Judge management by what the coy has done as opposed to the postings of someone who insist on living in the past.
AOH Management have just raised $70 mill to forge ahead with production in Finland and for further drilling in Roseby.
Altona has completed some 4,127m of RC drilling at the Legend, Scanlan and Blackard deposits. The programme follows the completion of a review of all prior Resource estimates at Roseby.
Major drilling programme planned to capitalise on excellent results.
The drilling illustrates the potential for significant expansion of current Resources and to lift the confidence class of Resources by in-fill drilling. Consequently, the Company has commenced planning a 25,000m RC drilling programme to commence in March 2011.
Within the next 12 months Altona will be in production in Finland and in the next 14 months Xstrata will have to make a decision as to whether or not it will take up its option at Roseby. If Xstrata does take up its options at Roseby this will be a huge cash wind full for Altona, which would enable Altona and Xstrata to develop Roseby as partners.
If Xstrata doesnt take up its Roseby option, this would give Altona the right to develop the whole of Roseby on its own using the profits from copper production in Finland. The timing is perfect for Altona; this can only be seen as a win win for AOH shareholders.
The Roseby copper project near Mt Isa in Queensland is one of Australia's largest undeveloped copper projects. Altona's aim is to increase resources beyond 1Mt of contained copper and to upgrade the DFS to a production target of 40,000tpa copper. Companies who successfully develop this profile achieve a market capitalisation in excess of $1billion. http://www.altonamining.com/media/uploads/documents/RIU__Canary_Sydney_May_2010_Presentation.pdf
Even with the Equity Raising this would value AOH at well over $2 per share.
AOH also got a mention as one of Foster Stockbroking preferred developers. --
Preffered Developer:
"Altona Mining, as its Roseby project in Queensland is one of Australia's largest undeveloped copper deposits (about 900,000 contained tonnes)".
AOH Price at posting:
32.0¢ Sentiment: Buy Disclosure: Held
