http://www.proactiveinvestors.co.uk Proactiveinvestors RSS feed en Sun, 23 Sep 2018 21:32:30 +0100 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[News - Kincora Copper’s deep value opportunity attracts new cornerstone investor ]]> http://www.proactiveinvestors.co.uk/companies/news/200679/kincora-coppers-deep-value-opportunity-attracts-new-cornerstone-investor-200679.html In a market where most exploration juniors are struggling to attract new institutional investors to their shareholder registers, Kincora Copper Ltd (CVE:KCC) has cleared a major overhang by bringing a third high profile institutional investor, providing clear endorsement of its assets, team and strategy, reducing funding risk going forward.

Kincora’s former major shareholder, Origo Partners PLC (LON:OPP), who last invested new capital in 2014, sold its entire stake on June 22 concurrently with its original partner and other co-founding director.

A quick glance at the latest set of accounts of the London-listed investment company reveals a recent change of personnel at the top that is now selling what they can at fire sale prices or writing assets off ahead of a public record November 2018 liquidation deadline for Origo’s entire asset portfolio.

Not surprising then that Kincora chief Sam Spring is feeling optimistic, having gained strong support from shareholders at the recent AGM, following a number of board changes as well as bringing in a cornerstone investor to support Kincora’s strategy.

Furthermore, the new cornerstone shareholder is well known and respected in the market place, LIM Advisors, a pre-eminent expat Hong Kong-based fund manager.

LIM has been investing in Mongolia for more than 15 years and has a strong presence across wider East Asia. What’s more, it has more than US$1bn under management and has one of the longest track records in the region.

Kincora raised C$5.9 mln only in the third quarter of 2017 at C$0.33, with funders not having representation on the board. The public overhang of Origo then revealed itself and the strategy that underpinned this capital raising was put at risk.

A resulting turbulent period saw the turnover of three former board members (including the two who have now sold their shares) with these significant uncertainties weighing on Kincora’s share price. Obvious red flags for those not intimately close to the story and you can see why LIM jumped at this deep value opportunity, buying out these distressed sellers at market at C$0.13 once an un-conflicted board was restored with the existing technical team, management and strategy endorsed.

The investment by LIM when added to that of other institutional and sophisticated investors from Kincora’s non-brokered private placement late last year, which included the European Bank for Reconstruction and Development (EBRD) and Resource Capital Fund (RCF), totals the equivalent of the company’s market capitalisation, with Kincora still having a healthy C$2.85 mln in the bank. Clearly the market is still trying to work out what has happened, or too busy watching the World Cup.

So definitely a major step up for Kincora, a further vote of confidence from smart money, and a development that allows the company to get back to focussing on its exploration and expansion plans after a period of uncertainty.

“In September and October of last year we raised C$5.9mln at C$0.33,” says Spring.

“It was the first meaningful raising we’d done since a number of milestones: expanding our portfolio with the IBEX deal, which gave us the dominant position in this belt; forming an industry leading technical team, adding key members who have previously found Tier 1 copper projects and looking to do that again; and, again consolidating our Bronze Fox project.”

So after these transformation steps and having just rolled out the first of a two-phase multiple target exploration program it was frustrating for Spring that the overhang and board issues developed so soon afterwards.

But, in the end, Kincora has come out of this in much better shape, probably the best shape it has ever been in in terms of asset portfolio, team, targets and share register, not that this is yet reflected in the valuation.

“We have been prudently advancing our targets, with plans for how we are to now ramp this up providing a positive pipeline of news flow in the near term, and benefiting from existing funding in the bank,” says Spring.

“We have got to get on with explaining the positive shape we are now in, outlining our exploration and expansion strategy, and getting the drill rigs turning again.”

One of the key projects that will now be the focus of attention is Bronze Fox, which in the previous commodity cycle supported Kincora having a C$40-50 mln market capitalisation. With results like 37 metres at greater than 1% copper equivalent within an 800 metre mineralized hit within a extensive size system, it is unsurprising Kincora had 14 NDAs, a period of exclusivity and a separate offer from industry players. But that was back in 2011/12 and the market has clearly forgotten about that (for the moment).

“With the full Bronze Fox license portfolio restored it is an obvious target to revisit both from a technical and commercial perspective,” says Spring.

“We only had unencumbered access to that full portfolio for less than a year, but since then there has been an independent defined exploration target for the equivalent of 1.3-1.5Mt of contained copper, the 24,000 metres of drill core has been relogged (including 8,000 metres by a copper major), further surface mapping undertaken, a detailed induced polarisation survey undertaken and a comprehensive geophysical review completed by Barry de Wet.”

He adds: “With Barry assisting with the geophysics and our Senior VP of Exploration, Peter Leaman, we are fortunate to have rebuilt key members of the former BHP joint venture with Ivanhoe team who undertook the last district scale exploration in this belt, and coupled with our board member John Holliday, certainly know what is needed to make significant scale discoveries.”

Resuming successful drilling at the western section of the West Kasulu target at Bronze Fox, where in the last drilling program 3 of 4 holes returned higher grade intersections, should remind the market of Kincora’s previous valuations that Bronze Fox underpinned.

“We now also have the dominant position in this belt with the medium outlook for copper prices probably never having looked better and stage 2 of Oyu Tolgoi is being built,” says Spring.

The current capitalisation of Kincora is just under C$9mln, testimony to the effect a serious overhang and 3 of an original 5 man board departing can have on a share price, even if the block in question eventually crossed off-market and a strong board is now being installed.

Another obvious valuation parameter missed by the wider market, but most likely not LIM, is Xanadu Mines (ASX:XAM) which in the last month raised A$10 mln at a A$100 mln pre-money underpinned by its flagship Kharmagtai asset, which it owns 76.5%.

Earlier in the year Xanadu had four rigs operational at Kharmagtai, returning some nice looking core, and this asset, which is less than 200km from Bronze Fox, has a 2014 JORC resource of 1.1mln tonnes of copper equivalent based on 108,000 metres of drilling with a further 50,000 metres drilled since. This is relative to only 24,000 metres drilled at Kincora’s wholly owned Bronze Fox and the 1.3-1.5 mln tonne independently defined exploration target.

Another target that will likely be the subject of attention before too long by Kincora is East Tsagaan Suvarga (East TS), a project located in a brownfield environment on the eastern end of a the same intrusion that hosts the Serven Shuait open pit development project and expected to produce up to 316,000 tonnes of copper per year. Last years’ first phase exploration activities, including a maiden drilling program at the target, supports four large-scale conceptual intrusive bodies, as Kincora looks to test the analogue for East TS hosting an equivalent preserved high grade Hugo or Heruga orebody or series of orebodies as at Oyu Tolgoi.

Set in the wider context of the giant Oyu Tolgoi mine, controlled and operated by Rio Tinto, which is set to soon be the worlds third largest copper mine and located in the same Devonian age belt, the whole region could end up being highly prolific. Generally copper porphyries occur in clusters on key structures within established belts – they do not occur in isolation.

Oyu Tolgoi is the key growth project for Rio Tinto, where they are now also exploring earlier stage exploration projects and further corporate opportunities having opened a specific Mongolian based support office earlier in the year, but is also the largest expansion project in the industry globally.

So it will be a very interesting year for Kincora, which, despite the obvious red flags to the uninformed investor over the last few months, has funds, the team, plans and now a shareholder register and board in place to make a serious progress with its copper portfolio and with the first modern systematic exploration approach in this belt could generate some really significant hits.

Successful drilling at Bronze Fox alone could support a 4-5x return for investors based on Kincora’s previous valuations and 10x based on its current peer Xanadu. Successful proof of concept drilling at East TS would likely support a much larger prize, with Kincora looking to systematically advance and add value to its pipeline of earlier stage stages and expansion opportunities.

“Now that the corporate side of things is shored up its time to get on with the day job again, outlining our plans, and ramping up exploration and expansion activities,” says Spring.

“Hopefully the wider market starts understanding the very positive shape Kincora is now in and follows these sophisticated investors who have put meaningful capital to work backing our strategy.”

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Thu, 12 Jul 2018 11:19:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/200679/kincora-coppers-deep-value-opportunity-attracts-new-cornerstone-investor-200679.html
<![CDATA[Media files - Kincora Copper keen to crack on with field exploration programmes next month ]]> http://www.proactiveinvestors.co.uk/companies/stocktube/8754/kincora-copper-keen-to-crack-on-with-field-exploration-programmes-next-month-8754.html Fri, 16 Feb 2018 09:17:00 +0000 http://www.proactiveinvestors.co.uk/companies/stocktube/8754/kincora-copper-keen-to-crack-on-with-field-exploration-programmes-next-month-8754.html <![CDATA[News - Kincora says follow-up activities will be initially focused on refining proposed drilling at East TS and Bronze Fox ]]> http://www.proactiveinvestors.co.uk/companies/news/191661/kincora-says-follow-up-activities-will-be-initially-focused-on-refining-proposed-drilling-at-east-ts-and-bronze-fox-191661.html Kincora Copper Ltd (CVE:KCC) has announced the first phase results from its 22-hole drilling programme at three targets in the Southern Gobi, Mongolia.

The review of the West Kasulu prospect at its flagship Bronze Fox asset supported an exploration target of 416mln to 428mln tonnes, grading 0.26% to 0.30% copper for up to 2,437mln pounds of copper and 0.84mln ounces of gold.

WATCH: Kincora Copper keen to crack on with field exploration programmes next month

Those numbers rank the prospect as one of the largest potential in-situ copper-gold systems in Mongolia and with only modest drilling, Kincora noted.

The potential quantity and grade ranges are conceptual in nature and based on nearest neighbour and ordinary krige estimates, it added.

There has been insufficient exploration to define a mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource, Kincora cautioned.

On budget

"Last year's activities were on budget, safely and successfully executed. Multiple targets were advanced, providing much improved knowledge for follow-up activities in 2018 that will be initially focused at refining proposed drilling at East TS and Bronze Box,” said Peter Leaman, the senior vice-president of exploration at Kincora.

“The scale of the exploration target announced for Bronze Fox helps illustrate the under-explored nature of the belt and the recent workshops have refined next stage activities to systematically advance our pipeline of targets,” he added.

Sam Spring, the president and chief executive officer of Kincora, said Kincora has begun the first modern exploration across a district scale pipeline in this world-class copper-gold belt.

“Recommencing field programmes next month benefits from funding already in place, executing on our multiple–phase drilling and exploration programme, with results this year expected to significantly benefit from last years activities," he said.

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Wed, 14 Feb 2018 11:13:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/191661/kincora-says-follow-up-activities-will-be-initially-focused-on-refining-proposed-drilling-at-east-ts-and-bronze-fox-191661.html
<![CDATA[Media files - Kincora Copper quantifies large copper-gold porphyry target at Bronze Fox ]]> http://www.proactiveinvestors.co.uk/companies/stocktube/8660/kincora-copper-quantifies-large-copper-gold-porphyry-target-at-bronze-fox-8660.html Thu, 25 Jan 2018 10:43:00 +0000 http://www.proactiveinvestors.co.uk/companies/stocktube/8660/kincora-copper-quantifies-large-copper-gold-porphyry-target-at-bronze-fox-8660.html <![CDATA[News - Cashed-up Kincora Copper now raring to dish up major discoveries in Mongolia ]]> http://www.proactiveinvestors.co.uk/companies/news/185714/cashed-up-kincora-copper-now-raring-to-dish-up-major-discoveries-in-mongolia-185714.html  

