st barbara

Think it has something to do with Mercator Gold (AIM listed).... I think they may be planning to use SBM's BlueBird plant in the future.

SBM have written this right down in there books as it is not being used at the moment.

If they were to start the plant up again Ive heard that the plant could be revalued at $30-50 million.

This would obviously then see a re-rate for the stock.

Here's a extract from the London Stock Exchange ...


Mercator Gold plc floats on AIM

The London Stock Exchange is delighted to welcome Mercator Gold to AIM.

Formed in March 2004, the UK-based gold exploration company’s strategy is to explore globally, large ground holdings prospective for gold deposits in and around known mining areas.

The Company’s first project is in the Meekatharra region of central Western Australia, where exploration now underway is targeting discoveries totalling 2,000,000 ounces of gold in orebodies greater than 500,000 ounces.

Prior to admission to AIM, Mercator raised £0.51 million in a private placing of 8.5 million units at 6.0p. (Unit = 1 fully paid share and 1 free piggy back warrant which will be listed and tradable). The proceeds of the placing will be used to fund an initial 20,000 metre drilling programme at Meekatharra. The Meekatharra properties have already yielded more than 1,500,000 ounces of gold from near surface oxide zones.

Mercator benefits from access to the SpaDis™ technology, developed by Vearncombe & Associates Pty Ltd. This is an exploration tool previously only available to major mining companies which allows for rapid processing of large geological databases and the prioritisation of drilling targets.

Patrick Harford, Managing Director of Mercator, said: “In the last year there has been a renewed investor interest in the gold sector. Our AIM listing enables us to take advantage of this favourable market and raise the capital we require to pursue our goal of making significant gold discoveries.”