According to Canaccord Genuity:
is (dot) gd/aiXjYb
August 20, 2014
Rubicon Minerals Corp.
SPECULATIVE BUY ↑
RECENT UNDERPERFORMANCE DRIVES RATING CHANGE
Rubicon Minerals has significantly underperformed the GDXJ benchmark over the past month: RMX is down 20% since its most recent peak on July 21 (C$1.79), while the junior mining index is down 5% over the same period. Based on the combination of the stock’s underperformance (which has left the stock at a level that now provides a 20-25% return to our target price of C$1.80) and our thesis (which remains intact), we have upgraded our rating on Rubicon Minerals from a HOLD to a SPECULATIVE BUY.
- We continue to model production beginning in Q3/15 and view the company as a prime target for acquisition after the Phoenix Gold project comes into production.
- In our opinion, the company provides a compelling target due to its de-risked production profile (permitted, lower technical/execution risk) within a low geopolitical risk jurisdiction (Ontario) and a large exploration package in the highly sought Red Lake district.
- Our forecasts generate a 23-25% internal rate of return and a ~ four year payback on a go-forward capital basis. At a long-term gold price forecast closer to spot levels (-10% to US$1300), the F2 Gold system of the Phoenix gold project still generates a double-digit return (16-18%) and a 7-8 year payback.
- A ±10% change in the head grade impacts our valuation by ±20%, all other factors being equal; we suggest that more infill drilling may have a positive impact on head grades.
According to RBC Capital Markets:
Platinum Group Metals Ltd.
Outperform, $2.25 price target
- The recent Waterberg resource update grew the combined resource to 29MMoz grading 3.15g/t from 17.5MMoz grading 3.26g/t (with 6.8MMoz added to the Waterberg extension). Drill results from 20 rigs currently focussed on Infill drilling and an additional 4 rigs conducting extension drilling could prove near-term catalysts, with the deposit open along strike and depth. Currently ~10.4km northward on strike have been drilled, with geophysical surveys suggesting further mineralization down dip and to the northwest. Recall, a new layer was discovered 16km to the north of the current resource (3.73g/t over 4.01m) and work continues to understand the geology over the area 15-30km to the north of Waterberg, as the F and T layers found on the main Waterberg deposit have yet to be intersected. During Q3 we anticipate additional drill results from Waterberg and a completion of the debt financing for the Western Bushveld mine build.
is (dot) gd/M73MfL
Tekmira Pharmaceuticals Corporation
Price Target USD $25.00
Ebola is the spotlight but HBV is the primary value driver long-term
Our view: With TKM-Ebola open for potential use in infected pts, discussions are on-going with a number of government agencies but visibility into what may actually transpire is low and may take time. On the other hand, other programs for HBV, cancer and partnered ALNY-TTR are advancing on-track and remain our primary investment thesis.
Big picture: Despite the recent rise in the stock due to the sudden attention on its Ebola drug, we believe TKMR remains inexpensive at
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People infected in the West African Ebola outbreak can be offered untested drugs, the World Health Organisation said on Tuesday, but the scarcity of supplies has raised questions about who gets priority access to treatment.
Liberia said it planned to treat two infected doctors with an unproven Ebola medicine called ZMapp. They would become the first Africans to receive the drug, which has been given to a Spanish priest who later died and two U.S. aid workers.
The outbreak is the world's largest and deadliest and the U.N. agency last week declared it an international health emergency. The WHO has appealed for funds and medical staff to supplement health care in one of the poorest regions in the world.
So far, 1,013 people have died, the vast majority in Guinea, Liberia and Sierra Leone. Two have died in Nigeria.
The suffering has been exacerbated by health services that are struggling to cope.
On Tuesday, Liberian Ceceilia Gbelley lay on the grass among a group of seven outside an Ebola treatment center at Monrovia's Elwa hospital because there was no space for them inside. All said they feared they might have the disease.
"I'm very weak. My chest is burning," said Gbelley, who had nursed her aunt while she vomited blood and showed other symptoms of the virus. The aunt died and Gbelley then fell ill. She said she rode to the hospital in a shared taxi.
