Nickel & Cobalt

[NYBob]

Canadian Arrow Mines announces C$5,000,000 "bought deal" financing -



http://app.quotemedia.com/quotetools/popups/story.jsp

http://www.investorshub.com/boards/board.asp?board_id=7957

[oasdihf]

Hunting for lion's share of nickel jungle
ANDY HOFFMAN
Friday, March 30, 2007

Ian Pearce is a man who likes to keep things on schedule. The chief executive officer of Xstrata Nickel rises each morning at 4:45 a.m. He always catches the first GO train leaving from Oakville, Ont., at 5:34. Coffee in hand, he's in the company's downtown Toronto headquarters at precisely 6:13.

It should be no surprise then that Mr. Pearce followed through this week on his pledge to aggressively expand his company's business in short-order fashion.

Just seven months after taking on his first CEO job, he pulled off a $4.6-billion friendly deal to purchase LionOre Mining International Ltd., the largest pure play nickel miner left on the Toronto Stock Exchange.

“It fits. We saw the value [LionOre] had for our strategy going forward,” said the trim and tall 50-year-old during an interview.

“Our strategy was to grow. We saw it as a nice asset to come into our business right now. It's cash accretive and generates good cash flow in these good times.”

Good times indeed. The negotiations, which began in earnest last November, were conducted against a backdrop of surging nickel prices. With each passing day, it seemed LionOre's share price was rising in tandem with the metal, which has rallied 62 per cent since the start of this year and peaked at $48,500 (U.S.) a tonne on March 16, just 10 days before the deal was announced.

By that time, Mr. Pearce's offer price of $18.50 (Canadian) per LionOre share represented a slim 5.8-per-cent premium to the Toronto company's closing share price the day before.

Not surprisingly, some institutional shareholders were quick to bemoan the bid price. One said Xstrata was “stealing” LionOre, which operates mines in Botswana, South Africa and Australia that are expected to produce 44,000 tonnes of nickel this year. Several analysts have maintained their price targets above the bid price, suggesting the offer fundamentally undervalues LionOre.

Mr. Pearce, of course, fundamentally disagrees.

“We've evaluated the business. As the prices go up and down, so the deal moves as well. We've had to factor in what we can do with this business. The Xstrata story has always been that when we deploy ourselves around any asset, the management approach and the accountability approach that we always use allows us to run that business and get more out of that business than the previous owners. So no matter where the metal price hits, we're going to leverage that business,” he said.

Despite being a novice CEO, Mr. Pearce has clearly picked up a thing or two during the dramatic takeover battles waged for Inco Ltd. and Falconbridge Ltd. last summer. At the time, he was Falconbridge's chief operating officer. When Xstrata PLC — the up-and-coming Anglo-Swiss miner led by fellow South African native Mick Davis — emerged victorious in the fight for Falconbridge, Mr. Pearce agreed to stay on to head the company's new nickel division.

As with Xstrata's Falconbridge deal, the nickel unit's bid for LionOre is all cash.

The deals also share a common strategy in seeing Xstrata move early to give itself an edge. A 20-per-cent ownership stake in Falconbridge, acquired early before other bidders arrived, gave Mr. Davis a clear competitive advantage over other Falconbridge suitors.

With LionOre, Xstrata Nickel first “locked up” 19 per cent of the company's long-time shareholders, who agreed to tender their shares at the bid price, then launched a formal bid for the whole company.

“That was a good strategy. It shows a good level of confidence in what we're doing. We feel that is a positive indicator to other shareholders,” Mr. Pearce said.

“These are experienced people in the business and we think it sends a good message to the rest of the community that we've made a good offer. If it hadn't been a good offer I don't think they would have tendered,” he said from behind the desk of his modest office which, although located on the city's waterfront, fails to offer the executive a lake view.

Whether or not the tactic will be enough to convince other shareholders to accept the bid remains to be seen. But in his quest to cement the company's position as the world's fourth largest nickel producer, Mr. Pearce believes that Xstrata Nickel needs exposure to the regions where LionOre's operations are.

“One of the elements is the geographical opportunities in Africa and Australasia. We don't have operations there and those areas are part of the global nickel play. We see that as important,” he said.

For example, LionOre management in Australia can help with the company's Koniambo development project in New Caledonia, while African executives will assist bringing along Xstrata's Kabanga nickel deposit in Tanzania, a 50/50 joint venture with Barrick Gold Corp. LionOre's “Activox” technology, a process which uses water to leach nickel from the mined ore, could possibly be deployed at the isolated Kabanga deposit, Mr. Pearce said.

As for how the proposed LionOre purchase will be funded, Mr. Pearce struck a second deal this week that will net the company a one-time payment of $500-million (U.S.) for its pipeline of inventory to metals trader Glencore International AG (which just happens to own 35 per cent of Xstrata PLC). Under the agreement, Glencore will become the sole marketing and sales agent for the company's nickel, cobalt and ferronickel.

“We're a producer and a mining company and we wanted to focus our management time on that,” Mr. Pearce said, adding that while the two transactions were not meant to occur so close together, “they've come together nicely.”

http://www.globeinvestor.com/servlet/story/RTGAM.20070330.r-pearce31/GIStory/

[oasdihf]

CVRD Sudbury office workers to strike as talks fail
Sun Apr 1, 2007 1:11 AM EDT

TORONTO (Reuters) - Unionized office and technical staff at CVRD-Inco's (VALE5.SA: Quote) (RIO.N: Quote) Sudbury nickel-mining operations are on strike after last-minute contract talks broke off late on Saturday, the union said, raising the threat of disruptions at the key nickel hub.

"The talks have broken off," Dan Serre, a unit president for United Steelworkers Local 2020, told Reuters. He said the company had not changed an offer already rejected by workers.

"They've held firm to that offer that fell way short of our members' priorities, so we're setting up picket lines."

On Wednesday, 99.1 percent of the 330 workers voted in favor of strike action if the two sides couldn't come to an agreement by midnight Saturday. Workers want a new contract matching the pattern set in recent deals in the nickel industry.

Companhia Vale do Rio Doce, or CVRD, is the world's biggest iron ore miner. It acquired the Sudbury operations when it bought Canadian nickel miner Inco in 2006.

Company officials were unavailable for comment immediately after the midnight deadline, but spokesman Cory McPhee had said about two hours earlier that a strike seemed inevitable.

"The main issue is money," he said in an e-mail.

The current three-year contract covers workers in such jobs as accounting, payroll, laboratory work, surveying and geology.

In a research note on Friday, BMO analyst Victor Lazarovici predicted other unionized workers at the company would likely not cross the picket lines.

He estimated the impact of a week's production in Sudbury at about 5 cents a share, excluding any offsetting impact of higher nickel and copper prices resulting from lost production.

Online srouce:
http://today.reuters.ca/news/newsArticle.aspx?type=businessNews&storyID=2007-04-01T051111Z_01_N3...

[oasdihf]

Katanga plans $260-million (U.S.) financing for Kamoto

2007-03-23 17:24 ET - News Release

Mr. Arthur Ditto reports

KATANGA SIGNS MANDATE LETTER FOR US$260 MILLION BANK FACILITY

Katanga Mining Ltd. has appointed Fortis, Investec Bank Limited and Standard Chartered Bank as mandated lead arrangers to arrange and underwrite a total of $260-million (U.S.) in project financing for its Kamoto joint venture, which is rehabilitating mines and plants near Kolwezi in the Democratic Republic of Congo.

The financing will include a $100-million (U.S.) commercial bank tranche, a $100-million (U.S.) export credit agency tranche and $60-million (U.S.) from development financing agencies. Each mandated lead arranger has obtained approval to proceed on this basis, subject to satisfactory due diligence and documentation. It is expected that the facility will close during the second quarter of 2007 and will be available for drawdown in the third quarter of 2007.

Katanga has received letters of interest from a number of development financing agencies, including Development Bank of Southern Africa (DBSA), Emerging Africa Advisers and Netherlands Development Finance Company (FMO).

Katanga will use the net proceeds of the bank facility to finance the refurbishment and development of its mine complex, and for working capital as the project comes into production. This facility provides Katanga sufficient financing to complete all four phases of rehabilitation of the mines and plants.

"This is the third and final phase of our capital structure," stated Arthur Ditto, president and chief executive officer of Katanga. "After a successful equity offering in May and a debenture offering in November, this facility is the last step to completing the financing to enable us to produce 150,000 tonnes of refined copper and 5,000 tonnes of refined cobalt a year by 2011 (see news in Stockwatch dated Feb. 22, 2007)."

[oasdihf]

Mirabela Nickel to list on TSX on March 26

2007-03-22 21:05 ET - New Listing

TSX bulletin 2007-0388

An application has been granted for the original listing in the mining category of 95.1 million ordinary shares of which 88.45 million ordinary shares are issued and outstanding and 6.65 million ordinary shares are reserved for issuance upon completion of an initial public offering. The ordinary shares of the company will be listed and posted for trading at the open on Monday, March 26, 2007.

The company will be subject to the reporting requirements of Section 501 of the Toronto Stock Exchange company manual.


Symbol: MNB

Cusip No.: Q6188C106

Trading currency: Canadian dollars

Temporary market-maker: Jones, Gable & Co. Ltd.

Other markets: Australian Securities Exchange

Incorporation: The company was incorporated on March 4, 2004, under the laws of Australia as a public company limited by shares.

Fiscal year-end: June 30

Nature of business: The company is a base metals explorer focused on opportunities in Brazil. The company owns a portfolio of prospective nickel and other base metal projects in Brazil with the principal asset being the Santa Rita disseminated nickel sulphide deposit in the Bahia State, Brazil.

Transfer agent and registrar: Equity Transfer & Trust Co. at its principal office in Toronto

Dividends: The company does not anticipate paying dividends for the foreseeable future.

[johnlw]

LionOre Mining International Ltd (C-LIM) - News Release

LionOre gets all-cash $18.50 bid from Xtrata

2007-03-26 04:14 ET - News Release
Shares issued 218,859,895
LIM Close 2007-03-23 C$ 17.49

Mr. Ian Hamilton reports

XSTRATA ANNOUNCES FRIENDLY C$18.50 PER SHARE CASH OFFER FOR LIONORE

Xstrata PLC and LionOre Mining International Ltd. have entered into a support agreement for an all-cash offer to acquire all of the issued and outstanding shares of LionOre by way of a friendly takeover bid. The offer is for $18.50 per share, valuing the transaction at approximately $4.6-billion ($4-billion (U.S.)). The offer represents a 5.8-per-cent premium over the closing price of $17.49 per LionOre share on the Toronto Stock Exchange on March 23, 2007, and a 16.5-per-cent premium over the volume-weighted average price of the LionOre shares over the last 30 trading days on the TSX.

The support agreement between Xstrata and LionOre provides for, among other things, a non-solicitation covenant on the part of LionOre, subject to customary "fiduciary-out" provisions that entitle LionOre to consider and accept a superior proposal, a right in favour of Xstrata to match any superior proposal and the payment to Xstrata of a termination payment of approximately $130-million, if the acquisition is not completed as a result of the superior proposal.

In connection with the offer, certain shareholders including directors and officers of LionOre, have entered into irrevocable lockup agreements with Xstrata pursuant to which they have agreed to deposit all of their LionOre shares under the offer, subject to certain exceptions, representing approximately 19 per cent of the issued and outstanding LionOre shares.

The board of directors of LionOre, after consultation with its financial and legal advisers, has unanimously approved entering into the support agreement and recommends that LionOre shareholders tender to the offer. JP Morgan, acting as financial adviser to the LionOre board, has provided an opinion that the offer is fair, from a financial point of view, to LionOre shareholders.

The offer represents the culmination of a strategic review process by the LionOre board to maximize value for its shareholders. The offer, in the view of the LionOre board, represents the most attractive and certain value for LionOre shareholders. Xstrata Nickel has undertaken extensive and detailed due diligence to ensure that LionOre operations, projects and upside potential are understood and reflected in the offer.

Successful completion of the transaction will strengthen Xstrata's position as a significant participant in the nickel industry, and ensure that the growth potential in the LionOre portfolio can be optimized through its combination with Xstrata Nickel's downstream processing facilities. Xstrata Nickel will also increase its degree of vertical integration and gain geographic and technical diversification across its operations.

The offer documents are expected to be mailed by April 6, 2007. The offer will be open for acceptance for a period of not less than 35 days and will be conditional upon, among other things, valid acceptances of the offer by LionOre shareholders owning not less than 66-2/3 per cent of the LionOre shares on a fully diluted basis. In addition, the offer will be subject to certain customary conditions, relevant regulatory approvals including in Canada, Australia and South Africa, the absence of a material adverse change with respect to LionOre, and a waiver of the LionOre shareholder rights plan implemented by the LionOre board as it may pertain to the offer. Once the 66-2/3-per-cent acceptance level is met, Xstrata intends to take steps available to it under relevant securities laws to acquire any outstanding LionOre shares. Xstrata may waive the conditions of the offer in certain circumstances.

Colin Steyn, president and chief executive officer of LionOre, said: "We are very pleased to support this offer. The bid offers clear value to shareholders, and also positions our operations and employees as part of a growing, successful global nickel producer. This is an extremely attractive opportunity for our shareholders to lock in the substantial growth in value they have seen recently in their investment. To realize cash at this point in the commodity cycle eliminates the risk that our shareholders would remain exposed to as a stand-alone group, and enables them to realize value for their investment at a time of historically high nickel prices."

Ian Pearce, chief executive officer of Xstrata Nickel, noted: "The combination of LionOre with Xstrata Nickel brings together two very complementary businesses and creates significant opportunity for the enlarged Xstrata Nickel business. This is an important step in our strategy to grow Xstrata Nickel into a truly global nickel business. With LionOre, we unleash opportunities to create value through additional production, strong synergy potential, access to new markets and increased opportunities for growth, and through optimization of technology. There is a unique industrial logic in the combination of these two businesses which is recognized in the price being offered to LionOre shareholders."

The acquisition of the LionOre shares will be financed through Xstrata's existing credit facilities and cash on hand.

Mr. Steyn has been a director of LionOre since 1998 and was appointed president and chief executive officer in 1999. Ted Mayers, chief financial officer, has been a director of LionOre since 1997 and was appointed chief financial officer in 2002. Mr. Steyn and Mr. Mayers are key individuals important to LionOre.

The book value of the gross assets of LionOre as at Dec. 31, 2006, was $1.72-billion (U.S.). In the 12 months ended Dec. 31, 2006, LionOre recorded operating earnings of $533.3-million (U.S.) and net earnings of $428.5-million (U.S.).

