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Doesn't he die in the end?
Art
Hweb,
What did you make of AFPCs earnings?
Art
Interesting articly on zinc prices...comments from SWN CEO.....
Art
****************************
http://www.marketwatch.com/news/story/china-zincs-key-price-strength/story.aspx?guid=%7B5C9D1AAD%2DE...
I am worried for his health....unlike him not to post....especially with the shares moving....unbelievable move today...I wonder if anyone had his personal email...
Art
Steve...SDGL.
Yes...I own a ton....one of my largest holdings...was dead and buried money for years....hold and mold as Mr. BW says...
Moving nicely now..seem to be thru their Laurus shares and Patrick Lim seems to have the mojo now.....moving into the US.... I think they will get attention now that the SP is moving they have some product rollouts up their sleeve...earnings look good and a lot of Cr*&^ is behind them...
GL,
Art
RRO...subsidiary of ADA....
Art
***************************
Trading Symbol: RRO - TSX-V
News Release No. 19-07
Shares Outstanding: 73,643,716
October 10, 2007
ROYAL ROADS EXTENDS MINERALIZATION 75 METRES BELOW THE DANIELS POND DEPOSIT WITH AN INTERSECTION OF 7.9% COMBINED BASE METALS COMPRISING 2.47 METRES OF 5.27% ZINC, 2.41% LEAD, 0.22% COPPER, 116.81 G/T SILVER, 0.43 G/T GOLD
Royal Roads Corp. (RRO-TSX-V) ("Royal Roads") is pleased to announce that as part of its ongoing 11,000 m drill program at its Daniels Pond base metal deposit in central Newfoundland, one of its exploration holes (DN-07-092A) has intersected 7.9% of combined base metal mineralization 75 metres below the current deposit(Zn+Pb+Cu) with a true width intersection of 2.47 metres of 5.27% zinc, 2.41% lead, 0.22% copper, 116.81 g/t silver and 0.43 g/t gold.
Hole DN-07-92A is part of an ongoing 11,000 m drilling program comprising 57 planned holes that began in June 2007 and that has now completed 5,800 m in 29 holes. The program has been systematically moving down the length of the deposit from the northeast to the southwest and has now completed all the holes in the vicinity of the weaker mineralized Northeast Lobe, the results of which are discussed below. The purpose of the drilling to date has been to pursue three objectives:
1. Deep Exploration drilling - Explore for mineralization at depth below the current deposit;
2. Extension Exploration Drilling - Explore for extensions to the current deposit at its margins and along strike, and
3. Infill Drilling - Conduct infill drilling to increase the level of confidence in the deposit’s current NI-43-101 Inferred Resource and upgrade as much of the resource as possible to the Indicated category.
The Daniels Pond deposit currently hosts an NI43-101 compliant Inferred Resource totaling 1.69 million tonnes grading 8.37% zinc, 4.4% lead, 0.57% copper, 196.9 g/t silver and 0.68 g/t gold at a 2% Zn cut-off (Royal Roads news release dated November 7, 2006 and technical report filed November 8, 2006). The bulk of these resources occur within 200 m of surface within two lobes of mineralization, the weaker mineralized Northeast Lobe and the stronger mineralized Southwest Lobe respectively. These lobes dip steeply to the northeast and have a combined strike length of approximately 1,100 m with potential to expand the deposit both down dip and along strike of both lobes.
Deep Exploration Drilling
The planned deep exploration drilling program is comprised of 3 drill holes designed to test for mineralization at depths ranging between 125 and 200 m below the existing Daniels Pond deposit (250 to 350 m below surface). The first of these holes (DN-07-92A) has now been completed, and successfully intersected mineralization at a depth of 220 m below surface, and 75 m below the currently defined extents of the Northeast lobe. A second deep exploration hole has also been completed but assays are currently pending. This second hole was planned to test the mineralized horizon at a depth of 340 m below surface, approximately 175 m below the current limits of the Northeast and Southwest Lobes. The third planned deep exploration drill hole is now underway and is planned to test for mineralization at a depth of 350 m below surface or approximately 200 m below the limits of the stronger Southwest Lobe. Results from hole DN-07-92A are summarized in Table 1 below.
Warren MacLeod, President of Royal Roads stated that “I am very pleased with the width and grade identified in hole 92A confirming the potential for outlining additional resources at depth. This intersection certainly provides us with a high priority exploration target when we come to plan our next phase of drilling at Daniels Pond.”
Table 1. Daniels Pond Deposit – Deep Exploration Drilling Results (Below Northeast Lobe)
Drill hole
From (m)
To (m)
Core length (m)
Estimated
true width
(m)*
Zn-Pb-Cu Combined (%)**
Zn (%)
Pb (%)
Cu (%)
Ag (g/t)
Au (g/t)
DN-07-092A
262.90
268.50
5.60
4.85
1.67
1.23
0.24
0.20
13.87
0.68
and
286.83
295.56
8.73
6.17
4.59
2.92
1.53
0.14
73.49
0.41
including
286.83
290.33
3.50
2.47
7.90
5.27
2.41
0.22
116.81
0.43
also
294.83
295.56
0.73
0.52
9.55
6.60
2.48
0.47
205.50
1.69
*Estimated true widths have been measured based on observed contacts (core angles in drill core).
