is progressing with the OEDP PFS which focuses on a low ash and low strip ratio carve-out from the existing Ovoot Reserve.

The PFS for the OEDP is expected to be completed by January 2019.

Director snaps up shares in placement

Shareholders have voted at the recently held annual general meeting (AGM) to approve the issue of 1.19 million shares to director Hannah Badenach.

Badenach participated in the share placement back in September 2018 and as a director of the company requires shareholder approval as per the ASX Listing Rules.

By participating in the placement, Badenach further aligns herself with shareholders increasing her total holding to 13.9 million shares.

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Fri, 07 Dec 2018 09:11:00 +1100 https://www.proactiveinvestors.com.au/companies/news/210724/aspire-mining-completes-15-million-financing-for-ovoot-early-development-210724.html
<![CDATA[News - Aspire Mining is fast-tracking a world-class coking coal project ]]> https://www.proactiveinvestors.com.au/companies/news/210163/aspire-mining-is-fast-tracking-a-world-class-coking-coal-project-210163.html Aspire Mining Ltd (ASX:AKM) updated shareholders at its annual general meeting (AGM) yesterday about progressing its 100% owned Ovoot Coking Coal Project in Mongolia.

Ovoot, a potential future open pit and underground mining project hosts JORC-compliant reserves of 255 million tonnes of premium coking coal.

A pre-feasibility study (PFS) has been completed and Aspire is now fast-tracking studies for a trucking based solution via the Ovoot Early Development Plan (OEDP).

The OEDP, due in the first half of next year, means production from the project can be unlocked earlier due to the project no longer being entirely tied to project rail infrastructure.

READ: Aspire Mining shares surge on revealing viable rail link between Ovoot and Russian border

Ovoot’s PFS confirms the potential to deliver up to 10 million tonnes per annum of washed high quality “fat” coking coal over a 20+ year mine life (pending a rail solution).

The OEDP now being progressed will deliver washed coking coal via a trucking solution to the existing railhead at Erdenet.

The existing rail infrastructure can deliver 3 to 4 million tonnes per annum.

The OEDP is anticipated to deliver strong early cash flow and support medium-term delivery of rail solution to unlock full 10 million tonnes per annum production profile.

Aspire owns two coking coal projects and a dedicated rail subsidiary

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Thu, 29 Nov 2018 08:42:00 +1100 https://www.proactiveinvestors.com.au/companies/news/210163/aspire-mining-is-fast-tracking-a-world-class-coking-coal-project-210163.html
<![CDATA[News - Aspire Mining shares surge on revealing viable rail link between Ovoot and Russian border ]]> https://www.proactiveinvestors.com.au/companies/news/207988/aspire-mining-shares-surge-on-revealing-viable-rail-link-between-ovoot-and-russian-border-207988.html Aspire Mining Ltd (ASX:AKM) has received a positive preliminary economic assessment (PEA) for a rail link for its Ovoot Coking Coal Project in Mongolia, from rail design and engineering firm Perfect Road Project LLC.

The PEA confirms a technically and commercially viable 238.6-kilometre line from the Ovoot project to the Mongolia-Russian border port of Arts Suuri.

This extension north-west from Ovoot to Arts Suuri when combined with the planned Erdenet - Ovoot rail line would complete the Mongolian section of the Northern Railway Corridor.

The Northern Rail Corridor is a combined initiative of the Mongolian, Chinese and Russian Governments with the potential to be the fastest, lowest cost rail path linking North Eastern China, Mongolia, Russia and Europe, significantly enhancing regional trade flows and economic benefits.

READ: Aspire Mining targets early development of world-class Mongolian coking coal project

Importantly, the proposed new rail extension would open up additional Russian and European markets for the potential benefit of Aspire’s coking coal project.

The PEA applied Mongolian class 2 railway design standards to ensure compatibility with the Erdenet - Ovoot rail project and will have up to 15 million tonnes per annum capacity – with additional capacity able to be later added to meet demand growth.

Aspire executive chairman David Paull said: “The delivery of this PEA provides further confirmation of the viability of the Northern Rail Corridor.

“The company has provided this PEA to the Mongolian Ministry of Roads and Transport and Mongolian rail operator UBTZ Railways JSC to provide further justification to proceed to implementing the Ovoot to Arts Suuri rail project as part of the Northern Rail Corridor.’’

 

Aspire is targeting early production of washed coal from Ovoot within 12 to 15 months of approval and has formulated the Ovoot Early Development Plan (OEDP) including related funding commitments.

In support of the OEDP, the company has executed a cornerstone placement to Mongolian businessman and judo champion Tserenpuntsag Tserendamba, as part of a $15 million strategic financing package.

READ: Aspire Mining receives strong placement support and lifts conditional raising to $2.1 million ]]>
Mon, 29 Oct 2018 15:52:00 +1100 https://www.proactiveinvestors.com.au/companies/news/207988/aspire-mining-shares-surge-on-revealing-viable-rail-link-between-ovoot-and-russian-border-207988.html
<![CDATA[News - Aspire Mining receives strong placement support and lifts conditional raising to $2.1 million ]]> https://www.proactiveinvestors.com.au/companies/news/204008/aspire-mining-receives-strong-placement-support-and-lifts-conditional-raising-to-21-million-204008.html Aspire Mining Ltd (ASX:AKM) has received strong pre-commitments for the minimum placement condition needed to complete a $15 million strategic financing package and will increase the placement to $2.1 million.

Due to the strong demand, the board increased the raising from the initial figure of $1.7 million.

The conditional placement is priced at 2.1 cents per share and is on identical terms to the $10 million cornerstone placement to Mongolian national Tserenpuntsag Tserendamba.

Patersons Securities Limited acted as lead manager in respect of the $2.1 million placement.

Inclusive of the commitment from Mr Tserenpuntsag, the placement component of the raising now totals $12.1 million.

Settlement is conditional on shareholder approval and an Independent Experts Report opining that the cornerstone placement is either fair and reasonable or not fair but reasonable.

This placement, if approved by shareholders, will see Mr Tserenpuntsag become Aspire’s largest shareholder with a 27.4% stake and will increase the undiluted ownership held by Mongolian nationals to 32%.

READ: Aspire Mining targets early development of world-class Mongolian coking coal project

The financing package will support Aspire’s new Ovoot Early Development Plan.

This provides for early production of washed coal from the company’s world-class Ovoot Coking Coal Project in northern Mongolia within 12 to 15 months of approval.

The company has identified a low ash high yielding open pit section of the Ovoot ore body, which is expected to be well suited to form the basis of a starter pit for the OEDP.

Debt to equity conversion

Aspire has also entered into an agreement with major shareholder, Noble Resources International Pte Ltd, for a debt to equity conversion of up to the existing debt of US$2.4 million plus accrued interest on that amount.

The residual balance of that debt is to be repaid out of funds raised from the strategic financing.

This will see Aspire emerge debt-free following completion of the financing.

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Mon, 03 Sep 2018 08:58:00 +1000 https://www.proactiveinvestors.com.au/companies/news/204008/aspire-mining-receives-strong-placement-support-and-lifts-conditional-raising-to-21-million-204008.html
<![CDATA[Media files - Funding commitments firm up Aspire Mining’s near-production Ovoot project ]]> https://www.proactiveinvestors.com.au/companies/stocktube/10294/funding-commitments-firm-up-aspire-minings-near-production-ovoot-project-10294.html Fri, 31 Aug 2018 17:17:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/10294/funding-commitments-firm-up-aspire-minings-near-production-ovoot-project-10294.html <![CDATA[News - Aspire Mining targets early development of world-class Mongolian coking coal project ]]> https://www.proactiveinvestors.com.au/companies/news/203748/aspire-mining-targets-early-development-of-world-class-mongolian-coking-coal-project-203748.html Aspire Mining Ltd (ASX:AKM) is targeting early production of washed coal from the world-class Ovoot Coking Coal Project in northern Mongolia within 12 to 15 months of approval.

To facilitate this aim, the company has formulated the Ovoot Early Development Plan (OEDP) and arranged related funding commitments.

Shares increase 25%

Investors responded with shares up 25% intra-day to 2.5 cents.

The OEDP involves mining low ash, high-yielding coal from a starter pit within the defined Ovoot ore body.

It also involves the construction of a private haul road beside the planned 547-kilometre rail path for the Erdenet to Ovoot Railway.

“An important step”

Aspire’s executive chairman David Paull said, “This is a very important step in realising the large inherent value of the world-class Ovoot Coking Coal Project.”

In support of the OEDP, Aspire has executed definitive and binding documentation with substantial shareholder Tserenpuntsag Tserendamba to invest $10 million as part of a $15 million strategic financing package.

Holding increases to 27.4%

This will take the Mongolian national’s holding in Aspire to 27.4% from 16.6%.

The placement is conditional upon the approval of Aspire shareholders.

It is also conditional upon the company raising an additional $1.7 million from other investors, of which it has received binding pre-commitments to subscribe for about $1 million.

Completion of the placement will increase the undiluted ownership of Aspire held by Mongolian nationals to 32%, making Aspire a true Mongolian/Australian partnership.

 

Paull said, “We are delighted to have secured the substantial support of Mr Tserenpuntsag who has recognised the deep value that the company represents.

“Aspire has always recognised the need to have strong Mongolian support and ownership as it progresses the development of the Ovoot Coking Coal Project and the Northern Railway.

“In this way, there is a strong alignment between Mongolian and international investors.”

Strong coal market fundamentals

Funds raised from the placements will enable Aspire to capitalise on the strong prevailing coal market fundamentals by seeking to unlock early production from Ovoot.

This would be within a targeted 12 to 15 months after all approvals are received, funding is committed and a decision to mine is made.

Construction of a haul road would enable Aspire to transport Ovoot coal to the existing rail-head at Erdenet for final rail transportation to international end customers.

Temporary haul road

Identified in the Erdenet to Ovoot Rail Feasibility Study, this would be a temporary haul road and future rail service road designed to preserve local watercourses and minimise dust.

Aspire has identified a low ash high yielding open pit section of the Ovoot ore body, which is expected to be well suited to form the basis of the starter pit for the OEDP.

The designed production rate under the OEDP will be matched to forecast logistics capacities which are limited by existing Mongolian rail capacity.

From work undertaken during a feasibility study for the smaller Nuurstei project, this is expected to be in the range of 3 to 4 million tonnes annually.

READ: Aspire Mining’s subsidiary granted extension to complete conditions relating to Mongolian rail concession

The early production scenario has been designed to proceed while Aspire’s rail infrastructure subsidiary, Northern Railways LLC, continues to work towards establishing the Erdenet to Ovoot rail connection.

