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yeah not good sold out at 19.5c -may buy back in but would be in the 13c--15c with a better gold price 600+ to off set the higher fuel & labour costs
-AGM up strongly to 16.5c then fell back on lighter volume to under 15c which looks great buying to me
-AVM great buying under 50c just check out the copper price
-with everthing coming together now years end should see 70-75c at least with futher sp highs as this high risk high reward hit full steam through 06
"With a good perspective on history, we can have a better understanding of the past and present, and thus a clear vision of the future." — Carlos Slim Helu
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What does this statement mean [?][?][?], Hmm But during his conversation, he hinted further consolidation in the West Australian nickel industry was inevitable.
Record-breaker at BHP seeks new targets
By Jamie Freed
August 27, 2005
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For some chief executives, completing the biggest cash takeover in Australian history and following with record-setting earnings in the same year might justify taking a breather.
But as BHP Billiton chief executive Chip Goodyear revealed on Friday, he has also been working busily on deals behind the scenes.
Project or company acquisition possibilities raised in the media were only "a tiny fraction" of the deals BHP considered, he said.
Looking rested and relaxed at the company's Melbourne headquarters two days after reporting a $US6.4 billion ($8.6 billion) net profit, Mr Goodyear spoke about BHP's growth plans, noting that the hunt for great projects was becoming more competitive.
The commodities boom resulting from the industrialisation of China and India meant "everybody wants to be in the mining business these days", he said.
Some might say BHP's massive size gives it a huge advantage in selecting projects, and Mr Goodyear said that held true - but only in some cases. Sure, he said, many a junior prospector dreamed of teaming up with BHP on its project. But due to the many corporate layers at a company as large as BHP, many ideas were killed off before they made it to his desk.
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Advertisement"It's very easy to kill a project, but hard to get one up," Mr Goodyear said.
The American executive then summed up his investment philosophy by quoting ice hockey legend Wayne Gretzky."You miss every shot you don't take," he said.
In the past decade, BHP often took a shot and missed the goal.
On Wednesday, it finally closed the book on the disastrous hot briquetted iron project, which had been approved before Mr Goodyear joined the company as chief financial officer in 1999.
But while Mr Goodyear said there had been a huge turnaround in BHP's success rate since the 2001 merger with Billiton, he did not expect every project to be a winner.
"Some of our projects will fail. They should," he said.
"If they don't, we're not out there trying hard enough."
He was careful to note he would rather see a $US10 million project fail than a $US1 billion venture. He also declined to mention specific projects BHP was targeting.
But during his conversation, he hinted further consolidation in the West Australian nickel industry was inevitable. He also said BHP was taking a good look at projects in Eastern Europe, India and Brazil, where the company's portfolio was lacking. The emphasis was on world-class finds unlikely to be discovered in the well-studied grounds of Europe and North America.
"In the new world, you have to go to new places," Mr Goodyear said.
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You are on a winner in AGM JBmurc  I'm keeping an eye on it!
Had a better read of Mincors report over the weekend and time to digest it.
Edify me if I am wrong someone [:o)][:o)]
They made 20.3 million profit + spent 32 million on 3 new mines and exploration out of cash.
This year their expenses for mine developement should be minimal!
Therefore they should report a profit of say $40,000,000 ( allowed $12,000,000 for exploration, etc.)
But wait theres more, a 30% mininal increase in nickel production.
$40,000,000 + 30% on $52,000,000 = $55,600,000 Profit
But wait theres more $55,600,000 + 5 to 10 million from TYC option sale.
So according to my calculation, if nickel prices stay around $19,000 a ton OZ, Mincor should report a profit of around $60,000,000 for this finical year.
Around 33c a share! Shares should be at least [?][?]
Food for thought
Cheers [B)][}]
And yes gold truely suks, CRS closed the Davyhurst mine last week, 100 jobs gone, mine losing money due to huge cost increases and the gold price remaining static over the last few years!
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Junior Member
I too did some figures and can only agree Tricha -- the sp is very light with expected earnings of $50m + -- however I am a bit critical of mcr - no budget for the new year and room to pay more now in dividends - delayed gratification taken to extremes
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Delayed gratification, hmm.Probably my impatience!
Just read BHP,s dividend, not flash.
As far as a budget goes, MCR do not need one. They have already spent and as stated and restated by Mr Moore - We are harvesting!
They do not need a budget.
Hopefully given another year they will be like JBM, high dividends and then we shall see the price go.
But you are quite right, they need a plan, like JBM, invest in more nickel mining, not go of chasing fools gold at the end of the rainbow! Like others tend to do.
That's where we shall see their resources increased soon, from all the exploration and great results.
Personally hold four of these stocks and could quite easily hold the rest.
Regards [B)][}]
By Polly Yam
HONG KONG (Reuters) - China, which consumes more than 10 percent of the world's nickel, is set to increase imports in September because of lower supply from its top producer, potentially driving up world prices, industry officials said on Monday.
Lower nickel imports in July tightened domestic supply and pushed up prices, making imports more affordable, traders said.
They said China's nickel demand had stayed strong, supported by increased production from stainless steel mills that use nickel to shine and strengthen their output.
"Supply is tightening. Imports should rise," said a merchant in eastern coastal province of Jiangsu, one of China's two stainless steel bases. Another base is the nearby Zhejiang province.
Spot nickel traded at about 152,250 yuan a tonne on Monday, up 3.2 percent so far this month. World nickel prices have risen 3.5 percent in August to $14,950 a tonne on Monday for the delivery of three months on the London Metal Exchange.
Domestic prices were expected to rise further in the next few weeks because of falling supply, traders said.
Jinchuan Group, which produces about 75 percent of China's nickel, will shut down a main furnace for repair between September 6 and October 11, cutting output by more than 4,200 tonnes, an official said.