**Combined zinc, lead and copper percentages for each interval added together.
Extension Exploration Drilling
Planned exploration drilling along strike and down dip of the Northeast Lobe was designed to explore for possible extensions of mineralization around previous drill hole DN-35, which had intersected 2.86 m grading 8.49% zinc, 7.22% lead and 0.52% copper. This hole represented an isolated pod of inferred resource located about 100 m down dip of the Northeast Lobe. The twelve 2007 holes drilled in the vicinity of hole DN-35 were unable to identify extensions of similar grades and widths; however, results were encouraging with three of the holes (70, 72 & 78) encountering combined base metal grades of between 4.74% and 11.04% over widths from 1.07 to 2.19 m. Five other holes (67, 68, 73, 74 & 76) all encountered significant combined base metal mineralization of between 3.77% and 46.83%, but over narrower widths ranging between 0.12 and 0.45 m. The remaining four holes (69, 71, 75 & 77) all encountered minor base metal mineralization over narrow widths. Results of the 2007 exploration drilling in the northeast extension zone are summarized in Table 2 below.
Warren MacLeod, President of Royal Roads stated that “Although drilling in this northeast extension zone was unable to extend the same widths and grades around historical hole DN-35, I am encouraged that every hole encountered base metal mineralization and clearly identifies a highly prospective area for future exploration.”
Table 2. Daniels Pond Deposit – Northeast Extension Zone Exploration Drilling Results:
Drill hole
From (m)
To (m)
Core length (m)
Estimated
true width
(m)*
Zn-Pb-Cu Combined (%)**
Zn (%)
Pb (%)
Cu (%)
Ag (g/t)
Au (g/t)
DN-07-067
181.08
181.78
0.70
0.45
4.78
2.90
1.70
0.18
37.00
0.05
and
196.31
196.82
0.51
0.46
3.45
2.90
0.16
0.39
24.70
1.88
DN-07-068
189.37
189.84
0.47
0.44
3.41
2.00
1.36
0.05
28.80
0.05
and
222.06
226.3
4.24
3.98
1.32
0.96
0.14
0.22
8.92
0.64
DN-07-069
266.29
266.67
0.38
0.31
1.25
1.12
0.05
0.08
2.74
0.13
and
274.79
275.33
0.54
n/a
1.63
1.34
0.19
0.10
2.74
0.26
DN-07-070
223.75
224.75
1.00
n/a
1.06
1.00
0.02
0.04
1.03
0.00
and
296.01
306.95
10.94
8.00
2.20
1.69
0.22
0.29
10.59
0.54
including
300.00
303.00
3.00
2.19
3.66
3.13
0.20
0.33
7.98
0.38
and
321.52
325.10
3.58
n/a
1.13
0.86
0.11
0.16
13.28
0.62
DN-07-071
288.28
290.28
2.00
1.88
1.57
1.15
0.20
0.22
8.40
0.52
DN-07-072
164.57
164.97
0.40
0.36
1.58
1.44
0.06
0.08
3.42
0.02
and
168.61
169.08
0.47
0.41
1.72
1.06
0.57
0.09
29.10
0.24
and
170.08
174.62
4.54
4.03
4.7
2.82
1.72
0.16
68.91
0.18
including
171.33
172.6
1.27
1.07
11.04
6.62
4.02
0.40
164.72
0.40
DN-07-073
255.95
256.24
0.29
0.24
8.71
5.40
3.10
0.21
72.60
0.93
and
267.13
273.9
6.77
6.00
1.55
1.12
0.18
0.25
9.71
0.63
DN-07-074
217.07
219
1.93
1.58
1.72
1.37
0.15
0.2
8.02
0.19
including
217.07
218
0.93
0.76
2.55
2.18
0.13
0.24
8.90
0.19
and
221
223.85
2.85
2.33
1.15
0.82
0.14
0.19
8.69
0.46
and
227.49
231.23
3.74
2.89
1.8
1.31
0.23
0.26
13.47
0.77
and
240.89
241.02
0.13
0.12
46.83
24.4
20.0
2.43
722.6
0.2
DN-07-075
349.3
349.9
0.6
0.56
2.1
1.94
0.01
0.15
2.05
0.08
DN-07-076
236.51
236.66
0.15
0.14
3.77
2.24
0.33
1.2
81.5
0.23
and
258.63
259.18
0.55
0.52
1.44
1.12
0.09
0.23
6.51
0.50
DN-07-077
6.50
7.00
0.50
0.47
1.46
1.36
0.06
0.04
6.16
0.26
DN-07-078
178.74
181.48
2.74
2.31
4.51
2.7
1.65
0.16
70.2
0.23
including
179.56
181.05
1.49
1.40
7.12
4.28
2.60
0.24
110.36
0.16
also
180.89
181.05
0.16
0.14
50.4
28.00
21.10
1.30
866.40
0.85
*Estimated true widths have been measured based on observed contacts (core angles in drill core).
