Silver Bull Resources Inc (SVBL)

[alohamart]

No news that I know of, which is probably why the stock price remains in the doldrums. With all the drilling going on, the mine plan being developed, and the application for listing on a "senior exchange," there should be some news pretty soon.

Judging from the action on level II, it seems there's one big seller who's been on the ask for weeks (through JEFF), holding back the stock. IMO, whenever that seller's done, the stock will be unleashed to the upside. Resolution of the Mexican election in the next couple of weeks will also help.

The long-term upside is incredible, if you think about the fact that MMGG's Sierra Mojada could be the second biggest new zinc project in the world for years to come. Sierra Mojada's similar in size to Apex Silver's San Cristobal in Bolivia on this list of big zinc projects: http://www.metalin.com/images/zinc-03-big.jpg

The biggest zinc project (by far) is Mehdiabad in Iran. They're currently trying to get financing now for their $1.6 billion in capex, during this time of political crisis there. If that huge project fails to get to production, that's 6% of the expected world supply of zinc that won't be coming, which would be extremely bullish for zinc and MMGG.

During the recent announcement of the Lundin/Eurozinc merger, both CEO's said they'd be looking to acquire "world class" pre-production base metal projects wherever they are in the world. I don't know how much more "world class" you can get than the biggest zinc project in the world that's in a politically secure area. Anglo American, who bought the Skorpion zinc mine about 6 years ago, is another likely bidder for MMGG once the feasibility study's done (http://greatinvestments.blogspot.com/2006/01/why-we-think-anglo-american-aauk-will.html ).

Any way you look at it, MMGG's valuation is ridiculous at about 1% of the value of the metal in the ground. The late Julian Baring used a rule of thumb for valuing metal shares:
"Buy up to 10% of the in situ value of a deposit using current metal prices, hold up to 40% and sell above 40% taking no prisoners!!!!"

If they can prove up their silver and other zinc deposits, they'll be worth even more.

I think the bulletin board status has held MMGG back. Once they get listed, they'll lose that albatross and insitutions and other investors can invest. Once their feasibility study's done, I think the takeover bidders will come out of the woodwork. However, barring a frenzied bidding war, the best path for shareholders would probably be to move into production alone.