Yr High: $0.755 Yr Low: $0.22 Now: $0.345 Buy: at market
"Recommendation: Buy at market Mineral explorer MMB as advanced nickel-copper-platinum-palladium projects in Canada and projects in east Yilgarn and east Kimberley, WA.
Why Buy? There is a long way to go before Thunder Bay might be declared a development proposition, but the signs are promising and platinum is an attractive commodity, all the more so with the current flight to gold and other precious metals.
Although it has other exploration projects, MMBs attraction is platinum and palladium prospects in Tunder Bay, Ontario, Canada.
And in September multinational platinum producer Anglo american subscribed for a shareolding amounting to 10% of MMBs capital on a fully diluted basis. It paid 60cents a share, about a 40% premium to the market pricea t the time. In total, it paid $8.08million - petty cash for the mining giant. It is clear AA considers Thunder Bay worth exploring.
MB says the funds will be used primarily to complete its Thunder Bay drilling program and finance follow up drilling and surveys. Initial resources estimates are expected by the end of the first quarter of 2009.
In present saremarket conditions, where speculative stocks are under the pump, MMB is holding relatively well.
MMB Price at posting:
30.0¢ Sentiment: None Disclosure: Not Held