**Combined zinc, lead and copper percentages for each interval added together.
Infill Drilling
Recently completed infill drilling on the Northeast Lobe was comprised of 16 holes and was designed to provide more detailed data on the extent and boundaries of the mineralization in the weaker Northeast Lobe of the Daniels Pond deposit. Four of these holes (79, 81, 82 & 88) intersected the mineralized horizon and may contribute to the continuity of mineralization in the far northeast end of the zone. Five other holes (80, 84, 85, 86 & 87) located in a line along the length of the Northeast Lobe and penetrating the mineralized zone within 30 m of surface returned minor base metal values over narrow widths. These five holes penetrated a zone previously thought to have greater widths and grades extending to surface and may have an impact when a future resource is calculated in this particular part of the Northeast Lobe. The remaining 7 holes (83, 89, 90, 91, 93, 94 & 95) provided either minor base metal values over narrow widths or no significant assays, but provide better definition of the lower and southwest edges of the Northeast Lobe mineralization. Results of infill drilling on the Northeast Lobe are summarized in Table 3 below. Based on results received to date, Royal Roads anticipates changes in the size and grade of the resource in the Northeast Lobe once an updated NI43-101 report is completed, which is anticipated to be in the first quarter of 2008. The new resource estimate will be completed by independent consultants, Mercator Geological Services Limited of Dartmouth , Nova Scotia under the supervision of Independent Qualified Person, Peter Webster P.Geo.
Warren MacLeod, President of Royal Roads stated that “Infill drilling on the Northeast Lobe has re-defined our previous interpretation of the extent and boundaries of the mineralization in this part of the Daniels Pond deposit. Although it will still be some time before we are able to calculate an updated NI 43-101 resource for the Daniels Pond deposit, it would be my expectation that a reduction in the resource in this part of the deposit may be a likely outcome. We have however uncovered noteworthy mineralization 75 m below the Northeast Lobe in hole DN-07-92A and are encouraged by the possibility of expanding new resources at depth below the known deposit.”
Table 3. Daniels Pond Deposit Infill Drilling Results (Northeast Lobe)
Drill hole
From (m)
To (m)
Core length (m)
Estimated
true width
(m)*
Zn Pb Cu Combined (%)**
Zn (%)
Pb (%)
Cu (%)
Ag (g/t)
Au (g/t)
DN-07-079
51.26
56.00
4.74
4.20
2.49
1.43
0.98
0.08
21.29
0.12
including
52.90
53.09
0.19
0.16
7.13
5.10
2.01
0.02
23.60
0.15
DN-07-079A
53.40
59.40
6.00
3.86
2.2
1.27
0.87
0.06
15.91
0.17
including
53.90
54.40
0.50
0.32
2.53
2.11
0.34
0.08
14.00
0.23
also
57.90
58.40
0.50
0.32
10.87
4.70
6.10
0.07
67.10
0.26
DN-07-080
15.01
22.00
6.99
4.72
1.46
1.00
0.29
0.17
15.68
0.51
DN-07-081
7.20
8.20
1.00
0.71
8.81
6.70
1.68
0.43
177.25
0.69
including
7.70
8.20
0.50
0.35
10.31
9.60
0.35
0.36
287.70
0.61
and
13.12
14.60
1.48
0.62
1.68
1.17
0.22
0.29
13.47
0.68
and
25.59
34.00
8.41
3.55
4.42
3.16
1.14
0.12
53.32
0.92
including
27.10
32.00
4.90
2.07
5.93
4.31
1.48
0.14
51.26
0.97
also
30.53
31.03
0.50
0.32
13.64
11.80
1.41
0.43
81.80
0.14
and
59.83
68.00
8.17
4.09
1.97
1.45
0.42
0.10
28.02
0.11
including
59.83
63.10
3.27
1.64
3.02
2.39
0.47
0.16
22.37
0.14
also
61.13
61.70
0.57
0.30
9.82
8.50
0.75
0.57
50.30
0.23
DN-07-082A
56.49
84.60
28.11
n/a
1.79
1.34
0.24
0.21
12.82
0.48
including
60.55
72.50
11.95
10.16
2.51
1.93
0.32
0.26
12.87
0.61
with
66.00
71.50
5.50
4.68
3.38
2.66
0.42
0.30
12.51
0.58
also
71.00
71.50
0.50
0.43
5.59
4.80
0.43
0.36
10.90
0.25
and
74.00
77.95
3.95
3.36
1.78
1.32
0.28
0.18
10.31
0.43
and
83.00
84.60
1.60
1.36
2.82
2.18
0.44
0.20
35.47
0.71
DN-07-083
121.47
125.50
4.00
3.64
1.38
1.10
0.12
0.16
8.13
0.66
and
129.47
132.50
3.00
2.73
1.43
1.13
0.15
0.15
5.93
0.37
DN-07-084
62.47
62.63
0.16
0.14
1.94
1.80
0.06
0.08
1.71
0.14
DN-07-085
21.00
23.00
