BLACKTHORN RESOURCES LIMITED (BTR)



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General Information
Company Name: Blackthorn Resources Limited
Stock Code: BTR
Website: www.blackthornresources.com.au
GICS Sub-Industry: Diversified Metals & Mining
Market Cap ($M): 79
Equiv. Shares (M): 164

Current Price Data+
Current Price Open High Low Last Close Volume Price Movement
 $ 0.450 $ 0.470 $ 0.470 $ 0.450 $ 0.480 265,361 $ -0.030  -6.250 %

Current Broker Consensus Recommendation more
Recommendation: Buy
Recommendation Date: 9th Apr 2013
12 Month Target Price (average): $1.475
Brokers Surveyed: 2

Company Overview

Business Description:
Blackthorn Resources Limited (BTR) is an Australian-based resources company with a diverse portfolio of African assets including zinc, gold, copper, nickel and platinum group metals. The company focuses on production at the Perkoa, development at the Mumbwa, and exploration at its tenements in Burkina Faso.

Strategy Analysis:
BTR's strategy is to maximise shareholder value by building a successful mining house in Africa. BTR's key assets are the Perkoa Zinc Mine in Burkina Faso and Mumbwa Copper- Gold project in Zambia. BTR intended to advance the Perkoa mine to production however the collapse of zinc prices have forced it to place the mine on 'care and maintenance' until the zinc market improves and a suitable funding package can be found. At Mumbwa, the company is eager to advance the project through a new joint venture agreement with BHP. BTR is now focused on developing their more economically viable projects.


Financial Summary
Year to Jun NPAT EPS EPS chg (%) PER DPS Yield (%) Franking (%)
2014  F 11.1 6.6 -- 7.3 -- 0.0 --
2013  F -5.9 -3.5 -- -- -- 0.0 --
2012  A -5.0 -4.0 -- 0.0 0.0 0.0 --
Source: Aspect actuals / Thomson IBES estimates

Peer Comparison
EPS Growth (%) P/E (%) Dividend Yield (%)
Company Mkt Cap 2012 A 2013 F 2014 F 2012 A 2013 F 2014 F 2012 A 2013 F 2014 F
BHP Billiton (BHP) $108,427 M -0.1359 -0.2169 0.2281 10.7192 13.6874 11.1456 0.0326 0.0355 0.0379
Blackthorn Resources (BTR) $84 M -- -- -- -- -- 7.7039 0.0000 0.0000 0.0000
Iluka Resources (ILU) $4,526 M -0.2536 -0.6688 1.4331 11.9805 36.1780 14.8693 0.0324 0.0129 0.0313
Rio Tinto (RIO) $23,827 M -0.3874 0.1601 0.2231 11.2943 9.7359 7.9598 0.0294 0.0344 0.0389
Sims Metal Management (SGM) $1,996 M -0.6378 -0.2450 1.9611 29.0169 38.4343 12.9799 0.0205 0.0108 0.0373

Market Comparison
Earnings P/E Ratio P/B Ratio P/E Growth P/S Ratio
BTR 3.00 -- 0.98 -- --
Market 1.13 13.2 0.92 2.50 2.58
Sector 0.56 8.96 0.71 1.83 6.67

Directors
Name Position Start Date
Mr Scott Lowe Chief Executive Officer,Executive Director,Managing Director 13 June 2008
Mr William Douglas Cash Executive Chairman,Non-Executive Chairman 31 May 2007
Ms Nicole(Nicki) Bowman Non-Executive Director 08 October 2008
Mr Michael Oppenheimer Non-Executive Director 01 April 2011
Mr Peter Kalkandis Non-Executive Director 10 May 2011
Mr Derek Carter Non-Executive Director 01 February 2012

Management
Name Position
Chris Brown Chief Financial Officer,Company Secretary
Tony De Santis Chief Operating Officer
Adama Barry General Manager, Burkina Faso

Substantial Shareholders
Holding Name
13,159,304 (8.01%) Acorn Capital Limited
13,241,447 (8.06%) North Sound Capital LLC
23,164,318 (14.10%) Glencore International AG
11,237,158 (6.84%) Brewer, Frank

Calendar of Events
Date Event
23 April 2014 Report (Quarterly)
24 January 2014 Report (Quarterly)
21 October 2013 Report (Quarterly)
26 September 2013 Report (Annual)
29 July 2013 Report (Quarterly)
© 2011 Morningstar, Inc. All rights reserved. The data and content contained herein are not guaranteed to be accurate, complete or timely. Neither Morningstar, nor its affiliates nor their content providers will have any liability for use or distribution of any of this information. To the extent that any of the content above constitutes advice, it is general advice that has been prepared by Morningstar Australasia Pty Ltd ABN: 95 090 665 544, AFSL: 240892 (a subsidiary of Morningstar, Inc.), without reference to your objectives, financial situation or needs. Before acting on any advice, you should consider the appropriateness of the advice and we recommend you obtain financial, legal and taxation advice before making any financial investment decision. If applicable investors should obtain the relevant product disclosure statement and consider it before making any decision to invest. Some material is copyright and published under licence from ASX Operations Pty Limited ACN 004 523 782 ("ASXO"). DISCLOSURE: Employees may have an interest in the securities discussed in this report. Please refer to our Financial Services Guide (FSG) for more information at www.morningstar.com.au/fsg.asp.

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