Subject to the provisions of the support agreement between Xstrata, Xstrata Canada Acquisition Corp. and LionOre, the offer will be made by the offeror, a wholly owned indirect subsidiary of Xstrata.

Macquarie Bank Ltd. and TD Securities Inc. are acting as financial advisers and Davies Ward Phillips & Vineberg LLP and Freshfields Bruckhaus Deringer are acting as legal counsel to Xstrata. JP Morgan is acting as financial adviser and McCarthy Tetrault LLP is acting as legal counsel to LionOre.

North American Investment market call

A conference call with senior management of Xstrata Nickel and LionOre for the North American investment community has been scheduled for March 26, 2007, at 9 a.m. (Toronto time)/2 p.m. U.K. (BT). Members of the investment community may participate by dialling 1-800-379-4140 within North America and 416-641-6677 outside of North America. The live audiocast will be available from the company website and available as an archive from Xstrata's website and LionOre's website following the event.

Media conference

A media conference with Mr. Pearce and Mr. Steyn will be held today, March 26, 2007, at 10:30 a.m. (Toronto time)/3:30 p.m. U.K. (BT) at the TSX Gallery at 130 King St. West, Toronto. Media representatives who are unable to attend may participate by dialling 1-800-354-6885 within North America and 416-641-6652 outside of North America.

Each of Macquarie Bank Ltd. and TD Securities is acting exclusively for Xstrata and no one else in connection with the offer and will not be responsible to anyone other than Xstrata for providing the protections afforded to its clients or for providing advice in relation to the offer and/or any other matter referred to in this announcement.

No statement in this announcement is intended as a profit forecast and no statement in this announcement should be interpreted to mean that earnings per Xstrata ordinary share for the current or future financial years would necessarily match or exceed the historical published earnings per Xstrata ordinary share.

We seek Safe Harbor.

[oasdihf]

Strongbow Commences Drilling at Nickel King, NWT
Fri Mar 23, 11:50 AM

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 23, 2007) - Strongbow Exploration Inc. (TSX VENTURE: SBW.V) is pleased to announce that drilling and ground geophysical surveys are underway at the Company's 100% owned Nickel King project, NWT. The purpose of this drilling program will be to test at least three sulphide nickel targets defined by a recently completed airborne geophysical survey. The three priority targets include:

- Main Zone - an arcuate 2,000 m strike length magnetic/electromagnetic anomaly that coincides with the 800 m long Main Zone originally drilled by INCO in the early 1950's. Sulphide nickel mineralization is hosted within a folded, southerly dipping mafic to ultramafic (norite) sill with historic highlight drill intercepts of 13.7 m grading 1.21% Ni and 0.36% Cu and 16.4 m grading 0.85% Ni and 0.19% Cu.

- Joe Island - an 800 m strike length anomaly that includes the strongest electromagnetic conductor defined within the airborne survey area. The estimated depth to the anomaly ranges from 30 to 165 m. Two drill holes completed by INCO in the 1950's are interpreted to have been drilled away from and overtop of the target anomaly, although significant widths of weakly mineralized norite were intersected in both holes.

- Koona - a 600 m long, northwest striking electromagnetic anomaly that has been modelled with a southeast plunge and a depth below surface ranging from 50 m in the north to 235 m at its southern end. Two historic drill holes located near the northern end of the anomaly are interpreted to have overshot the main anomaly, encountering weakly mineralized norite.

Ground magnetic and Pulse EM surveys are also underway to further characterize approximately six target areas defined by the airborne survey. Borehole Pulse EM surveys are also planned to assist in the interpretation of the drilling results. The spring drilling program is part of an estimated $3 million 2007 exploration program intended to further define the extent of sulphide nickel mineralization within the Nickel King property. Strongbow's 2007 exploration programs are conducted under the supervision of David Gale, P.Geo.(BC), Vice-President of Exploration for Strongbow and a qualified person under NI 43-101.

STRONGBOW EXPLORATION INC.

Kenneth A. Armstrong, President and CEO

The TSX Venture Exchange has not reviewed, and does not accept responsibility for the adequacy of this release.


Contacts

Ken Armstrong
Strongbow Exploration Inc.
President and CEO
[phone]
[phone] (FAX)

[oasdihf]

Cuba plans JV with Sherritt to help expand nickel and cobalt output

Havana research organization CIPIMM is reportedly working with Canada’s Sherritt to upgrade technology for increased nickel and cobalt output at the country’s Moa nickel facility.
Author: Dorothy Kosich
Posted: Friday , 23 Mar 2007

RENO, NV -

Havana's Center for Research and Projects at the Mining-Metallurgical Industry (CIPIMM) is developing new technologies to expand the Cuban nickel industry.

In an interview with Prensa Latina, the Latin American News Agency, Dr. Jose Castellanos Suarez said Cuba is working on technology to eliminate sulfhydric acid (Hydrogen sulfide) (H2S), which impacts the environment.

Castellanos said there are plans for a joint venture with Canadian metals miner Sherritt International, which has a partnership with General Nickel of Cuba, which now uses pressure acid leach and sulphide precipitation technology.

In December, 1994, Sherritt and the government of Cuba jointly created the Metals Enterprise. Sherritt and Cuba's General Nickel each hold 50 per cent of, chiefly, Moa Nickel, which mines and processes nickel in a 33,000-tonne facility on the east end of Cuba.

A three-phased metals expansion is now underway at Moa, which plans to increase capacity by 50% to 49,000 tonnes.

Castellanos told Prensa Latina that Cuba is developing a technology called CIPIMM2 to directly prepare limonitic mineral pulp, to increase nickel and cobalt production.

Online source:
http://www.mineweb.net/mineweb/view/mineweb/en/page31?oid=18550&sn=Detail

[oasdihf]

Not enough but I had pulled the trigger on a few.

[johnlw]

oas
re GMC

So did you get in?
I didn't of course......

[trosh1]

Might as well also mention FCO.

They are combining cobalt with a pretty good uranium play.

FNI has also been capturing my heart, along with some accumulation, with their nickel.

Best,
Terry

[vanbrussel]

Katanga Copper/Cobalt grades

Kamoto Copper Company (Kamoto UG, T17, Mashamba East &West and Dikuluwe )
R&R 162Mt 3.50%Cu(=0.64%Ni) 0.38%Co for 5,1Mt Cu 513Kt Co
Katanga Mining Ltd TSX:KAT
http://www.katangamining.com/

DRC Copper Project ( Tilwezembe - Kananga - KOV = Kamoto, Oliviera, Virgule, FNSR)
Tilwezembe 5,7Mt 1.5%Cu(=0.27%Ni) 1,0%Co
Kananga 6,9Mt 2.1%Cu(=0.38%Ni) 1.3%Co
KOV = 172Mt 5.1%Cu(=0.93%Ni) 0.5% Co for 9Mt Cu 800Kt Co
Nikanor Plc AIM:NKR
http://www.nikanor.co.uk/

Kingamiambo Musonoï Tailings Sarl (Adastra)
112,8Mt 1.49%Cu(=0.27%Ni) 0.32%Co
First Quantum Minerals Ltd TSX:FM AIM:FQM
http://www.first-quantum.com/s/Home.asp

Musonoi East & Extentions Cu/Co (Part of PE525)
Musonoi has the potential to be as big as Ruashi 20Mt
Metorex Ltd JSE:MTX
http://www.metorexgroup.com/home/index.html

La Société de Traitements des Rejets de Mutoshi Sprl (Kulu Tailings)
Coarse Tailings M&I 4.3Mt 4,4%Cu for 192Kt Cu and Inf 286Kt 6.5%Cu for 18Kt Cu
Fine Tailings 4,9Mt 0.89%Cu for 44Kt Cu
Anvil Mining Ltd ASX:AVM TSX:AVM
http://www.anvil.com.au/index.shtml

La Société d’Exploitation des Gisements de Kalukundi SPRL
27Mt 2,5%Co(=0.45%Ni) 0,7%Co
Africo Resources Ltd TSX:ARL
http://www.africoresources.com/

Tenke Fungurume Mining (Goma, Fwalu and Kwatebala)
M&I 235Mt 3.01%Cu(=0.55%Ni) 0.31%Co Inferred 264Mt 2.6%Cu(=0.47%Ni) 0.19%Co
Tenke Mining Corp TSX:TNK
http://www.tenke.com/s/Home.asp
Phelps Dodge Corp NYSE:PD
http://www.phelpsdodge.com/

Boss Mining Sprl (PE467 & PE469 C19 = Disele South, Kakanda North & South C21 = Manda)
70Mt 3%Cu(=0.55%Ni) 0.73%Co
Central African Mining & Exploration Co AIM:CFM
http://www.camec-plc.com/

Rejets de Kakanda et Kambove
Tailings Indicated 18,4Mt 1,22%Cu(=0.22%Ni) 0,15%Co
Hard Rock 11,3Mt 3,25%Cu(=0.59%Ni) 0,2%Co
Simberi Mining Corp TSX:SAU
http://www.simberimining.com/

La Société Minière de Kabolela et de Kipese Sprl
Kabolela: 3,7Mt 3.8%Cu(=0.69%Ni) 0.7%Co & Tailings 440Kt 1.1%Cu(=0.20%Ni) 0.6% Co
Tiger Resources Ltd ASX:TGS
http://www.tigerresources.de/public/start.asp?sid=2&lid=2

Shituru Mining Corporation
Target = 10Mt 4% Cu (750m x 150m x 12m+25m)
International Barytex Resources Ltd TSX:IBX
http://www.barytex.com/

Compagnie Minière de Luishia
50Mt 2.1%Cu(=0.38%Ni) 0.1%Co
China National Overseas Engineering 0
http://www.covec.com/en

Anvil & Mining Company of Katanga (Kinsevere - Tshifufia - Tshifufiamashi)
20,9Mt 3,4%Cu
Anvil Mining Ltd ASX:AVM TSX:AVM
http://www.anvil.com.au/index.shtml

Sokoroshe 1 (PE523) , Sokoroshe 2 (PE538) & Kileba
Target 10Mt 3%Cu
Metorex Ltd JSE:MTX
http://www.metorexgroup.com/home/index.html

Compagnie Minière du Sud Katanga (Luiswishi I ,II,III & Est - Kipushi)
Luiswishi I 2.69%Cu(=0.49%Ni) 0.88%Co
Luiswishi Tailings 1.5%Cu(=0.27%Ni) 1.00%Co
Georges Forrest International s.a.
http://www.forrestgroup.com/

Kasonto-Lupoto Mines Sprl
Kasonto 6,7Mt 3,13%Cu
Lupoto 1,5Mt 5,18%Cu
TEAL Exploration and Mining Inc TSX:TL
http://www.tealmining.com/

Ruashi Mining Sprl PE578 (Ruashi & Etoile Stockpiles and Ruashi Orebodies)
Ruashi & Etoile Stockpiles 3,2Mt 1,86%Cu(=0.34%Ni) 0,20%Co
Ruashi I 3Mt 2%Cu(=0.36%Ni) 0.7%Co
Ruashi II 24Mt +3%Cu(=0.55%Ni) 0.7%Co
Metorex Ltd JSE:MTX
http://www.metorexgroup.com/home/index.html

Kipushi zinc (Disputed)
16,9Mt 16.7%Zn 2.3%Cu for 2,8Mt Zn and 393Kt Cu
Gecamines + United Resources AG
First Quantum Minerals Ltd TSX:FM AIM:FQM
http://www.first-quantum.com/s/Home.asp
Exxaro JSE:EXX
http://www.exxaro.com/content/main/home.asp

La Minière de Musoshi et Kinsenda SARL (Kinsenda, Musoshi and Lubembe)
Musoshi: Reserves 24Mt 2.4% Cu for 580Kt Cu
Kinsenda: Reserves 17,1Mt 5.1% Cu for 886Kt Cu
Lubembe: Resource 45,5Mt 2.2% Cu for 1Mt 2.2% Cu
Copper Resources Corp AIM:CRC
http://www.copperresources.com/index.html

Frontier (Lufua) Project
182Mt 1.16%Cu
First Quantum Minerals Ltd TSX:FM AIM:FQM
http://www.first-quantum.com/s/Home.asp

Lonshi (Bwana/Lonshi Project)
1,8Mt 7.2%Cu
First Quantum Minerals Ltd TSX:FM AIM:FQM
http://www.first-quantum.com/s/Home.asp

Sakania Project (PR2133, 2138, 2199 and 2508)
Best result: 7.56g/t Au, 0.26% Cu, 0.39% Co and 3.04g/t Pd
Tiger Resources Ltd ASX:TGS
http://www.tigerresources.de/public/start.asp?sid=2&lid=2

Dikulushi
M&I 1,060Kt 8.3%Cu 224gr/tAg for 88Kt Cu and 7,640,000oz Ag
Inferred 1,308Kt 5.8%Cu 141gr/t Ag for 81Kt Cu and 6,260,000oz Ag
Anvil Mining Ltd ASX:AVM TSX:AVM
http://www.anvilmining.com/documents/070209DikulushiMine_DavidNewton.pdf

[vanbrussel]

Nickel Sector Report by FoxDavies 02/26

This document gives an overview of the global nickel industry covering basic geology, exploration, mining, processing, together with a review of supply/demand trends.
The Company section focuses on nineteen junior to mid-cap nickel companies covering a broad spectrum of type, status and location.

http://www.proactiveinvestors.com/registered/research/foxdavies/FDC-Nickel-Sector-Report-26Feb2007.p...

[oasdihf]

Another possibly solid Cobalt play:

Katanga Announces Higher Grade Reserves

12:47 EST Thursday, February 22, 2007

LONDON, UNITED KINGDOM--(CCNMatthews - Feb. 22, 2007) - Katanga Mining Limited (TSX:KAT) today published new December 31, 2006 year end reserve and resource estimates for the Kamoto Joint Venture.

These estimates were prepared after including considerably more drill-hole assay information at Kamoto and refinement of the T17 mine plan. Other reserve and resource areas for the joint venture such as the DIMA area were not analysed and remain unchanged.

Proven and probable ore grades for both the Kamoto underground mine and the T17 open pit mine increased significantly as a result of the additional information and refined plans. The copper grade at Kamoto increased by 23.7% to 3.86% and cobalt grade increased by 33.3% to 0.48%.

"This significant increase in grades enhances the already outstanding economics of the joint venture," stated Arthur Ditto, President & CEO of Katanga. "These higher grades will enable us to increase copper production during the early phases of the project."

No additional evaluation was completed for the resources so they remain the same as in the Technical Report (June 23, 2006 as filed on SEDAR).

