GIP Gippsland Ltd

[stolwyk]

GIP--GIPPSLAND LTD: http://www.gippslandltd.com.au/

BigChart: http://bigcharts.marketwatch.com/javachart/javachart.asp?symb=AU%3AGIP&time=&freq=

Shares: GIP: 114.5 mill. Options: 43.7 mill, code: GIPO: Converts on or before Dec 2007 on payment of 9 cents.

Corporate: Seeking Listing in London (AIM board). Listing could take place on 8 March:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=255143


Exploration and Mining.
1. Egypt.
Oct 3. 2001: : New Project - Egypt - Tantalite Deposit: Egypt 50%, GIP 50%:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=202992

Jan. 22, 2002: Abu Dabbab Tantalite Deposit:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=209638

March 26, 2002: Transaction - BFS - Lycopodium (BFS=Bankable Feasibility Study):
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=213489

July 24, 2002: Abu Dabbab Tantalite Project Feldspar Results:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=220051

What is Feldspar? http://mineral.galleries.com/minerals/silicate/feldspar.html
Much feldspar is used in the manufacture of high quality ceramics, eg tiles, sanitary ware.

What is Tantalum? http://www.pacificomc.com/en/products.php#tantalum
http://www.reade.com/Products/Oxides/tantalum-pentoxide.html

Dec 19, 2002: Italian Feldspar Testwork: Positive outcomes:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=229923

March 18, 2003: Preliminary Scoping study results and extension of study (NPV: $US127 mill., Disc=6%, $A=US 60 cents):
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=234752

April 15, 2003: INCREASE IN NPV OF THE ABU DABBAB PROJECT to $US 159 mill (Disc=6%, $A=US 60 cents):
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=236066

May 29, 2003: Abu Dabbab - Ministerial Decree - Process Plant Site:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=238219

Sept, 15, 2003: Major off-take of 2.65 mill. tonnes feldspar:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=244430

Sept. 22, 2003: THREE-FOLD TANTALUM RESOURCE INCREASE - 122 MILLION TONNES.
The Directors of Gippsland Limited ("Gippsland" or "the Company") are pleased to announce that Gippsland's 50%-owned joint venture company Tantalum Egypt has been granted an exploration licence ("Licence") over a 16km2 area of land in Egypt which includes the 82 million tonne Nuweibi tantalum-feldspar deposit.

The Nuweibi deposit is located 15km from the 40 million tonne Abu Dabbab tantalum-feldspar project which is also owned by Tantalum Egypt:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=244904

Nov. 6, 2003: Confirmation of JORC Code Tantalum Resources - 138Mt ( Ta2O5 Inventories from both projects):
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=249129

Febr. 2, 2004: Abu Dabbab - Tantalum Off-take (correction):
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=254726


2. Australia
Tin. Tasmania: http://www.gippslandltd.com.au/projects/ZeehanTasmaniaTin.pdf

Gerry
Readers, please do your own research and you decide if and when to buy, hold or sell any stocks.

[stolwyk]

Comments on post 1:
Please refer to:

March 18, 2003: Preliminary Scoping study results and extension of study (NPV: $US127 mill., Disc=6%, $A=US 60 cents):
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=234752
________________________________________

Comment:
This took place prior to later upgradings to the Abu Dabbab project and the acquisition of the vast Nuweibi deposit. It is therefore only a starting point.

The then $US rate was A60 cents and today it is A77 cents. This would affect the NPV if expressed in $A.

The Discount rate =6% is a bit light but to obtain project finance, this will probably be adjusted.

Also, the price of materials has changed: metal tin was $US 3954 /tonne and is now $US6705 /tonne.

However, the projects have significant advantages:
1. Little or no exploration is necessary; however, at some stage the Egyptian Government could allocate further projects of any kind, eg. gold, silver.

2. Some very high quality deposits which should command premium prices. This could result in them not really becoming involved in meaningful competition.

Already the Italians are very keen to replace some inferior product by theirs:
Febr. 2, 2004: Abu Dabbab - Tantalum Off-take:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=254726

3. THe location is very central and close to some of the biggest Ceramic tiles and sanitary ware makers in the world: Italians. The Far East also want this superior product.

This location means that Australia who has some superior product, is being exposed to ever increasing freight rates over these long distances to Europe.

4.This scoping study was done on the understanding that 1 mill tonnes /year would be mined and soon after some more tonnage will be added.

Now with the addition of project Nuweibi, it is likely that they will be talking about 2 mill. tonnes. This of course could be very good news for the Investor.

Gerry
Readers, please do your own research and you decide if and when to buy, hold or sell any stocks.

[stolwyk]

UPDATES:
March 10, 2004: Commences Trading on AIM - Raising A$1.7M:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=257149

May 17: Offtake agreement signed for Tantalum
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=261677

June 22: Nine new gold/copper/nickel projects in Egypt:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=263646

July 7:Copper-Nickel Results:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=264469

July 30: Quarterly: Cash: $1.071 mill, outflow: $0.312 mill.

