Mining Minerals & Metals Share Discussion Threads

[1waving] 22/5/2008 22:21

Thought there might be a drilling update on Komana East this week as it is nearly 6 weeks since the last results, looking unlikely now. Maybe the results are coming in slowly from analabs or could be Hugh Mc saving the results to release with the annual report which should be due next week. ( last year was 29th May )

Been having a look at drill results outstanding and there is quite a lot to come.

At Komana West there are 22 RC/Diamond holes still awaited from December plus further drilling from Jan/Feb there and the update on the Soloba strike from the Jan 30th release stated 'This mineralization will be the subject of a series of RC holes to be drilled within the coming weeks.' Hope they managed to RC drill there.

From the Komana East drill results of 15th April there were results outstanding for 14 RC holes plus a small amount of assays from a few holes. Then there is all the drilling done at KE since then, hope they are going at a fair speed and have RC/Diamond drilled at least a further 3500-4000metres to date. Those Northern fencelines outstanding sound like they will bring some tasty results.

At Solona there are 74 RAB holes outstanding from the 3 targets there with 60 of those from Badogo-Malikili.

There is also an update overdue from Gold Fields on the Sankarani projects. It seems they have finished phase 2 of the earn in to now hold 51%.

Starved of news for whole 2 weeks --- but plenty more to come shortly I would think, particularly with annual results due very soon.

.

[willyworm2] 22/5/2008 10:34

thanks, my guess is that qualifying AIM shares are those that are also traded on other exchanges, therefore meeting the 'recognised exchange' sule. Makes sense.

[1waving] 22/5/2008 10:16

Direct from H-L site acceptable for ISA:--
Shares traded on the London Stock Exchange (including qualifying AIM shares); the DOW 30; Nasdaq 100; S&P 500; European top 300 shares.

H-L accepts qualifying AIM stocks as well as selftrade, there are many stocks on AIM that qualify but if you want to be stock specific you need to check with the ISA provider.

[willyworm2] 22/5/2008 09:45

1waving

are you sure? I thought AIM stocks generally can't be held in ISA accounts. They need to trade on a 'recognised exchange' which AIM isn't. I think you can hold stocks which are traded elsewhere and also have an AIM listing, such as Glencar, but stocks solely traded on AIM are not allowed. That was my understanding anyway.

[1waving] 22/5/2008 09:26

Hargreaves Lansdown ISA is ok for AIM stocks as well.

[willyworm2] 22/5/2008 08:29

depends on your ISA provider, I hold them in an ISA through selftrade but I think other providers have been more difficult

[ukgeorge] 22/5/2008 08:20

can these go in an ISA? thanks
and
what other juniors do you people like ?(gold or silver mainly please)

[bartender18] 21/5/2008 23:12

I hope he's right

[1waving] 21/5/2008 18:42

From Jim Sinclair

Dear Comrades in Golden Arms (CIGAs),

In years to come, market students reviewing gold's price action moving from $600 to $1200 will appear as much of a straight line as any market can produce.

Don't miss the historical move you are in. Look at the big picture.

Don't allow the daily arranged noise to dull your market senses. Nothing gold will fail to perform.

The larger the legal and illegal short, the more dynamic the upcoming move of the juniors will be.

Cancel all open sell orders in gold anything.

The sun is setting on the gold and gold share bearish bullies who wished only to destroy, contributing nothing to anyone but themselves. The world is made up of builders and destroyers, givers and takers. When the book is written, the hedge funds will be seen as destroyers of the financial world and having taken all the wealth of their investors in the process.

_________________________________________


Many gold juniors will have advanced their resources or moved towards production whilst their share price has been depressed, taking no account of the advances made.

Whether it is gold through $1000, consolidation or any other catalyst, when the overall move starts, would expect it to be very sharp.

Glencar has only just started it's move.
.

[1waving] 19/5/2008 10:44

Quite an amusing but telling article, Indians and Chinese to stop buying gold !!

[dr fillip strange] 19/5/2008 10:24

ripped from the Gold Thread, thanks .. Mad Jack McMad

[1waving] 18/5/2008 23:15

The transaction was the 12th May, reported on the 15th. Not clear on how long but think it may be up to 5-7 days.

End of drill season JORC may be heavily dependant on how much drilling is completed at Komana East and whether infill drilling can be completed. Am confident there is 3m+ oz at KW + KE when fully drilled over time. A JORC at the end of this season of 2m oz would be good, 2.5m would be very good and 3m exceptional.

Don't recall any reference of Jim S or anyone else 'proclaiming offers will be under fair value' The onus was simply that any consolidator will try and pick up assets cheaply.

Greg McCoach of GoldWorld has also stated on a couple of occasions that there are 3-4 major New York hedge funds short of the juniors. Don't regard this as conspiracy theory at all, what happens in markets, happens. Jim S doesn't ask anybody to buy into anything. As for him stating 'This is fact. Believe me I know.' when referring to the consolidator, you can believe or disbelieve, much depends on how you view Jim S and his comments overall.

Still think that Hugh Mc's comments lead to drilling into next year before any farm-in /JV is on the cards and should any deal be put on the table beforehand it would have to represent value to Glencar.

[serpicouk] 18/5/2008 19:55

1W - do you know Jim? =)

Why does he know more than anyone else? What evidence does he actually have? Why won't he share this evidence? Why does no one else know what he know?

