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- ⛏ Drama in Niger
Greetings Contrarian,
This is The Next Big Rush, your daily drop of mining/energy investing news. Where we come together and eat all the leftovers.
Here's what's on your plate:
🍛 Drama in Niger
🍛 Fireweed Infill with Great Results
🍛 Glencore Pays Out $7 Billion
😰 Drama in Niger
To add to the wonderful rollercoaster that is mining development and production, we have a fresh story coming from the maybe-to-be next producing uranium mine, with an outlook to start extracting uranium later this year.
SOMIDA has been ordered to stop all activities related to the Adrar Emoles 4 ("AE4") exploration permit, which is owned by Global Atomic Fuels Corporation, a subsidiary of the Company. However, the AE4 permit pertains to the Isakanen deposit, which is currently being explored and tested for In Situ Recovery (ISR) of uranium and is not considered a significant asset of the Company.
The other orders pertain to the 2020 Environmental and Social Impact Assessment on the Company's Dasa Project.
The stock sold off heavily yesterday, and today it gapped down at the open.
The company came out today and explained that 1- the area where cessation of operations have been ordered are not within the Dasa project, and 2- the current group suing has been actively trying to undermine several Nigerien government activities, trying to influence various topics outside of their realm, and we quote “seeking changes from the government in a number of areas ranging from how the government uses royalty revenue it receives to the price of onions.”
The company claims this group is targeting the government with these lawsuits.
Obviously, Global will appeal.
The closing date of the financing for the mine has been poo-pooed postponed, date unknown as of yet.
💪🏼 Fireweed Metals Hits
Highlights:
🙃 An infill hole intersected 56.5 m of 6.34% zinc, 0.38% lead, and 36.4 g/t silver within the massive sulphide zone at Boundary West.
🙃 Multiple step-out drill holes have successfully identified stratiform mineralization, massive sulphides, and Howard Pass-style mineralization, extending the known mineralization at Boundary West.
🙃 The results of 21 drill holes from the 2022 program at Boundary Main and Tom are still pending.
Fireweed is getting ready for its biggest-ever drilling campaign, with a healthy cash balance of C$38.6 million.
Zinc is down some today -2.73%, so the market didn’t seem to care.
🚨 Glencore Printing M.on.ey
Glencore (LSE: GLEN) is laughing all the way to the bank after posting record annual profits, and it's got its eye on the prize: showering its investors with a cool $7.1 billion payout. With high oil and coal prices driving the record results, it's clear that Glencore rode the right waves.
CEO Gary Nagle has attributed the company's success to the high and unpredictable commodity price environment, driven by a medley of factors like the pandemic, supply chain vulnerabilities, under-investment, and conflict in Europe.
It's a hot mess, but Glencore is making it work.
The $7.1 billion payout is not just any old payout. It includes dividends and a $1.5 billion share buyback.
In a world where other mining companies are seeing lower returns, Glencore is the rebel that won't follow the crowd.
Profit on metals and fossil fuels trading hit a record $6.4 billion, up a whopping 73% from last year.
Unfortunately, it's not all sunshine and rainbows - prices of thermal coal are currently at a low due to reduced demand, but hey, Glencore is living in the moment and enjoying the spoils while they last.
Meme of The Day
:)
The Editor
DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.
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