The tabulated reserves and resources prepared in accordance with CIM Standards are as follows:

 
 Reserve and Resource Summary, December 31, 2006 
 ----------------------------------------------- 
  
 --------------------------------------------------------------------------- 
                                  Ore                 Cu                Co 
 Classification                  Tonnes     Copper  Tonnes   Cobalt   Tonnes 
                                 (000s)    Grade %  (000s)  Grade %   (000s) 
 --------------------------------------------------------------------------- 
 --------------------------------------------------------------------------- 
 Total Reserves 
 Proven and probable             92,999      3.53%   3,281    0.37%      344 
 Total Resources 
 Measured and indicated          68,902      3.47%   2,388    0.39%      270 
 --------------------------------------------------------------------------- 
 --------------------------------------------------------------------------- 
  
  
 Reserve Estimate by Mine 
 ------------------------ 
  
 --------------------------------------------------------------------------- 
                                  Ore                 Cu                Co 
 Classification                  Tonnes     Copper  Tonnes   Cobalt   Tonnes 
                                 (000s)    Grade %  (000s)  Grade %   (000s) 
 --------------------------------------------------------------------------- 
 --------------------------------------------------------------------------- 
 Proven Mineral Reserves 
 Kamoto                          17,114      3.63%     622    0.41%       70 
 T17                              1,091      3.87%      42    0.54%        6 
 Mashamba East                   15,570      2.82%     439    0.46%       71 
 Mashamba West                    4,635      3.31%     153    0.12%        6 
 Dikuluwe                        15,886      3.59%     570    0.10%       16 
 --------------------------------------------------------------------------- 
 Total Proven Mineral Reserves   52,296      3.36%   1,826    0.31%      169 
 --------------------------------------------------------------------------- 
  
 Probable Mineral Reserves 
 Kamoto                          28,393      3.99%   1,133    0.52%      147 
 T17                                410      3.64%      15    0.55%        2 
 Mashamba East                    3,719      2.64%      98    0.54%       20 
 Mashamba West                    1,262      3.00%      38    0.09%        1 
 Dikuluwe                         4,919      3.46%     170    0.10%        5 
 --------------------------------------------------------------------------- 
 Total Probable Mineral Reserves 38,703      3.76%   1,454    0.45%      175 
 --------------------------------------------------------------------------- 
 Proven + Probable Reserves      92,999      3.53%   3,280    0.37%      344 
 --------------------------------------------------------------------------- 
 --------------------------------------------------------------------------- 
 Notes: Mineral reserves are separate from mineral resources. 
  
  
 Resource Estimate by Mine (unchanged) 
 ------------------------------------- 
  
 --------------------------------------------------------------------------- 
                                  Ore                 Cu                Co 
 Classification                  Tonnes     Copper  Tonnes   Cobalt   Tonnes 
                                 (000s)    Grade %  (000s)  Grade %   (000s) 
 --------------------------------------------------------------------------- 
 --------------------------------------------------------------------------- 
 Measured Mineral Resources 
 Kamoto                          16,668      4.02%     670    0.50%       83 
 T17                              4,631      3.69%     171    0.84%       39 
 Mashamba East                   12,675      2.37%     300    0.50%       64 
 Mashamba West                    8,952      2.80%     251    0.20%       18 
 Dikuluwe                         8,248      4.46%     368    0.09%        7 
 --------------------------------------------------------------------------- 
 Total Measured Mineral 
  Resources                      51,174      3.44%   1,760    0.41%      211 
 --------------------------------------------------------------------------- 
  
 Indicated Mineral Resources 
 Kamoto                           4,559      4.51%     205    0.29%       13 
 T17                              1,464      3.14%      46    0.87%       13 
 Mashamba East                    6,061      2.10%     127    0.44%       27 
 Mashamba West                    1,869      2.76%      52    0.16%        3 
 Dikuluwe                         3,885      5.11%     199    0.07%        3 
 --------------------------------------------------------------------------- 
 Total Indicated Mineral 
  Resources                      17,728      3.54%     628    0.33%       59 
 --------------------------------------------------------------------------- 
 Measured + Indicated Resources  68,902      3.47%   2,388    0.39%      270 
 --------------------------------------------------------------------------- 
  
  
 --------------------------------------------------------------------------- 
 Inferred Mineral Resources 
 --------------------------------------------------------------------------- 
 Inferred Mineral Resources 
  - Kamoto                       11,826      5.28%     624    0.15%       18 
 --------------------------------------------------------------------------- 
 Inferred Mineral Resources 
  - Open Pit                     17,493      3.41%     596    0.32%       56 
 --------------------------------------------------------------------------- 
 Total Inferred Mineral 
  Resources                      29,319      4.16%   1,220    0.25%       74 
 --------------------------------------------------------------------------- 
 --------------------------------------------------------------------------- 
  
 Notes: Mineral reserves are separate from mineral resources. 
 

Changes and additions to the Kamoto mine analysis include:

- The average ore density at Kamoto was increased from the Technical Report value of 2.6 to the historical value of 2.69. A review of historical data, further verified by recently completed density analysis of core, supports this revised density

- Twenty six additional core holes were assayed and added to the database during the year. These underground core holes were drilled between 2000 -2002 but never assayed. Assaying was completed by SGS Lakefield Research Africa using the same methodology as outlined in the Technical Report

- Through 2006 all available drilling data at Kamoto was reviewed and data not available during preparation of the feasibility was added to the database. This resulted in the addition of 363 holes to the 723 holes used in the previous reserve analysis

- The increased data density and a better understanding of the geology and drillhole sampling protocol allowed for improved geologic interpretation and resource estimation. In the previous resource analysis, exploration holes that were drilled just to verify stratigraphy were assigned a trace grade which resulted in an artificial lowering of the resource grades. In this analysis these holes were not assigned a grade and have only been used to verify stratigraphy

- Mining methods were reviewed and adjusted as required

- The updated model specifically includes the mineralized zones between the upper and lower ore bodies.

The T17 analysis uses the same resource model and the same assumptions and parameters presented in the June 23, 2006 Technical Report. The revision to the reserves is based on an updated mine plan that better exploits the available resource and mines slightly deeper than the T17 pit outlined in the Technical Report.

No new work was completed for the DIMA group (Mashamba East, Mashamba West and Dikuluwe). These areas will be subject to more study during 2007. The resources and reserves from these areas are identical to those presented in the June 23, 2006 Technical Report.

Rick Dye, Senior Vice President, Technical Services of Katanga Mining Limited and a qualified person under Canadian National Instrument 43-101, has supervised the new reserve calculations and has reviewed and approved the contents of this press release.

To learn more about Katanga Mining Limited, please visit our website at www.katangamining.com

Katanga Mining Limited is poised to become a significant player in the global copper mining industry through its rehabilitation of the long life, high grade Kamoto Mine in the Democratic Republic of Congo.

Production will begin in late 2007 and, once fully operational, the mine will produce 150,000 tonnes of copper and 5,000 tonnes of cobalt a year at one of the world's lowest operating costs.

The company is listed on the Toronto Stock Exchange, the premier exchange for the mining industry, under the symbol KAT.

Caution Regarding Forward Looking Statements: The forward-looking statements made in this news release are based on management's assumptions and judgments regarding future events and results. Such forward-looking statements, including but not limited to those with respect to the prices of copper and cobalt, resource and reserve estimates and estimated future production, involve known and unknown risks, uncertainties and other factors which may cause the Company's actual results, performance or achievements to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the actual market prices of copper and cobalt, the actual results of current exploration, the actual results of future mining, processing and development activities and changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's filed documents.


Katanga Mining Limited
15 Golden Square
London W1F 9JG
United Kingdom
Tel: [phone]

FOR FURTHER INFORMATION PLEASE CONTACT:

Katanga Mining Limited
Arthur H. Ditto
President & Chief Executive Officer
[phone] or Mobile: [phone]



or
Katanga Mining Limited
Anu Dhir
Vice President, Corporate Development
[phone] or Mobile: [phone]

Website: www.katangamining.com

[johnlw]

I've looked at them off and on for quite a while never got in.
$10 was a long term base if memory serves me right.
I got looking at them a little more closely lately 'cause they are proposing a huge coal to syn gas project for this district. Not real pretty but I think it is a better option for the tar sands versus nuclear. Whether or not it is a go is up in the air right now.
Another interesting facet of them is Cuba. What happens when Fidel croaks, does the US lift the embargo? S is pretty well positioned down there from what I can tell.
Back in grade school we took some lame field trip up to the nickel facility in Fort Sask. All I remember is the sample of nickel we got. I don't recall any cobalt being passed out.

[oasdihf]

Thanks - chart speaks for itself:



I'm looking closely at GMC's publicly listed warrants (GMC.WT) which entitles the holder to purchase one common share of Geovic Mining at a price of $2.75 per common share until November 3, 2011.

[johnlw]

Sherritt, S.to, is another way to play cobalt if you are hot to trot on it.
Cobalt production for the year remains inline with
initial expectations of approximately 3,000 tonnes (100% basis).

[oasdihf]

Real good read on Cobalt market situation - Geovic mentioned as one to watch:

Targeting a Tight Cobalt Market
Resource Investor
By Richard Reinhard
16 Feb 2007

http://www.resourceinvestor.com/pebble.asp?relid=29058

[johnlw]

FNX Mining Company Inc (C-FNX) - News Release

FNX drills 6.1 ft of 2.14% Cu, 4.18% Ni at Main Depths

2007-02-21 07:41 ET - News Release
Shares issued 83,868,472
FNX Close 2007-02-20 C$ 17.66

Mr. Terry MacGibbon reports

FNX MINING DISCOVERS MAIN DEPTHS DEPOSIT DOWN DIP OF THE LEVACK MINE MAIN OREBODY

FNX Mining Company Inc. has found the Main Depths nickel contact deposit located down-dip of the formerly producing Levack main orebody at its recently reopened Levack mine in the Sudbury mining district of Ontario.

All nine surface boreholes drilled to date have intersected significant pyrrhotite-pentlandite-chalcopyrite nickel-rich sulphide mineralization down-dip of the Levack main orebody and east of the Levack No. 7 orebody.

Highlights of the drill intersections are compiled in table No. 1, including:

* 45.7 feet grading 0.62 per cent copper and 1.99 per cent nickel, including 15 feet grading 1.04 per cent copper and 3.36 per cent nickel;
* 63.6 feet grading 0.34 per cent copper and 1.15 per cent nickel, including 11.1 feet grading 0.24 per cent copper and 2.48 per cent nickel, and 13 feet grading 0.88 per cent copper and 2.59 per cent nickel;
* 6.1 feet grading 2.14 per cent copper and 4.18 per cent nickel;
* 32.4 feet grading 0.92 per cent copper and 1.65 per cent nickel, including 10.3 feet grading 1.01 per cent copper and 2.49 per cent nickel; and
* 16.5 feet grading 0.52 per cent copper and 2.43 per cent nickel.

The FNX boreholes being reported, along with data from historical holes, indicate that the new Main Depths nickel mineralization is a continuation of the main orebody's geological system. As such, the Main Depths deposit may connect up-dip to the Levack main orebody and to the west with the No. 7 orebody. The top of the Main Depths deposit starts just below the 1,600 Level and is open down-plunge and along strike. It is located near underground infrastructure and is within 600 feet of the Levack No. 7 orebody, which is currently being developed and mined by the company. The deposit's strategic location near existing mine infrastructure will greatly facilitate exploration and potential mining of this new deposit.

Borehole electromagnetic geophysical results to date are very positive and indicate that the Main Depths mineralization drilled to date occurs within a large, continuous conductive plate. The modelled plate has dimensions of 1,300 feet (400 metres) in the east-west strike direction and 800 feet (250 metres) in the north-south dip direction.

The determination of the orientation and size of the Main Depths deposit, the extent of the mineralized pods and the nickel-sulphide content will require extensive additional drilling. FNX will continue to aggressively drill the Levack Main Depths mineralization from surface and from underground.

The Levack mine operated continuously from 1937 to 1999, when it was shut down by its former owners due to low nickel prices. It produced a total of 60.4 million tons of ore grading 1.3 per cent copper, 2 per cent nickel and 1.4 grams per tonne of precious metals. FNX Mining acquired the Levack mine in 2002, rehabilitated the surface facilities, the No. 2 shaft and much of the underground infrastructure over the past two years, reopened the mine and initiated production of nickel ore in January, 2007.

The Levack mine's main orebody consisted of a complex series of thick pods of nickel ore within interconnected pinches and swells in granite breccia host rocks along the base of the Sudbury igneous complex (SIC). Mining of the main orebody terminated at a pinch or uplift in the granite breccia at about the 1,450 level of the Levack mine. No historical production records are available for the main orebody, but non-compliant modelling done by FNX on the main orebody to guide FNX's deeper exploration, suggests that about 15 million tons grading approximately 2 per cent nickel was extracted from near the surface down to the 1,450 level. FNX has identified 918,000 tons of independently audited measured and indicated nickel resources grading 1.9 per cent nickel remaining in the main orebody.

    TABLE NO. 1: HIGHLIGHTS OF FNX MINING DRILL HOLES 
  
 Borehole       From       To   Length      Cu     Ni     TPM 
 No.            feet     feet     feet       %      %     gpt 
  
 FNX2003      1963.1   1969.2      6.1    2.14   4.18    3.22 
 FNX2004      1679.1   1742.7     63.6    0.34   1.15    0.81 
 incl.        1679.1   1690.2     11.1    0.24   2.48    1.39 
 incl.        1729.7   1742.7     13.0    0.88   2.59    1.77 
 FNX6054      2063.3   2071.3      8.0    1.31   2.86    1.82 
 FNX6064      2175.5   2228.1     52.6    0.77   1.44    1.33 
 incl.        2175.5   2185.8     10.3    1.02   2.48    1.97 
 incl.        2192.6   2207.9     15.3    1.04   1.70    1.60 
 incl.        2217.3   2228.1     10.8    0.93   2.01    1.79 
 FNX6067      1604.9   1617.1     12.2    0.57   1.02    0.86 
              1710.6   1723.9     13.3    0.25   1.04    0.89 
              1802.4   1827.6     25.2    1.27   1.38    1.65 
 incl.        1802.4   1809.6      7.2    2.12   2.82    2.68 
 incl.        1821.4   1827.6      6.2    2.10   1.58    2.21 
 FNX6066      2359.7   2384.2     24.5    0.46   1.89    1.06 
 FNX6068      2430.6   2444.8     14.2    0.18   1.17    0.50 
              2465.0   2473.2      8.2    0.37   1.22    0.32 
              2493.9   2503.4      9.5    0.33   1.06    0.43 
 FNX6069      2110.1   2161.8     51.7    0.26   1.20    0.33 
 incl.        2110.1   2123.9     13.8    0.32   1.57    0.44 
 incl.        2143.6   2161.8     18.2    0.29   1.47    0.33 
 FNX6072      2330.0   2370.9     40.9    0.58   0.98    1.03 
 incl.        2352.1   2370.9     18.8    0.82   1.40    1.41 
              2427.3   2444.8     17.5    0.87   1.44    1.40 
 FNX6074      2449.3   2495.0     45.7    0.62   1.99    0.53 
 incl.        2480.0   2495.0     15.0    1.04   3.36    0.83 
  
 Lengths reported are drill-intersected core lengths. 
 TPM equals total precious metals defined as platinum plus 
 palladium plus gold. 
  