Delivery of the road-based OEDP complements the development of the railway, which forms part of the proposed Northern Rail Line linking Erdenet to Kyzyl in Russia.

The Erdenet to Ovoot Railway would form part of the Northern Rail Line.

Much of the permitting and approvals required for the road are also applicable for the future rail development whilst early production and cashflow will materially de-risk the project.

Once commissioned, the Northern Rail Line is expected to support transport of up to 10 million tonnes annually of high-quality washed coking coal from Ovoot on a low-cost, long-term basis.

Cashed up

Placement proceeds of $11.7 million before costs together with existing cash reserves of around $7.6 million are expected to fully fund Aspire to complete feasibility studies for the mine and road components of the OEDP.

This would support a planned project financing and decision to mine in the first half of 2019.

Aspire has also entered into an agreement with major shareholder, Noble Resources International Pte Ltd, for a debt to equity conversion of up to the existing debt of US$2.4 million plus accrued interest on that amount.

The residual balance of that debt is to be repaid out of funds raised from the strategic financing.

This will see Aspire emerge debt-free following completion of the financing.

READ: Aspire Mining coking coal test results confirm premium product

The Ovoot pre-feasibility study delivered in December 2012 confirmed that Ovoot can annually deliver up to 10 million tonnes of washed high-quality ‘fat’ coking coal over a 20-plus year mine life once rail is connected.

In order to progress the OEDP, the company has secured a 12-month option to acquire a terminal area at Erdenet where trucks can be unloaded and rail wagons loaded.

When developed, this area would be able to support the annual handling of up to 4 million tonnes.

The economics of the OEDP, including forecast mine operating costs, will be the subject of a feasibility study which will start immediately after the transaction is completed.

Pre-development studies including environmental impact assessment, management plan and a road feasibility study for the OEDP will also start after completion of the strategic financing.

Community benefits

The OEDP will provide the opportunity for Aspire to establish Khuvsgul and Tsetserleg soum development funds that will support community development.

It is expected that road and mine construction and operations would see a significant increase in employment and educational opportunities.

The market for coking coal globally and ‘fat’ coking coal, in particular, has maintained a level of stability over the last 12 months with benchmark fat coking coal trading at a premium to hard coking coal.

Key strategic benefits

A favourable coal market outlook supports consideration of fast-tracking Ovoot into production via the OEDP with the support of Aspire’s proposed new largest shareholder, Mr Tserenpuntsag.

Proposed Ovoot project site infrastructure plan.

The strategy is expected to:

- Materially reduce the capital and timing required to achieve first cashflow from a scaled coking coal production; - Deliver a stronger 'Mongolian' involvement which will significant enhance Aspire’s ability to achieve timely government, permitting, approvals and community support for the OEDP; - Assist in Aspire securing follow-on investment capital; - De-risk the future rail development; and - Significantly reposition Aspire within the next 1 to 2 years. Mongolian entrepreneur

Mr Tsedenpuntsag is a successful Mongolian entrepreneur across the food & beverage, information and communication technology, health & recreation and construction sectors.

He founded Gem International, a beverage producer, in 1999 and has since gone on to found other leading Mongolian companies.

Mr Tsedenpuntsag was awarded the title of ‘Executive of the Year’ by the Mongolian Communications Regulatory Commission.

He is also a Naadam Traditional Wrestling Tournament finalist (1994), an International Master of Judo, and the Founder of the Mongolian Rugby Association.

Upon completion of the proposed placement, Mr Tserenpuntsag will use his best endeavours to:

- Provide and/or assist in arranging material future finance to complete the OEDP including the sourcing of low-cost debt funding from the Mongolian government and/or other in-country sources as required; and - Support Aspire in community and public relations in Mongolia to ensure widespread support for the OEDP and the Erdenet to Ovoot Railway. Nuurstei progress

Aspire continues to advance the Nuurstei Feasibility Study as a precursor to future production.

Recent coke oven test work on an indicative sample confirms that Nuurstei coking coal produces exceptional coke results and will be identified in end markets as a premium hard coking coal.

A short 44 drill hole program is required to convert JORC inferred resources to the indicated status to complete the feasibility study.

Aspire expects to complete the required drilling and feasibility study in the near term to allow a development decision to be made at a later time to integrate with the larger Ovoot project.

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Wed, 29 Aug 2018 13:24:00 +1000 https://www.proactiveinvestors.com.au/companies/news/203748/aspire-mining-targets-early-development-of-world-class-mongolian-coking-coal-project-203748.html
<![CDATA[News - Aspire Mining has strategic development and associated funding news pending, trading halt granted ]]> https://www.proactiveinvestors.com.au/companies/news/203612/aspire-mining-has-strategic-development-and-associated-funding-news-pending-trading-halt-granted-203612.html Aspire Mining Ltd (ASX:AKM) has been granted a trading halt by the ASX pending news of a strategic development and associated funding package.

The halt will remain in place until the start of ASX trading on Wednesday, August 29, 2018, or when the announcement is released to the market, whichever occurs earliest.

Aspire’s shares last traded at 2 cents at the close of trade last Friday.

 

The company has two coking coal projects in northern Mongolia, Ovoot and Nuurstei, and its subsidiary, Northern Railways LLC, is advancing the proposed Northern Rail Corridor.

This corridor includes as its first stage the Erdenet to Ovoot rail concession, which would provide freight options for the coal projects.

READ: Aspire Mining coking coal test results confirm premium product

Aspire has recently received results from pilot-scale carbonisation test work on a 300-kilogram bulk sample from the Nuurstei project.

These confirm the presence of premium hard coking coal at Nuurstei which once washed will be very competitive on a quality basis with the best available coking coals on the market.

Managing director and executive chairman David Paull said: “These coke results demonstrate that coal from Nuurstei will be potentially sought after by Japanese and Korean steel producers as well as from Chinese steel mills where higher quality inputs into the steel industry are being sought.

“It also demonstrates that Mongolia can supply premium coking coals to the world’s steel industry.”

READ: Aspire Mining’s subsidiary granted extension to complete conditions relating to Mongolian rail concession

Northern Railways was recently granted an 18-month extension to complete conditions relating to the Erdenet to Ovoot rail concession.

The concession agreement amendment extends the date for completion of the conditions precedent from to February 20, 2020, from August 20, 2018.

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Mon, 27 Aug 2018 13:03:00 +1000 https://www.proactiveinvestors.com.au/companies/news/203612/aspire-mining-has-strategic-development-and-associated-funding-news-pending-trading-halt-granted-203612.html
<![CDATA[News - Aspire Mining’s subsidiary granted extension to complete conditions relating to Mongolian rail concession ]]> https://www.proactiveinvestors.com.au/companies/news/202699/aspire-minings-subsidiary-granted-extension-to-complete-conditions-relating-to-mongolian-rail-concession-202699.html Aspire Mining Ltd’s (ASX:AKM) rail subsidiary Northern Railways LLC has been granted an 18-month extension to complete conditions relating to the Erdenet to Ovoot rail concession in northern Mongolia.

The concession agreement amendment extends the date for completion of the conditions precedent from to February 20, 2020, from August 20, 2018.

READ: Aspire Mining feasibility study review reduces railway construction cost

This 547.7-kilometre railway will extend Mongolia’s network from Erdenet west to Ovoot where Aspire has coal properties, including the world-class Ovoot Coking Coal Project.

It will form the first part of the Northern Rail Corridor extending from Erdenet to Kyzyl in Russia.

Remaining conditions

While the recently completed rail feasibility study is an important milestone other important remaining conditions include:

- Definitive Environmental Impact Assessment and management plan; - Land use agreements; and - Funding availability.

Northern Railways is targeting the June quarter of 2019 to complete these conditions.

 

The amendment has been executed by parties to the agreement - the Government of Mongolia represented by its National Development Agency, Northern Railways and the Chinese participants.

These are China Gezhouba Group International Engineering Co Ltd, China Railway 20 Bureau Group Corporation and China Railway First Survey & Design Institute Group Co Ltd.

Translation of the rail feasibility study into Mongolian is underway.

Following a request from the Mongolian Government, modifications have been made to the railway design to ensure compliance with Mongolian Class II rail standards.

This will result in the line being capable of annually delivering up to 30 million tonnes and reflects an expectation of strong transit freight demand.

The change will result in a marginal increase in construction cost but this sits well within the 10% contingency range.

READ: Aspire Mining welcomes new Russia-Mongolia agreement lowering rail transit costs

While engineered to carry up to 30 million tonnes, the study has not assumed any benefit from transit freight volumes.

Aspire’s Ovoot project is the second largest coking coal project by reserves in Mongolia and is dependent on the construction of the first stage of the railway.

The company also has a 90% interest in the Nuurstei Coking Coal Project which would also benefit from the railway but can commence as a road-based operation. 

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Mon, 13 Aug 2018 09:41:00 +1000 https://www.proactiveinvestors.com.au/companies/news/202699/aspire-minings-subsidiary-granted-extension-to-complete-conditions-relating-to-mongolian-rail-concession-202699.html
<![CDATA[Media files - Aspire Mining pleased with 'very good commercial outcomes' from rail feasibility study ]]> https://www.proactiveinvestors.com.au/companies/stocktube/9641/aspire-mining-pleased-with-very-good-commercial-outcomes-from-rail-feasibility-study-9641.html Thu, 21 Jun 2018 17:53:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/9641/aspire-mining-pleased-with-very-good-commercial-outcomes-from-rail-feasibility-study-9641.html <![CDATA[News - Aspire Mining coking coal test results confirm premium product ]]> https://www.proactiveinvestors.com.au/companies/news/198982/aspire-mining-coking-coal-test-results-confirm-premium-product-198982.html Aspire Mining Ltd (ASX:AKM) has received results from pilot-scale carbonisation test work on a 300-kilogram bulk sample from its Nuurstei Coking Coal Project in Mongolia.

The tests confirm the presence of premium hard coking coal at Nuurstei which once washed will be very competitive on a quality basis with the best available coking coals on the market.

READ: Aspire Mining welcomes new Russia-Mongolia agreement lowering rail transit costs

Aspire’s executive chairman David Paull said: “These coke results demonstrate that coal from Nuurstei will be potentially sought after by Japanese and Korean steel producers as well as from Chinese steel mills where higher quality inputs into the steel industry are being sought.

“It also demonstrates that Mongolia can supply premium coking coals to the world’s steel industry.”

Results in prime hard coking coal category

The 300-kilogram washed sample was taken from a shallow open pit adjacent to the Nuurstei mining license, the coal being the up-dip surface expression of the Nuurstei deposit.

