News: MacPhersons Resources raising up to A$10.4M to complete Nimbus BFS, page-14

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mainholm

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07/08/14

21:24

Post #: 13786794
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Originally posted by DrDann ↑

I am not an expert of any description, but am happy to outline my reasons for liking MRP.

Firstly, my understanding is that the mine closed previously because it was uneconomical to mine. You have to remember that the price of silver for much of the 2000s was about $5 ounce. It is now four times this.

MRP have announced a capex of about $60M and operating costs of about $15 ounce. In a recent announcement they actually reported that both these costs will come in lower and mine life extended, without giving specifics.

The recent share placement was well subscribed with the chairman putting in 1M and Orion mine finance topping up to just under 20 percent of the company. Apparently MRP is the only Australian company they have taken an equity position on. From this, I assume funding is obvious. Funding is often the biggest killer for these mines.

These ventures generally make money when they release resource updates, deliver BFSs, announce funding and go into production. All of these things are happening soon for MRP with production next year.

Most of all, I see very little risk. To me, it seems like it is pretty much a done deal.

can I suggest you go through the announcements over the past 18 months which will explain and clarify all of the above.

There are no certainties in life or the sharemarkets but i really like the odds on this one.

i am not an expert and have been wrong before. Read up and see what you think.

i think the SP will go north and I think this will happen soon. Best of luck.

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I've been watching for some time now and decided to take a position today upon the SP drop. The resource and reserves look good. I look forward to the BFS. I agree with your opinion about finance looking good with the major investor.

Although I'm conscious that Mr Market doesn't rate developers fairly, I'm prepared to wait just like my investment in AMI took a bit of time to pay off handsomely.

Cheers

MRP Price at posting: 15.5¢ Sentiment: Buy Disclosure: Held
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News: MacPhersons Resources raising up to A$10.4M to complete Nimbus BFS, page-14

Top Stories

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Red Mountain Mining: record gold prices, two projects, two greenstone belts

Perseus Mining boosts stake in Predictive Discovery to 19.9% as latter's flagship project stalls

Orthocell kicks off collagen-based dental bone repair product sales in Canada; eyeing next stop Brazil

Laramide sniffs prime Kazakh uranium, with agreement over 6000 square km land position

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HotCopper users blunt as Biotron sinks -35%; long-awaited COVID drug results same as placebo

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