      TABLE NO. 2: HIGHLIGHTS OF HISTORICAL DRILL HOLES 
  
 Borehole       From       To   Length      Cu     Ni     TPM 
 No.            feet     feet     feet       %      %     gpt 
  
 64460         241.3    246.3      5.0    0.63   3.29     n/a 
 22280         742.0    789.4     47.4    0.40   1.17     n/a 
 incl.         776.5    789.4     12.9    0.55   2.09     n/a 
 64450         248.5    282.3     33.8    1.10   2.78     n/a 
 and           328.5    364.0     35.5    0.41   1.27     n/a 
 incl.         356.5    364.0      7.5    0.72   3.24     n/a 
 120800        297.4    359.8     62.4    0.47   1.70    0.83 
 incl.         298.5    318.6     20.1    0.62   2.84    0.99 
 incl.         344.6    353.8      9.2    0.63   2.45    1.28 
 64470         265.3    271.7      6.4    0.63   3.04     n/a 
 596110        351.8      384     32.2    0.08   0.96     n/a 
 466990          913      925     12.0    0.14   1.24     n/a 
 LV20490         n/a      n/a      n/a     n/a    n/a     n/a 
 520680          720      725      5.0    0.71   1.13     n/a 
 22120         712.5    726.2     13.7    0.54   1.31     n/a 
  
 Lengths reported are drill-intersected core lengths. 
 TPM equals total precious metals defined as platinum plus 
 palladium plus gold. 
 

QA/QC statement

Dr. James Patterson, PhD, PGeo, executive consultant, a designated qualified person pursuant to National Instrument 43-101 of the Canadian Securities Administrators, is responsible for the verification and quality assurance of the corporation's exploration data and analytical results. Samples of half core are prepared at SGS Lakefield Laboratories in Garson and shipped to ALS Chemex in Vancouver for assay. Please see Stockwatch news dated July 16, 2003, and the March 31, 2005, annual information form for a description of sample preparation and assay procedures.

We seek Safe Harbor.

[kraftdinner]

Cobalt article
http://www.resourceinvestor.com/pebble.asp?relid=29058

[oasdihf]

Nickel Price Outlook Divides Deutsche Bank, JPMorgan
By Chia-Peck Wong and Chanyaporn Chanjaroen

Feb. 5 (Bloomberg) -- When it comes to nickel, the best performing commodity the past 13 months, JPMorgan Chase & Co. is determined to prove Deutsche Bank AG is full of so much hot air.

At stake is $55 billion of metal mined from New Caledonia to western Canada, and the rising cost of 300,000 stainless-steel products from General Electric Co. jet engines to kitchen sinks. More than $11 billion is riding on a Deutsche Bank call that nickel will appreciate again in 2007.

Prices of nickel, used to make stainless steel, have doubled in seven months to $37,000 a metric ton, after reaching the highest in more than two centuries of trading on Jan. 26. Nickel soared during the past five years as China stepped up stainless-steel production and overtook Japan as the world's largest supplier of the commodity.

The market is ``over-inflated,'' says Jon Bergtheil, the head of global metals strategy at JPMorgan in London and an industry analyst for three decades. ``Nickel's fall will be worse than the pace copper has seen,'' dropping at least 25 percent this year, he said.

Nonsense, says Deutsche Bank analyst Michael Lewis, who told customers on Jan. 12 that nickel is the favorite pick among industrial metals because producers can't keep up with demand. Germany's biggest bank raised its forecast for average nickel prices to about $31,500 in 2007 and to $31,000 in 2008. Nickel in 2006 averaged about $24,150.

``The ramp-up in Chinese stainless steel capacity in 2007-08 is now expected to sustain strong demand growth for nickel at elevated levels,'' the bank said in a report. Lewis, who works in London, couldn't be reached to comment.

Low Inventories

Rising nickel use sent inventories at the London Metal Exchange to the lowest since July 1991, too little to supply steelmakers for even one day in the event of a shortage. Nickel gained 147 percent in 2006 and has risen 12 percent this year. Prices are five times higher than the average of $6,945 a ton during the 1990s. More than $11 billion of nickel futures are outstanding on the LME, which sets world benchmark prices.

Metals prices are so high that the U.S. Mint last year banned exports of nickels to prevent scrap merchants from melting down coins in developing countries. The 5-cents coin, which is 25 percent nickel and 75 percent copper, contains metal currently valued at 7 cents.

Chinese companies such as Shanxi Taigang Stainless Steel Co. and Baoshan Iron & Steel Co. will boost production 37 percent this year to about 7 million tons, from 5.1 million tons, according to Beijing Antaike Information Development Co., a government-funded research group.

Bearish Sentiment

Some analysts say China has found an alternative in nickel pig iron, a lower-cost metal mined in the Philippines. The substitute may cause imports of refined nickel by China to drop 11 percent this year because it costs 40 percent less than the refined metal, said Xu Aidong, a metals analyst at Beijing Antaike.

Each time nickel prices doubled in a year during the past two decades, as they did in 2006, they've fallen the next year.

A drop in nickel prices would hurt Russia, Canada and Australia, the world's three biggest exporters. Profits would suffer at producers including Cia. Vale do Rio Doce, Brazil's second-largest company, and OAO GMK Norilsk Nickel, where shares have gained 14 percent this year.

Merrill Sees Drop

Merrill Lynch & Co. analyst Daniel Hynes says prices will tumble and average $23,700 a ton, 40 percent less than today. Hynes, who works in Sydney, spent six years with nickel producer WMC Resources Ltd. before it was bought by BHP Billiton Ltd., the world's biggest mining company.

``Nickel gains came after the Chinese put up a large amount of stainless-steel capacity,'' said Bergtheil, 52, of JPMorgan, the third-largest U.S. bank. ``Now we are reaching the stage of having too much stainless steel. The Chinese government has tightened regulations to rein in overheated industries, and one of the latest aims at stainless steel.''

U.S. suppliers already are seeing nickel demand decline.

``People don't seem to really need more metal and the higher prices are driving them away,'' said Patty Bowlin, a saleswoman at Eagle Alloys Corp. in Talbott, Tennessee, which supplies customers including GE, Boeing Co. and Honeywell International Inc. ``Stainless steel has become more readily available and so now it's harder to sell'' both nickel and stainless steel.

U.S. stainless steel inventories rose to 809,000 tons in November, up 17 percent from the end of 2005, according to CRU, a London-based metals consulting company.

Cutting Back

Stainless-steel producers, users of about two-thirds of the world's nickel supply, are reducing the amount of the metal in their products, said Staffan Malm, secretary-general of the International Stainless Steel Forum in Brussels, which represents companies that make 85 percent of world output. Production of nickel-free stainless steel now accounts for as much as a quarter of global output, up from 21 percent three years ago.

JFE Steel Corp., Japan's second-largest producer of stainless steel, will double output of nickel-free products this year from 3,000 tons a month currently. Monthly production will rise to more than 10,000 tons in the year ended March 2009, said spokesman Hiroshi Okamoto in Tokyo.

``If somebody would have told me that the price for nickel would hit $35,000, I would have considered that completely impossible,'' said Ekkehard Schulz, the chief executive officer of Dusseldorf, Germany-based ThyssenKrupp AG, the world's biggest stainless steel producer. He declined to give a forecast for prices.

Bullish Banks

Morgan Stanley, the second-biggest U.S. securities firm by market value, is siding with Deutsche Bank. The New York-based firm raised its 2007 price forecast for nickel by 35 percent to about $32,000 a ton in a Jan. 30 report.

``Continued delays to major new growth projects will extend this period of above-trend prices through the end of the decade,'' Morgan Stanley said. UBS AG, Europe's largest bank by assets, said in a report Jan. 31 that nickel will average about $32,000 this year, 32 percent higher than its previous forecast.

Nickel for three-month delivery fell 5.6 percent to $35,695 a ton as of 6:22 p.m. in London.

Brazil's Vale, which paid $16.7 billion last year for Inco Ltd., the world's second-largest nickel producer, says that new mines are needed.

``Mines coming on line are merely replacing old mines that are winding down,'' Chief Executive Officer Roger Agnelli said in Rio de Janeiro last month. ``Even with new mines, overall production won't rise much.''

Agnelli's Voyage

Agnelli will fly to New Caledonia, the French Pacific Ocean Island, this month to present a new plan for Vale's Goro project. The mine, already under construction, may start producing nickel in ``late 2008 or early 2009,'' Agnelli said. Goro is the world's largest nickel project under development.

Producers elsewhere around Asia will help increase supply. Atlas Consolidated Mining & Development Corp., based in Mandaluyong City, the Philippines, said last week it began shipments from its Berong Nickel Corp. venture that mines low-grade ore for China.

Eramet SA, based in Paris, last week reported nickel production climbed 4.7 percent in 2006 to 62,383 tons. A mine strike that reduced output in the fourth quarter was settled last month, and production is returning to normal levels.

Prices are ``highly speculative and disruptive to the market,'' said Philippe Joly, spokesman at Eramet, which operates the world's largest ferronickel smelter. ``It's negative for consumers in the long run.''

U.S. Economy

As supplies recover, growth in the U.S. economy, the world's largest, is tapering off, hurting sales of stainless steel. The economy should expand by 2.5 percent in 2007, according to a Bloomberg News survey of 62 economists, down from 3.4 percent in 2006.

``It's the economy that drives metals demand and prices,'' said Andy Sunderland, vice president of Metal Specialty Co. in Broken Arrow, Oklahoma, which sells $5 million of metal a year, 25 percent of which is nickel and stainless steel. ``Metals prices don't drive the economy.''

To contact the reporters on this story: Chia-Peck Wong in Singapore at [e-mail] ; Chanyaporn Chanjaroen in London at [e-mail]

Online source:
http://www.bloomberg.com/apps/news?pid=20601109&sid=arSE9iVhnVHc&refer=home#

[oasdihf]

Another Nickel play for PNP's portfolio:

Pinetree Capital Ltd. Acquires Common Shares of International Nickel Ventures Corporation
Wednesday February 7, 11:15 am ET

TORONTO, ONTARIO--(CCNMatthews - Feb. 7, 2007) - Pinetree Capital Ltd. (TSX:PNP - News), announces that, though a series of transactions ending on February 6, 2007, it acquired ownership of 358,000 common shares ("Common Shares") of International Nickel Ventures Corporation ("International Nickel") through the facilities of the TSX Venture Exchange representing approximately 1.0% of the total issued and outstanding common shares of International Nickel as of February 6, 2007. As a result of this transaction, Pinetree held, as at February 6, 2007, an aggregate of 2,985,000 common shares of International Nickel. In addition, Pinetree and its joint actors, together owned an aggregate of 3,485,000 common shares of International Nickel which holdings of the Offeror and joint actors represent approximately 10.1% of all issued and outstanding common shares as at February 6, 2007.

These transactions were made for investment purposes and Pinetree and each of its joint actors could increase or decrease their respective investments in International Nickel depending on market conditions or any other relevant factor.

About Pinetree

Pinetree Capital Ltd. ("Pinetree" or the "Company"), which is publicly traded on the Toronto Stock Exchange ("TSX") under the symbol "PNP", is a diversified investment, financial advisory and merchant banking firm focused on the small cap market. Pinetree's investments are primarily in the resources sector: Oil & Gas, Uranium, Precious Metals and Base Metals.

Pinetree's investment approach is to build a macro position in a sector, find the micro-cap opportunities in that sector and work with those companies to build them to commercial production and create an exit.

For more details about Pinetree and its investments, please visit our website at www.pinetreecapital.com.

This news release contains forward-looking statements within the meaning of the "safe harbour" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties and other factors that may cause Pinetree's results to differ materially from expectations. These include risks relating to market fluctuations, investee performance and other risks. These forward-looking statements speak only as of the date hereof. Pinetree disclaims any intent or obligation to update these forward-looking statements.

[oasdihf]

Benton (TSX.V-BTC) re-acquires 100% interest in Goodchild Nickel Project
Tuesday February 6, 12:01 pm ET

THUNDER BAY, ON, Feb. 6 /CNW/ - Benton Resources Corp. (the "Benton" or the "Company") announces that it has received notification from Xstrata Nickel ("Xstrata") stating that Xstrata has elected to terminate its rights under the Goodchild Lake property Option and Joint Venture Agreement (PR Aug 30, 2006) between Xstrata and Benton. This allows Benton to assume 100% interest of the project. Although various major mining companies have expressed an interest in the property Benton will evaluate all options available to the Company prior to proceeding with an exploration strategy.
The project is located approximately 15 kilometres north of Marathon, Ontario and hosts several nickel showings with grab samples assaying up to 5.67% nickel (collected by Benton personnel) and 6.72% nickel (Xstrata personnel). The large ultramafic intrusion measures approximately 5km by 8km and has numerous untested airborne electromagnetic anomalies. Benton will keep their shareholders updated on developments at the property as exploration moves forward.

Clinton Barr (P.Geo.), V.P. Exploration for Benton Resources Corp., is the qualified person responsible for this release.


On behalf of the Board of Directors of Benton Resources Corp.
"Stephen Stares"
Stephen Stares, President

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

[oasdihf]

Victory Nickel Inc. Begins Trading Today
Tuesday February 6, 9:10 am ET
Ni is the symbol for Canada's new nickel company on the TSX

TORONTO, ONTARIO--(CCNMatthews - Feb. 6, 2007) - Nuinsco Resources Limited ("Nuinsco" or the "Company") (TSX:NWI - News; www.nuinsco.ca) today announced that Victory Nickel Inc., the pure-play nickel company created under Nuinsco's previously announced plan of arrangement, will begin trading on the TSX on February 6, 2007. Victory Nickel's TSX ticker symbol will be Ni.

"The launch of Canada's new nickel company is truly a victory for Nuinsco and its shareholders," said Rene Galipeau, Chief Executive Officer. "A great deal of effort went in to creating Victory Nickel and I would like to extend my thanks to all of those who helped Nuinsco achieve this significant milestone. The time is right for a new Canadian nickel company and Nuinsco shareholders now have two well-financed growth companies to capitalize on a robust commodities market. With active exploration and development programs on all projects we expect a significant amount of news coming out of both Victory Nickel and Nuinsco as we move forward."

