5 Factors That Could Make South Star Mining “The Best Small Cap Investment” of 2018-19!
And How You Can Take Advantage NOW for Your Own Investment Portfolio!
And How You Can Take Advantage NOW for Your Own Investment Portfolio!
South Star Mining Inc. combines all the elements required for a junior mining company to deliver excellent products to a demanding market… and generate exciting profit potential for sophisticated penny stock investors.
Experienced Management; Prized Location; Top Quality Minerals; Outstanding Opportunities; Unlimited Future
South Star Mining Inc. Steps Proudly into a Flourishing $90 Billion Market
Below you will discover the five factors that bridge the gap between potential and realized opportunity. These factors can guide you to the financial rewards you expect.
Well, as you know, location makes a HUGE difference in the mining world.
As a smart investor you know that the history of a mine site, and the amount and quality of the product mined in the surrounding area, are big factors for success.
The South Star Mining Santa Cruz project in Bahia State, Brazil sits smack dab in the middle of the second-largest flake graphite mining area in the world. The surrounding region includes one of the world’s largest graphite mining operations.
On more than 13, 000 hectares, South Star Mining holds 13 approved exploration licenses.
So far, more than 7,000 meters of drilling and a pilot extraction plant hauled out more than 30 tonnes of rock that contained high concentrates of graphite.
Another positive factor in this site is existing infrastructure.
The site is just 3 kilometers from a major natural gas line, five kilometers from potable water, and there is a well-maintained road connecting the site to a major highway.
And for exportation, the major sea port of Ilheus is just 270 kilometers away via a paved, federally-maintained highway.
Mining shares this axiom with retail success: You need location, location, location! And with this site in Satna Cruz, South Star Mining (TSXv: STS; OTCQB: STSBF) sits pretty for graphite exploration and investor interest.
District and Location Map
Main Defined Resource Area
Elon Musk. Bill Gates. Warren Buffet.
Investors know these names and trust these names.
That’s because the “people” component of a company is a critical factor before trusting any company with our hard-earned money.
But you know that you can trust the men listed here because they have a history of success.
South Star Mining’s Management Team features an all star line-up of the junior mining world. From the C-Suite to the Executive roster, from the test labs to the mine site, you find experienced, respected and enthusiastic professional entrepreneurs.
Eric Allison: CEO & Director
With more than 36-years of experience in the mining industry, Eric has a reputation for building winning teams and projects.
You may know Eric from his time as CEO and COO at Brazahav Resources, where he led a gold mine project in Brazil.
There is probably not a more qualified person to lead South Star Mining as it builds a thriving graphite operation in Brazil.
Allen Ambrose: Director
A fully licensed Registered Professional Geologist (RPG) with almost 40 years working in exploration and mining, Allen supplies South Star Mining (TSXv: STS; OTCQB: STSBF) with a wealth of practical experience in gold, silver and other mineral mining.
In four decades, he raised more than $180,000,000 in equity capital resulting in the mining of more than $60 Billion Dollars’ worth of metals.
When investors see Allen Ambrose on the senior management list at a company like South Star Mining, they know a trained and successful rock-hound is at work…and he always seems to produce excellent results!
Filipe Holzhacker Alves: Director
Armed with a master’s degree in Political Economics of Resources from the Colorado School of Mines, Filipe, a native of Brazil, knows the landscape of the Santa Cruz project intimately.
The core of any company, and its projects, is the team of people who provide guidance, knowledge and insights to build a successful operation. South Star Mining is proud to present this team to investors as proof of the South Star Mining (TSXv: STS; OTCQB: STSBF) commitment to excellence.
So, what is the value of the graphite product South Star Mining plans to dig up in Bahia?
The report, created by independent industry experts, expects the project results to be “robust” and “very favorable.”
As the report says, on page 13, “…resources of 14,990,400 t @ 2.70% with 404,741 t Cg and Inferred resources of 3,572,100 t @ 2.90% with 103,591 t Cg. Graphite deposition at Santa Cruz is found at surface within oxidized material providing a very favourable strip ratio and requiring no crushing nor blasting.”
The report predicts a Net Present Value of $117,000,000 – that’s One Hundred and Seventeen Million Dollars US – and a post-tax Internal Rate of Return of 78%. The PEA reports 12 million tonnes of minable resources. It says that over the life of the mine, it will produce about 15,800 tonnes with a very low operating cost of just $413 per tonne.
Pilot plant tests indicate premium graphite granulometry including 35-40% of extracted graphite at +50 mesh (jumbo flakes) and 65-75% graphite at +80 mesh (large flakes.) Testing also proves the ability to produce ultra-pure +99.97% graphite.
This PEA estimates a free cash flow of US$15,800,000 per year for the first five years. Over the life expectancy of the mine – 19 years – the free cash flow is expected to average US$10,400,000 per year.
The product South Star Mining (TSXv: STS; OTCQB: STSBF) expects to extract is high-demand large flake graphite. The Product Factor for this operation delivers superior expectations for a long mine life with excellent returns, and that factor is vital to investor expectations.
Who else mines here?
Santa Cruz site is very close to Minas Gerais, Brazil, home of one of the largest graphite mines in the world. Bahia is one of the richest states in minerals in the country, ranking third in Brazilian mineral production.
The State’s main products are gold, copper concentrate, magnesite, chromite, rock salt, barite, manganese, ornamental rocks, precious stones, talcum, phosphates and uranium.
And of course, graphite!
The Possibilities Factor for South Star Mining (TSXv: STS; OTCQB: STSBF) and the Santa Cruz project are bright. Investors can rely on the history of the area as a predictor that the future possibilities show this project should deliver positive results for many years.
The answer lies in the future of power – electric power to energize phones, cameras, computers, cars, and possibly even airplanes! (Yes, European experts are testing, right now, the use of lithium batteries, featuring graphite, to get small airplanes into the sky!)
1. Global Graphite Production (Top Three Producers)
NOTE: Brazil is the only country on the list with an increasing production total of graphite!
2. Graphite Reserves (Top Three Countries)
NOTE: Turkey may have more graphite reserves in the ground, but what investor wants to take the risk with a country with the economy like Turkey’s? Brazil is a much safer economic bet.
3. Global Graphite Demand
NOTE: The demand is there. The supply is sitting in the ground in Brazil waiting for South Star Mining to extract it. Investors should be lining up to take advantage of this situation!
But the real potential of graphite may lie in graphene.
The carbon molecules line up in hexagons. Up close it would look like chicken wire. It is stronger than diamond, more elastic than silk, and conforms to any shape. It conducts electricity at the speed of light and can transmit 1,000 times more electric current than copper. This amazing material is quite new to science, and science is still working out all its potential applications. IBM has already used graphene to produce the fastest computer chip in history. The US Air Force and Navy are funding research to investigate its potential. Graphene chips may displace silicon chips in computers. If this happens, then graphite demand would go through the roof. Intel, the world’s biggest microchip manufacturer, is investigating its potential uses, along with at least 200 other industrial companies.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.This information and the PEA contain references to inferred resources. The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that the PEA will be realized.
This news release contains “forward-looking information” within the meaning of applicable securities laws. Generally, any statements that are not historical facts may contain forward-looking information, and forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or indicates that certain actions, events or results “may”, “could”, “would”, “might” or “will be” taken, “occur” or “be achieved”. Although the Company believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate, that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Readers are cautioned to not place undue reliance on forward looking information. Actual results and developments may differ materially from those contemplated by these statements