Newieboy
Great commentary. It's sad to see you go. But as it happens I disagree with with most of everything you have said. I find it disappointing that your comments have virtually nothing to do with the stock and everything to do with gloating and indirerctly targeting others, or am I being a little too sensitive here?
Anyway, I hope your departure isn't a sign that the forum's resident down rampers aren't beating a hasty retreat, just as it starts to become interesting again....lol
Your comments imply that you are completely dismissive/unimpressed of a jorc compliant resource delivered with the seal of approval of independant consultants and stated as:
MEASURED AND INDICATED RESOURCE
30.94 Mt @ 1.24% Cu Eq
(0.80% Cu Eq cut-off) (850 million lbs Cu Eq)
RESOURCE ESTIMATES FOR ROCKLANDS PROJECT
- USING VARIOUS CU EQ CUT-OFF GRADES
Using 0.25% Cu Eq cut-off
Total Resource 157.0 Mt @ 0.56% Cu Eq
Measured and Indicated 101.2 Mt @ 0.62% Cu Eq
Using 0.15% Cu Eq cut-off
Total Resource 245.0 Mt @ 0.42% Cu Eq
Measured and Indicated 151.0 Mt @ 0.47% Cu Eq
Keep in mind also that the JORC code requires achievable cut off grades to be quoted by competant persons.
While we didn't get our 100 mt @ around 1% Cu equiv as anticipated, we did get more than twice the tonnage at half the grade for the same amount of inground metal - ie Around 1 million tons of copper. A result that isn't all all that shabby when you think about it, given the numbers and the confidence levels granted
Did you ever ask yourself what a new company arriving on the scene, delivering a resource like Cudeco has, would be valued at?
Well I'll tell you. Judging by Rex Minerals with only an Inferred Resource and 700 thousand tons of copper in the ground (ie 100 mt @ 0.7% Cu) and with drill centres 100 metres apart, and around 80,000 metres of drilling all up, and without metallurgical considerations factored into the mix, you get to enjoy a market cap of the same as Cudeco.
Go figure!
Either RXM is expensive or CDU are very under rated based on what has been achieved and the confidence levels associated with their respective resources. Also, RXM lacks the high grade 'kick start' into mining as well.
And while I agree with you that my estimate of around 30 mt @ 2% Cu equiv (in line with most everyone else, including most broker assessments) was out of kilter with the consultant's 'theoretical' assesment according to the modeling methodologies employed, there are also strong arguments to suggest that actual mining will produce a result much closer to what was predicted.
Maybe you should check back once mining reveals the ultimate truth about Rocklands, as myself, the company, MPS and a few independant people who have bothered to do the Due Diligence are of the view that Rocklands has been understated, even though what has been delivered will generate very acceptable cash flows.
The bottom line is that the situation is nowhere near as bad as you are making out.
As for Sun Tzu, don't underestimate the possibility that the take down we have seen was a master stroke brilliantly conceived and clinically delivered. A strategy that targeted margins to deliberately trigger an avalanche of selling, thus making the job easy for anyone targeting the company to force lower prices. A strategy that has been accompanied by at least two dud broker recomendations, a plethora of substanceless posts on public forums and a lack of critical assessment by the financial press for what Rocklands actually has on offer.
The shares 'spilt' into the market because of forced margin selling, has probably created additional liquidity to assist in churning stock at these lower levels. Retail punters are now possibly being herded by what looks like artificial bid stacking to ensure that the share price remains flat. IMHO, Tsun Tzu would be watching in awe as the MD's strategy around a bullet proof jorc has been confronted head on, and with devastating consequences for genuine holders.
If a bid is brewing in the wings, I would expect a move sooner rather than later as progress towards mining will only strengthen the company in the sort of super charged copper environment we have at moment. Why wait? And as it happens, the outlook for copper is about to get a lot stronger too!
I could say a lot more but sometimes less is best.
Cheers
Nev
- Forums
- ASX - By Stock
- CDU
- good night and good luck
good night and good luck, page-2
-
- There are more pages in this discussion • 83 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add CDU (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
SER
STRATEGIC ENERGY RESOURCES LIMITED
David DeTata, Managing Director
David DeTata
Managing Director
SPONSORED BY The Market Online