Bdi Mining Share Discussion Threads

[ramnik007] 11/4/2007 08:01

Do not think mgt have done a good deal. Could it be because most will be moving on to the new company under much better terms (options, salary and other perks)?

[bageo] 11/4/2007 07:44

Slightly disappointing price -
Woodlark sale (say $15/oz 1moz inferred) = $15m
capital required to expand Cempaka $15m
problem $0

and the news that existing management plan to spend $5m exploring Woodlark ... never announced.

[spacecowboy3] 11/4/2007 07:19

Recommended cash offer from Gem Diamonds @ 37p per share.




Not what I had in mind when I first bought these at 35p! :-(

[ged5] 05/4/2007 14:16

Much as expected. High costs, lower diamond prices giving overall losses last year.

Forward looking statements much as expected. Plenty to look forward to.

Still no news of the Chelsea Blue sale.

Have a good holiday all.

[ged5] 04/4/2007 16:14

And again this evening. And I've managed to fix the shower today :)

[ged5] 04/4/2007 09:17

Good to see a bit of upward movement this morning.

[rambutan2] 03/4/2007 16:38

bmg is no longer quoted on tsx, and hasn't been for a while, so doesn't qualify for isa.

[ericeb206] 03/4/2007 15:11

If an AIM share is quoted on a foreign exchange then usually ica be put in an ISA even if the company is also AIM listed. See the IAIM thread.

[gisjob2] 29/3/2007 11:18

Don't think it will be petra, They have no interest in woodlark gold, they're a pure diamond play,and although expand through aquisition, they met with shareholder disapproval when trying to take over Mano. Basically cause they had to much on their plate already and mano was like BMG diamonds and gold.

[sitiain] 29/3/2007 07:41

could be these guys? bit too far from home i would think however?

Petra Diamonds Ld
27 March 2007


For release 27 March 2007


Petra Diamonds Limited

Notice of EGM


Petra Diamonds Limited ("Petra" or "the Company"), the AIM-quoted diamond group,
announces that on 26 March 2007 it posted to holders of Petra ordinary shares
("Shareholders") a notice of an Extraordinary General Meeting ("EGM") to be
held to consider and vote upon a proposed increase of the Company's authorised
share capital.


Introduction

It is Petra's publicly stated strategy to build a portfolio of producing mines
with beneficiation capability, combined with a world class exploration base,
achieving the objective of becoming a successful mid-tier diamond group. Petra
is well on the way to achieving this strategy, as supported by the key
acquisitions and financing transactions concluded over recent months.

In line with the strategy above, the Company will continue to scrutinise
acquisitions and business opportunities in the diamond sector that, subject to
the Company's demanding review criteria, Petra believes have the potential to
grow the Company's production and/or quality exploration asset base.

Taking into account the recent placing of 10 million Petra ordinary shares
("Shares") with Saad Investments Company Limited at a price of 175 pence per
Share (as announced on 6 March 2007) and the acquisition of Frannor Investments
and Finance Limited ("Frannor") from Xceldiam Limited, ("Xceldiam") for a
consideration of 19,674,584 Shares (as announced on 1 March 2007 and
subsequently approved by the shareholders of Xceldiam on 19 March 2007), the
Company will have an issued share capital of 181,173,191 Shares. An application
for admission to trading on AIM will be made today in respect of the 19,674,584
Frannor consideration Shares which are expected to be admitted to trading on AIM
on or around 30 March 2007.

The Company currently has an authorised share capital of #20,000,000 comprising
200,000,000 Shares of #0.10 par value each. In light of Petra's stated strategy
above, Shareholders' approval is being sought at the EGM to increase the
Company's authorised share capital from #20,000,000 to #30,000,000 by the
creation of an additional 100,000,000 Shares ("the Resolution"), ranking pari
passu in all respects with the existing Shares of the Company.

The Company will require the approval of 50.1% of its Shareholders in order to
pass the Resolution.

Pursuant to the bye-laws of the Company and any resolution of the Shareholders
to the contrary, the Board has the power to issue and allot any unissued Shares
of the Company on such terms and conditions as it may determine.


EGM

A notice was sent to Shareholders on 26 March 2007 convening the EGM to be held
at 9:00am (Bermuda time) on 23 April 2007, at which time the Resolution will be
proposed to increase the authorised share capital of the Company from
#20,000,000 to #30,000,000.


Recommendation

The Directors believe that the Resolution is in the best interests of the
Company and its Shareholders. Accordingly, the Directors unanimously recommend
that Shareholders vote in favour of the Resolution to be proposed at the EGM, as
they have irrevocably undertaken to do in respect of their own beneficial
holdings, which in aggregate amount to 11,924,122 Shares, representing
approximately 6.59 per cent of the issued ordinary share capital of the Company
of 181,173,191 Shares, which includes the 19,674,584 Frannor consideration
Shares noted above.



Expected Timetable of Principal Events

Set out below is the expected timetable of principal events in relation to the
EGM:

Latest time and date for receipt of Forms of Direction 9:00am on 20 April 2007

Latest time and date for receipt of Forms of Proxy 9:00am on 21 April 2007

Extraordinary General Meeting to consider the Resolution 9:00am on 23 April 2007

(All times are Bermudan time)



Ends







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[gisjob2] 28/3/2007 17:13

Drop could be people taking this years profit, to avoid capital gains!

I thought there were several parties interested in buying woodlark, can't see very preliminary talks from several companies have ended this quickly.

