Well Olympian is here now for a bit so yes, lets correct a few "conservatisms" shall we.
Firstly JUK, contact Phil Cohen and pass on my regards and suggest he look at the ARU/NUP model and its lucrative result for shareholders taking advantage of current HOT U-market. Phil loves positive constructive opinions from shareholders and u can betcha it will get the appropriate airing, tho have no doubt the RUM question is under constant monitoring as to optimum timing ....... also all will be sooooooooo much easier after FIRST production is over the line around mid year.
Next if u really want to throw some forwards onto yr Excel spreadsheets, consider the sulphides resource base hasnt been upgraded since 1999 and no allowance in the figures for below the 350 m level at Browns proper or the Browns East extensions OR Mt Fitch sulphides. Suggest a resource base of 200 million tonnes at same average grades (AT LEAST) could be used for the base metals, tho some latest results indicate up to 6% Cu equivalent well beyond the norm.
And re the U, latest POU 91 suggests that lower cut-off grades (<0.5) could be viable given the proximity to EXISTING base metals infrastructure being set up, hence IMO Mt Fitch is likley to be more like 25 mill lbs entree and in any case the RUM kitty is likely to prove up to 100+ mill lbs in due course IMO. Tho right now, priority would be to GET MT FITCH PRODUCING ASAP and leave the resource upgrades ongoing later.
Also reckon 2 mill lbs pa might be "LIGHT" and agree with JUK stands to reason u go for the throat asap and worry about reserves upgrades later. U might mention that to Phil also Juk, tho once again, this would be under constant review.
Furthermore IGV means NOTHING without VIABILITY / CRITICAL MASS / CAPEX FUNDING and SOVEREIGN RISK CONSIDERATIONS. Browns was known 15+ billion bucks IGV in CMR's hands when CMR was 10 mill market cap in 2003 !!!! And go no further Than PGM's 12 mill maket cap for IGV 50 billion bucks for Skaergaard resource in Greenland alone seeking critical mass (Ima big shareholder in PGM btw so threw that one in for the connoisseurs to muse over haha). So careful how u use IGV alone.
On the other hand PDN which has just started production is at around 40% IGV !!!!!!!!!!!!!!!!!!!!!!!!! Why not CMR then which is also about to start production WITHOUT THE INHERENT RISKS of PDN's haha (MY OPINION) ????? Later about that one.
Im happy for a mature stock beginning production to be at 10% IGV MODESTLY ......... tho NGM (Norseman) only ever had 2 years reserves but operated for 50 years haha.
CMR is gonna have a generation or two's worth of production methinks so EARNINGS DRIVERS will be priority when assessed by the serious investors. Im happy to look at 5 bucks a share net earnings as a modest base 3-5 years out so u can apply whatever PE driver to that .........
......... my yank mentor used to say, PER 14 in a BULL market, PER 11 in neutral mode and PER 7 for the bear. I tend to use PER 6 when scruitinizing targets for my serious investment money.
Any way I look at, PER 6 staying aware of the megabear lurking or 10% REAL IGV, or straight comparison against "peers" PDN, OXR, FMG, ERA (for now) and maybe WMC equiv more appropriate (later), CMR more than justifies holding my current 90+ % of original core at original av 22c ps, seeking the Holy Grail 1331 near term on its way to the "A" target16, the Golden Fleece 33 bucks in "C" wave or "Only Zeus Knows what to call" the poss "E" peak coinciding with a Kondratieff resources supercycle peak circa 2014 or so (?)
IMO CMR HAS NO PEERS as the standout emerging resources investment in Oz and is grossly undervalued atm given status of projects and resources and all the rest and hence a priority target for private or public great white shark attack .......... praise Zeus for that and the defensive composition of our share register and the realisation of FAIR VALUE now by our brother rowers.
Back to freezing my butt off down neon heaven Nanjing Road East !!! Wonderful China, growing consumers everywhere and nuke energy requirement evolution supreme !!!
Time out and ciao bros.
IMBOOC
CMR Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