But the mining and exploration orbit in the Southern Gobi copper belt is getting busy. There is now Codelco, the major Chilean copper producer, Xanadu Mines (ASX:XAM), which has just raised A$15.4mln for exploration, Ikh Shankh, a private vehicle run out of New York and a recent Society of Economic Geologists (SEG) tour of the belt attracting the likes of Anglo American, Teck Resources and JOGMEC to name just a few.    This copper belt was the global hotspot back in 2011/12, much as  Ecuador is today. There is renewed interest in the area as illustrated by Xanadu’s share price rallying over 50% to a market capitalisation  A$180mln Rio Tinto has resumed drilling in the Southern Gobi for the first time since 2012.    Given the scale of Oyu Tolgoi, one has to wonder what else Rio might be looking for, but it adds further to the view that other Tier 1 discoveries are waiting to be found in this belt and just having one isn’t enough for Rio.   The largest landholder of them all, however, is Kincora Copper Limited (CVE:KCC), a company with a market capitalisation of only C$23mln, including its recent C$5.9mln fund raising. In the last week, Kincora has secured the support of one of the biggest investors in Mongolia, the European Bank for Reconstruction and Development (EBRD), and, also recently, the mining private equity specialist and heavy weight, Denver-based Resource Capital Funds (RCF). The EBRD and RCF have invested C$1.4mln each.    The EBRD was the largest individual member of last year’s project financing of Oyu Tolgoi, the largest project financing in the history of the metals and mining sector, and sole project financier of the privately owned Tsagaan Suvarga copper mine, these being the two economic copper mines in the Southern Gobi with capex of over US$14bln and over US$1bn respectively.    Following their investment in Kincora, EBRD have now invested in all the three Devonian age copper projects identified to date in this belt. The EBRD funds are to be solely used by Kincora to support an extensive drilling programme at its two most advanced Devonian-age prospects, East Tsagaan Suvarga (East TS) and Bayan Tal, the first Devonian targets in this belt since Oyu Tolgoi and both analogues to the two respective mines in the belt – big prizes.    What’s more, the original progenitors of the Oyu Tolgoi project, Robert Friedland’s Ivanhoe, are also shareholders in Kincora, via a private vehicle called High Power Exploration (HPX) and last year vended to Kincora in the best parts available of the Devonian copper belt. On a contained metal basis, Oyu Tolgoi is still the biggest discovery of Mr Friedland’s and drove the original Ivanhoe Mines from a similar market capitalization to Kincora now to a peak of over US$30bn.    HPX, EBRD and RCF are a bit of a club, now all holding about 6% each of Kincora. When added to the Kincora board representing a total of 37% of the register and other natural resource specialist institutions and high net worth individuals, this supports a unique and sophisticated register for such a small market capitalisation.    Attention on Kincora

 

Serious investors who know mining and who know Mongolia are into Kincora in a big way, and with multiple targets and work streams now funded it is likely the retail market will soon start to follow this smart money and what is still effectively a new story to the public markets.

  When we last caught up with chief executive Sam Spring in February, Kincora’s share price was up to C$0.65 a share and the aim was to be drilling these two high priority drill targets within 6 months having just done the deal with HPX to consolidate the dominant position in the Devonian belt and having attracted an industry leading technical team with multiple Tier 1 copper discoveries (who incidentally are majority remunerated in Kincora shares).    However, capital market conditions remained challenging and as Kincora secured this “smart money”, which entailed extensive technical and legal due diligence, its share price drifted with the recent raising completed at C$0.33.The funds now raised supports the first modern Tier 1 drill testing and district scale reconnaissance exploration programme in this highly mineralised but vastly under-explored belt with two rigs having been operational for the last month. With the EBRD fund raising now complete, the “black out period” for on-going exploration activities is now lifted with a pipeline of news flow to come.   Now it’s up to Spring and his team to deliver the goods. While “small beer” relative to the Devonian targets and providing an analogue to the two mines in the belt, one work programme moving forward is looking to define a resource (geological or NI 43-101 inferred) around the company’s historic flagship asset, Bronze Fox, which has a large lower grade porphyry system and before a dispute with the government (now resolved) returned a hit of over 800 metres at over 0.4% copper equivalent including over 37 metres of over 1% copper equivalent.    This asset has been forgotten about. However, being the same age, similar size (albeit lower grade) and having had about a third of the drilling of Xanadu Mines’ flagship Kharmagtai, a maiden resource of some kind is expected to highlight Kincora’s favourable valuation, Xanadu’s valuation is 10 times Kincora, particularly as Xanadu looks to dual list on the TSX Venture market. In the previous commodity cycle, Kincora attracted 14 NDAs, a period of exclusivity and separate offer for the Company based just on Bronze Fox.   The land package Spring now has at his disposal certainly offers plenty of further scale potential. Helped along by funds recently raised, Kincora is drilling East TS target and Bayan Tal targets, part of a wider 20,000 metre two-phase programme that will also work up other targets.    Chile revisited?

 

Overall, Kincora holds 1400 square kilometres of ground, which gives it what Spring describes as the “dominant position” in the geological belt.   But it’s not just the size of the ground that’s impressive. It’s the geological setting and the context in the best parts of the Devonian copper belt, between and on strike, from the two existing mines in the Southern Gobi.   Spring describes Mongolia in mining and commercial terms as comparable to Chile in the 1970/80s: the potential was well known but just how good it would turn out to be wasn’t  clear to anyone.   Such a scenario is also supported Codelco's recent interest in the Southern Gobi, when chief executive Nelson Pizarro said the company had “a lot of interest” in Mongolia and that his people were “learning to milk camels.”   If the parallels are clear enough to the Chileans given what’s happened there in the past half a century or so, then imagine the excitement in the Kincora camp, given that so much of the ground is under Kincora’s control.   A project like Oyu Tolgoi rarely occurs in isolation, explains Spring. Indeed, projects like that occur in clusters more often, as they do in Chile.    It’s the nature of that opportunity that explains in part why a company such as Kincora has been able to secure significant backing from significant players and is now just starting what should be an interesting and fully funded 9-12 month exploration and expansion journey. .    All concerned are betting that Kincora won’t be a pre-discovery company for much longer and they do seem to be systematically setting the foundations for success, both exploration wise but also corporately with the shareholders on its register.   With the price of copper still strong and the mining sector beginning to come back into favour more generally, the good times for Kincora might come pretty quick. It's a story worth  keeping on your watch list.   ]]>
Tue, 17 Oct 2017 11:06:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/185714/cashed-up-kincora-copper-now-raring-to-dish-up-major-discoveries-in-mongolia-185714.html
<![CDATA[Media files - Kincora Copper boss keen to get drills turning in Mongolia within six months ]]> http://www.proactiveinvestors.co.uk/companies/stocktube/6934/kincora-copper-boss-keen-to-get-drills-turning-in-mongolia-within-six-months-6934.html Fri, 17 Feb 2017 07:26:00 +0000 http://www.proactiveinvestors.co.uk/companies/stocktube/6934/kincora-copper-boss-keen-to-get-drills-turning-in-mongolia-within-six-months-6934.html <![CDATA[News - Will Kincora Copper be the next 10 bagger copper explorer? ]]> http://www.proactiveinvestors.co.uk/companies/news/173194/will-kincora-copper-be-the-next-10-bagger-copper-explorer-173194.html With a new vibrancy towards the resource sector obvious at the VRIC and Indaba conferences so far this year and copper firmly in a bull market it appears the worst of the previous 5-year down cycle is behind us. 

There are even signs of improving investor sentiment towards exploration with those who have lived through previously cycles remembering that the exploration sector provides highest outperformance in a new cycle.

Indeed, when you look at some of the new copper exploration plays that were busy during the downturn setting the foundation for the cycle to turn you can see why investors are looking for the next up and comer, potential 10 bagger plus.

SolGol, just 20 holes into drilling its greenfield Cascabel copper-gold porphyry project in Ecuador, has returned over 20 times to shareholders in the last year. It now has a £600 mln market cap, having raised US$54 mln in September last year with approaches from industry players such as Newcrest and BHP.

Cordoba Minerals’ share price has increased over 14 times since Robert Friedland’s High Powered Exploration’s (HPX) strategic investment in the post discovery San Matias project, and this is despite HPX now owning 65% at the asset level.

It is with this background in mind that we recently spoke to CEO of Kincora Copper (CVE:KCC), Sam Spring, for an update to see where he is at with Kincora’s exploration plans, given the drill season is coming around again soon after the harsh Mongolian winter.

Kincora too has been busy of late setting the foundations for an upswing in the cycle. Only in the last quarter its has announced an exceptional Tier 1 copper porphyry team, consolidated the dominant land position in the emerging gold-rich Southern Gobi copper belt and undertaken an opportunistic capital raising with a leading natural resource institution.

The region boasts Rio Tinto’s (LON:RIO) largest global expansion project, the Oyu Tolgoi mine, as a neighbour and is one of the most prospective remaining frontiers for copper exploration.

With its transaction with IBEX, a Friedland-controlled private entity, Kincora overtakes Rio Tinto controlled entities being the largest accumulator of new exploration ground in this belt during the downturn. .

“We’re pretty sure we’ll be drilling two targets this field season,” says Spring, “and these are two analogous to the nearby large scale copper mines in the belt, Oyu Tolgoi and Tsagaan Suvarga.”

Kincora’s wholly owned targets are Bayan Tal and East Tsagaan Suvarga, the latter otherwise known as East TS.

Bayan Tal is a large scale target with confirmed Oyu Tolgoi (“OT”) style stratigraphy, the first target in the belt since OT with such attributes, and known mineralization on the margin of the interpreted system, including 18 metres at 0.66% copper equivalent (IBEX hole 6) and 0.75% copper equivalent (trench).

East TS is a brownfield open pit target being only 13km from the existing Tsagaan Suvarga open pit which has over 300 million tonnes atgreater than 0.5% copper, situated within the same intrusive system.

The geologists have just recommenced initial field works, looking to expand the target zone at East TS. Following this Spring is hoping to present work programs and “use of funds” proposals to the board in March.

That board is now slightly beefier and punchier than it was at the start of the year, following the appointment of two new directors: Luke Leslie as chairman, and John Holliday as non-executive technical director. The changes reflect Kincora’s two-pronged strategy of exploration and further expansion.

Leslie’s a specialist financier and deal maker, while Holliday is expert at the discovery and evaluation of concealed copper porphyries, particularly large ones like Cadia or Wafi-Golpu,  the kind Kincora is targeting and of the kind that made Oyu Tolgoi famous.

The company has just completed on a C$500,000 private placing it announced at the end of last year, so the funds are at least now in place for Spring to take his plans to the board.

 “Exploration creates a huge amount of wealth if you get it right,” says Spring. “We have been busy in a relatively short period creating the foundations for a big 2017, systematically advancing our new district scale multi-target, multi-stage pipeline up the value curve with two targets now to the point of drilling. These two targets have a lot of similar attributes to the two large-scale mines in our immediate belt.  Encouragement for our geological models this field season would likely being a major value add milestone, particularly in light of the share price performance of some other recent copper exploration plays..

However, unlike other recent copper success stories, like SolGold and Cordoba, Kincora has consolidated the dominant position in the belt, and now looking to make a discovery, or two given the scale of our portfolio. These other groups have made the discovery and are now looking at the next one and consolidating their respective districts.”  

.”The objective for this year is to find some copper, and support our analogies,” says Spring. “It’s time to get on with that.”

While the copper price is already up over 30% in recent months many are expecting further gains as the global market swings to a deficit for the first time since 2011, driven by sustained demand from China, the unknown Trump factor, new copper supply from the last cycle having peaked, continued supply disruption at the world’s two biggest copper mines and potentially flowon effects to other existing operations.

M&A through the downturn of the cycle and overweight exploration budgets reflect the industry’s bullish view of incentive and future pricing for copper.

It appears those few copper juniors with new real exploration plays are well positioned as investors refocus on the favourable structural outlook for copper.

With this in mind, Kincora is one to keep on the watch list as it looks to drill two targets that are analogies to the existing two large-scale mines in the world-class Southern Gobi copper belt.  

Exploration success could support it quickly moving into the leagues of SolGold or Cordoba. 

 

 

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Wed, 15 Feb 2017 10:54:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/173194/will-kincora-copper-be-the-next-10-bagger-copper-explorer-173194.html
<![CDATA[Media files - Mining Capital's Ford bigs up Antofagasta, Kincora on back of Copper price surge ]]> http://www.proactiveinvestors.co.uk/companies/stocktube/6467/mining-capital-s-ford-bigs-up-antofagasta-kincora-on-back-of-copper-price-surge-6467.html Fri, 25 Nov 2016 12:59:00 +0000 http://www.proactiveinvestors.co.uk/companies/stocktube/6467/mining-capital-s-ford-bigs-up-antofagasta-kincora-on-back-of-copper-price-surge-6467.html <![CDATA[News - Kincora Copper now has a solid base from which to embark on a serious elephant hunt ]]> http://www.proactiveinvestors.co.uk/companies/news/169333/kincora-copper-now-has-a-solid-base-from-which-to-embark-on-a-serious-elephant-hunt-169333.html Copper porphyries rarely occur on their own, they occur in clusters focused on key geological structures within established belts.

