going north, page-21

Dont worry Magic, as i said "just popping in".

Unfortunately Iluka has made a play for everyone but APG. BMX for their deposit, Basin minerals for their deposit and consolidated rutile for theirs.

APG failed to find "quality" coarse grain ilmenite in the wim150, due to lack of funds APG did not take sufficient risk out of the technology by building a larger plant at Newcastle, the Ticor deal was canned as the Indian Gov't refused to process the applications in a commercial manner and Sons of Gwalia were very keen for a plant with RZM but we all know what happened there. Bad luck or poor management?

If any one of these was achieved we would have been on our way. Thats why we are back to 3.0cents and thats the stockmarket. When i first brought APG to Hot Copper X years ago I do remember it going from 3 to 21.5 and plenty made money

So where is APG now?

Well i do know these facts.

1) The Iluka analyst for Shaw Stock Broking approached Iluka re APG. Iluka indicated they are interested in APG but beleive they can get it far cheaper or when more risk is taken out.

2) Iluka are stock piling their ilmenite from the Douglas project as they do not have a technology to produce Synthetic Rutile. Iluka paid $200mil and it is just sitting.

3) Iluka have attempted to get the technology for next to nothing which will allow it to be used on other deposits. (APG/CRL deal to use on the Douglas )

4)Cristal are set to become a world produce and as a result has taken control of BMX.

5)The Managing Director of BMX is a Cristal man and APG have acknowledged discussions with him is months gone by.

6)BMX cannot produce synthetic rutile without a technokogy.

7) APG have publically stated they are in discussions re a deal. (Cristal, Kerr McGee or ?)

8) The public offering raised $1.25m but the terms limited purchase to a max of $5,000.

9) The company was overwhelmed with shareholders wanting more than $5,000 worth and the offer has generated some huge "after offer" interest.

10)Southern Titanium have been able to supply APG with enough fine sands materials to make sone decent synthetic rutile. (this one is 6 - 12 months off)

11) New Zealand Steel (BHP) spent millions, built plant, proved ears technology and are evaluating the requirements of a far larger plant.

So My Speculation

1)APG in the very short term will secure enough funds to complete the feasability study.

2) This study will build a plant big enough to allow a bank to use it as a "bankable " feasability study for funding.

2) Within three months I expect to see a deal with a major and my guess is Cristal or Kerr McGee.

3)If Cristal then I expect Cristal to put some $$ into APG and use APG (a listed company) as a vehicle to raise funding of between $40 and $80 mil to build a plant for the BMX deposit.

4) I HOPE if it is Cristal then they want to move quick. If APG are having discussions/negotiations then we could hope for news maybe December.

It will please some to know that I am not interested in regularly posting on HC so all those who want to post derogatory comments they will fall on deaf eyes.

I am still confident and may "Good things come to those who wait"