something is up, page-3

The cheapest way for MRE to double their production would be acqusition. By buying GME it'll have a lot of synergies and not to mention that HL will be the easiest and cheapest way to produce Nickel in the future.

At this price, GME is very very cheap, the 3.5M shares traded is very supspicious, and there is a lot of evidence of SP capping, I wouldn't be surprise that someone is trying to suppress the sp and then make a mediocre offer e.g. 80 cents to make it sound good.

I think its time to accumulate more.





Minara May Spend A$1.3 Billion to Double Nickel Output by 2011

By Jesse Riseborough

Dec. 5 (Bloomberg) -- Minara Resources Ltd., Australia's second-largest nickel producer, may spend more than A$1.3 billion ($1.1 billion) to double production of the stainless steelmaking ingredient from its Murrin Murrin mine and plant by 2011.

The board will decide on an initial expansion plan of A$300 million in the first quarter of 2008, Chief Executive Officer Peter Johnston said by phone from Perth. That could boost production by as much as 10,000 metric tons a year to 45,000 tons.

Minara is planning an expansion to tap an expected increase in demand for stainless steel led by China. A lack of new nickel mines has driven takeovers with Xstrata Plc agreeing to buy Australian producer Jubilee Mines NL for A$3.1 billion in October.

``We just see a strong nickel market for the next two years, strong Chinese demand and limited new supply,'' Johnston said in an interview. The company plans to complete another study to boost production to 70,000 tons for A$1 billion, with first production by 2011, he said.

Minara, controlled by Glencore International AG, the world's largest commodity trader, fell 21 cents, or 3.2 percent, to A$6.28 at the 4:10 p.m. Sydney time close on the Australian Stock Exchange.

The price of nickel may range between $25,000 a ton and $35,000 a ton in 2008, Johnston said. Nickel for delivery in three months gained $255, or 1 percent, to $25,950 a ton on the London Metal Exchange as of 4:43 p.m. Singapore time. The price has halved from the record $51,800 a ton in May as stainless steelmakers cut back on purchases and draw down inventories.

``We expect that the stainless steel de-stocking cycle will come to an end in 2008 resulting in a recovery in demand, a drawdown of nickel inventories, and a rebound in price,'' RBC Capital Markets said in a report yesterday.

Minara hasn't fielded any takeover offers from Xstrata, the world's fourth-largest nickel mining company, Johnston also said.

``At this stage there is no talking,'' he said. ``There is nothing else to say other than it is one of many possibilities.''

To contact the reporter on this story: Jesse Riseborough in Sydney at