In a sign of the desperation for even experimental medicine as the death toll mounts, Twitter users in West Africa, where Ebola is killing around 60 percent of patients who become infected, created the #GiveUsTheSerum hashtag.
There are no licensed treatments or vaccines for Ebola, a contagious hemorrhagic disease, but several biotech companies and research teams have been working on potential drugs.
is (dot) gd/nguc90
- Continue to advance Island Gold Deep resource, and integrate it into the Island Gold Mine plan;
- Optimize efficiency of our assets – those in production, and those being developed & evaluated;
- Strategic capital allocation in keeping with the current gold price environment. Richmont has a strong foundation to build on:
- Sound balance sheet, tight capital structure and experienced management team anchor the Corporation for future growth;
- Potentially transformational long-life and high-grade asset at Island Gold Deep;
- Dramatic gold price leverage with Wasamac, should gold enter a new Bull phase.
Richmont is a rarity among junior gold miners...
- A proven 23 year history of gold production
- Over 1.4 million gold ounces produced since 1991 from 6 underground mines and 1 open-pit mine in Canada
- Operations in a safe political environment (Quebec & Ontario)
- Sound balance sheet and capital structure, with a potentially transformational asset on the horizon.
According to Seeking Alpha:
is (dot) gd/z4c97r
Richmont Mines is a Canadian Gold producer and explorer, with three operating gold mines, including the Beaufor/W Zone, and the Monique mines in Quebec, and the Island Gold mine in Ontario. The company has produced more than 1.4 million ounces of gold since 1991 and has over 20 years experience in gold production, exploration and development.
The company's corporate vision is to bring gold exploration projects to their full development potential and once in operation, cost-effectively manage underground narrow vein gold mines, according to the company. Richmont is focused on generating positive cash flow and driving profitable growth from its operations.
With a health balance sheet of $32.6 million cash and equivalents, and long-term debt of just $4.9 million, 75,000 to 85,000 ounces of gold production expected in 2014 at sub-$800 cash-cots in a world-class mining jurisdiction, a tight share structure, substantial exploration upside and a very attractive valuation, I believe shares of Richmont Mines hold tremendous upside potential, and I will try to make my case below.
Why Richmont Mines?
Richmont Mines has a number of exciting high-grade gold projects in one of the best mining jurisdictions in the world. Its resource base tops 4 million ounces of gold in the measured, indicated and inferred category, with 212,476 ounces in reserves (proven and probable).
Some of its most exciting projects include the Island Gold mine, with 143,506 ounces proven and probable at 6.09 g/t gold, and the Beaufor Mine, with 155,439 ounces measured and indicated at 6.32 g/t gold and 188,679 ounces inferred at 6.49 g/t gold. You'll see below the exploration success Richmont had in just one year, from Dec. 31, 2012 to Dec. 31, 2013, as it increased its measured and indicated resource base by nearly 100,000 ounces of gold and increased its inferred resource base by close to 500,000 ounces of gold:
is (dot) gd/golWFL
LONDON, Aug 10 (Reuters) - A clinical trial of an experimental vaccine against the deadly Ebola virus is set to start shortly, according to British drugmaker GlaxoSmithKline , which is co-developing the product with U.S. scientists.
The world's worst outbreak of Ebola has killed nearly 1,000 people in West Africa and the disease could continue spreading for months, increasing pressure on researchers to accelerate their work on new medical interventions.
There is no proven cure or vaccine to prevent infection with Ebola and the scale of the current outbreak has prompted the World Health Organisation to declare it an international health emergency.
GSK's experimental vaccine has already produced promising results in animal studies involving primates and it is now due to enter initial Phase I testing in humans, pending approval from the U.S. Food and Drug Administration.
A company spokeswoman said on Sunday that the trial should get underway "later this year", while GSK's partner the U.S. National Institute of Allergy and Infectious Diseases (NIAID) said in a statement on its website it would start "as early as fall 2014", implying a potential September launch of testing.
Even if is fast-tracked, however, and emergency procedures are put in place, the new vaccine could not be ready for widespread deployment before 2015 - even assuming it works as well as hoped.
"It is right at the beginning of the development journey and still has a very long way to go," the GSK official said, declining to be drawn on a possible timeline for launch.