The coal scored a high CSR (coke strength reactivity) result of 78 - prime hard coking coals are normally specified at 68 to 72 CSR.

The coal’s CRI (coke reactivity index) score was a low 14.6, consistent with the high CSR score.

Two core coal assets in Mongolia

Aspire has two key assets in Mongolia, the wholly-owned Ovoot Coking Coal Project and a 90% stake in the Nuurstei Coking Coal Project.

Ovoot is a world-class asset containing 255 million tonnes of coal reserves which makes it the second largest coking coal project by reserves in Mongolia.

Aspire aims to commence a road-based production operation in the near-term at Nuurstei.

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Mon, 18 Jun 2018 09:28:00 +1000 https://www.proactiveinvestors.com.au/companies/news/198982/aspire-mining-coking-coal-test-results-confirm-premium-product-198982.html
<![CDATA[News - Aspire Mining welcomes new Russia-Mongolia agreement lowering rail transit costs ]]> https://www.proactiveinvestors.com.au/companies/news/198747/aspire-mining-welcomes-new-russia-mongolia-agreement-lowering-rail-transit-costs-198747.html Aspire Mining Ltd (ASX:AKM) stands to gain from the new cooperation agreement signed between Russia and Mongolia.

The agreement allows for Mongolian sourced freight to enjoy tariff discount on transit transport for its exports through Russia for 25 years.

Notably, Mongolian coal exports will receive a 66.4% discount and container transport a 52% discount on the Russian rail system.

Read: Aspire Mining welcomes growing support for rail for its coal mine

Aspire executive chairman David Paull said: “This rail cooperation agreement has two important positive impacts for Aspire.

“The first is that it lowers rail transit costs through Russia to Far East Ports and potentially west to the Black Sea Ports to a point where it is competitive with transport costs to Northern Chinese customers, opening up a larger and more diverse customer base.

READ: Aspire Mining responds to ASX price and volume query

Paull added “The second impact is the agreement from the Mongolian Government side to cooperate to assist Russian exports south from the Russian city of Kyzyl to connect with the Erdenet – Ovoot Railway once the Northern Corridor is completed.”

Aspire is the owner of the world class Ovoot Coking Coal Project in Mongolia. The full realisation of the project is dependent on the construction of the Erdenet to Ovoot Railway.

READ: Aspire Mining feasibility study review reduces railway construction cost

The Erdenet to Ovoot Railway extends 549 kilometres between the town of Erdenet and Aspire’s Ovoot Coking Coal Project.

It forms part of the proposed Northern Rail Corridor which extends across northern Mongolia into southern Russia.

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Wed, 13 Jun 2018 14:50:00 +1000 https://www.proactiveinvestors.com.au/companies/news/198747/aspire-mining-welcomes-new-russia-mongolia-agreement-lowering-rail-transit-costs-198747.html
<![CDATA[News - Aspire Mining responds to ASX price and volume query ]]> https://www.proactiveinvestors.com.au/companies/news/198736/aspire-mining-responds-to-asx-price-and-volume-query-198736.html Aspire Mining Ltd (ASX:AKM) yesterday received a query from the ASX related to the company’s shares rising from 2.1 cents last Friday to 2.7 cents yesterday.

The company responded to the query explaining that it was not aware of any information that had not been released to the market potentially responsible for the 28.5% price rise on high volume.

Trade meetings in China

Aspire did note that the Shanghai Cooperation Organisation had its meeting in Qingdao, China, over the weekend of 9 to 10 June 2018.

On the sidelines of this meeting, the three presidents of Russia, China and Mongolia had a separate meeting to discuss trade and transport infrastructure through Mongolia.

Reported by Russia’s TASS news agency

On 9 June 2018 Russia’s TASS news agency reported on a meeting between Russian President Vladimir Putin, Chinese leader Xi Jinping and Mongolian President Battulga.

In the news article President Putin noted:

• The rapid increase in container traffic via China, Mongolia and Russia including a 2.7 times increase in 2017 and nearly a 4 times increase in March 2018 quarter;
• That plans are in place to upgrade the Russian - Mongolian Ulaanbaatar railway and adjacent segments (a development program for this railway until 2030 is under preparation and the first stage provides for investments amounting to US$260 million during 2018 to 2020);
• That the three countries had been working together to remove excessive administration barriers in order to ensure uninterrupted trade flows; and
• That Russia supports a Mongolian initiative to build oil and gas pipelines from Russia to China via Mongolia subject to conducting a thorough feasibility study.

READ: Aspire Mining feasibility study review reduces railway construction cost

Aspire’s executive chairman David Paull said: “For Aspire’s rail subsidiary, Northern Railways LLC, progress on the expansion of the Ulaanbaatar Railway’s Central Line to make capacity available for the Erdenet – Ovoot Railway is welcome news.

“As is further confirmation of the rapid growth in container based trade volumes between Russia and China through Mongolia.

“It’s worth noting that the recently completed Rail Feasibility Study for the Erdenet – Ovoot Railway did not allow for any transit freight demand yet still demonstrated a competitive after tax rate of return on rail equity investment of 13.6%.”

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Wed, 13 Jun 2018 08:32:00 +1000 https://www.proactiveinvestors.com.au/companies/news/198736/aspire-mining-responds-to-asx-price-and-volume-query-198736.html
<![CDATA[News - Aspire Mining feasibility study review reduces railway construction cost ]]> https://www.proactiveinvestors.com.au/companies/news/198138/aspire-mining-feasibility-study-review-reduces-railway-construction-cost-198138.html Aspire Mining Ltd (ASX:AKM) has completed its review of the 547.7-kilometre Erdenet to Ovoot rail feasibility study.

Notably, the total construction cost in Chinese renminbi before contingencies is 11% less than the primary feasibility study estimate completed in January 2017.

Given movements in the exchange rate, the total cost in US dollars remains at US$1.25 billion.

Feasibility study work continues

While Aspire’s wholly owned rail subsidiary, Northern Railways LLC (NR) has completed its review of the rail study, work continues.

NR, China Gezhouba International Ltd (CGGC) and its engineers continue to address a number of matters and opportunities.

The rail feasibility study will now be provided to the Mongolian Ministry of Roads and Transportation for its review and approval.

READ: Aspire Mining welcomes growing support for rail for its coal mine

The rail feasibility study sets a minimum 8% after tax rate rail project rate of return with a minimum 12% equity after tax rate of return.

Applying a below rail or sometimes described as a capacity tariff, of US3.4 cents per tonne per kilometre to use the railway, provides the following financial outcomes.

This tariff both meets the minimum financial return hurdles and provides for a competitive transport cost for Ovoot Project and Nuurstei Project coking coal into end markets.

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Mon, 04 Jun 2018 10:49:00 +1000 https://www.proactiveinvestors.com.au/companies/news/198138/aspire-mining-feasibility-study-review-reduces-railway-construction-cost-198138.html
<![CDATA[News - Aspire Mining major shareholder purchases more stock on market ]]> https://www.proactiveinvestors.com.au/companies/news/197883/aspire-mining-major-shareholder-purchases-more-stock-on-market-197883.html Aspire Mining Ltd (ASX:AKM) has had major shareholder, Tserenpuntsag Tserendamba, increase its stake in the company to 16.10% from 14.77%.

The share purchases took place on-market across four consecutive trading days, the final day being yesterday.

In total, 39.23 million shares were purchased for about $664,000.

READ: Aspire Mining has numerous share price catalysts on the horizon

Aspire has two key assets in Mongolia, the wholly-owned Ovoot Coking Coal Project and a 90% stake in the Nuurstei Coking Coal Project.

Ovoot is a world-class asset containing 255 million tonnes of coal reserves which makes it the second largest coking coal project by reserves in Mongolia.

The reserve is largely from a single large open pit mine and supports a 21-year mine life producing up to 10 million tonnes per annum of ‘fat' coking coal.

This is sought after in the Chinese market due to its blend carrying characteristics and the ability to improve coke quality when blended with lower quality coking coals.

READ: Aspire Mining welcomes growing support for rail for its coal mine

Aspire stands to gain from the growing support for the Erdenet to Ovoot Railway from both within Mongolia and the Tuva Republic in the Russian Federation.

The Erdenet to Ovoot Railway extends 549 kilometres between the town of Erdenet and Aspire’s Ovoot Coking Coal Project, both in Mongolia.

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Wed, 30 May 2018 14:49:00 +1000 https://www.proactiveinvestors.com.au/companies/news/197883/aspire-mining-major-shareholder-purchases-more-stock-on-market-197883.html
<![CDATA[News - Aspire Mining welcomes growing support for rail for its coal mine ]]> https://www.proactiveinvestors.com.au/companies/news/197323/aspire-mining-welcomes-growing-support-for-rail-for-its-coal-mine-197323.html Aspire Mining Ltd (ASX:AKM) stands to gain from the growing support for the Erdenet to Ovoot Railway from both within Mongolia and the Tuva Republic in the Russian Federation.

The Erdenet to Ovoot Railway extends 549 kilometres between the town of Erdenet and Aspire’s Ovoot Coking Coal Project, both in Mongolia.

It forms part of the proposed Northern Rail Corridor which extends across northern Mongolia into southern Russia.

READ: Aspire Mining is one of the most traded stocks on the ASX today

Northern Railways LLC, a wholly-owned subsidiary of Aspire, received a senior delegation from the Tuva Republic during their official visit to Mongolia last week.

MoU signed supporting continued cooperation

As part of the visit, a memorandum of understanding (MoU) was signed with Northern Railways.

The MoU supports continued cooperation on seeing the rail corridor completed to Kyzyl and to support transit freight volumes.

The Northern Rail Corridor is an important part of the Tuva Republic’s economic development plan.

Tuva’s Deputy Chairman of Government said in an interview that the Russian Government is interested in the implementation of the Erdenet to Ovoot Railway Project which will boost trade and economic development between Russia and Mongolia. 

Further provincial support from Mongolia

During a recent Citizens’ Representative Council meeting in Khuvsgul Province where both Aspire’s Nuurstei and Ovoot Coking Coal Projects are located, the council reiterated its support for the Erdenet to Ovoot Railway.

In a following TV interview, the Governor of Khuvsgul emphasised the need for resource projects to fund needed infrastructure in the region and the rail benefits to the local community.

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Mon, 21 May 2018 09:49:00 +1000 https://www.proactiveinvestors.com.au/companies/news/197323/aspire-mining-welcomes-growing-support-for-rail-for-its-coal-mine-197323.html
<![CDATA[News - Aspire Mining is one of the most traded stocks on the ASX today ]]> https://www.proactiveinvestors.com.au/companies/news/196789/aspire-mining-is-one-of-the-most-traded-stocks-on-the-asx-today-196789.html Aspire Mining Ltd (ASX:AKM) is one of the most traded stocks today on the ASX by share volume.