Pursuant to the previously-announced plan of arrangement, Victory Nickel acquired Nuinsco's interest in the Minago, Mel and Lac Rocher sulphide nickel projects, together with approximately $12,000,000 in cash. Nuinsco has retained a 25% interest in Victory Nickel, its Diabase Peninsula and Prairie Lake uranium properties and Cameron Lake gold deposit in Canada, the Berta copper-gold porphyry and Elmalaan copper-zinc properties in Turkey, approximately 11% of the outstanding shares of copper and gold producer Campbell Resources Ltd., and approximately $8,000,000 in cash.

About Nuinsco Resources

Nuinsco is a growth-oriented, multi-commodity mineral exploration and development company that is prepared for production and focused on growth through nickel, copper, zinc, uranium and gold exploration and development in world-class mineralized belts in Canada and Turkey. Shares of Nuinsco trade on the Toronto Stock Exchange under the symbol NWI.

About Victory Nickel

Victory Nickel is a Canadian nickel company with over 600 million pounds of in-situ nickel in National Instrument 43-101-compliant measured and indicated resources at its Minago, Mel and Lac Rocher sulphide nickel deposits. Recently created from the nickel assets of Nuinsco Resources, Victory Nickel is a well financed pure-play nickel company focused on becoming a producer by developing its existing properties and evaluating opportunities to expand its asset base.

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements." All statements, other than statements of historical fact, that address activities, events or developments that Nuinsco believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek," "anticipate," "believe," "plan," "estimate," "expect," and "intend" and statements that an event or result "may," "will," "can," "should," "could," or "might" occur or be achieved and other similar expressions. These forward-looking statements reflect the current expectations or beliefs of Nuinsco based on information currently available to Nuinsco. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Nuinsco to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Nuinsco. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to successfully complete financings, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world copper and/or gold markets, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates, success of future development initiatives, competition, operating performance of facilities, environmental and safety risks, delays in obtaining or failure to obtain necessary permits and approvals from government authorities, and other development and operating risks. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Nuinsco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Nuinsco believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

[johnlw]

Xstrata Nickel, union reach tentative agreement

Canadian Press

SUDBURY, ONT. — Xstrata Nickel and the Canadian Auto workers reached a tentative contract agreement Wednesday night — just minutes before a midnight strike deadline.

Company spokesman Ian Hamilton said early Thursday that a memorandum of agreement was signed and will be voted on by members.

Details of the deal were not released.

“We think the tentative agreement is fair, we think it's competitive and that it meets the needs of both the company and of the union,” Mr. Hamilton said.


The Globe and Mail

The union represents more than 1,000 mine, mill, and smelter workers who work at the operation that accounts for about 4 per cent of the world's nickel smelting capacity.

Both sides had said they were optimistic that an agreement could be reached.

The union had gone on strike during its previous three contract negotiations.

[Ed Monton]

Geovic Mining Corp.: Program to Expand Cobalt-Nickel Reserves and Resources

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 29, 2007) - Geovic Mining Corp. ("Geovic") (TSX VENTURE:GMC) is pleased to announce that its 60% owned subsidiary, Geovic Cameroon PLC ("GeoCam"), plans to resume test pitting in February 2007 and drilling in March 2007 at its cobalt-nickel project in Cameroon. The overall program includes 600 relatively shallow drill holes and test pits that are targeted to increase mineral resources and mineral reserves at its Nkamouna and Mada deposits.

A trench, approximately 30 meters long and up to 15 meters deep, will also be excavated in the south Nkamouna area to expose a large section of laterite overburden and ore to further optimize ore control procedures and mining plans and acquire additional geotechnical information. Geovic plans to use in-house and contractor personnel and equipment for completing the 2007 program. Samples will continue to be shipped to Skyline Labs of Tucson, Arizona for assaying.

In addition to the Nkamouna and Mada deposits, GeoCam's Mine Permit includes five other deposits having similar geologic settings and cobalt-nickel-manganese mineralization.

Nkamouna - Background

The Nkamouna Project, the first of seven deposits to be developed, contains 26.3 million tonnes of proven ore reserves and 26.4 million tonnes of probable ore reserves at average grades of 0.24% cobalt, 0.72% nickel and 1.22% manganese, based on a cut off of US$12.00/tonne net revenue. The Nkamouna reserves were estimated by Pincock Allen & Holt ("PAH") and stated in a 43-101 Technical Report dated May 19, 2006, based on an average spacing of 65 meters by 125 meters between drill holes and test pits. Average mining depth is less than 16 meters. The PAH base case financial model had an after tax NPV at 10% of US $529 million and an IRR of 78%, based on 3-year average metal prices ending 2005.

Distinctive features of GeoCam's laterite deposits allow inexpensive and efficient mining, concentration, leaching and solution processing. The unique, coarse aggregates of cobalt mineralization in these specific Cameroon deposits can be concentrated using simple crushing, washing and sizing methods, such that the Nkamouna ore and resulting leach plant feed is upgraded to 0.7% cobalt, 1.0% nickel and 3.5% manganese.

The Washington Group International of Denver, Colorado was engaged in July 2006 to complete a final feasibility study on the Nkamouna project before July 2007. GeoCam intends to improve and expand Nkamouna project infrastructure in the last half of 2007 and start major construction in March 2008. Production is scheduled to start in July 2009.

Mada - Background

In a separate 43-101 report prepared in August 2006, PAH estimated inferred resources of 145 million tonnes grading 0.21% cobalt, 0.48% nickel and 1.15% manganese in the adjacent Mada deposit, based on an average test pit spacing of 500 meters. However, most of the Mada test pits are not sufficiently deep and the lateral limits of mineralization have not been fully delineated.

David C. Beling, P.E., Geovic's Qualified Person on the project.

ON BEHALF OF GEOVIC MINING CORP.

David C. Beling, Executive Vice President & COO

Important Notice:

Statements contained in this press release that are not historical facts are forward-looking statements (within the meaning of the Canadian securities legislation) that involve risks and uncertainties. Forward-looking statements include, but are not limited to, statements with respect to the future price of metals; the estimation of mineral reserves and resources; the timing and amount of estimated future production, costs of production, and capital expenditures; costs and timing of the development of new deposits; and success of exploration activities, permitting time lines, currency fluctuations, requirements for additional capital, government regulation of mining operations, environmental risks, unanticipated reclamation expenses, title disputes or claims and limitations on insurance coverage. In certain cases, forward-looking statements can be identified by the use of words such as "proposes", "expects", "is expected", "scheduled", "estimated", "intends", or variations of such words and phrases or state that certain actions, events or results "will" occur. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Geovic Mining to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such risks and other factors include, among others, risks related to operations; actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; future prices of metals; possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of development or construction activities. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this press release speak only as of the date hereof. Geovic Mining does not undertake any obligation to release publicly any revisions to these forward-looking statements to reflect events or circumstances after the date hereof to reflect the occurrence of unanticipated events.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy of this press release.

[oasdihf]

Nickel hits new high
Fri Jan 26, 2007 1:05 PM ET

By Pratima Desai and Anna Stablum

LONDON (Reuters) - Nickel hit a fresh high on Friday for the eighth session running on strike fears, while rising stocks knocked sentiment in copper, analysts said.

Copper's 4,325 ton run-up in inventories dampened, while nickel touched $38,950 per ton, up over 15 percent since the start of the year.

"Nickel may prove to be the exception in any pause, as strike action at Sudbury -- if it materializes -- may be just enough to take prices to the $40,000 level," analyst Edward Meir at Man Financial said in a report.

The latest rally started after workers at London-listed Xstrata <XTA.L> nickel operations in Sudbury, Ontario, failed to reach a new contract agreement over pay.

If the parties do not reach an agreement by midnight January 31, more than 1,000 unionized mine workers could go on strike.<ID:nL26847406>

The Sudbury complex accounts for just over 4 percent of world nickel smelting capacity.

"LME stocks continue to drop alarmingly and a strike in Sudbury is looking likely," analyst Stephen Briggs at Societe Generale Corporate and Investment Banking (SGCIB) said in a report.

Available stocks of nickel at around 2,700 tonnes are less than one day's global consumption. They have fallen from around 37,000 at the beginning of last year.

Nickel <MNI3> closed at $38,100 from $38,145 on Thursday.

COPPER UNDER PRESSURE

Three-month copper <MCU3> closed at $5,810 against $5,850 on Thursday, when it touched a two-week high of $5,910.

It hit a low for the day of $5,715, down by 2.3 percent.

Stocks of copper in LME warehouses rose to 207,700 tonnes, more than double the levels seen last January.

"LME stock increases seem to be taking their toll," Meir at Man Financial said.

Economic slowdown in the United States, falling demand and rising stocks have hit copper in recent months. Prices are down more than 30 percent since May's record high of $8,800.

But after heavy destocking in 2006, Chinese buyers were expected to return to the market.

Briggs at SGCIB said LME stocks were up sharply but pointed to hints of a pick-up in Chinese buying supporting prices.

China's copper imports rose 59.4 percent year-on-year in December to 95,831 tonnes, suggesting consumers there were restocking after running down inventories through most of 2006.

"In the last week or so there's definitely been some price stability," said Adam Rowley, analyst at Macquarie Bank.

"There are some signs of increased consumer buying and obviously the Chinese import figures helped. Over the next couple of months if Chinese buying continues to pick up the market could be fairly balanced for a period."

Tin <MSN3> hovered below this week's record high of $12,500.

It ended at $12,200 from Thursday's last bid of $12,275.

Traders said fund buying on the back of worries about supplies from Indonesia had pushed the metal to new highs in recent weeks.

Aluminum futures for delivery in three months <MAL3> closed at $2,795, up from $2,792 on Thursday but below Wednesday's four-week high of $2,846.

Aluminum has been buoyed recently by a strike in Guinea that has disrupted shipments of bauxite.

Zinc <MZN3> closed at $3,640 versus $3,710 on Thursday and lead <MPB3> lost $28 to close at $1,675.

http://today.reuters.com/news/articleinvesting.aspx?type=hotStocksNews&storyID=2007-01-26T180507...

[fringe_remnant]

I Think Most Analysts

... are sheep, and think through their pudding.

fringe

[oasdihf]

Nickel is definitely hot...hitting new all-time highs daily these days:

LME Stocks have also restarted their decline:


Lots of naysayers out there but if history can teach us anything it's that when these so-called analysts are unanimous they're generally wrong! This year hasn't started great but it should be very interesting to see it unfold.

Commodity bull run to take a breather in '07: BMO
Friday, January 19, 2007
3:10 PM ET
CBC News

The torrid pace of commodity price increases that's been a hallmark of the last four years is likely over, BMO Financial Group forecasts in its latest outlook.

Bank economists predict that their commodity price index will drop four per cent in 2007. That's a "small step back" to an astonishing bull run that has seen its basket of commodities rise by an average of 18 per cent annually since 2003.

Nickel prices are expected to remain strong in 2007, BMO Financial Group says in its latest commodities outlook.
(Canadian Press/Inco) "Looking ahead to 2007, the outlook for commodity prices is mixed," said BMO assistant chief economist Earl Sweet.

He said volatility "is likely to remain high in 2007 as hedge and other funds continue to exert a significant influence in the commodity markets."

BMO's forecast calls for crude oil to average $57 US a barrel in 2007. "Notwithstanding a sharp decline in oil prices during the first half of January, we expect market conditions to tighten during the second half of the year," said Sweet.

BMO also expects average natural gas prices to fall slightly from 2006 levels as inventories remain high, but to likely rebound in the second half of the year.

The metals and minerals index — which rose almost 50 per cent in 2006 as nickel, zinc, copper and aluminum all enjoyed substantial price increases — is forecast to remain relatively flat in 2007. BMO's forecast predicts that average prices of nickel and zinc in 2007 are likely to rise over last year, while copper and aluminum should ease.

The forest products sector is expected to have another tough year, as the smaller number of housing starts in North America cuts into lumber demand.

But agricultural prices are expected to advance further in 2007, BMO said. "The agricultural index is anticipated to advance by 3.5 per cent — extending a 10 per cent gain in 2006 — before easing in 2008 as current high prices and more normal growing conditions elicit higher output," Sweet said.

http://www.cbc.ca/money/story/2007/01/19/commodities.html

[fringe_remnant]

FNI Looks Like It's Just Getting Going

...there should be a pullback to the recent break out point, but from there it' could be a brand new year for this stock. I'll watch ir over the next couple of weeks.

Canadian commodities have had a good run. The Globe and Mail this weekend is calling for a tech sector run now, allowing FNI and its cohorts to casth their collective breath. I am not convinced... htey must not be looking at nickel prices.

fringe

[oasdihf]

Nice call: .40 to .95 in 5 months...

More FNI news:

First Nickel Intersects 34.15 Metres of 3.15% Ni and 1.73% Cu at Lockerby Depth

09:13 EST Monday, January 08, 2007

TORONTO, ONTARIO--(CCNMatthews - Jan. 8, 2007) - First Nickel Inc. (TSX:FNI) reports additional high grade nickel-copper results on the remaining fifteen holes from the first stage of a drill program on the Lockerby Depth Zone. These results in combination with the 25 drill holes announced on November 30, 2006, will form the basis of a resource/reserve estimate to be completed on the Lockerby Depth Zone to the 67 Level.

Examples selected from the drill results include FNI6412 which intersected a core length of 34.15 metres grading 3.15% Ni and 1.73% Cu including 12.00 metres grading 4.38% Ni and 1.45% Cu, and FNI6414 which intersected a core length of 32.30 metres of 3.19% Ni and 1.82% Cu including 12.90 metres grading 4.20% Ni and 1.46% Cu. Assay results for all 15 holes are summarized in the following table and the spatial distribution of drill intercepts is provided in Figure 1. All assay intervals reported are core length and do not represent true widths (defined as being measured at right angles to the direction of extension of the sulphide body).

A preliminary review of the drill results appears to indicate a significant increase in the resources to the 67 Level compared to the NI 43-101 compliant Resource Estimate reported on July 11, 2005. Drilling continues to focus on the Lockerby Depth Zone below the 67 Level. Definition drilling to the 72 Level is scheduled for completion in late February.

"Drill results from the Lockerby Depth Zone continue to demonstrate the upside potential of the Lockerby Mine and we are confident that they have added to the long term viability of the mine." states William Anderson, President and CEO of First Nickel Inc. "Exploration at the Lockerby Mine has been very successful and continues to be one of First Nickel's priorities in 2007. The potential of the Lockerby Mine when combined with our ongoing activities in the Sudbury Basin should lead to an exciting year for First Nickel."