2.00
1.64
3.54
2.11
1.30
0.13
30.65
0.11
and
45.00
47.00
2.00
1.73
2.44
1.94
0.41
0.09
16.11
0.40
DN-07-086
48.38
49.15
0.77
0.70
1.13
0.75
0.31
0.07
28.00
0.10
DN-07-087
52.23
63.29
8.06
7.30
1.22
0.78
0.39
0.05
18.25
0.09
including
57.19
59.36
2.17
1.97
1.57
0.94
0.56
0.07
18.35
0.11
also
57.19
57.29
0.10
0.09
11.75
7.10
4.10
0.55
82.20
0.30
DN-07-088
75.69
99.27
23.58
17.21
3.4
2.36
0.76
0.28
37.55
0.77
including
77.69
79.1
1.41
1.03
4.84
3.52
1.24
0.08
37.09
1.69
also
96.12
98.27
2.15
2.04
14.17
8.78
4.75
0.64
206.36
0.89
with
96.72
97.15
0.43
0.41
24.82
15.70
7.90
1.22
280.08
0.37
DN-07-089
155.03
158.03
3.00
2.28
1.43
1.11
0.15
0.17
9.11
0.41
and
163.00
166.36
3.36
2.55
2.05
1.45
0.27
0.33
12.82
0.51
including
165.00
165.50
0.50
0.37
3.85
2.80
0.46
0.59
16.40
0.80
DN-07-090
145.35
156.55
11.20
9.45
1.51
1.05
0.22
0.24
11.85
0.44
including
146.35
147.05
0.70
0.59
2.75
2.04
0.37
0.34
18.20
0.73
and
159.55
163.15
3.60
2.31
2.2
1.41
0.57
0.22
24.87
0.46
DN-07-091
95.84
96.85
1.01
0.85
0.88
0.67
0.17
0.04
6.51
0.11
DN-07-093
140.60
141.10
0.50
0.41
1.39
0.95
0.37
0.07
28.40
0.39
DN-07-094
No significant assays observed
DN-07-095
No significant assays observed
*Estimated true widths have been measured based on observed contacts (core angles in drill core).
**Combined zinc, lead and copper percentages for each interval added together.
Drilling Time Table
The Daniels Pond drilling is expected to run late into the year as the drill is moved onto the stronger Southwest Lobe. Further results will be released periodically as the program nears completion. An interpreted longitudinal projection showing the location of historic drill holes relative to the current drill holes is available at the Royal Roads website located at: http://www.royalroadscorp.ca
Management’s Opinion
Warren MacLeod, President, stated, “we are encouraged that our current program is proceeding towards providing a revised resource estimate that will include higher confidence Indicated Resources required for prefeasibility. We are more encouraged by the fact that initial exploratory drilling northeast along strike and beneath the known deposit confirm that excellent potential exists for discovery of significant additional resources.”
Daniels Pond Deposit
On November 8th, 2006, Royal Roads filed a NI43-101 compliant technical report for the Daniels Pond deposit which estimated the inferred resource to be comprised of 1.69 million tonnes grading 8.37% zinc, 4.4% lead, 0.57% copper, 196.9 g/t silver and 0.68 g/t gold, at a 2% zinc cutoff.
Sampling Procedure
The drill program is being managed by Mercator Geological Services Limited of Dartmouth Nova Scotia under the direction of Peter Webster, P.Geo., (NL). Drill intercepts quoted are core lengths and estimated true widths have also been calculated where possible using observed contacts in drill core. Logging, sampling and assaying procedures are being completed as per Royal Roads QA/QC protocols as described in Royal Roads news release dated February 27th, 2007.
Paul Moore, M.Sc., P.Geo., (NL), Royal Road’s Vice President of Exploration, is acting as Qualified Person in compliance with National Instrument 43-101 with respect to this release and has reviewed the contents for accuracy. All exploration activities described herein are being conducted under the direction and supervision of Mr. Moore.
About Royal Roads
Royal Roads is a resource company based in Halifax , Nova Scotia , Canada and is focused on exploring and developing base metal properties in central Newfoundland , Canada . Royal Roads and its 35.05% affiliate, Buchans River Ltd., together control a total of 30,200 hectares within central Newfoundland’s Victoria Lake and Buchans mining camps, including the historic Buchans mine (owned by Buchans River) and the Daniels Pond deposit (owned by Royal Roads). Royal Roads is 44.42% controlled by Acadian Mining Corporation, a Halifax based resource company developing gold and base metal properties, including the Scotia Mine (zinc and lead) in Nova Scotia .
