I noticed that M&G have also still been selling, but they dont account for all of it. I also hear that Dundee Corp of Canada made a visit to Rocklands recently and have heard on the grapevine that they may be considering coming back into the CDU stock at these prices. I think they sold out at around $4.50 a few years back and may be coming back for a bigger bite than before now that its getting closer to production and that may be the support for the $1.65. Only a rumour. Anyone heard it? Dont take this as a 100% only a Curry rumour that came through the grapevine.
Also the local newspaper in Mt Isa NW Star (see internet) that Glencore have got rid of all of the dead wood up there and at Ernest Henry. About 5 Senior people in management and development who weren't performing have been given the marching orders with 6 months pay. Maybe without the dead wood Xstrata may want to talk a deal on Rocklands. Didn't mention who went, basically just getting rid of non performers. Maybe after dumping the"trash they have the cash"to support CDU at $1.65.? Who knows, stranger things have happened.
What would I know I'm just a surveyor of everything. BHP's Escondida Mine in Chile in strike today and another of their Chile mines joining the strike, big problems with Rio at their collapsed mine in the US, Kennecott having to cut back production in Indonesia, Xstrata stopping the Tampankan Mine in Phillipines. Rio's Mongolia Mine closing putting off 2,000 people today, shutting the underground as well, all looking like a supply squeeze coming could also explain the support at $1.65. Once M&G has departed the spring will uncoil the SP.
CDU Price at posting:
$1.64 Sentiment: None Disclosure: Held