Just after the midday, over 44 million shares in the company had exchanged hands on the ASX.

Shares in the company were also trading up 12.5% to 1.8 cents.

READ: Aspire Mining receives speeding ticket from ASX after shares surge 25% under high volumes

During late-April, the company received an ASX price and volume query after its shares surged as much as 25% in one day.

The company’s principal activities are the development of two coal projects in Mongolia.


Aspire has two key assets in Mongolia, the wholly-owned Ovoot Coking Coal Project and a 90% stake in the Nuurstei Coking Coal Project.

READ: Aspire Mining has numerous share price catalysts on the horizon

Ovoot is a world-class asset containing 255 million tonnes of coal reserves which makes it the second largest coking coal project by reserves in Mongolia.

The reserve is largely from a single large open pit mine and supports a 21-year mine life producing up to 10 million tonnes per annum of ‘fat' coking coal.

Nuurstei is a smaller nearer-term project targeting first production by the first quarter of 2019.

Following a large rights issue in December, drilling and a feasibility study should be completed on the Nuurstei project by mid-year.

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Fri, 11 May 2018 12:55:00 +1000 https://www.proactiveinvestors.com.au/companies/news/196789/aspire-mining-is-one-of-the-most-traded-stocks-on-the-asx-today-196789.html
<![CDATA[News - Aspire Mining receives speeding ticket from ASX after shares surge 25% under high volumes ]]> https://www.proactiveinvestors.com.au/companies/news/195605/aspire-mining-receives-speeding-ticket-from-asx-after-shares-surge-25-under-high-volumes-195605.html Aspire Mining Ltd’s (ASX:AKM) share price surged 25% on Monday under record volumes.

The company’s principal activities are the development of two coal projects in Mongolia.

In the absence of any news relating to those projects, the ASX has queried the share price spike.

High-volume trading

The ASX pointed to the intra-day high of 1.25 cents, up from the previous day’s close of 1 cent, implying a gain of 25%.

Drawing further attention to the group was the fact that more than 60 million shares were traded compared with average daily trading volumes of 2.5 million shares in March.

Aspire holds no explanation

Management said that it wasn’t aware of any information concerning it that had not been announced to the market.

Consequently, this could be a larger investor taking a sizeable position in the company ahead of some potentially market-moving upcoming milestones.

Aspire is preparing to bring the Nuurstei Coking Coal Project in Mongolia's north into production following the completion of a feasibility study.

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Tue, 24 Apr 2018 08:35:00 +1000 https://www.proactiveinvestors.com.au/companies/news/195605/aspire-mining-receives-speeding-ticket-from-asx-after-shares-surge-25-under-high-volumes-195605.html
<![CDATA[Media files - Aspire Mining on track with railway to exploit major Mongolian coking coal project ]]> https://www.proactiveinvestors.com.au/companies/stocktube/9117/aspire-mining-on-track-with-railway-to-exploit-major-mongolian-coking-coal-project-9117.html Fri, 20 Apr 2018 19:51:00 +1000 https://www.proactiveinvestors.com.au/companies/stocktube/9117/aspire-mining-on-track-with-railway-to-exploit-major-mongolian-coking-coal-project-9117.html <![CDATA[News - Aspire Mining has numerous share price catalysts on the horizon ]]> https://www.proactiveinvestors.com.au/companies/news/195198/aspire-mining-has-numerous-share-price-catalysts-on-the-horizon-195198.html Aspire Mining Ltd (ASX:AKM) has two key assets in Mongolia, the wholly-owned Ovoot Coking Coal Project and a 90% stake in the Nuurstei Coking Coal Project.

Ovoot is a world-class asset containing 255 million tonnes of coal reserves which makes it the second largest coking coal project by reserves in Mongolia.

The reserve is largely from a single large open pit mine and supports a 21-year mine life producing up to 10 million tonnes per annum of ‘fat' coking coal.

This is sought after in the Chinese market due to its blend carrying characteristics and the ability to improve coke quality when blended with lower quality coking coals.

Making progress with rail project

The commencement of production from Ovoot is planned to align with the commissioning of the Erdenet to Ovoot Railway.

Aspire only announced last week that it had entered into a new memorandum of understanding (MoU) with China Gezhouba Group International Engineering Co Ltd.

READ: Aspire Mining enters new MoU to progress railway for coal project

The Erdenet to Ovoot Railway extends 549 kilometres between the town of Erdenet and Aspire’s Ovoot Coking Coal Project, both in northern Mongolia, and forms part of the proposed Northern Rail Corridor.

The Erdenet to Ovoot Railway is part of the proposed Northern Rail Corridor.

Having delivered the draft Erdenet to Ovoot rail feasibility study in March 2018, the relevant parties are working quickly to finalise the feasibility study by May 2018.

Potential to ramp-up Ovoot to 10 million tonnes per annum

Examining Ovoot’s production profile, the expectation from the completion of two feasibility studies is that the project will initially produce 5 million tonnes per annum.

A high-quality coal is anticipated, which will be loaded directly onto rail for delivery to markets including China, Russia, Eastern Europe and North Asian countries.

As demand increases, Aspire believes it could ramp up production to 10 million tonnes per annum.

Asset valuations the near-term price driver

While developments regarding infrastructure are important from a longer-term perspective, the most likely near-term share price catalysts lie in the company’s ability to place a value on its assets.

This brings the Nuurstei project under the spotlight as management is targeting first production by the first quarter of 2019.

While Ovoot is potentially a large-scale, long-life project, it will take some time to bring into production.

Consequently, in focusing on near-term value drivers at Aspire, Proactive Investors puts the Nuurstei project under the microscope and assesses imminent share price catalysts.

Plans to upgrade and extend resource

As a backdrop, in August 2017 Aspire exercised its option to acquire a further 45% interest in the Nuurstei project, taking its total interest to 90%.

Nuurstei is being evaluated as a near-term mine development, producing a washed hard coking coal.

The project is about 10 kilometres from the Khuvsgul provincial capital of Moron which has recently been connected to the nearest railhead at Erdenet by a sealed road.

Nuurstei is around 160 kilometres east of the Ovoot project.

In October 2017, the company received a mining licence covering the Nuurstei resource area.

Previous drilling had identified a modest indicated resource of 4.7 million tonnes with 8.1 million tonnes in the inferred category.

A 2018 drilling program has been designed to upgrade and extend the resource base.

It is anticipated that this would support a mine development based on supplying a 1-million tonnes per annum on-site wash plant.

Healthy margins at US$200 per tonne CFR

Preliminary internal cost assessments, which are the subject of confirmation in the feasibility study, point to healthy margins at current pricing which is in the vicinity of US$200 per tonne CFR.

This implies that Aspire as the seller would be absorbing the cost of transport.

Aspire managing director David Paull said: “The market for coking coal remains robust with historically healthy pricing of hard coking coals of the quality that we expect Nuurstei can produce.”

Conceptual mining study indicates positive economic metrics

The key takeaway with Nuurstei is that a conceptual mining study of a near-surface mining area focused on the indicated resource has delivered positive economic metrics.

The study concluded that there was the potential for the Nuurstei project to become a competitive cost near-term producer of coking coal.

This is based on trucking coal 420 kilometres to the nearest railhead at Erdenet, and adopting the strategy of focusing on near-surface mineralisation drives down costs.

Nuurstei not reliant on big-ticket infrastructure projects

Unlike Ovoot, Nuurstei isn’t reliant on a major infrastructure project to be completed, a development that is capital intensive and time-consuming.

That said, costs would reduce significantly once coal from Nuurstei could be transported via the Erdenet to Ovoot Railway.

The Northern Rail Corridor also forms part of China's One Bel One Road initiative.

In the interim though, from a group perspective, Nuurstei would provide valuable cash flow to assist in perhaps expanding its production and/or developing Ovoot.

Share price catalysts leading up to production

There are a number of catalysts that could ignite Aspire’s share price prior to coming into production.

Management expects to have a feasibility study completed by the end of the June quarter of 2018 which will provide a significant insight into the project’s economic viability.

It will also provide investors with a reasonable indication of a likely timeline in terms of moving to production, often the most significant share price catalyst for any mining project.

Drill results and offtake agreements

Other key catalysts are the exploration program being undertaken by Aspire and the outcome of discussions with potential offtake customers in Korea and China.

A 58-hole, 10,000-metre infill and resource extension drilling campaign is targeting shallow open pit mineralisation.

READ: Aspire Mining commences resource conversion drilling ahead of feasibility study

The main objective is to convert a proportion of the inferred resource into the indicated category through additional sampling and for proximate and coal washability analysis.

100,000-tonne mining contract will be a test case

A mining contract has been let to a Mongolian contractor, PSST LLC, to mine 100,000 tonnes of raw coal from a mine adjacent to the Nuurstei mining licence.

This coal will be used by Aspire to test logistics and cost assumptions to be used in the Nuurstei project feasibility study.

Transport of this raw coal is along the existing road and rail facilities for delivery to export markets in China and potentially seaborne markets through Russian rail and ports.

Washable coking coal simulations

At this stage, management is assessing the potential to establish a 1 million tonnes per annum wash plant at Nuurstei, a system that will be employed by PSST LLC.

The coal seams being mined are extensions of the seams in the Nuurstei project and will also be used to provide washed coking coal simulations.

Commercial trial quantities will be used for marketing purposes through toll washing in China.

To assist with logistical operations for the trial, a weighbridge and mobile ash analyser have been acquired.

Along with the current infill drilling program and feasibility study, developments regarding the wash plant viability and associated funding could move the share price. 

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Wed, 18 Apr 2018 08:00:00 +1000 https://www.proactiveinvestors.com.au/companies/news/195198/aspire-mining-has-numerous-share-price-catalysts-on-the-horizon-195198.html
<![CDATA[News - Aspire Mining enters new MoU to progress railway for coal project ]]> https://www.proactiveinvestors.com.au/companies/news/194896/aspire-mining-enters-new-mou-to-progress-railway-for-coal-project-194896.html Aspire Mining Ltd (ASX:AKM) has entered into a new memorandum of understanding (MoU) with China Gezhouba Group International Engineering Co Ltd (CGGC).

The Erdenet to Ovoot Railway extends 549 kilometres between the town of Erdenet and Aspire’s Ovoot Coking Coal Project, both in Mongolia.

Having delivered the draft Erdenet to Ovoot rail feasibility study in March 2018, CGGC and Northern Railways have agreed to work quickly to finalise the feasibility study within May 2018.

