the coming week

I think we will break through 5 and hold the gains this week. The market will see that a JV will be the order of the day and not a share issue.

Its no scret that the powers behind this are frustrated at the resistence to the share price moving up but they should understand that this resistence is caused by the unknowns of a possible equity raising.

The buyers dont want to step up too aggressively in case a share issue is made to a broker. In my opinion there is absolutely no chance of this happening as the management want the share re-rated upwards not down and they have other ways to raise funds.

A JV has been mooted and is the most likely outcome.

Failing that, they would do a funding deal against the options which only have 14 months to run and are deep in the money.

Lastly they would surely go for a placement but to a single big hitter. Another Moly company has been mooted as well.

Last of all, is a share placement/issue/underwritten by a broker. Shareholders hate these with a passion and I'm told so do the RCH chiefs. I rate this an almost no chance of happening.

Well overdue for a re-rating to accurately reflect the massive value of its high grade resource.

Only a matter of time before a direct relationship is established with a Japanese or Korean Steel mill. They are starting to put out feelers to take positions in Moly companies due to the growing drop in world Moly investories and China putting a clamp on exports of this strategic metal.