Bdi Mining Share Discussion Threads

[unionhall] 16/1/2006 12:37

Fom mining news this morning......

BDI gets nice surprise

Ben Sharples
Monday, January 16, 2006

BDI Mining has had an unexpected surprise at its Woodlark gold project in Papua New Guinea, hitting mineralisation 100m south of the Kulumadau deposit which was previously considered closed off.



President and chief executive Lee Spencer told MiningNews.net the Kulumadau deposit now appeared to be open to the south and at depth, with the company awaiting results from drill holes in the north which were drilled late last year.

Drilling at the Kulumadau zone returned hits of 31m at 4.35 grams per tonne of gold from 141m, including 1m at 33.3gpt gold, 1m at 27.3gpt, and 1m at 54.5gpt gold.

"The plan [for 2006] is to mobilise an additional two diamond rigs, in addition to the RC and diamond rig currently on site...[with] drilling starting at the end of this month," Spencer said.

"The Kulumadau Trend is 1.5km long and we have numerous IP anomalies along strike similar to intensity at the Kulumadau resource.

"If results get us into the plus 1 million ounce range we will initiate a pre-feasibility study to look into matters such as metallurgy and conceptual mining."

The Woodlark Island project has a resource of 655,000oz, and Spencer previously told MiningNews.net the company would initiate a feasibility study around the end of this year when it was anticipated resources were passing 1Moz and heading towards the 2Moz mark.

BDI also operates the Cempaka diamond mine in Indonesia.

[ged5] 16/1/2006 12:22

Someone must have noticed at last.

[ged5] 16/1/2006 10:29

" JANUARY DIAMOND SHIPMENT

LONDON - 16 January 2006 - BDI Mining Corp. (AIM:BMG) reports that it has
shipped to Antwerp two parcels of gem diamonds from its Cempaka Mine in
Indonesia.

The first parcel consists of a total of 13,583 stones larger than DTC screen
size 7, weighing 4,334.74 carats. The second parcel comprises of 2,640.24 carats
of fine diamonds (smaller than DTC screen size 7) as a by-product of normal
run-of-mine production. The two parcels will be tendered separately.

The tenders are scheduled to take place in the week beginning 23rd January 2006."

Moving towards the 8000 carats that was stated for later this year.

[unionhall] 15/1/2006 20:40

This is the summary page of.....


Independent Technical Report
BDI MINING CORP.
ASSESSMENT OF THE ESTIMATED RESOURCES OF THE
CEMPAKA (INDONESIA) PLACER DIAMOND PROJECT
AND THE POTENTIAL FOR
ECONOMIC DEVELOPMENT AND PRODUCTION
30th September, 2005





From 1988 to 1992 various estimates were made of the resources in Danau Seran channel, but none
was compliant with Canadian Instrument 43-101. A decade later the Indonesian authorities accepted the
resource estimate, contained in the 2002 feasibility study, submitted to them as being valid for the planned
placer operation. However, It was also 43-101 non-compliant, because the required demonstration of
diamond grade continuity had not been achieved for the quoted "measured resources" and "reserves".
Recently, a new resource statement has been completed at the mine. The writer has partially and
randomly audited the statement, and no errors in methodology or mathematics have been found. The parallel
economic study mentioned previously incorporates a monthly cash flow for mining the main channel during
the period from August, 2005, to end-April, 2007, It comprises a detailed, reliable economic analysis and is
based on the actual costs and experience gained from mining Danau Seran south channel. Sensitivity
analyses undertaken by the writer show that profitability can be maintained even in the event of a 100
percent increase in the fuel price.
The writer has accepted, with some slight modification, the management's gravel area and volume
estimates for most of the remaining resources in Danau Seran main channel. Those for Cempaka channel
have been significantly reduced. The diamond grades attributed to the different channel sections are based
on the most relevant (in terms of location) bulk sampling results. The figures should be reviewed as mining
progresses. Continuing production results will allow a firmer relationship to be established between grade and
indicator mineral frequency. The writer has applied the definitions of Canadian Instrument 43-101 to the
Mineral Resource estimates to produce the following 43-101 compliant results:
(a) In Danau Seran main channel: a Probable Mineral Reserve of 163,000 m3 @ 0.15 ct/m3, containing
24, 450 carats.
(b) In Danau Seran main channel: an Indicated Mineral Resource of 245,000 m3 @ 0.15 ct/m3,
containing 36,560 carats.
(c) In Cempaka channel: an Inferred Mineral Resource of 8,108,000 m3 @ 0.07 ct/m3, containing
567,560 carats.
Reasons are provided for the inclusion of the large, but severely discounted (by the writer), volume
of Inferred Mineral Resources in Cempaka channel. The writer recommends that the drilling activity in
Cempaka channel should be accelerated immediately in order to (a) either promote all or some of these
Resources to the status of Indicated, allowing the development of an appropriate a mining program, or (b)
remove them from the Resource portfolio.
The Reserve and Resource figures have been reconciled with the published 2002 estimate. After
taking into account the Resources already mined by BDI, there is a shortfall in Indicated Mineral Resources
of 106,000 m3 @ 0.15 ct/m3, containing 10,455 carats. This amount possibly can be reinstated eventually by
further infill drilling in places on Danau Seran main channel and/or opportunistic extraction of additional
gravels during future mining. The Inferred Mineral Resources on Cempaka channel have been reduced since
2002 by 10 percent in gravel volume and 30 percent in volumetric grade.