The investigational vaccine is based on a chimpanzee adenovirus into which two Ebola genes have been inserted, which means it contains no infectious Ebola virus material. Adenoviruses are best known for causing the common cold.
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FDA likely acknowledging urgent need from Ebola outbreak, modifies TKM-Ebola to partial hold, enabling potential use in Ebola patients
FDA confirmed they modified the clinical hold on TKM-Ebola to a partial hold thus enabling its potential use in Ebola infected pts on compassionate use basis. This is an incremental positive suggesting: 1) that it is possible it could be considered as an option in Africa, and 2) it would be likely to be used in the USA under Compassionate use if something were to occur here since it's essentially the only Ebola drug that has been tested in at least a handful of healthy humans (most others only have been tested in animals) and in Phase I. We note the World Health Organization has convened plans to discuss potential use of experimental drugs for Ebola pts.
Bottom line, we've confirmed with the company this lifts the obstacle in case one seeks the drug for compassionate use and they do have supply of some drug intended for clinical trials. To meet the much larger demand of the broader outbreak, they would have to ramp up manufacturing, which could take months. Down the road it is possible the outbreak increased the likelihood of eventual stockpiling which we have quantified as $100M type contracts and the current program is supported by a $140M govt funding program.
This shows FDA is aware of the risk/benefit given the circumstances and in-line with the broader movement by many international organizations. The WHO is scheduled to convene with a panel of medical ethicists to discuss the use of experimental treatments in the ongoing Ebola outbreak.
The original clinical Phase I dose-escalation study healthy-volunteer remains on clinical hold pending further discussion with FDA. The company has said this should be fairly temporary and expects to address the cytokine-release issue and plans to resume the program soon (perhaps just dose with pre-medication...).
Here are some more recent Richmont Mines Inc. analyst reports:
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According to Macquarie Research:
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Target increase on Land Consolidation
- We are increasing our target to C$5.00 (from C$4.00) on the back of RIC consolidating the high grade +1moz Deep C Zone at the Island Gold Mine on a 100% basis [LINK]. Deep C – a high grade +10g/t resource - has a potential 10-year mine life and is a potential game-changer for RIC. Yesterday RIC shares soared +16% (vs TSX down 0.18%) as we believe a major overhang was removed and RIC (P/NAV 0.2x) will close the valuation discount gap of 70% to the junior producer group average (P/NAV 0.66x). We would be accumulating shares of RIC.
- RIC paid a 3% NSR to consolidate the 31% interest it did not own on four claims in exchange for a clear and free 100% interest. Advanced royalties, initially C$1m/year, start on closing (capped at $5.1m).
- RIC reported a 2Q14 results beat with adjusted EPS of $0.12/sh (vs consensus of $0.09/sh & Macq est of $0.08/sh) on lower cash costs achieved (actual of $779/oz vs Macq est $874/oz). Production results of 29kozAu were pre-released.
- All set for Deep C accelerated development. Although RIC may have paid a premium to consolidate Deep C - our estimated NPV of the royalty is $18m (C$0.42/sh) which is higher than our estimated one-time payment in our model at $6.5m (C$0.15/sh or $33/oz) - the agreement structure provides management with better liquidity ($32m cash at Jun 30) to accelerate the development of the Deep C Zone. Faster access to the Deep C Zone (est 9.5g/tAu) could significantly boost production as the upper mine grade is only ~5.3g/tAu. Interim CEO, Elaine Ellingham, stated on the call that management is reviewing a revised development plan for Deep C and will likely announce it within six weeks.
is (dot) gd/Q1rRv9
With hundreds of patients in Africa suffering the devastating effects of Ebola, health experts are scrambling to determine which drugs might offer the best experimental treatment, and researchers are being pressed by government officials to speed up their work.
Three treatments have shown especially promising results in monkeys, the researchers said. One, produced by tiny California biotech Mapp Biopharmaceutical, gained international prominence this week when it was given to two U.S. aid workers who contracted Ebola in West Africa and have since shown signs of improvement.
Others are from Vancouver-based Tekmira Pharmaceuticals and privately-held Profectus BioSciences, of Tarrytown, NY.
