# GBG - Gindalbie Metals



## tony2252 (30 October 2005)

This stock has had a few good moves lately. It been trading around 18c, dropped to 16c on Wednesday and is again on the move Friday closing at 19c. Is anyone following this stock? Appreciate some feed back.


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## tony2252 (31 October 2005)

*Re: GBG*

GBG had a great day today. Hope some of you are on this one. Should go higher tomorrow. Check it out!


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## amohonour (31 October 2005)

*Re: GBG*

They are in a great position, look how well MGX has done. Will surely see this one run north imo.


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## Ann (26 December 2005)

*Re: GBG*

Will this suffer the same fate as MXG? They have had a wonderful run so far but they are focusing on IronOre.
Will the Chinese beat the price of Iron Ore down, as they have with Steel and now Manganese Ore?
http://www.consminerals.com.au/pdfs/Tex Manganese Price Chart 221205.pdf

....and a chart from my point of view....


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## ray (27 December 2005)

*Re: GBG*



			
				Ann said:
			
		

> Will this suffer the same fate as MXG? They have had a wonderful run so far but they are focusing on IronOre.
> Will the Chinese beat the price of Iron Ore down, as they have with Steel and now Manganese Ore?
> http://www.consminerals.com.au/pdfs/Tex Manganese Price Chart 221205.pdf
> 
> ....and a chart from my point of view....



Hi all,
The demand for iron ore is pretty strong at the moment and the Chinese have a little competition from Japan and India.
GBG is doing a feasability study due out March 2006, at GBG's website they paint a glossy picture[of course]but they seem to be gold miners trying to re-invent themselves as mid sized iron ore producers.
GBG is trading at 0.28 today if things go as the company plans could be worth keeping an eye on.
Resources are going well and with the current bull market it may be a possibility[trying to talk myself into it]. If anyone else has any views it would be helpful.


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## Ann (27 December 2005)

*Re: GBG*

Hi Ray,

I have little knowledge about these things but I do a lot of trawling for information out of the normal channels. This was a recent article I found....16/12/05...

*Asia iron ore supply talks ongoing*
12.16.2005


BEIJING - Talks between suppliers and Asian importers for 2006 iron ore contracts are ongoing, with demand projections emerging as a major difference between the two sides, the Securities Times reported, without citing sources.

The newspaper said talks with Chinese importers started on Nov 30, and after two rounds, the parties are still far apart on fundamentals like projected demand.

According to the newspaper, the three major suppliers - Brazil's Companhia Vale do Rio Doce (CVRD) and Anglo-Australian groups BHP Billiton and Rio Tinto - claim that demand for iron ore next year will remain strong, despite falling steel prices.

However, Chinese buyers, headed by Baosteel, expect demand to fall in 2006, as steel prices in China - the world's largest iron ore importer - continue their decline due to overcapacity.

Nippon Steel is adopting a similar position, ruling out any acceptance of higher iron ore prices next year, the report said.

The report added that this year's talks are expected to be much tougher than last year, when suppliers and buyers both acknowledged that iron ore prices should rise in 2005 due to higher demand.



delia.liu.xinhuafinance


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## Ann (1 January 2006)

*Re: GBG*

You really have to wonder about some of these mining companies....is it any wonder I wouldn't touch them with a clean pair of tongs!  :


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## tony2252 (2 January 2006)

*Re: GBG*

Hi Ann

Thanks for your charts! I,ve been trying to learn charting lately along with one of my boys (a smart young uni student ) he seems to have a good understanding while I am slower to learn.

Interestingly I have had shares in 3 of the stocks you have been charting lately. I still hold sbm chart still looks positve, pem mixed views on this one but I will hold for a while, while based on your chart i am glad to be out of gbg.

All the best for the new year

Tony


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## ray (2 January 2006)

*Re: GBG*

Ann your charts and comments have been most helpful thanks for that.
I already hold some GBG will see what happens to them tommorow,drop like a
stone i think. I just cant believe they would give themselves and Sarich Family
so many shares at 9 cents.
    The true value may be 9 cents as they have demonstrated and thier feasability will have to be impressive to lift the stock back up after this little stunt.


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## GreatPig (3 January 2006)

*Re: GBG*

Despite which today's opening estimate is currently sitting at 30 cents.

Interesting to see if it stays up there.

Cheers,
GP

[I also hold]


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## Ann (3 January 2006)

*Re: GBG*

Who knows Great Pig,

They may have an amazing story to tell which may keep the stock floating up? 

In situations like this, I just love being proven wrong. The alternative is so  unattractive.


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## ray (4 January 2006)

*Re: GBG*

well everyone was so busy playing with gold they forgot to sell gbg today.
i guess everyone else must have not worried about the 9cent a share give-away yesterday.  
cheers


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## tony2252 (24 January 2006)

*Re: GBG - Ginalbie Gold*

gbg has moved nicely over recent times. It has moved from resistance at 33 and jumped to 40 very quickly with sellers drying up. No announcements yet but something cant be far away. any thoughts o this one?


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## Out Too Soon (1 November 2006)

*Re: GBG - Gindalbie Gold*

HO HUM! Looks like everyone fell asleep on this one, can't blame them. I've held since march, took some nice profits in April & been sitting on the rest since. They have 2 large iron ore projects at Karrara near Geraldton & plan to ship the ore to China. They have an agreement signed with Ansteel one of Chinas largest steel producers. They hope to be producing 10 million tonnes of iron products by 2010. Will start producing in 2008.
Gindalbie & Ansteel also have an agreement with Theiss to construct a plant to process the ore in NE China.
Gindalbie have sold off there gold project interests but have retained iron ore rights overthose tenements, they also have an interest in the MT mulgine Tungsten project.
Now that I've gone over their prospects to write this I think I'll put it back in the bottom draw, might even buy some more for the future.
Am I talking to myself or does someone else hold this stock???


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## tbomb (13 November 2006)

*Re: GBG - Ginalbie Gold*

Latest announcement looks really good, although SP not doing too much.

Any thoughts?


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## Out Too Soon (16 November 2006)

*Re: GBG - Gindalbie Gold*

Signs of life in the sp, but not in line with the great ann. 
Because this is iron rather than gold or uranium it is going to sneak up on the market & suddenly be producing iron out of the ground ready to sell as steel in China before the sp catches up (10 bagger plus) where-as all gold or uranium need is an office & a few holes in the ground for market to take notice.


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## ezyTrader (16 November 2006)

*Re: GBG - Ginalbie Gold*

Think we need a Kennas commentary on this. Looks like a cup and handle formation to me.


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## CanOz (1 December 2006)

*Re: GBG - Ginalbie Gold*



			
				ezyTrader said:
			
		

> Think we need a Kennas commentary on this. Looks like a cup and handle formation to me.




Looking interesting now...i don't hold as yet.

Cheers,


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## Freeballinginawetsuit (3 January 2007)

*Re: GBG - Ginalbie Gold*

GBG had no probs pushing past previous resistance at 60c with volume. A bit of consolidation at 65c and the last few trading days have seen it build momentum and is now testing all time highs.

Strong close today and decent volumes, due for a bit of sell pressure but buyers are leading the way ATM.

GBG is in a nice uptrend, testing all time highs  , anyone else holding/trading this on ASF


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## scsl (8 January 2007)

*Re: GBG - Ginalbie Gold*

This got a mention in the Business section of The Sunday Age - and a pretty good one too. And it's written by James Kirby, editor of Eureka Report. (Btw, it's the first time I've heard of this stock.)



> ...there is one little stock that comes up so often it surely ”” sorry, I mean it may ”” have a very good run in 2007. That's Gindalbie Metals.
> 
> Again and again this stock pops up as a favourite. Why? Because it's a gold and iron ore company perfectly positioned to exploit the dynamics of the industry and it will fly this year ”” unless, of course, any of a million things that could go wrong do go wrong.



I did a quick Google on GBG and found this research report by Hartleys:
http://www.gindalbie.com.au/files/broker_reports-0055-GBG_20060728_Hartleys.pdf

Freeballinginawetsuit, I'd be interested in your thoughts, trading ideas on this stock.


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## Out Too Soon (31 January 2007)

*Re: GBG - Ginalbie Gold*

I held shares in GinDalbie Metals for a long while last year & intend to again as soon as I think the sp has settled. This is a great group of projects that linked together are going to be huge. The patience to just stick this one in the bottom draw for a couple of years is the hard part  .
Gindalbie changed their name from gold to metals when they sold off the last of their gold interests to concentrate onthe  Iron ore (serious) side of the business. Go to their website and subscribe to their emailing list.


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## speves (16 February 2007)

*Re: GBG - Ginalbie Gold*

I have read on many occasions the importance of trend confirmation when buying and selling and applied the rules to GBG with some success as it one of the few stocks currently that appears to have little volatility.  I would consider this uptrend to now be confirmed and look to buy back in tomoro.  Love this stock, so easy to read and trade and pretty safe with solid resouces and JVs going on.


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## Freeballinginawetsuit (16 February 2007)

*Re: GBG - Ginalbie Gold*

Speeves,

Have been watching for another trade in GBG since last exit. Odds are in favor of a retest of downside resistance or some short lived sideways movement. ATM will probably keep my funds elsewhere. 

By the way a moderator should dump the gold title off this thread, thats surely not relevant


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## speves (16 February 2007)

*Re: GBG - Ginalbie Gold*

well I am happy to watch for a bit longer to see if your right but given this weeks current and continuing rise in base metals I am very tempted to get in right now.  Can't see too many resource stocks dropping today.


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## speves (21 February 2007)

*Re: GBG - Ginalbie Gold*

Good call Freeballer......watching and waiting for some support around the 60c mark before buying back in would be the call at this point?


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## spottygoose (7 March 2007)

*Re: GBG - Ginalbie Gold*

Hope everybody picked up some bargains - here is some positive news after the correction.

Substantial Holder Notice:

Looks like some interest from a major US based investment house: Ospraie Management LLC

"Ospraie is New York based and comprised of funds that invest in commodities and basic industries on a global basis and collectively have in excess of US$5 billion in assets under management." 

Thanks to Narla for the summary.


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## Freeballinginawetsuit (7 March 2007)

*Re: GBG - Ginalbie Gold*



			
				speves said:
			
		

> Good call Freeballer......watching and waiting for some support around the 60c mark before buying back in would be the call at this point?




Still watching as well Speeves, probably take an entry on its push past resistance at 55c.....if that happens.

As per the previous poster, Insto holding!.........quite common of late/seems like the Insto's were prepared this time around to punt on the bottom. 

Imagine if they weren't their to provide some support.


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## speves (7 March 2007)

*Re: GBG - Ginalbie Gold*

I couldn't resist the temptation to buy some more yesterday.  I have been chomping at the bit to get back into GBG......can't see this producer dropping much further from here.

Been wrong before though


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## spottygoose (21 March 2007)

*Re: GBG - Ginalbie Gold*

Seems to be picking up steam this morning. I picked up as many as I could in the high 40's and low 50's to average down an earlier purchase (prior to the market correction and BFS delay).

A couple of months ago Southern Cross Equities put a 12 month buy target of $1 on GBG. The SP was sitting at 80c in January prior to the delay and the correction.

IMO there was an over-reaction to the BFS delay and I saw some real positives in that announcement. Also, remember the hematite deposits at Karara have been estimated at 14.1mt at an average grade of 60.6%fe.

Maybe we are getting an update on the progress of the BFS.. or are people just realising this has qutie a bit of upside potential.


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## dj_420 (26 March 2007)

*Re: GBG - Ginalbie Gold*

GBG are looking good, they have come of lows and are now trading around 60 cents. a number of brokers have buy recomendations on GBG up to $1 more than 50% premium on current sp.

GBG will be producing hematite this year and will begin cash flow to get magnatite operations up and running.

GBG are in great position to take advantage of current increase in interest in iron ore juniors.


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## dj_420 (26 March 2007)

*Re: GBG - Ginalbie Gold*

GBG chart looks good, recent breakout from triangle formation where sp gapped up and has now brought sp back up to the current levels.

i would like to see GBG break 60 cents and hold that area build some new support and be a confirmation of reversal of medium term downtrend.

where triangle was trading range was tightening, indicative of consolidation and trend reversal following sideways trading.

this is only short term chart, will post up my thoughts on medium and long term. MACD crossed during sideways trend and is still looking good. not sure where i would place sp support at the moment but going by market depth we have support at 56 cents and higher including a large buy order on 58.5 cents.

sp still has a huge way to go from highs however strength in iron ore juniors shows that this one has a long way to go from broker valuations and the fact they should be mining their hematite this year (which places them well ahead of the pack in this regard).


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## dj_420 (26 March 2007)

*Re: GBG - Ginalbie Gold*

the medium term analysis looks even better IMO for GBG. we have had a medium downterm trend lasting a few months. IMO we have seen the trend reversal indicated by the circles.

these areas are where sp consolidation has occurred for the space of almost a month then breakout back up to current sp. IMO the 60 cents mark is the point to break as historically we have seen both support and resistance occur at this mark.

with production due to start this year and BFS due on hematite deposit i think GBG has reversed its downtrend. todays action saw the sp close unchanged, which i think indicates we will have period of further consolidation before attacking the 60 cents barrier.


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## dj_420 (10 April 2007)

*Re: GBG - Ginalbie Gold*

GBG looking better now on market depth. increasing bids and looking to get to 60 cents mark resistance again. some consolidation has occured around these levels.

Broker reports valuing this at $1 now with further increases close to production. looking to produce this year hematite and get cash flow for magnatite (1.3 billion tonnes with much higher upgrade expected)

JV already signed and sealed with wuhan steel. dont know why this one is still trading just above lows for year. upgrade expected on hematite and magnatite when they start production.

IMO this one is looking good for a producer over the next couple of years. JV is also great as 50:50 capital expenditure.


Many people on this one?


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## Rough&Ready (10 April 2007)

*Re: GBG - Ginalbie Gold*

Hi DJ 420 
I am in this,Hartleys had a value last year for it to go to $1.00 plus I am holding 20,000 and have been along for the ride. I hope this is the year it really does rocket. I am seeing a lot of simalarities between this and Murchision Metals at about the 12 month mark out from actually getting Iron Ore in the hold of the ship. I GBG does half as well as MM  I will be very happy (I hold them also) and will keep hanging on with GBG till the end of the year at least. I am not a technical trader more of a slow research plodder But I agree with you I think it it's a sleeeper and under valued. R&R


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## spottygoose (13 April 2007)

*Re: GBG - Ginalbie Gold*

Any ideas on the current price weakness? And what is with these ceasing to be a substantial holder notices of late? I would think this would be great value now but am wondering what the problem is. Is there more to the BFS delay than meets the eye? Any thoughts?

Cheers


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## Rough&Ready (14 April 2007)

*Re: GBG - Ginalbie Gold*

Hi Spottygoose,
I don't know why it has dipped so badly this last few days ,people not wanting to be substantial shareholders is a little disconserting. But I am going to buy more on Monday as I believe they have good resources and a good management team.The delay in getting the final feasability study put back to August has also hurt a bit. The way Iron ore is forcast to go over the next few years with China and also India now wanting large amounts I still think it will be worth hanging onto for a while yet. One good announcement of another JV or a new MOA will see it fly.It is still supposed to be exporting Iron ore late this year and April is the traditional negotiating period for Iron ore pricing anything could happen.I am buying more and staying in R&R


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## Out Too Soon (17 April 2007)

*Re: GBG - Ginalbie Gold*



spottygoose said:


> Any ideas on the current price weakness? And what is with these ceasing to be a substantial holder notices of late? I would think this would be great value now but am wondering what the problem is. Is there more to the BFS delay than meets the eye? Any thoughts?
> 
> Cheers




The releases on ASX look like copies of scans of faxes ( i.e almost unreadable) but I think it looks like those substantial holdings are from January- ie ancient history~ maybe someone at the office thought "Uh Oh better slip these in we missed". Maybe that's why they were even more illegible than ever. 
  Whatever the case may be, GBG is good value at present & anyone that gets out now will probably be kicking themselves in the not so distant future.


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## Out Too Soon (23 April 2007)

*Re: GBG - Ginalbie Gold*

GBG gets better & better, terrific ann today to ASX, more Hematite, & production time gets closer & closer. Share price is reacting accordingly too.


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## Sean K (23 April 2007)

*Re: GBG - Ginalbie Gold*



Out Too Soon said:


> GBG gets better & better,



It's down 36% over both 4 month and 12 month timeframes? Better and better  Must be better in a way I, or the market, can't see.

Why's it off so much OTS?


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## mildew79 (23 April 2007)

*Re: GBG - Ginalbie Gold*

potential profit target if interested (in green). 0.65 agressive, previous high 0.60 - 0.625 conservative. medium risk


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## Out Too Soon (24 April 2007)

Ah yes! Looking at those charts over that time frame makes my statement/ exhuberance rather embarrassing. 
I guess the reason (2 reasons actually) that I'm so up beat about Gindalbie Metals is 
A It's a great project fundamentally sound & will be huge in years to come (DYOR there's a lot to this one including a smelter in China)
&
B I'm just fortunate to have been in & out of it at the right time.
bought .49 sold .70
bought .52 sold .57
bought .53 sold ?
Yes it nearly hit .80 on a bit of premature over-exhuberance last year, I just hope I'm holding when it really takes off. I missed out on PLA & AGS playing these games, I'm also watching BSG & JML closely. 
Not many of these gonna be miners haven't peaked & retreated in the last 12 months, that's why an eye has to be kept on FUNDAMENTALS, not just the charts.
Thanks for pulling me up on that short rampy statement though, I admit with hindsight I deserved to be corrected.
Don't forget May is around the corner, I'm hoping to get some good bargains when the May Sale! hits.


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## Out Too Soon (24 April 2007)

*Re: GBG - Gindalbie Gold*

As I'm lazy & a terrible typist (not a typist at all) I plucked a previous post of mine just to add a little about the fundamentals without doing all the work for you guys  



Out Too Soon said:


> ----- They have 2 large iron ore projects at Karrara near Geraldton & plan to ship the ore to China. They have an agreement signed with Ansteel one of Chinas largest steel producers. They hope to be producing 10 million tonnes of iron products by 2010. Will start producing in 2008.
> Gindalbie & Ansteel also have an agreement with Theiss to construct a plant to process the ore in NE China.
> Gindalbie have sold off there gold project interests but have retained iron ore rights overthose tenements, they also have an interest in the MT mulgine Tungsten project.
> Now that I've gone over their prospects to write this I think I'll put it back in the bottom draw, might even buy some more for the future.
> Am I talking to myself or does someone else hold this stock???




That was late last year before the sp shot up to ~ .79 forcing me to take profits   .
Another bonus with this particular set of projects is they have their own setup at Geraldton port, so no hold ups there once production starts. This project has been so well setup/planned they have a hand/profit in the process all the way from the mines in WA to the processing plant in China via there own port facilities.
  Yes I'm upbeat about Gindalbie but I think my enthusiasm is well placed.


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## Glenhaven (24 April 2007)

*Re: GBG - Ginalbie Gold*

I have liked this stock for some time. I was invited to a presentation that management did in Sydney last year and I was quite impressed with the style of the presenters. 

I am in at 8c and have not taken any profits yet. I probably should have, like you when they went above 70c, but I usually get it wrong, ie when I sell they go higher.


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## Out Too Soon (24 April 2007)

*Re: GBG - Ginalbie Gold*



Glenhaven said:


> I have liked this stock for some time. I was invited to a presentation that management did in Sydney last year and I was quite impressed with the style of the presenters.
> 
> I am in at 8c and have not taken any profits yet. I probably should have, like you when they went above 70c, but I usually get it wrong, ie when I sell they go higher.




8c   
Well done Glenhaven, patience is a virtue & in your case a big profit. Holding on for $8?!?!?! good on you!


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## spottygoose (26 April 2007)

*Re: GBG - Ginalbie Gold*

FURTHER HIGH-GRADE HEMATITE MINERALISATION DELINEATED AT KARARA

Gindalbie Metals (ASX code: GBG) is pleased to announce that Reverse Circulation (RC) drilling undertaken at the Terapod West (MR7) Prospect, which forms part of its wider Karara Hematite Project in Western Australia, has intersected significant zones of high-grade hematite mineralisation.
Better intersections from the drilling included:
Hole MGC 269 42 metres @ 62.5% Fe, 4.5% SiO2 & 0.04% P from 14 metres
Hole MGC 271 42 metres @ 64.4% Fe, 2.5% SiO2 & 0.03% P from 53 metres
Hole MGC 293 26 metres @ 64.6% Fe, 1.8% SiO2 & 0.02% P from 34 metres

The drilling program was part of the ongoing exploration and resource development program focused on the Mungada Ridge area at Karara, where Gindalbie is aiming to define resources which will underpin the development of a long-term hematite DSO (direct shipping ore) business, planned to commence operations in 2008. Earlier this year, Gindalbie announced an initial hematite resource of 14.1 million tonnes grading 60.6% Fe, 7.8% SiO2, 1.2% Al2O3, 0.11% P, 0.06% S and 3.1% LOI. This initial Inferred Resource was generated from the first nine hematite deposits at Karara to be covered by Gindalbie’s ongoing hematite resource development program. There is considered to be significant potential to further increase the hematite resource inventory through drilling of numerous hematite prospects discovered in the region such as the MR7 Prospect.

Results of the RC drilling at the MR7 Prospect, which was first discovered in 2006 by the surface mapping and rock chip sampling program, have confirmed the presence of significant zones of high-grade hematite mineralisation. 

Gindalbie’s Managing Director, Mr Garret Dixon, said the success of the drilling at MR7 highlighted the prospectivity of the Mungada area and the potential to continue to further significantly increase the hematite resource inventory at Karara to underpin the longer term growth of the planned DSO operation.

“The initial resource of 14.1 million tonnes is being used in our current Feasibility Studies and will underpin an initial start-up DSO operation commencing at 1.5mt/annum in 2008 and subsequently expanding to 3mt/annum,” Mr Dixon said. “However, our exploration activities are continuing to test numerous other hematite prospects in the area with a view to enhancing the longer-term future of this project.”

“The hematite project has the potential to generate significant early cash flow which will support our broader objectives with the development of the Karara Magnetite Project,” he added. “The drill hole data is presently being modelled with the aim of establishing an initial Mineral Resource for the MR7 prospect,” Mr Dixon continued. “Importantly, the drilling intersections at MR7 highlight the potential of the area to host significant zones of near-surface, high-grade iron mineralisation with notably low levels of phosphorous. Deposits like this will be strategically important in improving the overall DSO product bled”.


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## dj_420 (26 April 2007)

*Re: GBG - Ginalbie Gold*

great news for this one spottygoose some good hits there, if GBG start proving up more significant fe deposit i would expect some interest increasing in GBG to say the least


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## dj_420 (8 May 2007)

*Re: GBG - Ginalbie Gold*

gaps almost filled completley on buy side. has broken through heavy resistance around 59 - 60 cents area in last week.

needs to hold this area. but from what i can see if buy gaps all close up we may then see another breakout through the next level of resistance.


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## Pat (22 May 2007)

*Re: GBG - Ginalbie Gold*

Hello GBG holders etc.

Been keeping an eye out and i'll be inon open in the morn. see what lady luck will bring in the long run.

Chart looks good with a trend line forming from the lows in mid march. Also looks like 55 cents is the support for now. So with a stoploss set 5%-10% about 55 cents or so, the risk is somewhat lower for me.
MACD looks like its about to cross, just need an ann to spark some volume.


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## dj_420 (22 May 2007)

*Re: GBG - Ginalbie Gold*

dont know if anyone has really starting looking into GBG
some stats based on magnetite value, based on proven resources 

GBG
Market cap 
436 294 406 shares = 257 413 700

*Insitu value of resources*

_magnetite _
1.29 billion tonnes x 0.363% = 468 270 000 tonnes
pellets $100 per tonne = $46.827 billion insitu

magnetite potential to host 4 billion tonnes of magnetite
current resource estimate to 300 metres, resource however extends another 300 metres deep
assuming 4 billion tonne upgrade
4.0 billion tonnes x 0.35 = 1.4 billion tonnes
pellets $100 per tonne = $140 billion insitu


_hematite_
15 million tonnes x 0.62% = 9 300 000 tonnes
DSO $90 per tonne = $837 million insitu

hematite potential to host 40 million tonnes of hematite
assuming 40 million tonne upgrade
40 million tonnes x 0.60% = 24 000 000 tonnes
DSO $90 per tonne = $2.16 billion insitu


_cash flow_
hematite starting mid 2008 
1.5 million tonnes per year = $135 million gross

magnetite starting 2010
8 million tonnes per year = $800 million gross
approx costs per tonne = $32 per tonne
approx cash flow after costs = $544 million after costs

magnetite projected by 2015
20 million tonnes per year = $2 billion gross
approx costs per tonne = $32 per tonne
approx cash flow after costs = $1.36 billion

revenue breakdown GBG/Ansteel 50/50
GBG 2010 approx = $272 million just on magnetite
GBG 2015 approx = $680 million just on magnetite

estimated capital expenditure for magnetite = $1 billion
GBG/Ansteel 25%/75%
GBG to fund 250 million


however we can assume a much lower cost per tonne as that figure was on a 400 mt resource, potential here to be 4 billion tonne resource

this also does not take into account hematite cash flow (as i didnt know approx mining costs)

anyone care to check figures, not sure if they are all accurate. dont really know how to put $ figure on share price estimate either, anyone care to have a go


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## dj_420 (22 May 2007)

*Re: GBG - Ginalbie Gold*

GBG has been trading in channel for a few months, has made attempt to break out into higher trading channel but failed.

has seen some big resistance at 62 - 63 cents, i would like to see the next run close above these levels. showing good uptrending support however, i would place downside risk at 55 cents from here.

MACD has converged and just crossed over in last few days trading.


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## dj_420 (28 May 2007)

*Re: GBG - Ginalbie Gold*

great day for GBG, slight opening window gap on open, high amount of volume saw GBG break through that stiff resistance level at 62-63 cents.

GBG has actually hit the resistance point several times and failed every time to close above it.

todays action saw the sp closing on the high with a huge increase in volume, MACD crossed over last week. IMO nest level of significant resistance will be 80 cents mark, but for now we want GBG to hold this new level.

IMO this stock has been consolidating for quite a while at low levels due to delays on BFS. HOWEVER the reasons for the delays have been because the resource is much bigger than expected, GBG should be producing hematite start of next year and should also be close to testing lodestone area.

the lodestone area has huge potential to host another karara style deposit. so technically and fundmentally this one is starting to shine.


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## dj_420 (28 May 2007)

*Re: GBG - Ginalbie Gold*

funnily enough i feel like im the only one on this stock on ASF, any holders out there?

anyway thought this might be of interest

http://www.gindalbie.com.au/files/IronClad-94-gindalbie_news_v15_for_website.pdf



hello, echo.. echo ...... echo


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## dj_420 (29 May 2007)

*Re: GBG - Ginalbie Gold*

GBG starting to break out

buyers have now filled the gaps from last move to current sp levels, looking good to get through to 70 cents up to longer term resistance at 80 cents.

IMO lodestone drilling and fesibility will help break that long term area


----------



## j4mesa (29 May 2007)

*Re: GBG - Ginalbie Gold*

The chart look very promising ,dj_420......

I am looking to go into it......
This company has got sound fundamentals as well......


----------



## dj_420 (29 May 2007)

*Re: GBG - Ginalbie Gold*



j4mesa said:


> The chart look very promising ,dj_420......
> 
> I am looking to go into it......
> This company has got sound fundamentals as well......




hey j4mesa

good to see a post on this thread thats not mine! lol

sellers are beginning to look exhausted on GBG now, big buys went through yesterday 1 000 000 at 65 cents, few big orders today also.


----------



## j4mesa (29 May 2007)

*Re: GBG - Ginalbie Gold*

AAgree with you dj
If I have only woke up earlier, I would have got the 65 c price. 
I woke up when the price is about 66.5 c.
Will definitely buy it, see how it goes today.......dj
Are you in?


----------



## dj_420 (29 May 2007)

*Re: GBG - Ginalbie Gold*

yeah been in since 60 cents, saw it fall back after i got in, but have held on believing the GBG story, so my position is looking better now.

lodestone drilling starts soon! fingers crossed they discover another karara deposit


----------



## need more money (29 May 2007)

*Re: GBG - Ginalbie Gold*

Hey Dj - Play us some more music - Finally broken out of .60 barrier.

I hold MMX (neighbour) it has gone absolutley nuts. Through that i read all about alliance & keep hearing GBG & MIS. Jumped into MIS for $1 about 6 weeks & made 50%. Panic on a bad day & sold. They now $2.40 (Stupid i know) very hard to get outside info on.

So after holding MMX from .47 + .60 looked & GBG & looks pretty similar. So took a stab when it got smashed because the BFS report was delayed. Waited a little to long & missed under .50 but on recovery got in @ .57 know that if you hold till @ least feasibility study should go back to .80 (i hope)

Then i subscribed to WA News (4 week newspaper free - then pay them - Bugger that) had an article on the main dude. Basically saying the delays were because the project was so big & need to get it right. Plus power was an issue as well. But his overall knowledge & experience was exeptional & he is the main tie to ansteel. Then he talked about how the Asians aren't in for the quick fix they are after long term projects hence there willingness to spend big now for long term return. Excellent when you consider how important the asians are to running these things.

It seems like some of the stock may have to be mined differently & involve more crushing from my memory than say MMX which has some top stuff.
But i know GBG has a massive amount. 

Hope GBG doesn't take to long after the BFS because as with MIS MMX & FMG iron ore stocks going completely crazy & would love that to happen again.

Don't usually use this website - use shares.com.au - but depends this good for GBG - Shares good for MMX - have got that cranking over there now.

Keep up the interesting feeds 

Cheers


----------



## dj_420 (29 May 2007)

*Re: GBG - Ginalbie Gold*

ann out

broad zones of hematite and magnetite intersected at mungada, some large intersections there. good stuff.

GBG continually bringing in good drilling results, getting closer to feasibility, lodestone drilling, cant wait!

IRON ORE INTERSECTIONS INDICATE BROAD ZONES OF MAGNETITE AND HEMATITE AT MUNGADA
Gindalbie Metals (ASX code: GBG) is pleased to announce that further Reverse Circulation (RC) drilling undertaken at the Blue Hills North (BH2) deposit, part of its Mungada Hematite Project in Western Australia, has identified further iron ore mineralisation below the existing hematite resource. The results indicate that this new zone has the potential to produce either direct shipping hematite ore or DR (Direct Reduction) grade magnetite concentrate.
The drilling is part of an ongoing hematite exploration and resource development program focused on the Mungada Ridge area.
Indicative intersections from the recent deeper drilling at Blue Hills North are shown in Table 1:
Hole ID
From
(m)
To
(m)
Interval
(m)
Fe
(%)
SiO2
(%)
P
(%)
MGC356
118
226
108
52.7
19.8
0.14
Including
181
213
32
55.7
16.7
0.14
MGC357
88
163
75
51.4
22.2
0.13
Including
121
130
9
62.2
4.9
0.16
MGC358
89
176
87
49.9
23.2
0.15
Including
141
174
33
57.2
10.6
0.21
Table 1: Blue Hills North Intersections
The results indicate that the deeper mineralisation at Blue Hills North is characterised by exceptional magnetic properties and magnesium-carbonate alteration, resulting in ore that grades on average over 50% Fe with a reduced silica content but elevated levels of magnesium, calcium and phosphorous.
Within this broad zone of alteration is coarse grained magnetite featuring substantial depletion of silica and further enrichment of iron. Near surface, the oxidised zone has been enriched and converted to hematite, grading +62% Fe, 3-5% silica and 0.06% phosphorous (as shown in Fig. 1 attached).
Page 1
Page 2
This style of deeper mineralisation at Blue Hills North offers two separate opportunities to the Company, namely:
• the potential to produce DSO (Direct Shipping Ore) hematite from the upper, oxidised zone. These ores are expected to achieve grades of more than 62% Fe and would be supplied as either lump or fines products; and
• the potential to produce altered, partially enriched magnetic ores which would be mined separately and either fed to the proposed Karara magnetite concentrator as supplemental feed to the nearby Karara magnetite deposit or alternatively concentrated separately to produce a DR quality iron concentrate.
Testwork on similar ores associated with smaller areas of alteration at Karara yielded very high grade concentrate, (+70% iron and < 2% silica) with very high weight recovery (+70%) at the proposed grind size of 25μm.
Testwork programs will now be undertaken on these ore types to determine:
 their metallurgical performance as DSO ores to sinter plants and blast furnaces;
 their weight recovery and concentration characteristics at various grind sizes for the Karara concentration processes; and
 their impact on grinding characteristics and power demand within the proposed grinding circuit at Karara.
The geological model developed at Blue Hills North will be applied across the Mungada Hematite Project to identify further opportunities to extend both the hematite and magnetite resources of the Project.
Gindalbie’s Managing Director, Mr Garret Dixon, said: “Ongoing exploration activities at Mungada are continuing to identify potential new sources of ore to grow the existing hematite resource base, with high-grade results announced last month from the MR7 Prospect and now significant intersections returned from drilling beneath the existing BH2 deposit.”
“These latest results from Blue Hills North potentially open up significant new opportunities for the Company, including the potential to produce DR quality concentrate in the future from the Mungada hematite deposits in addition to DSO hematite. The results have also underpinned a revised geological model which will be applied across the entire project and may result in additions to both our hematite and magnetite resource inventories.”
For more information please contact:
Mr Garret Dixon Mr Darren Gordon
Managing Director Chief Financial Officer
Ph: +618 9480 8700
Fax: +618 9481 8799


----------



## dj_420 (29 May 2007)

*Re: GBG - Ginalbie Gold*

wow that did not copy very well at all! lol 

sorry guys, maybe check the ann from your online broker!


----------



## Broadside (29 May 2007)

*Re: GBG - Ginalbie Gold*

MGX and GBG are both flying today...make of that what you will, but they discussed a 3 way merger with Aztec about a year ago.


----------



## dj_420 (30 May 2007)

*Re: GBG - Ginalbie Gold*

great last couple of days, GBG has broken through stiff resistance at 62-63 cents on increased volume.

GBG were trending in a previous trading channel, failing to close on previous breakouts. 

next couple of levels of resistance will be 70 cents and then 80 cents which is longer term resistance point. i would like to see the sp get through 70 cent barrier then consolidate before attempting the 80 cent point.

GBG fundamentally also undergoing re-rating as GBG proving up more and more iron ore both magnetite and hematite. i think people are also beginning to realise potential of karara deposit and upcoming drilling program on lodestone.


----------



## dj_420 (30 May 2007)

*Re: GBG - Ginalbie Gold*

new report out also

increases valuation to 1.09 per share

http://www.gindalbie.com.au/files/broker_reports-97-070529_BBY_May_2007.pdf


----------



## j4mesa (31 May 2007)

*Re: GBG - Ginalbie Gold*

Interesting article there dj.....
btw, are you techie or fundies trader?
or r u fund mgr or the big instos?


