I saw this article on Centamin recently. This resource is trully...

I saw this article on Centamin recently.

This resource is trully massive already (9 Million Ounces), and there is significant upside (15-20 Million).

I was a tad concerned about the antiquated Egyptian tax laws, but I emailed the company and they told me that they have an excemption.

So as far as I can see this, company has a huge resource, 10 drill rigs going flat out, and huge upside. Its way under the radar. Westwind Partners have a $1.80 target, and that was before the recent upgrades and drill extensions.

here's the article...

Centamin Sees Further Gold Resource Growth Ahead

By Sarah Belfield
29 Jun 2007 at 10:46 AM

PERTH, Australia (ResourceInvestor.com) -- Perth-based outfit Centamin Egypt expects resource figures to climb again at its 9-million-ounce Sukari gold deposit in Egypt, where hopes are for a start to production in 2008.

Centamin Egypt [AIM:CEY; ASX:CNT; TSX:CEE] added 750,000 ounces to the Sukari resource in May after incorporating 3 months' worth of drilling data. The process brought the resource to 194 million tonnes grading 1.44 grams per tonne gold for 9.01 million contained ounces. The figure included measured, indicated and inferred resources. About 4.4 million ounces fell within the measured and indicated categories.

Since then, the company has come across a mineralized intersection about as long as 4 Olympic-sized swimming pools placed end to end lengthwise.

The intersection in question measured 197 metres grading 2.18 grams per tonne gold and included a higher grade subinterval of 100 metres at 3.51 grams per tonne.

The company said the mineralized zone was outside of the 9-million-ounce resource and the current envelope for the optimized open pit. The drill hole concerned, RCD1073, was part of a wider campaign to examine depths below the optimized pit.

Centamin told the market it was "extremely pleased" with the intersection and that additional drilling in the area would "clearly lead to further significant resource growth".

The results came from drill testing of the Amun zone. Of the four mineralized zones making up the Sukari project, the Amun and Ra zones host most of the mineral resource, according to Centamin.

Significance

Centamin said the intersection indicated the mineralization's host, the Sukari Porphyry, was not thinning at depth as was previously thought.

Thanks to the jumbo intersection, Centamin has flagged its intention to do additional drill testing in that area of the Amun zone. However, company chief executive and managing director Josef El-Raghy was unavailable to relay further details.

A broker to Centamin, British firm Ambrian, this month kept its buy recommendation on Centamin's AIM-listed shares, which were priced at 46.25 pence sterling upon close of trade Thursday.

Ambrian metals and mining researcher David Coates said that the company's recent sub-pit intersection added a new dimension to the Sukari geological model and that "the potential size of the gold resource needs to be re-thought".

"It has been our internal house view that the resource could grow to between 15-20 million ounces on the current model and comprehensive drilling," he said.

He said it seemed clear that the envisaged initial open-pit mining of a reserve of 78.3 million tonnes for 3.7 million ounces would now be a starting point.

According to Coates, the intersection, plus others encountered at depth, signalled "the potential for an underground mine to operate concurrently with open-pit operations eventually".

"This could result in a production rate of the order of 600,000 ounces per annum."

Near-mine Exploration Begins

Alongside work at Sukari, preliminary exploration began in mid-June at what Centamin called near-mine prospects.

The work plans, entailing mapping, rock-chip sampling, trenching and drilling, involved the company's 160-square-kilometre Sukari mining lease, which was granted in 2005.

According to Centamin, several areas of interest were host to historical gold production.

The Student, Pincer, Roman Garrison and Mike prospects were highest on the company's priority list because they were close to what eventually would be Sukari mining operations.

Toronto Listing

Centamin's TSX-listed shares last swapped hands at C$0.99 in Thursday afternoon trading.

Centamin listed on the TSX in April after raising about C$140.7 million via the placement of around 164 million shares at C$0.86 each. Later that month the company raised a further C$10.5 million after Toronto-based brokerage Westwind Partners exercised an over-allotment option for additional Centamin shares. Westwind acted as Centamin's agent in the TSX listing.

In April, Westwind had a one-year target price of C$1.65 for Centamin shares.

Part of the funds raised in the TSX listing were tagged to go towards Sukari development.

A financing facility of up to US$100 million was also being arranged by Barclays Capital.

Centamin said completion of Sukari financing was expected in this year's third quarter. The company has been filing its ASX quarterly activities and cashflow reports on the basis of a July-to-June financial year.

The Sukari definitive feasibility study done by Roche Processing Engineering in February estimated a project development capex of US$216.5 million.

Construction was scheduled to begin in July. Centamin was looking to annually produce 200,000 ounces of gold at average operating cash costs of US$290 per ounce over 15 years.

Centamin reported net assets of about A$94.7 million as at March 31 (unaudited). It had no non-current liabilities.