[badtime] 13/1/2006 17:21

share prices dont lie?...lool..thats a good one..bit simplistic..means there r nvr any under/over valued companies for one..lool

[speed camera] 13/1/2006 16:13

Thanks unionhall - very helpful. With gold roofing it at this moment maybe BDI will join in.

(I'm told that Angus & Ross is worth a look at.)

[unionhall] 13/1/2006 15:57

speed camera - not sure why you are asking me but I think the answer may be in the November analysts report on their website. The report is pretty straightforward and detailed. Uses only 600k oz of gold which has already been exceeded and reckons at least 53p price...

"Mineralogy allows for a gravity circuit for processing,
which will be both inexpensive and allow for fast track
production."



As for shareprices and markets - beats me.

[speed camera] 13/1/2006 15:28

Unionhall - BDI is still talking boldly about Woodlark (11th January) but the share price isn't reacting in the way we would like. Are these gold resources accessible at commercial rates? If the gold price has to reach $1000 an ounce before Woodlark is commercial, then we are in dead money.

Share prices don't lie.

Please enlighten me and others.

[ged5] 13/1/2006 11:24

Didn't know you could get such a view of a remote area.

[ged5] 13/1/2006 08:26

Thanks unionhall, I just got lucky with ITM. With my January selection I expect WHI to move soon - not a recommendation but worth looking at.

Notice we got our usual retracement this morning but it now looks like that little stairway is developing nicely. I expect this to at least double this year and my back of the the envelope calculations gave me a share price over the next few years which was really blue sky. I keep meaning to do a detailed calculation.

[unionhall] 12/1/2006 21:20

Yep - this is the place for excitement, sometimes we get three posts in one day - beat that !!!

Ged - see you are at number 10 in the stockchallenge - good stuff, hope it lasts.

[chonk] 12/1/2006 18:25

Welcome aboard Simon54.

[simon54] 12/1/2006 13:56

Hi folks. I'm a bit late to this story but have bought today. Hard to resist the excitement of a company that issues a diamond sale RNS every month!

[davidblack] 11/1/2006 18:49

The upward movement on the price isn't helped by directors selling a few shares to pay the coffee bills at home!

[badtime] 11/1/2006 16:59

Well..that looks a bit bettr :)

[rambutan2] 11/1/2006 12:18

can't ignore cashflow for ever. value will out.

[badtime] 11/1/2006 12:15

Mayb people hav had ther fill of mining stocks...time will owt the gd from the bad

[mangal] 11/1/2006 12:14

The chart is looking very good indeed now that the downward trendline has been breached.

[ged5] 11/1/2006 11:26

Very true. I still can't believe this is being ignored. With these sort of comments in today's RNS I thought a few more might be interested.

"Both BDI Mining management and CRM consider Hole BKD26 a significant result in
that high grade mineralisation at Kulumadau now remains open to the south at a
steeper plunge. The deposit also continues to be open to the north. Further
assays from other diamond drill holes from the Kulumadau deposit and,
reconnaissance RC drill holes from IP targets along the 2km Kulumadau trend are
expected shortly.

The interim resource statement of 655,000oz of gold in JORC-compliant measured,
indicated and inferred categories announced in December, included all Kulumadau
drill holes up to BKD24. The next resource upgrade will incorporate all drilling completed up to December 2005, and is expected to be completed in the current quarter."

With a regular tender of diamonds from Cempaka whilst Woodlark is being developed I would have thought we have an excellent investment here.

[rambutan2] 11/1/2006 11:22

yes, much much better. joe punter can read that and get the gist.

is looking good for the next resource statement.

[unionhall] 11/1/2006 09:13

Comprenendable and very positive and promising....

[ged5] 11/1/2006 08:47

Well we got an RNS but not the one I was expecting. With a recent average of 3 announcements per month I don't think we are finished for January.

Good to see that the wording is more comprehendable this time.

[ged5] 10/1/2006 12:31

Things seem very quiet at the moment so I thought it was a good time to top up. The 6 month chart doesn't really show the full picture. Just been looking at a longer term chart and we seem to be at the bottom of a rising channel.

Don't forget the last sentence of the most recent RNS.

OK I'll remind you.

"BDI Mining's next tender will be held in January 2006."

[rambutan2] 06/1/2006 23:14

hi badtime. this is certainly easier on the ears than epd! and no worries about the balance sheet. and you get gold thrown in as well. at some stage it should rerate big.

[badtime] 06/1/2006 20:04

bought a few 2day