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The Avellana Gold Team on the Prospects of the Project, International Conference within PDAC 2017, Canada The Avellana Gold Team on the Prospects of the Project,  International Conference within PDAC 2017, Canada

Avellana Gold Company has presented a project in the development of Muzhiyevo polymetallic deposit at the conference Ukraine: Opportunities in Extractive Industries, dedicated to Ukrainian developments in the field of mining. The event was held within PDAC 2017 International Convention, Trade Show & Investors Exchange and was initiated by the Chamber of Commerce and Industry of Ukraine. Accord...

Avellana Gold Company has presented a project in the development of Muzhiyevo polymetallic deposit at the conference Ukraine: Opportunities in Extractive Industries, dedicated to Ukrainian developments in the field of mining. The event was held within PDAC 2017 International Convention, Trade Show & Investors Exchange and was initiated by the Chamber of Commerce and Industry of Ukraine.

According to Brian Savage, the CEO of Avellana Gold, Ukraine is of interest for the international community primarily as a country with undeveloped geological potential. And this convinces of the need to elaborate a new development strategy for the company.

‘During my first visit to Ukraine I got a lot of optimistic assurances, and I don’t want to believe in the opposite. The number of investors interested in our project by far exceeds the scope of investment we need. We have to guarantee reliable protection against political risks to them’, - indicated Brian Savage.

Also, the CEO of Avellana Gold told about the investment complexities for the project implementation: ‘Now investors are ready to give money even for some projects in the African territory at the rate of 20% annual, but the requirements to profitability in Ukraine are much higher. For us, as for core investors, there arises the need to look for cheap resources of institutional investors (that requires years) or sacrifice our own profits by undertaking the larger part of risks for the first five years ourselves’.

During asset acquisition and a detailed analysis of the legal side of the matter Avellana Gold opened up new aspects of business development. The company has signed a number of primary agreements, therefore, it is likely that already next year the team of Avellana Gold will present a new project in Toronto – Avellana Exploration.

‘The geological data we posses gives grounds for a meaningful talk. But I hope to get more responses from the authorities during my visit to Ukraine at the end of March’, - adds Brian Savage.

Charles Beaudry, the head of Avellana Gold’s consultancy group in geology, also took part in the conference. He shared his vision and prospects of the Muzhiyevo deposit development:

‘Over the last 3-4 years my colleagues could not find application for their knowledge, but now the situation is different. While last year lithium was in demand, now everybody pays attention to the zinc market situation. The rise in its prices is unavoidable. I am glad that zinc takes a special place in Avellana Gold’s product portfolio. But personally for me Avellana Gold is an opportunity to get acquainted with the geology of the Carpathians in general’.

Charles Beaudry draws attention to another trend mentioned at PDAC 2017. That is reduction of the cost of underground extraction technologies, creating the basis for the increase in the resource base: ‘We would be happy to use those new developments in Ukraine’.

Besides Avellana Gold, such entities and companies as the State Service of Geology and Mineral Resources of Ukraine, Canada-Ukraine Chamber of Commerce, UMG, Black Iron, Pluto Investment, Velta, Techika, Classic Jewelry House Lobortas, Paletcom S.R.L., CUTIS Project, Naturallia, VIP-Oil LTD, and others have participated in the conference.

Avellana Gold and Juniper Capital Partners Have Signed a Cooperation Agreement Avellana Gold and Juniper Capital Partners Have Signed a Cooperation Agreement

"Juniper have undertaken an in depth analysis of the project and proposed their own vision of Avellana Gold corporate development and long term financial strategy…", - Mr Brian Savage stated. Avellana Gold Ltd (together with its subsidiaries, the "Company") is pleased to announce the appointment of Juniper Capital Partners as consultant to Avellana Gold with limited exclusivity. Juniper Capita...

"Juniper have undertaken an in depth analysis of the project and proposed their own vision of Avellana Gold corporate development and long term financial strategy…", - Mr Brian Savage stated.