Forward Looking Statement
Certain information regarding the Company contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. The Company cautions that actual performance will be affected by a number of factors, many of which are beyond the Company’s control, and that future events and results may vary substantially from what the Company currently foresees. The Company’s forward-looking statements are expressly qualified in their entirety by this cautionary statement.
For additional information on the Company’s properties and activities, please visit our web site at www.royalroadscorp.ca.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Warren G. MacLeod, President & CEO
or
David Felderhof, Vice-President
(902) 444-3637
Halifax, Nova Scotia
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
We are committed to providing updates on our corporate developments to those who want to receive them. If you would like to be removed from this email list, please reply with remove in the subject. If you would like to remain on this list, you do not need to do anything.
Best Regards,
David Felderhof,
Vice President
Royal Roads Corp
Buchans River Ltd.
Phone (902) 444-3637
Toll-Free (877) 444-7774
Man4...
Giddyup!
LC can now buy a new fishing pole...lol
Art
Nice work....keep us posted on those "other targets"...!
Art
AQL
Been on a tear recently...I sold mine in the Aug downturn...never got back in and it has shot to around $3CDN....what to do...what to do....
Bob.
PBG is unbelievable and I thank you for that!
Art
ADA.
Disappointed in the price of ADA...would think it would have drifted higher with other mining/commodity stocks....been flat even with their new mine in production....
Art
Man4,
Yes...I am still in....took a 'little' off the table..my take is the market may not react well to a future private placement deal Lim may be cooking up.......been working hard at work though and don't have as much time to post.... building up a bit of a large cash position....thinking of making a massive short term bet on a small capper i.e BWLRF or BWLWF (Breakwater Resources)....try to jump start the portfolio....getting tired of slow and steady.....appreciate your posts.
Art
nice trading today.....showed some strength....which it has not always shown in the past....hopefully we can move ahead with results/news...
Art
Bob.
You are the man with PBG baby! bought a ton from your table pounding a long time ago...
sorry for the cheerleading!
Art
I saw that..just didn't think it warranted the move....must be related to completing the STO distribution...
Thanks BobW..
Art
Up strongly today...33%...may reflect valuation impact of the STO spinoff.....
Anyone want to join me here? Fun writing to myself...very Sysiphean...
Art
Wierd trading activity in my hold and molder...KRS/KRSYF Kroes Energy....+33% today.....
very odd.
Art
nice work!
Art
Yes...crazy me...was thinking I was going to get a Bloomberg News gift in my early commute....
Sold my Silver ETF this morning....bought it at the worst part of the Aug decline....didn't want to get too greedy...
Good luck today!
Art
CL;
Hope you are right! Go BWR baby!! I have a lot of warrants....
heard a funny quote on CNBC yesterday regarding the BHP Billiton gold mine discovery...goes something like this...
"A gold mine is just a hole in the ground with a liar on top"
Sam Clemens...
GLTAArt
Rogue,
You are confusing me...are we in an epic deflationary cycle like Japan 90-03 or a massive inflationary cycle due to the US dollar being 'toilet paper' in your words....which is it man!
Art
Well I wish their M&A folks would get on with it cause I'm getting killed!
Art
Nickel and Zinc...not looking too good this morning.....
Art
*********************************
Zinc Falls to 14-Month Low on Supply Speculation; Copper Drops
By Chanyaporn Chanjaroen
Sept. 4 (Bloomberg) -- Zinc fell to a 14-month low, leading a decline in other industrial metals, on speculation that excess supply will widen next year. Copper, lead, nickel, aluminum and tin also dropped.
Miners including Apex Silver Mines Ltd. are expanding zinc output after prices climbed to a record last year. Supply will beat demand by 40,000 metric tons in the second half, expanding to 165,000 tons next year, according to London-based GFMS Metals Consulting Ltd.
``Everything that we look at suggested the market is in surplus and it's growing,'' Neil Buxton, managing director of London-based GFMS, said today by phone. He has tracked metals for more than two decades.
Zinc for delivery in three months fell $92, or 3 percent, to $2,948 a ton as of 12:53 p.m. on the London Metal Exchange. The contract earlier fell to $2,921 a ton, the lowest intraday price since June 29, 2006.
Zinc, used to galvanize steel, has lost 30 percent this year. Production expanded 9.8 percent in the first half to 5.69 million tons, outpacing demand by 31,000 tons, according to the Lisbon-based International Lead and Zinc Study Group.
That may hurt earnings for producers including London-based Nyrstar, the zinc-smelting joint venture of Umicore SA and Zinifex Ltd.