The rail feasibility is a key document for targeting project financing.

READ: Aspire Mining receives draft study that confirms financial viability of Mongolian rail route

CGGC will look to fund the remaining Erdenet to Ovoot Rail concession agreement pre-development work as per the previous October 2017 MoU.

However, this will be subject to receiving a guarantee that the connecting rail line will have sufficient capacity to carry the additional freight once connected.

Also, that there be sufficient time to complete the remaining pre-development work and conditions precedent pursuant to the rail concession agreement.

Northern Rail will enter into an EPC contract with CGGC in November 2018 subject to construction funding being available.

Mongolian prime minister’s visit

The new MoU was signed as part of the Mongolian prime minister’s official visit to China.

This was an important official visit being the first for the current Mongolian prime minister, Ukhnaa Khuretsukh.

In August 2015, Northern Railways was granted an exclusive 30 years concession by the Mongolian government to build and operate the Erdenet to Ovoot Railway.

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Fri, 13 Apr 2018 09:07:00 +1000 https://www.proactiveinvestors.com.au/companies/news/194896/aspire-mining-enters-new-mou-to-progress-railway-for-coal-project-194896.html
<![CDATA[News - Aspire Mining appoints experienced corporate executive to its board ]]> https://www.proactiveinvestors.com.au/companies/news/194679/aspire-mining-appoints-experienced-corporate-executive-to-its-board-194679.html Aspire Mining Ltd (ASX:AKM) has appointed experienced corporate executive Alex Passmore as a non-executive director.

This fills a vacancy on the board of the Mongolian focused coal company caused by the recent retirement of long-serving non-executive chair David McSweeney.

READ: Aspire Mining chairman retires after eight years of service

Passmore will bring to Aspire’s board the benefits of a strong financial and technical background in the resource sector.

Aspire’s managing director David Paull said: “We welcome Alex to the board.

"With his extensive experience and knowledge of the resources industry and landscape, we are delighted that he has joined the board.”

Equity capital markets experience

Passmore has held technical roles in the mining industry and then senior positions in the institutional debt financing and equity capital market arenas.

More recently he has assumed executive positions with listed resource companies.

READ: Aspire Mining sends bulk Nuurstei coal sample for coke oven testing

Aspire will undertake a 58-hole drilling program at its near-term production asset, the Nuurstei Coking Coal Project in Mongolia.

The company is engaging the local community in additional consultation regarding the drilling and other project plans.

The drilling program aims to upgrade the JORC resource of 4.7 million tonnes of indicated resources and 8.1 million tonnes of inferred resources.

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Wed, 11 Apr 2018 08:24:00 +1000 https://www.proactiveinvestors.com.au/companies/news/194679/aspire-mining-appoints-experienced-corporate-executive-to-its-board-194679.html
<![CDATA[News - Aspire Mining sends bulk Nuurstei coal sample for coke oven testing ]]> https://www.proactiveinvestors.com.au/companies/news/193586/aspire-mining-sends-bulk-nuurstei-coal-sample-for-coke-oven-testing-193586.html Aspire Mining Ltd (ASX:AKM) is advancing a feasibility study for the Nuurstei Coking Coal Project in northern Mongolia with a bulk sample sent for coke oven testing.

An indicative sample taken from the project is on its way to Australia for comprehensive tests in a coke oven.

The tests are another step in the feasibility study for the project, in which Aspire holds 90%.

READ: Aspire Mining attracts $16.5 million to advance coking coal project in Mongolia

Aspire aims to begin a road-based operation at Nuurstei and then access the new Erdenet to Ovoot Railway two years later.

The proximity of Nuurstei to existing infrastructure provides Aspire with an opportunity to assess a road-based operation before construction of the rail line is complete.

Drilling program is delayed

An infill drilling program at Nuurstei has been temporarily delayed while the company engages in additional consultation with the local community.

The 58-hole program is aimed at converting a proportion of the JORC inferred resource inventory into an indicated resource.

Nuurstei has 4.7 million tonnes of indicated resources and 8.1 million tonnes of inferred resources.

READ: Aspire Mining commences resource conversion drilling ahead of feasibility study

Drilling is also aimed at extending the resource base to support a mine development based on supplying a 1 million tonnes per annum wash plant on site.

Managing director David Paull said: “The market for coking coal remains robust with historically healthy pricing of hard coking coals of the quality that we expect Nuurstei can produce.”

Depending on results of the 2018 drilling program, future positive economic studies, funding and granting of approvals and licences, a road-based operation could commence by 2019.

Contract at adjacent operation

Aspire has also entered a contract to buy 100,000 tonnes of raw coal from a mine adjacent to Nuurstei.

This coal is being mined by Aspire on behalf of the owner to provide commercial samples and confirm logistics paths and costs for the feasibility study.

The coal seams being mined are extensions of the seams in the Nuurstei project.

They will also be used to provide washed coking coal simulations and commercial trial quantities for marketing purposes through toll washing in China.

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Thu, 22 Mar 2018 09:55:00 +1100 https://www.proactiveinvestors.com.au/companies/news/193586/aspire-mining-sends-bulk-nuurstei-coal-sample-for-coke-oven-testing-193586.html
<![CDATA[News - Aspire Mining receives draft study that confirms financial viability of Mongolian rail route ]]> https://www.proactiveinvestors.com.au/companies/news/193584/aspire-mining-receives-draft-study-that-confirms-financial-viability-of-mongolian-rail-route-193584.html Aspire Mining Ltd’s (ASX:AKM) rail subsidiary Northern Railways LLC has received a draft feasibility study which confirms the financial viability of the Erdenet to Ovoot Railway in Mongolia.

The comprehensive draft was delivered by China Gezhouba Group International Ltd (CGGC) and Northern Railways has started reviewing and assessing the document.

Costs comparable to first study

After a preliminary review of the draft, Northern Railways has identified that costs of construction are comparable to the first stage feasibility study completed in January 2017.

CGGC continues to engage with a range of debt and equity providers interested in funding the project.

READ: Aspire Mining rail partners seek future freight capacity guarantees

These funding sources are conditional on completing outstanding conditions of the rail concession agreement, including a capacity guarantee on the Trans Mongolian Railway.

This section of rail is the first stage of the proposed Northern Rail Corridor linking Erdenet to Kyzyl in Russia.

CGGC a nominated EPC contractor

The rail concession agreement for the Erdenet to Ovoot section was recently amended to include CGGC as a nominated EPC contractor for the project.

All participants in the agreement, including the Mongolian Government, agreed to the amendment.

The combination of CGGC and the China Railway Construction Corp subsidiaries involved in the project provides a strong technical, operational and financially powerful alliance.

These subsidiaries are China First Survey & Design Institute Group Co Ltd and China Railway 20 Group Bureau Corporation, which is the other joint EPC contractor.

READ: Aspire Mining's revised rail consortium brings technical and financial benefits for Ovoot

The Northern Rail Corridor has attracted a high level of interest in China, partly owing to its implications in that country’s New Silk Road initiative to improve Euro-Asian trade.

The Northern Rail Corridor would form part of China’s New Silk Road initiative.

As such, China Development Bank and Silk Road Fund along with other potential investors have expressed some funding interest.

Russian design agreement

Northern Railways recently entered into an agreement with Russian design institute Mosgiprotrans to jointly prepare a preliminary economic assessment (PEA) for the next section of the Northern route.

This section will potentially extend from Ovoot to Arts Suuri at the Russian border and onto the city of Kyzyl in Russia.

Northern Railways will work with a Mongolian design institute to complete the PEA for the Mongolian section.

This PEA will then be jointly presented to Chinese funding institutions, including the Asian Infrastructure Investment Bank to seek funding for a feasibility study.

The agreement with Mosgiprotrans is evidence of the Russian support for the Northern Rail Corridor.

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Thu, 22 Mar 2018 09:00:00 +1100 https://www.proactiveinvestors.com.au/companies/news/193584/aspire-mining-receives-draft-study-that-confirms-financial-viability-of-mongolian-rail-route-193584.html
<![CDATA[News - Aspire Mining chairman retires after eight years of service ]]> https://www.proactiveinvestors.com.au/companies/news/193427/aspire-mining-chairman-retires-after-eight-years-of-service-193427.html Aspire Mining Ltd (ASX:AKM) non-executive chairman David McSweeney has retired from the board of directors.

McSweeney was appointed to the board in February 2010 with the acquisition of the Ovoot Coking Coal Project in Mongolia.

He has overseen the achievement of many milestones in his tenure.

David Paull to assume chairman role while replacement is identified

Aspire’s managing director David Paull said: “All at Aspire thank David for his invaluable counsel and contribution over his 8 years with us.

“Having recently completed the $16.5 million capital raising in December 2017, David has left the company is in an excellent position to pursue its objectives going forward.”

Paull will assume the executive chairman role on a temporary basis until a suitably qualified and experienced candidate is identified.

READ: Aspire Mining commences resource conversion drilling ahead of feasibility study

Aspire recently commenced a drilling program at its near-term production asset, the Nuuersti Coking Coal Project in Mongolia.

The drilling program aims to upgrade the JORC resource.

This will assist with the financing of an exploration program and feasibility study as it aims to bring Nuuersti into production by 2019.

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Tue, 20 Mar 2018 11:53:00 +1100 https://www.proactiveinvestors.com.au/companies/news/193427/aspire-mining-chairman-retires-after-eight-years-of-service-193427.html
<![CDATA[News - Aspire Mining commences resource conversion drilling ahead of feasibility study ]]> https://www.proactiveinvestors.com.au/companies/news/193192/aspire-mining-commences-resource-conversion-drilling-ahead-of-feasibility-study-193192.html Aspire Mining Ltd (ASX:AKM) has just embarked on its drilling program at the Nuuersti Coking Coal Project in Mongolia as it aims to upgrade the resource.

The company is cashed up following a capital raising in 2018.

This will assist with the financing of an exploration program and feasibility study as it aims to bring Nuuersti into production by 2019.

READ: Aspire Mining attracts $16.5 million to advance coking coal project in Mongolia

The company has mobilised rigs in preparation for the drilling of 58 holes.

Conversion of inferred resource to indicated category

The immediate aim is to convert a proportion of the JORC inferred resource inventory into and indicated resource through additional sampling.

As the company approaches the feasibility stage, it is drawing closer to production.

David Paull, managing director, said: “The market for coking coal remains robust with historically healthy pricing of hard coking coals of the quality that we expect Nuurstei can produce.”

Testing logistics and cost assumptions

Aspire will also mine the 100,000 tonnes of raw coal from the deposit adjacent to the Nuurstei Project mining licence.

