With the talk that 3 companies SFR CDU and RXM will issue a resource estimate during 2010 there is a whisper that Sandfire could announce that they have a maiden resource of 5 to 10 million tonnes of copper.Doesn't seem a lot. Now I would like to refer to a news item , The Advertiser 23rd December 2009 Sarah Martin Reporting on the Revival of the Copper Coast. A paragraph quotes,
" Head of Resources Research at Baillieu Stockbroking Ray Chantry last week (16/12/09) said the Hillside Project's initial resource was likely to be 100 million tonnes of ore at a grade of 1 per cent copper. What they announced (RXM) during 2009 was some of the most exciting greenfields copper intersections in Australia " The report was ended saying , "It was still early days yet etc " Seems to be a bit of a big gap between the two estimates , SFR and RXM in my opinion then again how good is this researcher Mr Chantry .Could his comments be the reason why they , Baillieu were the underwriters to the recent capital raising. You would like to believe that he has done a fair bit of research before making a comment like that. In other media releases in respect of mineral issues he does seem to be very knowledgeable about his subject matter . At the end of the day if RXM keeps hitting mineralisation Mr Chantry could be well right. Time will be the judge .
RXM Price at posting:
$1.38 Sentiment: Hold Disclosure: Held
