i came across an old hgzone post

I communicated via email with HGZone almost daily for over 3-4 years.

Prior to his passing he had shared his market knowledge and tips with me which ALL proved to be profitable. Stocks such as GMR (when was 3c) and AMX (when was 20c) are some examples that come to mind.

But out of all of the stocks we had discussed there was none that stood out more than AVB.

HGZone told me that AVB was a once in a lifetime stock.

Below is some of his best work from Feb 2010:

The prefeasibility study, although very attractive in terms of returns is at the same time a base model only and one that is unlikely to be followed. But you have to show the market something from the independent consultants to keep the punters happy.

The real strategy was alluded to in the announcemnt and again in Tony Polgase's interview which was recorded (highy recommend a listen, its an excellent interview).

They are going to rip out the super high grade Chalcocite and truck it direct to the smelter.

But as they haven't put down more than 3 holes in this area it can hardly be modelled in PFS by consultants.

The off the cuff judgement around the company is that there is 4,000 - 6,000 tons of this stuff at above 30% Cu in there but they haven't finished drilling it so its just a unsupported judgement.

But for arguments sake, say there is about 5,000 t at this grade and it cost you less than $2.0M to dig it out (you can dig the entire HGZ out for that by the way) and it takes 3 months to dig it and truck it then you are talking about about a net $US30M after all costs over a 3 month period. Why wouldn't you run with this model given you dont need to build a plant first?

By the way, did you notice the super high % of the ore that is considered to be free dig? I think from memory without looking it up again that it was around 90%. Not much drill and blast needed here folks.

No plant is needed except for a hiring of a mobile crushing unit for this intial strategy so there is no need to first build a $9M plant because you can direct ship the ore to the in- country smelter given the high grade. And as the cartage contractor gets paid in arrears all the company has to fund is the initial $2M and thats likely to come from a JV partner. The fact that the company has not gone to a raising and has told everyone who asks that they have the funds at hand to drill the Nickel, indicates to me that a JV will be consumated. And the only reason it hasn't been done done to date is that the parties who have put deals on the table and who are not quivelling about money but want too much control. They want more say than is agreeable over all of AVB's ground outside the immediate copper resource.

Once they drop these demands (try on by the various Canadian companies) they will get a deal is my view. By the way, AVB has not gone looking for a JV partner. They have all been unsoliciated approaches from numerous Canadian companies.

Just a fabulous story.

The Nickel, as far as I know is off limits for all JV discussions and will not be farmed out. Its rated so highly by Matt Wood (Chairman, Geologist and Nickel specialist) that it will just not be shared with any other company at this stage. This is a potential life changer, company making piece of ground with a massive structure and a large shallow gravity and IP anomoly only 100 netres under surface. You can see where the first, almost random hole missed the area that has since been identified by this big gravity survey anomoly. But still that first and only hole still showed a large low grade Nickel Sulphide inetercept. Hence proving the theory that the structure is a host to Nickel Sulphides.

The market has yet to appreciate what they have already achieved and what they may achieve both from their other high grade Copper targets yet to be drilled and from this large Nickel target. The proof of that statement lies in the fact that AVB's market cap is similar to many companies that have absolute jack shite.

But these jewels are always unlocked and so will be the case here.

One of the best junior explorers I've seen in 30 years of studying them. To even have prime ground in the Carajas in Brazil is a rare feat in itself.

I haven't even got onto their Iron Ore ground (in the Carajas as well) and their Zinc/Lead ground (different location in Brazil).

The only thing that stopped this little company from achieving greatness was the GFC which total polaxed them when they were already low on cash.

The struggle to get back up on their feat has been a grim struggle but they did it and also found a high grade copper JORC to boot. Now its time to drill some big kahoona targets.