The diamond drilling program was carried out under the supervision of First Nickel's Chief Mine Geologist, Stephen Conquer, P.Geo., a "qualified person" as defined by National Instrument 43-101. The information in this release was prepared under the direction of Paul Davis, P.Geo., Vice President of Exploration for First Nickel Inc., a "qualified person" as defined by National Instrument 43-101. First Nickel Inc. follows a rigorous QA/QC protocol on all of its exploration projects. Whole drill core is sampled and sent to a commercial laboratory, SGS Laboratories in Garson for preparation and specific gravity measurements and shipped internally by SGS to Toronto for assay. A rigorous quality assurance/quality control program is employed which includes the insertion of standards and blanks for each batch of samples. Historic analytical work completed by Falconbridge was completed by a commercial laboratory, Lakefield Laboratories.

 
 Lockerby Depth Zone: Summary of Assay Results 
  
                                         Core 
                   From         To     Length       Ni          Cu        Co 
 Hole ID            (m)        (m)        (m)      (%)         (%)       (%) 
 FNI6375         126.10     131.40       5.30     1.18        2.34      0.06 
  And            140.43     151.80      11.37     1.70        1.39      0.06 
  Incl.          147.90     151.80       3.90     3.64        1.34      0.12 
 FNI6409          88.00     109.65      21.65     3.07        2.47      0.11 
  incl.           94.15     103.15       9.00     4.35        1.71      0.15 
 FNI6410         101.30     126.42      25.12     3.79        1.83      0.13 
 FNI6411         107.00     140.00      33.00     2.44        2.52      0.09 
  incl.          119.10     135.20      16.10     3.98        1.72      0.13 
 FNI6412         115.40     149.55      34.15     3.15        1.73      0.11 
  incl.          131.90     143.90      12.00     4.38        1.45      0.15 
 FNI6413         123.35     152.00      28.65     3.47        1.32      0.12 
 FNI6414         130.55     162.85      32.30     3.19        1.82      0.11 
  incl.          140.25     153.15      12.90     4.20        1.46      0.15 
 FNI6415         150.45     167.60      17.15     3.66        2.25      0.13 
 FNI6416          48.40      57.35       8.95     1.44        0.92      0.05 
 FNI6417          73.00      73.45       0.45     0.93       11.80      0.04 
 FNI6418          89.20      91.70       2.50     1.99        0.69      0.06 
 FNI6419          66.65      73.80       7.15     4.27        1.75      0.15 
 FNI6420          81.60      91.20       9.60     3.53        2.14      0.12 
 FNI6421          97.20     101.50       4.30     2.94        1.14      0.10 
 FNI6422          96.90     113.90      17.00     2.73        1.45      0.10 
 

First Nickel is a Canadian mining and exploration company. Its current activities are primarily focused on the Sudbury Basin in northern Ontario, the location of the company's producing property (the Lockerby Mine) and four of its exploration properties. First Nickel also has two exploration properties in the Timmins region of northern Ontario. First Nickel's shares are traded on the TSX under the symbol FNI.

This news release may contain forward-looking statements, which are subject to certain risks, uncertainties and assumptions. A number of factors could cause actual results to differ materially from the results discussed in such statements, and there is no assurance that actual results will be consistent with them. Such forward-looking statements are made as at the date of this news release, and the company assumes no obligation to update or revise them, either publicly or otherwise, to reflect new events, information or circumstances.

A map of the Lockerby Depth Drill Hole Long Section, is available on CCNMatthew's website at the following address: http://www.ccnmatthews.com/docs/Lockerby-depth.pdf

FOR FURTHER INFORMATION PLEASE CONTACT:

First Nickel Inc.
William Anderson
President & CEO
[phone]
[phone] (FAX)
Email: [e-mail]

[oasdihf]

Nickel hits new record high, aluminum easier
Wed Jan 17, 2007 3:48 PM ET
By Anna Stablum and Pratima Desai

LONDON (Reuters) - Nickel hit a new record high of $35,700 a ton on Wednesday as supply jitters resurfaced, while aluminum softened despite market fears of a potential squeeze, analysts said.

Aluminum <MAL3> for three-month delivery on the London Metal Exchange eased to $2,678 a ton from Tuesday's $2,681 close, while nickel <MNI3> ended up more than 5 percent at $35,500 from $33,600.

Low stocks and supply disruptions had led many analysts to expect a surge in nickel prices this year.

Available stocks of nickel, used to make stainless steel, in LME warehouses at around 4,400 tonnes are little more than one day's consumption. They have fallen from around 37,000 tonnes at the beginning of last year.

"There's a whole lot of uncertainty in the nickel market. It's a small market, demand is healthy and there is not enough supply coming through," said Michael Widmer, analyst at Calyon.

"I would expect stainless steel production to come off a little bit, we are still probably looking at 7.5 percent production growth in 2007."

The latest supply threat came from Xstrata <XTA.L>. Wage talks between the London-listed miner and the union representing workers at its big nickel operations in Sudbury, Ontario, have stalled, according to the union.

The current contract expires on January 31.

Other examples of supply delays include London-listed miner BHP Billiton <BHP.AX> <BLT.L>, which last November said production at its Ravensthorpe nickel mine in Australia would be delayed until the first quarter of 2008.

Earlier in January, the Indonesia unit of Canadian nickel producer Inco Ltd. <N.TO> said it had cut weekly output by around 130 tonnes (300,000 pounds) as dry weather had caused low reservoir levels at its hydro-electric power plant.

PLAYS OUT

The aluminum market has been supported by a large position holding some 90 percent of available material. Traders for most of the day have been looking for clues to the extent of the potential squeeze.

"At the moment we are still waiting to see how this plays out ... the interesting thing is to see where the nearby spreads are trading," John Kemp, analyst at Sempra Metals, said.

The LME's compliance team had observed the session and concluded that trading was orderly.

The potential squeeze had caused the nearby spreads or backwardation -- the premium of cash metal over the three-months price -- to hit $120 on Monday, up from $30 at the start of 2006 and the highest since 1990. <ID:nL16610192>

On Wednesday the backwardation eased to around $95/105.

LME aluminum stocks rose on Tuesday to 701,400 tonnes and on Wednesday they were up by 12,625 tonnes to 714,025.

Analysts had been expecting around 50,000 tonnes or more, so the very small inflow of stocks into LME warehouses suggested that positions had been rolled forward.

Workers at Guinea's CBG bauxite company halted output of its main mineral export in support of a general strike.

The country is the world's biggest shipper of the ore from which aluminum is extracted.<ID:nL17764951>

Copper <MCU3> slipped as stocks in London Metal Exchange warehouses rose 2,225 tonnes to 199,125 from little more than 25,000 tonnes in July 2005.

LME copper for three-month delivery ended at $5,650 a ton, down from Tuesday's $5,715 close.

Copper has lost about 10 percent so far this year and more than 30 percent since hitting a record high of $8,800 a ton last May on worries about economic slowdown in the United States, falling demand and rising stocks.

At the New York Mercantile Exchange's COMEX division, copper for March delivery <HGH7> ended 0.80 cent easier at $2.5695 a lb, after dealing in a tight range between $2.5205 and $2.5770.

James Quinn, commodity commentator with A.G. Edwards, believed $2.50 (basis March copper) would be a key pivot-point for the market.

Zinc <MZN3> ended at $3,615 versus $3,720 on Tuesday, lead <MPB3> lost $25.5 to $1,559.5 and tin <MSN3> added $325 to

$10,950.

(Additional reporting by Chris Kelly in New York)

http://today.reuters.com/news/articleinvesting.aspx?type=hotStocksNews&storyID=2007-01-17T204823...

[oasdihf]

Nickel Advances in London on Falling Stockpiles, Supply Delays
By Brett Foley and Chanyaporn Chanjaroen

Jan. 15 (Bloomberg) -- Nickel rose on the London Metal Exchange on speculation dwindling stockpiles and supply disruptions will create a shortage of the metal.

Inventories tracked by the LME fell by 240 tons to 5,676 tons, the exchange said in a daily report today. LME-monitored stockpiles have slid 82 percent in the past 12 months while delays to nickel projects proposed by BHP Billiton Ltd. and Cia. Vale do Rio Doce, the world's largest and second-largest mining companies respectively, have exacerbated shortages.

``Those supply concerns will remain this year and into 2008,'' said Roy Carson, a London-based analyst at Triland Metals Ltd., one of 11 companies authorized to trade on the LME floor. ``How much that continues to affect the price will depend on demand.''

Nickel for delivery in three months climbed $755, or 2.3 percent, to $33,200 a metric ton as of 5:38 p.m. in London. The metal dropped 3.2 percent on Jan. 12. Nickel, which is used in stainless steel, more than doubled last year and traded at a record $34,950 on Dec. 15.

BHP said on Nov. 30 that its Ravensthorpe nickel project in Australia will be delayed by as much as a year as costs increased 64 percent. Vale was ordered by a French court on Nov. 24 to stop construction at its $2.15 billion Goro mine on the Pacific island of New Caledonia until it receives administrative licenses. Vale acquired Goro when it gained control of Canada's Inco Ltd. last year.

Further exacerbating supply concerns, Eramet SA, operator of the world's largest ferronickel plant, said on Jan. 11 that it reduced sales to customers and used inventories to cope with a three-month-old strike that has cut production by almost a third. The protest on the French-controlled Pacific island of New Caledonia has reduced the company's production by 50 metric tons a day, or 27 percent of its 185-ton daily rate, since Sept. 25.

Nickel Demand

Deutsche Bank AG, Europe's biggest securities firm, raised its 2007 price forecasts for nickel by 62 percent to $14.28 a pound, and its 2008 forecast by 110 percent to $14.06. Spot prices averaged $10.96 a pound in London last year. The bank also increased its 2007 zinc forecast by 6.7 percent to $1.67 a pound.

Rising demand from Chinese stainless-steel makers and delays to the nickel projects means there will be a nickel deficit until 2009, the bank said in a Jan. 12 report.

Stainless-steel output rose 14 percent last year to 27.8 million tons, industry consultant MEPS (International) Ltd. said on Dec. 21.

``Demand seems to be holding up at the moment,'' Triland's Carson said.

Aluminum Shortage

Aluminum was unchanged at $2,695 a ton on the LME, while and zinc increased $12 to $3,782.

LME data show a shortage of aluminum, the most-traded metal on the exchange, as cash prices were $110 more than the three-month price today, the biggest premium since August 1997.

A group of investors hold long positions, or bets that prices will rise, exceeding 40 percent of total open interest for the contracts to expire this month, LME data as of Jan. 11 show. Open interest means the total of bets on price direction.

There were two short positions, or investors who previously sold the futures on expectation of buying them back at lower prices, of up to 19 percent each of total open interest. These short holders need to buy the futures to cover the positions this month, boosting prices of metal for immediate delivery.

Copper Outlook

Copper fell for a second day on concern rising stockpiles and slowing demand will lead to a glut of the metal. LME-tracked inventories gained for a fourth day, rising 2,600 tons, or 1.3 percent, to 199,450 tons. Stockpiles have gained 9.1 percent this year to the highest since March 2004.

Copper for delivery in three months fell $115, or 2 percent, to $5,635 a ton on the LME. It's declined 11 percent this year.

``There's been a big increase in copper stockpiles to close to the psychological 200,000 ton barrier,'' said Robin Bhar, an analyst at UBS AG in London.

China may purchase more copper this month and in February as wiremakers stock up to ensure output isn't disrupted during the week-long Lunar New Year holiday that begins next month, Beijing Antaike Information Development Co. said in a Jan. 5 report. Demand in China will expand 5.6 percent this year, matching growth in 2006, the report said.

``The short-term key to the direction of the copper price is entry of those Chinese buyers,'' Bhar said.

To contact the reporter on this story: Brett Foley in London at [e-mail] ; Chanyaporn Chanjaroen in London at [e-mail] .

Last Updated: January 15, 2007 12:51 EST

http://www.bloomberg.com/apps/news?pid=20601012&sid=aGW303qphJ3A&refer=commodities#

[oasdihf]

Monster Copper Corporation: Geochemical and Geophysical Surveys Outline Significant Laterite Nickel Target at Carapana, Brazil
Thursday January 11, 1:00 pm ET

RICHMOND HILL, ONTARIO--(CCNMatthews - Jan. 11, 2007) - Monster Copper Corporation (TSX VENTURE:MNS - News) is pleased to announce plans to drill test a nickel laterite target on the Carapana property, which is located in the Carajas Mineral Province of northern Brazil. The property forms part of an option with Xstrata Copper, which includes ongoing IOCG copper-gold exploration by Monster Copper.

The Carajas Mineral Province currently hosts three nickel laterite deposits, namely Onca-Puma, Jacare and Vermelho. Monster Copper's Carapana target is 50 km from the Onca Puma deposit and within the same belt of rocks, called the Catete Suite, a Paleoproterozoic sequence of mafic to ultramafic intrusive rocks. The Onca Puma deposit is reported as containing 110 Mt grading 1.72% Ni in saprolitic ore and 314 Mt grading 0.75% Ni in limonitic ore, and according to CVRD, is scheduled to commence production in 2008 ((i)source www.cvrd.com.br). The Jacare deposit has a reported resource of 430 Mt grading 1.33% Ni and is also within the Catete Suite ((i)source www.angloamerican.co.uk). The Niquel do Vermelho deposit contains 290 Mt of proven and probable limonitic ore at 0.8% Ni, with minor cobalt and copper ((i)source www.cvrd.com.br).

The target on the Carapana property consists of an eight square-kilometre area situated on a laterite plateau, interpreted to be underlain by mafic to ultramafic rocks of the Catete Suite. The target is characterized by a high magnetic signature coincident with low radiometric signature derived from data collected in an airborne survey completed by Monster Copper in 2004. In addition, soil geochemical data over the target reveals highly anomalous nickel (200-1815 ppm in a background of under 50 ppm), cobalt (100-477 ppm in a background of under 20 ppm) and chromium values (500-4540 ppm in a background of under 250 ppm). These geophysical and geochemical features are characteristic of nickel-bearing ultramafic rocks in the Carajas. An initial program of 15 to 20 diamond drill holes totalling 400 metres is planned to test the nickel target.

Monster Copper is pleased to be initiating exploration for another high value mineral deposit style in an area of demonstrated endowment. Continued partnership with Xstrata brings a high level of expertise to the project, with Xstrata having made a significant nickel laterite discovery south of the Carajas District.

Dr. Tom Setterfield, P.Geo., is the qualified person according to National Instrument 43-101 and is responsible for the technical information in this news release.