This salient fact about geology lies at the root of everything that’s been done by Kincora Copper (CVE:KCC) in Mongolia’s South Gobi desert, which is generally recognized as one of the last under explored copper frontiers and a relatively attractive operating environment within trucking distance to the worlds largest consumer of copper.

The template is Chile, which hosts seven of the world’s top ten copper mines by production, all of which are porphyries. The geological model is also proven in other more mature porphyry belts.

The largest of Mongolia’s porphyries, Oyu Tolgoi, which is one of the worlds largest (and most gold-rich) has now gone into production and is being expanded after the largest project financing of its kind in the hard rock industry. A second porphyry project in this belt is in development.

But will there be others? That is the question that Kincora is seeking to answer and which it has now moved much closer to resolving, following a lengthy period of financial readjustment and project-level transformation.

In the wake of positive legislative developments and the likely impact of Oyu Tolgoi’s expansion on international investor attention towards Mongolia, a strong majority result in a Parliamentary election and a low point in the commodity cycle, it fell to Kincora to become the consolidation vehicle of choice for South Gobi copper licenses, and the vehicle of choice too for some of the best mines in copper porphyry exploration.

At the head of it all is Sam Spring, a former mining analyst of the year out of London and Australia. Spring has been plugging away in Mongolia for some years now, supported by major shareholder Origo Partners (LON:OPP) and a unique register for such a stage company.

More latterly though, High Powered Ventures (HPV), controlled by High Powered Exploration (HPX, CEO being Robert Friedland), has come onto the share register, following a deal that was done to combine the Kincora South Gobi land package with that of IBEX, a local subsidiary of HPV.

HPV is the Mongolian vehicle associated with people who discovered Oyu Tolgoi, long since taken over by Rio Tinto, but nonetheless confident they can come round for a second time and do it again.

But times have been tough in mining over the past few years and it’s been necessary for more than a few companies to club together and focus on core priorities.

Kincora picked up the IBEX licenses in scrip transaction that initially valued them at US$900,000, which looks well when set against the +US$25 mln of spend that’s been historically invested.

But it’s not just the spend, it’s the ground itself and data that comes with it.

“IBEX has the dominant position in this belt,” says Spring. “It’s great real estate but with a large and high quality dataset, between and on strike from the two copper mines in the South Gobi. This ground is prospective, although it’s pre-discovery, and you’re seeing increased similarly stage activities in the belt already, despite the current state of the commodity cycle.”

The transaction with IBEX was first announced back in May, and all things being equal, the closure of the deal on 7 November means it hasn’t actually taken that long to complete, although there was a 5 month void of news flow.

While all the boxes were being ticked and the lawyers made happy, Kincora was busy in the background pulling together an industry-leading technical team, undertaking a detailed technical review and workshop, undertaking various exploration activities and hosting other discussions for further consolidation opportunities.

Now though, the gloves can come off. Kincora raised C$1 mln in the summer at the same time as clearing off its outstanding debt to Origo and tightening up its corporate structure. That gives it plenty of room for manoeuvre when it comes to designing a work programme for the newly enlarged landholding.

The first move came on 14 November when the company announced the appointment of two leading copper porphyry experts as senior managers. Peter Leaman is a former head of BHP Billiton Mongolia, responsible for the JV with Ivanhoe in the Gobi, while John Holliday is a former chief geoscientist at Newcrest. Then there is Imants Kavalieris, one of the 6 executive exploration team during the exploration and delineation of the Oyu Tolgoi.

According to the official literature, Leaman and Holliday have “extensive exploration experience and are credited with the discovery of multiple Tier 1 assets and other economically important porphyries”, including the giant 1 Reko Diq copper-gold and and Cadia/Marsden copper-goldporphyries.

Next, says Spring, will be a reappraisal of all the combined data that now exists inside the company.

“What’s the low-hanging fruit here and what are the priorities?” he says. “There are large-scale targets that have the potential to be similar to other mines in the area. Geological expectations would say there would be two mines at least in this belt. The similar size and structural setting belt in Northern Chile has 15 copper mines.

Kincora’s Bayan Tal target sits on the right big picture geological structure, which is found in Chile, other mature porphyry belts and the two mines in the South Gobi.

“Recent activities have confirmed similar Devonian stratigraphy to Oyu Tolgoi, the first target since with such attributes that we are aware of,” says Spring.

“Advancements in geology and geophysics support multiple drill ready targets at Bayan Tal, which is one of the best candidates for a new Tier 1 porphyry discovery in the Southern Gobi.”

While there are no certainties when it comes to exploration, Spring does sounds very excited about this target and the prospect that current activities will support potentially multiple more targets like this.

And will the recent movement in the copper price have any immediate material impact on the company? It might affect sentiment in the market, but the nature of the copper deposits that Kincora is hunting means that the current comparatively low copper price isn’t as important as it might be for smaller deposits.

“The reality is that in this belt with the targets we are hunting that you’re not going to need copper to go to US$3.00 or US$4.00,” says Spring.

“But of course it’s going to take time for interest and capital to come back into the sector.”

And whilst that is happening, Kincora will be building value advancing a unique regional portfolio of targets that sit between and on strike from the two mines in the belt, all under the watchful eye of some copper experts who have a track record of knowing what they are looking for.

With some investors banking 12x on SolGold’s year to date performance, they may be looking at Kincora as the next earlier stage candidate to similarly offer Tier 1 copper porphyry potential.

 

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Tue, 22 Nov 2016 10:59:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/169333/kincora-copper-now-has-a-solid-base-from-which-to-embark-on-a-serious-elephant-hunt-169333.html
<![CDATA[Media files - Kincora Copper Ltd 'excited' by targets identified at Bayan Tal in Mongolia ]]> http://www.proactiveinvestors.co.uk/companies/stocktube/6416/kincora-copper-ltd-excited-by-targets-identified-at-bayan-tal-in-mongolia-6416.html Fri, 18 Nov 2016 08:27:00 +0000 http://www.proactiveinvestors.co.uk/companies/stocktube/6416/kincora-copper-ltd-excited-by-targets-identified-at-bayan-tal-in-mongolia-6416.html <![CDATA[News - Kincora’s IBEX transaction passes key milestone ]]> http://www.proactiveinvestors.co.uk/companies/news/167981/kincoras-ibex-transaction-passes-key-milestone-167981.html The tax authorities in Mongolia have now approved the proposed transaction between High Power Ventures and Kincora Copper (CVE:KCC), under which respective exploration acreage prospective for copper in Mongolia will be merged.

The transaction, which was first mooted in May of this year, will create a consolidated landholding inside Kincora of over 1,500 square kilometres of ground.

The majority of this ground lies across the geological trend which hosts the massive Oyu Tolgoi copper mine found and developed by mining legend Robert Friedland and now owned by Rio Tinto (LON:RIO).

The ground is also prospective for gold.

“It is pleasing to pass this key milestone towards the completion of the IBEX transaction,” said Kincora’s chief executive Sam Spring.

“This milestone supports the transition to the next stages of completing the IBEX transaction.”

 

 

 

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Wed, 26 Oct 2016 07:55:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/167981/kincoras-ibex-transaction-passes-key-milestone-167981.html
<![CDATA[News - Kincora consolidates Mongolian copper province ]]> http://www.proactiveinvestors.co.uk/companies/news/126384/kincora-consolidates-mongolian-copper-province-126384.html If Sam Spring’s comparison of south eastern Mongolia now to Chile in the 1970s holds any water at all, then Kincora Copper’s (CVE:KCC) latest deal could position it as a significant player in the world’s next major copper province.

As chief executive of Kincora and a former AMA Mining Analyst of the Year, Spring brings considerable geological expertise to the table, as well as time spent in the broking community getting to know the whys and wherefores of capital markets.

For a couple of years now, he’s weathered the downturn in mining, conserving cash for Kincora while making sure that licenses are retained, and in some case regained.

Now though, as signs of life start to breathe through the Canadian equity markets, Kincora has staked its claim as a major player in Mongolia by adding to its existing Tourmaline and Bronze Fox licenses a whole swathe of ground held by Ibex, a private vehicle ultimately controlled by the famous mining entrepreneur Robert Friedland.

Seasoned investors will remember that it was Friedland himself who really opened up Mongolia, with the development of what is now one of the world’s largest copper mines at Oyu Tolgoi.

Back then, Friedland’s vehicle was called Ivanhoe, and it made a lot of people a lot of money before eventually selling out to a company commensurate with the size of Oyu Tolgoi, Rio Tinto (LON:RIO).

But the knowledge and skill sets that Friedland and his people gained during that exercise were not to go to waste.

Friedland kept his hand in, and Ibex managed to secure a significant land position north east of Oyu Tolgoi along the trend of the Oyu Tolgoi Tsagaan Suvarga Devonian belt.

It’s this that’s now coming into Kincora via a merger of local subsidiaries and the issue of nearly 59 mln Kincora shares with additional warrants to Ibex’s owner HPX, a private vehicle.

HPX will in turn bring some of the latest exploration technology to bear on the ground in Mongolia.

You can almost hear the excitement in Spring’s voice when he says: “Ibex’s portfolio was secured and targets advanced by former key executives of Oyu Tolgoi’s exploration team and focused on ‘mega scale’ gold-rich coppery porphyry targets.”

In other words, the idea is to turn south-eastern Mongolia now into what Chile was in the 1970s – the next big copper development region.

There, porphyry mines like Oyu Tolgoi almost always occur in clusters. And on a comparative basis, the small corner of Mongolia that contains Oyu Tolgoi and Kincora’s now much-expanded land position would, in Chile, contain 15 large copper mines and be producing more than two million tonnes of copper per year.

 

 

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Wed, 25 May 2016 09:00:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/126384/kincora-consolidates-mongolian-copper-province-126384.html
<![CDATA[News - Kincora Copper well-positioned, as interest in Mongolia reawakens ]]> http://www.proactiveinvestors.co.uk/companies/news/125912/kincora-copper-well-positioned-as-interest-in-mongolia-reawakens-125912.html One of the rub-offs Rio Tinto’s (LON:RIO) planned expansion of the giant Oyu Tolgoi copper mine in Mongolia  was a short run on the shares of Kincora Copper Ltd (CVE:KCC).

Kincora holds large tracts of land not far away from where Rio’s operations are now moving up a gear.

And the thinking is that copper porphyries like Oyu Tolgoi tend to occur in clusters focused on key geological structures within established belts.

This is true in the Southwest Pacific, Arizona and the wider south-western United States and the Andes, particularly in Northern Chile.

That’s where the world’s largest mine is located and the progressive discovery of copper porphyries was central in transforming the country’s economy from the 1970s onwards.

Within a comparable scale landmass, and similar important arc-parallel/transverse geological structures to Northern Chile, the expectation is that the same could now happen in the South Gobi region of Mongolia.

Oyu Tolgoi will be the world’s third largest copper project when the underground expansion does come on stream.

It won’t necessarily be a smooth ride though.

After the initial boost from phase one production at Rio Tinto, the Mongolian government then got into a spat with its key inward investor.

Cue one or two other arguments, including one involving Kincora as part of a dispute regarding 106 exploration licenses. The Kincora dispute, which was over title to the Tourmaline Hills license, finally got resolved last year.

And, more significantly for the overall investment climate, Rio Tinto’s decision to go ahead with the US$7.2bn further development of Oyu Tolgoi represents a clear statement that its argument with the government is over too.

So what does this all mean for Kincora?

“Hopefully,” says chief executive Sam Spring, “it will focus a few people back into the space.”

Over the past few years, like many other companies, Kincora has suffered the slings and arrows of outrageous markets.

There was the evaporation of sentiment towards mining.

There was the increased perception of political risk in Mongolia. And then latterly, there was the decline in the copper price.

“When we drilled one hole in 2012, which had over 1,000 metres of over 0.4%copper equivalent, we had 13 confidentiality agreements signed and resulted in a period we provided one group exclusivity,” says Spring.

“However, various Mongolia specific factors impeded new groups getting involved then, including our Tourmaline Hills license being revoked, the dispute over OT, and no new exploration licenses getting issued. These country specific factors have since been addressed only to be overshadowed by the global commodities cycle”.

And the broader interest may not now be long in coming back with these positive developments noted. Rio has lit a fire once again under the Mongolian mining space, and other companies have not been slow to respond.

There was the 100% upward movement in Kincora’s price across late April/early May, now up 25% year to date.  