On Wednesday the World Health Organization said it would discuss next week the ethics of using Ebola drugs that have never been cleared for human use, wary of a long history of medicines being tested on people who were never properly informed of the risks. In the countries hardest hit by Ebola, suspicion of foreign medical workers is already widespread.
But the health minister of Nigeria, Onyenbuchi Chukwu, told reporters this week that he had asked U.S. health officials about access to experimental Ebola therapies. U.S. drugmakers are fielding questions from government officials about their ability to supply treatments in sufficient quantities should the request come.
"For years we've told the government you need to invest a little bit of money in this," said Profectus chief scientific officer John Eldridge. "And now it's, 'Oh my God, how fast can you make this?'"
Officials at Mapp and Tekmira would not comment on efforts to make their treatments available in response to the outbreak.
Speaking at a news conference on Wednesday, President Barack Obama said he lacks enough information to green-light Mapp's drug to treat the deadly Ebola virus and that the initial response should focus on public health measures to contain the outbreak.
Talison Lithium was acquired by Chengdu Tianqi Industry Group for C$848-million on March 12, 2013.
Rockwood Holdings completed the acquisition of a 49% Interest in Talison Lithium from Sichuan Tianqi Lithium Industries Inc. ("Tianqi") for $475 million on May 28, 2014. As a result, Talison Lithium is now currently valued at around $969 million.
$475 million divided by 0.49 = $969,387,755
According to Western Lithium USA Corporation's June 2014 corporate presentation:
Our Kings Valley property is one of the worlds largest lithium deposits located in Nevada, USA
Therefore, in my opinion, it seems as though Western Lithium USA Corporation might eventually be worth about $500 million or $4.23 per share.
is (dot) gd/kVoOXk
Aug 6 (Reuters) - The long-awaited restart of Japan's nuclear power plants is facing yet another setback and may be delayed until 2015, Japanese media said on Wednesday, piling pressure on struggling utilities to push for fresh price hikes.
Kyushu Electric Power's two-reactor Sendai plant, located about 1,000 km (600 miles) southwest of Tokyo, is likely to be the first nuclear plant to be allowed to restart under tough new safety regulations after the 2011 Fukushima crisis.
The Sendai plant cleared the Nuclear Regulation Authority's (NRA) initial safety hurdle last month, but the utility was supposed to hand in additional, detailed paperwork on specific safety features at the site and how they planned to construct them.
Japan's public broadcaster NHK and other media said that Kyushu Electric said documentation issues meant final deliberations on the restart would be pushed back by the regulator, delaying the restart until after winter.
A Kyushu Electric spokeswoman said that the company does not have a timeline for starting up the reactors and confirmed comments by an executive that submission of additional documents may be delayed until late September or even October.
"We have been saying that we cannot say when the (restart) will be," the spokesman said.
The utility has said that restarting the two Sendai reactors would cut its fossil fuel purchases by 200 billion yen over a year.
Even after final approval by the nuclear regulator, Japan has said it will defer any final decision on restarting reactors to the local prefecture and host community where the plants are based.
All 48 of Japan's nuclear reactors were gradually taken offline and remain idled after an earthquake and tsunami set off a nuclear crisis at the Fukushima Daiichi plant in March, 2011. Their shutdown has forced utilities to import record amounts of liquefied natural gas and coal to run power stations.
is (dot) gd/3BvOji
There is no cure for Ebola. But don't tell that to traders. Shares of a Vancouver-based company working on a drug to treat the infectious disease surged nearly 40% last week.
Tekmira Pharmaceuticals (TKMR) popped on much higher trading volume than usual because investors are hopeful that health agencies in the United States might approve its drug, known as TKM-Ebola.
But investors buying this stock now need to be extremely careful.
CNN reported Monday that two Americans who were infected with the Ebola virus in Liberia were treated with a drug made by privately-held San Diego company Mapp Biopharmaceutical.
Shares of Tekmira, which were up as much as 26% at one point Monday, gave up all of their gains following the CNN report and finished the day down 7%. The stock fell again in early trading Tuesday.
