Classic Minerals (ASX: CLZ) one step closer to cash flow
Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.
In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.
The below articles were written under our previous business model. We have kept these articles online here for your reference.
Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.
Click Here to View Latest Articles
Classic Minerals (ASX: CLZ) was today given the green light to move forward with its intended gold production planning.
Following Western Areas Ltd (ASX: WSA) withdrawal of its objection for the registration of tenement application MLA 74/249, CLZ is now free to continue its development of its Kat Gap project in Western Australia.
Kat Gap is strategically located approximately 70 kilometres south-southeast of the company’s Forrestania Gold project containing the Lady Magdalene and Lady Ada gold resources.
“Classic is very pleased to be able to report this important milestone.... it paves the way for the grant of a Mining Lease over the planned production area and is a critical development step for Kat Gap to become the next production asset for the company,” Classic Minerals Chairman, John Lester, said.
The objection by Western Areas was originally lodged due to potential issues regarding a fresh water supply pipeline which runs below the Classic Minerals tenements and directly supplies some of WSA’s operations.
Following the completion of studies over this matter, the companies have now come to an amicable agreement that CLZ’s operations would not affect the pipeline or supply to WSA’s operations.
This announcement moves CLZ a step closer to cash flow as it eyes production in 2021.
CLZ can now focus its full attention on major pre-production milestones that are expected to revalue the its profile between now and early February 2021.
These milestones include:
- Mining Access Application – now complete by the lifting of the Objection;
- Commencement of Native Title Negotiations (expected completion 26 Dec 2020);
- Consent of Native Title Approval;
- Mining Lease Approval MLA 74/249, and
- Mining Plan lodgement
CLZ will soon complete all studies and documentation required for lodging the Mining Plan Application.
The application will be lodged immediately on Grant of Mining Lease Approval MLA 74/249.
In conjunction, CLZ has begun preparing a pre-feasibility study at Kat Gap expected to show that the project will be rapidly brought into production by utilising a low-cost recovery method that will enable it to generate early cash-flows.
General Information Only
S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.
Conflicts of Interest Notice
S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.
Publication Notice and Disclaimer
The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.
Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.
This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.