Fourth Quarter Activities Report:
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=266038

Aug. 27: Abu Dabbab - Free Trade Zone
http://stocknessmonster.com/news-item?S=GIP&E=ASX&N=267978Abu Dabbab - Free Trade Zone


Gerry

[stolwyk]

There has been some discontent re delay of the Bankable Feasability Study (BSF) but it all falls nicely into place after all.

The two events which have put a positive slant on GIP are:
EVENT # 1:

Aug 27: Announcement: ABU DABBAB – FREE TRADE ZONE
"Following discussions with the Egyptian General Authority for Investment and Free Zones
("GAFI") Gippsland Limited ("Gippsland" or "the Company") is pleased to announce that the
Company's 40 million tonne Abu Dabbab project will operate under the umbrella of a specially
established Free Trade Zone ("FTZ") which will provide a number of significant long-term benefits to the project including but not limited to the following:

1. Zero import duty for plant & equipment plus Abu Dabbab project consumables;
2. Zero sales tax; and
3. Zero general and Company profit taxation.
The benefits provided by the FTZ will apply for the life of the Abu Dabbab project and the Company's nearby 98 million tonne Nuweibi tantalum deposit.

GAFI is Egypt's "One Stop Shop" for investment, easing the way for investors worldwide to take advantage of Egyptian investment opportunities with emphasis being placed upon export oriented industries.

GAFI is the primary governmental authority concerned with facilitating foreign investment and assisting with a range of services which are provided at no cost to the
foreign investor.

The ability of Gippsland to reach this milestone agreement with GAFI to establish a project specific FTZ (the first of its kind) provides clear evidence that the Abu Dabbab project is enjoying a very high level of support from its joint venture partner Egyptian Geological Survey & Mining Authority, and the Egyptian Government.

The Board of Gippsland is delighted with the progress and status of its joint venture with the Egyptian Geological Survey & Mining Authority.

The Company's consultant engineers Lycopodium Pty Ltd are currently finalising the Abu Dabbab Bankable Feasibility Study which will now make allowance for the benefits provided by the FTZ.

The Bankable Feasibility Study will be delivered to the Company during the week starting 6 September 2004.
Yours sincerely
RJ (Jack) Telford
Executive Chairman

+++++++++++++++++++++++++++++++

That alone justified the BFS delay and obviously greatly increases the profitability of GIP.

EVENT # 2:

THE DEMISE OF GSW, a potential competitor:

Thanks Miningnews.net.

"Sons of Gwalia in administration

Michael Quinn

Monday, August 30, 2004
SONS of Gwalia, the Australian mining company credited as being amongst the first to employ gold hedging on a grand scale, has gone into administration after a review of its gold operations raised concerns about its ability to meet its hedge commitments.

The company said that the decision to go into voluntary administration was taken after it was unable to gain unanimous support from creditor counterparties for a "standstill agreement" – to allow a reorganisation of its business – and as such, it was "likely to become insolvent".

Andrew Love, Garry Trevor and Darren Weaver of Ferrier Hodgson have been appointed as administrators.

Gold reserves at June 30, 2003 stood at 3.27 million ounces, whilst the company had over 3.13Moz hedged as at June 30, 2004, of which 1.77Moz were put options. In fiscal 2004, Sons of Gwalia produced over 521,000 ounces.

Pit slippages at the Tarmoola operation north of Leonora since late 2003 and the less than spectacular performance of the relatively new Carosue operation have hindered the company's gold division in recent times.

MiningNews.net was unable to contact Sons of Gwalia managing director John Leevers.

However Leevers knew he was in for a tough time soon after he took over the reins of the company earlier this year from founders Peter and Chris Lalor.

"There is no doubt that at the moment we have limited viable reserves ahead of us at today's gold price in our Leonora area," Leevers told MiningNews.net Premium in July

"We believe we can manage our level of [hedging] commitment and enab

Oh A Ramping We Will GO

[Packersoldkidney]

Well, well, well, well. This co. proves timing is everything. Lotsa news about this one recently, and the heads and options are both charging ahead. No production until 2006 - but the company is looking the goods even at this very early stage. I take it Mr Stolwyk is no longer a stakeholder in the company given that he aint posted on it recently. This one looks good to me, I don't have a position in it, but I'm looking at it closely.

[paul29]

always liked this company miner put me on to this company a few years ago at 5c

[Packersoldkidney]

Hope you stick with it, Paul. Well done.

[Packersoldkidney]

Things are starting to fall into place for this company....their Egyptian project is world class, and it looks as if they are in the start of an uptrend.

It has taken them a long time to get to where they are now, and even the patience of long termers would have been tested.