MCR - Mincor Resources - Nickel Producer

**tricha** · 08-04-2006, 03:11 AM

If u read between the lines, as soon as David Moore wraps up TYC ( 16 million cash to Mincor), expect him to re-focus on gold.

http://www.mincor.com.au/other_operations/africa.phtm

Very interesting prospects, and they will have the cash and expertise to do it.

Just look at what David Moore did with TYC, world class !

Cheers, not so [B)][}

]

P.S Forgot to mention Widge, huge potential in that area and if u ever stop at the roadhouse and read the article on the wall, u will know why.[B)]

**SEC** · 02-08-2007, 11:28 PM

Right I'm going to put my neck on the block and predict the utter panic selling of the nickel companies this afternoon will represent their low point for this correction. I bought accordingly.

Mincor is now staggeringly cheap, FY09 PE of 3.2!!! Note that brokers have not changed their medium/long term Ni prices since May and perhaps share my view that the European steelmakers are currently playing games to suppress prices. The steelmakers tried that same trick in late 2005 and it backfired on them spectacularly.

Mincor's price stood up well last month as the market factored in the GMM acquisition and increasing production. Given the magnitude of the recent fall the market now puts absolutely no value on the GMM assets or the forecast production increase. This price anomaly cannot last.

SEC

**tricha** · 02-08-2007, 11:48 PM

Yes Sec an excellent time to buy, but the way I see it more value in SMY.

Cheers [B)][}

]

**SEC** · 03-08-2007, 12:45 AM

quote:Originally posted by tricha

Yes Sec an excellent time to buy, but the way I see it more value in SMY.

Cheers [B)][}

]

Would have agreed with you yesterday but not now given today's relative price movements. It's not going to matter too much anyway, all nickel companies are due for a strong rebound soon.

Given the extreme volatility at the moment I might agree with you tomorrow too!

SEC

**wns** · 03-08-2007, 03:51 AM

I've done a comparison of some of the nickel stocks and the nickel price - giving their current trading price as a % of the all time highs reached recently...

Nickel: $30755 / $54100 (approx) = 56.8%

MCR: $3.20 / $5.10 = 62.7%

IGO: $5.32 / $8.90 = 59.8%

SMY: $3.75 / $5.65 = 66.0%

JBM: $14.20 / $18.44 = 77.0%

AGM: $.625 / $1.18 = 52.9%

WSA: $4.85 / $6.20 = 78.0%

The share prices of the stocks have a pretty good correlation with the price of nickel.

Looks like the price of nickel is still in a down trend so an interesting question is will the share prices for MCR etc continue to follow the price of nickel? Or at some point will it stop correlating with the price of nickel because the stock is now trading at a very low earnings multiple?

For once I can look back with the benefit of hindsight and actually say I did pretty well selling out of MCR at $4.62.

My really rough estimate from a couple of months ago is that MCR will earn about $110m npat giving eps of about 56c, so currently trading at less than 6x earnings.

I'm interested in getting back into MCR but not yet convinced that its reached a low point.

**rowanf** · 03-08-2007, 11:11 AM

Help dont really understand,SMY Value .
I was shock when I read SMY latest Qtr report total cost was $10.25 USD /lb and the largest cost was smeltering/shipping cost. But get this reading MCR HY report it says , MCR was implying that it total cash cost incld smeltering was $6.18 AUD or $5.31 USD /lb. I have check bad old news and a the last few MCR project does say that incld smeltering charge cash cost total to about $5. Why is SMY smeltering / shipping cost so expensive? Is it the low grade they mine or the shipping charges ?
Confuse

**Dazza** · 03-08-2007, 12:25 PM

i sold out of agm at 0.65
to buy mcr at 3.35

a bit premature on the mcr buying but oh well

mcr is my largets NI producer

followed by smy/igo

have some agm left just a tiny bit to see how it goes