Lead dropped $80, or 2.7 percent, to $2,940 a ton. Earlier it fell to $2,920 a ton, the lowest since Aug. 22.
Prices are still about 10 to 15 percent above what is justified by supply and demand, Eugen Weinberg, a commodity analyst at Commerzbank AG in Frankfurt, said today by phone. Prices have soared 76 percent this year, the most among all metals traded on the London Metal Exchange.
Speculators Dominate
``Lead is in a bubble,'' Weinberg said. ``From April to June, I'd say speculators have driven prices.''
The metal, mostly used in car batteries, climbed to a record $3,500 a ton July 23 after production disruptions reduced supply. LME-tracked stockpiles rose 100 tons to 25,300 tons, the exchange said today. They remain close to the lowest since March 1990.
Nickel stockpiles expanded 480 tons, or 2 percent, to 24,804 tons, the highest since May 9, 2006. The benchmark contract declined $1,050, or 3.4 percent, to $28,800. The metal is mostly used in stainless steel, which China is the world's largest producer.
The U.S. Institute for Supply Management's factory index fell to 53 in August, from 53.8 in the preceding month, according to the median of 69 forecasts in a Bloomberg News survey. Readings greater than 50 signal expansion. The Tempe, Arizona- based group's report is due at 10 a.m. New York time.
The outlook for copper is ``firm,'' Kazakhmys Plc, Kazakhstan's largest copper producer, said today after reporting a 25 percent increase in first-half profit.
Copper dropped $130 or 1.8 percent, at $7,260 a ton and aluminum fell $8 to $2,470. Tin lost $445 to $14,850.
Congrats Niles!
Thanks, Skillz...Len....
GLTA.
Art
Don't forget Mr. Francis R. Biscan Jr!!
Art
Bob...I am in the mood for buying this morning... ;) any thoughts? News out of Mexico for Tara?....Zinc price improvement for ADA? BWR Warrants to rebound?
Your thougts are greatly appreciated..
Art
Unless it moves up a $1 I am still in a world of pain... ;)
Good day today for most of the boys and girls followed here...
Art
anybody have any good Rhodium producers?
Art
thx...
Art
Know any good Silver ETFs?
Art
BHP doing well...should bode well for our boys...
Art
HONG KONG (Dow Jones) -- Anglo-Australian mining group BHP Billiton Ltd. said Wednesday income advanced 28% in the last year because of strong commodity prices, and also said it didn't expect much fallout from turbulence in the financial markets.
BHP Billiton, (BHP) the world's top miner, said net profit rose to $13.42 billion from $10.45 billion a year earlier, bolstered by high commodity prices and strong demand.
MLG/MLGAF.PK BobWins...I missed this last Thursday with the horrible tape last week....not a good day to post decent results...$3M in rev from their Tungsten property....any thoughts on their future...they have had a rough run this summer before the earnings anncmt.
Thanks,
Art
***********
Malaga Inc. reports $6,749,432 revenue from the sale of gold and tungsten in its second quarter 2007
Malaga Inc. (Malaga)
Symbol: MLG
Toronto Stock Exchange
MONTREAL, Aug. 16 /CNW Telbec/ - Malaga Inc. reports its financial
results for the three months ended June 30, 2007 (all currency figures appear
in Canadian dollars unless otherwise specified). The consolidated financial
statements along with management's discussion and analysis are available for
viewing on the Malaga website at www.malaga.ca, and the documents have been
filed with SEDAR at www.sedar.com.
SUMMARY OF FINANCIAL RESULTS FOR THE SECOND QUARTER 2007
compared to results for the same period in 2006
<<
- Revenue generated from the sale of gold and tungsten is $6,749,432 in
Q2 2007, compared to $2,083,327 in Q2 2006. The gross margin deriving
from gold and tungsten sales increased from $248,508 in Q2 2006 to
$1,311,010 in Q2 2007. This significant increase is largely due to the
beginning of commercial production at the Pasto Bueno tungsten mine on
April 1, 2007.
- Tungsten production recorded in Q2 2007 was 15 044 MTU's. The average
sale price per MTU of tungsten was US$176. Cash operating cost per MTU
was US$111. Revenue generated from the sale of Tungsten during Q2 2007
was $3,047,394. The gross for margin deriving from tungsten production
for Q2 2007 was $942,946. The average production rate for the
three-month period was 210 tonnes/day, as the full capacity rate of
250 tonnes was attained during the month of June.
- Gold production, deriving from custom milling, at the Acari plant,
increased to 5 134 ounces in Q2 2007, compared to 3 065 ounces in
Q2 2006. The average sale price was US$655 per ounce in Q2 2007,
compared to US$592 for the same period in 2006. Operating cost per
ounce of gold was US$590 in Q2 2007, compared to US$536 in Q2 2006. The
gross margin deriving from gold production for Q2 2007 was $368,064 as
compared to $248,508 for the same period in 2006. The increase in the
gross margin is directly related to the increase in production volume
as well as the increase in the price of gold.