This will provide the company with the information required to test logistics and cost assumptions that will be used in the Nuurstei feasibility study.

Transport of the raw coal is along the existing road and rail facilities for delivery to export markets in China and potential seaborne markets via the Russian rail and port system.

Coal seams are extensions to Nuurstei

The coal seams being mined in the adjacent area are extensions of the coal seams in the Nuurstei Project.

They will also be used to provide washed coking coal simulations and commercial trial quantities for marketing purposes through toll washing in China.

The Nuurstei Project development is subject to the outcomes of the current infill drilling programme, feasibility study and wash plant funding.

However, management noted that preliminary internal cost assessments which are the subject of confirmation in the feasibility study point to healthy margins at current pricing.

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Thu, 15 Mar 2018 09:17:00 +1100 https://www.proactiveinvestors.com.au/companies/news/193192/aspire-mining-commences-resource-conversion-drilling-ahead-of-feasibility-study-193192.html
<![CDATA[News - Aspire Mining rail partners seek future freight capacity guarantees ]]> https://www.proactiveinvestors.com.au/companies/news/191739/aspire-mining-rail-partners-seek-future-freight-capacity-guarantees-191739.html Aspire Mining Ltd (ASX:AKM) and its investment partner in the Erdenet to Ovoot Rail Project in Mongolia will extend the option period for an investment agreement in order to confirm future rail capacity guarantees.

China Gezhouba Group Corporation International Ltd (CGGC) has agreed with Aspire and its rail subsidiary Northern Railways LLC to extend the option for three months to 15 May 2018.

The future capacity guarantees are being sought for freight from Northern Railways south along the Trans Mongolian Railway.

READ: Aspire Mining's revised rail consortium brings technical and financial benefits for Ovoot

CGGC has confirmed that the guarantees are the only outstanding documentation required for approval of its investment into the project.

A binding MOU was signed in October 2017 providing for CGGC to complete the final feasibility study for the rail project.

CGGC was also given the opportunity to earn a 51% shareholding in Northern Railways by funding it to complete the other conditions of the concession agreement with a decision to be made by 15 February 2018.

Ulaanbaatar Railways JSC has confirmed that Northern Railways' freight demand along the Trans Mongolian Railway has been included in its forward capacity planning.

The extension will allow the partners to discuss with other stakeholders the securing of future commitments to carry freight.

Feasibility study completion brought forward

CGGC has also confirmed that the feasibility study, which was due to be delivered on or before 31 March 2018, is now expected to be submitted by the end of February.

Completion of the study is a key condition in the concession agreement and will allow for more advanced funding discussions with potential investors, including China Development Bank.

READ: Aspire Mining attracts $16.5 million to advance coking coal project in Mongolia

Aspire also has the Nuurstei and Ovoot coking coal projects, which will benefit from the Erdenet to Ovoot Rail Project and the eventual Northern Rail Corridor through northern Mongolia to Russia.

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Fri, 16 Feb 2018 08:55:00 +1100 https://www.proactiveinvestors.com.au/companies/news/191739/aspire-mining-rail-partners-seek-future-freight-capacity-guarantees-191739.html
<![CDATA[News - Aspire Mining's revised rail consortium brings technical and financial benefits for Ovoot ]]> https://www.proactiveinvestors.com.au/companies/news/190945/aspire-mining-s-revised-rail-consortium-brings-technical-and-financial-benefits-for-ovoot-190945.html Aspire Mining Ltd’s (ASX:AKM) revised framework agreement for the construction of the railway servicing its Ovoot Coking Coal Project in Mongolia will have a positive impact.

The Northern Railway’s Erdenet to Ovoot Railway Consortium Agreement has been amended to include China Gezhouba Group International Engineering Co Ltd (CGGC).

CGGC will be the nominated joint EPC contractor for the rail project, and in combination with the China Railway Construction Corp subsidiaries it will provide technical and operational expertise.

CGGC to assist in funding

There will also be financial benefits as the group will support Northern Railways LLC in sourcing debt and equity funding for construction of the railway project.

Aspire Mining has mining and exploration licences in Mongolia’s northern provinces and is focused on identifying, exploring and developing quality coking coal assets.

This progress comes on the back of the company appointing Neil Wilson, who has had substantial experience in Mongolian coal operations, as project manager.

READ: Aspire Mining makes key appointment on coking coal production path Railway crucial in terms of bringing product to market

Ovoot is its flagship project which is projected to initially produce 5 million tonnes per annum of saleable high-quality coking coal.

Based on the Ovoot Development Plan this will be loaded directly onto rail for delivery to markets including China, Russia, Eastern Europe and countries in northern Asia.

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Thu, 01 Feb 2018 09:40:00 +1100 https://www.proactiveinvestors.com.au/companies/news/190945/aspire-mining-s-revised-rail-consortium-brings-technical-and-financial-benefits-for-ovoot-190945.html
<![CDATA[News - Aspire Mining makes key appointment on coking coal production path ]]> https://www.proactiveinvestors.com.au/companies/news/190271/aspire-mining-makes-key-appointment-on-coking-coal-production-path-190271.html Aspire Mining Ltd (ASX:AKM) has made a key operational appointment as it aims to begin producing coking coal from its 90%-owned Nuurstei project in northern Mongolia within 18 months.

Neil Wilson, who has experience in Mongolian coal operations, has been appointed project manager.

The role will involve managing an upcoming drilling and sampling program, the mining and delivery of raw coal purchases, and completion of a feasibility study.

He will also be involved in future mine construction and operation.

READ: Aspire Mining attracts $16.5 million to advance coking coal project in Mongolia

Wilson has had a long international history in the mining industry with five years of experience in Mongolia.

This included three years as mining director for Macmahon Mongolia running the Tavan Tolgoi coal operations on behalf of the Mongolian Government.

David Paull, managing director, said: “The development of the Nuurstei Coking Coal Project is a key strategy for the company in 2018.

“The funding from the recently completed rights issue places the company in a good position for what promises to be a busy 2018.”

Drilling and support services contract

Aspire has signed a drilling and support services contract with Ferrostaal Mining Services.

Ferrostaal will provide a full suite of project development services to enable Aspire to quickly and efficiently complete the project feasibility study.

Access and water permits are being prepared with Ferrostaal mobilisation to occur immediately after.

This company is a Mongolian/German joint venture headed by Julien Lawrence, formerly chief operating officer for TerraCom Limited in Mongolia.

A reserve statement will be completed

Aspire will also appoint RPM Global to provide technical advisory services, including JORC 2012 compliance oversight for the drilling and sampling program.

It will also provide a resource model including 2018 drilling program results, will update resources and complete a reserve statement.

Nuurstei has an indicated resource of 4.75 million tonnes and an inferred resource of 8.1 million tonnes.

Raw coal purchase

Aspire has agreed to purchase 100,000 tonnes of raw coal from the Mongolian Government agency which owns and operates a mine adjacent to Nuurstei.

This mine is producing small quantities of raw coal for local thermal uses.

The purchase price has been set at a cost plus margin basis with mining being undertaken by a contractor under Aspire supervision.

Aspire will also ensure that 16,000 tonnes of thermal coal will be provided to the agency so as it can meet local sales commitments.

It is estimated that it will take six months to mine this raw coal.

Testing logistics and cost assumptions

This strategy has been adopted to test logistics and cost assumptions to be used in the Nuurstei feasibility study by transporting this coal along existing road and rail facilities for delivery to export markets in China.

The raw coal for mining occurs as extensions of Nuurstei coal seams.

It will also be used to provide washed coking coal simulations and commercial trial quantities for marketing purposes through toll washing in China.

Mining licence received

In October 2017 the company received a mining licence covering 860.91 hectares of the Nuurstei project and providing Aspire with a minimum 30 year tenure over the area.

Nuurstei is viewed as a low capital cost starter project which could assist with development of Aspire’s much larger Ovoot Coking Coal Project 160 kilometres to the west.

READ: Aspire Mining's David Paull talked railway to production at Proactive's CEO Sessions

Full realisation of the Ovoot project is dependent on construction of the Erdenet to Ovoot Railway which is being progressed by Aspire subsidiary Northern Railways LLC.

It is intended to use road-based infrastructure for Nuurstei until such time as the Erdenet to Ovoot section of the proposed Northern Rail Corridor is built.

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Fri, 19 Jan 2018 10:10:00 +1100 https://www.proactiveinvestors.com.au/companies/news/190271/aspire-mining-makes-key-appointment-on-coking-coal-production-path-190271.html
<![CDATA[News - Aspire Mining’s major shareholder Noble Group increases stake ]]> https://www.proactiveinvestors.com.au/companies/news/188826/aspire-minings-major-shareholder-noble-group-increases-stake-188826.html Aspire Mining Ltd (ASX:AKM) has revealed major shareholder, Noble Group Limited (SGX:CGP), has increased its stake in the company to 19.9%.

Noble increased its stake from 18.2% as a result of the issue of shares in the recent rights issue.

READ: Aspire Mining attracts $16.5 million to advance coking coal project in Mongolia

Aspire recently successfully completed its fully underwritten $16.5 million pro-rata renounceable entitlement offer at an issue price of $0.012 per share.

The funds will be used to expedite development of Aspire’s 90% owned Nuurstei Coking Coal Project in Mongolia.

Aspire aims to take the project into production within 18 months.

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Fri, 15 Dec 2017 08:06:00 +1100 https://www.proactiveinvestors.com.au/companies/news/188826/aspire-minings-major-shareholder-noble-group-increases-stake-188826.html
<![CDATA[News - Aspire Mining attracts $16.5 million to advance coking coal project in Mongolia ]]> https://www.proactiveinvestors.com.au/companies/news/188692/aspire-mining-attracts-165-million-to-advance-coking-coal-project-in-mongolia-188692.html Aspire Mining Ltd (ASX:AKM) has successfully completed its fully underwritten $16.5 million pro-rata renounceable entitlement offer at an issue price of $0.012 per share.

The funds will be used to expedite development of Aspire’s 90% owned Nuurstei Coking Coal Project in Mongolia.

READ: Aspire Mining's David Paull talked railway to production at Proactive's CEO Sessions

Aspire aims to take the project into production within 18 months.

The company is now planning to undertake a drilling and exploration program at the Nuurstei project.

Rights issue details

Eligible shareholders had the opportunity to subscribe for six new shares for every five shares held at an issue price of $0.012 each.

The rights issue was fully underwritten by Patersons Securities Limited and sub-underwritten by the company’s major shareholder Noble Group (SGX:CGP).

