loving these latest developments

The more I get to know about this project, the more I love it, not least because of its top notch environmental credentials.

Volume and price pick up is the best it's been in London since early last year and a breakout is finally on the cards.
http://www.sharecrazy.com/share2607share/share.php?epic=GIP

Institutional and market maker buying is on the "ask" highs this time around with over 3 million shares transacted in one trade the other night in London, which despite having less shares on offer than in Australia, still sets the tone.
http://www.lse.co.uk/ShareTrades.asp?
shareprice=GIP&share=GIPPSLAND_LD_ORD_SHS_NPV

There has even been some new director buying recently, after several years of none
http://au.finance.yahoo.com/q/ait?s=GIP.AX

JT presented at the U.K. Minesite conference lastweek.
http://clients.westminster-digital.co.uk/minesite/microsite/events/38/video/index.aspx?companyID=38_3
Some new and confirmed pointers from the presentation included:

- 2007 is on track to be GIP's most significant year since listing in 1969 (this year's Xmas message was also noticeably upbeat compared to past ones)

- no need for the budgeted staff village to be built. Accommodation remains cheap in the nearby, beach side resorts with their Red Sea diving and sailing on tap. $39 per night full board sure beats hard roof prices in outback W.A.

- over 80 % of the dirt dug up should be sold when the feldspar is being processed along with the tin, tantalum and niobium (it is very rare for a mine to have so little waste).

- gravity feed processing using sea water to separate out the minerals, so no need to tap into precious land based supplies.

- the high grade feldspar will be sold by way of long term contracts to the Italians, starting in 2011. By the time that happens, at least $15 million p.a. will be added to the bottom line, which will make the current IRR look "silly" (the initial project IRR was based on just the tantalum and tin for the first 13 years for only the first mine), to the up side that is. "Blue sky" was even mentioned. BTW, that income figure exceeds GIP's market cap (U.K. presentation - various currencies used).

- diesel fuel in outback W.A. is still roughly an order of magnitude higher in price than GIP can get it at.

- more gold claims are in the pipe line than the nine ex-mines GIP has started to survey. A recent Egyptian announcement may or may not be related.
http://www.amcham.org.eg/bic/tas/View_projects_email.asp?i={D394E60E-1E51-40A3-9A06-5075EC5B5581}&project_ID=10669

- still no uranium claims, so GIP is still the real deal and unlike various other tantalum miners / deposits, untainted and won't have any transport and processing issues with the new international regulations coming into place.

- on track to be the world's second biggest supplier of tantalum and once again claiming that GIP could become the world's biggest supplier in years to come (this is an interesting comment given the hopes some have for delisted SGW with its increasing costs, declining grades and nearly one billion dollars in claims against it).

- dumping of a long hoped for deal with the World Bank (which financed most of the gold drilling to date - a first for Egypt), not due to disenchantment, but because a potentially much better deal was on offer this year through German interests (Germany is a world leader in tantalum processing and the financing would potentially attract low interest rate, developing country support from the Government)


Technology stocks are finally picking up again both here and in the U.S. An obvious example of late is T3. This won't hurt GIP, which is looked upon as a mobile phone, tech type stock of sorts by many, rather than a miner. Even China's Orient Tantalum is finally threatening to break out of a long base pattern.

Tin is doing well:
http://www.mineweb.net/base_metals/541707.htm
Tin reaches 17 yr high - and further price rises predicted
Lawrence Williams 28-DEC-06
"The current market shortfall in tin production over rising consumption is put at some 25,000 tonnes for next year."

The overhang of tantalum appears to be gone:
http://www.ttiinc.com/object/me_zogbi_20061106.html DLA Tantalum Stockpile to be Exhausted in 2007
The Defense Logistics Agency (DLA), which has stockpiled tantalum ore for decades, will exhaust 100% of its resources in calendar year 2007. This MarketEye article looks at the potential effects on the supply chain for tantalum capacitors.
Dennis Zogbi November 06, 2006

"The loss of the DLA supply of tantalum ore will leave an estimated 150,000-pound deficit in the market in 2007 and a 350,000-pound deficit in 2008. The timing of this event is unfortunate because of existing supply constraints."

"In 2006 and 2007 the global capacity to produce tantalum capacitors in units should increase by about 15%."