Erdene (TSE:ERD) has doubled over the past two weeks and is over 200% higher year to date. Xanadu Mines (ASX:XAM) has also doubled from the middle of April, benefiting from some positive exploration results.

Speculation is also rife that Oyu Tolgoi’s immediate neighbour and joint venture partner Entrée Gold will be taken out some time soon, maybe also within a larger deal for Turquoise Hill Resources.

Talk at a recent Bank of America-hosted conference in Miami was speculation of “when” not “if”.

All of which adds up for a favourable environment in which Kincora’s operations could garner significant interest.

So is there news in the offing?

On that score, Spring will not be drawn in any depth as he is getting his “ducks in a row” with the field season also now opening up in Mongolia and further plans expected to soon be presented.

But asked if he thinks that the new momentum at Oyu Tolgoi will stimulate further deals in the mining sector, his answer is an unequivocal “yes”.

The amount of M&A that has been taking place in the wider copper space driven by a favourable outlook for pricing and lack of good new projects will drive this.

And in its last official communication to market, Kincora stated that it is “actively pursuing a number of more advanced opportunities that would not otherwise be available at other points of the commodity cycle.”

A strong and supportive shareholder base does at least mean that Spring has reasonable room for manoeuvre when it comes to deciding on deals or the resumption of more intensive exploration work on the ground.

“The good thing is that the rocks haven’t changed in Mongolia,” he says. “It’s probably the right time to grow again as an industry.

“And for the exploration targets we’re looking at here, spot commodity prices look good. If you have success it’ll get rewarded as the recent performance of Erdene and Xanadu illustrate with C$55mln and A$100mln market caps respectively.”

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Fri, 13 May 2016 11:19:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/125912/kincora-copper-well-positioned-as-interest-in-mongolia-reawakens-125912.html
<![CDATA[News - Kincora Copper Ltd sharply reduces losses ]]> http://www.proactiveinvestors.co.uk/companies/news/125433/kincora-copper-ltd-sharply-reduces-losses-125433.html Exploration stage company Kincora Copper Ltd (CVE:KCC) saw losses almost halve in 2015.

The pre-revenue company posted a loss of C$1.07mln for 2015, versus a loss of C$1.98mln the year before.

There was a sharp reduction in salaries and management fees to C$24,000 from C$590,000 the year before.

The company ended the reporting period with cash and cash equivalents of C$398,000, with another half million or so held in an escrow account.

Last month, the Mongolia-focused explorer added to its assets in the area with the acquisition of a new copper gold prospect adjacent to two existing properties.

The new licence, Ulaan Khudag (Red Well), is 15km along the mineralised trend from the huge Rio Tinto-controlled Oyu Tolgoi project.

A sample in the east of the licence returned 2% copper and 0.25 grams per tonne (g/t) gold with anomalous values also to the west, Kincora said.

Kincora added it is also looking at more advanced prospects and will hold talks with its largest shareholder Origo Partners and other members of the board.

Work this year so far on its two existing licences has identified near surface targets that warrant testing on the margins of the Bronze Fox Intrusive Complex.

Next steps will include trenching then drilling for finger porphyries targets.


 

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Fri, 29 Apr 2016 14:28:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/125433/kincora-copper-ltd-sharply-reduces-losses-125433.html
<![CDATA[News - Kincora's new Mongolia licence on trend with Oyu Tolgoi ]]> http://www.proactiveinvestors.co.uk/companies/news/123147/kincora-s-new-mongolia-licence-on-trend-with-oyu-tolgoi-123147.html Kincora Copper (CVE:KCC) has added to its portfolio in Mongolia the acquisition of a new copper gold prospect adjacent to two existing properties.

The new licence, Ulaan Khudag (Red Well), is 15km along the mineralised trend from the huge Rio Tinto-controlled Oyu Tolgoi project.

Sample in the east of the licence returned 2% copper and 0.25g/t gold with anomalous values also to the west.

Kincora added it is also looking at more advanced prospects and will hold talks with its largest shareholder Origo Partners and other members of the board.

It held cash at its year-end of approximately US$400,000 with US$500,000 in an escrow account.

Sam Spring, chief executive, added that work this year so far on its two existing licences  has identified near surface targets that warrant testing on the margins of the Bronze Fox Intrusive Complex.

Next steps will include trenching then drilling for finger porphyries targets.

“The licence has a full term of up to 12 years and is an attractive addition to our portfolio with very low capital requirement, again highlighting Mongolia's status of one of the last proven but underexplored copper frontiers and on China's doorstep,“ Spring said..

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Tue, 01 Mar 2016 12:48:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/123147/kincora-s-new-mongolia-licence-on-trend-with-oyu-tolgoi-123147.html
<![CDATA[News - Kincora Copper looking at new options in and outside of Mongolia ]]> http://www.proactiveinvestors.co.uk/companies/news/119749/kincora-copper-looking-at-new-options-in-and-outside-of-mongolia-119749.html Exploration stage company Kincora Copper (CVE:KCC) is actively seeking potential options to enhance shareholder value both in and outside of Mongolia.

Sitting on cash and cash equivalent of C$1.16mln as at the end of September, the company said in its third quarter update that it is looking at assets that are either nearly constructed or already producing, that would not otherwise be available for purchase at more favourable points in the commodity cycle.

As a pre-revenue company, the Mongolia-focused gold and copper mine developer is currently loss-making; the third quarter loss narrowed to C$433,000 from C$509,000 in the same period of 2014, as the loss on foreign exchange movements was less severe this year.

The company has completed its 2015 field season programme at its Bronze Fox and Tourmaline Hill licences.

Assay results are pending with the activities from the 2015 field season yet to be integrated with previous years’ results.

Shares in Kincora rose 25% to 2.5 cents in Toronto on Wednesday.

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Thu, 26 Nov 2015 10:33:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/119749/kincora-copper-looking-at-new-options-in-and-outside-of-mongolia-119749.html
<![CDATA[News - Kincora Copper's loan note issue to Origo gets clearance ]]> http://www.proactiveinvestors.co.uk/companies/news/119534/kincora-copper-s-loan-note-issue-to-origo-gets-clearance-119534.html Mongolia-focused Kincora Copper (CVE:KCC) said the TSX Venture Exchange has okayed the issue of the C$2.5mln convertible note to major shareholder Origo Partners (LON:OPP).

Likewise, it has given the green light to the issue of 4.35 million common shares of the company at a deemed price of five cents per share to Origo in settlement of outstanding interest due to Origo, as detailed in the November 10 news release.

Both the note and the interest shares are subject to a hold period expiring March 19, 2016, Kincora noted.

Origo Partners (LON:OPP) is a closed-ended investment fund based in London that has been, according to Kincora, a “very supportive” backer of the company.

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Fri, 20 Nov 2015 12:44:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/119534/kincora-copper-s-loan-note-issue-to-origo-gets-clearance-119534.html
<![CDATA[News - Kincora Copper settles interest on C$2.5mln note with shares ]]> http://www.proactiveinvestors.co.uk/companies/news/119046/kincora-copper-settles-interest-on-c25mln-note-with-shares-119046.html Mongolia-focused mining junior Kincora (CVE:KCC) announced it was to settle interest on a convertible loan, now renegotiated, by issuing shares.

The C$2.5mln convertible loan from fund Origo Partners (LON:OPP), was issued in July 2012.

Last month, Kincora revealed the note would be rolled over after it had been due for repayment in July of this year.

It was remediated to become due and payable on October 21, 2016 with interest at 8.7%  a year.

Kincora said it planned to settle interest on the period from July 20 last year to July 19 this amounting to C$ $217,500 through issuing 4.35mln shares  at C$0.05 each

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Wed, 11 Nov 2015 09:34:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/119046/kincora-copper-settles-interest-on-c25mln-note-with-shares-119046.html
<![CDATA[News - Kincora Copper rolls over Origo debt, eyes new transactions ]]> http://www.proactiveinvestors.co.uk/companies/news/116577/kincora-copper-rolls-over-origo-debt-eyes-new-transactions-116577.html It’s taken a while, but Kincora Copper (CVE:KCC) has at last managed to roll over the C$2.5mln convertible note that had been due for repayment in July of this year.

C$2.5mln is no mean sum for a junior exploration company with no production to pull together in a hostile market like this, and investors weren’t unduly surprised when Kincora announced towards the end of July that the debt would be issued in shares rather than cash.

Negotiations about the precise form that deal would take rumbled on into the northern hemisphere autumn, with Kincora stating in an August corporate update that discussions with Origo, the holder of the loan note, were continuing.

For many small companies the spectre of a C$2.5mln debt looming over them with ever greater intensity when equity finance is sparse indeed might have seemed alarming.

Kincora’s case was slightly different.

The debt is owed to Origo Partners (LON:OPP), a closed-ended investment fund based out of London, and whom Kincora has described all along as “very supportive.”

It helps that Origo doesn’t just hold Kincora debt, but is also a major shareholder too.

Under those circumstances although the debt repayment is important, it isn’t Origo’s over-riding concern – that still remains the success of the company.

Nonetheless, a deal has to be right for both parties and although there was willingness for a discussion of full conversion earlier in the summer, Origo and Kincora have instead now opted for a roll-over of the debt until October of next year, with the added benefit to Origo of an 8.7% coupon and its choice of payment in either cash or shares.

Origo will also retain the right to convert in the event that Kincora undertakes an equity placing of more than C$500,000, and on equal terms.

The deal frees up Kincora to focus more fully on its Mongolian copper tenements, the Bronze Fox project and the Tourmaline Hill project.

With the debt issue unresolved and the equity markets uncertain the company has understandably been reluctant to commit to any major drill campaign in the current season, but sampling and mapping work remains ongoing with a view to the clearer definition of drill targets for future campaigns.

There’s also the possibility that Kincora could look up now, as chief executive Sam Spring stated earlier today.

“The replacement note reiterates Origo’s backing of management and Kincora’s strategy which includes continued work on our existing prospects, potentially expanding our footprint and pursuing more advanced opportunities that would not otherwise be available at other points of the commodity cycle,” he said.

Origo said something similar in its most recent update to market, noting that Kincora “is assessing a range of corporate transactions.”

What these might be remains to be seen, but as a former mining analyst Spring is no stranger to running the rule over new mining projects.

Kincora isn’t Origo’s only investment in Mongolia, so it mightn’t be too surprising if a deal was sought and eventually done in-country. But we shall wait and see.

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Fri, 23 Oct 2015 03:47:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/116577/kincora-copper-rolls-over-origo-debt-eyes-new-transactions-116577.html
<![CDATA[News - Kincora Copper keen on adding to portfolio ]]> http://www.proactiveinvestors.co.uk/companies/news/110425/kincora-copper-keen-on-adding-to-portfolio-110425.html Kincora Copper (CVE:KCC) is looking at new properties around its existing Bronze Fox property in Mongolia after the application process for the east of Mongolia re-opened last week.

The area includes territory within the hugely prolific Oyu Tolgoi copper belt where Rio Tinto recently opened one of the world’s largest copper mines.

Kincora has focused on reducing costs further while it looks at ways to advance its existing Bronze Fox and Tourmaline Hills copper properties in Mongolia.

The explorer ended the half year to June with cash of C$1.42mln, enough for a year and surface exploration, including infill mapping and geochemistry, around both projects.

“The key objective for the 2015 field season will be refining discrete magnetic anomaly highs around the BFIC, including a series of large targets that cross or are adjacent to the eastern and western licence boundary, and undertaking magnetic modelling to refine potential drilling targets.”

Kincora repeated it is also looking outside of Mongolia for near construction and production assets that would not otherwise be available at more favourable points in the commodity cycle.

Discussions with major shareholder Origo Partners regarding the settlement and/or extension of the US$2.5mln convertible note that is now due are continuing, it added.

The company posted a loss of C$194,000 (C$755,000) in the three months to June.

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Tue, 01 Sep 2015 12:43:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/110425/kincora-copper-keen-on-adding-to-portfolio-110425.html
<![CDATA[News - Kincora Copper gets back to work on its Mongolian properties ]]> http://www.proactiveinvestors.co.uk/companies/news/109758/kincora-copper-gets-back-to-work-on-its-mongolian-properties-109758.html Kincora Copper (CVE:KCC) is set to resume field activities on the ground at its copper exploration properties in Mongolia shortly.

The company said that it will conduct infill mapping and geochemistry work on the Bronze Fox and Tourmaline Hill properties, which lie not far from the giant Oyu Tolgoi development currently being undertaken by Rio Tinto (LON:RIO).

