armchair elevator ride getting closer

I've thought a lot about the events of the past month and the hurdles ARM have cleared with respect to market hicups, overturning negative perceptions and market manipulation.

Then I looked at the recent presentations and took a dose of sanity medicine.

ARM are about to commence drilling on one of the largest occurences of outcropping HIGH GRADE Manganese in the world. A nice juicy photo or reports of manganese at depth will send this stock into orbit.

With only two major greenfields discoveries in WA in the past 30 years, success at Capricorn Southeast will see it become No3 and crack open the greater Capricorn area to a flood of exploration. With ARM controlling the Manganese, the Wanna Syncline and the Talga Fault, I guess there is only one Company left to deal with.

Putting things into perspective and based of the Bootu Creek resource model - here are some rough share price valuations for ARM:

10 Million Tonnes Beneficiated High Grade = +$3
20 Million Tonnes Beneficiated High Grade = +$6
30 Million Tonnes Beneficiated High Grade = +$10
40 Million Tonnes Beneficiated High Grade = +$17 - Woodie Woodie scope
100 Million Tonnes Beneficiated High Grade = +$50

These figures are based on the Bootu Creek +22% model. The higher the grade - the higher the share price.

Bootu Creek = 7km of strike within 21km zone
Capricorn Southeast = 96km of Bedrock Strike repeated on 3 parallel zones - over 70sqkm of laterites - further exploration to come.

Given the size of the prize I can almost bet my house on it that the program of drilling will be designed to create and maintain serious momentum.

IMO
DYOR