update

I spoke to CC yesterday and he projected a positive image of IGR's prospects for this year and beyond and was very happy with the interest he received in London last week where he presented.

He noted that the investors there and in particular some of the big funds were not all "doom and gloom" as he put it.Despite the subprime fallout there's a lot of money from Pension Funds that has to find an investment home each month(one for example has to invest $30 million each month)and they are now looking for quality projects.Last year here in Australia there were apparently around 160 or so newly listed mining companies and many have poor management and are very speculative indeed.As we know IGR is not one of these and he attributed the move in the SP last week to some buying originating out of his London presentation.Money has to find a home but only if its quality.

At Reddale he said that a water rig had just arrived on site and now the pre collar work is being done with 2 RC diamond rigs to follow this up.Looking forward to when results are released from here but probably not till sometime in April.
If Reddale really surprises on the upside then he said IGR would have to look at purchasing a larger plant.However at Thunderbox(not too far away)there is one lying idle.Lets hope RD is something special.

There should be some news this coming week but more than likely it will be towards the end of the week.This is for the south section of SC and he noted that they liked what they saw from the drill cores but of course until you get the results back from the lab its impossible to make a definitive judgment.

I asked him about the Glandore JV which was just recently announced and he said they are always looking for tenements in areas that are strategic to their holdings and have unrealised potential for major finds.This is the case here being north of the Mt Monger area and he and Greg Wilson like very much the geology of the area.Next year who knows this could be another winner for IGR.

Barrick is drilling away in SA however whether something comes out of this is any one's guess at this stage.If it surprises that would be fantastic but if it comes up dry then nothing lost here.If they had pursued this on their own it would have really hurt the company so once again another good example of management making sound decisions.

I also asked about a possible takeover and he said that more than likely someone has had a look at IGR which is fairly obvious in my mind.However he did say that "attack is the best form of defense",and with their aggressive exploration program over the next 6 months if there was any hostile takeover(which usually take at least 1yr to complete)that IGR would have plenty of time through new discoveries to add value to the company and show that any offer would be undervalued.If there is one lets hope its a long way off so the SP can move north of $1.

I said to him that I thought the POG could be around USD1200 later this year and he thought maybe around USD1100 but either way thats a large margin.CC said that they were looking at cash costs of about $600 but that may come down as it was a very conservative costing.If POG was say AUD1200 then thats $600*120,000=$72 million.Nothing to sneeze at hey guys and girls.And if we could extend that to 150k ounces with a cash cost of say $500 then thats around $100 million.Serious money in my book.

The Dow had another bad night which I expected so our market will get hit on Monday but maybe it will get a bounce sometime this week.Its getting very oversold.Lets hope a bounce if it eventuates coincides with some good news for IGR later in the week.

Cheers
Tigerpen8