China produced 47,965 tonnes of nickel in the first half this year, up 14.1 percent from a year ago. The June output was 8,703 tonnes.
China, which imports almost half of its nickel consumption, imported 3,841 tonnes of refined nickel and nickel alloys in July, down 52.5 percent from June.
Imports rose 78.6 percent from a year ago to 51,967 tonnes in the first seven months this year. Major nickel suppliers to China include Inco Ltd., BHP Billiton Ltd./Plc. and Norilsk Nickel, the world's top producer.
STAINLESS
Chinese stainless steel producers have expanded production to meet fast-growing domestic demand.
Industry officials said that was creating an oversupply of the alloy, used in household appliances, construction and the machinery sector.
They said China produced 1.69 million tonnes of stainless steel in the first half this year, up 48 percent from a year ago. But imports still rose 32.7 percent to 1.98 million tonnes in the first six months.
China consumed about 2.45 million tonnes of stainless steel in the first half this year, officials said, with about half million tonnes in stocks held by mills and merchants.
"Mills are expanding too much and too fast. But imports are still regularly coming in," a mill manager in Zhejiang said.
The most common grade of cold-rolled stainless steel, 304, traded at about 21,000 yuan a tonne for 2mm thick, down 16 percent from July and 25 percent from January, officials said.
They said stainless mills were reluctant to curb production because they wanted to keep their clients.
Beijing's cooling measures on the property sector also had reduced demand of stainless steel.
"There has been no signs of picking up. We believe that is it for the rest of the year," said a trader for a mill in Qingdao in the northeast. Demand in previous years had started picking up in September after the summer slowdowns in the building
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Junior Member
Hi Tricha,
What IGO report are you expecting?
Cheers, Sid
Take what you need, leave the rest.
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Hi Sid
After the Preliminary Final Report which I would have thought would have been out.
Worked out Mincor the better option, disapointing last quarter from IGO.( But I'm sure better things to come) Report not that important, as nickel price 3 months behind and not final.
Been sliding out of IGO back into Mincor, rate Mincor the best value at the moment.
Mincor slipped slightly this week due to dividend date.
SMY loooking great buying at 78 cents, good brief out! Plenty of upside here.
Nickel – 2007 price forecasts are lower
Source: Purchasing
See also:
Nickel Board
Nickel CatalogNickel prices are going to slide though 2007, suggest Jim Lennon at Macquarie Bank, Alan Heap at Citigroup and Fraser Phillips at RBC Capital Markets – because of expanded supply ahead. Nickel prices are projected to average $7/lb this year. Lennon sees tags sliding to $6.50/lb in 2006 and $5.75 in 2007. A more-bearish Heap sees nickel averaging $5 next year and $4 in 2007. While Phillips forecasts $7 in 2006, he sees $6 in 2007.
Nickel futures traded on the London Metal Exchange (LME) have risen by 60% over the past two years as output from mines has lagged world consumption driven by Chinese demand for stainless steel. Demand for nickel is expected to exceed supply by 16,000 metric tons, Standard Bank of London has calculated. Toronto-based Inco has a major mine and smelter project already underway in Canada and is plotting another development project in New Caledonia. Melbourne-based BHP Billiton also is planning a billion-dollar project, in southwestern Australia.
Have a great weekend [B)][}]
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Two good broker reports out on Mincor recently (WWW.mincor.com.au)under broker reports.
Mincor weakened due to dividend, suspect JBM on dividend as well.
WSA going for it!
Nickel Prices To Fall As Demand Softens - Citigroup
Wednesday September 7, 11:24 PM EDT
SYDNEY -(Dow Jones)- Nickel prices are expected to come under continued short- term pressure from relatively weak global demand reflecting oversupply in the stainless steel industry, according to Citigroup analysts.
Cutbacks in stainless steel production, nickel's main consumer, and increasing scrap consumption should see prices continue to ease from May's peak of US$8 a pound to average US$6.63 this year, Thomas Price and Alan Heap said in a report.
Nickel's long-term outlook is even bleaker, with prices set to average US$5 next year and US$4 in 2007, they said.
"These are still substantial prices for current producers, although it may bring into question the viability of some small- to medium-size projects scheduled to come online over that period," the analysts wrote.
Despite China's booming industry, global stainless steel growth is slowing, with first-half output this year up 5.7% compared with 7.8% in 2004 and further cutbacks likely to mean negative growth in the second half.
Falling stainless steel prices and higher alloy surcharges are behind the cutbacks, they said.
Increasing scrap metal competitiveness and availability are also likely to eat into global demand for primary nickel, Citigroup said.
On the supply side, growth in mine production has been less than expected, offsetting demand weakness.
However, Citigroup still expects an increase in mine supply of almost 100,000 metric tons next year, half from Inco Ltd. (N)'s (N.TO) Voisey's Bay operation in Canada and half from expansions at small operations mostly in Western Australia and Europe.
Key areas of short-term supply uncertainty include a protracted strike at Inco's Manitoba operations, and labor disruptions at Voisey's Bay, the analysts said.
New projects and capacity expansions in China are almost entirely supporting forecast growth in global stainless steel production, they said.
Global primary nickel demand for 2004-2008 is forecast to increase at 3.5% thanks to China's 26% growth, as demand in Europe and Taiwan stays flat, Japan's falls 6.5%, South Korea's slides 4% and the U.S.' eases 1.4%.
-By James Attwood, Dow Jones Newswires; 612-8235-2957; james.attwood@ dowjones.com
-Edited by George Bernard
(END) Dow Jones Newswires
09-07-05 2324ET
Copyright (c) 2005 Dow Jones & Company, Inc.
© 2005 Dow Jones & Company, Inc. All Rights Reserved.
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