----------



## dj_420 (4 June 2007)

*Re: GBG - Ginalbie Gold*



j4mesa said:


> Interesting article there dj.....
> btw, are you techie or fundies trader?
> or r u fund mgr or the big instos?




lol, im just a minnow in the pond!

very very small holding! 

great ann out today ansteel taking big placement in GBG, up around 10% on news, could see test of alltime highs soon.

j4mesa i try to use a bit of both analysis, fundamentally and use tech analysis to get a better entry


----------



## j4mesa (4 June 2007)

*Re: GBG - Ginalbie Gold*

hmmmm.......
pretty much the same with me,
for me :
for long term, i emphasize on fundies
for shorties, i use techies

Look at the price today  
I think resistnce around  77-78 c maybe.....
have u seen CXM,I missed out on that. Iron ore player as well.


----------



## dj_420 (4 June 2007)

*Re: GBG - Ginalbie Gold*

has broken through that resistance on higher volume again.

i want to see a close over 80 cents for this one to be confirmed


----------



## dj_420 (4 June 2007)

*Re: GBG - Ginalbie Gold*

great day today

technically has broken right out, broken through resistance at 63-65 cents, 70 cents and then today broke through resistance at 80 cents. looking through course of sales today some fairly large transactions went through.

the last week has brought about some huge increases in volumes.

i would like to see GBG hold the 80 cents mark now, although technically there is no overhead resistance now.

fundamentally i think this are a number of reasons for GBG breaking out, more significant intersections of iron ore been discovered, hematite production to start at years end, BFS date coming up, large placement from ansteel, broker reports valuing GBG at 1.10


----------



## dj_420 (7 June 2007)

*Re: GBG - Ginalbie Gold*

Another big day for GBG, volume of 4 million so just above avg, however sp put on a 13% increase for the day closing at 90 cents.

chart seems very verticle, on last breakout retraced to 76 cents and found some short term support which pushed it to close above these levels. not tested enough to be of any significance though.

i would like to see some consolidation around the mid 80's and hold that old resistance new support of 80 cents. the old resistance should be new support though broke that 80 cent level on retrace.

i would see short term downside support at 76 and 70 cents

re-rating prob has come about from broker valuations and company fundamentals.

technically breakout originally came from long pennant, narrowing in trading range until breakout when SMA and MACD crossed on volume


----------



## imaginator (8 June 2007)

*Re: GBG - Ginalbie Gold*

hey guys
what do u think of GBG's price now? too high? will it go down again? now its 0.925.

can someone do an analysis


----------



## dj_420 (8 June 2007)

*Re: GBG - Ginalbie Gold*

well people still buying up GBG on good volume. all ords down 100 points and GBG up 5%. 

obviously GBG sp was lagging when compared to other iron ore peers.

on the GBG website broker valuations are up to 1.10, so not sure where the sp will go from here. im thinking about topping up before we break $1.


----------



## j4mesa (8 June 2007)

*Re: GBG - Ginalbie Gold*

surprised to see the price is going up in a red sea today.......
hmmmmmm....will be looking on Tuesday on how it goes.....


----------



## dj_420 (11 June 2007)

*Re: GBG - Ginalbie Gold*

rumour is we have an upgrade coming for hematite resource. this would be expected soon anyway, they have been drilling out area for quite a while now and current JORC stands at 15 mt of hematite.

should be drilling on lodestone this month to assuming no hiccups.


----------



## j4mesa (12 June 2007)

*Re: GBG - Ginalbie Gold*

it is up around 17% today.........
,still hardly anyone in the forum is talking about it........
maybe they just don't like iron ores explorers too much


----------



## dj_420 (12 June 2007)

*Re: GBG - Ginalbie Gold*

lol j4mesa

it looks like its just you and me!

not sure why no-one is one this one? hematite resource upgrade coming and lodestone drilling, feasibility study in aug all happening on GBG front. wish i picked them for stock comp!


----------



## Rough&Ready (12 June 2007)

*Re: GBG - Ginalbie Gold*

No dj 420I have been watching and holding them them for some time now.I have always thought with their proximity to the coast (Geraldton) the resources they held,and a good management team they were under valued.I have said before they remind me of where Murchison Metals were a while back and if they go the same way I will be very happy as I hold them as well When they put off the feasability study till August a few people worried but as they hinted at the time "no point in doing a feasability study if the resource is going to be upgraded" which would make it unreliable to go forward on. We are now looking at the feasability study completed,a resource upgrade as well as having tons on a ship all in the second half of this year. Not to mention Ansteel getting on board by taking a 13% stake. Not ramping but it is hard for me to see a down side short term. But I am an amature R&R


----------



## Freeballinginawetsuit (13 June 2007)

*Re: GBG - Ginalbie Gold*



dj_420 said:


> lol j4mesa
> 
> it looks like its just you and me!
> 
> not sure why no-one is one this one? hematite resource upgrade coming and lodestone drilling, feasibility study in aug all happening on GBG front. wish i picked them for stock comp!





You have been a busy little poster on this thread DJ .

Youre not alone on this one, I jumped aboard shortly after March's correction, been away o/seas so havent posted of late.


----------



## dj_420 (13 June 2007)

*Re: GBG - Ginalbie Gold*

lol, thought it was just me and j4mesa on them, holders are now coming out of the woodwork.

these guys look great, cant wait till the drill bit hits lodestone!


----------



## springhill (22 June 2007)

*Re: GBG - Ginalbie Gold*

Im looking closely at GBG to invest quite heavily in noticed it has been on a fairly decent run of late, closing round $1.14ish today. Starting to think i may have missed the boat on this one!! Any opinions from someone who knows how to read the charts?  Im hoping for a slight downward trend so i can get in round the $1.05 mark


----------



## the barry (22 June 2007)

*Re: GBG - Ginalbie Gold*

Isn't gbg gindalbie metals? Either way this stock looks great, at least the code gbg does, whatever you want to call it.


----------



## hangseng (22 June 2007)

*Re: GBG - Ginalbie Gold*



springhill said:


> Im looking closely at GBG to invest quite heavily in noticed it has been on a fairly decent run of late, closing round $1.14ish today. Starting to think i may have missed the boat on this one!! Any opinions from someone who knows how to read the charts?  Im hoping for a slight downward trend so i can get in round the $1.05 mark




Missed the boat?

$1.00 $1.05 $1.10

Does it really matter for a stock heading for $10, conservatively.

This stock and the other that GJ heads up, MUN, are absolute must haves in any portfolio IMO. Watch both of these stocks closely, especially soon with MUN


----------



## springhill (22 June 2007)

*Re: GBG - Ginalbie Gold*

Very good point hangseng but i am a frugal man and if i can save 10 cents on a share i will , tho i do agree the sky is the limit with this one, i still want it for the best price possible at the moment


----------



## imaginator (23 June 2007)

*Re: GBG - Ginalbie Gold*

yeah i bought a lot last week at 0.935. Heard from a friend about a rumour that one company is soon going to make a surprise bid for GBG very soon. 

ANyway, GBG long term is $10.

 Short term, Macquarie bank just upgraded their forecast from $1 to $2+.


----------



## hangseng (23 June 2007)

*Re: GBG - Ginalbie Gold*



springhill said:


> Very good point hangseng but i am a frugal man and if i can save 10 cents on a share i will , tho i do agree the sky is the limit with this one, i still want it for the best price possible at the moment




Fair enough.
You may get an opportunity but it will not last for long if it occurs at all. You will need to be ready or the boat you want may pass you by.

By this I smply mean GBG may retrace slightly with market fluctuations, and has done so in the past. You will need to be prepared to take advantage should it occur, as IMO you will not be on your own looking for another entry point. As was seen this week after retracing under the $1.00 mark and then quickly coming back to close higher again.

My view is based on the fact if you are placing large sums into a stock then a few points means a lot. With smaller amounts it makes little difference in the longer term.

Good luck.


----------



## springhill (25 June 2007)

*Re: GBG - Ginalbie Gold*



hangseng said:


> Fair enough.
> You may get an opportunity but it will not last for long if it occurs at all. You will need to be ready or the boat you want may pass you by.
> 
> By this I smply mean GBG may retrace slightly with market fluctuations, and has done so in the past. You will need to be prepared to take advantage should it occur, as IMO you will not be on your own looking for another entry point. As was seen this week after retracing under the $1.00 mark and then quickly coming back to close higher again.
> ...




Hangseng, i did get my pull back today was going to jump in $1.16 first thing
but kept my powder dry and snapped them up at $1.085. Very happy. im really looking forward to the ride this one takes me on. Also looked closely at MUN and nearly went that way instead, such is life i dont have the $$$ for every share i want. Good to see MUN climbing sharply today aswell :band


----------



## kevien (26 June 2007)

*Re: GBG - Gindalbie Metals Ltd*

I am new to this forum and looking closely to this stock. It has been increased a lot but is dropping a bit today,good days are over??


----------



## jet328 (26 June 2007)

*Re: GBG - Gindalbie Metals Ltd*



kevien said:


> I am new to this forum and looking closely to this stock. It has been increased a lot but is dropping a bit today,good days are over??




It can't go up every single day and has run pretty hard of late. 
Compare it to some of the other Iron ore stocks and see what you think

Cheers


----------



## dj_420 (26 June 2007)

yes stocks cant go straight up forever, smallish retracement from highs. 

seen huge volume to get to these levels, needs some consolidation now over the $1 mark, then back to attacking highs again


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## dj_420 (27 June 2007)

well as expected smallish retracement from new highs. today has seen the $1 point tested and held well, bounced very quickly from this area.

since original retracement found support at 90 cents. moved back over $1 quickly. since then it has tested the $1 support on a number of occasions BUT failed to close below $1.

new resistance around 1.12 ish and 1.18. would like to see the volatility settle down and consolidate at this level before next major move.

huge volumes for this stock continue. i would like to see the report that there has been upgraded valuation to $2 if anyone has it?


----------



## blacksheep (28 June 2007)

Looks like GBG is going to break the $1 point in coming days. 0.95 seems like having supports, but 0.89 may be the real support.


----------



## kevien (2 July 2007)

It Looks like GBG is back and ready to attain new highs. I think the market price probably would close at 1.07. What do you guys think?


----------



## dj_420 (2 July 2007)

its holding $1 very well, resource upgrade and feasibility study next ann due.

the way MMX has run i would expect GBG to be trading a little higher. expecially when comparing market caps.


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## blacksheep (2 July 2007)

Looks like someone is keep buying the Shares today, 1.05, 1.065 (250k) ,1.08 (151k)...

Definely new buyer is in.

In coming days, we will see it rise slowly. maybe 5% a day?


----------



## barney (2 July 2007)

GBG is looking interesting .................. All indicators are pointing north .....needs continued volume/sp increase to confirm the move ........... Break and hold above $1.12 (preferably $1.18) this week would be a v. good sign.  (good support at the $1.02-$1.04 mark now)


----------



## Frankhalo (2 July 2007)

Hey All

I've held these stocks since Sept 2005, brought 40000 @ 10 cents, its has been a long wait to get to this stage but I believe the next 8-10 weeks we will see them finally reflect a true / fair price in comparison to other similar companies. The bankable feasibility study which was to be released in Feb 2007, was a big let down when it got pushed back to Aug2007, take a look at the lead up in Jan2007 when Feb was still on the cards and the milestones till now and you'll find the next few weeks will bring the stock up to a very fair price. I guess the kicker is you don’t invest 39million (Ansteel), take a seat on the board if there’s nothing in the pipeline. I firmly believe too the director of GBG is not a good salesman or prompter, not a David Forest by a long shot, this in my opinion may be a valid reason for the price looking a little under cooked.

Great forum guys, hope you all do well with GBG in the coming weeks.


----------



## barney (3 July 2007)

Frankhalo said:


> Hey All
> 
> I've held these stocks since Sept 2005, brought 40000 @ 10 cents, its has been a long wait to get to this stage but I believe the next 8-10 weeks we will see them finally reflect a true / fair price in comparison to other similar companies. The bankable feasibility study which was to be released in Feb 2007, was a big let down when it got pushed back to Aug2007, take a look at the lead up in Jan2007 when Feb was still on the cards and the milestones till now and you'll find the next few weeks will bring the stock up to a very fair price. I guess the kicker is you don’t invest 39million (Ansteel), take a seat on the board if there’s nothing in the pipeline. I firmly believe too the director of GBG is not a good salesman or prompter, not a David Forest by a long shot, this in my opinion may be a valid reason for the price looking a little under cooked.
> 
> Great forum guys, hope you all do well with GBG in the coming weeks.





Hey Frank,  In at 10 cents .... I bet you can't keep the smile off your face 

The way its going it might break that $1.18 mark today     Its up 7% atm, but you'd think it would have to fall a little b4 close of trade ............ Then again who knows ................ Cheers.  

Just about to post and it hit $1.18 ..............Looks strong.


----------



## dj_420 (3 July 2007)

Frankhalo said:


> was a big let down when it got pushed back to Aug2007, take a look at the lead up in Jan2007 when Feb was still on the cards and the milestones till now and you'll find the next few weeks will bring the stock up to a very fair price.




am very glad for the delay as the negative sentiment allowed me to get my fill at 60 cents!

very suprised to ever see it trading that low compared to what GBG will be producing.

anyways just looking forward to BFS


----------



## kevien (3 July 2007)

Hi Frank, 
what is the price of comparable competitor? could you name some?
Today's high up to now is 1.260. I wonder if any good annoucement is coming soon.
Good luck guys.


----------



## the barry (3 July 2007)

kevien said:


> Hi Frank,
> what is the price of comparable competitor? could you name some?
> Today's high up to now is 1.260. I wonder if any good annoucement is coming soon.
> Good luck guys.




You could probably look at mmx, fmg and mis. They are probably a good start for comparison..................................................................


----------



## Frankhalo (3 July 2007)

Hey Guys

hope you all enjoyed the rollcoaster today, more ups and downs than a Paris Hilton video. MGX and AGO Kev are two to also look at to compare roughly.
Hope it ends at around 1.50 mark by months end, that way August will be pure cream and a trip down to the local Beamer dealership for all of us.

Regards

Frank


----------



## Love Zn (3 July 2007)

If it holds up tomorrow, I think we could see $1.11 becoming the next support and MACD also indicates we could see the sp further increase.







I actually found this useful for comparing the group classed as the mid-west. http://www.mtgibsoniron.com.au/uploa...k_Jan 07.pdf

I bought MGX and GBG last week.  MGX having already sent their first two shipments and GBG expecting a BFS in August, requires less capital expense than the others and if I recall hope to start producing in early 2008 about 2mt/pa.

So comparing GBG to the others in the area MGX, MIS, MMX, I think this has a lot of potential.


----------



## Pommiegranite (3 July 2007)

Can anyone please tell me GBG's fully diluted market cap?

Or provide a link to a website that has this kind of info as upto date as possible?

Thanks


----------



## Love Zn (3 July 2007)

Not sure  if this helps you, sorry don't know how many options they have.


----------



## wildmanchris (6 July 2007)

Looks like they have gone into a trading halt this morning as well - two of my shares are in halts!

Does anyone know what they would be announcing?


----------



## bigdog (6 July 2007)

ASX ann 
GBG 10:26 AM   Media Release - Resource Upgrade & Infrastructure MOUs 
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00736831

GBG 10:24 AM  *Magnetite Resource Upgrades to 1.43 Billion Tonnes *
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00736828

Upgraded resource estimate of 1.43 billion tonnes grading 36.3% Fe for Karara magnetite deposit.
• Substantial mineral inventory identified below 350 metres.
• Davis Tube Recovery (DTR) analysis produces a concentrate grading 68.8% Fe, 4.2% SiO2, 0.08% Al2O3 and 0.01% P at a weight recovery of 40.7%.
• Indicated Resource of 655 million tonnes at 36.4% Fe to underpin open pit design and Ore Reserve, with a high conversion rate expected.
• MOUs signed with Yilgarn Infrastructure and WestNet to study infrastructure development opportunities to accommodate future expansions of the Karara Project.
• Drilling underway at 100%-owned Lodestone Project targeting a Karara-style magnetite deposit.

SUMMARY
Gindalbie Metals Ltd (ASX: GBG) is pleased to announce a further increase in the mineral resource inventory for its Karara Magnetite Deposit in Western Australia to 1.43 billion tonnes grading 36.3% Fe. The updated resource model has also identified a substantial mineral inventory at Karara, highlighting the world-class nature of the deposit and its long-term growth potential.

The revised 1.43 billion tonne Karara Magnetite Resource represents an 11% increase from the Indicated and Inferred Resource of 1.29 billion tonnes at 36.3% Fe announced in November 2006, but excludes a substantial mineral inventory below the Resource. This material can potentially be upgraded to JORC compliant resource status with additional drilling.


----------



## dj_420 (6 July 2007)

looking better now, GBG have increased the karara deposit quite subtantially the last two times. this time only a 10% increase but resource was already over a billion tonnes.

mgt have eluded to the fact that they estimate in excess of 2 billion tonnes will be eventually proven.

not too much sp movement increase could have already been factored in. though it still looks cheap compared to peers.


----------



## barney (6 July 2007)

dj_420 said:


> looking better now, GBG have increased the karara deposit quite subtantially the last two times. this time only a 10% increase but resource was already over a billion tonnes.
> 
> mgt have eluded to the fact that they estimate in excess of 2 billion tonnes will be eventually proven.
> 
> not too much sp movement increase could have already been factored in. though it still looks cheap compared to peers.




Agreed DJ,  Looks a good story unfolding for longer term holders ............ Still some solid buy orders going through at todays level, which is a good sign/accumulation .......... Probably get a few sellers taking their profits, but looks to have a bit more momentum left in this run to me, especially considering the market is pretty flat.


----------



## 56gsa (6 July 2007)

Pommiegranite said:


> Can anyone please tell me GBG's fully diluted market cap?
> 
> Or provide a link to a website that has this kind of info as upto date as possible?
> 
> Thanks




$529,054,620 with sp @ $1.20

no options...

i find theage website useful - can list options too by looking at the 'related' option next to the asx code

http://markets.theage.com.au/apps/qt/quote.ac?code=GBG

cheers pommieG - bit bigger than FWL!


----------



## reece55 (6 July 2007)

56gsa said:


> $529,054,620 with sp @ $1.20
> 
> no options...
> 
> ...




56GSA......... bugger theage, how about the latest company Appendix 3B lodged with the ASX?????

In accordance with the EPS standard, at a market price of $1.20, the answer is 451,545,933......

Not that it really matters in my opinion, 1.43 Bil tonnes at 36.3% Fe with a 40 + year mine life - it could support a much higher market cap, even fully diluted.....

I have this one in my super fund and I will not sell until:

(a) It's bought out or;
(b) It's $10.00 per share!!!!

I'm not ramping, but this one has that kind of potential, obviously in my humble opinion. As always, DYOR!!!!!

Cheers


----------



## Pommiegranite (7 July 2007)

thanks 56gsa and Reece

I'm currently looking for a stock which is closer to production and has enough room for SP growth that in the next 3 years, so that it should return any capital that I lose from my junior exploration portfolio.

I think that makes sense 

Anyways..I'm looking for an entry point on this stock i.e sub $1, but it keeps on going from strength to strength.


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## Frankhalo (7 July 2007)

Hey Pommie

In my personal opinion your entry point is now, GBG is very under cooked and has been for a very long time. I also believe, again my opinion as well, that August / Sept when the final BFS is released and the lead up to the report we will see GBG were it should be in comparsion to simliar Co's. As my friend put in bluntly, _" Its one thing to find a **** load of Iron ore, it another thing to be able to dig it up and ship it" _$2 - $3 dollars maybe, I hope, at the end of the day the public makes that call. I am looking foward to that first shipment into China in the very near future, but for now the BFS will need to come first. 

Regards

Frank


----------



## blacksheep (8 July 2007)

I agree with Frank.

Price range at the moment is perfect for long-term investor. I learned in past week, there is investor from China is purchasing portion of the GBG share in the open market. Therefore, don't wait out for the pull back of share, it will only go up, "slowly".


----------



## anglecare (9 July 2007)

Just read a flash on Bloomberg.

Chinese Bao Steel is purchasing 10% of GBG. Bao replies No commet on the report.


----------



## Frankhalo (9 July 2007)

From memory Bao buying in was on the cards since Feb, I could be wrong I'll look into it more, I know they have a hand in FMG but not 100% on GBG. Regardless great start to the week, looks strong. Sixty minutes report last night did wonders to AGO too.

Regards

Frank


----------



## the barry (9 July 2007)

Another good announcement out. 62 percent increase in the muganda deposit. Looking good for the longterm with plenty more explotation potential coming up and the bfs to look forward to.


----------



## bigdog (9 July 2007)

Two ASX ann

09-07-2007 01:41 PM  GBG  62% Upgrade in Mungada Hematite Resource to 22.8MT
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00737389
62% UPGRADE IN MUNGADA HEMATITE RESOURCE TO 22.8MT
*KEY POINTS*
• Substantial increase in hematite resource tonnage to 22.8 million tonnes.
• Resource quality improved to 61.9% Fe, 6.0% SiO2, 2.1% Al2O3, 0.09% P, 0.11% S and 3.1% LOI.
• 67% of the Resource classified as Indicated, totalling 15.3 million tonnes at 62.2% Fe.
• Metallurgical testwork programs demonstrate >60% lump ores available from Resources.
• Indicated Resource sufficient to support future production increases above the initial BFS production rate of 2mt/annum.

Gindalbie Metals Ltd (ASX: GBG) is pleased to announce a 62% increase in the mineral resource inventory for its Mungada Hematite Project in Western Australia’s Mid West region to 22.8 million tonnes at 61.9% Fe. The upgraded resource includes a substantial improvement in the resource quality and JORC classification, an increase in iron grade and reduction in contaminants.

*MEDIA RELEASE*
09-07-2007 01:52 PM  GBG  Gindalbie Mungada Hematite Project - 62% Resource Upgrade 
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00737406

GINDALBIE SIGNIFICANTLY ENHANCES MUNGADA HEMATITE PROJECT WITH 62% RESOURCE UPGRADE
Western Australian iron ore group Gindalbie Metals Ltd (ASX: GBG) has further enhanced the start-up hematite phase of its planned iron ore operations in the Mid West region of Western Australia, today announcing a 62% increase in the resource for the Mungada Hematite Project to 22.8 million tonnes.

The upgraded resource estimate – which covers the first 10 hematite deposits to be covered by Gindalbie’s hematite resource development program – also features a significant improvement in resource quality to 61.9% Fe, 6.0% SiO2, 2.1% Al2O3, 0.09% P, 0.11% S and 3.1% LOI. This reflects a significant increase in iron grade and reduction in contaminants, as well as an improvement in the resource quality and JORC classification to Indicated and Inferred.

The upgrade has been achieved with the completion of substantial drilling programs and extensive metallurgical testwork over the past 12 months, and follows the initial Inferred Resource of 14.1 million tonnes announced for the first nine hematite deposits in January this year.

Significantly, approximately 67% of the resource has now been classified as Indicated, totalling 15.3 million tonnes at 62.2% Fe. This will underpin resource optimisation and open pit mine designs and estimation of Ore Reserves for the Mungada Hematite Project – with a high level of conversion to Ore Reserves expected from the Indicated Resources.


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## stefoid (9 July 2007)

the barry said:


> Another good announcement out. 62 percent increase in the muganda deposit. Looking good for the longterm with plenty more explotation potential coming up and the bfs to look forward to.




this announcement seems to be driving the SP of ROY as well.  Up 25% today for no other reason I can think of than the JV potential.


----------



## Frankhalo (9 July 2007)

Been a very good day, hope all you guys did well, $1.375 up 17.5 cents in the course of a day is a great result. If it finishes the month @ $1.50 August will be sweet, hopefully then the charts will point 5 degrees north and it will be smiles all round


----------



## kevien (9 July 2007)

today's performance is very encouraging. Also I found other iron ore stocks are also increasing a lot. like AGO, which even increased more than GBG.
I wonder if it is because the related commodity price has increase today.
Cheers.


----------



## the barry (9 July 2007)

kevien said:


> today's performance is very encouraging. Also I found other iron ore stocks are also increasing a lot. like AGO, which even increased more than GBG.
> I wonder if it is because the related commodity price has increase today.
> Cheers.




I think a lot had to do with the exposure last night on 60 minutes. The extra announcement today was just a bonus. Will be interesting to watch how this one trends till the bfs comes out in august.


----------



## the barry (10 July 2007)

Company presentation out today, well worth a read. Things look good for the future. A good stock to hold for the long term.


----------



## dj_420 (10 July 2007)

i agree barry

looking good for when BFS comes out, would like to see the lodestone drilling results when they finish up there. potential to host another karara style deposit!

would love that


----------



## the barry (10 July 2007)

dj_420 said:


> i agree barry
> 
> looking good for when BFS comes out, would like to see the lodestone drilling results when they finish up there. potential to host another karara style deposit!
> 
> would love that




Have you got any ideas when the lodestone drilling results are due, was trying to find out but have had no success as yet?

Cheersz


----------



## dj_420 (10 July 2007)

i believe they are about a month into the drilling program. not sure, i remember reading in somewhere in the ann, think it is a fairly large amount of drilling 10 000 metres by memory?

anyway we should see results sept qtr IMO. assuming program finishes up in a month or so then take another 4 weeks or so for results.


----------



## the barry (10 July 2007)

bigdog said:


> http://www.theaustralian.news.com.au/story/0,20867,22046292-643,00.html
> 
> Zinifex surges on merger rumours
> Andrew Trounson
> ...




Interesting read, not really sure though what the relevance is to gindalbie?.......................................................................


----------



## bigdog (10 July 2007)

The Barry,

Yes you are right and now deleted

Perhaps you could delete your response
--------------------------------------


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## the barry (10 July 2007)

hey mod,

can you please delete this post and the other couple above that aren't relevant to the stock .

Thanking you


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## kevien (10 July 2007)

Thanks Barry. GBG is one of the several green stocks in the red sea. What do you guys think how high it could be until Aug? Happy investing!


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## Frankhalo (10 July 2007)

My crystal ball broke last month  but I'm hope to see the month out with GBG in the $1.50 to $1.70 range, which is a pretty fair call. The BFS should and I hope add at least 50 cents to the stock, so in Aug maybe around $2.30 mark would be my call. Interested in the other gurus thoughts, I'm off to BigW now for another Crystal ball I've got on order, this ones made in Japan so it should be better.


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## serendip (10 July 2007)

Barry, as far as the Lodestone dates are concerned, the announcement on July 6 stated that "drilling started earlier this month" (can't have been much earlier!), and was expected to take about six weeks.  So we would have to assume that the program would be completed by the end of August.

The announcement went on to say that the first results of analysis of the core samples were expected "in the September 2007 quarter".   This gels fairly well with the assumption that at least four weeks would be required for the analytical work, and gives us the reasonable prospect of a continuing run of (hopefully, positive) announcements.

Cheers,  Serendip


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## the barry (10 July 2007)

Frankhalo said:


> My crystal ball broke last month  but I'm hope to see the month out with GBG in the $1.50 to $1.70 range, which is a pretty fair call. The BFS should and I hope add at least 50 cents to the stock, so in Aug maybe around $2.30 mark would be my call. Interested in the other gurus thoughts, I'm off to BigW now for another Crystal ball I've got on order, this ones made in Japan so it should be better.




I got a couple of mates in at around the 95 cent mark last month and had a price target of 1.50 by the end of august with the bfs for both projects. If the lodestone result (due in the next month or so) produces anything like the kangara then I anticipate somewhere between the 2.10 to 2.30 mark. That is provided that both bfs's are favourable. There is also substantial exposure starting to be attracted to the stock which will also help.


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## imaginator (10 July 2007)

Do you think this stock will go down for a while to find a support?

can anyone do an analysis on what the next support line is?
thanks very much


----------



## Pat (10 July 2007)

imaginator said:


> Do you think this stock will go down for a while to find a support?
> 
> can anyone do an analysis on what the next support line is?
> thanks very much




Hey Imaginator, I'm not sure about the SP going down, Perhaps some sideways movement to form a base. GBG has had a great run from 60 cents. So i'm counting on some consolidation/sideways trading... but at what levels? beats me. $1 looks like support???


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## dj_420 (10 July 2007)

GBG has run very well. has been completely re-rated. 

GBG broke out and then had consolidated aruond $1, then found support at $1 tested that support around 4-5 times and held very well. next break was above 1.12 as that was old resistance, failing to close above this level.

the break above 1.12 has seen old resistance/new support been tested twice and held. 

you can see from the dark red lines GBG was in a steep trading pattern from which it broker out again in last couple of days. massive volume increases have been sustained over last couple months.

its all blue sky from here as no clear overhead resistance, although GBG hit 1.50 and retraced slightly.

downside i would put at 1.20 and 1.12


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## imaginator (10 July 2007)

Thanks PAT and DJ 420,

May I know what software do you use? Same softwares...

Anyway, Im waiting for GBG to go $2+, as forecasted by Macquarie few weeks ago. (this is from an actual forecast report, not ramping!) Could the moderator who gave me a yellow card last week take it off, I wasn't ramping! See the result these 0few days yourself!


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## Love Zn (10 July 2007)

dj_420 said:


> its all blue sky from here as no clear overhead resistance, although GBG hit 1.50 and retraced slightly.
> 
> downside i would put at 1.20 and 1.12




I agree DJ, looks like it has some resistance at $1.50, but with the re-rating because of the two resource upgrades I think it should hold above the $1.20 mark now.

And with two BFS due in August, drilling reports from new area at Lodestone due in September and then Engineering work to start in October, should see this progressing along further.

The other interesting fact which I think some people seem to over look and they mentioned it again in todays release of the presentation, is that their current projects are just 20% of their Iron Ore rights, and with production beginning in 2008, they will be able to fund further growth.  But then how do you valve potential?


----------



## Frankhalo (11 July 2007)

Love Zn said:


> But then how do you valve potential?




Potential = Faith x Hope + Hardwork, there you go...Thats how you valve potential...

Great few days with the old GBG lets hope it continues in the coming weeks.

Regards

Frank


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## gfresh (11 July 2007)

I've used the general downturn today to buy a small amount into GBG at $1.41 .. Will be watching things closely over the next few months. 

After reading a lot of the information on here, and through their ASX announcements, they seem like they have very strong prospects, small scale production is 'just around the corner' to keep money coming in, and there is always the possibility of further large deposits. Unlike some Iron Ore companies, which are still very much in the exploration stages, and blue sky only, they seem to be on the cusp of actually hitting large. 

Looking at MMX (which I also hold), I can see them heading that direction in next 12 months. 

My : only


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## Love Zn (11 July 2007)

Quite true Frank, what I was trying to elude to by also including a couple of slides from their recent presentation is what gfresh has said.



gfresh said:


> Looking at MMX (which I also hold), I can see them heading that direction in next 12 months.




Last year MMX, MIS, MGX and GBG were all about the same price, but MMX and MIS have taken off. 

Stage 1 for MMX was the 1.2 Mtpa DSO and they had their first shipment in January/February this year and Stage 2 is 25 Mtpa by 2011.

MMX shares took off from MGX and GBG leading upto and after the start of their DSO and based on their potential production compared to the others.

See MMX presentation page 14 http://www.mml.net.au/images/murchison---ohpux.pdf

Now GBG will start a 2 Mtpa DSO about October 2008 and the potential to be 10 Mtpa 2010 and 25 Mtpa by 2013-14 see page 28 of presentation or image in previous post.

http://www.gindalbie.com.au/Investor+Relations/ASX+Announcement//Downloads_GetFile.aspx?id=127

So therfore as gfresh said, in 12 months in the lead upto and after they start their DSO, there is no reason why GBG couldn't repeat MMX.

The risks are not completing projects on time and like what happened to AGO today, EPA approvals delayed 6 months.


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## Pat (15 July 2007)

imaginator said:


> Thanks PAT and DJ 420,
> 
> May I know what software do you use? Same softwares...
> 
> Anyway, Im waiting for GBG to go $2+, as forecasted by Macquarie few weeks ago. (this is from an actual forecast report, not ramping!) Could the moderator who gave me a yellow card last week take it off, I wasn't ramping! See the result these 0few days yourself!




Try this site buddy....   http://bigcharts.marketwatch.com/default.asp?siteid=&avatar=seen&dist=ctbc

GBG broke out of the top bollinger band no doubt as a result of the latest ann. It will either continue to hug the top band or the SP will continue to consolidate to DJ's $1.20 support. Ethier way the fundamentals are great, so a chance to top up?


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## Frankhalo (15 July 2007)

This week will be a big top for me, another 10,000 shares or so, lets hope it drops a little so it doesn't cost an arm and a leg. Looking foward to the next 6 -8 weeks with up and coming news releases, I believe we should start to see GBG really shine and be noticed as a solid mid-tier player in the iron ore resource sector, and in many respects it already is. Hope you all have another good week with the old GBG , the last 2 weeks have been brillant.

Regards

Frank


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## the barry (15 July 2007)

Frankhalo said:


> This week will be a big top for me, another 10,000 shares or so, lets hope it drops a little so it doesn't cost an arm and a leg. Looking foward to the next 6 -8 weeks with up and coming news releases, I believe we should start to see GBG really shine and be noticed as a solid mid-tier player in the iron ore resource sector, and in many respects it already is. Hope you all have another good week with the old GBG , the last 2 weeks have been brillant.
> 
> Regards
> 
> Frank





Am hoping the stock will consolidate around these levels. Future looks great for this one, but the lack of news till august could see this one drop back a little in the mean time. Definately won't be selling my holding, but will top up more if it gets back to the 1.30 mark. 

happy hunting


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## imaginator (19 July 2007)

dont worry, by august when the news come out it will be $2.50 as per Macquarie Bank's forecast from last month!

Anyway, this stock is good to hold long term too, long term forecast around $10.


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## hangseng (19 July 2007)

imaginator said:


> dont worry, by august when the news come out it will be $2.50 as per Macquarie Bank's forecast from last month!
> 
> Anyway, this stock is good to hold long term too, long term forecast around $10.




With the plans that GBG has with the hematite and magnatite ore body expansion, in particular lodestone, this stock could well go over your $10 quite easily within 2-3 years. The report out today indicates they are targeting an estimated 2 billion tonnes of ore and have clearly stated this will place GBG alongside the larger producers in Australia.

In reading the report today the BFS is now laydown majeure to be approved.

The $2.50 forecast of Macquarie Bank is now very conservative IMO.

I have followed the chairmans movements closely since before Portman Mining and researched his background since his days in the ANZ bank as a Manager in major business lending through to his foray into private equity finance and on to Portman. He is no slouch, an excellent financier, highly regarded in business and banking and he is doing this because he loves what he does and he is good at it. I also followed him into MUN and SDL, another good move for me. His success at Portman was unsurpassed, GBG, MUN and SDL will add to his credits as him being one of the best. Hardworking and success breeding success and he surrounds himself with successful people.