About Monster Copper Corporation

Monster Copper (www.monstercopper.com) is dedicated to the discovery of world-class IOCG copper-gold-uranium deposits with an experienced IOCG exploration team. In addition to the Brazilian property portfolio, Monster Copper is exploring its wholly-owned Aillik east property for uranium and has an agreement with Santoy Resources Ltd. (TSX VENTURE:SAN - News) also exploring for uranium on the Mustang Lake and Bruce River properties, in the Central Mineral Belt of Labrador.

MONSTER COPPER CORPORATION

Michael J. Downes, President, C.E.O. and Director

((i)The reserve figures quoted in this news release are sourced from CVRD and Anglo American. It is not known to what extent these figures conform to the requirements of National Instrument 43-101,and therefore they should not be relied upon. However, Monster Copper believes these figures provide a conceptual indication of the nickel laterite deposits in Carajas Mineral Province and are therefore relevant to a description of the targets being explored by Monster Copper.)

This news release may contain "forward-looking statements". These statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those included in the forward-looking statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

[Ed Monton]

BL

[Ed Monton]

Bell Resources, Callinan plan drilling at Fox River


2007-01-10 10:16 ET - News Release

Mr. Glen Zinn reports

AIRBORNE SURVEY REVEALS ADDITIONAL ANOMALIES FOR UPCOMING DRILLING AT FOX RIVER

Bell Resources Corp.'s continuing airborne versatile time domain electromagnetic (VTEM) survey being performed by Geotech Airborne Services at the Fox River project near Gillam in Northern Manitoba has identified four additional geophysical anomalies in the area of inferred faulting where the highly conductive, 1,000-metre-by-600-metre 07-5 anomaly was previously discovered. The Fox River property is held in a joint venture with Callinan Mines Ltd., with Callinan as the operator for the project.

Callinan president Mike Muzylowski explains: "Several of these highly conductive anomalies are coincident with broad magnetic highs, which could represent ultramafic intrusions into faults in the earth's crust. This is extremely relevant to us, because our Fox River joint venture lands cover the projected structural extension of the Thompson nickel belt.

"We are pleased that the VTEM surveys are detailing previously undetected conductors along this area of structural breaks and faulting. These results further support our geological model, which indicates that this area could host massive sulphide mineralization."

Preparation for the 20-hole phase I drill program at Fox River continues with field crews making significant headway in the preparation of the camp and the drill pads at the anomaly sites. Drilling is targeted to commence by the end of January.

The Fox River exploration program is under the supervision of Pat DeVeaux, PGeol, Callinan's chief geological consultant and a qualified person as defined by National Instrument 43-101.

The aerial survey is being conducted by Geotech Airborne Services of Aurora, Ont., using its award-winning VTEM system. The survey encompasses roughly 6,000 line kilometres of flight path over 167,000 hectares (413,000 acres) of the Callinan-Bell Fox River project lands. To date, Geotech has completed approximately 80 per cent of the survey.

Fox River joint venture project

The Bell/Callinan joint venture has earned a combined 60-per-cent interest in the Fox River project and has the right to earn a combined 70-per-cent interest. The consensus among geological professionals is that the Fox River area represents the best probability for a new discovery of a world-class base metal orebody in Canada. The Fox River belt is widely believed to be a potential host of an extension to the Thompson nickel belt. The project encompasses over 167,000 hectares and contains multiple high-priority nickel-platinum-group-element targets.

[oasdihf]

Nickel up almost 9% today

[johnlw]

Grandich gives FCO some exposure on ROBtv today

11:30 AM ET
Commodities Report
Gold

Peter Marrone, president and CEO, Yamana Gold

Peter Grandich, editor and publisher, The Grandich Letter

[oasdihf]

Starfire to drill 10,000 metres at Langmuir

2007-01-03 12:39 ET - News Release

Mr. Dan Mosher reports

STARFIRE TO CONTINUE DRILLING ON LANGMUIR TO ESTABLISH PRELIMINARY RESOURCE ESTIMATE

Starfire Minerals Inc. is continuing its drilling program on its 100-per-cent-owned Langmuir property near Timmins, Ont. The company recently intersected a high-grade nickel mineralization, as result of its most recent drilling program completed during December, 2006. For further details, please refer to the company's Stockwatch news release of Jan. 2, 2007.

The South zone on the Langmuir property was discovered in the late 1970s by the Inco-Noranda joint venture that operated the Langmuir No. 2 deposit. In 1989, Timmins Nickel Ltd. drilled four holes into the South zone, confirming the downplunge and strike extension of the deposit.

Starfire will be continuing line cutting and boundary surveying, downhole geophysical surveys, and an additional 10,000 metres of sectional diamond drilling. This work will lead into a resource estimate for the zone. This program will commence in late January, 2007, and continue throughout the year. The preliminary budget for this program is $750,000.

Starfire's qualified person as that term is defined in National Instrument 43-101 and project geologist for this property is Gerald Harron, PEng, of Toronto, Ont.

[oasdihf]

Nickel holding solid in this commodity weakness:

[oasdihf]

Indonesia's Inco cuts weekly nickel output by 130 T
Tue Jan 2, 2007 9:17 AM EST

JAKARTA (Reuters) - The Indonesia unit of Canadian nickel producer Inco Ltd said it had cut weekly output by around 130 tonnes (300,000 pounds) as dry weather had caused low reservoir levels at its hydro-electric power plant.

"Production cuts came three to four days earlier than we had predicted ... Rainfall is not sufficient to increase water level(s)," Rajeshnagara Sutedja, Inco's spokesman, told Reuters.

PT International Nickel Indonesia Tbk produces between 1,400 and 1,500 tonnes of nickel-in-matte each week.

The company said in mid-December that it might have to cut nickel matte production from December 20 due to low reservoir levels.

"We won't be able to meet original output target. But we have stockpile of unprocessed nickel ore, which will be used to narrow the gap in output," Sutedja said.

PT Inco, which is owned by Brazil's Companhia Vale do Rio Doce through Canada's Inco Ltd, had initially set a production target for 2006 of about 71,000 tonnes of nickel-in-matte.

The company said it was not possible to estimate the likely impact of the unusually dry weather on 2007 production.

Nickel-in-matte is an intermediate smelter product that must be further refined to make pure metal.

London Metal Exchange three-months nickel hit a new high of $34,950 per ton on December 15, and was quoted around $33,350 on Tuesday.

(Reporting by Fitri Wulandari, editing by Bernard Halloran; Reuters Messaging:[e-mail];Tel [phone])

http://ca.today.reuters.com/news/newsArticle.aspx?type=domesticNews&storyID=2007-01-02T141701Z_0...

[oasdihf]

Guess this is good - up over 85% today on this NR:

Starfire intersects 9.21% Nickel over 1.27 meters and 4.48% Nickel over 5.55 metres on Langmuir Township property
Tuesday January 2, 11:49 am ET


VANCOUVER, Jan. 2 /CNW/ - Starfire Minerals Inc. is pleased to announce the intersection of high grade nickel mineralization on the Company's 100% owned Langmuir Nickel project near Timmins, Ontario. The Company has completed drilling an additional three holes to test South Zone mineralization, during December 2006.
The South Zone was discovered in the late 1970's by the INCO-Noranda joint venture that operated the Langmuir No. 2 deposit. In 1989, Timmins Nickel Ltd. drilled 4 holes into the South Zone confirming the down plunge and strike extension of the deposit.

The first two diamond drill holes from December 2006 (EL-06-01&02) were drilled to test a down-hole anomaly located by Timmins Nickel in 1990, approximately 150 metres west of any previously located mineralization. The komatiite-dacite contact was weakly mineralized in both holes with the best result in hole No. 2 grading 0.31% Ni over a core length of 1.5 metres.

The third hole (EL-06-03) was a 30 metre step-out west from Timmins Nickel hole L-89-01 that intersected 4.88% Ni over a core length of 1.85 metres. The L-89-01 information is prior to implementation of NI 43-101 standards. Any historical information provided is for reference only and the reader should not infer or assert that the information is correct, reliable, relevant or accurate and should not be relied upon.

Hole (El-06-03) intersected massive, net textured and disseminated pentlandite and millerite from 424.35 m to 429.90m. The entire section averaged 4.48% Nickel, 0.37% Copper and 0.044% Cobalt over a core length of 5.55 metres. True width of the intersection is estimated at 60-65% of the core length.

 
 	    A breakdown of the intersection is as follows: 
  
 	    << 
 	    ------------------------------------------------------------------------- 
 	    From (m)      To (m)     Length (m)    % Nickel    % Copper     % Cobalt 
 	    ------------------------------------------------------------------------- 
 	     424.35       425.62        1.27         9.21         0.68        0.137 
 	    ------------------------------------------------------------------------- 
 	     425.62       426.24        0.62         3.66        0.105        0.024 
 	    ------------------------------------------------------------------------- 
 	     426.24       427.30        1.06         3.38        0.029        0.014 
 	    ------------------------------------------------------------------------- 
 	     427.30       428.00        0.70         0.79        0.022        0.004 
 	    ------------------------------------------------------------------------- 
 	     428.00       428.90        0.90         0.97        0.170        0.005 
 	    ------------------------------------------------------------------------- 
 	     428.90       429.90        1.00         5.90        0.920        0.032 
 	    ------------------------------------------------------------------------- 
 	    >> 
 

Assays were performed on split BQ-size core by Swastika Labs of Swastika, Ontario. The analytical method is aqua regia digestion with atomic absorption spectrometric determination. Assays for Platinum Group Elements are still pending.
This intersection was located at a vertical depth of 390 metres at the komatiite-dacite contact.

Drilling will continue in early 2007 to test the strike length and up-dip expression of the deposit. Additional fieldwork will include down-hole geophysical surveys and additional grid cutting and survey work.

Starfire's Qualified Person as that term is defined in National Instrument 43-101 and project geologist for this property is Mr. Gerald Harron, P. Eng. of Toronto, Ontario.

[johnlw]

FNX to pay Xstrata $12-million for Craig-Levack drift

2006-12-21 13:31 ET - News Release

Mr. Terry MacGibbon reports

FNX INITIATES ACCESS TO LEVACK FOOTWALL FROM CRAIG MINE

FNX Mining Company Inc. has reached an underground development and advanced exploration agreement with Xstrata Nickel whereby Xstrata Nickel will drive an exploration drift from its Craig mine into FNX's adjoining Levack footwall deposit at the Levack mine property. The development work, totalling 805 metres of 5.0-metre by 5.4-metre drifting from the 4025 level of the Craig mine, consists of a 510-metre access drift to the middle portion of the Levack footwall deposit, 125 metres of crosscut drift to establish diamond drill stations to facilitate detailed drilling of the Levack footwall deposit, and an additional 170 metres of development within the mineralization. This work will also allow geological mapping and sampling of the footwall mineralization and the extraction of a bulk sample for metallurgical testing. Both companies have agreed to discuss driving a similar but shorter (300 m) drift from the Craig mine 30-1 level into the upper portions of the Levack footwall deposit.

The underground program will commence immediately and will continue to the end of 2007 with exposure into the Levack footwall deposit expected by August of 2007. Total cost, including a significant budget for detailed drilling, will be approximately $12-million. Xstrata Nickel will carry out the development work on behalf of FNX and will be reimbursed for all associated costs.

The drilling and downhole geophysical results to date indicate that a continuous polymetallic mineralized system exists from the top of Rob's footwall deposit down to at least the bottom of the lower Levack footwall deposit, a vertical distance of approximately 1,600 feet (2,300 feet along plunge). This mineralized system hosts the Levack high-grade Cu-Ni-Pt-Pd-Au footwall veins and is open in all directions. To date, 59 boreholes have been drilled into the Levack footwall deposit with each borehole containing an average of 9.8 veins that average 2.7 feet in width. The average total width of mineralization per borehole is 26.5 feet grading an average of 12.4 per cent Cu, 1.9 per cent Ni and 11.6 grams per tonne of TPM (Pt+Pd+Au). Forty-one of these boreholes contained an average of 2.7 massive sulphide veins that averaged 4.9 feet in width. The average total width of these massive sulphide veins per borehole was 13.1 feet grading an average of 26.7 per cent Cu, 3.5 per cent Ni and 23.2 grams per tonne TPM. The planned advanced exploration program will help define the deposit and the continuity between the high-grade veins.

Accessing the Levack footwall deposit quickly from underground has been a priority for FNX since the deposit was discovered in February, 2005. The adjoining Craig mine underground infrastructure has already provided excellent drill access from which to drill test the Levack footwall deposit and will now provide a unique opportunity to quickly access the deposit and conduct a planned advanced underground exploration program.

In addition, the company has approved a development and advanced exploration program to be conducted by FNX from its Levack mine 2650 level. The planning and final engineering are expected to be completed by the end of the year with underground work starting early in the new year.

The Craig mine and Levack mine advanced exploration programs will significantly accelerate the delineation and economic evaluation of the Levack footwall deposit and, subject to favourable results, enable it to be put into production as quickly as possible. Although ultimate production plans for the Levack footwall deposit calls for production development and ore extraction through the company's Levack mine infrastructure, underground access from the Craig mine could greatly enhance the production timetable.

[oasdihf]

Formation Capital's Final Feasibility on Cobalt Project Nearing Completion
Thursday December 21, 8:30 am ET

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 21, 2006) - Formation Capital Corporation (Formation) (TSX:FCO - News) is pleased to provide its shareholders and interested parties an update on the progress of its final feasibility study on its 100% owned Idaho Cobalt Project.

In early December, 2006, Formation met with its feasibility study consultants in the Samuel Engineering, Inc. offices located in Denver, Colorado. The purpose of the meeting was to review the recently completed hydrometallurgical test work and process design of the hydrometallurgical facility located in northern Idaho, slated to process the Idaho Cobalt Project concentrate upon commencement of production. Final review of the feasibility study consultants' design packages for mine design, geotechnical design, mine backfill system, and waste water treatment was conducted as well as review of Samuel Engineering's progress to date on the concentrator and ancillary services design.

Samuel Engineering's review of previous specialty consultants' work packages for environmental, geotechnical, mine design, mine backfill, waste water treatment, and tailings and waste storage found them to be progressing in a direction suitable for incorporation in the overall Feasibility Study without the need to commission additional studies. A value engineering analysis of the site and concentrator design and layout has resulted in a reduction of the overall footprint and reduction in the number of buildings required. The result is a more compact and cost efficient arrangement.

Review of the recently revised mine production plan and the potential for extended production from high grade zones (open to the north, south and at depth) has resulted in the scale-up of refinery design production rates to 3.4 million pounds of cobalt and 5.0 million pounds of copper per annum.

