Hi all,
Amur Minerals are an interesting company who I have been following for quite some time.
Amur Minerals Corporation (AMC) is a nickel copper sulphide mineral exploration company focused on the far east of Russia. The company's principal asset is the Kun-Manie sulphide nickel, copper project located in Amur Oblast. Drill defined resources have been identified within five deposits wholly contained within a 36 square kilometre production licence.
When you research the company and the board of Directors, they appear to be very experienced mining men capable of achieving their overall aim of mining one of the last and largest remaining Nickel Deposits in the world.
The resource ranks AMC among the largest undeveloped nickel sulphide companies in the world having 155.1 million ore tonne resource contained within four deposits. Containing recoverable nickel, copper, cobalt, platinum and palladium, the average nickel equivalent grade is 1.02%. The total nickel equivalent tonnage is 1.58 million tonnes.
I think the recovery of the world's eco-system due to the Coronavirus lock-down is going to hasten the transition to Electric Vehicles with Nickel being a key component of batteries.
The exponential growth in the demand of nickel for battery production alone will most likely substantially disrupt the nickel market. Given current nickel consumption / production rates and the increased demand related to EV’s, a substantial shortfall in nickel production is projected to occur in 2025 and increase to as much as 1.8 million tonnes by 2035. To put this in context, about three new Kun-Manies have to be discovered, engineered, built and mined every year based on the 2035 projected nickel requirements.
The company have had some interesting news this week...
Amur announced on the 01 June2020 in an RNS........an added bonus to their Nickel mine.....
‘The ability to generate a separate copper concentrate should materially and substantially impact the economic potential of the project with the recovery of additional revenues related to the payable portion of 9,182 tonnes of copper per annum.’
Judging by this and other articles the demand for copper and other commodities is huge.....This is an interesting article......China’s stimulus will not stop metal demand falling https://on.ft.com/3ctGDZx
I note the two important paragraphs below.....
'The commodity industry has fond memories of the mega stimulus unleashed by China after the 2008 financial crisis. That was delivered mainly in the form of direct government spending…