Noble subscribed for the full amount of its entitlement (circa $2.97 million) and took up a further amount of $0.59 million on a priority sub-underwriting basis.

This takes Noble’s voting power in the company to 19.9% on an undiluted basis.

Drilling and exploration program commencing

Aspire has planned a $2 million drilling and exploration program at the Nuurstei Coking Coal Project.

The program aims to increase current resources and establish an ore reserve, which will then lead to a new resource model planned to be completed in the first quarter of 2018.

Capital costs for the development of Nuurstei have been further refined, with the current estimate of US$13 to US$14 million to be confirmed in the feasibility study process.

The end objective of these studies is to confirm an economically viable mining operation commencing within an estimated 18 month period.

READ: Aspire Mining rights issue to unlock coking coal production

David Paull, managing director, said: “Further to our announcement on Tuesday 5 December, we are pleased to have successfully raised the full amount of $16.5 million from the fully underwritten rights issue.

“The underwriting was supported by a strong panel of institutional sub-underwriters seeking to position themselves as shareholders and we welcome them in that capacity.

“Our focus is now squarely on confirming the feasibility and commencing the development of the Nuurstei Coking Coal Project.”

Debt reduction on track

Aspire intends to pay $0.19 million of the funds raised under the rights issue to Noble which, when combined with Noble’s participation in the rights issue, will result in a total reduction of $3.75 million in the amount owing to Noble.

This completes the first of a further series of transactions designed to reduce the existing US$6.65 million debt owing under the Noble Facility to US$1.8 million.

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Wed, 13 Dec 2017 11:27:00 +1100 https://www.proactiveinvestors.com.au/companies/news/188692/aspire-mining-attracts-165-million-to-advance-coking-coal-project-in-mongolia-188692.html
<![CDATA[News - Aspire Mining closes rights issue to support development of Nuurstei coal mine ]]> https://www.proactiveinvestors.com.au/companies/news/188315/aspire-mining-closes-rights-issue-to-support-development-of-nuurstei-coal-mine-188315.html Aspire Mining Ltd (ASX:AKM) has closed its 6:5 renounceable rights issue which will raise up to $16.5 million.

The funds will be used to expedite development of Aspire’s 90% owned Nuurstei Coking Coal Project in Mongolia.

The company aims to take the project into production within 18 months.

There was a shortfall in take up of the offer by eligible shareholders.

The rights issue is fully underwritten by the company’s major shareholder Noble Group (SGX:CGP).

READ: Aspire Mining rights issue to unlock coking coal production

Allocation of the shortfall will be made in consultation with the underwriter.

All new securities under the offer are expected to be issued on 11 December 2017.

Normal trading is expected to commence on 12 December 2017.

Board members support rights issue

Aspire’s board members agreed to take up entitlements to a combined total minimum of A$500,000.

The company now plans to undertake a drilling and exploration program at the Nuurstei project.

This aims to increase current resources and establish an ore reserve, which will lead to a new resource model planned to be complete in the first quarter of 2018.

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Wed, 06 Dec 2017 11:50:00 +1100 https://www.proactiveinvestors.com.au/companies/news/188315/aspire-mining-closes-rights-issue-to-support-development-of-nuurstei-coal-mine-188315.html
<![CDATA[News - Aspire Mining opens rights issue to fast-track coal mine development ]]> https://www.proactiveinvestors.com.au/companies/news/187493/aspire-mining-opens-rights-issue-to-fast-track-coal-mine-development-187493.html Aspire Mining (ASX:AKM) has today opened its 6:5 renounceable rights issue priced at $0.012 with a 1:4 attaching option to raise up to A$16.5 million.

Significantly, the rights issue is fully underwritten and the company’s major shareholder, Noble Group (SGX:CGP), has pre-committed to take up its entitlement in full. 

Funds raised are to be used to expedite development of Aspire’s 90% owned Nuurstei Coking Coal project in Mongolia with the aim of taking the project into production within 18 months.

The rights issue is scheduled to close at 5.00PM AEDT on Monday, 4 December 2017.

READ NOW: Aspire Mining's David Paull talked railway to production at Proactive's CEO Sessions READ NOW: Aspire Mining rights issue to unlock coking coal production ]]>
Mon, 20 Nov 2017 19:52:00 +1100 https://www.proactiveinvestors.com.au/companies/news/187493/aspire-mining-opens-rights-issue-to-fast-track-coal-mine-development-187493.html
<![CDATA[News - Aspire Mining's David Paull talked railway to production at Proactive's CEO Sessions ]]> https://www.proactiveinvestors.com.au/companies/news/187186/aspire-mining-s-david-paull-talked-railway-to-production-at-proactive-s-ceo-sessions-187186.html Aspire Mining Ltd's (ASX:AKM) managing director, David Paull, joined Proactive's CEO Sessions in Melbourne and Sydney this week.

Aspire is undertaking a transformational funding transaction allowing the company to pursue near-term coking coal production from Nuurstei in Mongolia.

Whilst Nuurstei can commence as a road based production operation, access to the proposed Erdenet to Ovoot Railway will reduce transport costs and unlock Aspire’s wholly-owned Ovoot Coking Coal Project.

Erdenet to Ovoot is 547 kilometres of rail that forms part of the Northern Rail Economic Corridor connecting China and Russia through Mongolia as part of China’s One Belt One Road Policy.

Aspire recently entered into a binding MOU to advance the rail project.

ACCESS THE FULL PRESENTATION HERE

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Fri, 17 Nov 2017 08:11:00 +1100 https://www.proactiveinvestors.com.au/companies/news/187186/aspire-mining-s-david-paull-talked-railway-to-production-at-proactive-s-ceo-sessions-187186.html
<![CDATA[News - Aspire Mining to discuss transformational funding at Proactive's CEO Sessions ]]> https://www.proactiveinvestors.com.au/companies/news/186894/aspire-mining-to-discuss-transformational-funding-at-proactive-s-ceo-sessions-186894.html Aspire Mining Ltd (ASX:AKM) is undertaking a transformation funding package which will be used to expedite development of the company's 90%-owned Nuurstei Coking Coal project in Mongolia.

The goal is to take the project into production within 18 months.

Significantly, Noble Group (SGX:CGP) has agreed to a series of transactions that will reduce the US$6.65 million owing under the Noble debt facility to US$1.8 million.

Find out more from David Paull at Proactive's CEO Sessions.

Click below to register by email

- Melbourne: Tuesday 14th November.
- Sydney: Wednesday 15th November. (Seats full, please email Pauline to place name on reserve list).
- Email Pauline here.
- Call office on (02) 9280 0700.

Presenter list

- Zelda Therapeutics (ASX:ZLD): Dr. Stewart Washer
- Thred Ltd (ASX:THD): Geoff Marshall
- De Grey Mining (ASX:DEG): Simon Lill
- Peninsula Energy (ASX:PEN): David Coyle
- Aspire Mining (ASX:AKM): David Paull

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Fri, 10 Nov 2017 10:15:00 +1100 https://www.proactiveinvestors.com.au/companies/news/186894/aspire-mining-to-discuss-transformational-funding-at-proactive-s-ceo-sessions-186894.html
<![CDATA[News - Aspire Mining rights issue to unlock coking coal production ]]> https://www.proactiveinvestors.com.au/companies/news/186706/aspire-mining-rights-issue-to-unlock-coking-coal-production-186706.html Aspire Mining (ASX:AKM) has proposed a 6:5 renounceable rights issue priced at $0.012 with a 1:4 attaching option to raise A$16.5 million.

Funds raised are to be used to expedite development of Aspire’s 90% owned Nuurstei Coking Coal project in Mongolia with the aim of taking the project into production within 18 months.

The rights issue is fully underwritten subject to the underwriter being satisfied with the upcoming prospectus to be issued.

Significantly, Noble Group (SGX:CGP) has agreed to a series of transactions that will reduce the US$6.65 million owing under the Noble debt facility to US$1.8 million.

The proposed $16.5 million raising, when combined with the debt reduction, will transform the company so that it can actively pursue a near-term production opportunity at Nuurstei.

Rights issue details

Each shareholder on the record date will have a right to acquire six shares for every five shares held at an issue price of $0.012.

For every four shares subscribed for, applicants will be entitled to one option exercisable at $0.018 expiring two years after the date of issue.

In a vote of confidence, Aspire’s board members have agreed to take up entitlements to a combined total minimum of A$500,000.

An indicative timetable for the process of the rights issue is as follows:

- 10 November: Prospectus lodged with ASIC and ASX;
- 14 November: Trading of rights commences;
- 15 November: Record date;
- 17 November: Despatch of notice of meeting to shareholders;
- 20 November: Opening date;
- 27 November: Trading of rights ends;
- 4 December: Offer closing date; and
- 11 December: Allotment of offer shares (including shortfall).

Restructure of Noble debt facility

In a show of support, major shareholder, Noble, has committed to take up its entitlement in full, and to sub-underwrite the rights issue to take its interest in Aspire to 19.9%.

Aspire currently has US$6.65 million owing under a loan facility with Noble that is due to be repaid on or before 17 August 2019.

In order to support Aspire’s recapitalisation and growth path, Noble has entered into a binding terms sheet reducing the amount owing to US$1.8 million through a series of transactions.

These transactions include:

- Noble’s participation and sub-underwriting of the rights issue;
- Noble agreeing to acquire an additional 10% equity interest in Northern Mongolian Railways Limited (NMRL) from Aspire; and
- Noble agreeing to acquire further equity in NMRL if required to maintain a 15% equity interest - or otherwise accept a prepayment of up to US$1 million in the form of Aspire shares.

The balance of US$1.8 million owing under that facility is to be repaid in instalments, with the first instalment of US$600,000 to be paid 6 months after the commencement of commercial production from the Nuurstei.

Next steps at Nuurstei Coking Coal Project

Subject to the successful completion of the rights issue, a proposed A$2 million drilling and exploration program is to be undertaken at the 90% owned Nuurstei Coking Coal Project.

The program aims to increase current resources and establish an Ore Reserve, which will then lead to a new resource model planned to be complete in the first quarter of 2018.

Capital costs for the development of Nuurstei have been further refined, with the current estimate of US$13 to US$14 million to be confirmed in the feasibility study process.

The end objective of these studies is to confirm an economically viable mining operation commencing within an estimated 18 month period.

Erdenet to Ovoot railway unlocks value

Whilst Nuurstei can commence as a road based production operation, access to the proposed Erdenet to Ovoot Railway will reduce transport costs and unlock Aspire’s 100% owned Ovoot Coking Coal Project.

Erdenet to Ovoot is 547 kilometres of rail that forms part of the Northern Rail Economic Corridor connecting China and Russia through Mongolia as part of China’s One Belt One Road Policy.