Meanwhile, shares of BioCryst Pharmaceuticals (BCRX), another small biotech working on a drug that could be used to treat Ebola, were up more than 5% Monday. But shares fell more than 3% Tuesday morning.
Jason Kolbert, an analyst with Maxim Group who covers Tekmira, said in an interview that it is important to note that the U.S. government is working with several companies on an Ebola treatment. So he was not surprised to hear that Mapp's serum was used on Dr. Kent Brantly and Nancy Writebol.
He added that just because another medication was used, that does not mean that Tekmira's drug won't eventually prove to be viable.
Tekmira does have a $140 million contract with the U.S. Department of Defense's Medical Countermeasure Systems BioDefense Therapeutics (MCS-BDTX) Joint Product Management Office to develop the drug. However, a clinical study for TKM-Ebola has been placed on hold by the Food and Drug Administration.
Tekmira was not immediately available for comment. A spokesperson for the FDA said in an e-mailed statement that it could not comment on specific products and their trial results.
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A tiny San Diego-based company provided an experimental Ebola treatment for two Americans infected with the deadly virus in Liberia. The biotechnology drug, produced with tobacco plants, appears to be working.
In an unusual twist of expedited drug access, Mapp Biopharmaceutical Inc., which has nine employees, released its experimental ZMapp drug, until now only tested on infected animals, for the two health workers. Kentucky BioProcessing LLC, a subsidiary of tobacco giant Reynolds American Inc. (RAI), manufactures the treatment for Mapp from tobacco plants.
The first patient, Kent Brantly, a doctor, was flown from Liberia to Atlanta on Aug. 2, and is receiving treatment at Emory University Hospital. Nancy Writebol, an aid worker, is scheduled to arrive in Atlanta today and will be treated at the same hospital, according to the charity group she works with. Both are improving, according to relatives and supporters.
Each patient received at least one dose of ZMapp in Liberia before coming to the U.S., according to Anthony Fauci, director of the National Institute of Allergy and Infectious Diseases.
“There’s a very scarce number of doses,” and it’s not clear how many each patient needs for treatment, Fauci said. “I’m not sure how many doses they’ll get.”
Citing unnamed sources, CNN yesterday reported that the drug used for the treatment is Mapp’s.
Ebola, spread through direct contact with body fluids such as blood and urine, has sickened 1,603 people in West Africa, killing 887, according to the World Health Organization. The disease, first reported in what is now the Democratic Republic of Congo in 1976, can cause bleeding from the eyes, ears and nose.
The virus has historically killed as many as 90 percent of those who contract it. The current outbreak has a fatality rate of about 60 percent, probably because of early treatment efforts, officials have said.
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Aug 4 (Reuters) - Shares of Tekmira Pharmaceuticals soared on Monday, only to slump after a CNN report suggested another company could be first to see its Ebola treatment used to treat an outbreak in Africa.
CNN reported Monday that two American missionary workers who had contracted Ebola were treated with varying success by a drug from biotech company Mapp Biopharmaceutical Inc, a private company.
Tekmira was one of a few companies to have developed Ebola treatments advanced enough to be tested on people. In July, the U.S. Food and Drug Administration placed a hold on a clinical trial for a Tekmira drug in development due to safety concerns. On Friday, however, the FDA said it "stands ready" to work with patients in need of treatment.
Hope that Tekmira's drug might be used in the wake of the outbreak sparked a furious rally in the shares Monday morning. The stock gained more than 18 percent before slumping on the news that a drug developed by Mapp had been used to treat two patients.
The stock, as of late morning, was down 0.4 percent to $14.20 a share with more than 6.7 million shares traded, the busiest day in the stock's history.
The Mapp Biopharmaceutical drug, ZMapp, has not been approved for human use yet, according to CNN. The two patients were reported to be in stable condition after being given the drug.
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On Thursday, Dr. Kent Brantly thought he was going to die.
It was the ninth day since the American missionary worker came down sick with Ebola in Liberia.
His condition worsening by the minute, Brantly called his wife to say goodbye.
Thankfully, the call was premature.
Brantly is back on his feet -- literally -- after receiving a last-ditch, highly experimental drug. Another American missionary with Ebola got the same.
