Discov. Met Share Discussion Threads

[p3dr036] 17/5/2010 12:38

Can we also use correct spelling - it's Great BRITAIN.
Or are you an ancient briton sagem??

[jonnyf1970] 16/5/2010 13:32

"Put the great back into Briton (sic)"....cliche alert !!

Can we stick to DME rather than lame election slogans ?

[sagem] 15/5/2010 20:55

All we need now is GREAT to be put back into BRITON it seems to have got lost over the past 13 years

[smarm] 13/5/2010 10:46

It's worth keeping up with RNS's from those involved in US infrastructure. Things are still grim but there are mutterings about bottom of cycle. KLR a good example today. And this from Ashtead.

Current trading and outlook
---------------------------
We maintain the view that market conditions will remain difficult throughout
much of 2010 due to low activity levels in our key construction markets.

However, a range of lead indicators support the view that we are currently at
or very near the bottom of the cycle in the US. We also expect that the effect
of US stimulus related work and a recovering residential construction market
will be of increasing benefit from the second half of calendar 2010 until
sustained general recovery in the US economy brings an improvement in
commercial construction, most likely towards the end of our 2010/11 fiscal
year. Whilst we expect the UK recovery to lag that in the US, we nevertheless
anticipate A-Plant continuing to gain market share.

................

It's looking better out there.

S

[gconvery] 13/5/2010 09:29

Shares Magazine today rates DME as a BUY.....

[hamish123] 12/5/2010 15:54

chipperfrd

Briefly hit 50.75p.The volume isn't exactly staggering either.Interesting.

[chipperfrd] 12/5/2010 15:49

hamish123,

The outcome of the BFS and plans for financing are due at any time - so there may well have been a leak prior to informing the ASX.

[hamish123] 12/5/2010 15:42

These are significant moves since lunch time on what is a pretty quiet trading day.Does someone know something regarding an announcement.Time will tell......

[jonny flame] 12/5/2010 11:09

Good point Chip! Thanks :)

[chipperfrd] 12/5/2010 10:52

JF,

Actually, as announced on 7/4/10, it's now 102.8mt @ 1.4% Cu & 17.3g/t Ag.

So contained metal is c. 1.439mt Cu & 57m oz Ag.

[jonny flame] 12/5/2010 05:55

Many thanks Chip. I have been keepng an eye on AGQ as well :)

SAGEM - have you not researched the company???? Considering all the posts you are making on this bb your response is somewhat bewildering, it's as if you have not even noticed that Boseto will be producing copper (cu) as well as silver (ag!!

The current mineral resources at Boseto is 60.4 Mt @ 1.4% Cu and 19.5 g/t Ag consisting of:

Boseto Copper Project (100%)

- Recoveries of 82.5% Cu and 60% Ag.
- To produce 23.2kt Cu and 725koz Ag per annum (in concentrate)

[chipperfrd] 11/5/2010 21:36

JF,

Silver could well make an appreciable addition to overall revenues. DME have reported that Ag will provide a credit of c. 17c/lb Cu produced - so perhaps the most conservative approach is to just ignore it's potential to add to revenue and just accept the $1.06/lb op costs after Ag credits.

However, that might well change if Ag were to catch up (or exceed) it's historic ratio to a surging gold price.

At current Ag price I estimate Ag revenue of US$21.7m in CY2012 - so quite significant.
Chip

[jonny flame] 11/5/2010 17:45

Hi Chip,

What's your view on DME's proposed silver production and the long term price of silver?

The valuation's for DME don't take into account any take off in the silver price? I know the silver credits only make up a fraction of the % of revenue but still this could impact positively, could it not?

Best regards,
JF

[dm1066] 11/5/2010 13:32

Thanks Chip

I'm not 100% sure but I have a feeling that it was you mentioning this share on another board (probably MML) which first got me to take a look at DME. If this performs anything like as well, I'll be a very happy man (I was first into MML in the low 30s, took some profits at over £2 and then topped up again when it dropped at £1.58).

Have only a very small stake in DME so far but will be happy to add on market weakness with a long-term view.

Best regards

DM

[chipperfrd] 10/5/2010 11:46

DM,

Yes, I can appreciate your viewpoint (and welcome you to this BB) but I had hoped they would run into their funding deal with a much stronger share price.

I absolutely agree with your long-term expectations. I remember faltering over FQM when it was c. 150p many years ago and failed to see the upside through lack of fundamental research - I have no intention of making those sorts of mistakes any more :-)

Best wishes
Chip

[dm1066] 10/5/2010 11:36

Chip - I for one am very grateful for the "irrational pull-back"!

First looked at picking some of these up a few months ago and hesitated, only to watch the price keep motoring away. Finally dipped a first toe in the water here last Thursday and Friday. I have very high hopes for a decent long-term return from DME.

Best regards

DM

[chipperfrd] 10/5/2010 11:01

SAGEM,

We have been talking about the BFS for many months. Some of the main issues will be:

- will they go straight for a 3mtpa plant rather than the 2mtpa plant (as per PFS)
- will the capex remain at US$150m or will the power plant & larger treatment plant have pushed up the required amount.
- have they already secured the debt proportion of the capex
- what will be the eventual debt/equity split
- how do they propose to raise the equity proportion (Inst placing or Rights)

and, of course, what will be the share price at which the equity portion will be raised. Thanks to the recent poor sentiment in the markets the share price has suffered a very irrational pull-back.

[sagem] 08/5/2010 08:06

Well we have this to look forward to so RNS must be pretty soon I would think and give a much needed boost to the share price .....any thoughts on this

Discovery Metals is currently completing a Bankable Feasibility Study for the
Boseto Copper Project with results expected to be announced in May 2010.

[sagem] 08/5/2010 07:54

The share price has not dopped as a result of the new Australian Minerals Tax

This new minerals tax should have no effect on Discovery Metals

At 0100 GMT, all miners in the S&P/ASX 200 were down--with the exception of Eldorado Gold, which has no operations or development projects in Australia--but the market had recovered somewhat later in the session

(which has no operations or development projects in Australia)


The tax will sting, no doubt, but it will not apply to all the profits of miners working in Australia. Any profits derived from mines outside Australia will be left untouched.

(THIS MUST APPLY TO DISCOVERY METALS)

[jonny flame] 08/5/2010 07:28

Sagem - nothing goes up in a straight line forever, I sold almost my entire holding a few weeks ago and am now looking to buy back in, although I am in no rush to get back in.

[sagem] 08/5/2010 07:02

And to think that BROWN wants to borrow even more, perhaps he now will not be in a position to put the UK into a worse position than we already are......I think hope and confidence will return to what was our great country and the stock market will start to build confidence AND WE CAN ALL MAKE SOME MONEY, have a very good weekend as we awaite Monday morning aand we are off again upwards I hope.