Look for expansion plans in your ongoing research, IMO this is on the cards for the future.


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## Love Zn (19 July 2007)

imaginator said:


> dont worry, by august when the news come out it will be $2.50 as per Macquarie Bank's forecast from last month!
> 
> Anyway, this stock is good to hold long term too, long term forecast around $10.




Who's worried? 

I wouldn't be complaining if it did reach this, but do you have a link for the Mac Bank forecast?  I remember the moderating asking you to post the link last time.

I'll just be happy if it can get above and then hold above the $1.50 resistance tomorrow.  Looking forward to the end of August, which will probably see the sp going up before the release of the BFS and just as likely people taking profits and a drop on the release.


----------



## greenfs (19 July 2007)

Love Zn said:


> Who's worried?
> 
> I wouldn't be complaining if it did reach this, but do you have a link for the Mac Bank forecast?  I remember the moderating asking you to post the link last time.
> 
> I'll just be happy if it can get above and then hold above the $1.50 resistance tomorrow.  Looking forward to the end of August, which will probably see the sp going up before the release of the BFS and just as likely people taking profits and a drop on the release.




This is my best investor stock position & I expect that it will be every bid as good as what everyone is saying. I cannot find any negative press anywhere and fully expect it to match JBM and even ZFX, albeit given a little more time than what ZFX took. I for one will be averaging up along the way and am about to take my 4th stake in it with no thoughts of a sell in the future.


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## Frankhalo (19 July 2007)

I agree with greenfs, got 45,000 shares in GBG now and am going to hold out till at lease $25 to $30 to sell. 5 to 7 years isnt that long to wait for a 
$1,350,000 hit in the old bank account. GBG has got the right stuff to do this, best share I've held for the last 18 months for sure and the next 18 months looks bright. Now on the other hand theres this dodgy mob RRS which I cant wait to unload as soon as I break even. 

Good luck in the coming weeks with this one, it looks damm good.

Regards

Frank


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## Pat (20 July 2007)

This Is GBG's chart at close yesterday. Looks like the SP wants some more lovin of the top bollinger band. Lets hope it stays this way and GBG continues it's run. Cheers all round


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## s3081402 (20 July 2007)

This stock is a beauty i need cash soon so got to sell it if it goes over $2. Should be good over the next few weeks.


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## Frankhalo (20 July 2007)

At least hold till the BFS and the Lodestone drilling results, rather than $2.00 you maybe looking at a whole lot more. Aug / Sept are going to be two killer months with the old GBG, this is one of the best shares I've held for over 20 months and it gets better, and the best is still to come.

Regards

Frank


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## s3081402 (20 July 2007)

Lol ok then we just wait and see how much it goes up. I need money in the next few months that the problem.


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## Frankhalo (20 July 2007)

I think we'll both be very happy come Sept, $4 to $5 per spare isnt that far fetched should both mentioned reports be winners.

Goodluck to all holding this one, looks very bright.


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## Love Zn (20 July 2007)

Yeap at least hang on until the end of August when the BFS comes out and even after that it's going to be a great long term share.

Nice break of the $1.50 resistance today, hopefully this becomes support at this level.  The Fibonacci Projection on the attached chart might indicate some of the resistance levels on the way up.

The bounce on the MACD was a further signal to buy.


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## bigbull (22 July 2007)

Western Australia's Treasurer wrote this week to Midwest Corp. to cancel its approval to build a A$2 billion port and rail project at Oakajee. It instead supports the rival proposal backed by MMX.

Midwest and Yilgarn are partners on this infrastructure project. I recall Gindalbie supports Yilgarn's proposal several weeks ago.

Any impacts on GBG's long-term ability to shipout it's products effectively?


http://www.bloomberg.com/apps/news?pid=20601081&sid=aVtw2KHFBVs0&refer=australia


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## bigbull (22 July 2007)

Here is the news back on July 6th.

YILGARN Infrastructure's plan to build port and rail facilities in Western Australia's midwest has received a boost through the backing of iron ore hopeful Gindalbie Metals.

http://www.news.com.au/sundaymail/story/0,,22028092-31037,00.html


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## Frankhalo (22 July 2007)

_Geraldton Iron Ore Alliance 
Murchison Metals is one of the founding members of the Geraldton Iron Ore Alliance. Alongside Midwest Corporation and Gindalbie Metals, the Geraldton Iron Ore Alliance has been formed to unlock the full potential of the Mid West iron ore province, Australia’s fastest growing iron ore province.

 The three initial members have agreed to cooperate to facilitate the development of the iron ore industry in the Geraldton area, which could be producing 50 to 60 million tonnes per annum of iron ore and carbon steel related minerals and products within a decade.

Former Western Australian State Development Minister, Clive Brown, is the independent Chairman of the Geraldton Iron Ore Alliance.

The foundation members have agreed that the alliance will, inter alia:

liaise with governments, industry groups, non government organisations and community groups, particularly relevant departments and agencies of the Western Australian Government, the Western Australian Chamber of Minerals and Energy and the Association of Mining and Exploration Companies on key issues of infrastructure, regional development and community relations; 
promote the development of appropriate common user and other infrastructure and work closely with all stakeholders in the region to optimise the utilisation of existing infrastructure; 
work closely and cooperatively with the Geraldton Port Authority and other stakeholders to enhance the efficiency and capacity of the port; and 
liaise with community groups and stakeholders including Government agencies to address issues arising from the expansion of the iron ore industry. _

This is from MMX site, I have no doubt they will work together in the development of services to benefit the region they share.


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## Frankhalo (22 July 2007)

*Murchison Will Give Rival Exports Access to Port* 

_By Tan Hwee Ann

July 20 (Bloomberg) -- Murchison Metals Ltd., planning a A$3 billion ($2.6 billion) iron ore project in Western Australia, *will open its port and railroad to all producers*, after the state government moved to block a rival development._


The tenders for rail and port are still to be decided and backed by our WA friends in power. At the end of the day which ever group wins the rights to build rail, road and ports all players in the region will benefit.


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## Pommiegranite (22 July 2007)

Frankhalo said:


> *Murchison Will Give Rival Exports Access to Port*
> 
> By Tan Hwee Ann
> 
> July 20 (Bloomberg) -- Murchison Metals Ltd., planning a A$3 billion ($2.6 billion) iron ore project in Western Australia, will open its port and railroad to all producers, after the state government moved to block a rival development.




Is Murchison legally obliged to open its port to other producers?

What if they said "No, sorry the port can only just about handle our own produce"


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## Morgan (22 July 2007)

Thanks for that post Frank- the infrastructure development dealings are becoming a little hard to follow and I had been searching this morning for something like that in your post which explains the current situation.
I already hold GBG but was wondering why the sudden spike in MIS over Thursday and Friday. Maybe the news in your post is the reason.


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## hangseng (22 July 2007)

Frankhalo said:


> *Murchison Will Give Rival Exports Access to Port*
> 
> _By Tan Hwee Ann
> 
> ...




MMX (nor anyone else) will not have exclusive rights to this port/rail/road facility, nor will any others will have exclusive rights to the Geraldton Port upgrade now in progress.

The upgrades will benefit all miners and other users in the midwest region.

Time to buy property in one of the best coastal locations in the country.


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## Frankhalo (22 July 2007)

hangseng said:


> MMX (nor anyone else) will not have exclusive rights to this port/rail/road facility, nor will any others will have exclusive rights to the Geraldton Port upgrade now in progress.
> 
> The upgrades will benefit all miners and other users in the midwest region.
> 
> Time to buy property in one of the best coastal locations in the country.




Spot on Hangseng......I'll take 3 km of WA best shore line near Geraldton, even though the iron levels in the sea water maybe a little on the high side for a dip


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## imaginator (23 July 2007)

whats happening today? up to 1.69 on cmcmarkets.

more solid metal prices? do u think it will go back to 1.4 range?


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## bigbull (23 July 2007)

imaginator said:


> whats happening today? up to 1.69 on cmcmarkets.
> 
> more solid metal prices? do u think it will go back to 1.4 range?




The price is back to 1.67 (11:47am), and volume is 3.1M. Looks like another big volume day.

No major news I can think of. Only thing I notice is the open access port news during the weekend.

Looking at the trading transactions for today, lots of market order in the first hour of trading which bring up the price to 1.70. Maybe some follow through trades after the 1.50 level broke out.

I wish it can pull back a little in coming days. So it creates some winodws of buying. But I doubt it will go under 1.50.


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## Hawkeye (23 July 2007)

Not a chance in hell it will go back to 1.40 range - perhaps 1.50ish will find some support should it drop back but it's only blue sky from here...more of my $ going into CFDing Gindalbie at present.

The Eureka Report keep on mentioning GBG in positive light - so I'd say the continued good news from late last week has spread into this week and their conservative $2 estimate on GBG once AnSteel came into the picture will come to fruition - I'm betting - in early September...based on some positive news arriving in late August.


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## imaginator (23 July 2007)

Does anyone think it will go to 1.60+ again?
Man, today is the bullrun, just getting pushed higher. 1.73 now on cmcmarkets.


Anyone setting a short term stop loss to lock in profit?


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## dj_420 (23 July 2007)

imaginator said:


> Anyone setting a short term stop loss to lock in profit?




not me, been on this one since 60 cents and was going on and on about it. im holding this bad boy until magnetite production 2010.

hematite production to start next year, get some good cash flow going.


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## gfresh (23 July 2007)

At this rate, it's quite possible $2.00+ will be reached by mid-august.. Looking at MMX, and it's rise, it's possible (speculative) it may be $6 this time next year. 

I wouldn't be selling this one right at the moment, managed to get accumulate some more at $1.33 the other day  

I think at the moment, because growth in some of the other stocks on the market is a little flat (banks, etc), a lot of money is coming into these sort of stocks.. i.e. today XMJ (materials) down only 0.3% compared to - XAO down 0.5%, XFJ (financials) down 0.6%, XNJ (industrials) down 0.7%


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## Frankhalo (23 July 2007)

$1.75 boys, how f'ing nice is that....love to see out the month at the $2.00 mark, at this rate thats not such a far fetched figure.

Hope you all did well with the old GBG today, I imagine you all did !

Regards

Frank


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## Love Zn (23 July 2007)

Frankhalo said:


> $1.75 boys, how f'ing nice is that....love to see out the month at the $2.00 mark, at this rate thats not such a far fetched figure.
> 
> Hope you all did well with the old GBG today, I imagine you all did !




:alcohol:

Well it did better than I expected today on no news.  I'm still trying to get some funds cleared to buy more before the BFS's come out.


----------



## s3081402 (23 July 2007)

Another good day for GBG. Hopefully it continue to rise to the $2 mark by the end of the month. Will this drop down to $1.60 since it been going up for 4 day straight.


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## Pat (23 July 2007)

s3081402 said:


> Another good day for GBG. Hopefully it continue to rise to the $2 mark by the end of the month. Will this drop down to $1.60 since it been going up for 4 day straight.



Possibly, 1.60 will be a good level to retrace to on the chart. It's broken out of the top bollinger band, going like a rocket, it should come back within the top band. But who knows, dream run for GBG holders


----------



## mas888moe (24 July 2007)

Hi guys,

Do you think GBG will go down to $1.65 or lower today? What is a good price to buy at?

Please help!

Thank you very much


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## dj_420 (24 July 2007)

mas888moe said:


> Hi guys,
> 
> Do you think GBG will go down to $1.65 or lower today? What is a good price to buy at?
> 
> ...




as pat said might retrace to 1.60

i for one will be picking up more at those levels. has had an excellent run. still large volumes going through on this one.


----------



## s3081402 (24 July 2007)

Not a good day for GBG, started well in the morning then drop down as expected. But should continue to go up this week.


----------



## the barry (25 July 2007)

Good to see we have an institution jumping in today for a 5 percent stake. Things are looking better and better.


----------



## whitta27 (25 July 2007)

yeas barry .. i liked that too..
even to the point that they'd bought 1 million i think it was even up to 1.70 roughly from my observations.. they must really like gbg


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## gfresh (25 July 2007)

If you have a look at MMX as well, JP Morgan and Merrill Lynch have also bought into it recently. 

These two massive institutional investors don't invest in companies willy-nilly, which is a positive sign for GBG


----------



## Pat (25 July 2007)

s3081402 said:


> Another good day for GBG. Hopefully it continue to rise to the $2 mark by the end of the month. Will this drop down to $1.60 since it been going up for 4 day straight.



$1.60 was pretty much spot on s3081402. I won't be surprised if we see $1.50 by Friday... with a little help from the DOW, although there is some great depth at the $1.60 level. Some consolidation here wouldn't go a stray...


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## s3081402 (26 July 2007)

Not another good day for GBG. Enough people waiting between $1.63 to $1.70 to sell. Hopefully can regain the increase from the start of week.


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## dj_420 (26 July 2007)

s3081402 said:


> Not another good day for GBG. Enough people waiting between $1.63 to $1.70 to sell. Hopefully can regain the increase from the start of week.




have you seen the whole ASX the last couple days? been very red ones thanks to leads from DOW.

do you realise this stock has run from 55 cents to 1.60  in a couple of months? stock needs a bit of a breather and some consolidation.


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## wildmanchris (27 July 2007)

Looks like it will get the break it needs from the line up of sellers today - rough day on the dow!!


----------



## juw177 (27 July 2007)

This stock seems to be getting hit very hard compared to other stocks. Any reason why besides just panic?


----------



## uptrend (27 July 2007)

FMG and MMX is down about the same, i think people just want to get out today, don't want to wait to see what happens tonight on the DOW.


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## dj_420 (27 July 2007)

juw177 said:


> This stock seems to be getting hit very hard compared to other stocks. Any reason why besides just panic?




this stock has run from 55 cents to 1.60 odd in two months!

i would have expected a retracement had the DOW not been hit. JP Morgan have been buying up the whole way so i wouldnt be fussed. ill draw chart tonight see where support levels are.

if this is a correction expect a retrace to 1.30 odd maybe lower. 

stocks cannot go up and up every single day

if you like the company see it as buying opportunity when bloodshed has stopped


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## YNKWRTNC (27 July 2007)

I'm with DJ, may still have a bit to come down.
If the US and other globals have a drop tonight, we'll follow suit.
Good time to buy.
The companies' resources haven't disappeared overnight, just the U.S. down and a dip in the graph.

The BFS and a positive report from Lodestone will see some gains having us smiling again.


You Never Know What's Round The Next Corner


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## MegaV (27 July 2007)

Hey
The stock certainly did take a beating today. Great time to buy in more!
just curious though, how do you find out if JP morgan has been buying this stock up?


----------



## dj_420 (27 July 2007)

MegaV said:


> Hey
> The stock certainly did take a beating today. Great time to buy in more!
> just curious though, how do you find out if JP morgan has been buying this stock up?




substantial shareholder notice put out the other day

JP Morgan 5.5% i think. they have been buying on market all the way up to 1.60, when they bought 1 and half million

i wouldnt be surprised if institutions are soaking up all these panicking sellers

i will look to get more when price is right, if its a correction we will have more downside, well the whole market will have a lot of downside!


----------



## MegaV (27 July 2007)

cheers dj 420
I love a good fall...midyear sale time on ASX! Time to go stock shopping!!! 

I hope the downturn isnt long lasting though. Heard its due to the sharp fall in DOW and wallstreet due to bad housing market and poor corporate buy out financing. Hopefully the market will be up and running by mid next week.


----------



## Pat (27 July 2007)

GBG was hit hard today for a couple of reasons... 
1. As DJ has said its done 200% in 2 months, GBG needs to let cool down 
and 
2. The dow. 

Yes, further downside for GBG, but not too much, well depends what happens in the US, then downside for all markets. I see support at $1.40, then $1.20 and then $1, don't think it will break $1.40 though. Lots of interest in GBG, Iron is still up. She'll be right.


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## EZZA (27 July 2007)

Didn't expect gbg to pull back this much,  but yeah, reckon ít'll be alright as well.

If it consolidates at current levels, hopefully market sentiment rises and with feasbility study in aug.  :shoot::shoot:


----------



## Frankhalo (30 July 2007)

Looks like the Pacific region markets finished well today, finally in the green zone. Lets hope our US friends take this lead later tonight and GBG can regain some lost ground Tuesday.


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## Pat (30 July 2007)

GBG definitely came down quickly, $1.40 level is a nice number to consolidate to... It's come back to the middle of the Bollinger band from it's hard run, could hit the bottom line at $1.10  If the present climate continues. Imagine the DOW rose 300 points in a day. 
GBG also took a breather around the $1.40 mark, some healthy consolidation here, just quick due to market sentiment. Although the latest broker report on the GBG site values GBG at $1.15. This is dated June 5th 2007, so i guess it's in need of an update in that respect 
http://www.gindalbie.com.au/Investor+Relations/Reports/Broker+Reports/default.aspx


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## bigdog (31 July 2007)

TWO ASX announcement today

31/07/2007 Quarterly Cashflow Report
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00743608

Cash at end of June 2007 quarter $16,099,000

31/07/2007 Quarterly Activities Report
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00743607


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## s3081402 (31 July 2007)

Looking for a good day for GBG. Been hit hard over the last few days. $1.52 at the moment. This company still have good cash in hand so that good.


----------



## bigdog (31 July 2007)

31/07/2007 Quarterly Activities Report
http://www.asx.com.au/asx/statistics...idsID=00743607

HIGHLIGHTS FOR THE JUNE 2007 QUARTER
KARARA IRON ORE PROJECT (ANSTEEL EARNING A 50% INTEREST)
Mungada Hematite Project
• Resource estimation for the hematite project completed resulting in a 62% increase in Resources to 22.8 million tonnes at 61.9% Fe. Resource classification also upgraded from Inferred to Indicated and Inferred with the Indicated Resource totalling 15.3 million tonnes at 62.2% Fe.
• Metallurgical test work confirms a Lump/Fines ratio of 60/40 can be achieved from the project with all other metallurgical test work results within the normal range.
• Second Draft of Public Environmental Review (PER) developed in preparation for submission to the EPA in late July.
• 7,120 metres of RC and diamond drilling completed with significant results from all prospects received.

Better intersections included:
21m @ 64.8% Fe and 0.06%P in Hole MGC 302
21m @ 64.1% Fe and 0.01% P in Hole MGC 308
25m @ 63.4% Fe and 0.07% P in Hole MGC 347

Karara Magnetite Project
• Resource upgrade completed totalling 1.43 billion tonnes at 36.3% Fe including 655 million tonnes of Indicated Resource which will form the basis of Mine Design for the first 32 years of the Project.
• Extensive Davis Tube Recovery test work demonstrates that a concentrate grading 68.8% Fe, 4.2% SiO, 0.08% Al2O3, and 0.01% P at 40.7% weight recovery can be produced from Karara.
• JV partner Ansteel completed pilot plant trials at Anshan mineral dressing laboratory on a representative ore sample from Karara. Results show very high correlation with those achieved independently in Australia and provide confirmation of the flow sheet design.
• Ansteel Mining Design Institute (AMDI) engaged to investigate modular construction methodology as a means to improve the likely site construction schedule in addition to their role as detailed concentrator designer.

REGIONAL IRON ORE EXPLORATION (GINDALBIE 100%)
• Drilling commenced at the Lodestone Prospect, 50km south east of Karara, targeting both magnetite and hematite mineralization. Phase 1 drilling scheduled for completion in the September Quarter 2007. Significant areas of hematite–goethite enrichment were encountered in rock chips over Lodestone.

CORPORATE
• Cash reserves at 30 June 2007 of A$16 million with $5 million received subsequent to quarter end for the sale of the Minjar Gold Assets.
• Share Subscription Agreement signed with Ansteel whereby Ansteel will acquire, subject to Chinese regulatory approvals, a strategic stake of 12.8% in Gindalbie through the placement of 65 million shares at 60 cents each, raising $39 million. Funds due to be received by 4 September 2007.


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## gfresh (31 July 2007)

I sold out before the dip.. not sure on an entry point. While today was up.. the intraday movement has not been that strong. All depends on the US influence at the moment.

I really don't want to wait too much longer though, miss out on the JORC statement which is due "sometime" this month. hmm


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## MegaV (1 August 2007)

Took a small fall today, but the medium- long term prognosis for this stock is still great.

As I understand, the bank feasibility study should be coming out in late august or early september. This should see the price of the share pick up a bit.


----------



## Damuzzdu (1 August 2007)

MegaV said:


> Took a small fall today, but the medium- long term prognosis for this stock is still great.
> 
> As I understand, the bank feasibility study should be coming out in late august or early september. This should see the price of the share pick up a bit.




MegaV,

.."small fall today"...hahahah I love your description of small at *-10.5%*...I'd hate to see your definition of big....ouch!!!! 

Cheers


----------



## MegaV (1 August 2007)

Damuzzdu said:


> MegaV,
> 
> .."small fall today"...hahahah I love your description of small at *-10.5%*...I'd hate to see your definition of big....ouch!!!!
> 
> Cheers




hahahah.... when i checked the price at 12.30, it was 1.53. 
After that, it went down like a thai hooker. 

Oh well...better days will come next month


----------



## Frankhalo (1 August 2007)

Next month !...This is the month GBG was to shine, it will still I imagine but dam thats a big pot hole its stepped into and there not alone. Lets hope the Yanks pull up well in the coming days.


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## s3081402 (2 August 2007)

Frankhalo said:


> Next month !...This is the month GBG was to shine, it will still I imagine but dam thats a big pot hole its stepped into and there not alone. Lets hope the Yanks pull up well in the coming days.




You are right Frank this is the month for GBG. All the US fault. Alot of selling lining up today.


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## YNKWRTNC (2 August 2007)

Amid this temporary downturn in the market, may all GBG share holders just take a minute to imagine the joy of Fortescue moving from $8.80 in October 06 to $41.00 in June 07. 
Up $23.20 in 8 months.
Sure, there may be some misdemeanor charges involved but who are we to judge?

It may never happen again?

Still, I have a dream......


You Never Know What's Round The Next Corner


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## Pat (2 August 2007)

YNKWRTNC said:


> Amid this temporary downturn in the market, may all GBG share holders just take a minute to imagine the joy of Fortescue moving from $8.80 in October 06 to $41.00 in June 07.
> Up $23.20 in 8 months.
> Sure, there may be some misdemeanor charges involved but who are we to judge?
> 
> ...



Very ture alphabet, and it's good to dream 
I think $1.40 looks like support at the moment, it looks as though a step triangle is forming, does this have any meaning?
By the chart GBG is in some healthy consolidation. Good luck guys... I'm holding


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## gfresh (2 August 2007)

or likewise.. 

everything is so wild at the moment.. e.g. today.. yesterday $1.40, up to $1.54c this morning, down to $1.375, then close at $1.405 !


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## Pat (2 August 2007)

gfresh said:


> or likewise..
> 
> everything is so wild at the moment.. e.g. today.. yesterday $1.40, up to $1.54c this morning, down to $1.375, then close at $1.405 !



Yeah that would make more sense, learning all the way. So it's still all up in the air? Just dreaming I guess.


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## barney (6 August 2007)

Everythings down 2day, but GBG has been getting some nice "accumulation hits"  .............. 200,000 ..... 150,000 .....100,000 shares  ................ On a day when nothing looks good, that looks like "smart money" to me .......... Time will tell, but I like the look of it ......


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## juw177 (6 August 2007)

Yes it is finding nice buyer support at at $1.35 which was surprising considering how weak and volatile this has been in the last few red days.


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## barney (6 August 2007)

juw177 said:


> Yes it is finding nice buyer support at at $1.35 which was surprising considering how weak and volatile this has been in the last few red days.




Hi J,  I guess considering the general market volatility, it had to affect GBG to some degree, since their rise was pretty much exponential over the last few weeks ............. There was a lot of "big" money going into them at $1.75 only days ago, so at $1.40 they look pretty safe to me ................. Todays price action was very positive imo ........ lots of big orders on a down day ..............  Cheers.


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## s3081402 (8 August 2007)

While other stocks are taking a beating this one is hanging around $1.40. Cant wait till the report comes out. This 1 will rise very quickly


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## Bluebeard (8 August 2007)

When is the next report/update due? I'm not in this stock but Ive been looking at it for the last couple of weeks, and now I'm giving it some serious consideration.


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## Sean K (8 August 2007)

s3081402 said:


> While other stocks are taking a beating this one is hanging around $1.40. Cant wait till the report comes out. This 1 will rise very quickly



s numbers, please ensure when you make sweeping statements such as 'this will rise very quickly' that you back it up with some analysis in the post. If you have posted the analysis previously in the thread, then please reference it in some way so we know where to look for the details. Thanks! kennas


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## Nick Radge (8 August 2007)

The larger triangle target was met and now having a breather. Still some selling around but the falling wedge looks promising at this stage. We're in from $0.815 and the system remains content being long.








_This post may contain advice that has been prepared by Reef Capital Coaching ABN 24 092 309 978 (“RCC”) and is general advice and does not take account of your objectives, financial situation or needs. Before acting on this general advice you should therefore consider the appropriateness of the advice having regard to your situation. We recommend you obtain financial, legal and taxation advice before making any financial investment decision._


----------



## The Barbarian Investor (8 August 2007)

Nick Radge said:


> The larger triangle target was met and now having a breather. Still some selling around but the falling wedge looks promising at this stage. We're in from $0.815 and the system remains content being long.
> 
> 
> 
> ...




For some reason can't see your chart Nick (interested in your thoughts on this stock though as I hold it..and consider it similar to AGO)


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## springhill (10 August 2007)

I note today that Patersons have re-rated GBG as a sell with a target price of $1.19 quoting " we believe the growth in its market capitalisation has outpaced the growth in value." Hogwash IMO i wont be selling this for all the tea in China. BFS due this month should put a rocket under it or has the market already factored this in?


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## s3081402 (15 August 2007)

What is going on with GBG today alot of people jumping off the wagon. Hopefully the report will come out soon to give this one a boost.


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## springhill (15 August 2007)

springhill said:


> I note today that Patersons have re-rated GBG as a sell with a target price of $1.19 quoting " we believe the growth in its market capitalisation has outpaced the growth in value." Hogwash IMO i wont be selling this for all the tea in China. BFS due this month should put a rocket under it or has the market already factored this in?




Yes, well, next time i think i will just STFU and keep my opinions to myself  and like a stubborn prick im still not selling, should be buying at $1.09


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## EZZA (15 August 2007)

whats going on with gbg, getting slammed big time.

didn't set up any stop losses, thought it might hold around the 1.40 mark.
in hindsight can say i should have stopped lossed this one a little of this mark.
have been holding this one from 0.9 to 1.75, now at 1.10.  god dam this is painful.  very time i let profit dwindle i tell myself i should have pocketed the profits. shoulda coulda woulda, but i didn't.

wonder what it will do tommorow.  hope it doesn't drop off again, i see nxt support at around a 1.00.  

anyone with any thoughts on this stock in this environment, or people hesitant to buy back in or does anyone think should be exiting?

i know feasbility study it coming through end of month hope the market responds positively to this, market is really getting punished.


----------



## Pat (15 August 2007)

I think the market was a bit harsh on GBG today... LOL.
Evaluating my position now, licking my wounds 
This could just be one of those blips on a chart, where you say, "geez, that was a good time to buy"....  wishful thinking.
The SP has broken the bottom band so you could say $1.20 is on the cards for tomorrow, It should  come back within the bottom band.


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## kevien (15 August 2007)

Today we see lots of liquidation in resource sectors. Not only GBG is slammed but also other stocks in this sector. It will rise if we are confident the aussie economy and all the fundamentals are healthy. This correction might take a bit longer than we initially thought, however, it should be a big depression.


----------



## EZZA (15 August 2007)

yeah, market shouldn't take a little while to recover, was watching 7.30 report on abc. volatitility expected over next couple of months.  expecting consolidation after the market settles down.  

market have pulled back about 10% could possibly pullback to 15% some believe.  

i hope sentiment changes quickly on this one, for all you gbg holders.


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## imaginator (16 August 2007)

My friend from Macquarie said they have been calling up GBG everyday to ask when the report is coming out. Current answer is either sometime this week or next week.


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## s3081402 (16 August 2007)

imaginator said:


> My friend from Macquarie said they have been calling up GBG everyday to ask when the report is coming out. Current answer is either sometime this week or next week.




This one need the report to give it a boost. People are just in a panacking mode at the moment. Should have sold it when it reach $1.80. Dam it hurts


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## imaginator (16 August 2007)

Im adding my collection of units now. Remember to set a stop loss. BUt tomorrow should be up(IMO). 

I think people were just panicking and thinking if it goes less than 1.10 they are gonna sell, cos the Aussie market had a HUGE diarrhoea today.

This is a good company with huge prospects, but the Aussie market is being dragged by USA. It's Buffett's style buying time, i guess.


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## dj_420 (16 August 2007)

s3081402 said:


> This one need the report to give it a boost. People are just in a panacking mode at the moment. Should have sold it when it reach $1.80. Dam it hurts




we want a good ann when the market is back to normal, wouldnt do any good in this environment IMO.

although PDN released a good ann this morning and was up for a little while.... who knows hey


----------



## Pat (16 August 2007)

Pat said:


> The SP has broken the bottom band so you could say $1.20 is on the cards for tomorrow, It should  come back within the bottom band.



well I was way off LOL. 
Agree DJ, Would be a waste to release ann now. Just gotta hold and wait I guess.


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## bigdog (16 August 2007)

Gindalbie GBG, Iron ore jnr in WA. 

BFS to be released in 11 trading days will take this company from explorer to producer. 

With China's Ansteel financial backing and taking 100% of Gindalbies world class iron ore deposit, Lodestone area report in Sept this company has the potential to be the next FMG, sadly world markets and mom and dad holders fears are playing down on this great company. 

What is BFS?


----------



## Surly (16 August 2007)

bigdog said:


> Gindalbie GBG, Iron ore jnr in WA.
> 
> BFS to be released in 11 trading days will take this company from explorer to producer.
> 
> ...




Bankable Feasibility Study. A business plan to be presented for finance if you like.

Where was that announced Bigdog?

cheers
Surly


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## EZZA (16 August 2007)

Guys need some help.  just sold off gbg at 82 c,

to see it bounce back to 97c. 

you guys reckon, current price is ok to go back in.

panic sold today, i'm so angry with myself.


----------



## Hawkeye (16 August 2007)

i feel for you ezza, and the answer is yes...imho - get back in.  i think gbg will eventually get there - it will just take a little longer.  i don't expect gbg to fly back to the 1.20 SP mark...but it will get there eventually.  as someone who is a long term holder - i just had no option but to watch it get hammered over 2 days...not prepared to sell at a loss (bought in at 1.37) when i still believe its worth 1.90.


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## Pat (16 August 2007)

EZZA said:


> Guys need some help.  just sold off gbg at 82 c,
> 
> to see it bounce back to 97c.
> 
> ...



Don't think anyone could give you sound advice on that. So many stocks look like screaming buys, when will the selling stop? If you can answer that, you'd be a very rich man.... or woman.
I sit on the fence on everything apart from GBG (apart from daytrading this volitility, in which I have done well to offset some of this unrealised loss). Had confidence in my actions with GBG till this week  still hold


----------



## jonojpsg (16 August 2007)

IF you want to hear something really bad , I just happened to hit upon GBG on ASF a couple of weeks ago when I was looking at my margin loan stocks and thought,hey I might sell my BHP which were sitting at a nice profit and buy into GBG which were then $1.72, only to see them jump off the cliff 

Had a margin call tonight, although with the late bounce I'm back into buffer  - hopefully will resume tomorrow with continued recovery


----------



## imaginator (17 August 2007)

Today.

Billionaire investor Warren Buffett, the so-called Sage of Omaha, has signalled he is waiting in the wings to see what buying opportunities emerge from the stock market turmoil.
"Generally speaking, when there's a certain amount of chaos in certain sections, it is unpredictable where the fallout will be, but the fallout offers some real opportunity," the Chairman of Berkshire Hathaway said in an interview with CNBC. "When dislocations occur, things get more mispriced." Earlier this year, he complained it was getting harder to find companies to acquire at suitable valuations. 

___________________________________________________________
Can someone write to Buffett to tell him about GBG? He would be very happy I suppose.


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## EZZA (19 August 2007)

got back into GBG at 1.00 hope i made the correct decision.

anyway, i hope the last drop to 80 is the bottom.  i'm assuming the drop is a result of margin calls and stop losses executed,  along with negative sentiment.

will be volatility on this one, just wanted to get back in before feasability is out.  

where do you guys reckon a stop loss should be set?  i think just under 80 should be ok. any thoughts.  just want to be more cautious this time around.

cheers
Ezza.


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## YNKWRTNC (20 August 2007)

Re. EZZA:

GBG at $1 is a great buy.
Selling at 80c and buying back won't be much of a loss if you're in long term.
If I had any spare funds I would've loved to top up at that price.
Been in touch with this stock for 2 years. Like most iron ores, the potential is huge but I especially like GBG.
'Hold for 5 years' plan on this one.
Mungada up and running next year, Karara producing in 2010 (not to mention a 40 year mine life), Lodestone looking promising for more ore and a positive release today by MIS with the successful raising of the the equity to set up rail and port infrastructure to the WA mid west region.
GBG being backed by Ansteel helps ease the worry of it being too speculative.

Long term, GBG will ride out market ups and downs (which may be around for a bit longer).

Of course all of this, just my opinion.
D.Y.O.R.


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## Frankhalo (20 August 2007)

Well put Alphabet man, GBG will shine for a long time to come, today’s announcement from MIS only
Strengthened GBG position and tackled key issues in its BFS in regards to transportation from ground to
Port. Got a gut feeling we may see the BFS released this week, heres hoping.


Regards

FRank


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## EZZA (20 August 2007)

YNKWRTNC,

thanks for your input dude.  i like getting advice just like seeing things from others point of view.

don't think volatility is over yet though, will be pretty choppy for a while.

hopefully the report comes out soon.  

yeah, ansteel 2nd largest steel producer having a stake should be reassuring.
they were part of the reason i got into these guys in the first place.

where do you see gbg in 5 yrs?


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## YNKWRTNC (20 August 2007)

5 years time:
Glass half empty says $6 (still great return), glass half full says $40 (life changing on a decent investment)
Gotta have a crack on this one (or choose an iron ore you know well), the potential is huge and there's still time to catch the boat early.

Looking in the crystal ball:
"Y'know that iron ore boom from 2006 to 2011, Alphabet Man (YNKWRTNC) got on early and made a killiing!" LOL

Good luck with it Ezza


----------



## EZZA (20 August 2007)

thanks bro, gotta give it a crack hey, if ya wanna make a buck.

just hurts a bit when you see if pullback soo much,  just hope market doesn't for a downtrend over the short term.  

cheers
mate


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## YNKWRTNC (20 August 2007)

It may be tough for a while, but in a good market it can go up just as fast as it has come down. June to July, it went up 70 to 80c. Patience is the key in the share market - as long as you're confident you know the company you're backing.