Avellana Gold Ltd (together with its subsidiaries, the "Company") is pleased to announce the appointment of Juniper Capital Partners as consultant to Avellana Gold with limited exclusivity. Juniper Capital will work alongside with other advisers covering mostly Europe and Asian region.

Avellana Gold is happy to acknowledge substantial experience of Juniper Team in closing of structured deals at frontier and challenging jurisdictions. Mr Brain Savage stated that Juniper result oriented approach would boost company development in the nearest future. “Juniper have undertaken an in depth analysis of the project and proposed their own vision of Avellana Gold corporate development and long term financial strategy… Their way of working involves screening for commercially feasible projects and with a development strategy that they believe in. This mirrors our approach”

Andrei Kroupnik who represents “Juniper”, added that “This is our first time working with a Ukrainian project, and we are confident that the Ukrainian investment environment for mining companies has improved compared to the past”

PDAC 2017: Avellana Gold Company Representing Ukraine at One of the Largest Events in Mining Industry in Canada PDAC 2017: Avellana Gold Company Representing Ukraine at One of the Largest Events in Mining Industry in Canada

The team of Avellana Gold Company has participated in the international event PDAC 2017 International Convention, Trade Show & Investors Exchange, presenting its own project to the leaders of the mining industry. All in all, this year the event has been attended by 22 thousand participants representing 125 countries. Within the event, besides seminars and sessions, there was also an exhibition – a...

The team of Avellana Gold Company has participated in the international event PDAC 2017 International Convention, Trade Show & Investors Exchange, presenting its own project to the leaders of the mining industry. All in all, this year the event has been attended by 22 thousand participants representing 125 countries. Within the event, besides seminars and sessions, there was also an exhibition – and some 900 companies participated in it.

On PDAC 2017 participants presented their projects and programs, technological achievements and investment opportunities in the field. The participants discussed the main achievements and prospects for strategic investors, modern international project funding experience, key trends in the market of raw materials.

During the event the representatives of Avellana Gold, including its CEO Brian Savage and the head of the consultancy group Charles Beaudry had individual meetings and signed a number of framework agreements.

‘At similar events held before I had to frequently answer the questions asked by my colleagues: why I chose Ukraine and why now. In Toronto there were considerably fewer general questions. Maybe that’s because the Ukrainian diaspora has quite a few representatives in the field of minerals extraction. This time I listened more than talked’, - commented Brian Savage, the CEO of Avellana Gold, upon participation in PDAC 2017.

It should also be noted that PDAC 2017 (Prospectors & Developers Association of Canada) International Convention, Trade Show & Investors Exchange is an annual international event in the mining sector gathering the leaders in the industry. PDAC encourages companies to apply the best technical practices in the field as well as implement socially responsible projects, assess projects in terms of their environmental safety.

Experts are Most Bullish on These 5 Commodities Experts are Most Bullish on These 5 Commodities

Which commodities will do the best in 2017? The question is loaded, but mining industry experts at this year’s Vancouver Resource Investment Conference (VRIC) did their best to answer it. The majority said they are most optimistic about gold, but many also said they see silver, uranium, copper and zinc doing well this year. Economic and political unrest are expected to support the precious metal...

Which commodities will do the best in 2017? The question is loaded, but mining industry experts at this year’s Vancouver Resource Investment Conference (VRIC) did their best to answer it.
The majority said they are most optimistic about gold, but many also said they see silver, uranium, copper and zinc doing well this year. Economic and political unrest are expected to support the precious metals, while supply/demand dynamics are likely to push uranium, copper and zinc prices up.

1. Gold
As mentioned, a slew of the speakers at VRIC said they are positive on gold’s prospects this year, in part because there’s so much Trump-related instability in the world today. “Trump is still a source of instability, which markets don’t like, so this is very bullish for safe-haven assets,” said Louis James, editor of the International Speculator.
Similarly, Peter Spina, founder and president of GoldSeek, said, “Trump is bringing a whole different ball game to the entire world.” For him, that uncertainty is a sign that it’s time to buy gold. “The opportunity in this market, we haven’t seen this in a long time,” he said.

