Discov. Met Share Discussion Threads

[euclid5] 26/5/2010 22:29

sorry the above was for Baobab wrong board

[jonny flame] 26/5/2010 11:13

muncher1000 - Yeah but that was on the 28/04/10.

[jonny flame] 26/5/2010 09:17

The final para is important;

Headline Rio Tinto Ltd AGM-Chairman Chief executive address
Released 07:00 26-May-2010

Outlook

Let me conclude with some brief remarks on the global economic outlook. While our markets have improved considerably since a year ago, we continue to be cautious about the near term outlook.

The IMF predicts global growth of nearly four per cent this year with Chinese GDP expected to grow at more than nine per cent. Such outcomes would have positive implications for metals and minerals markets. Nevertheless, it is clear that economic conditions on a global scale remain volatile and uncertain.

Asian countries are having to contend with inflationary risks arising from the massive economic stimulus packages that were put in place last year.

At the same time, we have seen the recent sovereign debt crisis in Europe and its sweeping contagion into financial markets around the world. This illustrates the potential for persistent economic imbalances and hidden risks to cause ongoing disruption to global economic activity

Looking long term however, China's demand for iron ore, copper, coal and aluminium is expected to continue to grow over the next 15 years, after which time we expect to see increasing commodity demand from India. The long term outlook therefore continues to make our business an attractive proposition.

[sagem] 26/5/2010 06:25

GET READY FOR A BIG BOUNCE FTSE AND DISCOVERY PLUS MOST STOCKS

U.S. stocks are "oversold" and likely to rebound to a level short of this year's high, according to Marc Faber, publisher of the Gloom, Boom & Doom report. The S&P 500 has slumped 12 percent from its 19-month high on April 23 amid concern the global economic rebound will be derailed as European governments struggle with swelling budget deficits.

"The market is near-term oversold," Faber said in a Bloomberg Television interview. "I don't think we'll go and make a new high above 1,219 on the S&P. But I think we can rally here somewhat."

To contact the reporter on this story: Rita Nazareth in New York at [e-mail]

Last Updated: May 25, 2010 16:52 EDT

[chipperfrd] 26/5/2010 01:33

Blackswan note:



Argonaut note:

[jonny flame] 25/5/2010 11:13

China's Copper Demand May Expand 12%, Wanxiang Says

May 25, 2010, 12:29 AM EDT

"Prices have tumbled not because of fundamentals but because of economic uncertainties that exist outside China," Sheng said yesterday by phone from Shanghai. "As it stands now, copper prices don't have much further to fall."

[sagem] 25/5/2010 05:57

LOOKING GOOD

A couple of points of interest from the report below;

- There remains considerable upside potential.

- The company will not be subject to the proposed "Henry" windfall tax in Australia"

- The long term fundamentals for the copper market are also strong which we feel will enhance value for shareholders and consequently view the company as an exciting opportunity for investors.




Fairfax Note - DISCOVERY METALS PROJECT CAPACITY UPGRADE INCREASES VALUATION
24 May, 2010 @ 01:52 pm BST | By Marc Elliott




DISCOVERY METALS - 24th May 2010

PROJECT CAPACITY UPGRADED TO 3MPTA LEADS VALUATION HIGHER
Discovery Metals Plc Activities - Copper exploration and development in mine in Botswana

Price @ close 21st May 41.75p

Target Price 79p

Index AIM

Sector Basic Resources

Ticker DME.LN

Shares in issue 271m

Market cap 113m Net cash (March 2010) A$34m Next event Project Update

Fairfax act as Nomad & Broker Yes Discovery Metals has significantly upgraded its plans for the development of the Boseto Project in Botswana from a 2mtpa to 3mtpa ore mined operation, following findings from the BFS work and the substantially larger resource base that can clearly support the enlarged plan. As a consequence we are raising our valuation from 61p to 79p








YEAR END JUNE

[chipperfrd] 25/5/2010 02:18

New presentation from General Meeting:


I like the tax comparisons chart on slide 16!

[jonny flame] 24/5/2010 15:53

Grupo Mexico Sees Copper Prices Rising on Demand From China

By Carlos Manuel Rodriguez

May 24 (Bloomberg) -- Grupo Mexico SAB, the largest mining company in Mexico, sees copper prices extending their recovery amid "very strong demand from China."

"In May, we expect an extremely good copper import demand from China," Chief Financial Officer Daniel Muniz said in an interview May 21. Possible Chinese monetary policy changes "will not impact Chinese copper demand," he said....

[jonny flame] 24/5/2010 09:40

Picked up a few more this morning.

