Geovic Mining Touted by Research Firm Zeal LLC

In its December 2009 issue entitled, “Favorite 12 Junior Base Metals Stocks Report,” Zeal LLC has smartly identified and included Geovic Mining Corp. (OTCBB: GVCM; TSX: GMC).  We have included the write up on Geovic for our readers. 

Geovic Mining offers investors a unique opportunity in the base metals realm.  Not only is GMC one of the only primary cobalt stocks in the marktes, but it happens to hold a 60% interest in the world’s largest primary cobalt deposit.  In the mining-friendly African country of Cameroon, GMC’s massive Nkamouna and Mada deposits hold over 1.5b lbs of cobalt resources.  And with huge byproducts of nickel and manganese, the economics of a mining operations are simply staggering.  Geovic is currently performing predevelopment work at Nkamouna and is moving closer to mine construction.  It hopes to be producing by 2012. 

As far as where cobalt stands in the base metals family, for quite some time it was considered one of the “minor” metals.  And this was righteous as the demand for cobalt wasn’t significant until recent.  Up until the 19th century its primary use was in hte pigmentation of glass.  But the demand for cobalt has really ramped up as technology has advanced.  Its use in batteries, superalloys, and chemical catalysts is indispensable, thus leading to a double  in global cobalt demand in just the last 12 years.  And this is just one reason whey the world’s premier non-ferrous metals exchange, the LME, has decided to launch cobalt futures contracts beginning in February 2010.  A minor metal no more.

On the mining front, cobalt is usually brought to market as a byproduct of primary copper or nickel deposits.  There just aren’t a whole lot of deposits with cobalt-heavy mineralization.  But hose in Cameroon are anomalous to what we see in the rest of the world.  Interestingly, Africa is the world’s top cobalt producer, with the Democratic Republic of the Congo (DRC) responsible for 40% of the world’s supply. 

Unfortunately, the DRC has long had major geopolitical issues, and things have taken a turn for the worse with recent threats to the foreign companies operating its mines.  With the cobalt industry likely looking at supply deficits in the coming years, it can ill-afford major disruptions from its top producer.  Not only will the DRC risk support price strenght, but it allows other countries to play a more important role in the cobalt trade.  And Cameroon is positioned to take some of the DRC’s thunder.  Cameroon is stable onboth the political and social fronts, and is also mining friendly.  This is apparent not only in the fact that Geovic has its mining permit in hand, but that the government has granted it big tax breaks on future mining  operations.

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2009 Best Year for Commodities Since 1973

SINGAPORE (Reuters) - Commodity markets are on course for their strongest year since 1973, lifted by oil’s biggest annual gains in a decade and a 140 percent surge in copper prices.

With the Reuters/Jefferies CRB index .CRB on track for a 24 percent rally in 2009, gold heading for its ninth increase in as many years, sugar near record highs and cocoa headed for its fourth annual rise, traders are describing 2009 as “the year of commodities”.

Geovic Mining Engages Standard Chartered Bank as Financial Advisor to the Nkamouna Cobalt Project

In a press release, Geovic Mining Corp. (OTCBB: GVCM; TSX: GMC) announced the engagement of Standard Chartered Bank of London as financial advisor to its Nkamouna project.  In addition to conventional means, Standard Chartered will assist Geovic in addressing other financing options should they arise.

Following a long year of hard work completing the drilling program and Process Tests, Geovic is now moving forward with the next stages of its Nkamouna strategy, including updating its Feasibility Study (anticipated in mid-2010) and commencing financing discussions.

Standard Chartered has a long, deep history in the field of mine financing, and is particularly strong in Africa.  As a result, we are increasingly confident in the Company’s plan to move forward with financing and constructing Nkamouna in the second half of 2010. 

Currently, Geovic’s stock is trading slightly above the Company’s cash balances; in other words, giving nearly no valuation to Nkamouna.  Given the combined impact of the Resource Update, Feasibility Study commencement, and Financial Advisor engagement, we believe that the market will start to see a mosaic of increasing project viability in the coming weeks and months, yielding an increased stock price.

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Geovic Appoints Lycopodium to Update Nkamouna Feasibility Study

In a press release this morning, Geovic Mining Corp. (OTCBB: GVCM; TSX: GMC) announced the appointment of Lycopodium Minerals Pty. Ltd., a world-class engineering contractor, to update the Nkamouna Cobalt project Feasibility Study.  The announcement represents the second this fall regarding the positive accomplishments achieved by Geovic during 2008-09, the first being the near doubling of Project resources announced on October 16^th.

Based on the results of the Process Tests and Drilling Programs completed over the past 12 months, Geovic Cameroon (“GeoCam”) is confident that the results of the Feasibility Study Update (FSU), currently scheduled for completion in mid-2010, will yield a significantly more bankable project, in terms of both cost and risk.

The Company looks forward to releasing additional data in the coming months related to its goal of commencing the financing and construction phases of Nkamouna in the second half of 2010.

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Geovic Mining Corp. Due Diligence Luncheon (Parts 2 and 3)

As a follow up to yesterday’s release of Part 1 of the due diligence luncheon we videotaped in San Diego, below please find  links to part 2 and 3.  All three parts combined are approximately 21 minutes and provide an excellent introduction to or overview of Geovic Mining Corp. (OTCBB: GVCM; TSX: GMC).

Part 2:     http://www.youtube.com/watch?v=SStGxEqNjWA

Part 3:     http://www.youtube.com/watch?v=Hez2zz3UeOY

Geovic Mining Corp. Due Diligence Luncheon (Part 1)

Earlier this month, we had the opportunity and privilege to host a due diligence luncheon for Geovic Mining Corp. (OTCBB: GVCM; TSX: GMC) in what has come to be known as America’s Finest City, San Diego, California.  And we decided that it would be a heck of a lot cheaper for us to bring the Company to you than to bring you to the Company.  To this end, we are pleased to provide you with Part one of a three part series featuring Jack Sherborne, the Company’s CEO and Andrew Hoffman, the Company’s Vice President, Investor Relations.  