2. Silver
Silver tends to move in tandem with gold, so it’s no surprise that experts believe its prospects this year are good as well. Giustra said it’s one of the commodities he’s bullish on, and Ed Steer of GATA also made the case for investing in silver. While he believes manipulation is a major problem in the silver market, he said, “at some point in time … we’re going to see a silver price that, quite frankly, most people can’t possibly imagine”

3. Uranium
The last few years haven’t been kind to uranium, but many speakers at VRIC said they think the tide may turn this year. Giustra is one of them, and James said that probably “uranium will end the year with bigger gains than gold.”

4. Copper
Copper is another commodity that both Fulp and Calandra like. Fulp said that copper was up 17 percent last year, and is currently consolidating. “I expect that consolidation to continue for some time,” he said, also noting that he sees the metal getting a price bump down the line.

5. Zinc
In addition to gold, Lundin is optimistic about zinc in 2017. While he doesn’t see the base metal performing as well as it did last year, he thinks “we’re still going to see a very good performance.” He anticipates the metal’s price reaching $1.50 or $1.60 per pound. Calandra is also bullish on zinc, and said, “if zinc continues to do well, as it has been, some of these industrial metals that have done well — zinc, cobalt, lithium — I think will do well.”

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Zinc Time to Shine Zinc Time to Shine

Zinc was the second-best performing commodity in 2016, with a staggering 65.7% return. The greyish metal primarily used in galvanizing steel is off to a hot start in 2017, up another 12.5% to $1.30/lb. “For us zinc is still the most exciting story out there “ Don Lindsay, President and CEO, Teck (January 26, 2017) The reason for the zinc price rise is one of the basic principles of econom...

Zinc was the second-best performing commodity in 2016, with a staggering 65.7% return.
The greyish metal primarily used in galvanizing steel is off to a hot start in 2017, up another 12.5% to $1.30/lb.

“For us zinc is still the most exciting story out there “ Don Lindsay, President and CEO, Teck (January 26, 2017)

The reason for the zinc price rise is one of the basic principles of economics – supply and demand.

Zinc inventories (supply) have been falling like a rock. Inventories last February on the LME were ~500,000 tonnes and are now down to ~380,000 tonnes.

Two of the largest zinc mines in the world have closed in the last few years (Century and Lisheen) due to ore depletion, removing ~4 % of world supply.

The world’s largest mining company, Glencore, significantly helped the zinc market as well cutting production by 500,000 tonnes in late 2015. The cuts were made because of the low price of zinc at the time. Glencore has yet to restart production at these mines and this will be a major factor for investors in zinc to keep an eye on.

Zinc demand has steadily increased throughout the last several years and and is expected to increase by 2.1% to 13.85 million tonnes in 2017.

The zinc price is now at a 5 year high of $1.30 per pound as inventories are also near a 5 year low at ~380,000 tonnes (LME). Shanghai Futures Exchange stocks have also declined substantially in the last 3 years.

How high can zinc go in 2017?

As inventories continue to decrease along with no new mine supply expected, a pinch point appears to be coming for the zinc price.
“The next two years, 2016 and 2017, represent the ‘pinch point’ of concentrate supply, with mine-closure related cuts expected to outweigh new output from projects.” Wood Mackenzie Analyst, Jonathan Leng.

Zinc price forecasts

• Scotiabank is forecasting zinc prices to average $1.35/lb in 2017 and $1.55/lb in 2018.
• Wood Mackenzie, a leading research firm has a peak price target of $4000 US/tonne ($1.80 per lb) in 2018.
• Bank of Montreal has forecasted an average price of $1.50 per lb from 2017-2019.

If these forecasts are anywhere near correct, the zinc price still has tremendous upside from current levels.

The best way for investors to play a zinc price move would be to invest in zinc equities.

“I definitely think it is the right time to do so [invest in the zinc market]. About the only way to do so is through zinc equities, whether you’re looking at the major producers or some of the junior explorers there are not a lot of options out there for zinc.” Brien Lundin, editor of the Gold Newsletter

Investors have three different ways to play an investment in zinc stocks – producers, developers, and explorers.

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