- The Company recorded a net loss of $459,145 compared to $952,771 for
the same period in 2006. The improvement is attributed mainly to an
increase in gold sales and attainment of commercial operating capacity
at the Pasto Bueno tungsten mine. The Company expects further
improvement into the second half of 2007, as the full production
capacity at the tungsten mine will continue to be maintained and
moreover, increased.
- Working capital at June 30, 2007 was $4,322,683 compared to a working
capital of $3,003,895 on December 31, 2006.
>>
UPDATE ON PASTO BUENO
Since the announcement, by way of press release on July 11, 2007,
tungsten production at the Pasto Bueno mine continues to operate at full
capacity levels of 250 tonnes/day. These levels were maintained throughout the
months of June and July, and will continue to be maintained in future months.
The Company is currently working on upgrading the mill, in order to reach a
level of 300 tonnes/day by Q4 2007. Also the Company expects to be connected
to the Peruvian National Electric grid by Q4 2007, which will greatly reduce
the operating cost per MTU, therefore increasing substantially the gross
margin.
UPDATE ON SPIN OFF
Malaga is working diligently toward the spin-off of its gold assets into
a new public company, namely Dynacor Gold Mines Inc. The new company will hold
all of the gold assets including the Acari mill, from which gold is produced
through custom milling, as well as the Casaden and Tumipampa properties.
Malaga expects the filing of the preliminary prospectus of Dynacor Gold
Mines to be completed within the next upcoming days. The spin-off of its gold
assets to Dynacor Gold Mines is expected to be completed soon thereafter. A
follow-up press release will then be issued announcing the declaration of a
stock dividend and the distribution date for the distribution of the shares of
Dynacor Gold Mines to the shareholders of Malaga.
COMPANY PROFILE
Malaga is a mining company, which owns and operates through its
subsidiaries, a tungsten mine and gold plant with mining and exploration
activities focused in Peru. It holds 100% interest, and operates the Pasto
Bueno tungsten mine. In addition, the Company holds 44% interest in the
Peruvian company called Hidroelectrica Pelagatos. This corporation operates
the hydroelectric potential of the Pasto Bueno property.
Malaga focuses on efficient and productive mining practices, in order to
optimize current operations. The Company is committed to growth, through
increasing its production levels, continuing exploration projects on existing
properties and through strategic acquisitions. It also seeks diverse growth
opportunities such as the hydroelectric potential through Hidroelectrica
Pelagatos.
Cl.
Pls remind me again what are your favorite gold jr boys?
art
yes...agree... SDGL used to move significantly on contract award PRs...but the 10Qs were littered with cancelled contracts and customer delays...mostly around biometric security installations in business and residential developments in Malaysia... so I think investors are more in the show me camp now.... the good news is it has held steady in this horrible market decline...that is huge in my opinion and bodes well for future price moves....
Good luck!
Art
The Street is starting to look like the sub-saharan savannah....
GLTA,
Art
After More Than 90% Plunges, Investors May Be Nibbling In Mortgage Land (LUM, LEND, NLY)
Luminent Mortgage Capital Inc. (NYSE:LUM) and Arco Capital Corporation Ltd. have entered into a Letter of Intent outlining current and proposed transactions intended to address Luminent's current liquidity issues that arose due to unanticipated disruptions in mortgage credit markets. There are conditions of course, but ARCO will repurchase approximately $65 million in mortgage securities, has been issued warrants by Luminent to purchase up to a 49% voting equity stake and 51% economic interest in Luminent (at $0.18 per common share exercisable over a 5-year period). The Board of Directors of Luminent will resolve to elect four new members to the Board of Directors and four existing directors will submit their resignations from the Board, conditioned upon the newly elected members agreeing to serve on the Board.
Additional transactions in the letter of intent would provide Luminent with access to up to approximately $60 million in additional capital through repurchase agreements or secured credit arrangements with the intention of addressing current or impending margin calls and financing maturities.
While additional notices of default and margin calls remain a possibility in the current environment, as of August 17, 2007, Luminent has outstanding notices of default for unfunded outstanding margin calls totaling approximately $30.9 million, with approximately $6.1 million of cash being held to effectuate refinancing, for a net total current need of approximately $24.8 million. As Luminent previously announced, a default occurred under the indenture relating to $90 million of Luminent's 8.125% Convertible Senior Notes due 2027. The trustee under the indenture has subsequently notified Luminent of an event of default, but has not yet declared those notes to be immediately due and payable.
According to the Letter of Intent, going forward, Luminent's business strategy is expected to include acting as a multi-channel manager for asset- backed securities. So investors are starting to snap up more and more assets on the cheap it looks like. A letter of Intent is not binding per se because the conditions would allow it to back out, but maybe the buying on the cheap will come up more. Luminent shares closed at $0.75 on Friday, and its 52-week trading range is $0.36 to $10.84.