Long term Ezza, 3 to 5 years.
Hey, and if something bazaar happens in the mean time, like it did to FMG, and it goes to $40 in 2 years, we can handle that.


----------



## springhill (20 August 2007)

YNKWRTNC said:


> 5 years time:
> Glass half empty says $6 (still great return), glass half full says $40




$40!!!

WOW thats quite an exuberant thought. Im in so i wouldnt complain but if it happens to be at that level i will buy everyone in this forum some solid gold underpants!!


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## YNKWRTNC (20 August 2007)

I like it Springhill.
I'm 6ft 5in and 140kilos so make mine a massive pair.
I'll sell 'em off and get me some more stocks.


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## s3081402 (22 August 2007)

A solid day for GBG today around 7.5 mil in volume. I thought today was going to be slow for GBG but it finish pretty well closed at $1.22 now.


----------



## AussiePaul72 (22 August 2007)

Frankhalo said:


> Got a gut feeling we may see the BFS released this week, heres hoping.
> 
> 
> Regards
> ...




I think your gut feeling may be right Frank ...... I think BFS may be just around the corner .... maybe even tomorrow with the way GBG surged today on good volume.
GBG up more than 25% over last 3 days trading. On monday it went up 15.5c when the All Ordinaries had a huge upward surge. However, today GBG rose 13c (nearly 12%) with good volume on a day where the All Ordinaries was only up marginally (0.3%).
Am I reading too much into this or are we just about to see a significant announcement?


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## YNKWRTNC (22 August 2007)

Frank is on the money again.
BFS tomorrow or Friday, IMO.
Lodestone report due within next few months.
Could see some great gains for GBG by Nov/Dec.
Still, we must hope Uncle Sam doesn't spoil the party.

It's not "Buy or sell" it's "Buy Ore"


----------



## adobee (23 August 2007)

I took the opportunity to buy in at 1.11 following the correction period as I had been watching GBG for a while and was reluctant to buy whilst it was peaking.. I think with the current market senitment we could see GBG returning to 1.70+ range pretty quick. There are alot of investment reports whcih are spruking GBG as well especially Eureka who keep commenting 'possible the next FMG' .. how they come to this conclusion I dont know but if the market likes that train of thinking then so do I..


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## Frankhalo (23 August 2007)

Been a dam good week for the old GBG, lets hope the world markets do well tonight and finish the ASX on a high friday. BFS tommorow ?, dam I hope so.
Good to see lost ground being recovered slowly, last 4 weeks have been real heartbreakers.


Regards

Frank


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## EZZA (23 August 2007)

adobee said:


> I took the opportunity to buy in at 1.11 following the correction period as I had been watching GBG for a while and was reluctant to buy whilst it was peaking.. I think with the current market senitment we could see GBG returning to 1.70+ range pretty quick. There are alot of investment reports whcih are spruking GBG as well especially Eureka who keep commenting 'possible the next FMG' .. how they come to this conclusion I dont know but if the market likes that train of thinking then so do I..




Anyone, got a hold of any of these reports. Would be very interesting reading.

i'm glad i jumped back on this stock, panic sold during the correction and had to buy back in at a higher price.  fair bit of a recovery, i believe part of it is anticipation of the feasability coming out.  

Anyways good luck to all you gbg holders, including myself.


----------



## daggs (23 August 2007)

EZZA said:


> Anyone, got a hold of any of these reports. Would be very interesting reading.




5 separate brokers have covered GBG in the past 18 months and the gindalbie website has links to reports.
I am also aware that wise owl has GBG as abuy in thier current open portfolio.


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## s3081402 (24 August 2007)

Another solid day for GBG. Report still not out. Maybe coming out next week. Cant wait for it, should be good for GBG


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## Frankhalo (28 August 2007)

Good read for all GBG holders, looks like a few dotted lines will be signed next week and our SP will rocket north....stay tunned boys and girls.

China powers WA’s junior iron ore sector
27th August 2007, 9:00 WST

Handing down a record $16.7 billion profit last week, outgoing BHP boss Chip Goodyear was adamant that the recent US market jitters meant little for the mining giant because it was “business as usual” in the key markets of China and India. 
Against that backdrop, a handful of less prominent developments during the week suggested that optimism extends all the way to the junior iron ore sector. 
The first event was a landmark $750 million funding pledge by a group of Chinese steel mills and construction groups for Yilgarn Infrastructure’s proposed $2 billion plan for a multi-user iron ore railway and deepwater port in WA’s Mid-West. 
Unlike many nervous local investors, looking back in fear at the volatility on world equity markets, the deal showed the Chinese are making their investment plans based on the outlook for the years and decades ahead. 
The Yilgarn deal was followed on Wednesday when Pilbara magnetite hopeful Australasian Resources said Chinese steel giant Shougang opened a Perth office and dedicated 12 staff to work on its billion-tonne Balmoral South magnetite project at Cape Preston. 
Shougang farmed into the project earlier this year, spending $56 million on Australasian shares upfront and offering an interest free loan to develop the $2.5 billion project in return for a half stake and the rights to buy all magnetite produced at the venture. 
The office has been opened ahead of the arrival in Perth next Monday of Chinese President Hu Jintao on an official visit to the State that is supplying China with a growing proportion of the building blocks of its economy. 
More significantly, two of Shougang’s most senior executives and four senior officials from Beijing’s massive Export-Import Bank also toured the Balmoral South site on Thursday. EXIM Bank is Beijing’s key conduit for funding overseas resources projects that China believes can help it secure the raw materials it will need for the next few decades. 
It has already provided a conditional $1.5 billion funding offer to Yilgarn Infrastructure in the Mid-West and is now weighing up funding support for Shougang at Balmoral South. 
It is no coincidence the project is an extension of the same massive orebody now being developed by Beijing-backed Citic Pacific, which has the rights to mine six billion tonnes of magnetite at the site under deals struck with Clive Palmer’s Mineralogy last year. 
The final event was confirmation from fellow Pilbara magnetite hopeful Cape Lambert Iron on Thursday that Chinese steel tycooon Liguo Ding would be making his first $US57.5 million ($70.1 million) downpayment on the Cape Lambert project by the close of business on Friday. The payment is the first of three owing under Mr Ding’s agreement to buy a direct 70 per cent stake in the project for $US192.5 million. 
It’s noteworthy the investment is being made by Mr Ding personally, and not on behalf of his Singapore-listed conglomerate Delong Holdings. That is a pretty big personal statement of confidence in the long term outlook for iron and steel. 
The downpayment is now due because Cape Lambert this month fulfilled a key condition of the sales agreement when independent consultants confirmed a minimum indicated resource of 300 million tonnes at the project. The resource lies within an indicated and inferred resource of 793 million tonnes in the so-called Central Target Area, which in turn accounts for only a portion of the project’s total resource of 2.5 billion tonnes. 
Furthermore, Cape Lambert is in the midst of a 33,000m drilling program to add more tonnes to the deposit. 
WA’s yuan-funded junior iron ore boom should gather even more speed in the next few weeks, when steel giant AnSteel and Gindalbie Metals complete final feasibility studies for the $1.5 billion Karara magnetite venture in the Mid-West.


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## adobee (28 August 2007)

EZZA said:


> Anyone, got a hold of any of these reports. Would be very interesting reading.
> 
> i'm glad i jumped back on this stock, panic sold during the correction and had to buy back in at a higher price.  fair bit of a recovery, i believe part of it is anticipation of the feasability coming out.
> 
> Anyways good luck to all you gbg holders, including myself.





Sign up for the free trial reports and free access to there website.. I do this every so often with all the newsletters to see what they are saying, you do have to cop a few marketing calls if you do this..


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## YNKWRTNC (28 August 2007)

Frankhalo said:


> WA’s yuan-funded junior iron ore boom should gather even more speed in the next few weeks, when steel giant AnSteel and Gindalbie Metals complete final feasibility studies for the $1.5 billion Karara magnetite venture in the Mid-West.




Some good stuff in there Frank.
Investors have been getting on GBG the last few days, preempting the BFS announcement.
Top up if you can now. Better days ahead for you and me.
Only the "septic tanks" can affect this 'junior iron ore' becoming a big boy.

Of course my humble opinion only, D.Y.O.R


----------



## EZZA (28 August 2007)

hi guys,

anyone have a price target on gbg, recall guys mentioning 2.00 by 2009 as a conservative target from macquarie.

anyone with views on whether this stock to be traded of short term gains, or held over the long term considering there is a 40 year mine life. 

was thinking about holding some in the portfolio and having a portion to trade.
was thinking of taking profit at around the 2.00 mark, hope the hype and feasibility gets it there.


----------



## the barry (28 August 2007)

EZZA said:


> hi guys,
> 
> anyone have a price target on gbg, recall guys mentioning 2.00 by 2009 as a conservative target from macquarie.
> 
> ...




If it is only 2.00 by 2009 then i will be suprised. 

The final feasibility study is due out in the next couple of weeks, this will give a fair indication of the value of the stock. GBG has a very low stripping cost which will potentially increase profit and will definatley help with the viability of the projects.

The agreement with Ansteel locks in cash flow and capital support for developing the mine. All adds positive weight to the company getting the projects up and running. After getting the projects up and running there is the potential for expansion and continued growth in the share price.There is also the 40 year mine life as you have pointed out as another major positive.
With the strength in the China and Indian markets set to continue for the forseable future demand should continue to be strong keeping up a strong price for iron ore. All looks good for the share price to strengthen.

I'm happy to hold this long term and look forward to being a shareholder through it's development hopefully into a significant company. Good luck to all holders


----------



## Frankhalo (28 August 2007)

It'll be $2 by 2009 plus $30 dollars. I use Fortecue's good fortune as a guide for the old GBG, if the Lodestone project results are as good as Karara's 1.43 Billion tons then GBG will be on par with the reserves Fortecue have on tap. All this for a bargain price of a $1.45 a share ATM. If its $2 by 2009 I'll run down the street naked and throw in a few cart wheels.


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## bigdog (28 August 2007)

*Marcus Padley article includes Gindalbie Metals at one of his tips for ten years time!*

http://www.theage.com.au/articles/2007/06/15/1181414546482.html

*2017? Buy now! Here are the tips for 10 years' time*
*Marcus Padley*
June 16, 2007
BUFFETT reckons he wouldn't care if the sharemarket closed for 10 years. OK, done. As of next Friday they are going to close the sharemarket for 10 years. You have a week to get set. What are you going to buy? Here's my guess.

Resources — BHP, Rio, Fortescue, Gindalbie Metals, Woodside — let's go with the flow. In the next 10 years the main driver will be the industrialisation of China and the Chinese will become very active investors, globally.

Chinese money will soon smack into equity markets. They will initially invest in the companies causing them the most trouble — they are fed up with being bent over by Australians, Brazilians and Americans.

BHP and Rio? Gone (if they haven't already gone). At huge premiums that imply a $300 price for Fortescue. But Andrew Forrest will have delivered Fortescue to the Chinese already, for $150. It will be another MIM, sold too cheap.

But Andrew won't care. He'll be Australia's richest man.

Gindalbie Metals becomes the largest resources stock in the Australian market and, with its new-found friends in China, it won't last forever either. Add a splash of Woodside.

We'd like to buy a host of other resources stocks but we only have room for a few. Still, against a 22 per cent sector weighting, I reckon we might plunk 50 per cent of the fund into the sector.

Mining services companies follow. If the resources sector makes money, then so will these.

Let's have a few Worley Parsons and some of those Boart Longyear. I know everyone bagged them on the float but they just went into the ASX 200 and will be climbing, not falling.

Contractors and developers — Leighton Holdings is one of the few companies with the scale to operate in Asia — will flourish. Downer EDI and United Group are others.

Investment banks? Presumably Macquarie Bank and Babcock & Brown will also one day find the commercial confidence to boldly rather than tentatively step into Asia. They can find investors for anything, especially roads, utilities, power and infrastructure projects. The scale of their Asian projects will leave Australia and US filed under "chicken feed".

Banks are the real boom for Australia beyond Chinese industrialisation. After building everything, the next boom will be servicing the Chinese population. First cab off the rank will be 2017? Buy now! Here are the tips for 10 years' banks. The moment the banks move into China, sell them. They will get flogged if they take their ambitions beyond the cosy Australian high-street monopoly they enjoy.

That's why we invest in them. ANZ has already learned its lesson abroad so we pick it as our preferred exposure to the Australian high street. Long may it continue. We really don't want exposure to the Chinese subprime market collapse of 2015.

Wealth management won't resist getting involved in Asia and they are going to find it hard not to succeed. AXA Asia Pacific will set the example. Let's also slot in a few wealth management and sharemarket companies: Perpetual Trustees, AMP, ASX, Computershare.

Property trusts? Westfield Holdings has 44 centres in Australia, 11 in New Zealand, 59 in the US and seven in Britain. It seems to be missing something. Westfield Beijingland and Westfield Shanghail and, perhaps. A dash of those.
Packer? Forgot to mention. My first dollar will go into PBL Gaming. Take a nation of 1.3 billion people who believe in luck, add Packer and stand back. Include a few Cochlear — it might just eradicate deafness — and have a few Brambles as well.

Of course, a few other things will change in 10 years:
■Disappeared: The ability to write, personal tax rates, Japanese in primary schools.
■New: Nuclear power, water futures, Google everything, Mandarin in primary schools.
■Multiplied tenfold: Everything uranium, petrol prices, bicycle manufacture, the super fund industry, the Future Fund, Andrew Forrest's Windsor knot, Perth.
Marcus Padley is a stockbroker and the author of the daily sharemarket newsletter


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## YNKWRTNC (28 August 2007)

Stat on Fortescue Metals share price -
57c on 4th Oct, 2004 up to $41 on 4th June, 2007.
Up 7,200% in less than 3 years.
Can GBG do that?
It's possible.
Will they be over $2 in 2009?
My word.
Stat on GBG share price -
9c on 6th Sept, 2005 up to $1.75 on 23rd July, 2007
Up 2,000% in less than 2 years.
The good news is still to come with the BFS and Lodestone report due within the next few months.
Hold onto your GBG shares, and your hat too, we're in for a ride.


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## s3081402 (28 August 2007)

Frankhalo said:


> It'll be $2 by 2009 plus $30 dollars. I use Fortecue's good fortune as a guide for the old GBG, if the Lodestone project results are as good as Karara's 1.43 Billion tons then GBG will be on par with the reserves Fortecue have on tap. All this for a bargain price of a $1.45 a share ATM. If its $2 by 2009 I'll run down the street naked and throw in a few cart wheels.




I join in with you Frank if it is only $2 by 2009. This company is really good and not to be miss


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## EZZA (29 August 2007)

Alright guys,

I personally believe it is worth a fair more than 2.00 by 2009, 
My short term strategy was basically to sell off half of my holdings in the near term hopefully for about 2.00, and buy back some in the pullback.

Unless however the feasability study, values them way over that mark, then i'll have too buy back in at a higher price, then I would have messed up big time.

Not sure how to value this company that there is 1.4 bill tonnes of iron ore with potentially more.  How did you guys get the valuation of 30.00 by 2009, couldn't even comprehend how it could get up that high?  But wouldn't be surprised, obviously with consensus believing this stock is undervalued.  Then the comparison to the fortescue.

But I was first attracted to this stock based on three factors.
1. iron ore, hot commodity.
2. ansteel 2nd largest steel prod in china
3. and large reserves. 40 mine life.

I don't need to be sold on this one.  Was already in.
Just figured if of sold out in the near, term could make some quick money.
But will be holding a smaller holding.  Any opinions on my short term strategy, would appreciate others views.  If anyone can see flaws in my strategy would appreciate the comments.

Cheers Fella's and ladies


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## the barry (29 August 2007)

EZZA said:


> Alright guys,
> 
> i personally believe it is worth a fair more than 2.00 by 2009,
> my short term strategy was basically to sell off half of my holdings in the near term hopefully for about 2.00, and buy back some in the pullback.
> ...




So much to take into account with this stock,

1)at present they have only drilled 20 percent of there targets,
2) low stripping and open cut mine equates to the lowest possible mining costs,
3) drill results coming out which could if proven to have the same characteristics could almost double their resource,
4) Already have there offtake partner in ansteel locked in
5) demand for iron ore to remain strong through demand from india and china

Have my position in this stock already locked in, but if the bfs,s for the two projects are all i am thinking they will be, will load up again.


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## YNKWRTNC (29 August 2007)

EZZA said:


> Alright guys,
> 
> 
> I don't need to be sold on this one.  Was already in.
> ...




Ezza,
Lock and hold, don't sell.
Too much potential in GBG and too hard to pick the exact moment of an increase or decrease in a market or an individual SP.
Don't even give selling a thought till BFS and Lodestone drill reports are out.
Then re-assess; the company may be one you know well by then and have confidence in for a big future OR you may be ready to take your profits and run.
But after you run, I wouldn't advise looking at the SP of GBG a year later.
It might bring some frustration. https://www.aussiestockforums.com/forums/images/smilies/banghead.gif
Patience pays off.
Good luck.


----------



## dj_420 (30 August 2007)

GBG up a lazy 20% and no comments?

perhaps we have seen news of the BFS leak already, or maybe some lodestone drill results

i personally cannot wait to see the lodestone drill results, we could have another karara in the making


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## zt3000 (30 August 2007)

When are the next results aproximately due out for BFS and lodestone? Thanks people  Very much appreciated


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## bigdog (30 August 2007)

*BFS must be getting very close!!!*

SP booming
*GBG   	$1.65  	   	  +$0.235   	  +16.61% *with *high of 	 $1.795* and low of  	 $1.51  	 8,855,031  	 $14,227,880  	@ 30-Aug 12:16:01

http://www.gindalbie.com.au/Our+Projects/Karara+Magnetite+Project/default.aspx

Source: Gindalbie Metals website

Karara Magnetite Project (date unknown!!)

The world class Karara magnetite deposit has unique qualities which make it amenable to the production of high quality magnetite concentrates and blast furnace quality pellets, including:

1.43 billion tonnes of 36.3% Fe resource (JORC standard); 
>400 metres wide and >350 metres in depth; 
Waste to ore ratio 0.5:1; 
Exceptional uniformity; 
High weight recovery – 41%; 
High concentrate grade – 68.8% Fe with low impurities (0.05%S, 0.01%P, 4.2%SiO2); and 
> 40 year mine life potential at 8 million tonnes concentrates per annum.
Gindalbie is developing the Karara Magnetite Project through a comprehensive 50:50 Joint Venture with Chinese steel producer, AnSteel. The two stage joint venture includes:

*Bankable Feasibility Study (BFS) phase *

AnSteel and Gindalbie have committed to complete the Bankable Feasibility Study ("BFS") on a 50:50 basis.

Current BFS contemplating:
Mining from conventional opening pit; 
Beneficiate ores in the concentrator on site; 
Transporting magnetite concentrates to the Port of Geraldton via slurry pipeline or railway; 
Magnetite concentrates being shipped to Ansteel’s integrated Bayuquan Steel Mill (in construction), Yingkou, northwest of China; 
The concentrates will then be further processed into blast furnace quality pellets in a Joint Venture Pellet Plant; and  
Pellets being fed directly into Ansteel’s Bayuquan Blast furnace. 
First production of magnetite concentrates and blast furnace grade pellets is scheduled to commence in early 2010 at an initial rate of 8mtpa.

*The BFS is due to be completed by August 2007.* Once a decision to mine is made, the second stage of the Joint Venture will commence.

*Operation phase *

The second stage of the Agreement involves project financing, sales and marketing, construction and production. 100% of Karara magnetite concentrates and pellets will be purchased by Ansteel Bayuquan Steel Mill. 

While final funding requirements for the project will be determined by the BFS, it is estimated that the capital cost will be over A$1 billion, with the debt/equity ratio structured on a 70% debt : 30% equity basis.


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## AussiePaul72 (30 August 2007)

dj_420 said:


> GBG up a lazy 20% and no comments?
> 
> perhaps we have seen news of the BFS leak already, or maybe some lodestone drill results
> 
> i personally cannot wait to see the lodestone drill results, we could have another karara in the making




Wooooooo hooooooo ........i'm now ahead on GBG!!
GBG is really on a big run so far today ....opened 12.5c up on yesterdays close ....and as i speak is up 35c (about 25%)....and appears to be very strong trading.
GBG is up from a close of 96c just under 2 weeks ago and is now in the $1.70's again! Went over its previous SP peak. Surely we have to be close to the BFS or some sort of big announcement!


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## Frankhalo (30 August 2007)

Will go even further north next week with a few dotted lines being signed IMO. GBG will go from explorer to producer, that’s a massive step for any Iron ore jnr on the exchange. Stay tuned, next week / month will be very bright.
What a day, $1.74 ATM


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## s3081402 (30 August 2007)

The BFS must be very close. Up 32 cents from yesterday and already 12 mil in volume. Hold on to your hats every GBG holder we are in for a ride up to Queensland


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## adobee (30 August 2007)

Dam GBG is hammering forward now.. Dam Dam i was going to buy more yesterday.. big volume today as well.. I think that some people know more than us regarding forth coming announcements.. 

I am feeling good about this.. I am buying more!
LETS GO GBG


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## zt3000 (30 August 2007)

From

19 Jul 2007 13:02 !  Open Briefing - Karara Project - Update and Opportunities  

"The Bankable Feasibility Study for the Karara Project is scheduled for delivery in August 2007."

Well two days left in august ... interesting times ahead. I knew it was a bargain at 90c ... but noooo i was a girly girl and was chicken hahah


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## AussiePaul72 (30 August 2007)

zt3000 said:


> From
> 
> 19 Jul 2007 13:02 !  Open Briefing - Karara Project - Update and Opportunities
> 
> ...




GBG ....Go You Good Thing!!
However, won't worry me if they hold off BFS till early September ....lol ... as i have 'em as my pick in September's stock tipping competition!!


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## zt3000 (30 August 2007)

TRADING HALT UNTIL MONDAY 

Wawawewah ... the suspense is killing me .. hahah 

now its a waiting game


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## the barry (30 August 2007)

zt3000 said:


> TRADING HALT UNTIL MONDAY
> 
> Wawawewah ... the suspense is killing me .. hahah
> 
> now its a waiting game




Me too!

Lets hope its positive news about the results from Lodestone & the BFS.

Good luck to all holders!


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## adobee (30 August 2007)

I think that may have been played purposefully to go into a trading halt at $1.70ish.... 

Anyway I am happy!!


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## zt3000 (30 August 2007)

adobee said:


> I think that may have been played purposefully to go into a trading halt at $1.70ish....
> 
> Anyway I am happy!!




Why do you say that? Whats the advantage .. disadvantage of it going into a halt at $1.70?


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## Pat (30 August 2007)

Greetings from Queenstown, New Zealand. Glad to see GBG back to good levels, after holding through the tuff times this news today (news meaning i've been isolated form a PC till now and had no idea what GBG was doing) is a cherry on top. Grins all round. DJ... how's work?  LOL


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## YNKWRTNC (30 August 2007)

Awesome day we picked would come soon.
That was some leak.
The BFS will be positive.
Wouldn't another day like that be nice at re-open?
I must admit I gave the 'refresh' button quite a workout today on the Commsec account. Each time the smile got bigger.


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## dj_420 (30 August 2007)

Pat said:


> Greetings from Queenstown, New Zealand. Glad to see GBG back to good levels, after holding through the tuff times this news today (news meaning i've been isolated form a PC till now and had no idea what GBG was doing) is a cherry on top. Grins all round. DJ... how's work?  LOL




only working two days a week pat, so not busting out with too much effort!

check your PM's


anyways, i think there was a major leak today with GBG, it was consistantly in the top five for sells/buys due to massive volumes going through, ive never seen GBG in there before.

quite possibly the employees getting set on this one and a mates mate, and his mate and so on!


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## zt3000 (30 August 2007)

Realistically whats a positive BFS worth to the SP of the company?

There alot of potential ore there with a good JV partner.


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## dj_420 (30 August 2007)

zt3000 said:


> Realistically whats a positive BFS worth to the SP of the company?
> 
> There alot of potential ore there with a good JV partner.




it will just be confirmation of the transition from explorer to producer

with ansteel onboard as JV partner the BFS should just be crossing the t's and dotting the i's

it will put some signatures on paper as such and start to see movement towards development (instead of just drilling programs)


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## EZZA (30 August 2007)

Hey Alpahbet man,

Looks like everyone aboard now BOOYA!  Lucky i didn't sell down on anything.
And trading halt as well.  

This has been the best news i had so far since the correction.  Lets see how things pan out.  GOOD NEWS i hope. hehe.

Good luck Fella's.  
It's been one hell of a rollercoaster ride hey.


----------



## golfmos123 (30 August 2007)

yahoo - like others I'm finally positive here as well having endured a number of weeks of anguish.  Feeling somewhat sick I didn't top up during the bad times, but them's the breaks.

Much positive talk in this forum about long term holds and don't look back, but gee when we've got this much uncertainty around markets it's pretty hard not to take at least some of the profits and allow the rest to ride.

Now if only we could see some happy announcements on some other spec miners I'm holding which are also very very red .........


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## YNKWRTNC (30 August 2007)

EZZA said:


> Hey Alpahbet man,
> 
> Looks like everyone aboard now BOOYA!  Lucky i didn't sell down on anything.
> And trading halt as well.
> ...





Ezza,
You did well getting back in when you did.
Some big gains and more to come.
The forum has been quiet till today. Posts coming from everywhere.
The market can be phsychology driven at times!
Just believe in your stock choices through reasons of fact and ride out the market. Long term is best if your choices are well researched.
Short term, enjoy the next few months. There'll be downs no doubt (due to U.S) but BFS boom next week then Lodestone still to come and got a good feeling about it.
Good luck!
"The Alphabet Man"


----------



## greenfs (31 August 2007)

Can anyone shed any light on the reason for the trading halt today. So far, all we have as ann is annual results. Can we expect another before Monday or is there something price sensitive in the accounts that I have missed?


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## the barry (31 August 2007)

greenfs said:


> Can anyone shed any light on the reason for the trading halt today. So far, all we have as ann is annual results. Can we expect another before Monday or is there something price sensitive in the accounts that I have missed?




They are in a trading halt for what i would assume is the release of the bfs`s for the two projects. From the information from the company presentation I am very hopeful that they are going to be very positive. If that is the case and with the potential for a major upgrade on their total resource with the upcoming drill results things could be looking very good for this company when you consider that the demand from iron ore is meant to be kept strong with the demand from india and china.


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## Frankhalo (1 September 2007)

DOW up, FTSE up, Bush and the US fed to step in should things turn sour on the US front ( Goto CNN Money web for this story ), and a public holiday on Monday in the US = BIG DAY FOR GBG Monday. Below is an update for the Yilgarn project which is very important to GBG transportation plans, looks dam good and a great read. Its early but I'm calling it, $2.50 on close for GBG Monday, too many boxes are starting to be ticked off, and there all positive.

Regards

Frank

Friday Aug 31 16:48 AEST
Yilgarn Infrastructure Ltd's plans for new port and rail infrastructure to support iron ore mines in Western Australia's midwest region appear closer to becoming a reality.
The private company has drawn some heavyweight Chinese backers into the mix, including the firm behind what is arguably the largest port in the world, China Harbour Engineering Company Group.
China Harbour will meet with the WA government on Monday to show off its credentials with major infrastructure projects and presumably win more support for Yilgarn's ambitions.
Yilgarn executive chairman John Saunders said the Chinese partnerships were crucial to the viability of Yilgarn's $3 billion proposal, which includes the construction of a new deepwater port at Oakajee near the port of Geraldton and a 465 kilometre railway connecting the port with iron ore mines in the region via a branch network.

Dr Saunders acknowledged the sea and wind conditions at Oakajee were very difficult but there was "no question" China Harbour had the expertise to build a new large scale port there.
Yilgarn is considered by some industry observers to be the frontrunner in the long-standing push for new open access, multi-user infrastructure in the midwest, which is vital to bring iron ore from the mines to port and address capacity constraints at the currently congested Geraldton Port.
A rival bid by iron ore producer Murchison Metals Ltd received a setback in June, when an agreement with fellow iron ore miner Midwest Corporation dissolved and Midwest instead allied itself with Yilgarn.
Last week, Yilgarn secured debt finance with China's EXIM-Bank and China Development Bank, and the equity and balance sheet support of five major Chinese companies, including China Railway Materials Commercial Corporation, China Railway Engineering Corporation and China Communications Construction Corporation.
"The critical test of this project is getting financial close," Dr Saunders said.
"The Chinese banks, in funding the port and rail infrastructure, will turn to the balance sheets of AnSteel, Sinosteel and other Chinese buyers ... to secure the contracts.
"They will not look at the balance sheets of the mines, they will not ask for cost guarantees from the mines, they ... are confident that there are reserves there.
"They will not be looking at the balance sheet of the (WA) government in any way, or guarantees, cross guarantees or high level take or pay (contracts) from the mines.
"That security structure is critical to financial close."
The proposed timeline for the development includes WA government and Environmental Protection Authority approval by late 2008, and operation by late 2010 or early 2012.
Dr Saunders said most, if not all, of the iron ore from the region was China-bound.
Yilgarn proposes continuing its relationship with the Chinese companies for projects overseas, particularly in China and the Middle East.
It expects to list on the Australian stock exchange late this year or in early 2008.


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## tonza (1 September 2007)

Agreed, Monday is looking like an amazing day for GBG. How much of the announcement do you think was factored into the share price on thursday before the trading halt? Yilgarn Infrastructure is also looking like an interesting investment opportunity when it lists.


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## juw177 (1 September 2007)

It is common knowledge that this PFS was coming up so it is definitely factored into the shareprice and no doubt will be a lot of selling off. If the announcement provides enough momentum to break through the all time high resistance of around $1.80, there will be no looking back (unless there is another correction).


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## daggs (1 September 2007)

juw177 said:


> It is common knowledge that this PFS was coming up so it is definitely factored into the shareprice and no doubt will be a lot of selling off. If the announcement provides enough momentum to break through the all time high resistance of around $1.80, there will be no looking back (unless there is another correction).




BFS is due, not PFS. Once a positive BFS is released and the Okajee port becomes more certain GBG will become a lot less speculative. This will attract a new group of investors into the stock and increase the confidence of existing holders. I only expect a sell off if there is a massive rise, then some profit taking is inevitable. I do think we will see support form somewhere well above past highs.

Provided the BFS IS positive, of which I am confident.


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## YNKWRTNC (1 September 2007)

daggs said:


> BFS is due, not PFS. Once a positive BFS is released and the Okajee port becomes more certain GBG will become a lot less speculative. This will attract a new group of investors into the stock and increase the confidence of existing holders. I only expect a sell off if there is a massive rise, then some profit taking is inevitable. I do think we will see support form somewhere well above past highs.




Daggs in on the money.
The SP may go up in a big way after the Bankable Feasibility Study announcement but there will be traders who jump on for the ride then sell for a quick profit. It'll come down again from the huge highs but will settle above where it is now. How far is a guess.

GBG is poised to become a big player in the iron ore boom.
And again Daggs is correct; it's the infrastructure to be set up for such a massive project (even bigger when Lodestone comes out) that is the hurdle everyone will be watching out for. Each bit of news that confirms the company will be able to do it, will push the SP higher.
With George Jones at the helm it will stand GBG in good stead and the future of GBG looks brighter by the day.
With Ansteel on board and Yilgarn set to start work in area with backing from more Chinese investors we could be on the verge of something very big.
This stock looked very attractive a year ago and is improving more and more as time goes on.
That point where the infrastructure is set up and mining is in full swing we will see a new top 200 (or 100) company - Gindalbie Metals.
Patience and an eye on progress will be the key for us as investors.

Good luck to all and be glad if you've bought in below $1.80, you'll do well.

All this just my opinion. D.Y.O.R.
"The Alphabet Man"


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## the barry (3 September 2007)

Just a question on Bfs's, does anyone know how long it took them to do the last one? With the upcoming lodestone results which are said to have the same characteristics as the previous drill target and in close proximity, does the company have to do an entire bfs again or can they just more or less cut and paste from the bfs they have just completed?


----------



## Fab (3 September 2007)

*Re: GBG - Ginalbie Gold*



scsl said:


> This got a mention in the Business section of The Sunday Age - and a pretty good one too. And it's written by James Kirby, editor of Eureka Report. (Btw, it's the first time I've heard of this stock.)
> 
> 
> I did a quick Google on GBG and found this research report by Hartleys:
> ...




I am just wondering if as I read in this forum if GBG goes well does that mean other iron stocks such as SDL are likely to do very well as well as I believe SDL and GBG are closely link because they have a tenant in Africa which is next to each other.

SDL being cheaper than GBG at the moment


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## IOT (3 September 2007)

SDL's ore is in Cameroon.  GBG is based in the mid-west in Australia.  The GBG/SDL link is George Jones who is on the board of both.

Interesting response to the ASX this morning..


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## zt3000 (3 September 2007)

Response to ASX query this morning was interesting. Mentioned something about a 3rd party agreement.

What you reckon, maybe a rail line deal or something like that imo


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## dj_420 (3 September 2007)

the barry said:


> Just a question on Bfs's, does anyone know how long it took them to do the last one? With the upcoming lodestone results which are said to have the same characteristics as the previous drill target and in close proximity, does the company have to do an entire bfs again or can they just more or less cut and paste from the bfs they have just completed?




it will depend on size of deposit, depth, strike, grades etc, if lodestone is as good as karara it will prove up as similar resources (very close proximity)

IMO additional tonnage at lodestone would just mean that they will have extended mine life for both deposits. as it stands karara is shaping up as a massive world class resource, they havent even finished drilling it at depth!


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## zt3000 (3 September 2007)

Does Resumes 10:50 mean that the trading will resume at 10:50am EST ??

Current Match prices is $2 with 200k surplus ask


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## bigdog (3 September 2007)

GBG is now trading
GBG   	1.90  	  +0.230   	  +13.77%   	1,217,547  shares $2,373,722  @	03-Sep 10:50:00 AM

Two ASX ann today

03/09/2007	Hematite Resource and Reserve Update	
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00755485
FURTHER UPGRADE TO MUNGADA HEMATITE RESOURCE AND ORE RESERVE ESTIMATION
KEY POINTS
• Further 19% increase in indicated and Inferred Resources for Mungada Hematite Project to 27.1 million tonnes grading 61.7% Fe.
• Metallurgical testwork, geotechnical drilling and pit optimisation design all completed with favourable results.
• Production inventory contains Probable Reserve and Inferred Resources totaling 14.3mt grading 61.5% Fe.


