Interesting reading in the Australian 27/10/08 "Carey Smith, from boutique stockbroker Alto Capital, was also prepared to stick his neck out at the conference with the prediction that within the next few years the price will be between $US15,000 and $US17,000 a tonne -- against $US10,000 at the Friday close. He also predicts global mine closures, and the juniors will have little or no access to capital for exploration. Well, that certainly cheers you up, doesn't it?
Fortunately for Mithril Resources (MTH) it manages two exploration projects that are financed by BHP Billiton (BHP). Earlier this month it also received a $100,000 grant from the Northern Territory Government. Mithril by next week will start a drilling program at its Blackadder nickel discovery 150km east of Alice Springs.
Mithril hit a new 52-week low of 9c on Thursday.
Other nickel plays that got hit last week included laterite producer Minara Resources (MRE) -- a $7.26 52-week high, 51c on Thursday, 35c on Friday -- along with Vulcan Resources (VCN) and Western Areas (WSA), a company with a 52-week high of $12 but last week shedding another 56c to close at $3.
CASH flow will be king in the gloomy times ahead -- months or years, depending on one's level of pessimism. Few companies are going to be able to go to the market for more money until there is a dramatic rebound in commodity prices.
Mithril also has a large land position in the West Australian section of the remote Musgrave mineral province just west of the Northern Territory-South Australia border." Uncle is looking at buying but will see what next weeks brings....good luck....
MTH Price at posting:
12.0¢ Sentiment: None Disclosure: Not Held
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