Bdi Mining Share Discussion Threads

[pippin] 01/10/2005 10:28

I liked the 20k buy at 37p near the close!

[rambutan2] 30/9/2005 11:02

wonder if it's been tipped in something?

buying pattern looks as though it could have.

[ged5] 30/9/2005 10:38

Looks good today. Must have been some big buying. Not so sure about a breakout more of a gradual incline which hopefully will continue. I suspect there'll be spikes in anticipation of all the expected good news ( and some not so expected good news) and profit taking to pull us back. But the trend is up. Whether we double, treble or quadruple is anyone's guess. Anything could happen here.

I think we're all agreed about the growth capacity and I don't think BMG will be ignored for long by those with the big money.

[the big fella] 30/9/2005 09:47

Chart breakout. Fundamentals here could see us double in 12 months IMHO.

[unionhall] 29/9/2005 10:23

No worries - still a good looking company for guaranteed growth over the next 24 months.

[sbh71] 29/9/2005 08:39

Oops, you are absolutely correct, unionhall, apologies...

[ged5] 27/9/2005 22:52

sbh71, unionhall,

Just woken up after starting to watch the football. Many thanks for your replies. After re-reading I'm inclined to agree with unionhall since you can't have a negative share capital (I don't think so anyway).

It does show how far we've come. These results are to be quite honest awful. It is next years figures that I'm trying to work on.

However the one parcel in September of $2.5M I think is more than the CDN$1.8M from the previous 6 months. And we have been promised of better things to come. I reasonably expect the next parcel to be in excess of $3m and a similar amount in December. Next year should see developments at Woodlark Island and further production at Cempaka. I think the past is like this balance sheet - not everything is in line. The future however is looking very rosy.

Edit Don't know why I put the results I knew I had to format them.

[unionhall] 27/9/2005 20:51

Diamond inventory is 1.863m.

The lines are out of synch....

11m is the sum of Bank, Debtors and Diamond Inventory.

[sbh71] 27/9/2005 20:39

Ged5,

notice the CAD 11.2m diamond inventory on the balance sheet as at 30 June... stripping out the US$ 2.5m sold in September that's over CAD8m they would be sitting on even if there had been zero production since then. At US$350 a carat, that's about 5 months' worth of production at 4k carats a month. That gives them a cushion to manipulate the value of actual sales... the statement doesn't say when production will double to 8k carats a month but they could do it now for 5 months. That would pep up your p/e...

[ged5] 27/9/2005 19:27

Apparently it was a cheery update

"BDI Mining edged ahead today after the group reported interim numbers and gave a cheery update on prospects at Cempaka and Woodlark Island.

Earlier this month Aim-listed BDI bagged over $2.5m after completing its first sale by tender of diamonds from the Cempaka mine in Indonesia.

Two more tenders are scheduled before the end of December, said the group, the results of which will be reflected in the full year results.

BDI also said it is confident that continued drilling over the next 12 months at its 100%-owned Woodlark Island gold project in Papua New Guinea, will outline a gold deposit capable of supporting a profitable mining operation.

The company reported a loss for the six months to 30 June of C$4.1m, with working capital up by $8.6m to $10m.

Chairman Paul Loudon said, "BDI Mining Corp has achieved a milestone in its corporate history, making the successful transition from explorer to producer."

"Stage 1 production at the Cempaka Diamond Mine is progressing smoothly and profitably. Cempaka operating profits will allow Stage 2 expansion at Cempaka to be funded from internal resources while also funding gold exploration at Woodlark."

Loudon remained bullish on future growth prospects, with diamond prices at new highs and gold prices moving through $450 per ounce to their highest in 17 years."

[ged5] 27/9/2005 13:06

Ah! That clears that up. Look forward to October and December then.

[rambutan2] 27/9/2005 12:58

it comes up with the diamonds - will be seen as non material. but a nice little bonus nonetheless.

[ged5] 27/9/2005 12:50

Checked the minesite presentation again. 1.5Kg per month of gold and platinum concentrate produced. First sale reasonably soon. Yet no mention in the results.

[rambutan2] 27/9/2005 12:41

hopefully those two parcels before christmas will do the trick.

[blindfaith2] 27/9/2005 11:56

Everything here sounds tickertyboo and some, yet I fail to understand why it does not warrant more interest. Could well be that I am missing something but this does seem to have a fair amount of upside going for it, imo of course. Holding.

[ged5] 27/9/2005 10:14

Thanks ranbutan2, must have been typing as you posted.

[ged5] 27/9/2005 10:12

So the results can be announced without any comment.

The forward statements make good reading. The first parcel brings in £1.3M. We're told there'll be two more before the end of December. We're told that production will increase. We're told the margins are about 50%

We've already been told that there'll be a parcel every other month. That's an income of approximately £8M just from the diamond parcels. That gives earnings of £4M or about 4.7p per share which gives a pe of just under 7.

Please correct me if I'm wrong on my figures. If not this really does look like a bargain especially when you think that it is now going to produce on a regular basis and that we've not even considered the gold.

About the gold. Am I the only one thinking that there is about to be a sale of some gold shortly?

[rambutan2] 27/9/2005 10:02

interims out...

re cempaka - Two more tenders are scheduled before the end of December, the results of which will be reflected in the full year results.

An independent review of the expanded resource base is currently under way and this report is expected to be available in the current period.

Management aims to maintain a gross operating margin of better than 50% at
Cempaka.

re Woodlark Island - three drilling rigs on the go. A revised resource
statement is expected to be announced in the current period.

conclusion - Cempaka operating profits will allow Stage 2 expansion at Cempaka to be funded from internal resources while also funding gold exploration at Woodlark. With diamond prices reaching new highs and gold prices moving through the US$450 per ounce level, I believe the future holds great promise for the growth in your Company.

[ged5] 23/9/2005 10:13

Good luck Wapit, hope to see you back shortly. Hope you don't miss any major announcements. I'd re-listen to Lee Spencer's presentation if I were you. Also note there were 2 announcements about the last parcel of diamonds - the shipment and the sale.

Hope somebody doesn't know otherwise.

[wapit] 23/9/2005 08:06

Sorry guys but I've had to sell as I need the cash for another position,
Expect to be back in early October as this company looks good.
The 1st trade is mine but I'm surely not to blame for the drop of 0.75p.

Added 10:06 - was not me it was the trade of 40,000 that did it..

[rambutan2] 21/9/2005 14:55

thanks david, i though they looked on the good side but wasnt sure.

that gold's worth more and more at the mo.

[davidblack] 21/9/2005 12:07

The results are excellent I checked with a friendly gold geologist.

There is clearly a seller holding back the price.

[blindfaith2] 21/9/2005 10:50

Looking at the effect this has had on the share price this morning it looks as if nobody else understands it either !

[out of my box] 21/9/2005 10:08

After reading it again / and again this is a positive announcement. My take is that these samples demonstrate there is greater scope at Wonai prospect for larger find. Have to admit "....garnet-epidote skarn rocks is coincident with a copper in soils anomaly" went straight over my head. Any care to guess what this actually means?

[ged5] 21/9/2005 09:59

Written for intellectuals, geologists and minerologists. Not me then. Lost me after:-

"The results confirm the high-grade gold values obtained at Wonai from surface
sampling..."

Shouldn't the next announcement be about a Gold sale?