03/09/2007	 	Magnetite BFS Media Release
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00755484

GINDALBIE DELIVERS POSITIVE BANKABLE FEASIBILITY
STUDY FOR A$1.6 BILLION KARARA IRON ORE PROJECT
Western Australian iron ore group Gindalbie Metals Ltd (ASX: GBG) has laid the foundations for the development of a world-class iron ore business with its 50/50 Chinese Joint Venture partner, Anshan Iron & Steel Group Corporation (Ansteel), after today announcing the completion of a positive Bankable Feasibility Study (BFS) for a proposed A$1.6 billion development of the Karara Magnetite Project in WA’s Mid West region.

Gindalbie advised today (Monday) that it had completed the BFS on schedule, confirming the technical and financial viability of a long-life iron ore project which is expected to generate substantial returns for the joint venture partners and deliver significant benefits to the region and the State of Western Australia. The Karara Magnetite Project is located 225km east of the Port of Geraldton.

The BFS concluded that, based on a JORC compliant Ore Resource of 1.43 billion tonnes at 36.3% Fe and an initial Ore Reserve defined as part of the study of 497 million tonnes at 36.3% Fe, the Karara Magnetite Project
would generate an initial after tax free cash flow of A$9.3 billion from the first 25 years of operations and an indicative annual cash surplus after tax of A$360 million. The Project has a Net Present Value using a 9% discount rate of A$2.3 billion and an Internal Rate of Return (IRR) of 24.6%.

The BFS is based on a 20Mtpa mining operation producing on average 8Mtpa of magnetite concentrate grading 68.2% Fe and 4.7% SiO2, with the initial 497 Mt Ore Reserve sufficient to underpin 25 years of production at the
proposed ‘start up’ production rate. The substantial size of the resource (1.43 billion tonnes) – with 929 million tonnes at 36.3% Fe of Indicated and Inferred Resources outside of the initial pit design – and the scope for further
resource additions, reinforces the potential for production to be increased significantly above this level.

“Ansteel has expressed its desire to expand production from Karara to meet its own growth requirements at its new steel-making facilities in China, and we therefore view the BFS as very much a base case for what we envisage will in time become a much larger project,” said Gindalbie’s Managing Director, Mr Garret Dixon.
The decision to use rail as the product transport mode in the BFS has been made by the joint venture participants on the basis that they are likely to expand the production rate at Karara in the future, as this provides a fully
scalable option with only incremental transport capital required. However, concentrate transport using a slurry pipeline remains a viable option while final negotiations on rail transport are concluded.

Magnetite concentrate from Karara will be shipped to China via a process involving transportation on barges to a location off Geraldton for loading to a trans-shipper and ultimately onto Capesize vessels which will freight the
high-grade iron ore concentrate to the port of Yingkou in China, for use in the joint venture pellet plant and directly in Ansteel’s new steel mill.


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## imaginator (3 September 2007)

Hey the stuff is out. Price at 1.9 now. 

DO u think it will go higher today???????????????????????/


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## s3081402 (3 September 2007)

Alot of people selling to make quick cash. Drop down to $1.76 after open at $1.95. It should reach a all time high today.


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## imaginator (3 September 2007)

Well market a bit down after 10am today. 

I hope this is gonna go above $2 soon. Today pre-open, some guy put $2.7 bid price.


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## golfmos123 (3 September 2007)

imaginator said:


> I hope this is gonna go above $2 soon. Today pre-open, some guy put $2.7 bid price.




Probably only to try to mop up shares from people who had forgotten to update their sell price or who weren't expecting a jump today (??).

Expect to see it over $2 soon enough but I think it will settle back for a little while to let the people who want their quick money out.  Hope to see some continued strength and probably some slow continuing gains in the next week to come.  

>$2 by October or thereabouts perhaps?????  Opinions anyone?????


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## YNKWRTNC (3 September 2007)

For anyone interested in GBG or curious as to whether to invest, go back through this forum and read up on what 'DJ_420' has posted.
Speaks with sense and fact.

Much of the buying (13 million shares traded) was done last Thursday as a leak about the BFS obviously got out. Today investors knew there was a ride to get on (SP peaked at $1.98) and now day traders and some GBG holders waiting for the BFS have sold for profit. 
Long term, this stock is a must for any portfolio and is the way to go.
If you are chosing this stock short term (less than a year), you'd be crazy to sell before the Lodestone drill report comes out (will be between now and Christmas). The resource amount GBG currently has could increase by a huge amount and as DJ_420 has eluded to; the infratruture set up for Karara will be already there for Lodestone. A huge advantage. 
Ansteel are the financial backing for setting up the infrastructure for Karara and they'll obviously benefit from that - a constant, reliable, iron ore source. With their investment in Gindalbie as well it's 'win, win' for them.
But Lodestone could the jewel in the crown for GBG. With less capital raising needed it may bring in some huge profits.

Buy and hold on GBG.


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## jonojpsg (3 September 2007)

GBG has 448m shares on issue @$2 gives a capital value of $900m.  Given that the NPV in the release today was $2.3b, I would say there is a pretty clear case for improved SP


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## tonza (3 September 2007)

Solid day for GBG today. The next few months will hopefully be even more exciting. Dont forget about GBG and ROY's Warriedar joint venture project either. Drilling is scheduled to begin next week. 

http://www.wabusinessnews.com.au/en-story/1/56336/Royal-Resources-sells-gold-project-stake-bullish-on-uranium


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## dj_420 (3 September 2007)

great day for GBG, not a huge increase in the sp BUT we did have a 10% plus increase on friday also.

BFS has indicated that GBG are now stepping forward from explorer to producer status, next things here would be to begin development. as said in BFS ansteel will be putting up 75% of capital for magnetite development so GBG will need an approx 400 million from cap raising. 

karara still has substantial additional tonnage underneath current resource envelope and is open at depth. once work begins on karara we will start to see resource upgrades. as mentioned before the current resource is viable to start operations, further drilling will delineate additional resources.

lodestone could also prove up to be a massive resource, this is similar deposit to karara and shows mineralisation from surface.

best thing about hematite DSO operation starting will mean some cash flow to help with capital costs for magnetite operation. i would like to see these profits be put towards magnetite operation as it would mean less dilution needed for cap raisings.

all in all good day for holders


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## Frankhalo (4 September 2007)

Gindalbie close to signing $1.8 bn deal with China
Barry FitzGerald
September 4, 2007


PERTH-BASED Gindalbie Metals and its Chinese joint-venture partner, Anshan Iron & Steel (AnSteel), are close to committing to the $1.8 billion development of their Karara magnetite and Mungada hematite projects in Western Australia's mid-west.
An agreement covering the twin iron ore projects could be signed this week as part of the theme of closer economic ties with China expected to emerge at the Asia-Pacific Economic Co-operation Forum summit in Sydney.

Sign away.

Regards

Frank


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## zt3000 (4 September 2007)

JP Morgan Chase Increase its Substantial holding to over 6% .. good signs. IMO this could be another MMX ... only time will tell ...


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## Bush Trader (4 September 2007)

This article may be of interest to those of you whom have not seen it.


Cheers

BT

Iron Ore Developer Gindalbie A Spec Buy, Says Intersuisse
FN Arena News - September 04 2007 
By Chris Shaw

It has been a busy few days for junior iron ore play Gindalbie Metals (GBG) as the company has announced the results of feasibility studies on two projects and a placement with Anshan Iron & Steel Group (Ansteel) that makes the Chinese company the group’s second largest shareholder.
Intersuisse, which rates the stock as a Speculative Buy, expects both the Mungada hematite project and the Karara magnetite project will generate high internal rates of return and with the company having Ansteel as a 50/50 joint venture partner is positive on the chances of the company with respect to successfully developing both projects.
The Mungada project will be first cab off the rank and is expected to ship its first ore in the first quarter of 2009, the project estimated to produce three million tonnes of ore annually all of which will be taken by Ansteel.
The broker estimates a net present value on the project of $79.6m, while anticipating it will generate around $184m in cash flows over its scheduled six year life, meaning some meaningful cash flows as the company builds the larger Karara project. There is scope for the project life to be extended through exploration success.
Karara has an estimated project cost of around $1.6 billion and is forecast to have initial production of eight million tonnes annually, half of which will go directly to Ansteel and the other half to be converted into blast furnace pellets before being sold to that company.

Production here is tipped to commence in the first quarter of 2010 with sufficient ore for a mine life of at least 25 years, the broker estimating the project should generate an annual after-tax cash surplus of around $360m once it hits full production.
Aside from the opportunity to secure material Ansteel is clearly confident in the company’s outlook as it recently subscribed for $39m in new shares, albeit at a significant discount to the current market price.
Following the placement Gindalbie now has $60 million in cash on hand, which will help with the developments costs of Mungada.
Shares in Gindalbie have been on a tear of late, the stock having risen from 80c in the middle of August to more than double that now and over the past 12 months the shares have ranged between 40c-$1.98.
Currently no brokers in the FNArena database cover the company, but with a market capitalisation of almost $800m at current prices it would seem likely the stock will begin to attract more attention.
Shares in Gindalbie today have stabilised after the recent strong gains and as at 2.00pm were trading down 2.5% at $1.795.


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## Frankhalo (5 September 2007)

Next 2 days very important, good read below. Its all about dotted lines being signed now, the kicker is why take out a 12% stake in GBG if you were not going to sign up. Were in boys and girls, I have no doubts.

Regards

Frank

Gindalbie set to tie knot with Chinese
Kevin Andrusiak | September 05, 2007 
IRON ore hopeful Gindalbie Metals could formalise funding arrangements with joint venture partner Anshan Iron & Steel for its $1.8 billion mid-west West Australian projects by tomorrow.
The move would coincide with the arrival of the big Chinese contingent at APEC. 
Gindalbie chairman George Jones and AnSteel president Zhang Xiaogang are expected to meet in a Sydney tomorrow to thrash out the next phase of development for Gindalbie's Mungada and Karara projects, which are tipped to be in production in early 2009 and early 2010 respectively. 
It would represent the continued strengthening of ties between Chinese and Australian miners riding the resources boom, which has seen previously uneconomic mineral deposits suddenly become very lucrative. 
AnSteel had always maintained it would underwrite the debt and equity financing of the project and yesterday it paid $39 million for 65 million Gindalbie shares, at an issue price of 60c each, which moved AnSteel to second place on the Gindalbie register with a 12.78 per cent stake. 
Malaysian industrial firm Melewar is the biggest stakeholder with a 13 per cent stake, having bought into Gindalbie when the shares were 12c. 
Mr Jones said any formalising of arrangements was merely speculation, but both Gindalbie and AnSteel were hopeful of moving the projects into production. 
"We've been working with AnSteel now for about 18 months on these projects," the Gindalbie chairman said. 
"Right from the start we've expected a serious outcome. 
"On the numbers released for both the hematite and magnetite this week, we are more than hopeful of a good result." 
This week Gindalbie delivered a bankable feasibility study into the Karara magnetite project, which proposes a 20 million tonne a year operation for 8 million tonnes of magnetite concentrate. At the same time it said it was in confidential third-party discussions over an incomplete proposal to the company. 
Gindalbie shares moved more than 19 per cent higher in intra-day trading after the company came out of a trading halt. 
There has always been plenty of market noise about possible tie-ups of mid-west iron ore hopefuls, which are of a smaller scale compared with their Pilbara cousins. But the confidential discussions are taken to mean the completion of the AnSteel financing arrangements tomorrow. 
Gindalbie is expected to produce 3 million tonnes of high-grade hematite at Mungada, 225km from the port of Geraldton, but has the potential to lift that figure through adding more resources. That product will be moved to port via road and rail. 
But big question marks remain over the shape of rail infrastructure in the mid-west, which is understood to be much to the chagrin of Chinese interests that have heavily backed the opening up of the mid-west landscape. 
The topic of mid-west infrastructure would have been on the agenda during the visit of Chinese President Hu Jintao to Western Australia ahead of the APEC conference. 
BBY mining analyst John Veldhuizen said it was clear that AnSteel was determined to see Gindalbie's projects moved to fruition. 
"The resource base could support a big increase in production," Mr Veldhuizen said. 
"But clearly, infrastructure remains a big issue and is one of the major constraints. As yet, there remains no clear picture and the Chinese will be pushing hard on that from the state Government. That's what they're there for." 
Yilgarn Infrastructure, which is backed financially by China's Exim Bank, wants to build and manage its own rail network through the region.


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## bigdog (5 September 2007)

*GBG - Gindalbie Metals is Company Trading Status: Pre-Open*

There have been no ASX announcement yet today

Any clues on what is about to happen?


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## zt3000 (5 September 2007)

Stayed in Pre-Open this morning? Maybe it has something to do with the 3rd party they mentioned in previous announcements. Wait n see.


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## zt3000 (5 September 2007)

bigdog said:


> *GBG - Gindalbie Metals is Company Trading Status: Pre-Open*
> 
> There have been no ASX announcement yet today
> 
> Any clues on what is about to happen?




Come on everybody now ... "Take Over clap clap clap Take Over clap clap clap"

LoL ... wishfull thinking i know hahaha


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## s3081402 (5 September 2007)

It in trading halt. Maybe announcement coming up soon. Hopefully some signature being sign. Cheers.


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## bigdog (5 September 2007)

ASX ann 
GBG  	10:22 AM  	Trading Halt
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00756337

Pre-open until at least Friday pending announcement by GBG


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## adobee (5 September 2007)

I would expect we can see some statement on the future business and expansion with ansteel ??? But I am guessing..  Everyone holding should buy more if the announcement is good, lets break $2.00 !!!!!!!!


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## s3081402 (5 September 2007)

adobee said:


> I would expect we can see some statement on the future business and expansion with ansteel ??? But I am guessing..  Everyone holding should buy more if the announcement is good, lets break $2.00 !!!!!!!!




I would love to buy some more yesterday bro. But no money that the problem. It will break $2 very soon.


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## dj_420 (5 September 2007)

i would expect this to be Ansteel signing off on the BFS, which means project has the green light, Ansteel fund 75% of development capital costs and projects can begin!

its to early for lodestone results (unless they have encountered 600 - 700 metres of 40% + drill hits, lol)

OR could it be this mysterious third party coming to light? ROY is also in a trading halt, but has been for several days. one would expect if it were to do with them they would have both been placed in a halt at the same time.

any ideas anybody??


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## Frankhalo (5 September 2007)

Yep, its the signing IMO,  BFS stands for little unless you commit. The kicker is why take up 12% stake in GBG and seat on the board and not sign up. Its a done deal.


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## Frankhalo (5 September 2007)

Rail line sorted:

CHINESE president Hu Jintao's visit to Australia has been marked by a flurry of Sino-Australian business deals worth billions of dollars.

Port and railway builder Yilgarn Infrastructure, the mining giant Rio Tinto and Shell all completed deals yesterday. 

President Hu - in Australia for the APEC leaders' summit in Sydney - arrived in Canberra last night after spending 24 hours in Western Australia, a major source of raw materials for China's booming economy. 

Yilgarn yesterday sealed a landmark $750 million investment deal with five Chinese companies for the construction of its proposed $3 billion port facility at Geraldton, WA. 

Yilgarn's deal with Sinosteel Corp, China Railway Engineering Corp, China Communication and Construction Company, China Railway Materials Commercial Corp and Anshan Iron and Steel Group Corp is the first time such a large group of Chinese state-owned enterprises have invested in an Australian company. 

Yilgarn chairman John Saunders said the agreement, plus a debt finance commitment secured from China's Exim Bank, put his soon-to-be-listed company on the best financial footing.


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## gilbertw (5 September 2007)

DJ-420... just a small correction to your earlier post:

ROY entered a trading halt on 03.09.2007
GBG entered a trading halt on 05.09.2007

ROY has only been in trading halt for 3 days and is scheduled to reccommence trading 06.09.2007

thanks


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## dj_420 (5 September 2007)

gilbertw said:


> DJ-420... just a small correction to your earlier post:
> 
> ROY entered a trading halt on 03.09.2007
> GBG entered a trading halt on 05.09.2007
> ...




cheers

i would take that as trading halt is not related then, if it were a deal or such between the two companies they would have been placed in halt at the same time.

best guess now ansteel signing away on BFS


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## bigdog (6 September 2007)

*ASX ann today GBG is now SandP top 300 company*

06/09/2007	 	SandP Announces September SP/ASX Index Rebalance
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00756682

Standard & Poor’s September S&P/ASX Indices Quarterly Rebalance
S&P/ASX 300 - ADDITIONS
GBG GINDALBIE METALS LIMITED


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## s3081402 (6 September 2007)

This is good news, Hopefully it will break into the S&P/ASX 200 in a few years time. Go GBG. When will the trading halt be lifted anyone.


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## dj_420 (6 September 2007)

s3081402 said:


> This is good news, Hopefully it will break into the S&P/ASX 200 in a few years time. Go GBG. When will the trading halt be lifted anyone.




im hoping they DONT lift the trading halt today, today will be down day on the all ords thanks to DOW lead. protect GBG shareprice until the big ann.


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## adobee (6 September 2007)

If they have any mind to maximise their investment they wont be announcing anything till after close Friday I think..

I think trading on the ASX sharemarket comp opens today.. Should be a good day to start buying!


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## s3081402 (6 September 2007)

Trading to resume at 12.00 pm. Not a good idea to resume trading today but anyway contract finally been sign so that good.


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## zt3000 (6 September 2007)

Who signs a deal in the presence of the President of China and good old Johnny Howard. Man thats some serious kaboodoole there. Although the timing is kind of perfect dont you say. Lets see this baby spread its wings and fly away ... lol


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## bigdog (6 September 2007)

GBG is now trading
GBG   	$1.83  	   	  +$0.03   	  +1.67% 	 508,312 shares  	 $943,399  @	 06-Sep 12:01:17

ASX ann
GBG  	11:39 AM  	Gindalbie signs Development Agreement with Ansteel
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00756812

MAJOR AUSTRALIAN IRON ORE PROJECTS TO PROCEED FOLLOWING LANDMARK JOINT VENTURE AGREEMENT

Sydney, 6 September 2007 – Following a joint formal signing ceremony today, Western Australian iron ore company Gindalbie Metals Limited (ASX: GBG) is pleased to announce that it has executed a wide-ranging Joint Venture Development Agreement with leading Chinese steel and iron ore company, Anshan Iron & Steel Group Corporation (Ansteel), to proceed with development of the Karara Magnetite Project and Mungada Hematite Projects in Western Australia.

The announcement follows the delivery earlier this week of positive Bankable Feasibility Studies for both iron ore projects, which are located 225km east of Geraldton in the Mid West region of Western Australia. The projects will involve a total combined investment of up to A$1.8 billion in new mining and processing facilities and associated infrastructure both in Western Australia and China.

The Agreement was signed in Sydney by the President of Ansteel, Dr Zhang Xiaogang, and the Chairman of Gindalbie, Mr George Jones in the presence of the President of The Peoples Republic of China, Mr Hu Jintao, and Australia’s Prime Minister, Mr John Howard, reflecting the importance of the Agreement to both Gindalbie and Ansteel and to the continued development of Australia’s iron ore industry.

Under the terms of the Development Agreement, Gindalbie and Ansteel have agreed to develop both the Karara andMungada Projects subject to the following conditions:
o the signing of an Equity Joint Venture agreement for the Joint Venture Pellet Plant in north eastern China;
o finalisation of the approval for the decision to mine within two months;
o finalisation of off-take and financing arrangements; and
o environmental approvals being received for both the Australian and China Projects.

The financing terms of the Development Agreement are generally consistent with the original Karara Joint Venture Feasibility Study Agreement with the Project proposed to be funded on a 70/30 debt to equity ratio. For the equity
component of the Project, Ansteel will contribute A$105 million plus 50% of the required equity whilst Gindalbie will contribute the balance of equity funding which equates to approximately 25% of the total equity funding requirement.

The Project is now to be developed under an incorporated structure.

Earlier this week Gindalbie completed a previously announced A$39 million share placement to Ansteel, giving it a 12.78% interest in the Company.

The Development Agreement covers both the production of hematite lump and fines (with shipments targeted to commence in the first quarter of 2009) and magnetite concentrate in Australia and pellets in China (with production
scheduled to commence in 2010).

Continues on page 2 refer link


----------



## s3081402 (6 September 2007)

Signing infront of the two big men. This is some serious business we talking about here everyone. Go u good thing. GBG at $1.90 ATM.


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## imaginator (6 September 2007)

Why do they lift the halt today????????? I dont understand. Maybe to capture the FRESH moment of the announcement?

Anyway, who is getting more today? 1.82 lowest today when it reopened in CMCmarkets, should've bought!!!


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## s3081402 (6 September 2007)

Doesnt really matter bro. If it is a good company then everyone would want to buy. Im holding for at least another year or 2 so it doesnt really matter. This is a long term hold.


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## imaginator (6 September 2007)

Why hasnt the market responded well to the news?


 It hardly made any changes. In fact afternoon is lower than morning


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## springhill (6 September 2007)

imaginator said:


> Why hasnt the market responded well to the news? It hardly made any changes, its now 1.75, lower than Wednesday's low.
> 
> Should have sold this morning at 1.9!




Todays announcement wasnt telling us anything we didnt already know. Obviously market has already factored in it was a done deal. And it is a down day......


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## imaginator (6 September 2007)

Me thinks (only my opinion) that some fund manager or broker is taking advantage of today's red market to shorting it down, so that they can pick up bigger amounts at cheaper price. Look at those measly units of few hundred units at some of the bid/offer prices.


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## YNKWRTNC (6 September 2007)

Would've been nice to see a bit of green for GBG today amidst the red of most iron ore stocks BUT it won't matter long term.
No doubt the U.S have a bearing either way in the short term but all points to a great future for Gindalbie.
We would all like a Fortescue like rise but the Bull may not be puffing so hard now. But for all our sakes I hope the Yanks don't wake up the Bear. If he could hibernate till 2012 that'd be nice.

Don't chase a buy back on GBG in this market; buy and hold. 
It is in its infancy and we're loving watching it grow up.


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## bigdog (7 September 2007)

http://www.wabusinessnews.com.au/en...dalbie-seals-deal-for-1-8-bn-iron-ore-project

Press review of yesterday's ann

*Gindalbie seals deal for $1.8 bn iron ore project*
6-September-07 by Mark Beyer and AAP

Gindalbie Metals Ltd is set to become Australia's next major iron ore producer after signing a joint venture development agreement with a major Chinese steel producer in the presence of China's President Hu Jintao and Prime Minister John Howard.

The agreement with Anshan Iron & Steel Group Corporation (Ansteel) is for the development of Gindalbie's Karara magnetite and Mungada hematite projects in the mid-west region of Western Australia.

This will involve a total investment of $1.8 billion in new mining and processing facilities, and associated infrastructure both in WA and China.

Earlier this week, Gindalbie announced positive bankable feasibility studies for both projects.

Gindalbie said the presence of the political leaders at the signing reflected the importance of the agreement to both Gindalbie and Ansteel, and to the continued development of Australia's iron ore industry.

The Karara project is proposed to be developed at a total cost of $1.6 billion, while proposed costs for developing the Mungada project total $94 million.

The Karara project is proposed to be funded on a 70/30 debt to equity ratio.

For the equity component, Ansteel will contribute $105 million plus 50 per cent of the required equity while Gindalbie will contribute the balance of equity funding, which equates to about 25 per cent of the total equity funding requirement.

Under the development agreement, Gindalbie and Ansteel have agreed to develop both projects subject to the signing of an equity joint venture agreement for a pellet plant in north-eastern China.

Other conditions include finalisation of the approval for the decision to mine within two months, and finalisation of off-take and financing arrangements.

Earlier this week, Gindalbie completed a $39 million share placement to Ansteel, giving it a 12.78 per cent interest in the company.

Shares in Gindalbie closed down 3 cents, or 1.67 per cent, at $1.77.


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## Frankhalo (7 September 2007)

Gindalbie Metals Ltd is set to become Australia's next major iron ore producer after signing a joint venture development agreement with a major Chinese steel producer in the presence of China's President Hu Jintao and Prime Minister John Howard.

Love seeing that underlined text bigdog, good post. George Jones signing in front of a few heads of state shows the importance of this deal, showed a glimpse of the signing on ABC news last night too.

Well done Bigdog, very good post

Regards

Frank


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## s3081402 (7 September 2007)

What is going on with GBG? After the announcement it is going backward instead of forward.


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## YNKWRTNC (7 September 2007)

s3081402 said:


> What is going on with GBG? After the announcement it is going backward instead of forward.




One school of thought is that the 65 milllion shares issued at 60 cents to Ansteel may dilute the SP. That came through Tues and there seems to be a delay which may be because of the good news this week.


----------



## adobee (7 September 2007)

I think that there is alot of profit taking on this now as well.. Most people would be locking away about 60%+ in the last three weeks if they bought just after the credit crunch drop.. 
I would do the same but I think there is more to be made and whilst it will probably back of for a while I dont want to risk missing my chance to buy back in at the right price..


----------



## ahspritemk (10 September 2007)

GBG seem to have gained some positive momentium again. Opened in the red at $1.56 and now in the green and upto 1.78, as at 3:10pm. Hopefully we will get some green from the yanks tonight, might help to give GBG more of a boost tomorrow. If I had more money I would have purchased this morning .


----------



## Surly (10 September 2007)

I am still a bit new to all of this. What factors can cause this level of volatility?

cheers
Surly


----------



## dj_420 (10 September 2007)

Surly said:


> I am still a bit new to all of this. What factors can cause this level of volatility?
> 
> cheers
> Surly




GBG ran quite hard on anticipation of a good BFS, as usual buy on rumour sell on fact, the stock gapped up and ran ahead of itself and topped out at 1.98, profit takers mixed with fearful investors pushed it back down today to 1.55

this happened to be the price where GBG gapped up from, so on the chart the gap is now filled and there was strong buying all day from open onwards.

IMO we will now should see some consolidation around these levels.


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## YNKWRTNC (10 September 2007)

Surly said:


> I am still a bit new to all of this. What factors can cause this level of volatility?




For those following stocks for years on end, they may have a few different theories and one or all of them could be correct or incorrect. 
Educated guesses would include:
The U.S was well down last Friday night causing the big drop this morning.
A leak or large investors (or both) getting in mid trade today caused the share price to rise again.
GBG is close to its highest SP, some investors may be happy to take their profit and bank on a retracement, hence SP dipping so much at open.
And the age old theory, which in my opinion is not often the case, day traders are selling and buying to adjust SP levels.

Having said all that, my guess as to why the SP climbed so much after the bad open, is a 'leak' about upcoming good news. 
But a guess is all it is.

Remember:
There are 2 types of analysts - One that doesn't know what will happen in the future and the other that doesn't know that he doesn't know what will happen in the future.

Good luck to all with GBG. It is one worth sticking with long term. Has bought much joy in the last 2 years coming from a 10 cent share.


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## AussiePaul72 (10 September 2007)

G'day All,
I am a GBG holder and was encouraged by the strong trading today on a day where the All Ords was down 1.4% and where most large mining stocks were also down significantly.
Its been a little challenging keeping up with the GBG announcements and the content of all so please excuse me if i have this wrong. However, IMHO maybe we could see an announcement this week relating to discussions with a third party that GBG indicated may be announced toward the end of this week (contained in 'Response to ASX Query' last Monday 3rd Sept). We certainly seem to see strong runs in GBG SP before positive announcements are made - hopefully this one will see more good news! 
What are others thoughts on this?


----------



## YNKWRTNC (10 September 2007)

Agree Paul, big chance of it.
The price has gone up a day before the last 3 significant announcements.


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## greenfs (11 September 2007)

Personally, I hope & trust that the upcoming announcement is not just confirmation of the infrastructure/port facilities being finalised as I believe that to be old news that would already be factored into the sp.

Having said that, I cannot imagine what other good news might be on the horizon. I guess we should be happy that the sp has increased 3.5 times in its fairly recent trading history.

I will continue to top up on any weakness in the expectation that the sp has a long way to move in an upwards direction given time.


----------



## imaginator (11 September 2007)

Hi sexy people! 

u want good news?

*GBG target price $5.6*

refer article below

__________________________________________________


DJ MARKET TALK: Melewar May Buck Trend, Rise; TA Tips MYR2.70 Tgt



  0101 GMT [Dow Jones] Melewar Industrial Group (3778.KU) may buck broad market trend and

extend gains, possibly test July 16 peak of MYR1.82; 14.6%-owned Australian mining

concern Gindalbie (GBG.AU) completed placement of 65 million shares, or 12.78%, with

China's largest iron ore and steel producer Anshan Steel for A$39 million, raising

funds to further develop its Karara and Mungada mining projects. TA Securities analyst

Kamarulzaman Hassan says based on Bankable Feasibility Studies announced to ASX, the

Hematite net present value, or NPV, is estimated at A$79.6 million, while Magnetite

operation NPV is A$2.25 billion. "This would translate into an NPV of A$5.63 per

Gindalbie share as compared to current price of A$1.82," he adds. Even at

A$1.82/share, Melewar's investment in Gindalbie alone is worth more than its entire

market cap in Malaysia. Keeps Buy rating on Melewar with MYR2.70 target price. Shares

ended +9.8% at MYR1.68 yesterday. (VGB) 



Contact us in Singapore. 65 64154 140; 

MarketTalk@dowjones.com 



  (END) Dow Jones Newswires

  September 05, 2007 21:01 ET (01:01 GMT)

  Copyright (c) 2007 Dow Jones & Company, Inc.



Thursday 06 September 2007 11:01:41:330 AEST


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## s3081402 (11 September 2007)

imaginator said:


> Hi sexy people!
> 
> u want good news?
> 
> ...




Dont know about $5.60 at the moment. I have no doubt it will reach this in another year. A really quite day for GBG today. Anyone know if there is an announcement coming up.


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## the barry (11 September 2007)

s3081402 said:


> Dont know about $5.60 at the moment. I have no doubt it will reach this in another year. A really quite day for GBG today. Anyone know if there is an announcement coming up.




I think the lodestone results are due at some point before the end of the year, not sure when though. Does anyone have an answer or idea as to when they may be due?

thanks


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## rustyheela (11 September 2007)

GBG is due for inclusion into the S & P 300 index from 21st sept so if the markets stay relatively stable & positive, index buying by the fundies / instos will hopefully give it a bit of a "giddyup"!!!!


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## AussiePaul72 (11 September 2007)

IMHO I agree that GBG will go to $5.60 .... i am fairly confident of that ... the interesting thing will be the timeline. It may be only market sentiment and nervousness at the moment that is preventing another big run. I think we have seen a couple of false starts to SP runs lately only to be called back to around the $1.70 mark. Its only a matter of time though.
In my opinion GBG seems to be undervalued at $1.70, however, i don't have any calculations to back it up. Does anyone have a formula at present to put a SP value on GBG right now?


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## greenfs (11 September 2007)

Every1 is looking a bit greedy on this thread. You should be verry happy with the gains consolidated in 2007 and we need to now allow time for infrastructure before expecting too much more.

Had we not had August correction, I am sure that the sp would be approaching $2.50 by now.

Patience IS still a virtue


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## s3081402 (12 September 2007)

greenfs said:


> Every1 is looking a bit greedy on this thread. You should be verry happy with the gains consolidated in 2007 and we need to now allow time for infrastructure before expecting too much more.
> 
> Had we not had August correction, I am sure that the sp would be approaching $2.50 by now.
> 
> Patience IS still a virtue




It ok for the people that bought it when it went down to 90 cent. But for people like me who got it at $1.50 which is not to bad. I still think this is a very good company. Once we get rid of all those short term seller then it should be ok.


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## adobee (13 September 2007)

s3081402 said:


> It ok for the people that bought it when it went down to 90 cent. But for people like me who got it at $1.50 which is not to bad. I still think this is a very good company. Once we get rid of all those short term seller then it should be ok.




GREEDY??? I expect that everyone who is buying shares and bothering to read information on share forums is looking for the maximum amount of money they can possibly make ... Thus the reason for doing so..  If GBG goes to $5 I will still want more!!


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## s3081402 (13 September 2007)

I just did some simple calculation. I got the market cap value of GBG and divide it by it share price and the value is higher than FMG. Does this mean that GBG price is undervalued at the moment.


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## astor (13 September 2007)

> I just did some simple calculation. I got the market cap value of GBG and divide it by it share price and the value is higher than FMG. Does this mean that GBG price is undervalued at the moment.




No, you've just worked out how many shares each company has on issue. ie GBG 500mill odd compaed to FMG 250mill odd.

Market Cap = share price * shares on issue

which is the same as...

Market Cap / share price = shares on issue


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## springhill (14 September 2007)

Hi guys was just looking at GBG on stocknessmonster, could someone please expain what the yellow highlight bits mean, namely the BUY 12.2T and SELL 58T what does the T stand for? Cheers


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## AussiePaul72 (14 September 2007)

springhill said:


> Hi guys was just looking at GBG on stocknessmonster, could someone please expain what the yellow highlight bits mean, namely the BUY 12.2T and SELL 58T what does the T stand for? Cheers




Hi Springhill, I'm no expert but I regularly use stockness monster as well and I think I'm correct in saying that 'T' stands for thousand and 'M' stands for million.


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## greenfs (17 September 2007)

I think that I remember reading somewhere that the chairman for GBG is also chairman for SDL. Does this create potential that the companies might be talking about a merger given the asset classes are very similar?

Were we not supposed to hear by now about the outcome of talks GBG was having with a third party?


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## EZZA (17 September 2007)

yeah, last friday there was an article on sdl.  and mentioned that sdl chairman was also on gbg.

not sure whats happening about this third party, interesting though.


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## AussiePaul72 (17 September 2007)

greenfs said:


> I think that I remember reading somewhere that the chairman for GBG is also chairman for SDL. Does this create potential that the companies might be talking about a merger given the asset classes are very similar?
> 
> Were we not supposed to hear by now about the outcome of talks GBG was having with a third party?




You are right Greenfs, we were supposed to hear about the outcome of talks GBG was having with a third party. 
I wonder whether talks have broken down and whether that is contributing to the GBG SP on a downtrend at present???? Or whether it is just taking longer to finalise the outcome of the talks????
I did also wonder whether there may be an announcement relating to both GBG & SDL in some form or another. George Jones is the executive chairman for GBG and non-executive chairman for SDL. Something is certainly going on with SDL. Its SP has more than doubled in just on a month from an intra-day low of 29.5c on Aug 16 (market correction low) to an intra-day high of 68.5c on Sept 14. 
GBG has also more than doubled in less than a month from an intra-day low of 80.5c on Aug 16 (market correction low) to an intra-day high of $1.98 on Sept 3. GBG has settled since then on lower volumes to a close today of $1.54.
Anyway, DYOR .......it'll be interesting to see if an announcement comes and whether both GBG and SDL are even more closely related than just having a common chairman in the future!!! I hold both


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## golfmos123 (18 September 2007)

Guys,

Feel free to correct me if I'm wrong, but surely the talks with a third party were those with the Chinese steel company who took on around 12% of the company.  To me, that is old news.