There had been some speculation that Kincora might undertake a larger scale exploration programme involving a bigger drilling campaign now that a dispute about some of its licence areas has been cleared up, but the company is mindful that conserving cash in the current equity bear market for mining companies is crucial.

Kincora also said that it is considering “options both inside and outside Mongolia”, by which it means potential acquisitions.

These would either be near-term production or assets that were currently in the construction phase, and would thus be in a position to provide early cash flow and an early return.

Having said that though, the company remains in negotiations with Origo Partners, its biggest shareholder, regarding a $2.5 mln convertible note that was due on 19th July this year.

The company said it “remains in discussions” with Origo and that there is “no certainty” that the note will be converted.

The note was issued back in 2012 when Kincora was on a role and Mongolia’s reputation hadn’t yet been tarnished with the bureaucratic mangle that subsequently severely delayed Oyu Tolgoi.

On issuance the note carried an 8.7% coupon, payable in Kincora shares, and was convertible at C$0.25 per unit, with each unit comprising one share and one warrant exercisable at C$0.40.

The exercise date for the warrants has now expired.

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Fri, 07 Aug 2015 07:49:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/109758/kincora-copper-gets-back-to-work-on-its-mongolian-properties-109758.html
<![CDATA[News - Kincora Copper settles Origo loan with share issue ]]> http://www.proactiveinvestors.co.uk/companies/news/109323/kincora-copper-settles-origo-loan-with-share-issue-109323.html Kincora Copper's (CVE:KCC) major shareholder Origo Partners will hold an increased stake in the company as the Toronto-listed firm plans to issue it with over 14mln shares in settlement of a convertible loan.

Kincora will issue 4.35mln shares at five Canadian cents to settle annual interest, while 10 million shares at 25 cents will be issued to finally clear the C$2.5mln loan.

Following this, Origo will hold around 95.8mln Kincora shares,  or 29.6% of the capital (previously 26%), with no outstanding convertible notes or other debt instruments, said the Mongolia-focused mining firm.

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Fri, 24 Jul 2015 11:03:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/109323/kincora-copper-settles-origo-loan-with-share-issue-109323.html
<![CDATA[News - Kincora upbeat as Mongolia returns to investment fold ]]> http://www.proactiveinvestors.co.uk/companies/news/108984/kincora-upbeat-as-mongolia-returns-to-investment-fold-108984.html Kincora Copper will shortly be making some big decisions in Mongolia

The opportunities for miners in Mongolia can be immense, as Kincora Copper’s (CVE:KCC) Sam Spring knows only too well.

He’s been on the ground working Kincora’s Bronze Fox copper property for some years now, always in the shadow of the giant Oyu Tolgoi copper project.

Oyu Tolgoi alone, says Spring, looks set to account for around a third of the Mongolian economy.

That’s a huge impact for one project to have, and it’s hardly surprising that at some points the country’s government organisations have struggled to come up with a coherent and consistent policy towards mining, and controlling economic growth and inflation.

Oyu Tolgoi itself has suffered problems at the political level, as joint owners Rio Tinto and the Mongolian government squabbled over budgeting and approvals.

And Kincora too has had to fight its corner, following the unexpected revocation of rights over two licenses adjacent to its flagship Bronze Fox project that led to a C$7 mln impairment to the company’s 2013 accounts.

“It’s been a real rollercoaster,” says Spring, speaking on the phone from Ulan Bator.

“I walked into a bit of a hospital pass when I took over as chief executive with a dispute with the government and various negative bits of legislation put in place at the time.

“Fortunately, these mistakes have more or less been realised and actions either taken or proposed to win back investors.”

Sentiment towards Kincora and towards Mongolia was severely dented.

Initially, though the company was undaunted.

“We drilled 10,000 metres last year,” says Spring. “But we couldn’t drill where we previously had the best drill results because of the licence dispute.”

Consequently, the results that came in, although respectable, were not, says Spring, “standout” as needed in the current market for exploration plays.

With that in mind, and with disputes about Oyu Tolgoi rumbling in the background, it was then deemed prudent to scale back activities somewhat.

“After last year’s field season we decided we wouldn’t do any serious exploration until we got our disputed licences back, Oyu Tolgoi got resolved or the general exploration market improved,” says Spring.

But, 2015 has been an eventful year in Mongolia. The government has now settled its differences with Rio Tinto at Oyu Tolgoi, and also resolved its licence dispute with Kincora.

That leaves a clear path open for activities on the ground to restart in a major way, although precisely what form that resumption of activity will take remains to be seen.

“We’ve got some good targets that in normal conditions would be easy to fund,” says Spring.

But he notes that recent exploration success from near neighbours Xanadu Mines (AXS:XAM) was actually met with share price weakness as investors took the opportunity to sell into good news.

At the same time, the exploration potential in the South Gobi desert, where Kincora’s ground lies within 140 kilometres of Oyu Tolgoi and 40 kilometres from Tsagaan Suvarga, another US$1bn plus greenfield copper porphyry construction project, is just too huge to be ignored.

“There are not too many areas in the world with the copper potential of the South Gobi and it is a relatively favourable jurisdiction compared to other copper frontiers such as the DRC or highlands in PNG,” says Spring.

“It’s comparable to Chile in the 1970s from an unknown geological and project development perspective with the region’s potential finally opening up following recent legislative change. If we find one or two of these copper porphyrys then it’s a game changer.”

He also expects that Mongolia will return to investors’ radars relatively quickly once Stage 2 construction recommences at Oyu Tolgoi.

“The biggest project in the history of the country was stuck for three years,” he says.

 “But Mongolia’s back on the watch list and as the government even says, “Mongolia is open for Business (again)”. If Oyu Tolgoi happens the way it should then we’ll see world-leading growth rates coming through from the country.”

That’s not a bad environment in which to be cranking up an exploration programme. At the end of the last quarter the company had C$1.6 mln in the bank.

“That,” says Spring, “is enough to go out and do some more exploration. It’s not a huge amount when it comes to a drilling programme, but we probably could push the boat out and do some drilling on our cash reserves but the general market remains challenging. There’ll be a decision in the next couple of weeks.”

Key shareholders will be allowed their say, but there will be strong arguments that the potential rewards now outweigh the risks. 

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Tue, 14 Jul 2015 12:03:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/108984/kincora-upbeat-as-mongolia-returns-to-investment-fold-108984.html
<![CDATA[News - Kincora Copper set for boost from agreement over Oyu Tolgoi project ]]> http://www.proactiveinvestors.co.uk/companies/news/107255/kincora-copper-set-for-boost-from-agreement-over-oyu-tolgoi-project-107255.html Mongolia-focused Kincora Copper (CVE:KCC) received a boost on Tuesday - as the government reached agreement with mining giant Rio Tinto (LON:RIO) over expansion at the huge, world class Oyu Tolgoi project.

The administration inked the underground mine development and financing plan with Turquoise Hill Resources and Rio Tinto, meaning work on the US$5bn delayed underground expansion can now begin after a long-running dispute.

The Mongolian prime minister Chimediin Saikhanbileg said: "Mongolia is back to business. 

"Oyu Tolgoi is a world-class copper-gold asset and its further development is of great economic significance for Mongolia.  

"We have finalised a way forward with our partners which re-establishes the foundations of a new and constructive relationship based on mutual trust and our joint long-term commitment to Mongolia's growth."

It could mean financing could now start to flow on other projects, which will be welcome news to Kincora.

It is developing the Bronze Fox copper-gold deposit in southeast Mongolia, in the Oyu Tolgoi copper belt and around 140km northeast of Oyu Tolgoi.

Earlier this year, it won back Golden Grouse licences  that the government had cancelled in 2013 and welcomed changes in Mongolia's investment laws.

Kincora chief executive Sam Spring  was quoted as saying this morning "It puts Mongolia back in the game."

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Tue, 19 May 2015 08:16:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/107255/kincora-copper-set-for-boost-from-agreement-over-oyu-tolgoi-project-107255.html
<![CDATA[News - Kincora Copper welcomes reinstatement of Mongolian gold licenses with new 12-year terms ]]> http://www.proactiveinvestors.co.uk/companies/news/105753/kincora-copper-welcomes-reinstatement-of-mongolian-gold-licenses-with-new-12-year-terms-60216.html Kincora Copper (CVE:KCC) has confirmed the reinstatement of its two gold exploration licences in Mongolia with new 12-year terms. 

The Golden Grouse gold prospects comprise the North Fox prospect and the Western license and are next door to the company’s copper project, Bronze Fox.

The Western licence hosts the Khunguut copper/gold extension of the West Kasulu prospect on Bronze Fox and the Tourmaline Hills, West Fox and Southwest targets.

Drilling undertaken by Kincora so far has focused on West Kasulu and 15 holes at Tourmaline Hills. 

Sam Spring, Kincora’s chief executive, said: "Uncertainty and the revocation of our Golden Grouse licenses has significantly impacted Kincora and general investor confidence towards Mongolia for over two years. 

“We welcome this resolution in the most equitable and timely manner available to us, taking into consideration the interests of our shareholders and avoiding the courts. 

“Regaining the returned Western license is particularly significant given its strategic importance, common geology with our Bronze Fox license, prospective previous results and favourable structural setting. 

“The 106-license dispute has materially impeded Kincora's exploration efforts, including at Bronze Fox, and our corporate discussions and strategy.” 

Elisabeth Ellis, resident managing partner at Minter Ellison, which advised Kincora, added it was timely and welcome news for foreign investors with assets in Mongolia and those considering an investment in the country.

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Wed, 04 Mar 2015 08:15:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/105753/kincora-copper-welcomes-reinstatement-of-mongolian-gold-licenses-with-new-12-year-terms-60216.html
<![CDATA[News - Kincora set to regain gold licences in Mongolia ]]> http://www.proactiveinvestors.co.uk/companies/news/105458/kincora-set-to-regain-gold-licences-in-mongolia-59814.html Kincora Copper (CVE:KCC) expects to be handed back both of its gold licences in Mongolia as no other bidders emerged in the recent tender.

The explorer had seen both permits, held by its Golden Grouse subsidiary, annulled along with 104 others in Mongolia due to government concerns over the way they were issued.

The licences were put out for re-tender, but with no other interested parties Kincora expects a final administrative review and process will see it regain both as new with a full 12-year term.

Kincora has already taken a C$6.95mln impairment charge in relation to the licences. Its main asset is the Bronze Fox copper deposit in Mongolia.

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Wed, 11 Feb 2015 06:33:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/105458/kincora-set-to-regain-gold-licences-in-mongolia-59814.html
<![CDATA[News - Kincora Copper's revoked gold licences go to second tender ]]> http://www.proactiveinvestors.co.uk/companies/news/104994/kincora-coppers-revoked-gold-licences-go-to-second-tender-59192.html Kincora Copper’s (CVE:KCC) gold licences revoked by the Mongolian government will be subject to another round of tenders next month to determine if it will get them back.

The two licences, owned by its Golden Grouse subsidiary, were among 106 cancelled by the Mongolian government after questions over how they were issued; Kincora has already taken a C$6.95mln impairment charge in relation to the licences.

A process has now started in Mongolia for previous owners of the 106 licences to re-tender or alternatively to get back any expenditure they had incurred from a new owner.

Kincora said its licences were part of a batch of thirteen put up for re-tender on 9 January, but will now be subject to a second and final tender on 11 February.

Overall, 23 licences with an estimated cumulative US$2.49mln of expenditure have been re-tendered so far, said Kincora, with 16 returned to the former holders, three remaining with the State following no bids and four acquired by third parties.

Last month, the company said it had agreed a figure for its exploration costs so far and these will be reimbursed if it is unsuccessful in the tender.

Kincora added today that it looked forward to the conclusion of the dispute in an equitable manner next month.

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Mon, 12 Jan 2015 06:37:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/104994/kincora-coppers-revoked-gold-licences-go-to-second-tender-59192.html
<![CDATA[News - Kincora Copper starts Golden Grouse license re-tendering process ]]> http://www.proactiveinvestors.co.uk/companies/news/104634/kincora-copper-starts-golden-grouse-license-re-tendering-process-58731.html Kincora Copper (CVE:KCC) has agreed the first step to recovering the gold exploration licenses annulled by the Mongolian government.

Its Golden Grouse licenses were among a group of 106 revoked over concerns about how they were issued.