To my mind, he asks that people buy into this conspiracy theory when other rational processes explain the current situation.

As for proclaiming offers will be under fair value - well is that not just obvious? What business would offer more than fair value unless there were mitigating circumstances?

3Moz by the end of this drill season? Reminds me of all the estimations for the last resource estimation based on those bonanza grades etc etc. Then it came in at only 0.5Moz.

Regrading the 10m shares - is the requirement still 2 trading days after the transaction (15th)? So might hear where they ended up either Monday or possibly Tuesday?

[1waving] 18/5/2008 18:39

I know more than any other writer on the consolidator subject.
The Consolidator has made every effort to dress up as the quiescent producer.
Now the Consolidator has joined the Asians and Middle East in competition to consolidate the junior production and exploration industry.

This is fact. Believe me I know.
--------------------------------
The stockholders of the junior exploration and production companies do not, nor do they believe this is the real reason behind the depression in prices.
The Consolidator is out there shopping hard.

Jim Sinclair.
____________________________________

Jim Sinclair's Commentary

You might consider telling the management of your junior investment to be wary of the first offer (a certain lowball) or the short that wants to cover who presents themselves as investors interested in a private placement.
_______________________________________

2-3million oz JORC resource plus additional strike length to add further resource oz with future drilling is quite probable at the end of the drill season. More than sufficient to make the majors sit up. The next results from Komana East will be interesting.

Hope to see a RNS on where those 10m shares went.

[serpicouk] 18/5/2008 15:07

double post

[serpicouk] 18/5/2008 14:37

Still not sure I agree with this whole 'The Western Consolidators' stuff or the 'Targeted shorting of Juniors'.

It seems to me that most Juniors are preoccupied with making hay whilst the sun shines. They're intent on quickly proving up small resources and then turning a small profit. I suspect that the majors aren't even going to look twice at these companies who are producing less than 100Koz/pa from sub 1Moz reserves.

GEX may prove somewhat different as they're goal seems to be to establish a larger resource now and then assess options later. Due to global decreasing gold production/reserves it's certainly true that the juniors no longer need 3-5Moz. If GEX prove up 2-3Moz then they will certainly attract attention.

My take is that Juniors follow Majors. However, even though we're into the 7th odd year of this Gold bull run the Majors really haven't felt the benefits until very recently. Take a look at our close friends Gold Fields. I pulled this data rather quickly so apologies if there are any inaccuracies:

Year---------------2000-----2001----2002----2003----2004----2005-----2006-----2007
Av PoG $/oz ------284------269------292------333------387-----422------524-----638
Net cash Op $M ---192------208------440------466------242-----287------548-----332
Reserves Moz ----- ? ----- 81------ 79------ 82------- 76----- 65------ 65---- 94

I think the above is similar across the Majors - The juniors are waiting for the Majors and their only just started getting their own affairs in order. I'm happy to position myself ahead of the Majors and then wait for the inevitable...

[1waving] 18/5/2008 11:59

It's 5 weeks since the last results from Komana East and there are about 4-5 weeks left in the drilling season. That should give a decent amount of time to establish a strike length of well over 2km's, assuming there is that amount of strike, and to do a fair amount of infill drilling to get a good JORC estimate.
With the strike being open to the North and South and probably exceptional assays on the northern fencelines, the indications are that over 2km strike length is more than achievable.

With KE samples being prioritised at the assay labs would think there are plenty of assay results in, sufficient for an update on progress there very soon. Annual results due shortly as well.

[bongo bwana] 17/5/2008 18:04

Why not have GF or Barrick or Randgold take a pre-emptory stake in GEX?????????

[serpicouk] 17/5/2008 11:29

I take it those shares were just placed with institutions. Shame, would love a 10M share hangover as it would decimate the share price until its cleared (which would take many months at current volumes). Could have been a great artificial buying opportunity.

As we've not seen another RNS regarding shareholders I assume it wasn't all placed with one institution?

[1waving] 16/5/2008 23:29

Author: Jim Sinclair

Dear Friends,

It is now quite obvious that the low of this reaction in the gold price took place April 28th.

Gold's second attempt at crossing $1000 has started.

I suggest that the worst performance concluded May 8th for the "superior" junior precious metals situations.

Have a pleasant weekend.

Best regards,
Jim


Jim Sinclair's Commentary

Does this price sound somewhat familiar?

Gold price on course to double says top manager
By Philip Haddon | 11:51:16 | 09 May 2008

"'I think we should see gold hit $1,600 an ounce in the next 12 months,' the top performing manager of the ABN AMRO US Opportunities fund says."

The top US equity manager François Mouté, believes the gold price should be 16 times the price of a barrel of oil and on a par with the price of platinum.

Speaking at Citywire's European Fund Selectors Forum in Zurich, Mouté (pictured above) emphasised the prospects for his holdings in gold mining companies by pointing to recent research into the historical price of gold.

'We have seen research which suggests gold should be 16 times the price of a barrel of oil,' the AAA-rated fund manager said.

He points out that the current price of an ounce of gold, $870, is only around seven times that of the oil barrel so the upside potential is considerable

[dr fillip strange] 15/5/2008 10:02

Thanks Gerri-c should have looked under news I guess,
4% of the company has been sold & share price remains stable, makes one wonder..
will we see another RNS about the 4%

[valentine] 15/5/2008 09:58

So who bought them? Interesting. No effect on share price so far. Assuming it is +ve. Await next announcement.