As for a linkage between GBG and SDL, there has been plenty of speculation, but other than general trends, there isn't too much evidence of SPs moving together.  I don't see it as anything other than speculation (for now)....


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## mfunksta (18 September 2007)

I suspect that the longer we wait for news, the more surprising it is likely to be.  The downward trend in price was due - being overbought.  Lodestone is will be here in a fortnight (ish).  I'd be surprised if we saw low 1.40's before a turnaround.  Perhaps GBG plugged the leaks?


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## Miner (19 September 2007)

Some times I am getting a stinct that we have a mole in GBG thread who are ramping the stock.

Some news are supported by a lot of data and I just adore of those guys / gals who can produce such quantitative information. At times I think they are better than those black coat and tie worn analysts at exchange who hardly have the base.

However some of us in the forum always bullish about GBG without any back up and those are the artificial ramper.

You know whom I talking about

Good luck

PS : I do have GBG and going to sell them tomorrw at $1.6 (hopefully the market will revive following Fed's decision tonight).


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## greenfs (19 September 2007)

Well GBG was not the catalysts for the recent stellar SDL rise. The Age this morning has reported that the Talbot Group has acquired 19.6% interest in the company and with it a seat at the board for Ken Talbot.

I agree with Miner and am also disappointed that some are still looking for more immediate gains in GBG. Surely, we need to be content with the recent gains and hope/prey that the sp will consolidate around present levels.

Havind said that, I have no intention of selling GBG until there are signs that the price of ore is set for a correction. From my fairly extensive readings, this will probably not occur until well into 2008 and possibly as late as 2009.


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## s3081402 (19 September 2007)

Look like a good day with GBG. Well im in for the long hold so i rather see a steady increase rather than a spike and then drop back. Big buyers are coming today.


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## juw177 (19 September 2007)

s3081402 said:


> Look like a good day with GBG. Well im in for the long hold so i rather see a steady increase rather than a spike and then drop back. Big buyers are coming today.




Gee how can you say this when the market hasnt even opened? This is just what the poster 2 above me was talking about.


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## daggs (19 September 2007)

juw177 said:


> Gee how can you say this when the market hasnt even opened? This is just what the poster 2 above me was talking about.




The market depth pre-open does look pretty good. 
Should open at $1.70+
This is a fact, not a ramp.


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## wildmanchris (20 September 2007)

I agree re the ramping of this stock - I mean I have heard calls up to $5.70 in the last few months which considering where it has come this year alone has been an amazing run and surely doesnt have too much more at the moment.

Surely this stock needs to get some more great results, or start to produce before it will run too much further.  A great company - but also seems to a great stock that traders have got a hold of - and quite sucessfully at that.

I have held until recently, and sold out at what I thought was a potential double top in the chart.  If it builds momentum I will get back in for sure.

For the record  I love GBG.


----------



## michael_selway (20 September 2007)

wildmanchris said:


> I agree re the ramping of this stock - I mean I have heard calls up to $5.70 in the last few months which considering where it has come this year alone has been an amazing run and surely doesnt have too much more at the moment.
> 
> Surely this stock needs to get some more great results, or start to produce before it will run too much further.  A great company - but also seems to a great stock that traders have got a hold of - and quite sucessfully at that.
> 
> ...




Does anyoen know the mine life of this stock?

*Earnings and Dividends Forecast (cents per share) 
2007 2008 2009 2010 
EPS -0.7 -0.5 7.2 9.4 
DPS 0.0 0.0 0.0 0.0 *

thx

MS


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## dj_420 (20 September 2007)

michael_selway said:


> Does anyoen know the mine life of this stock?
> 
> *Earnings and Dividends Forecast (cents per share)
> 2007 2008 2009 2010
> ...




25 year mine life i believe, with huge potential to increase that on further resource upgrades under karara and with the potential from lodestone... eagerly awaiting those results!


----------



## lusk (21 September 2007)

wildmanchris said:


> I agree re the ramping of this stock - I mean I have heard calls up to $5.70 in the last few months which considering where it has come this year alone has been an amazing run and surely doesnt have too much more at the moment.
> 
> Surely this stock needs to get some more great results, or start to produce before it will run too much further.  A great company - but also seems to a great stock that traders have got a hold of - and quite sucessfully at that.
> 
> ...




Hi Chris,

Probably a bit early in GBG's life to see a double top form, either way you would always wait until the share price droped past the valley of the double top for confirmation, same applies for a head and shoulders. As for GBG, your seeing all the people that jumped on board for the good time possibly towards the end of the run slowly exiting to preserve their profits It has slowly pulled back to a resistance at about $1.52 and bounced off. If everything goes well it should take a breath and continue onwards, of course you wouldn't want it to drop through the $1.52 resistance.


----------



## dj_420 (21 September 2007)

lusk said:


> Hi Chris,
> 
> Probably a bit early in GBG's life to see a double top form, either way you would always wait until the share price droped past the valley of the double top for confirmation, same applies for a head and shoulders. As for GBG, your seeing all the people that jumped on board for the good time possibly towards the end of the run slowly exiting to preserve their profits It has slowly pulled back to a resistance at about $1.52 and bounced off. If everything goes well it should take a breath and continue onwards, of course you wouldn't want it to drop through the $1.52 resistance.




this one typically goes for big runs then pulls back consolidates and then runs again. it took 2 efforts to first break the $1 mark and actually hold.

good support at 1.55 area, has been tested twice now i believe, the more it gets tested and holds the stronger that support will be.


----------



## greenfs (21 September 2007)

GBG Management was doing a presentation at ACCA Conference in Kalgoorlie earlier this week. I have been searching the net, but could not find any reference to it - including on GBG's own website. Can anyone else find it?

I was lucky enough to find the attached report dated 01/08/2007 from Southern Equities on GBG

View attachment Gindalbie Report 20070801.pdf


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## s3081402 (21 September 2007)

Some massive buys at the close of today trading. Anyone know what happen. Is this some sign for next week.


----------



## AussiePaul72 (21 September 2007)

s3081402 said:


> Some massive buys at the close of today trading. Anyone know what happen. Is this some sign for next week.




It wasn't just GBG alone that rallied close to the end of trading today. I noticed a similar pattern in a couple of other stocks that i hold that did the same thing including RAU and AZS. 
Anyone know if there was any broad news for the market to go into a late buying surge on Friday afternoon in some key mining stocks?


----------



## rustyheela (21 September 2007)

Could be insto buying as it will be included in the S&P 300 from close of business 21/09/2007, as is EQN. Someone correct me if I'm wrong please.


----------



## michael_selway (22 September 2007)

dj_420 said:


> 25 year mine life i believe, with huge potential to increase that on further resource upgrades under karara and with the potential from lodestone... eagerly awaiting those results!




Hey how did you get that figure?



> Large resources base. GBG has increased both its Karara magnetite and Mungada hematite resources. Karara is now 1.4Bt at 36.6 % Fe with the potential for further increases to at least 2.0Bt. Mungada has been increased to 22.3M at 61.9% Fe from 10 separate deposits. GBG has identified other deposits that we expect makes the company’s 40Mt target appear readily achievable. Production scalability. The large resource base allows for higher production rates to be considered. From the initial scale of 8Mt magnetite concentrate/pellet and 2Mt high grade hematite, plans are being made to reach 25Mt pa by 2013 with options for further expansion.




Some people say 1400/25 = 50 plus years?

thx

MS

*Earnings Forecasts Year end June 2007f 2008f 2009f 2010f 2011f NPAT  
EPS (adjusted) (cps) -0.6 -0.5 4.0 21 33 EPS growth*


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## serendip (22 September 2007)

Michael, I think you are right, there are strong grounds for projecting a life of the order of 50 years.  A shipment rate of 25 Mtpa of magnetite concentrate implies a mining rate of about 60 Mtpa of ore.  Karara is currently estimated at 1.43 billion tonnes, and is open at depth.  The 2.0 billion tonnes which has been mooted does not appear at all unrealistic.  If Lodestone is half as large as Karara, then we get a total of 3.0 billion tonnes, which would allow mining at a rate of 60 Mtpa for 50 years.

There is a lot more drilling needed to prove up these resources, but the odds seem to favour GBG achieving that result.  

And all this relatively close to the coast, and to existing and planned infrastructure ...

Cheers,  Serendip


----------



## hkvan (22 September 2007)

In the West Australian of 22 Sept there is an article on the price of iron ore.
The estimate is that there will be an increase in the price of iron ore of 25% - 50%. How will that influence the share price of GBG if this is the case?


----------



## serendip (22 September 2007)

Based on the report produced by Southern Cross Equities, on 1 August, a 10% increase in average price for the FY 2010 will produce approximately 30% increase in profit for the same period.  But we do need to be quite cautious in drawing too many long-term conclusions from this.  Sales contracts will probably be written in $US, so it is important to factor in your own guess as to the exchange rate which will apply at that time.  In addition, the SC cost assumptions are predicated on a base case of only 12 Mtpa.  Production at significantly higher rates, which now is looking increasingly likely, could result in further economies of scale.

As for the impact on the share price - I guess the more blue sky people can see, the more excited the optimists (like me) become.  I will be more than happy with a price of $2 by year-end.

Cheers, Serendip


----------



## Frankhalo (23 September 2007)

Mention article in previous post, good read below.

Miners to throw down the gauntlet on iron ore price

September 22, 2007

BOOMING iron ore miners are set for another bitter clash with their Asian customers over who should pocket the billions of dollars in transport savings that stem from Australia's close proximity to the region.

Australian ore lands on Chinese and Japanese wharves about 40 per cent cent cheaper than competing ore from Brazil due to sharply lower shipping costs, but BHP Billiton and Rio Tinto have never managed to convince the steel mills that the lucrative savings should flow to the miners. Instead, iron ore wholesalers and mills in Asia have reaped the vast extra profits.

But booming demand for iron ore, which is expected to lead to prices rises of at least 25 per cent and possibly as much as 50 per cent in the coming round of annual talks, has given BHP and Rio unprecedented negotiating strength to push their case that they are entitled to a big slice of the transport savings.

BHP raised the highly sensitive issue in annual price talks with its Chinese customers in early 2005, sparking a war of words with Chinese officials.

The fight ended in humiliation for BHP when it unsuccessfully pursued the matter alone, long after Rio and other iron ore miners had agreed to an already huge 71.5 per cent price increase for the year.

Australian producers currently receive around $US50 per tonne for Pilbara ore, which ultimately costs Chinese customers around $US75/t after paying for shipping costs. In comparison, Chinese buyers pay up to $US125/t for contracted deliveries from Brazil, and are now paying as much as $US165/t for lower-quality Indian ore bought on the more volatile spot market.

Even if Australian miners pocketed the entire $US25/t "differential", Chinese customers would still save $US50/t by buying Australian ore.

The annual price talks, which start informally next month, are highly sensitive and neither BHP nor Rio would comment yesterday. But one senior market source said there was little doubt that Rio would fall into line on the issue this year, noting that new Rio boss Tom Albanese had adopted a "watch this space" attitude when the issue was raised during analyst briefings last month.

"The gap is a lot wider now than it was then … so I suspect Rio don't mind the issue being there on the table," the source said.

Fortescue Metals Group, which will become Australia's number three ore exporter when it starts production in May, declined to buy into the pricing debate yesterday.

Operations director Graeme Rowley said the company would not be involved in the coming talks and would accept whatever price outcome was negotiated.


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## bigdog (24 September 2007)

24/09/2007	Trading Halt
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00761842

Placed in pre-open pending ann otherwise open on Wednesday

Any hints?


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## AussiePaul72 (24 September 2007)

Interesting ............both GBG and SDL are in trading halt .......exactly the same until announcement or Wed morning ........both requests submitted within a minute of each other to ASX.
What do others read into this, if anything?


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## s3081402 (24 September 2007)

AussiePaul72 said:


> Interesting ............both GBG and SDL are in trading halt .......exactly the same until announcement or Wed morning ........both requests submitted within a minute of each other to ASX.
> What do others read into this, if anything?




Im thinking they probably merge. Both in trading halt at the same time so must be something like that.


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## bigdog (24 September 2007)

AussiePaul72 said:


> Interesting ............both GBG and SDL are in trading halt .......exactly the same until announcement or Wed morning ........both requests submitted within a minute of each other to ASX.
> What do others read into this, if anything?




AP72,
Interesting ............both GBG and SDL are in trading halt .......exactly the same until announcement or Wed morning 

Where and how does SDL fit in with GBG?


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## Surly (24 September 2007)

The SDL request suggests they will make an announcement prior to close of trade today.

The Lodestone announcement can not be far off for GBG.

Could it simply be a coincidence?

What are the possible benefits of a merger for either company?

cheers
Surly


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## Love Zn (24 September 2007)

Surly said:


> Could it simply be a coincidence?




Quite likely,  I think it's unrelated.

As you said GBG is due for drilling results from the Lodestone Project or it could also be related to the Yilgarn Infrastructure Project (see MIS ann).

SDL is also due for it's first drilling results that they started back at the end of June.


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## dj_420 (24 September 2007)

so i think this is related between SDL and GBG

a potential merger would create quite a large iron ore company, if we think of potential for both companies we have:

GBG potential 3 billion tonne magnetite resource covering lodestone and karara. potential 100 million tonnes of direct shipping ore.

SDL potential 1 billion tonnes of hematite.

so far these resources are been upgraded and expanded with delineation, but we could see both companies shore up some major deposits there.

i think the potential merger would be a win/win situation for both companies. it would place it in the esteem of FMG, BHP and RIO in a competitor sense anyway.


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## s3081402 (24 September 2007)

Re-open at 1.45pm. Merging on the way. Hope this is good for both GBG and SDL. Lets sit and watch how this pans out.


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## Djayness (24 September 2007)

Wait sorry guys, 

Ive never been involved in a merger. So i got SDL shares right, now that the merger has been signed i get 35% app. of GBG shares however both SDL and GBG stay on the market? 

If they merge shouldnt they be trading under one name? or are they gonna keep the share prices separate...


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## hangseng (24 September 2007)

Djayness said:


> Wait sorry guys,
> 
> Ive never been involved in a merger. So i got SDL shares right, now that the merger has been signed i get 35% app. of GBG shares however both SDL and GBG stay on the market?
> 
> If they merge shouldnt they be trading under one name? or are they gonna keep the share prices separate...




You will receive one GBG share for each 2 SDL shares you hold. GBG will aquire the complete share holdings of SDL and it will trade under a single entity being GBG.

Great outcome for both organisations.


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## forbesaw (24 September 2007)

Sundance are at 0.82 cents. Will this mean that Gindalbie will pick up these shares at this price or is it at the closing of 21st September?


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## bigdog (24 September 2007)

GBG and SDL are now trading

 BG   	$1.65  	   	  -$0.05   	  -2.94%   	 796,479 shares $1,318,366 @ 	 24-Sep 14:06:42

SDL   	0.805  	  0.065   	  8.78%   	10,415,662 shares $8,550,102  @	24-Sep 02:08:01 PM

24/09/2007	Gindalbie and Sundance Proposed Merger
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00761980

24 September 2007
GINDALBIE AND SUNDANCE ANNOUNCE PROPOSED MERGER TO CREATE A SIGNIFICANT NEW IRON ORE GROUP

Iron ore companies Gindalbie Metals Ltd (ASX: GBG – “Gindalbie”) and Sundance Resources Limited (ASX: SDL – “Sundance”) today announced that they have reached agreement to merge to create a substantial A$2.4 billion international iron ore company. The companies have executed a Merger Implementation Agreement (“MIA”) to effect the merger by way of a Scheme of Arrangement (“Scheme”) under which Gindalbie will make offers to acquire all of the issued securities in Sundance.

The proposed merger will result in the establishment of a major independent Australian-based iron ore company with a diversified asset base comprising world-class iron ore projects in Western Australia and West Africa, a very significant production growth profile and a global presence.

Details of the Agreement and Offer
Under the terms of the proposed Scheme of Arrangement, Sundance shareholders will receive one (1) Gindalbie share for every two (2) Sundance shares they hold. Based on the closing price of Gindalbie shares on 21 September 2007 of $1.70, the offer values Sundance at approximately A$1.6 billion and represents a premium of 14.9% on the closing price of Sundance shares on 21 September 2007 of 74 cents, and a 34.5% premium to the 30-day volume weighted average price (VWAP) of Sundance
shares.

On completion of the merger, the new entity would have approximately 1.43 billion shares on issue with an estimated market capitalization of approximately A$2.4 billion based on the closing price of Gindalbie shares on 21 September of $1.70. Gindalbie securityholders would hold approximately 35% and Sundance securityholders approximately 65% of the merged company.


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## Djayness (24 September 2007)

Can someone explain to me why the price of GBG would be falling whilst SDL is rising? It doesnt make sense to me why people would want to sell up in such a fantastic merger....


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## greenfs (24 September 2007)

greenfs said:


> I think that I remember reading somewhere that the chairman for GBG is also chairman for SDL. Does this create potential that the companies might be talking about a merger given the asset classes are very similar?
> 
> Were we not supposed to hear by now about the outcome of talks GBG was having with a third party?




I am waiting for the plaudits of other subscribers for this post made only a week or so ago. Sometimes 1+1=2.


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## the barry (24 September 2007)

Djayness said:


> Can someone explain to me why the price of GBG would be falling whilst SDL is rising? It doesnt make sense to me why people would want to sell up in such a fantastic merger....




SDL shareholders get 1 GBG share for each 2 SDL shares they own. That means that they get a premium for their GBG share. Whereas GBG lose the premium. In the short term it will affect GBG negatively. In the long term it is a positive.


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## nikki (24 September 2007)

SDL was a speculative stock until yesterday. this merger confirms its potential more than anything else. the biggest risk for GBG shareholders is that SDL's main asset proves to be a dud. personally, i am satisfied with the way the management of SDL has managed to sell this deal to gbg in which case it confirms its potential to produce as much quality grade FE as FMG and MGX. This is huge for GBG. It allows GBG to produce and sell FE of much higher quality and less cost that it could do based on its own assets.

actually, more than anything else, i think this deal potentially stops the speedy growth of value in SDL shares??? I have to admit George is a genuis.


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## Fab (24 September 2007)

Where is the premium for SDL holders?? GBG closed today at 1.365 whereas SDL closed at 0.805. I am expecting SDL to keep going up and GBG to stagnate that leaves very little premium available for 1 GBG vs 2 SDL deal.
I can't see why this deal is of interest to shareholders?
Just my opinion.


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## YNKWRTNC (24 September 2007)

greenfs said:


> I am waiting for the plaudits of other subscribers for this post made only a week or so ago. Sometimes 1+1=2.




greenfs,
You're posting quotes that you made yourself.
It's a worry.
Were you hoping for "You're a genius" and just couldn't wait any longer?


P.S. GBG has been a great stock, looking forward to it continuing.


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## AussiePaul72 (24 September 2007)

Fab said:


> Where is the premium for SDL holders?? GBG closed today at 1.365 whereas SDL closed at 0.805. I am expecting SDL to keep going up and GBG to stagnate that leaves very little premium available for 1 GBG vs 2 SDL deal.
> I can't see why this deal is of interest to shareholders?
> Just my opinion.




I think you mean that GBG closed at 1.635. You do raise a good point though in that at the end of today's trading the premium available to SDL shareholders has been virtually nullified now with SP movement after trading commenced with 2 SDL shares currently valued at 1.61 and GBG closing at 1.635. I am a holder of both SDL and GBG and have been thinking of the implications all afternoon.
Someone please correct me if i am wrong but until the merger actually takes place i would think that the SDL SP could be restricted by the SP of GBG. I'm not complaining as this merger is probably a large part of the reason that the SDL share price has surged recently. I think that the merged company has a lot to offer and still has many upsides on resource size. 
If the SP of GBG & SDL stay roughly in the 1:2 current ratio, there is no advantage in investing in either company in my opinion. However, if the SP moves away from the 1:2 ratio over the coming months then there would be an advantage in investing in one over the other. 
However IMHO i think the GBG & SDL will stay relatively closely aligned in a 1:2 ratio. Am i right in my assumptions?


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## EZZA (24 September 2007)

i can see that there are synergies of the two companies together.   also confused with gbg going down as opposed to sdl going up.

Where is the value then, is sdl better value than gbg? thought gbg was the pick of the bunch.  in this scenario sdl coming out on top. some clarification would be great.

do sdl holders get one free gbg stock for every 2 sdl shares.

what about gbg stocks, do we get 2 sdl stocks for every one gbg? don't think this is case, do we just lose out in the short term?


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## golfmos123 (24 September 2007)

What a day.

I was also thinking of some tax issues as well - if the merger goes ahead, then people (like me) who have bought into SDL in the last say 6 mths are also going to face a larger tax bill than if we were going to be long term SDL investors and hold our shares for 12 mths.  I guess it is somewhat like the RIN takeover where once the shares were cancelled, if it was inside the 12 mth time period, you pay full CGT like it or not.  

Somehow I feel like I just lost a lot of money.......(yes I know I also made a fair bit as well).  

Come to think about it, the government just made a lot of money as well with the CGT coming into play on a $1 billion company being merged.


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## imaginator (25 September 2007)

> On completion of the merger, the new entity would have approximately 1.43 billion shares on issue with an estimated market capitalization of approximately A$2.4 billion based on the closing price of Gindalbie shares on 21 September of $1.70. Gindalbie securityholders would hold approximately 35% and Sundance securityholders approximately 65% of the merged company.




Does this mean GBG holders lose out? 
Since SDL will hold 65% compared to GBG at 35%.

Is it better to buy SDL stocks now?


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## springhill (25 September 2007)

imaginator said:


> Does this mean GBG holders lose out?
> Since SDL will hold 65% compared to GBG at 35%.
> 
> Is it better to buy SDL stocks now?




At the end of the day when the merger take place it wont matter a hoot which you own as long as the share prices are on parity, imaginator. Once they merge GBG and SDL shareholders as a seperate entity will cease to exist, we will be one team pulling in the same direction, so to speak. If everyone races out buying SDL shares, this will force share $$ up, now if GBG does move at same rate you will actually be doing yourself a disservice, as your 2 SDL shares will be worth MORE than 1 GBG, effectivly making u a 'loss'. Either that or the market will crrect SDL back down and u will still be out of pocket. All good buying SDL just dont pay over the odds.
This is how I read it


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## serendip (25 September 2007)

Assuming the merger goes through as currently planned (which looks almost certain, given the expressed support of major shareholders), then, from this point on, it does not matter whether we buy GBG or SDL.  They will be moving in lock step, with Gindalbie remaining at almost exactly twice the price per share of Sundance, and this situation will remain until the new GBG shares are issued, replacing SDL shares.  

Any new announcements, whether they be about Lodestone or Mbalam or anything else, will simply affect the share prices in that same proportion.


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## nikki (25 September 2007)

golfmos123 said:


> I was also thinking of some tax issues as well - if the merger goes ahead, then people (like me) who have bought into SDL in the last say 6 mths are also going to face a larger tax bill than if we were going to be long term SDL investors and hold our shares for 12 mths.  I guess it is somewhat like the RIN takeover where once the shares were cancelled, if it was inside the 12 mth time period, you pay full CGT like it or not.




 you are right. i totally forgot that side of the equation. so, gbg shareholders are better off because they keep their shares, do not have to declare a gain and pay full CGT, etc. etc. i got screwed again???? the same thing happened to me when i bought rights that IBA health gave me. those rights were all profit and therefore had to pay CGT on the purchase price of the rights?????


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## ADoyle (25 September 2007)

nikki said:


> you are right. i totally forgot that side of the equation. so, gbg shareholders are better off because they keep their shares, do not have to declare a gain and pay full CGT, etc. etc. i got screwed again???? the same thing happened to me when i bought rights that IBA health gave me. those rights were all profit and therefore had to pay CGT on the purchase price of the rights?????




This is why SDL shareholders are going to receive such a premium price for their shares.  
In price average terms over the past couple of months SDL shareholders should've needed to convert to GBG at least at 3 for 1.   Instead now having been given 2 for 1 the run up in price sorts out any net imbalance.


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## wipz (25 September 2007)

nikki said:


> you are right. i totally forgot that side of the equation. so, gbg shareholders are better off because they keep their shares, do not have to declare a gain and pay full CGT, etc. etc. i got screwed again???? the same thing happened to me when i bought rights that IBA health gave me. those rights were all profit and therefore had to pay CGT on the purchase price of the rights?????




Perhaps you should consult a professional tax practitioner, but the way i see it is that the transfer of ownership for SDL holders to GBG is simply a scrip-for-scrip roll over and no CGT event occurs?


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## GoHardHomie (25 September 2007)

*CGT Tax relief*

From what i've seen in previous situations a CGT tax event does not neccessarily happen in a takeover. 
It'll be discussed in the detail of the offer documentation.
When Paladin took out Summit there was no taxable event until you actually 'sold' your shares.
Cheers


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## imaginator (26 September 2007)

Hey guys,

When will we see GBG rise again? 

After the takeover, it was 1.6. then yesterday 1.51. Today 1.48. What's happening ? 

I DO HOPE there is a SUPPORT LINE somewhere.


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## s3081402 (26 September 2007)

imaginator said:


> Hey guys,
> 
> When will we see GBG rise again?
> 
> ...




Yeah they are selling GBG to buy SDL. The 2 to 1 ratio is the worst ever. It should be 3 to 1 and GBG would be around $1.80 by now.


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## dj_420 (26 September 2007)

i agree with that.

shareholders should vote improve the offer for SDL, GBG are the ones who start production next year. 

definately should be 1 for 3. i suppose half of the directors dont care because they have vested interest in both companies!


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## imaginator (26 September 2007)

News from GBG's Malaysian counterpart. 

*Tuesday September 25, 2007*


*Melewar associate in African mining deal*
<span class="story_byline"><b>By KATHY FONG</b>

PETALING JAYA: Melewar Industrial Group Bhd's mining business will reach African shores soon via the merger between its associate company Gindalbie Metals Ltd and Sundance Resources Ltd.

 Australian-based Gindalbie announced yesterday it had made an offer to take over Sundance, which has an iron ore project in Cameroon, western Africa, through issue of one Gindalbie share for every two existing Sundance shares. 

 The deal valued Sundance, which is also an Australian miner, at A$1.6bil – 15% premium over last Friday's closing price of 74 cents, said the statement jointly issued by both companies. 

 It said the merger would create an international iron ore company that would have a market capitalisation of about A$2.4bil (RM7.14bil) based on Gindalbie's last closing price of A$1.70.

 Chairman of the two companies George Jones, who is also shareholder, has expressed his full support for the transaction.

 He told a conference call yesterday that Gindalbie's two biggest shareholders, Melewar Steel Venture Ltd (wholly-owned subsidiary of Melewar Industrial) and Anshan Iron & Steel Group Corp of China, were expected to support the deal as well, said Bloomberg.

 Jones was quoted as saying the African project (owned by Sundance) would reduce Gindalbie's reliance on its Karara development in Western Australia, where expansion might be constrained by any delays to the development of a new A$2bil port to service proposed mines in the state's mid-west.  

 Melewar holds 74.08 million shares, or 14.6%, in Gindalbie, which is listed on the Australian Stock Exchange. The Malaysian shareholder's equity interest is expected to dilute to about 5.2% after the merger. 

 Buying into Gindalbie has been proven a wise move given that Melewar's investment value has ballooned 17 times since 2004. The value of the stake is now about A$125.9mil (RM372mil). 

 The hefty gain on the investment is buoyed by the rising prices of iron ore – the main raw material for steel – due mainly to the strong demand from China.

 Melewar's share price dropped one sen to RM1.56 yesterday with 1.03 million shares traded. The stock soared to a high of RM1.76 in June.

 TA Securities analyst Kamarul-zaman Hassan said the substantial gain on Melewar's investment in Gindalbie helped to boost the group's valuation on Bursa Malaysia.

 Gindalbie will only start contributing to Melewar's earnings next year. “The contribution in the first two years is expected to be minimal,” Kamarulzaman said, adding that the group had the financial capacity to explore more acquisition opportunities abroad to enhance its earnings base. 

 Melewar also owns 70% interest in Siam Power Generation Co Ltd, which owns and operates a power plant in Rayong, Thailand.


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## s3081402 (26 September 2007)

dj_420 said:


> i agree with that.
> 
> shareholders should vote improve the offer for SDL, GBG are the ones who start production next year.
> 
> definately should be 1 for 3. i suppose half of the directors dont care because they have vested interest in both companies!




So how does voting work. Does it come down to the board or the shareholders. 2 to 1 no way. I have a feeling the merge might not go through. What does everyone think.


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## dj_420 (26 September 2007)

s3081402 said:


> So how does voting work. Does it come down to the board or the shareholders. 2 to 1 no way. I have a feeling the merge might not go through. What does everyone think.




it would have to come down to a vote

i personally think they should improve the offer for GBG holders

i will email company and find out process


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## Da Cat (26 September 2007)

I am actually quite happy with the proposed merger. 
SDL is a company that I have been interested in for a while (was waiting for a lull in the recent rise to jump on board, but it never came). The relative short term income to be generated from GBG will no doubt benefit SDL's further resource definition and development.
The question for me is when to buy some more - and which one?


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## s3081402 (26 September 2007)

Da Cat said:


> I am actually quite happy with the proposed merger.
> SDL is a company that I have been interested in for a while (was waiting for a lull in the recent rise to jump on board, but it never came). The relative short term income to be generated from GBG will no doubt benefit SDL's further resource definition and development.
> The question for me is when to buy some more - and which one?




Jump on GBG da Cat. This morning was a good time to buy. Went down $1.47. U wont see that more often. Cheers.


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## springhill (26 September 2007)

s3081402 said:


> Yeah they are selling GBG to buy SDL. The 2 to 1 ratio is the worst ever. It should be 3 to 1 and GBG would be around $1.80 by now.




What an absolute pile of tripe, u GBG holders should get over how great your resource is, check out page 7 of the shareholders meeting, kinda puts things in perspective hey? U may be lucky its only 2:1  Hope this works!!


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## Surly (26 September 2007)

I just got back from the shareholder meeting and I am still in two minds about it all. 

I know that doesn't help but it does mirror the general sentiment being expressed here.

cheers
Surly


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## Surly (26 September 2007)

Pros
That in the medium and long term exposure to the ASX200 is a good thing.
Complimentary business locations and products
Output rivalling or exceeding FMG 

Cons
That the further dilution that will take place to raise the funds for the Mbalam project is a bad thing and the 1.2bn shares plus however many more may mean the price per share in the short and medium term will not be as strong as GBG may of been had they gone it alone.
That the project at Mbalam is not yet at PFS stage

...and the selection of other strong midwest players as an alternative.

DYOR

cheers
Surly


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## nikki (26 September 2007)

Hi Surly, why are you of two minds? 

My only hesitation is that sdl is still a highly speculative stock as long as the results of the drilling programme are outstanding and no feasibility study has been completed. 

Having said that, one reason why the GBG/SDL merger would be debt free is because SDL has upwards of $95 million (more than 4/5 of the total money that the merged company will have) which it has received through major shareholder backing. 

Look at SDL's shareholder backing compared to GBG - especially important given that they came after visits to cameroon by the geologist of AMCI and Talbot himself. etc. etc. etc. 

Even without GBG it is very easy to forsee SDL's price moving above $1 by the end of this year once PFS reports are published. If GBG does not do well in terms of result from its other mine, etc. I think it will drag the heels on the movement of price. 

I am actually not sure why SDL needs GBG given how easily and quickly it raised over $100 for its PFS and its FS. Look at the iron ore project near where sdl's main site is in Cameroon. It is as big as FMG and has had as much financial backing.


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## Fab (26 September 2007)

Surly said:


> Pros
> That in the medium and long term exposure to the ASX200 is a good thing.
> Complimentary business locations and products
> Output rivalling or exceeding FMG
> ...




Did they explain the tax treatment of SDL shareholder who decide to participate in this merger as my understanding is they might have to sell their share and buy back into GBG generating a CGT


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## Surly (26 September 2007)

Fab said:


> Did they explain the tax treatment of SDL shareholder who decide to participate in this merger as my understanding is they might have to sell their share and buy back into GBG generating a CGT




The issue of cgt wasn't mentioned but a phone call to my accountant would be my approach.

cheers
Surly


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## Surly (26 September 2007)

I have been watching GBG and SDL share price over the last two days and it appears that GBG is almost always 2 x SDL plus a couple of cents.

Any thoughts on why this would be?

cheers
Surly


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## s3081402 (26 September 2007)

Surly said:


> I have been watching GBG and SDL share price over the last two days and it appears that GBG is almost always 2 x SDL plus a couple of cents.
> 
> Any thoughts on why this would be?
> 
> ...




Since the merger will probably go through then the price of these 2 will be around the 2 to1 ratio


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## Surly (26 September 2007)

s3081402 said:


> Since the merger will probably go through then the price of these 2 will be around the 2 to1 ratio




It was the ongoing couple of cents that had me confused not the two to one ratio due to the merger.

cheers
Surly


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## s3081402 (26 September 2007)

Surly said:


> It was the ongoing couple of cents that had me confused not the two to one ratio due to the merger.
> 
> cheers
> Surly




Well u cant have exactly the same price for the 2 so a few cents either way wouldnt be of any concern


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## AussiePaul72 (26 September 2007)

springhill said:


> What an absolute pile of tripe, u GBG holders should get over how great your resource is, check out page 7 of the shareholders meeting, kinda puts things in perspective hey? U may be lucky its only 2:1  Hope this works!!




Great post Springhill ...... everybody should have a good look at the potential production growth chart on page 7 of the GBG Shareholders Meeting 26 Sept 2007 document. This certainly does put the size of the GBG / SDL ore resources in perspective.

A few points to note:
* GBG to start iron ore production in 2009 from Mungada Hematite project
* GBG's Karara project to come on stream with production starting in 2010
* SDL's Mbalam Hematite project to begin production in 2011
* By 2012, the merged company would be producing in the order of 35 Mtpa with *SDL's Mbalam project contributing a little over half of this*
* From 2012 to 2015, iron ore production for the merged company continues to increase to a level of approx 60 Mtpa
* SDL's Mbalam project alone is expected to contribute over half of the iron ore production (taking into account both the Mungada & Karara GBG projects) from 2012 to 2015

I'm no expert (and please post if i have overlooked something), but any GBG holder thinking they are getting a raw deal by merging with Sundance must have rocks in their head IMHO........i don't think it takes too much to see the potential of this new merged GBG/SDL iron ore producer ..... and the value that SDL brings to GBG........ bring it on!!