A process of re-tendering has now got underway, with Kincora and the local authorities agreeing a figure for its exploration costs so far.

These will form the starting point for the competitive tender process expected to be held on 9th January 2015 and be reimbursed by the winner if it is not Kincora.

A second and final tender may take place on 9 February, if needed, to reissue the revoked licenses. 

Sam Spring, Kincora’s chief executive, said:  "Uncertainty and the revocation of our Golden Grouse licenses, as part of the 106, have significantly impacted Kincora and general investor confidence towards Mongolia for almost two years. 

“We look forward to this matter being resolved early in 2015 with the former licenses either returned as new, with a full 12 year term or the receipt of a relatively significant sum of compensation, particularly in the context of the current market, reflecting previous acquisition and exploration costs. 

“Resolution of the 106-license dispute and expected near term opening up of new exploration ground, for the first time since early 2010, is expected to support a more attractive exploration sector in Mongolia." 

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Thu, 11 Dec 2014 07:47:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/104634/kincora-copper-starts-golden-grouse-license-re-tendering-process-58731.html
<![CDATA[News - Kincora Copper identifies new targets at Bronze Fox ]]> http://www.proactiveinvestors.co.uk/companies/news/104612/kincora-copper-identifies-new-targets-at-bronze-fox-58702.html Mongolia-based copper explorer Kincora (CVE:KCC) 2014 field work has identified a number of new targets at its Bronze Fox prospect but nothing economic as yet, it said today.

Sam Spring, Kincora’s chief executive, added:  “As with previous field seasons, this year’s activities returned extensive copper at various targets without yet defining mineralisation that could be considered economic. 

“One of the last holes of the year returned favourable gold mineralization in a new zone at Sophie North.

“A number of targets remain open and prospective for both copper and gold throughout the Bronze Fox license with further systematic surface exploration expected in 2015, a plan for which has been defined and supported by existing cash reserves, and drilling.“

Spring added that the company will not explore any further on the Golden Grouse gold licences until the dispute with the Mongolian government over tenure is resolved. 

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Wed, 10 Dec 2014 03:46:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/104612/kincora-copper-identifies-new-targets-at-bronze-fox-58702.html
<![CDATA[News - Kincora Copper waits for cost assessment in 106-licence dispute ]]> http://www.proactiveinvestors.co.uk/companies/news/103539/kincora-copper-waits-for-cost-assessment-in-106-licence-dispute-57229.html Kincora Copper (CVE:KCC) is still waiting for confirmation of incurred costs in its dispute with the Mongolian government over two licences revoked last year.

The copper explorer wants to re-tender for the licences and is seeking to have a “threshold price” of around US$6.95mln confirmed. It wrote down their value down by that amount in 2013.

Called the Golden Grouse licences, the exploration permits were rescinded last year along with 104 others following an investigation into government officials who were said to have issued them illegally. 

The government now says that former licence holders must corroborate any expenses incurred, “a threshold price”, and that these will form the starting point of the tender for their re-issue.

Companies that previously held licences, such as Kincora, do not have to pay the threshold price when participating in a new competitive auction. If successful, they will get full tenure rights again and if not past expenses will reimbursed by the successful bidder.

A threshold price for Golden Grouse has not been set yet, though, and Kincora said it has also not received an indicative timeline for the re-tendering process, though it is pursuing this proactively with government officials.

Elsewhere, Kincora said it had finished a thirteen hole drilling program at its Bronze Fox copper project, also in Mongolia, and is waiting for the assay results.

The program comprised over 10,000 metres, including 3,000 metres of reverse circulation drilling.

As at the end of June, Kincora's cash and cash equivalents was C$4.47mln.

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Mon, 06 Oct 2014 08:44:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/103539/kincora-copper-waits-for-cost-assessment-in-106-licence-dispute-57229.html
<![CDATA[News - Kincora Copper digesting latest Mongolian gov't move on revoked licences ]]> http://www.proactiveinvestors.co.uk/companies/news/102527/kincora-copper-digesting-latest-mongolian-govt-move-on-revoked-licences-55758.html Kincora Copper (CVE:KCC) has not welcomed with open arms the latest Mongolian government move to resolve the issue of revoked licences in the country.

Kincora’s two Golden Grouse exploration licences were revoked in November last year along with 104 other licences following a criminal investigation into former government officials accused of illegally issuing the permits.

Under a new resolution passed on July 4 this year, former licence holders and other third parties would be required to re-tender for the previously revoked licenses on a competitive basis.  The resolution follows amendments to the Minerals Law made on July 1.

Sam Spring, Kincora's president and chief executive, who recently joined the board of directors, said: "Resolution #216 undermines the relatively limited, and broadly positive, amendments to key items of the existing Mineral Law.

"The proposed competitive tender process contradicts the positive move toward a direct application, "first come, first served", approach adopted under the amended Minerals Law and is at odds with recent proposed reform aimed at encouraging private sector activities, reviving the minerals sector and Mongolian economy."

Spring added that the firm, along with the association of active former license holders, continues to lobby the Ministry of Mining and appropriate Government officials to achieve what it called a 'win-win' solution for all stakeholders.

It said it remained confident its revoked licences will be returned.

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Tue, 29 Jul 2014 07:29:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/102527/kincora-copper-digesting-latest-mongolian-govt-move-on-revoked-licences-55758.html
<![CDATA[News - Kincora Copper Mongolia exploration yields “very encouraging” initial results ]]> http://www.proactiveinvestors.co.uk/companies/news/102221/kincora-copper-mongolia-exploration-yields-very-encouraging-initial-results-55328.html Kincora Copper (CVE:KCC) released what it called “very encouraging” initial exploration results from Mongolia, in new area which is now being know as Shargal Tolgoi – which means ‘Yellowish Hill’.

This new mineralized copper zone is adjacent to a prominent regional fault to the south-east of previous drilling and mineralization at West Kasulu, Kincora said.

Assay results from drilling are currently pending, but the company has said that all holes yielded “at least broad visual lower grade copper mineralization”.

Three drill holes have thus far been completed, whilst drilling continues in two others.

“Initial exploration activities this field season are very encouraging, supporting our strategy of testing large scale targets inline with known copper porphyry orebodies, including Oyu Tolgoi,” said chief executive Sam Spring.

“The successful identification of at least broad visual lower grade copper mineralization in all drill holes, noting assay results are pending, and the favorable near surface expressions to date, has confirmed our geological model.”

It also expands the copper porphyry potential at Bronze Fox in a significant and new mineralized copper zone, Spring said.

Kincora also noted that the Mongolian Parliament has approved amendments to the existing Minerals Law, though the full details are not yet known.

It told investors that it will continue to inform them of significant developments regarding ongoing exploration activities and the proposed resolution of the 106 license issue – which impacts two lower priority licenses adjacent to the flagship Copper Fox project.

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Thu, 10 Jul 2014 06:03:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/102221/kincora-copper-mongolia-exploration-yields-very-encouraging-initial-results-55328.html
<![CDATA[News - Kincora Copper strikes agreeement for possible Bronze Fox partnership ]]> http://www.proactiveinvestors.co.uk/companies/news/101798/kincora-copper-strikes-agreeement-for-possible-bronze-fox-partnership-54744.html Toronto- listed Kincora Copper (CVE:KCC) announced progress at its Bronze Fox project in Mongolia - as it struck an exclusivity agreement on a possible alliance for the asset.

The agreement grants a third party exclusive rights to carry out due diligence on the copper project ahead of a potential joint venture, strategic alliance or other transaction.

Sam Spring, Kincora's president and chief executive, told investors: "Kincora is the last remaining listed copper junior in Mongolia without a strategic partner."

"This is despite Bronze Fox being one of the more advanced copper projects, situated in the Oyu Tolgoi mineralisation structural trend.."

He also highlighted the property's strategic loacation in one of the most rapidly developing mining centers and one of the last underexplored frontiers.

"The company has attracted interest from various existing large-scale copper producers and welcomes advancing discussions with this particular group as we continue our ongoing drilling and other exploration activities at Bronze Fox."

Bronze Fox has a mineral footprint of around 40 sq km and lies 140km from Rio Tinto 's (LON:RIO) Oyu Tolgoi mine, where daily production  is targetted of up to 160,000 tonnes a day.

At Bronze Fox, Kincora aims to fimd shallow and/or deep copper-gold porphyry deposits and assess the potential for shallow gold deposits with a view to the future development of open pit or underground mines.

The firm noted that this exclusivity agrrement did not  restrict Kincora’s ability to undertake ongoing exploration activities or other corporate moves, such as private placings.

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Fri, 13 Jun 2014 08:37:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/101798/kincora-copper-strikes-agreeement-for-possible-bronze-fox-partnership-54744.html
<![CDATA[News - Kincora Copper kicks off drilling at Bronze Fox ]]> http://www.proactiveinvestors.co.uk/companies/news/101504/kincora-copper-kicks-off-drilling-at-bronze-fox-54352.html  

Kincora Copper (CVE:KCC) has kicked off drilling activities at high priority copper porphyry targets at its Bronze Fox asset in Mongolia.

Drilling activities will focus on areas of known mineralisation that remain largely untested, with sUBSequent induced polarization (IP), alternation and/or fertility analysis guiding the company to areas of potential high grade mineralisation.

Trenching activities have also commenced at the Happy Geo prospect following promising recent surface sample results and corresponding integrated geophysical analysis.

The Happy Geo prospect is a 2x7 kilometres structurally controlled east-west corridor in the southern half of Bronze Fox.

Previous exploration work has identified outcropping gold veins (from rock chip grab and soil grid sampling), cutting a folded and faulted Upper Carboniferous clastic sequence, and this region is to the south of a large fault that separates the more advanced copper porphyry targets to the north, the company said.

“The primary focus remains large-scale copper porphyry targets that have been actively advanced in the last 18 months since we last drilled at Bronze Fox, where we previously returned very promising results,” declared Sam Spring, president and chief executive officer of Kincora.

“Furthermore, the gold potential across the project is being pursued, noting that approximately a third of all holes previously drilled at Bronze Fox have returned intervals of at least 1g/t [grams per tonne] gold, with activities focused on the Happy Geo prospect where no previous drilling has taken place, consistent high grade surfaces have been returned with favourable corresponding geophysics,” Spring added.

The company also revealed that it has appointed Henry Tebar as principal geologist and a number of other highly qualified local geologists to its existing team.

Tebar is familiar with Bronze Fox via his previous role as president and chief geologist of the Trafigura Origo joint venture in Mongolia, has extensive knowledge of various regional opportunities and has an existing working relationship with Kincora’s director of exploration, Yawen Cao.

Meanwhile, Eric Zurrin, a former director of UBS Investment Bank’s EMRA metals and mining team, has joined the board of Kincora. He is currently a director of Mongolia-based merchant bank Resource Investment Capital, and has extensive experience of capital sourcing through partner distribution networks in the international markets as well as being well-versed in the Mongolian investment scene.

At the same time, Stephen Fabian and David Cown have stepped down from the board.

Lastly, the company confirmed it has completed the previously announced placing of 7.74mln units of Kincora with Khayam Minerals at a price of C$0.05 a unit, to raise C$387,000 (gross).

Shares in Kincora were up 9.1% at 6 cents early doors in Canada.

 

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Tue, 27 May 2014 11:14:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/101504/kincora-copper-kicks-off-drilling-at-bronze-fox-54352.html
<![CDATA[News - Kincora Copper hails ‘win-win’ outcome in Mongolia ]]> http://www.proactiveinvestors.co.uk/companies/news/101023/kincora-copper-hails-win-win-outcome-in-mongolia-53690.html Kincora Copper (CVE:KCC) is confident two of its licences that were revoked by the Mongolian government will be returned after a resolution was tabled by the Ministry of Mining.

The company, listed on the junior market in Toronto, called the proposed resolution, which still requires parliamentary approval, a “win-win” outcome for all involved.

Kincora’s two Golden Grouse exploration licences were revoked in November last year along with 104 other licences following a criminal investigation into former government officials accused of illegally issuing the permits.

The move forced the company to write off C$6.95mln from its balance sheet.

The government has, however, proposed to compensate for time lost in a bid to encourage investment to Mongolia once more.

The company’s flagship Bronze Fox project was unaffected by the government’s move.