The Erdenet to Ovoot Railway is required for the development of Aspire’s 100% owned Ovoot Coking Coal Project, which is the second largest coking coal project by reserves in Mongolia.

Last month, Aspire entered into a binding MOU to advance the rail project.

READ NOW: Aspire Mining to complete bankable feasibility study for railway ]]>
Fri, 03 Nov 2017 16:09:00 +1100 https://www.proactiveinvestors.com.au/companies/news/186706/aspire-mining-rights-issue-to-unlock-coking-coal-production-186706.html
<![CDATA[News - Aspire Mining moves towards finalising raising to advance assets ]]> https://www.proactiveinvestors.com.au/companies/news/186525/aspire-mining-moves-towards-finalising-raising-to-advance-assets-186525.html Aspire Mining Ltd (ASX:AKM) has been granted additional time to finalise a capital raising by the ASX in the form of a voluntary suspension, which follows on from a two day trading halt.

Aspire expects to provide details before the commencement of trade on Thursday the 2nd November 2017.

The company remains focused on its coal assets in Mongolia, and advancing key infrastructure including railway.

READ NOW: Aspire Mining to complete bankable feasibility study for railway ]]>
Wed, 01 Nov 2017 09:44:00 +1100 https://www.proactiveinvestors.com.au/companies/news/186525/aspire-mining-moves-towards-finalising-raising-to-advance-assets-186525.html
<![CDATA[News - Aspire Mining to lift cash to advance Mongolian assets ]]> https://www.proactiveinvestors.com.au/companies/news/186372/aspire-mining-to-lift-cash-to-advance-mongolian-assets-186372.html Aspire Mining Ltd (ASX:AKM) remains focused on its coal assets in Mongolia, and advancing key infrastructure including railway.

Aspire has this morning been granted a trading halt by the ASX, pending details of a capital raising.

The halt will remain in place until the opening of trade on Wednesday 1st November 2017, or earlier if an announcement is made to the market.

READ NOW: Aspire Mining to complete bankable feasibility study for railway ]]>
Mon, 30 Oct 2017 09:41:00 +1100 https://www.proactiveinvestors.com.au/companies/news/186372/aspire-mining-to-lift-cash-to-advance-mongolian-assets-186372.html
<![CDATA[News - Aspire Mining to complete bankable feasibility study for railway ]]> https://www.proactiveinvestors.com.au/companies/news/185548/aspire-mining-to-complete-bankable-feasibility-study-for-railway-185548.html Aspire Mining (ASX:AKM) has entered into a binding memorandum of understanding (MOU) to advance the Erdenet to Ovoot Railway Project located in Mongolia.

The Erdenet to Ovoot Railway is required for the development of Aspire’s 100% owned Ovoot Coking Coal Project, which is the second largest coking coal project by reserves in Mongolia.

The MOU was signed with China Gezhouba Group International Company Limited (CGGC) and commits CGGC to completing the second stage of the bankable feasibility study.

David Paull, managing director, commented: “Aspire is very pleased to be able to add a very large and experienced sponsor for the Erdenet to Ovoot Railway Project.

“Being able to attract a large and significant engineering and construction company such as Gezhouba provides clear affirmation of the importance and role of the Ovoot to Erdenet Railway in fulfilling Mongolia’s potential to become a transit corridor for China-Europe Trade.”

MOU details

This MOU follows on from a June 2017 non-binding agreement between the parties to cooperate on developing the Erdenet to Ovoot Railway.

READ NOW: Aspire Mining enters agreement to advance railway

Under the current MOU, CGGC has agreed to complete the second and final stage of the Rail bankable feasibility study by 31 March 2018.

The MOU also sets out a pathway for the development of the Erdenet to Ovoot Railway Project as well as the potential extension of that project from Ovoot through to the Mongolian-Russian border.

Door is open for equity investment

The MOU also provides the framework by which CGGC can provide additional equity investment in Northern Railways, Aspire’s subsidiary.

The investment would be to fund the company through to meeting the outstanding conditions precedent for the Erdenet to Ovoot Rail Concession and for EPC funding.

Such an additional equity investment is proposed to be made on or before 15 February 2018.

Rail unlocks coking coal project

The Erdenet to Ovoot Railway is required for the development of Aspire’s 100% owned Ovoot Coking Coal Project.

Erdenet to Ovoot is 547 kilometres of rail that forms part of the Northern Rail Economic Corridor connecting China and Russia through Mongolia as part of China’s One Belt One Road Policy.

The more advanced this railway becomes the more value is realisable from Aspire’s 100% owned Ovoot Coking Coal Project.

While this longer-term project continues to progress, Aspire remains leveraged to nearer term coal production through its Nuurstei Coking Coal Project.

READ NOW: Aspire Mining receives landmark mining licence ]]>
Fri, 13 Oct 2017 14:58:00 +1100 https://www.proactiveinvestors.com.au/companies/news/185548/aspire-mining-to-complete-bankable-feasibility-study-for-railway-185548.html
<![CDATA[News - Aspire Mining receives landmark mining licence ]]> https://www.proactiveinvestors.com.au/companies/news/185217/aspire-mining-receives-landmark-mining-licence-185217.html Aspire Mining (ASX:AKM) has been granted and received a mining licence covering 860.9 hectares of its 90%-owned Nuurstei Coking Coal Project located in Mongolia.

The mining license provides Aspire with a minimum 30 year tenure over the licensed area.

Nuurstei is seen as a starter project for Aspire while it progresses the 100%-owned Ovoot Coking Coal Project, Mongolia’s second largest coking coal project.

A conceptual mine plan has been prepared based on Nuurstei's 12.85 million tonne JORC resource.

The plan indicates a potentially attractive mining proposition to truck coal 420 kilometres to the nearest railhead at Erdenet for export to North Eastern coking coal customers.

Nuurstei coking coal has been successfully tested in Chinese coke plants as a high-quality low sulphur hard coking coal.

David Paull, managing director, commented

“Securing a mining license is an important milestone and reflects the Mongolian Government’s continued support for the company and the coal industry in general.

“This vindicates our original decision in June 2014 to look to add a new coking coal project which is not rail dependent and the decision in July 2017 to exercise our option to move to a 90% interest.

“The company is now working very hard on commercialising this high-quality coking coal project as soon as possible.”

Preparing for a bulk trial

Aspire is currently preparing for a bulk trial of indicative Nuurstei raw coal to test logistics paths and costs targeting delivery into the Tangshan coking coal market.

This coal is planned to be washed at a toll facility in northern China before delivery into Tangshan.

The trial will also provide valuable data for future wash plant design, be important in completing a feasibility study, and provide commercial scale samples for targeted end customers.

Xanadu Mines to receive Aspire shares

The grant of the license will result in Aspire issuing 10 million shares to Xanadu Mines Ltd (ASX: XAM) as required under the 2014 sale and purchase agreement.

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Mon, 09 Oct 2017 10:07:00 +1100 https://www.proactiveinvestors.com.au/companies/news/185217/aspire-mining-receives-landmark-mining-licence-185217.html
<![CDATA[News - Aspire Mining rebalances finances, eyes near-term production opportunity ]]> https://www.proactiveinvestors.com.au/companies/news/182415/aspire-mining-rebalances-finances-eyes-near-term-production-opportunity-182415.html Aspire Mining Ltd (ASX:AKM) has now finalised a balance sheet restructure, while also moving to a 90% interest in the Nuurstei Coking Coal Project located in Mongolia.

Nuurstei provides Aspire with the opportunity to pursue a near-term production opportunity to take advantage of improving conditions in the coking coal market.

A conceptual mining study shows a competitive delivered cost for hard coking coal into northern Chinese markets based on trucking.

Nuurstei is seen as a starter project for Aspire while it progresses the 100% owned Ovoot Coking Coal Project, Mongolia’s second largest coking coal project.

During 2016, a maiden JORC resource at Nuurstei was estimated measuring 12.85 million tonnes.

The mining license application process is advanced and additional drilling and sampling is required to convert Inferred resources into Indicated resources and build mine life.

Balance sheet restructure

Aspire has closed its capital raising after receiving applications for 54.9 million shares at $0.02 and 54.9 million free attaching options exercisable at $0.025 within 12 months of grant to raise $1.1 million before costs.

When combined with the previously announced $2.6 million in debt and other obligations being converted to equity, a total of 186.6 million shares and 186.6 million options will be issued, increasing equity by $3.7 million.

Funding pre-development work

Aspire is currently investigating additional funding sources, which includes a coal presale facility to assist in funding pre-development work and a 2017 drilling and sampling program at Nuurstei.

The company is currently evaluating the opportunity to initially commence mining raw coal from Nuurstei for toll washing before delivery to customers in Northern China.

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Tue, 15 Aug 2017 08:49:00 +1000 https://www.proactiveinvestors.com.au/companies/news/182415/aspire-mining-rebalances-finances-eyes-near-term-production-opportunity-182415.html
<![CDATA[News - Aspire Mining extends raising timeline for Nuurstei Coking Coal project ]]> https://www.proactiveinvestors.com.au/companies/news/182228/aspire-mining-extends-raising-timeline-for-nuurstei-coking-coal-project-182228.html Aspire Mining Ltd (ASX:AKM) has extended the timeline of its capital raising programme where new funds will be used for the acquisition of a further interest in the Nuurstei Coking Coal project and a debt restructure.

Aspire currently owns 45% of the Nuurstei Coking Coal project located in Mongolia and it intends to exercise a US$1mln option to acquire an additional 45% interest in the project.

Funds raised under the placement will also be used for a 2017 drilling and sampling programme at Nuurstei.

The raising is now open until Monday 14th August 2017, and comprises up to 200 mln shares priced at A$0.02 to raise A$4 million.

Placement shares will come with a 1:2 attaching option exercisable at A$0.025 which expire 12 months from the date of issue.

Near-term opportunity at Nuurstei

A conceptual mining study shows a competitive delivered cost for hard coking coal into northern Chinese markets based on trucking.

Nuurstei is seen as a starter project for Aspire while it progresses the 100% owned Ovoot Coking Coal Project, Mongolia’s second largest coking coal project.

During 2016, a maiden JORC resource at Nuurstei was estimated measuring 12.85 mln tonnes.

The mining license application process is advanced and additional drilling and sampling is required to convert Inferred resources into Indicated resources and build mine life.

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Thu, 10 Aug 2017 10:31:00 +1000 https://www.proactiveinvestors.com.au/companies/news/182228/aspire-mining-extends-raising-timeline-for-nuurstei-coking-coal-project-182228.html