General Discussion on African Aura

19th Nov '09 by The Prospector

4 comments 4868 reads

Created through the merger of Mano River Resources and African Aura Resources in October 2009, African Aura Mining Inc. is an established gold and iron ore exploration and development company operating in west and central Africa. The Company is focused on the fast track development of its portfolio of advanced stage assets in Liberia and Cameroon:

Putu Iron Project -Liberia: >1Bt resource from 20% of strike, JV with Severstal 27,000m BFS drill programme underway
New Liberty Gold Project - Liberia: 1.4Moz gold resource, targeting 100,000oz pa production
Batouri Gold Project -Cameroon: Resource definition drilling on high grade gold stockwork deposit
Nkout Iron Project - Cameroon: Exploration of 12km long target averaging 54% Fe at surface from 6km tested to date

Unlock with Email

Unlock with Google

Already have an account?
Login here

About the Author

The Prospector

Premium Member

4 comments

The Prospector

19th Nov '09

This is an interesting one. Two gold prospects, two iron prospects, a diamond division; that's fairly diverse, but it's a reasonably coherent set of assets compared to many mining companies. There is political risk, of course - Liberia hasn't had the happiest of times recently and this has been a zone of civil war before now - but no more than with many other African resource plays. The ownership structure seems reasonably clear, and the prospects all look good, with some decent resource estimates.

I'm not convinced that there is a lot of additional value in the stock - particularly given a run from 35p to nearly 70p over the past few months - and I'd need to do a lot more research on the financial side - particularly the costs of future development - before I actually invested in it. Still, it's one of the more interesting prospects I've looked at recently, and I will be following its progress closely.

I have written up my thoughts in more detail here: http://www.stockopedia.com/article/view/33416/african-aura-mining-a-radiant-light

Mattybuoy

19th Nov '09

If you take out the political risk and just concentrate on the iron ore then AAAM is very under-valued compared to its peers. Look at African Minerals (AMI) which has a large undeveloped iron deposit in Sierra Leone and sports a market cap of well over $1bn ...

So, given everything else that the company has going for it I think it's a good one to stash away for the long-term. Note also recent substantive director buys.

Stockopedia News

6th Mar '10

After the recent AAAM news stories here and here proved unexpectedly popular with users (including various follow-up questions), we have arranged to do an interview with the CEO of African Aura Mining over the next couple of weeks.

We have agreed to cover 10 questions and thought that it would be interesting to throw those questions out to our userbase, so if you have particular burning questions that you would like to put to management, please let us know. You can either post them here or email them to admin @ stockopedia.co.uk.

Thanks,

Newsdesk

Stockopedia News

6th Mar '10

p.s. Incidentally, we are also planning to do a lot more management interviews like this going forward, so if there are particular management teams that you would like to hear from on the site, do let us know - feel free to email suggestions to admin @ stockopedia.co.uk.

Unlock the metrics for all these stocks and more...

Take a free trial

Facebook Twitter Youtube Instagram RSS

This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.

Unlock the metrics for all these stocks and more...

Take a free trial

General Discussion on African Aura

Unlock the rest of this article with a 14 day trial

About the Author

The Prospector

4 comments

Unlock the metrics for all these stocks and more...

Unlock the metrics for all these stocks and more...