[sitiain] 28/3/2007 15:52

i am not convinced.
nice fundamentals and i reckon the price would be lower if it had leaked that nothing is happening.
anyway, i am in these ,if they dont get bought out i will stick with them.

[skyship] 28/3/2007 10:01

Today's trades suggest we will shortly see an RNS stating "Talks discontinued".

No problem, IMO there was no bull position ahead of the recent announcement; and any prospective bidder could always turn aggressive & lob in a "Take it or Leave it" offer. I suspect that would be around the 40p level; and I also suspect that would win the day.

[barnsey] 21/3/2007 11:45

Worth more tha 40p imo.
Article below out of date but values still apply.

Smaller companies spotlight

12 May 2005
EACH week, former Fleet Street City Editor Patrick Lay keeps This is Money readers up-to-date with a neglected, but exciting sector of the stock market - smaller companies.




I FELT some of the excitement a twitcher might feel when spotting a rare species of bird in his own back garden this week when I met Paul Loudon and John Forrest, chairman and finance director of BDI Mining Corp.




BDI is a very rare species indeed, a junior mining company that is actually producing and has a positive cash flow. Next month, its first parcel of gem quality stones from its diamond operations in Indonesia goes up for auction in Antwerp.


The parcel of 2,504 carats has been independently valued by WWW International of Antwerp and London as being worth around $275 (£150) a carat, and plans are well advanced to achieve a 2005 average rate of more than 4,000 carats a month from existing property. The company is also looking to extend its acreage.




While such success might be sufficient for some operators, Mr Loudon sees this as only the beginning. BDI is hunting for gold on Woodlark Island, Papua New Guinea, where a previous owner identified 374,916 ounces of gold. Subsequent drilling suggests there is a potential to contain more than a million ounces of gold.




The story is sufficiently credible to have attracted Barclays Capital to come on board and assist with the funding of the project through to a bankable feasibility study, and to continue with the finalised mine construction and production financing.




The company came to Aim in September 2004 with a placing of shares at 14p a share, since when it has raised a further £5.4m at 19p a share and at 30p a share through private and institutional placings, getting on board such big hitters as RAB Capital, Tectonic Fund, Ocean Resources Capital, and Fidelity.




Analyst Robert Wallace at SQC Research estimates turnover this year will be £3.9m with pre-tax losses of £112,000, but he predicts turnover soaring to £10.7m next year with pre-tax profits of £5,470,000 and climbing to £17.2m and £11.2m pre-tax respectively in 2007.




He sets an end 2005 target price of 70p on the shares, and there some who feel £1 a share is possible within 12 months

[sitiain] 21/3/2007 11:16

just to copy my message here from 29th december.
when ever you find out there is a possible bid i always look closely at what i think the company is worth, to see weather i think there is value or not.
here is what i posted in december. i would be interested in your thoughts especially Doobydave as you seem pretty good at this resource lark.

well they have named it the chelsea blue.. i know a rather wealthy russian who might want to pick that up to put in a show case at a certain football ground.
but.......
what could be around the corner.?
i think we will see the bigger producers buying up reserves next year.the diamond market looks very under supplied.
they are not cheap to get out of the ground in south africa, plus the large tax there, which might make this stocks valuation very cheap to a larger producer.
also there are companies around globally whose gold in the ground is valued at 30 dollars per ounce.
that would put the gold assett here worth 30,000,000 dollars alone.
if they produce 100,000 carats next year , as planned and keep about 100 dollars per carat profit that could put the valuation through the roof.
i think there are diamond producers around who trade at 10/15 times profit.
just imagine if it all works out..........
30 mio for the gold
10,000,000 times p/e of 10 gives us 110,000,000 dollar market cap.(110,000,000 for us as indonesian govt owns 20 percent of the diamonds, so 30 for gold, 80 for diamonds)
aprox 86 million shares.
that is a sterling share price of 65 pence.
so you can see why people are taking a punt.
all speculation of course but the numbers are all there.
happy new year to all.

[ericeb206] 20/3/2007 14:48

Sittain

I agree. Even if they do not sell the co they will get rid of the gold at a healthy premium which will allow them to focus on diamonds and be a better but more expensive target.

[sitiain] 20/3/2007 14:35

my take on this is that some one has told them to sell the gold and they will pay up for the diamonds.
just my thoughts.
i see the second announcement as far more positive than the first.
i am surprised the price has not gone up more today.
this is far too cheap when compared to diamond producing companies.
if they can convince a buyer that they are on track for 100,000 carrots a year in 2007 you could see a very healthy premium here.
this is a very safe place to be for a big punt at the moment in my opinion.

[ged5] 20/3/2007 12:20

I've come to like the idea of selling Woodlark but at these prices I wouldn't want a full takeover. Far too cheap!

[ericeb206] 20/3/2007 12:08

Another annoucement. An approach for the whole company.

[adam] 20/3/2007 09:48

How fortuitous for those buyers that bought just before this announcement....

[ericeb206] 20/3/2007 09:35

There is the news. An offer for Woodlark. Best thing that could have happened. They can now concentrate on diamonds.

[doobydave] 20/3/2007 08:43

"...has received approaches" - plural. Could just be loose use of English but if it's genuinely plural, that would be most encouraging.

[erkman] 20/3/2007 08:37

Dooby

You were right but for it to happenso quick something is afoot.

[spacecowboy3] 20/3/2007 08:36

So this is what was driving the price yesterday -



Now confirmed by BMG as possible sale of Woodlark -