Sam Spring, the company’s president and chief executive, said: “Kincora has been proactively working with the Ministry of Mining to achieve a win-win solution for all stakeholders and I very much believe the key concepts in the resolution put forward to the Mongolian Parliament would achieve that.

“The proposed resolution of the 106-licence issue is probably the most transparent and tangible recent example of the Government of Mongolia, via the Ministry, working with investors to revive private sector activities, learn and move on from past mistakes [and] acknowledging security of tenure.”

Kincora’s share price has soared almost 200% this year to 7 cents.

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Mon, 28 Apr 2014 07:24:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/101023/kincora-copper-hails-win-win-outcome-in-mongolia-53690.html
<![CDATA[News - Kincora Copper closes oversubscribed C$5mln private placement ]]> http://www.proactiveinvestors.co.uk/companies/news/100520/kincora-copper-closes-oversubscribed-c5mln-private-placement-53008.html Kincora Copper (CVE:KCC) completed a C$5mln private placement, subject to certain approvals, and said it will use the proceeds for high priority drilling and other exploration activities at its flagship Bronze Fox license in Mongolia. 

“The successful placing attracted considerable demand from both new and existing investors and was significantly oversubscribed,” the company said.

The company closed the first tranche of financing for gross proceeds of C$4.6mln through the issue of 91.5mln units - consisting of one share and one warrant. It plans to raise a further C$425,000 via the issue of about 8.5mln units to Khayyam Minerals (CVE:KYY.P).

“I would like to welcome a number of new investors, some of which are mining sector and/or Mongolia specialist groups, who participated in the private placement and thank existing shareholders for their continued support as we enter a very exciting period for Kincora,” said Sam Spring, president and chief executive of Kincora.

The Bronze Fox license is situated about 250km from the Chinese border and within 140km of two large scale greenfield copper construction projects: the US$6bn Oyu Tolgoi copper and gold project and Tsagaan Suvarga. 

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Wed, 26 Mar 2014 06:12:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/100520/kincora-copper-closes-oversubscribed-c5mln-private-placement-53008.html
<![CDATA[News - Ex-Oyu Tolgoi boss joins Kincora Copper ]]> http://www.proactiveinvestors.co.uk/companies/news/100083/ex-oyu-tolgoi-boss-joins-kincora-copper-52380.html Kincora Copper (CVE:KCC) has hired the former boss of the giant Oyu Tolgoi copper mine in Mongolia to its advisory board.

Cameron McRae, who was until recently the president and chief executive of Oyu Tolgoi, the operating company behind the Rio Tinto-backed mine, joins Kincora to help with stakeholder relations, including with the government.

He was also Rio Tinto’s (LON:RIO) country director for Mongolia, having been involved in the merger to create the mining giant.

It follows some highly encouraging results from the company’s flagship Bronze Fox copper exploration project, just down the road from Oyu Tolgoi.

The company will grant McRae options to buy up to 725,000 Kincora shares on or before 27 February 2018 at a price of C$0.105 a share.

Sam Spring, President and CEO of Kincora, said: “We are very excited to have Cameron join us and being able to benefit from his extensive experience, relationships and networks in the industry, particularly those built overseeing Oyu Tolgoi, the largest single mining investment project in northeast Asia, and in his recently appointed positions. 

“We believe Cameron will complement our existing teams skill set, in-country networks and proactively add-value as we look to advance our Bronze Fox copper project.”

Shares in the company have risen 160% so far this year to C$0.0650.


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Thu, 27 Feb 2014 08:44:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/100083/ex-oyu-tolgoi-boss-joins-kincora-copper-52380.html
<![CDATA[News - Fasanara Capital builds on stake in Chaarat Gold ]]> http://www.proactiveinvestors.co.uk/companies/news/99782/fasanara-capital-builds-on-stake-in-chaarat-gold-51905.html Kincora Copper (CVE:KCC) provided an overview of last year’s exploration programme at its flagship Bronze Fox copper-gold deposit in southeast Mongolia.

It had announced positive results from an induced polarisation (IP) survey that confirmed previous, and generated new, large-scale high priority copper porphyry targets at Bronze Fox. A review from an independent consultant also showed that the deposit’s geochemical footprint matched other major porphyry deposits, indicating a similar mineralization potential.

The wholly-owned deposit is within the same tectonic and intra-oceanic arc as the Oyu Tolgoi and Tsagaan Suvarga copper deposits.

Bronze Fox is situated approximately 250 kilometres (km) from the Chinese border and about 140km northeast of Rio Tinto’s Oyu Tolgoi, one of the world's largest copper-gold deposits. Oyu Tolgoi is expected to produce an average of 430,000 tonnes of copper, 425,000 ounces of gold annually, plus by-product silver and molybdenum, over the mine’s life.

Multiple large-scale copper porphyry targets with favourable geology and geophysics have supported the possibility of bulk tonnage ore mineralization in “finger type” porphyries similar to Oyu Tolgoi or Northparkes, where Rio Tinto has an 80% interest, in New South Wales, Australia. Exploration work has also highlighted Happy Geo as an attractive, earlier stage, prospect. It is a near surface follow up exploration target and has the potential for porphyry targets at depth.

“Our 2013 field season deployed some of the same wide ranging and detailed exploration techniques used at Oyu Tolgoi to significantly increase the confidence in high priority, and large scale targets that demonstrated exceptional corresponding prospectivity,” said Kincora’s president and chief executive Sam Spring.

Nine drilling target zones have been identified at Bronze Fox following the latest IP survey results.

“Kincora is persisting with additional measures to add shareholder value and is encouraged by initial, and further proposed, reform to the Mongolian mineral sectors legislative environment, amongst other efforts to provide additional advantages to the private sector,” said Spring.

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Thu, 06 Feb 2014 09:11:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/99782/fasanara-capital-builds-on-stake-in-chaarat-gold-51905.html
<![CDATA[News - Kincora Copper eyeing target generation at Bronze Fox ]]> http://www.proactiveinvestors.co.uk/companies/news/99259/kincora-copper-eyeing-target-generation-at-bronze-fox-51049.html Kincora Copper (CVE:KCC) expects to have generated targets for potential drilling at its flagship Bronze Fox project in Mongolia shortly.

Recent results from two independent consultants have been particularly encouraging, it told investors.

Work has confirmed possible porphyry mineralisation at numerous  prospects, which share the same "arc" as Rio Tinto's  huge Oyu Tolgoi project mine 140km away along strike and a similar footprint to other large-scale deposits.

"In the last quarter, Kincora completed one of the most active copper exploration programmes in Mongolia during 2013, on one of the most advanced and prospective projects with the benefit of having one of the youngest exploration licences," the company said.

"The recently completed field season activities have helped technically advance the Bronze Fox project, highlighting that most large scale IP targets remain untested, but importantly the 2013 programme has assisted to "explain" previous results and lead to a reinterpretation of some target zones and existing geological and geophysical information.

A number of analogies between the current stage of exploration and results at Bronze Fox and Oyu Tolgoi in 2000/01 pre the "discovery hole" have emerged.

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Mon, 06 Jan 2014 10:20:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/99259/kincora-copper-eyeing-target-generation-at-bronze-fox-51049.html
<![CDATA[News - Kincora Copper identifies high priority targets at Bronze Fox ]]> http://www.proactiveinvestors.co.uk/companies/news/98048/kincora-copper-identifies-high-priority-targets-at-bronze-fox--49162.html Kincora Copper (CVE:KCC) has identified a number of "large scale, high priority" follow up targets at its flagship Bronze Fox licence in Mongolia.

Particularly, these are near surface and merit further drilling, the firm said, updating on previous and current fieldwork and corporate matters.

It comes after a recently completed Induced Polarization (IP) study and other geological work.

"Further analysis and integration of various activities completed in the current and previous field seasons are ongoing but initial findings have confirmed Bronze Fox’s strategic location in a proven but underexplored productive porphyry copper belt and enhanced our understanding of its favourable regional setting, extensive copper-gold system(s), and advanced both nearer surface and potentially higher grade target areas," president and chief executive Sam Spring said.

The company boss highlighted that construction of the Tsagaan Suvarga project, owned by MAK,  a Mongolian national firm, continues within 40km of Bronze Fox.

Meanwhile, initial production from Rio Tinto's huge Oyu Tolgoi mine, 140km away along strike, is ramping up, with discussions for financing of the underground development continuing.

Kincora also noted that on October 3, Mongolia's parliament voted to approve a new investment law intended to create a stable legal environment, which does not distinguish between foreign or domestic investors. 

The new law is proposed to come into effect on November 1.

Kincora also continues to look to take steps to reduce cash outflows, the company said on Wednesday.

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Wed, 23 Oct 2013 07:34:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/98048/kincora-copper-identifies-high-priority-targets-at-bronze-fox--49162.html
<![CDATA[News - Kincora Coppers's Mongolian assets appeal to broker ]]> http://www.proactiveinvestors.co.uk/companies/news/95120/kincora-copperss-mongolian-assets-appeal-to-broker-44168.html

 

Kincora Copper’s (CVE:KCC) prospects in the world class Oyu Tolgoi copper belt in south east Mongolia make in it an appealing exploration play, according to broker ResCap.

Kincora is the sole owner of the Bronze Fox, Northern Fox and Tourmaline Hill copper-gold licences in Oyu Tolgoi.

The licences cover a total area of 60,000 hectares, of which the flagship Bronze Fox’s licence area covers over 22,000 hectares and has approximately 100 drill holes completed to date.

Exploration work is ongoing and the company screens well on the basis of relative valuation, strategy to add value at the project level while remaining funded into 2014, and the recently adopted remuneration policy for directors, said ResCap.

Investment in copper exploration and development into Mongolia from both major mining companies and investors has continued despite changes of government and recent mining legislation. 

Four separate financings have been completed in the junior copper exploration space over the past six months underlining that the country remains a high priority global copper destination, said the broker.

Turquoise Hill, the separately listed Rio Tinto subsidiary that is developing the huge Oyu Tolgoi mine, is the barometer for Mongolian copper equities and has rallied 50% since recent its lows of mid-April.

On Kincora, ResCap said: “With a significant mineralised system confirmed, prospective for an economic copper porphyry orebody(s) and smaller scale oxide development potential, Kincora is an appealing advanced exploration play offering an attractive risk reward scenario skewed to the upside in our opinion.”

At a curent market capitalisation of C$8m, ResCap rates Kincora as a speculative buy.


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Thu, 23 May 2013 09:44:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/95120/kincora-copperss-mongolian-assets-appeal-to-broker-44168.html
<![CDATA[Media files - Kincora Copper refines exploration targets on its Bronze Fox project in Mongolia ]]> http://www.proactiveinvestors.co.uk/companies/stocktube/3642/kincora-copper-refines-exploration-targets-on-its-bronze-fox-project-in-mongolia--.html Tue, 21 May 2013 08:23:00 +0100 http://www.proactiveinvestors.co.uk/companies/stocktube/3642/kincora-copper-refines-exploration-targets-on-its-bronze-fox-project-in-mongolia--.html <![CDATA[News - Kincora starts field season activities at Bronze Fox; adopts new Director remuneration policy ]]> http://www.proactiveinvestors.co.uk/companies/news/94888/kincora-starts-field-season-activities-at-bronze-fox-adopts-new-director-remuneration-policy-43740.html  

Kincora Copper Limited (CVE:KCC) announced Friday the start of field season activities for 2013 at its Bronze Fox project in southeast Mongolia, and said a new remuneration policy for non-exec directors is evidence of the board's belief in its assets and strategy. 

The Vancouver-based copper-gold miner has plans for a staged exploration program on its key asset, with plans to focus initially on geological mapping and infra-red spectrum analysis across various selected target areas of the project.

The planned activities come in light of the fact that activities the year before both confirmed and significantly advanced a number of copper porphyry targets, particularly at the West Kasulu and Leca Pass prospects on the Bronze Fox tenement.

The main focus of the field season activities for the year is to refine exploration data, conduct further analysis and specify target generation of the copper porphyry target at West Kasulu, Leca Pass, and other new areas on the company’s flagship Bronze Fox license in light of positive results found in late 2012.

Initial activities will include a detailed mapping of veins, hydrothermal alteration and mineralised zones, advancing the project from a technical perspective via a systematic exploration program.

These first phase activities will potentially support a deep Induced Polarisation (IP) program and further drilling at identified high priority targets in the second half of the year, which if successful could lead to a significant exploration target range. 