Brantly's and Nancy Writebol's conditions significantly improved after receiving the medication, sources say. Brantly was able to walk into Emory University Hospital in Atlanta after being evacuated to the United States last week, and Writebol is expected to arrive in Atlanta on Tuesday.
On July 22, Brantly woke up feeling feverish. Fearing the worst, Brantly immediately isolated himself. Writebol's symptoms started three days later. A rapid field blood test confirmed the infection in both of them after they had become ill with fever, vomiting and diarrhea.
It's believed Brantly and Writebol, who worked with the aid organization Samaritan's Purse, contracted Ebola from another health care worker at their hospital in Liberia, although the official Centers for Disease Control and Prevention case investigation has yet to be released.
The experimental drug, known as ZMapp, was developed by the biotech firm Mapp Biopharmaceutical Inc., which is based in San Diego. The patients were told that the treatment had never been tried before in a human being but had shown promise in small experiments with monkeys.
According to company documents, four monkeys infected with Ebola survived after being given the therapy within 24 hours after infection. Two of four other monkeys that started therapy within 48 hours after infection also survived. One monkey that was not treated died within five days of exposure to the virus.
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Treatment for Ebola patients
August 4, 2014
Dr. Gupta looks at an experimental serum the first U.S. Ebola patients were given and how they'll be treated in America.
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Ur-Energy Inc. (URE) operates the Lost Creek in situ recovery facility in Wyoming and is in the process of expanding other development projects. Note the emphasis on development not exploration. URE enjoyed a nice run-up in the first quarter of 2014 as the sector moved higher on reports that Japan was on the verge of restarting its fleet of nuclear reactors. Earlier in the year readers asked for my opinion on Bayswater Uranium Corp and Fission Uranium Corp. In comparing the charts of those companies they all have exhibited a pop in the first quarter and a drop in the second quarter.
An investigation of the charts for URE will assist you in managing your new investment.
The three-year chart exhibits the first-quarter pop and the second-quarter drop. Interestingly, the move higher that started in 2013 developed as URE broke out of a range-bound pattern in May of last year. The stock broke above resistance at $1.00 and found support along the 50- and 200-day moving averages as it climbed to the early March 2014 high in the $2.10 range. But that was all it had to give. The MACD and the RSI both generated sell signals at the spike high in early March.
The six-month chart depicts the base that has formed at $1.20 and support below that at $1.00. The MACD and RSI are currently neutral at best so I’m not expecting a big jump in the short term. What the uranium sector needs is a boost in demand to take hold. You seem to have found a good entry point for an investment that fits your personal risk profile.
Make it a profitable day and happy capitalism!
Thoughts on Ebola program "call option"; our thesis is on Hep B...
Ebola attention continues to grow; visibility is low on this program although it is an upside call option.
We've said TKMR is an inexpensive small cap biotech with significant upside potential vs. downside potential because of not just one but multiple programs (cancer, Hep B, and Ebola, and more) moving along. While we acknowledge there is the potential for TKMR to land significant revenues due to its Ebola program, this should only be considered a long-term upside opportunity as it is very interesting and could be considered as a treatment option for governments, but visibility is very low and predicting what happens with pandemic outbreaks and government contracts can be risky. Long term, we estimate it could be a periodic $100M/yr product mainly via safety stocking contracts with DoD. Importantly, our core investment thesis is primarily built around the Hep B program due to clearer visibility on what constitutes proof-of-concept, clinical development path, and commercialization market opportunity evidenced by other recent anti-viral blockbusters.
TKMR's Ebola program is in a multi-dose, dose-escalation healthy volunteer Phase I study but was put on clinical hold recently by FDA to address cytokine release (immune response, feeling sick/flu, fever, etc.) which may be due to fact it is doing without pre-medication of steroids which could help logistical profile of the drug and could be an advantage long-term. The company has said this should be fairly temporary and expects to address the straight-forward issue and plans to resume the program soon (perhaps just dose with pre-medication...).
It is possible the recent Ebola outbreaks in West Africa could motivate FDA to move the TKMR program off hold sooner if the issue is indeed fairly simple, and if it is removed off clinical hold soon that (and more outbreaks) could be a catalyst for the stock.