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## Frankhalo (26 September 2007)

I have mixed feelings on this deal, dont like the African touch at all. Going from 500 million shares to 1.43 billion thats not good either. I would have rather WA midwest be GBG's focus. And yeah, yeah I know its going to be big come 7 years time but theres way too may unknowns in Cameroon and the small research I've done on the region doesn't paint a pretty picture. At the end of the day I imagine George has done his home work, but I'm not kidding myself in thinking this will be FMG Mk2, not with 1.43 billion shares in the market.


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## braydn (27 September 2007)

Surly said:


> It was the ongoing couple of cents that had me confused not the two to one ratio due to the merger.
> 
> cheers
> Surly




May be to cover tax.                                                                      +
Check golfmos123 post the page before


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## rozza (28 September 2007)

Frankhalo said:


> I have mixed feelings on this deal, dont like the African touch at all. Going from 500 million shares to 1.43 billion thats not good either. I would have rather WA midwest be GBG's focus. And yeah, yeah I know its going to be big come 7 years time but theres way too may unknowns in Cameroon and the small research I've done on the region doesn't paint a pretty picture. At the end of the day I imagine George has done his home work, but I'm not kidding myself in thinking this will be FMG Mk2, not with 1.43 billion shares in the market.





I don't get why gbg/sdl can't be a FMG Mk2. Its the market cap that counts not the shares on issue. From all reports, Cameroon is shaping up to be comparable to whatever FMG has and operating costs will be cheaper than Aust. If SDL can come up with an offtake party between now and Feb 08 it will only sweeten the deal.


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## Miner (28 September 2007)

Folks

I have reproduced an extract from Mining News 

*Karara remains top priority: Gindalbie 

Kate Haycock
Friday, 28 September 2007

THE 1.4 billion tonne Karara deposit is the premier magnetite project in Australia, according to Gindalbie Metals, which will soon become the second-largest pure iron ore play in the country after its merger with Sundance Resources.* 

I also noticed that the talks of GBG/SDL becoming a large house producing 45 MTPA by 2014.
Please do remember by then RTIO will have 300 MTPA and BHPB will also ahve 250 MTPA capacity and Chinese Tiger will not be as hungry as today. Adding to that there are small to medium Chinese holdings will only be bigger and a possible takeover of FMG by Chinese enterpreurers.

What it means the negotiation power will be far more reduced by the Australian producers.
I will be hopefully retiring by then any way. 

Regards


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## Fab (1 October 2007)

Here is what the Eureka report says :

"Today we have seen GBG make a bid for SDL, which is actually twice as big.
Now the bid is all scrip and it’s one GBG share for every 2 SDL shares. The market is pricing the merger in, GBG is down 3% and SL is up 9%. In a situation like this there is no premium in it for the possibility of another bidder. If you buy into this you are just buying into GBG."

Sounds like the deal is a good one for GBG not sure is so good for SDL also the lack of another bidder is not so good either but that might change.
I noticed that SDL is twice as big as GBG so why participate in this deal if you are a SDL shareholder?

Also what happens to SDL shareholder if they don't accept the offer from GBG and the merger still goes through?


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## adobee (3 October 2007)

So what do people think will happen with GBG & SDL in the short to medium term future is there much growth left until some real action takes place.. I am holding both but think now might be the time to sell and re -enter is six to twelve months..


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## greenfs (3 October 2007)

adobee said:


> So what do people think will happen with GBG & SDL in the short to medium term future is there much growth left until some real action takes place.. I am holding both but think now might be the time to sell and re -enter is six to twelve months..




If you are holding with a capital gain why sell & pay tax. Also, you run the risk of missing the next upward cycle. Also, whilst undoubetdly a long way off a savvy investor (not me) in this stock that I spoke to this morning indicated that the long-term sp has been nominated @$15 by his broker.

I am a long term investor in this stock and think that it would be crazy to liquidate a position of say $30k now when it might turn into $300k with time


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## Archa (3 October 2007)

I feel the merger is good. GBG/SDL will be placed in top 120 on current sp, and can improve further after expected results between now and Feb. Watch announcements for significant shareholders in coming months, these could indicate what the big boys and girls think. I hold GBG and expect both sp to fluctuate around current levels until exploration results are announced and/or BHP-RIO agreement on prices with Asia. The downsides are; results below expectation, merger does not go ahead, or extenal pressure (US?). Recent small volumes appear to indicate a move by smaller holders to younger explorers, they might get it right but imho GBG/SDL has considerable upside and now carries less risk.
Archer


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## dj_420 (6 October 2007)

IMO the merger has not added any value to GBG. The proposed merger will create a company with 2.4 billion market cap. Now excuse me for saying so but that is a massive market cap for a company with no earnings whatsoever.

Now everyone is going to tell me but look at the size of the resources GBG and SDL have. Yes combined they have a huge resource portfolio and if they achieve the desired output will be producing 60 million tonnes in 2015. Now 2015 is a long way off and many other companies will be producing their iron ore long before that stage.

IMO what will happen by 2015 is a flood of iron ore on the market completely squashing the spot price. The iron ore price is well above historical averages so in response business increase output to cope with demand. What we have here has been massive increases in spot price and many many businesses increasing output or beginning output by 2008 onwards.

I would like to see an analysts viewpoint on how much additional iron ore is going to be loaded onto the market from 2010 onwards. FMG want to add 60 million tonnes per year from next year alone.

I have seen people argue, but business wont do that, its not in their best interest to flood the market with iron ore. But from BHP point of view, if they dont do it, someone else will, they may as well take advantage of the higher spot while its there. Thats my main point "while its there". The majors that have been producing iron ore for a long time can afford to flood the market as they are able to operate with good profits when the spot price was well below what it is now.

It is the typical resource cycle, years of _underinvestment,_ boom follows, years of _overinvestment_, bust cycle follows.

Does anyone recall when BHP almost went under in late 90's? Thats because they made some takeovers at the top of the cycle, paying a massive premium for miners and mines which only a couple of short years later would not be profitable to run causing billions of dollars in writedowns.

So in the GBG case they are already operating on some fairly tight margins and assuming the spot stays high. If the spot falls 50-100% from here say 2010 will many of these new Australian iron ore companies still be able to produce profitably?

Disc: No longer holding GBG


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## Morgan (6 October 2007)

Good post DJ.
I worked for BHP right through the 90's and saw first hand the situation you described- resources companies being 'one step behind' the market. Unfortunately with the way resource companies work, it is hard to properly line up supply with demand and so avoid the boom/bust cycling. This is difficult enough for large companies, let alone start-ups.
In receiving my Argo Investments Annual Report recently, I noted that the only small-mid iron ore play that Argo holds is Mount Gibson Iron.
Argo is an investment company with a long term view so I like to note their shareholdings as a barometer of where long-term value lies in the market.

Disc- still holding GBG for the moment.


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## Frankhalo (6 October 2007)

Looking beyond 2010 I guess we really need to ask how much iron ore does China really need, for Ansteel to have jumped on board so early on in the scheme of things I imagine they have done there figures and homework. As too GBG with there up and coming merge with SDL. I said it before, its one thing having billions of tons of the iron ore in the ground its another digging it up and shipping it, if your shipping 60 million tons per year plus your doing very well, these are the big boys figures. So IMPO in a couple of years time GBG+SDL merged will stand tall, demand / supply ratio will still be well in tack and favor the supplier for a long time to come.

Regards

Frank


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## dj_420 (6 October 2007)

I had held GBG since 60 cents and I just don't see much more room for additional growth. I think my money is better off elsewhere in the market at this point. I honestly don’t see GBG/SDL getting to $2 at this point. I of course could be wrong. 

So far a lot of forecasters seem to have just got it wrong, zinc was forecast to be in deficit mid 2007 and so far we haven’t seen zinc stockpiles hit the bottom of that figure, they (stockpiles) came rather low in late 2006 early 2007 but then a lot of metal was dumped back onto the market suppressing prices. Nickel supplies were forecast to be in deficit for at least a year (2007) and the stockpiles are now growing. Are forecasters and analysts been perhaps a bit presumptuous for this demand? 

I have been reading through a number of reports and have identified that world crude steel is declining growth is up 5.3% ytd from July compared to 12.6% at the beginning of the year.

http://www.fmgl.com.au/IRM/content/invest_brokerreports.htm

I also understand that there has been a great amount of investment on the Chinese behalf to aid in development of ore, BUT who stands to be in good stead when the market is flooded with ore and the spot price retraces…..the smelters will be! In addition to smelters any end users of the metal will benefit from a lower spot price, reductions in cost can be passed through to final consumers like any good/service. The only part of the supply chain that does not benefit from a lower spot price is the miners who are mining the iron ore.

FMG alone aim to be producing 55 million tonnes per annum from next year. They also claim that given expansion could surpass the production status of BHP.

http://www.abc.net.au/news/stories/2007/06/18/1954286.htm

The problem I think with iron ore seems to be how relatively easy it is to dig up and ship DSO compared to other commodities such as copper, nickel, zinc and uranium. The response time for a supply deficit for iron ore seems to be around 2 years once proving up a resource.

This article states that iron ore supplies are expected to be in deficit until 2011, at which point the supply demand equation will balance. This by coincidence is when GBG/SDL plan to begin ramping up production. My main point is many would be producers plan to be in production by this stage and the already producing BHP, RIO plan to have upgraded their production capacity by then.


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## greenfs (6 October 2007)

We are awaiting negotiations which will lead to iron ore price increases of between 25-40% if you can believe today's lead story in the Melbourne Saturday Age Business Section. I would caution that if you liquidate your position this will probably be at your own peril.


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## dj_420 (7 October 2007)

greenfs said:


> We are awaiting negotiations which will lead to iron ore price increases of between 25-40% if you can believe today's lead story in the Melbourne Saturday Age Business Section. I would caution that if you liquidate your position this will probably be at your own peril.




Caution? 

Ok lets do a little run down on the GBG/SDL situation, what capital do they require to get both resources up and producing? 

For Karara they need an additional 400 million, for Cameroon they need 1.6 billion?

So a conservative 2 billion dollars capital to be raised to start production in 2010. Ok say the merger goes through and they do a cap raising at $2 (a 25% increase on friday's close). Lets estimate another billion shares on issue before projects are going ahead. That would put 2.5 billion shares on issue and they will just be starting production.

I think you underestimate the effect of dilution here and the need for further capital. Anyway I could well be wrong and they could run to the moon, I will be the one who has to live with that.

I am simply stating for now they do not offer much upside at all, even if the iron ore negotiations are to the upside they are _not_producing. These negotiations will benefit BHP, RIO and FMG.

GBG was a great story until this point, I feel there is not much growth left to the upside only downside risk. I haven't seen many brokers recomending GBG as a buy at this point. I feel the GBG/SDL merger overvalues SDL quite a lot. The location of SDL resources does carry political risk. 

I personally think that GBG should have done their project stand alone and it really stinks that how many big players Talbot included got very very set at 20 cents on SDL. 

Anyways my two cents. Rugby has just finished so im pretty p!ssed at the moment!


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## serendip (8 October 2007)

DJ, your caution is justified, but there is nonetheless an opportunity to capitalize on the economic and geographic strength of the combined companies.  There is not much room for doubt that iron ore customers are scrambling for long-term supply security in the light of forecast product demand growth.  As we have seen with GBG and MMX, Japanese, Korean and Chinese customers are prepared to dip their hands deep into their pockets to fund developments.  European customers must be viewing the current tie-ups with some alarm, and are likely to go down the same path.  GBG-SDL should be well-placed to service both market areas.

I'm not sure about your capex estimates for SDL.  In May, Don Lewis, MD of SDL, stated that the scoping study performed by Promet Engineers (of Western Australia) had come up with a total capital cost of US$2.46 billion for the mine, rail and port infrastructure.  Has there been an update to this to bring it down to your $1.6 billion?

Cheers, Serendip


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## greenfs (8 October 2007)

One can gain considerable comfort from the Chinese Governments version of our own Future Fund, which has a reported war chest of USD200B. 

An article by John Garnaut on the back page of the financial section of today's Melbourne Age gives this significant coverage and is well worth a read.


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## dj_420 (8 October 2007)

serendip said:


> DJ, your caution is justified, but there is nonetheless an opportunity to capitalize on the economic and geographic strength of the combined companies.  There is not much room for doubt that iron ore customers are scrambling for long-term supply security in the light of forecast product demand growth.  As we have seen with GBG and MMX, Japanese, Korean and Chinese customers are prepared to dip their hands deep into their pockets to fund developments.  European customers must be viewing the current tie-ups with some alarm, and are likely to go down the same path.  GBG-SDL should be well-placed to service both market areas.
> 
> I'm not sure about your capex estimates for SDL.  In May, Don Lewis, MD of SDL, stated that the scoping study performed by Promet Engineers (of Western Australia) had come up with a total capital cost of US$2.46 billion for the mine, rail and port infrastructure.  Has there been an update to this to bring it down to your $1.6 billion?
> 
> Cheers, Serendip




Sorry I thought it was 1.6, my mistake.

Anyways I had a great run on GBG from 60 cents, cant see it going to $2 anytime soon IMO.

Good luck to all longs


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## YNKWRTNC (9 October 2007)

dj_420,
Seems you are strongly defending your decision to sell your GBG shares (as you should) and I’d hate to say it, you mention all the worries that I feel as well.
Africa, too many shares and too far off production – they are the big ones.

2012 is 5 years off and the forecast of ‘middle of next decade’ they talk of is 8 years off. The boom is now, will it last that long?
Bloody SDL too. Cameroon, for f's sake. As stable as Kim Beazley on a tight rope.
And the amount of capital raising to get production to big volumes in 6 to 8 years time means an increase in the amount of shares on the market is inevitable.

It’s a tough one.
Do I be patient and hope it’s not blind faith or do I sell now with a small profit and re-invest on less risk, blue chip, slow growing shares?

The thing stopping me is the ‘Tatts’ ticket chance of GBG paying out big one day.

Anyway, food for thought.


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## Pat (9 October 2007)

I sold GBG too for the same reasons DJ. Too many shares, too much capital needed, and Africa...FFS! Geeze Georgie what are you thinking? Good luck and best wishes.
I for one think buying at 60 cents was a great buy, but selling at $1.90+ would of been better, but we can't complain now can we? Take it and run! All the way to the next runner.


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## gfresh (9 October 2007)

> Do I be patient and hope it’s not blind faith or do I sell now with a small profit and re-invest on less risk, blue chip, slow growing shares?




Like MMX? Thinking this today.. MMX is a lot further along, and already a lot of infrastructure close to being there. 

FMG already nearly there.. so as you say, competition will be fierce once all this gets going. Lately it seems GBG has simply stalled. It may reverse with some a positive, but long-term holders are already losing faith. I'm definitely not so sure anymore, and sold out a couple of weeks back. 

If signals can be shown that it's going to go well past $2.00 anybody can jump back in, but with the massive dillution about to kick in early 2008 - I'd be cautious. One of the great things about GBG originally (and what turned me off SDL) was the relatively low shares on offer. Now that's been shattered.


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## dj_420 (9 October 2007)

There are also reports stating that FMG wants to ramp up production to 200 million tonnes per year. Now I think that would somewhat balance the supply demand seesaw somewhat.

I just think that GBG/SDL combined market cap of 2.4 billion is massive for a company with no earnings.

I was corrected earlier in this thread about capital costs for the Cameroon project, it is 2.46 billion, an additional 400 million is required for Karara, so a combined 2.86 billion (without cost overruns) to _start_ significant amount of production in an iron ore boom that has been going for past several years. Of course its a given that with underinvestment this iron ore boom is set to continue but for how long?

If we do some back of envelope calculations we could say that GBG/SDL would do a placement to get their capital for production. Say a placement at $2.50 in the future, they would need at least a billion more shares, so guesstimate they had 2.5 billion shares on issue before production.

People have compared GBG/SDL to FMG. Say GBG/SDL reached the lofty heights and had a similar market cap of FMG, say 10 billion to be conservative, this would mean a sp of $4. 

Some people will say they wont get the capital by raising that many shares etc etc, but how else will they do it? Sell off more resources and get Chinese smelters more of a percentage. Either way you will dilute the value to shareholders down the line.

Again people are going to argue that they will do a placement much higher than $2.50, but how is the sp going to get past that point when it already capped at 2.4 billion now with no earnings, and the sp is $1.54. 

It really comes down to this, market cap no = $2.4 billion, they need an additional $2.86 billion it will come from

1 - Massive placements
2 - Selling of large percentages of resources

Obviously those calculations are very rough and only hypothesising on what could happen. I would like to see other people's opinions on this.


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## tonza (9 October 2007)

Can someone please confirm that the drilling results for the Lodestone prospect are well overdue? I am surprised that there is no chat regarding this as the Lodestone project supposedly has very similar geological characteristics to the Karara project. Shouldnt this be a highly anticipated announcement as it has the potential to significantly expand Gindalbie's resources? Or have i missed some important news somewhere along the way?


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## YNKWRTNC (9 October 2007)

Tonza,

You are correct. Late July the news from Gindalbie was that they had the upcoming BFS in August (which we saw) and the Lodestone drill results due in the September quarter. The September quarter is July to Sept and we've seen/heard nothing.
There is no reference to the announcement, upcoming or not, on the website just the info on Lodestone that has been there for a few months - see below.
You're not Robinson Crusoe looking for that announcement, many GBG holders were banking on it for another SP push along.
Frustrating and perplexing.
An update on when they expect it out would ease the tension.

This is the only info we have so far, from GBG's website:

"The Lodestone Project is a key exploration prospect located within Gindalbie’s 1,900 square kilometre exploration tenure (100% owned) in the Mid West region of Western Australia. The Lodestone Prospect is located 50km south east of the Karara Project. 

Geological mapping completed during 2007 has confirmed the presence of a large Banded Iron Formation (BIF) some 6km long with a similar magnetic intensity to the Karara magnetite deposit. 

Mapping has confirmed that the aeromagnetic anomaly is associated with multiple BIF units interbedded with shale across a width of 500 metres. Rock chip sampling has also encountered significant areas of hematite-goethite enrichment at surface. 

A first-pass phase of drilling commenced in early July 2007 to investigate the potential of the Lodestone Project to host a Karara-style magnetite deposit (both in terms of in physical dimensions and tonnage) and also to determine the prospectivity of the area for hematite mineralization. 

The prospectivity of the Lodestone Project is encouraging given the geological association and close proximity to the Mount Gibson Extension Hill and Iron Hill Prospects, located some 10km to the south."


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## IOT (10 October 2007)

what does this MMX takeover of MIS mean for us?  Weren't MIS one of the big drivers behind the yilgarn infrastructure ... which GBG was also involved in


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## gfresh (10 October 2007)

My only explanation for the delay, is either they're not that good.. or my other possible was that they are delaying the news of this (and SDL results as well -  just not chip samples) to closer to the end of the year. This would give a fresh favourable opinion in shareholder's minds, closer to the merger vote, and would smooth it through.


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## imaginator (11 October 2007)

There is another stock with the same pattern as GBG. Try looking at Atlas (AGO). It went up the same time as GBG from 0.5, now it's hit 2.2

Anyone know anymore jewels like this that we can still go in and have a good time?


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## mas888moe (12 October 2007)

AGO is a good one. I was thinking of selling some GBG and buying some AGO - if they come down a bit!

When are the lodestone drilling results coming out? I thought they were due in September...


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## nikki (12 October 2007)

there is something odd about sdl and gbg. i have never been a gbg shareholder but i am noticing that gbg is late in releasing lodestone results and sdl is overdue with data about their main samples that had gone to South Africa for testing.

i wonder if these are comming out in the quarterly reports due in october. sdl did that the last time i was expecting them to publish their surface sampling results.


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## Out Too Soon (13 October 2007)

I don't know much abt SDL but GBG is a great all round project. I'm like dj420 tho', I think GBGs' sp has nowhere to go for the foreseeable future. If our fickle market drops the sp tho' & I'm on the ball I will buy GBG again. (Wish I'd had spare cash in August  )


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## nikki (13 October 2007)

Someone in the SDL thread posted the following link on the SDL website. It is the best study i have seen on it and it is post-merger. For those of you who are skeptical of the potential of the SP to go up i assume you are talking short term?

http://www.sundanceresources.com.au/...26_Sept_07.pdf.


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## Surly (18 October 2007)

GBG is now 2 x SDL + 4-5cents out from previous 2 x SDL +1-2cents

Any thoughts on why this gulf is growing? 

cheers
Surly


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## ta2693 (18 October 2007)

GBG's price looks very dangerous. JM are selling despite the persuading Post merge report on SDL's website. It is very very suspicious. I am afraid it is not a good sign. I post a chart for your reference.


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## nikki (18 October 2007)

ta2693, i agree that for short and medium term holder the SP is looking dangerous.

sdl has support and resistance around 0.7 and it could drag gbg with it to a price of 1.4 + 

i suspect many stops will kick in for gbg holders if it goes below 1.475 but given sdl support @ 0.7 they might get stung.


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## the barry (19 October 2007)

Where are the drill results from lodestone? Anyone heard anything or have any ideas? Were meant to be out in the 3rd quarter but nothing, all has gone quiet of late from gbg.


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## YNKWRTNC (19 October 2007)

Baz,
Here's the conspiracy theory -
Georgie is holding off all positive announcements for both GBG and SDL.
The market loses a little faith, the share price drops over a few weeks, he then buys in for million or so shares at $1.50 or below (or SDL @ 70C).
Out come the ann's, SP goes to $1.80 and beyond, Georgie is chuckling in his large leather chair and the plebs are none the wiser.

You Never Know What's Round The Next Corner


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## the barry (19 October 2007)

YNKWRTNC said:


> Baz,
> Here's the conspiracy theory -
> Georgie is holding off all positive announcements for both GBG and SDL.
> The market loses a little faith, the share price drops over a few weeks, he then buys in for million or so shares at $1.50 or below (or SDL @ 70C).
> ...




Im not concerned by the share price drop as I have been in for a while now and am still up on my holdings, am actually thinking about loading up on some more sdl for long term gbg exposure as their is a small arbitrage opportunity there at the moment. Am just hoping for an early christmas present and getting impatient waiting for the drill results.


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## Out Too Soon (19 October 2007)

nikki said:


> Someone in the SDL thread posted the following link on the SDL website. It is the best study i have seen on it and it is post-merger. For those of you who are skeptical of the potential of the SP to go up i assume you are talking short term?
> 
> http://www.sundanceresources.com.au/...26_Sept_07.pdf.




just short term, will be huge eventually- all a matter of timing or patience

PS: I have no patience it would seem.


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## michael_selway (19 October 2007)

Out Too Soon said:


> just short term, will be huge eventually- all a matter of timing or patience
> 
> PS: I have no patience it would seem.




Maybe a bit expensive atm

*Earnings and Dividends Forecast (cents per share) 
2007 2008 2009 2010 
EPS -0.7 -0.5 8.5 9.4 
DPS 0.0 0.0 0.0 0.0 *

thx

MS


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## EZZA (22 October 2007)

just bought another batch at 1.43 treated the correction as a buying opportunity.
believe this is an overreaction with 20th anniverisary of 87 crash, and sub prime issues that have been around for months. don't think the fundamentals have really changed.


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## nikki (22 October 2007)

EZZA said:


> just bought another batch at 1.43 treated the correction as a buying opportunity.
> believe this is an overreaction with 20th anniverisary of 87 crash, and sub prime issues that have been around for months. don't think the fundamentals have really changed.




i agree re the fundamentals - the US is going into a recession, does not buy much of our iron ore anyway, and CVRD has that market anyway


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## YNKWRTNC (23 October 2007)

Let's hope it's the lowest of the low for GBG's SP.
Yesterday's drop just a reaction to the U.S but regardless, iron ore stocks have had a huge 2 months except Gindalbie. MMX, MIS, MGX, AGO, GRR, BCI, AGO, all going north very fast.
Only 1 iron ore stock (of similar ilk to GBG) is remaining under $2. That's BCI. They're $1.85, still 40c higher. AGO and MGX were the same SP as GBG
just 2 months ago, now they are $2.54 and $2.62 respectively, more than a dollar higher. 
Such is life I guess but very stiff to be on a great potential stock that cops this merger hiccup amid a boom period.
Production being so far away doesn't help but SP not moving reeks of the merger worries for investors.


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## imaginator (24 October 2007)

YNKWRTNC said:


> Let's hope it's the lowest of the low for GBG's SP.
> Yesterday's drop just a reaction to the U.S but regardless, iron ore stocks have had a huge 2 months except Gindalbie. MMX, MIS, MGX, AGO, GRR, BCI, AGO, all going north very fast.
> Only 1 iron ore stock (of similar ilk to GBG) is remaining under $2. That's BCI. They're $1.85, still 40c higher. AGO and MGX were the same SP as GBG
> just 2 months ago, now they are $2.54 and $2.62 respectively, more than a dollar higher.
> ...





GBG and SDL going into trading halt. Does anyone know what is going on this time? Let's hope it's good news.....


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## bigdog (24 October 2007)

GBG  	10:35 AM  	Trading Halt
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00773326

 imaginator:-  the news is reported on page 2

Gindalbie Metals Ltd (ASX Code: GBG) requests a Trading Halt on its securities pending the release of an announcement regarding the proposed merger with Sundance Resources Limited.

The Company is not aware of any reason why the Trading Halt should not be
granted.


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## AussiePaul72 (25 October 2007)

bigdog said:


> GBG  	10:35 AM  	Trading Halt
> http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00773326
> 
> imaginator:-  the news is reported on page 2
> ...




Hi All,
What news could this be in regard to the proposed merger with Sundance Resources? Can't say i was expecting an announcement in regard to the merger at this point in time ..... anyone have any idea what this might be in reference to??? and why would there be a trading halt in regard to this merger news? Am i missing something or is this out of the ordinary and unexpected?
I'm a holder of only GBG now and waiting in anticipation!!


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## imaginator (25 October 2007)

What's gonna happen to GBG and SDL?
Probably GBG will go up, while SDL will go down cos SDL only went up to $0.8 because of merger rumours and talk. While GBG was like 1.8, after the stupid merger talks, it never reached 1.8 anymore. Hopefully this time GBG will go above 1.8 at long bloody last!


------------------------------------------------------------------
DJ Gindalbie, Sundance To Shelve A$2.4 Bln Deal - Report

25/10/2007 09:24AM AEST 


PERTH (Dow Jones)--Gindalbie Metals Group (GBG.AU) and Sundance Resources (SDL.AU) are set to scrap their A$2.4 billion iron ore merger, a report in The West Australian newspaper said Thursday. 

The two Perth-based companies, both chaired by former Portman Ltd. (PMM.AU) chief executive George Jones, are expected to confirm the end of merger talks as early as Thursday morning, the newspaper said, without providing the source of its information. 

Shares in both companies were placed on trading halts Wednesday, with both having fallen more than 9% since the deal was announced a month ago. 

Investors are worried about the logic of merging Gindalbie's relatively advanced Western Australian iron ore projects with Sundance's early-stage Cameroon venture, the report added. 

When he unveiled the deal in September, Jones said the expanded company would enjoy better access to debt and equity markets, with the merged entity planning to have five major projects under construction in the next five years. 


-By Sydney bureau; 61-2-8235-2950; djnews.sydney@dowjones.com


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## YNKWRTNC (25 October 2007)

Like waking from a nightmare and feeling that huge relief that none of it was true. 
We are officially free of the SDL hand brake holding us back.
Lodestone initial drill results due out before the end of the month (that's next week!).
Better days ahead for GBG holders.


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## bigdog (25 October 2007)

ASX ANN
*GBG  	10:08 AM  	   	Gindalbie and Sundance agree not to proceed with Merger*
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00773929

No doubt reason for SP currently +$0.155   	  +10.44%
 GBG   	$1.64  	   	  +$0.155   	  +10.44%   	  	 high of $1.66  	 $1.58  	 6,160,223 shares  	 $9,992,154 @ 	 25-Oct 12:43:45

Gindalbie Metals Ltd (ASX: GBG - "Gindalbie") and Sundance Resources Limlted (ASX: SDL - "Sundance") today advised that
the Boards of both companies have decided not to proceed with the proposed merger announced on 24 September 2007.

The decisions follow due diligence undertaken by the companies and consideration of extensive feedback received from
shareholders in both companies. The due diligence process remains subject to confidentiality provisions.

Commenting on the announcement, Mr George Jones, who is the Chairman and a shareholder of both Gindalbie and Sundance,
said: "Although I am disappointed with the decision of the respective Boards not to proceed with the merger, I would like to
express my full support for both Boards and management teams and my strong belief in the quality of the iron ore projects being developed by both companies".

"Both Gindalbie and Sundance clearly have excitlng projects which the respective companies can look forward to developing
and which will, I believe, continue to underpin strong growth in shareholder value," Mr Jones added.

Gindalbie's Managing Director, Mr Garret Dixon, said: "While the companies have agreed not to pursue the proposed merger, the Gindalbie Board remains fully committed to growing the Company through development of the Karara Iron Ore Project and other opportunities. We have a substantial resource at Karara and the development of our hematite and cornerstone magnetite projects remains the Company's first priority."


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## juw177 (25 October 2007)

YNKWRTNC said:


> Lodestone initial drill results due out before the end of the month (that's next week!).
> Better days ahead for GBG holders.




Hi there. How do you know it is due before the end of month? Didn't they delay releasing the results before?


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## YNKWRTNC (25 October 2007)

juw177 said:


> Hi there. How do you know it is due before the end of month? Didn't they delay releasing the results before?




I emailed Gindalbie, they replied same day. The September quarter figures are due next week, including the initial drill results of Lodestone.

P.S. SDL down 17% ATM, the reason for our frustration has just taken a big dive!


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## juw177 (25 October 2007)

Yes. The price action today speaks for itself. 1 GBG for 3 SDL is more like it. I wonder how they came up with 1 for 2.


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## AussiePaul72 (25 October 2007)

Ahhhhh don't you love it when you have a win every now and again!!
I held both GBG and SDL when they announced the merger. I sold out completely of SDL on its last surge to 80c and did very nicely. It was a toss up whether to sell SDL or GBG but i'm so pleased i went the way i did seeing the result of todays announcement. Obviously the market & GBG holders felt that the merger at this point in time was a constraint on the advancement of GBG.
I'm quietly excited about where GBG might go from here. I must say that i do feel a lot more comfortable with GBG now having all their resources on shore in a safe country like Australia. A number of iron ore companies over in the west have been on a SP surge (eg. AGO) and maybe now we will see GBG join the trend. Today's surge is very encouraging up nearly 9% at present. GBG may be much more appealing to those investors looking to invest in aussie only resources. This together with Lodestone results due soon might make us in for some exciting times ahead. DYOR


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## YNKWRTNC (25 October 2007)

AussiePaul72 said:


> Ahhhhh don't you love it when you have a win every now and again!!
> I held both GBG and SDL when they announced the merger. I sold out completely of SDL on its last surge to 80c and did very nicely. It was a toss up whether to sell SDL or GBG but i'm so pleased i went the way i did seeing the result of todays announcement.




Great stuff Paul!
Don't you love the market when you can pull something like that off.
Many GBG holders are ecstatic the merger fell through.
Hopefully we can catch AGO and MGX who are $2.51 and $2.79 respectively. They were the same price as GBG 2 months ago.
Next week should be a good one.


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## chansw (25 October 2007)

*Gindalbie, Midwest projects at risk *
25-October-07 by Mark Beyer

http://www.wabusinessnews.com.au/en-story/1/57946/Gindalbie-Midwest-projects-at-risk-

Gindalbie Metals Ltd and Midwest Corporation Ltd could be the losers from a state government review of the Mid West, which has endorsed the big iron ore projects planned for the region but put a question mark over several others.

The review, announced yesterday, states that the government has a "predisposition" to development of most of the Mid West's large iron ore deposits, including at Jack Hills, Weld Range, Tallering Peak, Yalgoo and Wiluna West.

The review also favours the development of identified magnetite ore bodies in the south west section of the Karara / Mungada / Blue Hills area.

This is good news for Gindalbie's $1.6 billion Karara iron ore project, which the company is keen to proceed with following completion of a bankable feasibility study in September.

However the sting in the tail is that "the Government is not predisposed to the extraction of the hematite deposits of the area".

This puts a question mark over Gindalbie's $94 million Mungada hematite project, which the company wants to develop following completion of the bankable feasibility study.

Gindalbie has been targeting first production at Mungada in the first quarter of 2009, with the mine set to provide early cash flow for Gindalbie and its partner, China's Ansteel, in the lead up to commissioning of the much larger Karara project in 2010.

Gindalbie managing director Garrett Dixon said the company did not agree with the negative interpretation, but was seeking clarification.

"There are a few things that could be read in different ways," he said.

Midwest Corp noted the government's predisposition towards development of Jack Hills and Weld Range, where it has proposed projects.

"In relation to the expansion program of Midwest's Koolanooka / Blue Hills direct shipping project, the government's strategic review suggests that the government's predisposition is not to support hematite projects at Koolanooka and Blue Hills but that each project will be considered on a case by case basis," the company said.

"In light the minimal environmental impact of the Koolanooka / Blue Hills direct shipping project, which involves mining previously mined pits, and the economic benefit that it would bring to the communities of Morawa and Perenjori, the company will continue the process of seeking environmental approval of the project."

The Association of Mining and Exploration Companies said the review provided some degree of direction for the future of the State's iron ore industry but also left questions unanswered. 

"It's good that we've now got the Review's Executive Summary and proposed State Government actions, and they do provide some direction for the State's iron ore industry," AMEC's Policy and Public Affairs Manager Ian Loftus said.

"Serious uncertainty remains, however, in relation to which particular mining and exploration tenements will be impacted and which companies will be affected. 

"It looks like a number of mining companies will have their future potential operations curtailed or even denied, so it's likely that some companies, their shareholders, and their workers won't be happy," said Mr Loftus.

"The creation of additional conservation estate, as detailed in the review, is undoubtedly linked to the ongoing conversion of pastoral leases by the State."

He added, "we'd now like to see the fine details of the Review so that the full impacts can be assessed by the whole community."

"On a final note, I'd like to extend thanks to the hard-working public servants in the Environment and Resources Departments that have worked very hard to complete the Review," said Mr Loftus.


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## bigdog (29 October 2007)

SDL ASX ANN today

29/10/2007	SDL: Clarification of Speculation on Termination of Merger
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00775413

*CLARIFICATION OF SPECULATION ON TERMINATION OF MERGER*

Subsequent to the announcement on 25 October 2007 of the decision by each of the Boards of Sundance Resources Limited (ASX: SDL) and Gindalbie Metals Limited (ASX: GBG) not to proceed with the proposed merger of the companies, there has been considerable speculation regarding the payment of a A$15 million break fee and the recommendations of the Independent Expert.
Sundance would like to clarify both points as follows:

1) NO break fee is payable by Sundance as a consequence of the decision by Sundance and Gindalbie to terminate the merger; and 

2) NO report was completed by, nor any recommendation received from, the Independent Expert. The Independent Expert was engaged by Sundance to report on whether the proposed merger by way of Scheme of Arrangement was in the best interests of Sundance shareholders. The Independent Expert had no role in undertaking due diligence investigations into Sundance or Gindalbie.

read full ann for more info


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## the barry (29 October 2007)

Lodestone results due out Wednesday, Share price now unburdend by the SDL merger fiasco. Will sentiment again turn Bullish on this stock

Juniors such as AGO have seen their share price surge to around the $2.50 dollar mark. Are they overinflated or will GBG now play catch up football and see share price growth?