On the same day the planned field activities were released came the announcement that the company’s board had recently adopted a new remuneration policy for director's fees such that there is a commitment for the on-market acquisition of shares. 

"Despite the uncertainties that have emerged since mid last year we see recent external events as potential catalysts for an improvement in market sentiment towards Mongolia and especially Kincora,” president and CEO of Kincora, Sam Spring said, in a company statement issued with the announcement.

“Uncertainty relating to our lower priority two Golden Grouse licenses has undoubtedly impacted our share price and while this situation is not yet resolved we believe our planned multi-phase exploration programme for 2013 which commenced this week places us in good stead to add value at a project level whilst remaining funded into 2014.

“The company continues to review all aspects of our strategy but the new remuneration policy for non-executive directors is a clear illustration in the Boards continued belief in our flagship Bronze Fox project, strategy and current favourable valuation."

 

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Fri, 10 May 2013 14:34:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/94888/kincora-starts-field-season-activities-at-bronze-fox-adopts-new-director-remuneration-policy-43740.html
<![CDATA[News - Kincora Copper restructures management roles ]]> http://www.proactiveinvestors.co.uk/companies/news/94650/kincora-copper-restructures-management-roles-43347.html

Kincora Copper (CVE:KCC) has changed its internal management structure with Jonathan (Sam) Spring taking over as president and chief executive. 

John Rickus, who was previously the president and CEO, will become chairman, while former chairman Stephen Fabian will become independent non-executive director.

Stephen Fabian said the realignment of roles among the existing internal team reflects planned 2013 field season activities and ongoing discussions with potential strategic investors regarding technical and financial synergies.

“In August last year, both John and Sam were appointed as senior executives and these announced changes are expected to optimize the board and management teams’ valuable technical, commercial and financial markets experience.”

Kincora Copper’s flagship project is Bronze Fox in Mongolia. The firm said yesterday it had been hit by global economic contractions as well as uncertainties surrounding Mongolia, but added it hopes 2013 will mark a turnaround in investor sentiment towards it and other firms based in the country.

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Wed, 01 May 2013 08:24:00 +0100 http://www.proactiveinvestors.co.uk/companies/news/94650/kincora-copper-restructures-management-roles-43347.html
<![CDATA[News - Kincora Copper mulling further analysis of advanced targets ]]> http://www.proactiveinvestors.co.uk/companies/news/93105/kincora-copper-mulling-further-analysis-of-advanced-targets-40719.html

Mongolia-focused Kincora Copper (CVE:KCC) says it will potentially follow up advanced target zones on its flagship Bronze Fox project with further analysis.

The firm is mulling follow up geophysics and deeper IP analysis in the areas to locate further targets, it said.

It came within a detailed statement, in which Kincora updated on exploration activities late last year and reviewed 2012's field season.

Between October and December last year, a further 4,885m of diamond drilling was completed with 1,473m being shallow holes testing oxide mineralisation around the West Kasulu target.

The work was to consolidate earlier findings and focused on determining potential for higher grade copper-gold porphyry mineralisation at depth and near surface oxides at the West Kasulu prospect and drilling two previously untested geophysics anomalies at Bronze Fox.

Kincora said today this work continued to demonstrate that the Bronze Fox project hosts a "large area of lower grade copper and gold mineralisation, open at depth and in every direction with high-grade intersections and new targets continuing to be generated".

President and chief executive John Rikus said: "Our review of the 2012 exploration season reiterates our belief that Kincora's wholly-owned and flagship Bronze Fox project is prospective for both bulk lower grade and deeper higher grade copper mineralisation. 

"Following the successful C$4.6 million private placement late last year drilling activities increased from two to three rigs and ran until the week before Christmas. 

"All core work programmes were completed including: step out drilling around Hole F62 at West Kasulu; advancing key infill drilling and initial metallurgical analysis for a potential oxide development project, also intersecting further shallow porphyry mineralisation (eg: 8 metres at almost 1% CuEq); and, drilling a number of untested anomaly targets.

"Large zones of lower grade mineralisation, both oxide material at surface and sulphides at depth, were returned. While not intersecting economic mineralisation this drilling, and that of two previously untested anomalies, warrant follow up activities and illustrates the company's systematically exploration of its large regional landholding, the majority of which has experienced limited previous exploration.

"The recent private placement provides Kincora a number of options and flexibility to resume optimal exploration activities in 2013."

The company added today that the firm continued to monitor  the as yet unsubstantiated local Mongolian media speculation regarding two licenses held by Kincora; the proposed draft Minerals Law, the up coming Mongolian Presidential election, and the global markets for exploration juniors. 

"While impacted by these aforementioned factors, we continue to access various other commercial opportunities and discussions with potential strategic investors regarding technical and financial synergies," said Rikus.

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Tue, 19 Feb 2013 08:44:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/93105/kincora-copper-mulling-further-analysis-of-advanced-targets-40719.html
<![CDATA[News - Kincora Copper seeks clarity on licence position after court case ]]> http://www.proactiveinvestors.co.uk/companies/news/92948/kincora-copper-seeks-clarity-on-licence-position-after-court-case-40427.html  

Kincora Copper (CVE:KCC) is continuing to seek clarity on the position of two of its licences following a court case, it told investors today.

The company notes a recent report in the Mongolian media concerning the recent trial and conviction of the former chairman and the former director of the Geology, Mining and Cadastral Department of the Mineral Resources Authority of Mongolia (MRAM).

The piece alleged that 107 licences issues by the body, including those to foreign listed companies, violated Mongolian law and that they could be repatriated with compensation expected to be paid before any licence is cancelled.

Included are two licenses held by Kincora’s subsidiary, Golden Grouse - the GG licences.

Indeed, MRAM granted a three year extension to the nine year exploration period in the third quarter of last year, notes Kincora.

"The two GG licenses adjoin Kincora’s flagship Bronze Fox project and host the Tourmaline Hills and North Fox earlier stage exploration targets.  The company’s Bronze Fox project is held by a separate wholly owned subsidiary to GG and has not in any way been associated with the above-noted case.

"Despite our efforts, neither the company nor GG have been able to determine if the allegations included in the local media report are in any way accurate with no official statement from the court nor correspondence from a Mongolian government authority, including MRAM, yet available," the company said today.

"Kincora is investigating the issues that have been raised and will continue to inform the market of any material 

 

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Mon, 11 Feb 2013 03:58:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/92948/kincora-copper-seeks-clarity-on-licence-position-after-court-case-40427.html
<![CDATA[Media files - Kincora Copper continues to analyse drill results ]]> http://www.proactiveinvestors.co.uk/companies/stocktube/3556/kincora-copper-continues-to-analyse-drill-results-.html Fri, 07 Dec 2012 10:22:00 +0000 http://www.proactiveinvestors.co.uk/companies/stocktube/3556/kincora-copper-continues-to-analyse-drill-results-.html <![CDATA[News - Kincora Copper closes second tranche of placing to raise C$4.68mln ]]> http://www.proactiveinvestors.co.uk/companies/news/91581/kincora-copper-closes-second-tranche-of-placing-to-raise-c468mln-37958.html

Kincora Copper (CVE:KCC) revealed it has raised C$4.68mln after closing the second tranche of its private placement financing.

The first slice of the placing announced two week ago raised gross proceeds of C$4.63mln, with major shareholder Origo putting in C$2mln.

The second tranche raised C$52,000 after Kincora issued 500,000 units at a price of C$0.105 per unit.

Each unit comprises one common share and one common share purchase warrant, which entitles the holder to buy one common share for a period of three years at a price of C$0.19 per share.

Funds from the capital raising, which eventually will total C$6mln, will be directed towards the continuation of drilling and exploration activities at the company’s flagship Bronze Fox project and for working capital.

Bronze Fox is located in the emerging Oyu Tolgoi South Gobi porphyry copper belt in southeast Mongolia.

Kincora hopes to become the leading listed independent copper exploration and development company in the highly prospective region.

Shares sank 1 cent on the news to stand at C$0.095 each.

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Thu, 29 Nov 2012 13:06:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/91581/kincora-copper-closes-second-tranche-of-placing-to-raise-c468mln-37958.html
<![CDATA[News - Rio Tinto signs power supply deal in major milestone for Mongolia ]]> http://www.proactiveinvestors.co.uk/companies/news/90960/rio-tinto-signs-power-supply-deal-in-major-milestone-for-mongolia-36924.html

Mining giant Rio Tinto (LON:RIO) has signed a binding agreement that has secured the supply of electricity to its flagship copper and gold mine in Mongolia.

The deal with a Chinese power company will pave the way for production to start at the mine in less than three months.

It is the first cross-border power supply agreement between China and Mongolia.

“Rio Tinto and its partners have invested almost US$6 billion in this vast project, completing it in only 28 months,” said chief executive Andrew Harding.

“We have trained and employed thousands of Mongolians and Oyu Tolgoi will be a vital contributor to Mongolia's economic development.”

The deal represents a major milestone for the vast Asian country as the mine, which will be one of the world’s biggest copper mines once it is up and running, already accounts for a third of Mongolia’s gross domestic product (GDP).

Oyu Tolgoi is 66%-owned by Turquoise Hill, which is in turn owned by Rio through its majority stake.

The news will be a boost for other miners in the region, including Toronto-listed Kincora Copper (CVE:KCC), which is hoping its Bronze Fox mine can be the next Oyu Tolgoi.

The company, whose mine is 140km from Rio’s giant mine, has been active on the corporate front with the acquisition of two important licences adjacent to Bronze Fox.

This gives it an impressive land holding along the world-class Oyu Tolgoi belt, in the Gobi desert, which is one of the last frontiers for copper exploration.

At the end of last October, Kincora raised C$6 mln through a private placing to continue drilling and exploration at the project, as well as for working capital.

The company also recently revealed it is using more aggressive tools to target deep copper porphyries.

Christopher Welch, an analyst at Ocean Equities, said Kincora’s Bronze Fox project “clearly warrants” more drilling following the “encouraging results” earlier this year.

The most recent hole, F62, located in the West Kasulu zone at Bronze Fox, averaged 0.44% copper equivalent over 661 metres. Around 37 metres of that was over 1% copper equivalent.

Grades of 0.4% to 0.5% copper near surface could possibly be high enough to justify an open-cast mine, Kincora chief executive John Rickus said last month.

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Mon, 05 Nov 2012 10:29:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/90960/rio-tinto-signs-power-supply-deal-in-major-milestone-for-mongolia-36924.html
<![CDATA[News - Kincora Copper’s more aggressive exploration is ‘very positive step’ – broker ]]> http://www.proactiveinvestors.co.uk/companies/news/90829/kincora-coppers-more-aggressive-exploration-is-very-positive-step-broker-36680.html

Mongolia-focused Kincora Copper (CVE:KCC) is taking a “very positive step” by using more aggressive geophysical tools, according to broker Ocean Equities.

The broker says this will help the Vancouver-based company target deep copper porphyries.

“There is only so much information that can be gleaned from surface exploration, and ad hoc drilling in areas of suspected deep mineralisation can be an ineffective way of finding economic ore bodies,” said analyst Christopher Welch.

“These deeper sensing geophysical tools are now well advanced and cheaper to employ and should allow Kincora to better tune its exploration efforts in the area.”

The analyst added that Kincora’s Bronze Fox project “clearly warrants” more drilling following the “encouraging results” earlier this year.

While it has yet to produce a company-making drill intercept, Welch says broad mineralisation zones of up to 1,000m intervals seen in the earlier drill core suggest there is a large copper system at Bronze Fox.

He said that Kincora will also start assessing the potential to develop an oxide copper project at Bronze Fox, which is a slight change of tack for the company.

Associated near-surface copper mineralisation could potentially support small-scale standalone copper mines.

Welch says this could provide essential cash flow during continued exploration of the copper porphyry targets that would reduce Kincora’s dependence on the capital markets to develop its flagship asset.

“Moreover, successful construction of a copper mine in Mongolia would prove Kincora’s abilities to build a mine and positive cash flow from an open pit project would differentiate the Company from a peer group of other juniors exploring for copper in Mongolia,” the analyst added.

This comes after the company revealed it plans to raise C$6 mln through a private placing to continue drilling and exploration at Bronze Fox, as well as for working capital.

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Tue, 30 Oct 2012 13:07:00 +0000 http://www.proactiveinvestors.co.uk/companies/news/90829/kincora-coppers-more-aggressive-exploration-is-very-positive-step-broker-36680.html