At the end of the third video, Jack summarizes the opportunity quite nicely as follows, “As you can see, we have  no debt and we have cash in the bank, and we have a project that we’re very happy to talk about, and frankly it’s hard to find a whole lot of opportunities out there where you could have such a dominant potential mining project and basically can get it for not much more than the money that’s in the bank.”  Enjoy Part 1, Part 2 will be available shortly.  Click on the picutre below to watch the video.

Geovic Cameroon Significantly Increases Resources at Nkamouna Cobalt Project

In a press release this morning, Geovic announced initial results of its 2,045 hole, 54,900 meter drill program completed in 2008.  The most valuable resource category, Measured & Indicated, increased by 97%, suggesting the potential for Nkamouna’s mine life to at least double from the 19 years projected in the Company’s September 2008 Feasibility Optimization Study.   Additionally, it should enable the production of higher ore grades early in the project, yielding materially improved project economics.  Proven/Probable reserves estimates are anticipated to be published in early 2010, and an updated Feasibility Study (incorporating the new reserves/resources and Process Test improvements) by mid-2010.

DENVER, COLORADO–(Marketwire – 10/16/09) – Geovic Mining Corp. (“Geovic” or “the Company”) (TSX:GMC – News)(OTC.BB:GVCM – News), on behalf of its 60.5%-owned subsidiary Geovic Cameroon PLC (“GeoCam”), is pleased to announce that estimated resources at its Nkamouna cobalt-nickel-manganese project in Cameroon, Africa have significantly increased following an extensive 2008 drilling program, encompassing 2,045 holes totaling 54,900 meters.

The expanded resource base should enable GeoCam to selectively mine higher grade ore during the early years of production, substantially extend the project’s mine life, and further establish GeoCam’s position as the world’s largest primary cobalt resource holder.

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Say Goodbye to Paper and Hello to Physical Commodities

A looming crackdown in the commodity futures markets is arousing investor interest in the real thing.

Facing a limit on holdings in paper futures contracts, bankers say they have received inquiries from pension funds and other big investors about the practicality of warehousing industrial metals or chartering supertankers.

The inquiries raise thorny issues for the US Commodity Futures Trading Commission as it devises constraints on holdings of energy futures after last year’s surge in oil prices. Gary Gensler, chairman, has said he wants position limits to be consistently applied across commodity markets.

Critics say investors could respond by bailing out of futures and hoarding actual commodities, an ugly prospect in the event of a global shortage. Neither the CFTC nor the UK Financial Services Authority has jurisdiction over spot commodity markets.

Geovic Mining Covered (and Recommended) in September Issue of MoneyWeek Magazine

“Plastics . . . . “ the infamous, single word movie tag line that has endured since it’s initial utterance in 1967 as one of the most recognizable and oft-repeated quips in American film history. The line was delivered deadpan as career advice (and as it turns out, very sage advice)  to a young Dustin Hoffman at his backyard pool party in the classic film “The Graduate”.

Fast forward 42 years and we could very well replace the word “plastics” in this scene with the word “hybrids”. Investors have seen the light recently as hybrid electric vehicles (and lithium batteries that power these vehicles) have moved up the food chain quickly as a sector recieving big time investor interest. Warren Buffet and a host of other high profile investors have been investing and annointing all things lithium of late, (the primary building blocks of lithium-ion batteries). What a lot of people don’t know is that there is just about as much cobalt (5 to 7 lbs/battery) in these batteries as there is lithium, so cobalt related groups stand to benefit as well but haven’t recieved as much press. . . yet. But they are starting to . . . as evidended by the recent September issue of MoneyWeek, which covers this new “minerals rush” in an article titled “Space Age Metals, Three Mineral Stocks Heading for the Moon” and cites Geovic Mining Corp (TSX:GMC and OTCBB:GVCM) as one of “Three Stocks to Buy Now”. This well written article covers the rare earth minerals and hybrid battery sector’s – as well as a side bar article on Geovic’s primary business plan, which is to be the world’s largest (primary) cobalt mining company. We did notice that the editor’s were off by one year for Geovic’s planned mill construction at their Nkamouna property in Cameroon (the article cites 2011 but the real number is 2010).

As MoneyWeek is the best selling financial magazine in the UK, and has a large online readership as well, we think a copy of the September issue will eventually end up in the mailbox at a certain, non-descript brick building in downtown Omaha, NE . . . so you probably still have a little bit of time, but probably not much.

To read the full article, click on the link below:

Cobalt Poised for Further Gains After Steady Summer Rise

London 26 August 2009 – Cobalt prices are poised to see modest gains in September on increased buying from battery producers and tightness in high-grade metal.  The majority of market participants polled expect cobalt to rise by between $1 and $2 per lb by the end of September following steady gains through the European summer.

Low-grade cobalt has been trading at $17.50-$18.50 per lb and high-grade cobalt has been trading at $18.80-$20.20 per lb since August 12.  Prices have been firming steadily through the summer on better demand and more bullish sentiment.

Low-grade cobalt was trading at $12.60-13.30 per lb at the start of June, while high-grade metal was changing hands for $13.50-14.50 per lb.  An increase in consumer enquiries this week has given traders and producers hope for a more active September.

“I have seen a lot more enquiries this week,” said one trader on Wednesday who has received interest for over 150 tonnes since Monday.

“I think it will go up steadily rather than rapidly. By the end of September we’ll be slightly higher, perhaps up by a dollar,” he said.

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