[scottishfield] 24/5/2010 09:17

Thank you chip

[chipperfrd] 24/5/2010 02:17

As expected, DME have upgraded the project to 3Mtpa.

[jonny flame] 21/5/2010 18:12

May 21 (Bloomberg) -- Copper prices jumped the most in three months on speculation that demand will remain ample in China, the world's biggest metal user....

... "Until we see things settle down in Europe, things are going to be volatile for copper," Cohen said. "The lows in the market are in, but there are still some hurdles."

[jonny flame] 20/5/2010 18:13

Hana Mining is next door to DME, for those that didn't already know :)



......A feasibility study is currently underway (funded by the World Bank
and the governments of Botswana and Namibia) to support completion of a rail line link that would connect Botswana with the Namibian port of Walvis Bay, on the Atlantic coast. The closest existing railhead (to port) is at Gobabis, in Namibia, approximately 550 km from our property. A planned 600MW expansion of the government-owned Moropule Power Plant continues to advance, with US$825 million project funding secured in May 2009, and key supply contracts awarded. Currently, our project is served by the paved Trans-Kalahari highway, which passes within 15 km of the property. Hana Mining is focused on demonstrating that the Ghanzi property represents one of Africa's premier future copper-silver resources.

[simon gordon] 20/5/2010 14:52

Alphaville - 19/5/10:

The list of dead and dying deals and loudly protesting companies in Australia's resources sector is beginning to look very long, as FT Alphaville noted last week.

The companies, both foreign and domestic, which claim that Canberra's plans for a 40 per cent tax on "super profits" of resources companies could kill their investment interest span a fair few sectors.

They range from pulverised coal (Peabody and Macarthur) and thermal coal ("Xstrata reviewing projects") to oil and gas, as well as companies including mining majors Rio Tinto (now "reviewing projects) and BHP Billiton ("reviewing uranium project")

Now, amid the intensifying uproar, we hear that Australia's "mining tax contagion" could spread to other countries, as Lex notes on Thursday, citing a UBS note:

The Australian government will have been encouraged by appreciative noises from Chile and Brazil; Congo, Zambia and Mongolia are also likely to follow suit, says UBS.

Bloomberg adds on Thursday that the concept of a resources super-tax could indeed set a benchmark for other countries eyeing higher levies and lessen the appeal of resources stocks for investors.

It could, as Tom Price, a commodities analyst at UBS told the news agency, "create what the miners are now describing at a global level as a type of tax contagion", possibly affecting miners in Brazil. Canada and South Africa.

The tax could also encourage European and Scandinavian countries to seek a greater share of revenue from production, Magnus Ericsson, of Raw Materials Group, a mining data and analysis company, Bloomberg added.

[jonny flame] 19/5/2010 18:34

Copper production at state company Corporacion Nacional del Cobre de Chile will likely hold steady over the next three years, new Chief Executive Diego Hernandez said Wednesday.
In 2009, the world's biggest copper miner, known as Codelco, produced 1.7 million metric tons of copper and this year output is expected to increase modestly.

"Operations are consolidated and stable production is guaranteed for the next three years," said Hernandez, in remarks delivered at a ceremony marking his arrival at the company.

He told workers, most of whom were listening remotely from the mining sites, that Codelco faced the same problems most of the copper mining industry was grappling with nowadays, namely older mines and falling ore grades.

"This presents the significant challenge of increasing production without pushing costs up," he said.......

[jonny flame] 19/5/2010 17:44

Exactly, good news for places like Africa as investments will move here, additionally this may stall the development of mines which may add to any shortfall in production, although to be fair Aus is not so much of a copper exporter.

This could be good news for companies such as CHL, who are developing a huge coal asset in Indonesia for example.

[jasper2712] 19/5/2010 15:52

Taken from a RNS issued regarding this tax :-


POTENTIAL EFFECTS OF AUSTRALIAN RESOURCE SUPER PROFIT TAX
("CoAL" or "the Company")
Further to the announcement by the Australian Government on 3 May 2010, Coal of
Africa Limited, the AIM/ASX/JSE listed coal development and mining company
operating in South Africa (ticker: CZA), has received queries from shareholders
as to the potential effects of the proposed Resource Super Profit Tax ("RSPT").
The underlying intention of the RSPT is the levying of tax on profits arising
from the exploitation of non-renewable resources located in Australia.
CoAL has consulted its advisors and, as the Company has no operational projects
in Australia, it expects no increased taxation charges resulting from the
implementation of the RSPT.

Reading this and others the tax will not affect DME. The price and demand for copper will. Hopefully the BFS will sort out the share price

[sagem] 19/5/2010 07:57

Drifting due to no news

[sagem] 17/5/2010 21:19

Very ancient briton