AIC Mines (ASX: A1M) – Eloise Copper Mine QLD

 

COMPANY SCOREBOARD

Pro PlusProCon PlusCon
  
  • Company fudges quarterly cash flow report
  • AIC at $6.2 plus $1.4 D&A

ABOUT COMPANY

AIC Mines (A1M) (https://www.aicmines.com.au/) develops the Eloise Copper Mine in QLD. The company also owns the Marymia Project in Earaheedy and the Lamil Project in Paterson WA.

In November 2022, the company acquired DRM through a 1:1.3 script valuing DRM’s EV at $25m. DRM was listed in May 2022 after raising $15m@25c. It had 102m shares at around 20c-23c including $10.6m cash. DRM’s Jericho Project hosts an Inferred Resource of 14.1Mt@1.46% Cu and 0.29g/t Au for 205,000t Cu and 129,000oz Au. The metrics of the takeover price (45.5c) is around $120 per tonne of Cu.

CAPITAL STRUCTURE

FLAGSHIP ASSETS

Eloise Copper Mine QLD

The processing mill can treat up to 750,000tpa

For 1HFY23, the company broke even on production, but at loss at the company level.

Below are the project’s resources and reserves:

OTHER ASSETS

Marymia Project Earaheedy WA

Lamil Gold-Copper Project Paterson WA (50-50 A1M)

AIC can earn a 50% interest by issuing Rumble 714,286 new shares in AIC for nil cash consideration and spending $6 million over four years. AIC can earn a further 15% by spending $4 million over one year.

SUMMARY

Small production at loss