In addition, review of recently completed hydrometallurgical test work conducted at Mintek in South Africa under the direction of Grenvil Dunn of Hydromet (Pty), Ltd. and Formation with input from Samuel Engineering's process engineers, has resulted in a simplified process scheme for the refinery that is more efficient, easier to operate and less costly. Preparation of the detailed project schedule is currently underway. The Company expects the final feasibility study to be completed by the end of the first quarter of 2007.

The Idaho Cobalt Project is a unique high-grade, primary cobalt deposit that is metallurgically favorable for the production of high purity cobalt metal. The U.S.A. is one of the largest world consumers of this environmental and strategic metal but currently has no primary cobalt production and is dependent on imported sources.

Formation Capital Corporation is dedicated to the principles of environmentally sound mining and refining practices, and believes that environmental stewardship and mining can co-exist. The Company trades on the Toronto Stock Exchange under the symbol FCO.

Formation Capital Corporation

Mari-Ann Green, C.E.O.

The statements contained in this news release in regard to Formation Capital Corporation that are not purely historical are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including Formation Capital Corporation's beliefs, expectations, hopes or intentions regarding the future. All forward-looking statements are made as of the date hereof and are based on information available to the parties as of such date. It is important to note that actual outcome and the actual results could differ from those in such forward-looking statements. Factors that could cause actual results to differ materially include risks and uncertainties such as technological, legislative, corporate, commodity price and marketplace changes.

[oasdihf]

Quite amazing what PNP financing can do to share price:

[oasdihf]

Pinetree Capital Ltd. Acquires Common Shares of Independent Nickel Corp.
Thursday December 21, 9:11 am ET

TORONTO, ONTARIO--(CCNMatthews - Dec. 21, 2006) - Pinetree Capital Ltd. (TSX:PNP - News), announces that on December 18, 2006 it acquired ownership of 1,500,000 common shares ("Common Shares") of Independent Nickel Corp. ("Independent Nickel"), which represents approximately 4.7% of the total issued and outstanding common shares of Independent Nickel as of December 18, 2006. Pinetree now holds 3,750,000 common shares in Independent Nickel, which holdings represent approximately 11.8% of Independent Nickel's shares outstanding as of December 18, 2006.

These transactions were made for investment purposes and Pinetree and each of its joint actors could increase or decrease their respective investments in Independent Nickel depending on market conditions or any other relevant factor.

About Pinetree

Pinetree Capital Ltd. ("Pinetree" or the "Company"), which is publicly traded on the Toronto Stock Exchange ("TSX") under the symbol "PNP", is a diversified investment, financial advisory and merchant banking firm focused on the small cap market. Pinetree's investments are primarily in the resources sector: Oil & Gas, Uranium, Precious Metals and Base Metals.

Pinetree's investment approach is to build a macro position in a sector, find the micro-cap opportunities in that sector and work with those companies to build them to commercial production and create an exit.

For more details about Pinetree and its investments, please visit our website at www.pinetreecapital.com.

This news release contains forward-looking statements within the meaning of the "safe harbour" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties and other factors that may cause Pinetree's results to differ materially from expectations. These include risks relating to market fluctuations, investee performance and other risks. These forward-looking statements speak only as of the date hereof. Pinetree disclaims any intent or obligation to update these forward-looking statements.

[johnlw]

FNX Mining reopens Levack mine

2006-12-14 08:10 ET - News Release

Mr. Terry MacGibbon reports

FNX REOPENS LEVACK MINE

FNX Mining Company Inc. has reopened its 100-per-cent-owned Levack mine located in the Sudbury basin mining district, Ontario, Canada. The Levack mine, which is contiguous and joined underground to the company's operating McCreedy West mine (collectively called the Levack mine complex), has undergone an extensive two-year surface and shaft rehabilitation and mine development program designed to put the mine back into commercial production. An additional $58-million of capital and mine exploration is planned in 2007 to complete the surface facilities, purchase mine production equipment, develop additional deposits in the mine, convert resources into reserves, and to discover new nickel contact and copper-precious metal footwall deposits.

The first Levack mine ore to be produced since the mine was closed in 1999 was recently brought to surface for crushing, sampling and shipping to the CVRD-Inco's Clarabelle mill. The mine start-up was successful and a total of about 8,000 tons of preproduction ore is expected to be produced from the Levack mine during the rest of December.

Commercial production is expected to commence from the Levack No. 7 deposit in January, 2007. Additional Levack deposits plus remnants and extension of previously mined deposits are expected to be put into commercial production during the year. By midyear, production is expected to reach about 1,500 tons of ore per day with 2007 production planned at 265,000 tons of ore with a diluted mine grade of 1.6 per cent nickel and 0.65 per cent copper and 0.05 per cent cobalt. The annual production forecast for 2008 and beyond is about 470,000 tons per year. FNX Mining published in its 2005 annual report and on SEDAR National Instrument 43-101 measured and indicated mineral resources totalling 4.94 million tons with an undiluted grade of 2.03 per cent Ni and 1.00 per cent Cu, and the inferred mineral resources total 730,000 tons with an undiluted grade of 1.91 per cent Ni and 0.88 per cent Cu.

Ore from the Levack mine will be hoisted to surface through the rehabilitated Levack No. 2 shaft and initially trucked to the McCreedy West surface facilities, crushed, sampled, weighed and shipped to the Clarabelle mill for processing. The Levack surface crushing and sampling facilities are currently being installed and are expected to be operational by mid-2007, at which time, the Levack nickel ore will be crushed, sampled and shipped from the Levack mine site. The possibility of tramming the McCreedy West nickel ore across the 1,600 level later in 2007 and hoisting it to surface through the Levack No. 2 shaft is currently being designed and engineered and, if implemented, will increase the 2007 production forecast. The Levack mine complex cash operating costs, when in full production, are expected to be similar to those at the McCreedy West mine. The Levack ore will be treated at the Clarabelle mill under an offtake agreement with CVRD-Inco similar to the one in place at the McCreedy West mine.

Terry MacGibbon, chief executive officer and president of FNX Mining, stated: "We are delighted to put the Levack mine back into production. It has been a great Sudbury basin producer for over 62 years and we expect it will be a significant producer for FNX Mining for many years to come. It was closed during a period of record low nickel prices and it is appropriate that it is being reopened during the current historic high commodity prices. Levack has been an integral part of FNX's growth strategy and is the third of the four ore deposits we will put into production in the Sudbury basin over a five-year period. In addition, it has excellent potential for the discovery of new nickel contact and copper-precious metal footwall deposits. The established Levack surface and underground infrastructure will, if warranted, allow the Levack Footwall deposit to be put into production quickly and with lower capital cost."

The Levack mine has been one of Canada's great mines. It was discovered in 1887 and first mined by the Mond Nickel Company in 1914 through the No. 1 shaft. Mining continued until 1929, when the surface plant was destroyed by fire. That same year, Inco Limited purchased the property but did not resume mining until 1937 when the No. 2 shaft was collared. The Levack mine operated continuously from 1937 to 1999, when it and the adjacent McCreedy West mines were closed due to record low nickel prices (less than $2.00 (U.S.) per pound of Ni). Total production at the Levack mine was 60.2 million tons of ore grading 2.0 per cent Ni and 1.3 per cent Cu. At current commodity prices (Dec. 8, 2006) the gross value of the historic production from the Levack mine exceeds $45-billion.

We seek Safe Harbor.

[Arctec]

December 14, 2006 Trading Symbol: TSX.V-HNC



Hard Creek Nickel Corporation

Radio Interview on December 16, 2006

(VANCOUVER) – Mark Jarvis, President and CEO of Hard Creek Nickel Corporation will be featured in a nine minute interview on Market Matters which broadcasts across Canada on the Corus Radio Network, Saturday, December 16th, 2006 at 11 a.m. (Pacific Time).

Stations which will carry the interview are:

Vancouver – CKNW 980AM                       Toronto – CFMJ 640AM 
  
 Montreal – CINW 940AM                             Calgary – CHQR 770AM 
  
 Edmonton – CHED 630AM                         Winnipeg – CJOB 680AM 
  
 Hamilton – CHML 900AM                            Victoria – CFAX 1070AM 
  
 London – CFPL 980AM                               Saskatoon – CKOM 650AM 
  
 Regina – CJME 980AM                               Kitchener – CKGL 570AM 
  
 Kamloops – CHNL 610AM                          Kelowna – CKOV 630AM

You can also listen live via the internet at www.cknw.com

[oasdihf]

Nickel Rises to 19-Year High as Supply Is Disrupted
By Chanyaporn Chanjaroen

Dec. 14 (Bloomberg) -- Nickel rose to its highest price since at least 1987 in London on speculation that disruptions at mines and smelters will keep production lagging behind demand through 2007.

Cia. Vale do Rio Doce, which acquired Canadian nickel producer Inco Ltd. this year, said today that its Indonesian unit may miss an output target for 2006 because of reduced power supply. French nickel miner Eramet SA has lost production since September because of a strike by miners. Prices have more than doubled in the past year.

``Gains are supply driven,'' Catherine Virga, a New York- based analyst at CPM Group, said in a telephone interview. ``The market will be in a deficit next year, extending to 2008.''

Nickel for delivery in three months gained $1,500, or 4.5 percent, to $34,750 a metric ton on the London Metal Exchange. Earlier, the metal used in stainless steel rose to $34,875 a ton, topping the previous 19-year high set on Dec. 5 by $374.

PT International Nickel Indonesia, the country's largest nickel producer, may miss this year's output target of 71,000 tons as lower-than-average rainfall since October reduced electricity at the company's hydroelectric power generator, the company said today in an e-mailed statement. BHP Billiton Ltd., the world's largest mining company, said Dec. 11 there will be a combined production shortfall this year and next of 57,000 tons.

``Supply-wise we haven't seen any significant increase,'' Mo Ahmadzadeh, president of Mitsui Bussan Commodities Ltd. in New York, said today by phone.

Aluminum Rises

Aluminum rose to the highest in more than six months as stockpiles of the metal used in beverage cans and cars dwindled, spurring speculation that supplies are tightening.

Inventory of the metal tracked by the LME has dropped 13 percent since the end of June, according to exchange data. The production deficit widened to 328,000 tons in the 10 months to October, from 167,000 tons in the first nine months of the year, the Ware, England-based World Bureau of Metals Statistics said yesterday.

``There's not much of the metal around at the moment,'' said Adam Rowley, a London-based analyst at Macquarie Bank Ltd., Australia's largest securities firm. Prices may rise to $3,000 a ton in the next few months, Rowley said.

Aluminum for delivery in three months gained $64, or 2.3 percent, to $2,864 a ton on the LME, after earlier reaching $2,875, the highest since May 23.

Prices of aluminum, the most-traded metal on the LME, have gained 25 percent this year, lagging behind copper, zinc and nickel, as output grew in China, the world's largest producer.

Production in the U.S., the second-biggest source of aluminum, dropped 7.9 percent last month after the closing of a smelter in Maryland owned by Alcoa Inc., according to the Arlington, Virginia-based Aluminum Association.

http://www.bloomberg.com/apps/news?pid=20601012&sid=adgdtfMAOitc&refer=commodities#

[johnlw]

Xstrata Nickel on asset hunt
Parent company urges unit to grow through expansion, new acquisitions

ANDY HOFFMAN

From Thursday's Globe and Mail

The head of Xstrata Nickel relishes the new directive coming from corporate head office in London.

Acquisitions, expanding operations and developing the business are all on the agenda for the company that houses the former nickel assets of Falconbridge Inc.

Getting bigger is a lot more fun than getting smaller, said Ian Pearce, who was named chief executive officer by parent company Xstrata PLC in August.

"The key driver that we picked up from Xstrata is growth. That's a very nice mandate. They want us to grow the business," he said in his first interview since taking on the top job.

Currently the world's fourth-largest miner of the metal used to make stainless steel, producing about 110,000 tonnes a year, the nickel division has already formed a team to seek out possible targets.

Mr. Pearce, a 49-year-old native of South Africa, said Toronto-based Xstrata Nickel will consider any nickel asset up for grabs, whether in early stage development, near production or a full-fledged producer.

The litmus test for any purchase will be an ability to add value and find worth where others have not. That is another lesson learned from the parent company, which has expressed a willingness to bankroll the nickel division's appetite to enlarge.

"The big thing about Xstrata is their ability to fund. That's the central part of what Xstrata does for us. If we are able to show a business case for an acquisition, a growth strategy or even for an initiative to improve the operations to make them more effective, they will support us in that," Mr. Pearce said.

The tenor of the three years Mr. Pearce spent at Falconbridge before Xstrata's $18-billion takeover was radically different.

The Canadian company was mired in efforts to sell itself, distracting senior management and capping expansion efforts.

Now Xstrata Nickel has hopes of boosting total annual production by almost 100 per cent by 2012 to 221,000 tonnes. Growth will come from expansion at Raglan in Quebec's far north, increased efficiencies at the company's Falcondo plant in the Dominican Republic and production from its Nickel Rim project in Sudbury -- the cornerstone area of the company's operations.

Mr. Pearce said he wants to quickly secure a joint venture or co-operation agreement with Brazil's Companhia Vale do Rio Doce (CVRD) to share operations and save costs in the Northern Ontario city where many of the two companies operations sit side by side. CVRD recently took over long-time Falconbridge rival Inco Ltd.

"When you look at the value, it's got to be done sooner rather than later. There's some low-hanging fruit and we should take advantage of it," he said.

Both companies hope to lower transportation costs by processing each other's ore at facilities closer to their mines.

Xstrata used a synergy figure of $80-million (U.S.) related to a Sudbury joint venture when modelling the Falconbridge takeover, but Inco's number was much higher.

Yesterday, CVRD chief executive officer Roger Agnelli said early stage talks between the two sides have already begun and that savings in the mid- to long term could be as much as $200-million.

"We do have a very good relationship with Xstrata," he told reporters at a press conference in Brazil.

Analysts say a joint venture or co-operation agreement must be negotiated because of the high acquisition costs incurred by both sides.

"Putting Sudbury together and generating synergies is far and away the best way to create value in that company and it would cost next to nothing to do," said Victor Lazarovici of BMO Nesbitt Burns in New York.

However, the analyst warned that striking a deal involving workers and their rival unions won't be easy.

"It's going to be complicated and the devil can be in the details, but it's such an obvious thing it has to get done," he said.

The two companies are already swapping a small amount of product and Mr. Pearce has begun talking with Mark Cutifani, the head of CVRD's Sudbury operations. He admits there will be long-standing issues to be overcome if the cost savings are to be achieved.

"There's a lot of history that exists in Sudbury that shouldn't play, but it does," he said.

"One's got to be cognizant that you've got to break down some of those barriers in order to move forward."