Elsewhere, Accredited Home Lenders Holding Co. (NYSE:LEND) shares are up another 3% pre-market at $6.97. If you will recall, just on Friday we showed how this Chimera IPO filing with Annaly Mortgage (NASDAQ:NLY) was actually a vulture fund set up to buy mortgage and loan assets on the cheap.
Jon C. Ogg
August 20, 2007
CL...
FWIW....My bet is Nickel and Zinc will rise in tandem...aligned with renewed speculation that companies will be acquired in a still growing global economy...coupled with the current haircut in the price of some of the cash laden producers...it could get interesting...
Art
From the Stockhouse HBM and Breakwater boards...
Art
*******
Here is the article in its entirety, front page of ROB on Saturday:
********************
TAKING STOCK
If it's all in the curves, then copper stocks are shining brighter
FABRICE TAYLOR
August 18, 2007
"We welcome this adjustment as a potential buying opportunity," HudBay Minerals' chief executive officer said this week.
The adjustment Peter Jones was referring to was the evaporation of billions of dollars worth of investments in mining company shares. Mr. Jones had just finished releasing solid financial results. HudBay, a mid-tier base metals miner, hasn't taken part in the frenzied mergers-and-acquisitions game of the past couple of years, so one might have assumed his comments were well timed.
One might further have assumed that with a fast-growing cash balance of almost $600-million and no debt, Mr. Jones would have the resources to make an acquisition that would create wealth for his shareholders. Investors might have finally have concluded that his stock, changing hands at less than seven times earnings, had appeal.
No. His stock shed 5 per cent of its value instead.
A similar reaction greeted Lundin Mining's announcement of earnings and of the closing of its deal to buy Tenke Mining. Lundin, unlike HudBay, has been marching down the acquisitions trail lately. But like Mr. Jones, the company is bullish on metal prices because of brisk growth in the world economy. Another acquisition, Rio Narcera, will close soon, and Lundin will have all the major base metals in its arsenal. Investors? They ran from the stock and its seven times price-to-earnings ratio.
These are only two companies that sketch out the disconnect between what's happening in the real world and what's happening in the financial markets. In the real world, if we can rely on the words and actions of mining company brass, voracious consumption of metals continues and won't stop for quite some time.
Investors, meanwhile, price shares as though we are at the peak of the cycle, just before earnings collapse. Who's right?
That's a hard question to answer with airtight conviction, but it's worth taking a stab at it. If the miners are right, their companies will be worth a lot more in a year or two. If bearish investors have it nailed down, those companies will be worth a lot less.
For help, we lean on UBS's base metals analysts, who took the bold step of publishing a cautious recommendation on copper yesterday.
The firm's starting point is base metal forward curves - that is, the price of the metal for future delivery as quoted by the London Metals Exchange - which the analysts have found to be a reliable indicator of share price performance. Despite the stomach-turning volatility that infected just about every market these past two or three weeks, the forward curve for copper has been remarkably steadfast.
Copper-related equities, including Lundin, HudBay, Freeport-McMoRan and others, meanwhile, are down 30 per cent since they peaked in July.
The shares are so beaten up that they're trading at a 30-per-cent discount to their "net asset value," of what they are roughly worth, assuming the forward curve and cost estimates are correct. In early 2006, the group traded at a 40-per-cent discount to this measure of intrinsic value. They went on to post spectacular gains. Earlier this year, the group traded close to net asset value on the back of merger speculation. Buying then was not a good move. The forward curve hasn't been a perfect predictor but it's not bad at all.
Could it be wrong this time? Sure. Economic growth could stall badly. Or there could be heavy speculation in the futures market, artificially lifting the price of the metal.
Anything is possible, but for the record, few economists are predicting the kinds of mauling that recession perma-bears are calling (and hoping) for. As for speculation in the futures market, the short end of the curve did sell off about 8 per cent but longer-term contracts actually rose slightly in the past month. If there was speculation, it likely would have run its course by now.
Although market indexes recovered yesterday, the action was mainly in the financial group because most investors still aren't sure that they want to risk investing in commodity plays. Meanwhile, HudBay's Mr. Jones and his peers are coining it. UBS figures that by the end of next year, cash in the bank will represent 20 per cent of the market value of the copper companies it follows, and almost 50 per cent for HudBay. That cash will be put to work buying back shares or buying other companies.
If that forward curve is any sign, investors with sea legs and conviction can buy a piece of that action at decent prices right now.
Fabrice Taylor writes research for brokerage firm Pollitt & Co.
The views expressed are his own.
taylor.fabrice@gmail.com
nope...looks like Terraquest....
Art
hope they used AeroQuest for the arial survey...AQL....!
Art
Gold up $9+ this morning...hope we some some buying today in our beloved ;) Tara...
Art
Mkt shorts will need to cover at some point...could be an interesting afternoon...
Art