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Ivanhoe Mines Ltd T.IVN

Alternate Symbol(s):  IVPAF

Ivanhoe Mines Ltd. is a Canada-based mining, development, and exploration company. The Company is focused on the mining, development and exploration of minerals and precious metals from its property interests located primarily in Africa. Its projects include The Kamoa-Kakula Copper Complex, The Kipushi Project, The Platreef Project., and The Western Foreland Exploration Project. The Kamoa-Kakula Copper Complex project stratiform copper deposit with adjacent prospective exploration areas within the Central African Copperbelt, approximately 25 kilometers (km) west of the town of Kolwezi and about 270 km west of the provincial capital of Lubumbashi. The Kipushi mine is adjacent to the town of Kipushi in the Democratic Republic of the Congo (DRC) approximately 30 km southwest of the provincial capital of Lubumbashi. The 21 licenses in the Western Foreland cover a combined area of 1,808 square kilometers to the north, south and west of the Kamoa-Kakula Copper Complex.


TSX:IVN - Post by User

Bullboard Posts
Post by bloomfield18on Apr 18, 2018 8:50pm
141 Views
Post# 27908305

Zinc is a Dead End

Zinc is a Dead EndGlencore slashed 500,000 tonnes of production in late 2015. They could easily bring all this back on stream.

https://www.cnbc.com/2015/10/08/glencore-cuts-zinc-ouput-by-500000-tonnes-shutters-aussie-mines.html

On Seeking Alpha, Joshua Hall, projects a zinc deficit of 750,000 tonnes this year, dropping to 135,000 tonnes next year in 2019. With 500,000 tonnes leeway, Glencore can easily make up the difference anytime they want. Kipushi can't go into production until 2020 at the earliest. There is no zinc shortage. I don't want to talk down my own investment, but considering the Company also needs to finance Kakula and Platreef, sinking lots of money into zinc is unnecessary at this time. If a zinc shortage actually occurs, IVN can easily take advantage of the situation. The stock will go up just because of reserves.

What I would hate to see is IVN financing Kipushi just in time to see zinc drop to $1 or $1.10 lb. That's after sinking in a few hundred million dollars we don't yet have. The zinc isn't going anywhere. We know copper is looking very strong and this is expected to continue. Kakula should have priority over Kipushi. I would also like to see splitting political risk between DRC and South Africa. We don't need to gamble. Stick to the long game. The Company shouldn't make long term decisions based on short term market action.



Bullboard Posts