Positive Lodestone results should light a fire under the share price.

I await eagerly the anoouncement of the results on Wednesday.

Thoughts?


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## kevien (29 October 2007)

GBG ran very well at first, I was watching this morning and the highest today was 1.77. what happened in the afternoon, green turned into red?


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## bliimp (30 October 2007)

the barry said:


> Lodestone results due out Wednesday, Share price now unburdend by the SDL merger fiasco. Will sentiment again turn Bullish on this stock
> 
> Juniors such as AGO have seen their share price surge to around the $2.50 dollar mark. Are they overinflated or will GBG now play catch up football and see share price growth?
> 
> ...




Did GBG announce that the Lodestone results will definately be out Wednesday? ... can't seem to find anything conclusive.


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## adobee (30 October 2007)

bliimp said:


> Did GBG announce that the Lodestone results will definately be out Wednesday? ... can't seem to find anything conclusive.




I cannot find any statement that says this either ?
Please confirm if this is correct ? ......................


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## Da Cat (30 October 2007)

After a quick read through previous reports, I too have failed to come across any set date or timeframe for the release of Lodestone results.

The following is from the Quarterly released in July:

Lodestone Prospect

"A first-pass phase of drilling commenced in early July to investigate the potential of the deposit to host a Karara-style
magnetite deposits (both in physical dimensions and tonnage) and also to determine the prospectivity of the area for
hematite mineralisation."

"Drilling commenced at the Lodestone Prospect, 50km south east of Karara,
targeting both magnetite and hematite mineralization. Phase 1 drilling
scheduled for completion in the September Quarter 2007. Significant areas of
hematite–goethite enrichment were encountered in rock chips over Lodestone."

This may be the source of expectation that results are due soon. However, the annual report from last week states otherwise...:

"A key exploration focus during the year was the
Lodestone Project, which has been identified as a
priority exploration target for both magnetite and
hematite with many geological similarities to Karara.
Drilling commenced at Lodestone during the September
2007 Quarter"

Presumably there has been delays of some kind leading to the drilling starting/completing later than first reported. It does seem odd that the company would report that drilling has "started/commenced" in two quarters . Nevertheless, if the company's focus is on further development of Mungada resource at the expense of fast tracking drilling on a separate project, that is fine by me.


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## the barry (30 October 2007)

The annual report does suggest delay with driling commencing in September. I 'm sorry for suggesting the results would be out at the annual meeting, I'm sure i read that but must have been mistaken.
Not a great day for the share price. I topped up yesterday on the idea that results would be out on Wednesday.

I would like to see some form of positive announcement to fire up the share price as i ignored ago and others because i beleive in the gbg story.

I thought the proposed merger with SDL was the major reason for the lagging share price and it would be green streets ahead.

I hope we get something positive out of the General meeting tomorrow.


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## tonza (30 October 2007)

Please correct me if I'm not talking about the same meeting but I believe the AGM is not until the 28th of November.


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## tonza (30 October 2007)

YNKWRTNC said:


> I emailed Gindalbie, they replied same day. The September quarter figures are due next week, including the initial drill results of Lodestone.




Sorry for the double post. This post was made on the previous page (on the 25th of Oct.) and may provide some clarification as to when the Lodestone drilling results are being released. The Lodestone drilling results, provided they are good, have the potential to be a pivotal moment for GBG.


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## the barry (30 October 2007)

tonza said:


> Please correct me if I'm not talking about the same meeting but I believe the AGM is not until the 28th of November.




Your correct. I'm having an amazingly off week. If anyone has any indication of when the lodestone results are due, it would be most appreciated.


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## bigdog (31 October 2007)

ASX ANN after close today

31/10/2007		Quarterly Activities Report
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00777790

*HIGHLIGHTS FOR THE SEPTEMBER 2007 QUARTER*

*KARARA IRON ORE PROJECT (ANSTEEL EARNING A 50% INTEREST)*
Mungada Hematite Project
• Resource estimation for the hematite project completed resulting in a Resource of 27.1 million tonnes at 61.7% Fe. Reserve calculation completed resulting in a product inventory of 14.3 million tonnes at 61.5% Fe.
• Bankable Feasibility Study completed resulting in a 6 year life project delivering 3 mtpa of ore and A$184 million LOM free cash flow. This produces a NPV10% of A$79.6 million and IRR of 27.5%.
• New Hematite prospects at BH7 discovered in the regional exploration program.
• Final draft of the Public Environmental Review document submitted to the EPA. Public review scheduled to commence in November 2007.
Karara Magnetite Project
• Reserve calculation completed for first 25 years of operations resulting in an initial Probable Ore Reserve of 497 million tonnes grading 36.3% Fe
• Iron Ore Concentrate of 197 million tonnes grading 68.2% Fe estimated to be contained within the initial Ore Reserve.
• Bankable Feasibility Study completed resulting in a 25 year project delivering 4 mtpa of concentrate and 4 mtpa of pellets. Financial outcomes of the BFS include a NPV9% of A$2.25 billion, IRR of 24.6% and IRRE of 37.5%. Cashflow over the 25 year life totals A$9.3 billion.

*REGIONAL IRON ORE EXPLORATION (GINDALBIE 100%)*
• Phase 1 drilling completed at the Lodestone Prospect, 50km south east of Karara. Better results include
273 metres @ 33.9% Fe from 80 metres
144 metres @ 32.9% Fe from 104 metres
156 metres @ 35.2 % Fe from 92 metres
• Initial DTR test work indicates a concentrate ranging from 65% to 70% Fe and 3.5 to 8.0% SiO2 can be achieved.
• Drill results and DTR results confirm a very large body of magnetite BIF is present at Lodestone which is amenable to standard magnetite separation and concentration processes.
• Further drilling of the eastern limb of the deposit is planned for the coming quarters.

*CORPORATE*
• Cash reserves at 30 September of A$59 million.
• Share Subscription Agreement with Ansteel finalised following receipt of all necessary Chinese regulatory approvals. 65 million shares issued at 60 cents each to raise $39 million.
• Joint Venture Development Agreement for the Karara Magnetite Project and Mungada Hematite Project signed with Ansteel in September in the presence of the President of The Peoples Republic of China and the Prime Minister of Australia


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## greenfs (31 October 2007)

bigdog said:


> ASX ANN after close today
> 
> 31/10/2007		Quarterly Activities Report
> http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00777790
> ...




Hmmm. Will be real interesting to see which way the sp moves tomorrow. Anyone like to hazard a guess?


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## Archa (1 November 2007)

'The Lodestone Prospect consists of a Banded Iron Formation (BIF) that is about 6 kilometres long, with a similar magnetic intensity to the Karara magnetite deposit (Figure 7). Mapping confirmed that the aeromagnetic anomaly is associated with multiple BIF units interbedded with shale across a width of 500 metres.'


Karara indicates iron ore concentrate 190m tonnes at 68% Fe grading in initial ore.

Mungada 27m tonnes (+ reserve 14m tonnes) at 61% Fe.

Extracting key parts of the quarterly, the way I read Lodestone is: 

Lodestone magnetite deposit reported as 6km long, 500metres wide, similar magnetic intensity to Karara, average interval reported at Annex B is 51metres. Using a very basic 1metre cubed = 1 tonne (which it doesn't, it is more) and extrapolating these figures that's 150m tonnes concentrate at 65-70% Fe over the 6km strike. 

The drilling to date has confirmed the continuity of the ore body with a width of 150-250 metres (say 200m average), strike of 4 kilometres, and average interval 51metres; that's 41m tonnes confirmed. 

Further results are awaited from the eastern side which is more prospective, and the drilling program will continue over the next 2 quarters.

This is very agricultural, happy for anyone to show us how to work the numbers better.


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## serendip (1 November 2007)

Archa, thanks for that assessment.  There are a couple of other factors which, I believe, make the net result look somewhat better. 

The Karara orebody averages around 35% Fe, meaning that it is better than 50% magnetite.  Let's assume 50%, to be reasonably conservative.  Magnetite has a specific gravity of just over five, meaning that one cubic metre weighs about 5.1 tonnes.  The volume at Lodestone outlined to date (4 km strike, average 200 m width, and average 50m drilled interval thickness) is therefore 40m cubic metres, or at least 100 m tonnes of magnetite, containing about 65 m tonnes of iron metal.  If the geology ends up anything like Karara (and the indications are that it is quite similar), then the orebody would be expected to continue to much greater depths than 50m.  (Karara appears to go to at least 600m)

Add to that the highly prospective eastern arm, which has yet to be drilled, and it is not hard to surmise that this orebody could contain many hundreds of millions of tonnes.

GBG will be shipping ore for a long time.

Cheers,  Serendip


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## imaginator (1 November 2007)

What's GBG share price doing? 

The long awaited report is out yesterday. 

ASX is at all time high today.

I didnt see much movement.


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## YNKWRTNC (1 November 2007)

imaginator said:


> What's GBG share price doing?
> 
> The long awaited report is out yesterday.
> 
> ...




Unless you're a long term holder of this stock (sitting on large profits), now is as good a time as any to sell up and invest in stocks that will at least move north with this strong market.
The Lodestone anti-climax initial drill results seem to have been factored in to the SP, which makes sense, considering the awareness of it happening.
There are the EPA problems to get past and huge infrastructure to set up.
Production a long way away.
Could be a great stock again when all is a bit clearer? 
With the iron ore stocks flying high, the old GBG has been left anchored to mid $1.50's.
This all of course my opinion only.
Good luck to all.
You Never Know What's Round The Next Corner


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## bigdog (7 November 2007)

ASX ANN today

Market liked the ANN
GBG   	$1.615  	   	  +$0.105   	  +6.95   	high of $1.64    	 1,297,210 shares 	 $2,079,117 @ 	 07-Nov 11:13:25

07/11/2007	New High Grade Magnetite Discovery at Karara
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00780182

7 November 2007
*NEW HIGH GRADE MAGNETITE DISCOVERY AT KARARA*

*KEY POINTS*
• Extensive high-grade magnetite mineralization identified at depth beneath BH2 hematite deposit.

• Davis Tube testwork on this material produces a DR quality magnetite concentrate grading +70% Fe and 2% SiO2.

• Results confirm the Company’s view that the Karara hematite deposits comprise nearsurface supergene ore, marking areas of high-grade magnetite enrichment at depth.

• Ongoing drilling underway to further test this style of mineralization.

• New geological model being applied across the Karara Iron Ore Project, with potential to delineate substantial additional resources of high-grade magnetite.


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## AussiePaul72 (7 November 2007)

bigdog said:


> ASX ANN today
> 
> Market liked the ANN
> GBG   	$1.615  	   	  +$0.105   	  +6.95   	high of $1.64    	 1,297,210 shares 	 $2,079,117 @ 	 07-Nov 11:13:25
> ...




I thought there may have been numerous comments and posts on this thread today about the announcement ...... where are you all?
In my opinion i thought todays news was unexpected but a very good and positive announcement. It has the potential to significantly increase the resource size and from the little bit that i understand about the grades, may get a premium in the market for this new resource. Someone else may be able to better explain the implications of these grades to me???


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## EZZA (8 November 2007)

this doesn't really make much sense to me, gbg has had a positive announcement yesterday with finding high grade ore with more upside.
with such a large resource base and jv signed up, i don't understand why gbg is still getting hit so hard.  imo i think this stock is undervalued, seems to be ranging between 1.50 to 1.60 at the moment.


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## imaginator (8 November 2007)

EZZA said:


> this doesn't really make much sense to me, gbg has had a positive announcement yesterday with finding high grade ore with more upside.
> with such a large resource base and jv signed up, i don't understand why gbg is still getting hit so hard.  imo i think this stock is undervalued, seems to be ranging between 1.50 to 1.60 at the moment.




You're telling me 

Perhaps people don't know yet, because yesterday there were 2 announcements, 1 for the director exercising his options, another for the report...


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## Sean K (8 November 2007)

imaginator said:


> You're telling me



Gents, GBG has trippled in 6 months. Just a little better than in the bank! Looks like some nice consolidation to me. Anyone got a FA valuation on it?


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## doctorj (8 November 2007)

kennas said:


> Gents, GBG has trippled in 6 months. Just a little better than in the bank! Looks like some nice consolidation to me. Anyone got a FA valuation on it?



I'll try to get the time to give it a crack this weekend.  I probably have some models for other companies that can be tweaked pretty easily.  

My BMN model is still looking pretty good


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## Frankhalo (8 November 2007)

EPA approvals pending, US markets up the you know what, not producing for a while yet, SDL merger rubbish.... we will be going sideways for sometime. I also believe Gindalbie doesnt promote itself well, their powerpoint year 10 presentations are a joke and there web site could use a bit of FMG flair IMO. Still great company with massive future, product and team, just need to ride the bumps for a while.


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## greenfs (15 November 2007)

The last couple of ann are + but it is not helping the sp much. Still, we all know that this is going to take time and in the long haul the only direction for the sp is up.


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## EZZA (17 November 2007)

seems to me all the focus is on the big players, particularly with all the volatility.  bhp rio, fmg, zfx, and jms, all very active.

while the jnrs aren't getting much love. tempted to get more but this is my largest holding in portfolio, don't really need anymore


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## Surly (20 November 2007)

http://www.asx.com.au/asxpdf/20071120/pdf/315xs6zhfld0gx.pdf

I don't think it says much thats new but its a good summary of the present position.

cheers
Surly


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## kevien (21 November 2007)

I just don't understand the fundamentals look not bad, but why the price is so disappointing.....


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## greenfs (21 November 2007)

kevien said:


> I just don't understand the fundamentals look not bad, but why the price is so disappointing.....




Probably nothing more than an over supply of sellers in a weakening market. You will have no roblems with this one in the long haul


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## hangseng (21 November 2007)

greenfs said:


> Probably nothing more than an over supply of sellers in a weakening market. You will have no roblems with this one in the long haul




I agree

Also look at the history of GBG in the last 12mths it is a very volatile stock (to state the obvious). In this market I would not be surprised for GBG to go back to 1.25 then bounce hard. GBG for me is approaching a strong buy level when the market settles, not just yet though.


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## mayk (22 November 2007)

I am tempted to sell my lml holdings and buy gbg ( and bhp  ). I was waiting for market correction for a long time but now I do not have any cash and most of my portfolio is in red ( with potential like GBG )  . 

I think once the santa claus rally will show its head this stock can go towards $2.0. 

Uptill now only good news are coming from this stock.. but the market is punishing it


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## the barry (22 November 2007)

mayk said:


> I am tempted to sell my lml holdings and buy gbg ( and bhp  ). I was waiting for market correction for a long time but now I do not have any cash and most of my portfolio is in red ( with potential like GBG )  .
> 
> I think once the santa claus rally will show its head this stock can go towards $2.0.
> 
> Uptill now only good news are coming from this stock.. but the market is punishing it




I was fortunate to pick the down trend on this one and sold out 50 percent of my holdings and placed them in more "defensive" stocks to take advantage of the downturn and then reinvest the cash back in gbg. Was a great plan expecpt that the stocks i invested in have gone down just as much. we live and learn


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## the barry (22 November 2007)

Another bad day overseas and the bottom will really fall out of this one. Will be some good buying soon.


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## nikki (22 November 2007)

any chartists out there.

did GBG break resistance today? MGX doing the same??

i must admit, i do not hold GBG but want to and am looking for an entry - any ideas given where the market is currently?


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## Out Too Soon (22 November 2007)

nikki said:


> any chartists out there.
> 
> did GBG break resistance today? MGX doing the same??
> 
> i must admit, i do not hold GBG but want to and am looking for an entry - any ideas given where the market is currently?




I don't hold at present but I just put in a buy at the lowest point reached in August. Some brave ppl made a lot of money out of that August dip.


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## daggs (24 November 2007)

I was one of those brave (cough, lucky) ones to buy @ .84 in august.
One of the highlights of my short trading career.
has been hard watching the slide over the last month, due mainly to the state gov,s negetive view on the hematite operations that were expected to bring early cash flows to GBG.
I think long term this is only a hiccup though and as the govt works through the technical issues with the company there is a good chance of this issue being resolved in the company's favour (IMO). 
This comment from CEO Garret Dixon on the issue;

There are a few areas in the report which we are currently working through with the Government, in particular the comments with respect to the development of the hematite and magnetite projects. I think the most important thing to emphasise is that both the hematite deposits at Mungada and the magnetite deposit at Karara actually form part of the same project and it’s the total Karara Iron Ore Project that we are pushing very hard to develop. Overall we are encouraged by the very strong support the Government has shown for iron ore mining in the area and in particular the support for our Karara Iron Ore Project.
At a technical level, it should be noted that hematite and magnetite don’t occur separately and, while we refer to the hematite and magnetite components separately, they are in fact part of a large, integrated iron ore project. Geologically, the mineralisation is closely related and often both styles of deposit will occur as part of the same broader geological structure – as our recent drilling at Karara has highlighted.

I will be holding for some time yet as I think there will be a good flow of news over the next couple of years regarding development of infastructure (including Okajee) and resource upgrades.


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## mayk (27 November 2007)

Can someone elaborate on the state government and GBG tussle and let us know if the reason behind the current downfall is that? ( apart from US stock market volatility)..

I want to increase my holding of gbg but not sure if it has hit its bottom yet?


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## imaginator (28 November 2007)

Hi all,

what's this announcement today?

Kennas or someone, can you do a updated analysis on ol GBG?
Seems like many people are getting tired...


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## Surly (28 November 2007)

This is from the CEO Project update announcement today. 

"Gindalbie is undervalued
compared to its market peers
for the size of its in-ground
resource
• Iron ore companies are
carrying an average market
value of $11.50 per resource
tonne
• Gindalbie is valued at just $5
per resource tonne, meaning it
has excellent upside potential"

and

"• Reserve will produce 197 million tonnes concentrate at an average
grade of 68.2%Fe, 4.7% SiO2 from DTR model"

Gives 134,354,000 tonnes x $5 = $671.7m for Kararra

Can someone please confirm the calculation for me and does this rating at half the average simply reflect Ansteels half ownership of the resource?

cheers
Surly


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## mayk (29 November 2007)

*Gindalbie Metals targets future growth through acquisitions*

http://www.livenews.com.au/Articles...ls_targets_future_growth_through_acquisitions


I wonder who they might actually target next? Can someone shed some light on the possible takeover targets. I just hope they make some sensible decision this time. SDL was not bad an option but the different country scenario is difficult to accomodate.


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## greenfs (29 November 2007)

They probably do not have to merge with anyone so long as they keep finding the stuff in the ground as per this morning's beautiful announcement


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## bigdog (29 November 2007)

The ASX ANN details were:

SP just up today!!!
 GBG   	 $1.37  	   	  +$0.015   	  +1.11%   	 high of  	 $1.425 low of   	 $1.37  	 1,945,699 shares 	 $2,720,668 @ 	 29-Nov 11:47:30

29/11/2007	High Grade Hematite Discovery on Warriedar JV
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00789038

 HIGH GRADE HEMATITE DISCOVERY AT SHINE PROSPECT ON WARRIEDAR JOINT VENTURE 

*KEY POINTS *

• Phase 1 RC drilling program completed over Shine, Gap and Lister Prospects on Warriedar Joint Venture ground with Royal Resources Ltd  

• Drill Results from the Shine Prospect include:  
-- Hole SNC 002 60 metres @ 62.6% Fe from 59 metres 
-- Hole SNC 005 27 metres @ 63.1% Fe from 55 metres 
-- Hole SNC 008 22 metres @ 63.9% Fe from 44 metres   

• Assay results are pending from Gap and Lister Prospects  

• Results confirm the Company’s view that the hematite outcrops mark underlying  DSO grade iron ore at depth  

• Phase 2 drilling program planned and approved pending return of all assay results


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## kevien (29 November 2007)

good announcements but very bad sp response. what's wrong with the market????? I just do not get it. The market sentiment is against GBG.........


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## AussiePaul72 (29 November 2007)

Yes it was a strange reaction to a GOOD announcement. SP was initially up but then sold down during the course of the day to finish down 5%.

The news was good with very encouraging drilling results from the Shine prospect on the Warriedar JV (60% GBG). Also, the surface outcrop of the hematite enrichment extends a further 200m north into a tenement held 100% by GBG.

Drilling is also completed and assay results pending from the Gap and Lister Prospects also located on the Warriedar JV.

I can't help but think that GBG is a good buy at present below $1.30. I am considering topping up my holding as i can't see any reason that GBG will remain at this level for too long. What do other holders and watchers think?? DYOR


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## shoobag (1 December 2007)

My own view is that the June/July 08 date for Financing is the next critical date. If GBG pulls it off then its all good and the market should regain the lost confidence it currently has. The reverse is also true.

I'm hoping it's the former as I've been a GBG fan for a while.:


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## nikki (1 December 2007)

does anyone know how you buy stocks after the market has closed.

i noticed that someone bought $150K worth of GBG after the market had closed (around 6 pm).

i also noticed that around exactly the same time someone bought $150K worth of SDL.

i am sure there is nothing in this but i am now very curious as to who can buy after hours and why - institutions???


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## Wysiwyg (1 December 2007)

nikki said:


> does anyone know how you buy stocks after the market has closed.
> 
> i noticed that someone bought $150K worth of GBG after the market had closed (around 6 pm).
> 
> ...




On my 3.00p.m. to 3.10p.m. perusal i noticed  two 100k + bids come in with one pulling out before execution.This does not mean that the s.p. will rise but worth keeping an eye on.(now i spoiled it ) the post 3.00 p.m. activity you mentioned is shown below.(oops 4.00 p.m. for southern staters)


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## Miner (1 December 2007)

Friends

for those who have not read latest Eureka report. One of the effects of Rio BHPB Merger has been advised as bad days for GBG. Current recommendation is SELL. Same author has asked to Sell AGO and few other magnetite producers. I am not sure if the intention was to ramp up and the effect of BHPB Rio to get materialised probably at least 6 months.
Just mentioned to share in this forum. I can print Eureka Report but can save it . Scanning will result pretty large volume document to be attached. Any one can get this report for 4 weeks free trial any way. www.eurekareport.com.au 
Regards

Miner


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## shoobag (2 December 2007)

Yeah

The Eureaka report journo must be a tosser. I can really see the Chinese backing out of their magnetite positions and welcoming RIO/BHP with open arms.

C'mon Charlie Aitken give us your view


----------



## Frankhalo (2 December 2007)

At the end of the day RIO / BHP does not come into play considering Gindalbies JV with Ansteel in position. With a high profile rep from Ansteel now on the GBG board I can only see movement foward EPA approvals pending of course on the smaller operations, Karara I firmly believe is fine in this regard. Should the smaller mine Mungada not proceed Karara will be fast tracked IMO, thats a win, win for all holders, this is the baby we want up and running ASAP. Disapointing last month but the future is still brighter than ever.

Regards

Frank


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## habs (2 December 2007)

just found the report on the bc iron web site 

http://www.bciron.com.au/images/stories/media_articles/eureka_report_-_tim_treadgold_-_30.11.07.pdf

interesting all the same....


----------



## bigdog (7 December 2007)

ASX ANN today

 07-12-2007 11:42 AM  	 GBG  	  MARKET SPECULATION - GINDALBIE AND MIDWEST CORP
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00792987

SECURITIES EXCHANGE ANNOUNCEMENT   
7 December 2007  
MARKET SPECULATION​
Gindalbie Metals Ltd (ASX:GBG) is aware of recent media commentary suggesting that Gindalbie is in discussions with Midwest Corporation Limited regarding a potential takeover proposal, and further that Gindalbie’s Karara Iron Ore Project is dependent upon the railway and port infrastructure proposed for Oakajee.   

Gindalbie seeks to clarify to the market that it is not in discussions with Midwest Corporation Limited regarding a takeover proposal, and further that Gindalbie’s stage 1 development of the Karara Iron Ore Project is not dependent upon the development of Oakajee or its related infrastructure.


----------



## kevien (7 December 2007)

I think this is a bit weird. There are a few good annoucements for the past one month. The MD have expressed more than once there were good progress. but the market just resisted to take this one to the sky...
I just wonder what is the biggest obstacle here?
Anyone has any thought?


----------



## greenfs (7 December 2007)

kevien said:


> I think this is a bit weird. There are a few good annoucements for the past one month. The MD have expressed more than once there were good progress. but the market just resisted to take this one to the sky...
> I just wonder what is the biggest obstacle here?
> Anyone has any thought?




The reason for the current sp weakness is the current state of the market plus the lead time until GBG becomes a producer


----------



## the barry (7 December 2007)

greenfs said:


> The reason for the current sp weakness is the current state of the market plus the lead time until GBG becomes a producer




What do  you mean by the current state of the market? Most stocks seem to be going up the past week. Hopefully sinosteel taking over midwest at 5.60 will spark some interest in the area again. Because otherwise things arent looking to good.


----------



## lienad (10 December 2007)

does seem like some renewed interest in gbg today with the bulls winning glad i bought more now as 1.25 was a good call for a bounce.


----------



## kevien (26 December 2007)

Does anyone know what's the major issues and challenges with GBG at this moment? What key projects are they undertaking?


----------



## hangseng (26 December 2007)

kevien said:


> Does anyone know what's the major issues and challenges with GBG at this moment? What key projects are they undertaking?




http://www.gindalbie.com.au/Our+Projects/default.aspx

The only challenge at present is the sp. looking at multiple moving averages in 3x5 bands (ranging from 7-250 days) I foresee GBG consolidating around $1.10 to $1.30 until production commences. If $1.10 doesn't hold could go back to long term support at .90-.95c


----------



## Surly (26 December 2007)

hangseng said:


> http://www.gindalbie.com.au/Our+Projects/default.aspx
> 
> The only challenge at present is the sp. looking at multiple moving averages in 3x5 bands (ranging from 7-250 days) I foresee GBG consolidating around $1.10 to $1.30 until production commences. If $1.10 doesn't hold could go back to long term support at .90-.95c




You don't see the other milestones such as EPA approval, confirmation of finance,  construction of port facilities or plant as giving it a kick along the way?

cheers
Surly


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## hangseng (26 December 2007)

Surly said:


> You don't see the other milestones such as EPA approval, confirmation of finance,  construction of port facilities or plant as giving it a kick along the way?
> 
> cheers
> Surly




My view was short term. All of what you have identified will add value, I just don't see then as concerns. Finance is a given as is EPA IMO.

Keep in mind GBG is not solely reliant on Oakajee or rail infrastructure, that will be a bonus.


----------



## s3081402 (27 December 2007)

hangseng said:


> http://www.gindalbie.com.au/Our+Projects/default.aspx
> 
> The only challenge at present is the sp. looking at multiple moving averages in 3x5 bands (ranging from 7-250 days) I foresee GBG consolidating around $1.10 to $1.30 until production commences. If $1.10 doesn't hold could go back to long term support at .90-.95c




Are you serious $1.10-$1.30 until production commences you must be joking. Once we get the announcement for Lodestone then this one will go back to where it belong


----------



## 56gsa (29 December 2007)

Daily chart seems to be respecting downtrend channels - both blue and green - a close above 1.25 or 1.30 would make it interesting.

On weekly fib suggests a target of around 90cents but the lower support at 96c should be respected - although that support at 1.10 could hold...


----------



## Morgan (8 January 2008)

Oh dear- still bleeding badly despite yesteday's announcement.
Hopefully psychological $1 barrier holds or parachute preparation may be required


----------



## The Mint Man (11 January 2008)

Closed on its low of $0.92 so possible buying opp here. Hasn't been this low since june 07', which is when it started to take off.
I don't hold.

Cheers


----------



## wildmanchris (12 January 2008)

I think is a great buy below $1, but think that with the markets as they are it might have a bit to go yet.  I think I might put an order in at $.80 and hope some investors get the jitters!


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## imaginator (15 January 2008)

Hi guys,
is this a good price to buy or what! GBG at 92 cents!
Wawawee!

Im sure the company is worth more than that! Remember it was quoted many times saying target of $2 to $5 by several analysts including Macquarie Bank.

Also SDL is down to 26c!


----------



## mayk (18 January 2008)

It has broken its resistance of August correction. Seems to be going south irrespectative of good news coming out. It might bounce back and hard from here or will go further down to 50 cent level....


Further analysis on the attached figure much appreciated.


----------



## Rough_Trade (18 January 2008)

From what I’ve observed over the past few months I’d say GBG is being dumped by an insto/invester. The large sell orders and suspect price action seem to illustrate this. If this is the case the question is how deep are their pockets?.


----------



## TMC19 (24 January 2008)

GBG has taken a hammering recently as have most stocks, but its value has more than halved since its Sept highs which is considerably more than most other stocks during this correction/crash - whatever you want to call it.

Anyone able to shed any light on the recent results that came out ?

Any insight into why this one is taking a pounding ?


----------



## lusk (24 January 2008)

mayk said:


> It has broken its resistance of August correction. Seems to be going south irrespectative of good news coming out. It might bounce back and hard from here or will go further down to 50 cent level....
> 
> 
> Further analysis on the attached figure much appreciated.




Looking at the directional indicators that you have on your chart seem to suggest the downtrend may continue. Rising ADX along with separating DI+ and DI-.


----------



## TMC19 (24 January 2008)

Was hoping that recent news would give it a bit of a kickstart but I suppose releasing it on the same day the market fell on its backside didn't help.  If they had of delayed a couple of days it might have had more of an impact.  

Seems to be following the market trend over the past couple of days and moving in an upward direction, lets hope it continues.

Fundamentals don't seem to have changed much since it was a 1.75 stock, Sundance a distant memory and hopefully the demand for Iron Ore continuing.  

Hold on this one for a bit longer I think


----------



## Wysiwyg (24 January 2008)

Here is a good candle/pattern that is (i.m.o.) going to be very reliable.My reasons for having a high reliability belief is .... the current downtrend of this particular stock, the present market instability, *the doji that formed today after a bearish bounce off a low/market correction.*
An end of day entry at 61c was a lucky jag for me (had a couple of shots at various stock `end of day` on the 21st. and 22nd.)but should have gone Brockman, oh well.
Most certainly the story hasn`t changed but there are many stock that don`t move the way we want.

If 60 c is the bottom then i`ll eat my mouse.


----------



## bigdog (31 January 2008)

ASX ANN today

SP  GBG   	 $0.71  	   	  -$0.07   	  -8.97%   	 high of 	 $0.785  	 $0.705  	 2,110,021 shares 	 $1,554,575  @	 31-Jan 16:10:38

http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00807907
* 31-01-2008 02:23 PM  	 GBG  	  Quarterly Activities Report*

DECEMBER 2007 QUARTERLY REPORT 
*HIGHLIGHTS FOR THE DECEMBER 2007 QUARTER  *

*EXPLORATION * 
• Premium grade concentrate produced from DTR tests on holes beneath the Blue Hills North and Gully Hematite deposits.  Better results include the following:  
Blue Hills North 
120 metres @ 71.0% Fe and 1.9% SiO2 in concentrate from 96 metres 
212 metres @ 71.0% Fe and 2.1% SiO2 in concentrate from 34 metres  

Gully 
82 metres @ 71.2% Fe and 1.3% SiO2 in concentrate from 98 metres 
132 metres @ 70.8% Fe and 1.5% SiO2 in concentrate from 84 metres  

• Substantial DSO grade drilling intersections recorded from the Shine Prospect, part of the Warriedar Joint Venture with Royal Resources.  Better results include the following:   
60 metres @ 62.6% Fe from 59 metres  
26 metres @ 63.3% Fe from 55 metres  
32 metres @ 62.6% Fe from 92 metres   

*KARARA IRON ORE PROJECT APPROVALS  *
• Mungada Hematite Project PER advertised for public review.  EPA assessment recommendation and Ministerial decision remains on schedule to be completed by June 2008.  
• Karara Magnetite Project PER final draft in preparation.  
• The Mid West Strategic Review handed down by the Western Australian Government indicating a predisposition to approve the Karara Magnetite Project. 

*KARARA IRON ORE PROJECT DEVELOPMENT  *
• EPCM providers have been short listed and final selection is due in February 2008.  
• Concentrator design awarded to Ansteel Mining Design Institute (AMDI) in China.  
• 15-year power supply contract signed with Verve Energy.  

*CORPORATE * 
• Cash reserves at 31 December 2007 of $51.5m.  
• Ansteel’s Mr Wang Heng appointed to the Gindalbie Board.


----------



## pk_wasp (31 January 2008)

Because it has "Magnetite" in its resource armory.

GBG should just promote their DSO stuff to the market, though I don't think in todays market it would help much.


----------



## agro (31 January 2008)

bigdog said:


> ASX ANN today
> 
> SP  GBG   	 $0.71  	   	  -$0.07   	  -8.97%   	 high of 	 $0.785  	 $0.705  	 2,110,021 shares 	 $1,554,575  @	 31-Jan 16:10:38
> 
> ...




thought i might contribute.

i am very optimistic about the long term potential of GBG which is in the same process as FMG (development of their port, rail network and not to mention scale of dso etc)..

they are well funded with a cash reserve of ~50m (cash report) so there shouldn't be issues there.. i am anticipating production and am looking forward to the EPA announcements come July, they are very well backed by the locals too..

i am uncertain as to why there is negative sentiment with the sp in the short term when other iron ores (BRM, AGO, MMX, MGX) have all made reasonable recoveries..

*hold*


----------



## agro (1 February 2008)

Did anyone see the late buying on GBG today?

what would you attribute that to?

the price went from around 78c before 4pm to 81c post-auction.

quiet impressive, if it breaks the 80-81c barrier expect it to run back to previous highs imo.. thats if the market holds up

anyone like to offer their views ?


----------



## mayk (1 February 2008)

In previous correction GBG ran back to its current highs because it dropped suddenly ( in a short span of time). But the current downward trend is happenning for a long time 3-5 months. I think a break above 1.00 might set this stock running. I am holding a lot of red in this stock...But believe if everything in the market goes well it might hit 1.7-2.00 before china olympics..Ofcourse if US decided to tank in between than this stock might reach its bottom of around 50c. 

One can only assume that this stock will recover slowly, as its downfall was also slow and painful.
Holding in RED


----------



## Frankhalo (3 February 2008)

Gut feeling we may see Ansteel increase their holding in GBG soon from 12% to under 20% . The willingness of late for China investments / holdings in MIS and RIO suggests iron ore holdings in Australia are hotter than ever. Regardless if you look at the commitment Ansteel will be making with GBG it would make sense to increase their stake, 1.8 billion dollar project being mostly bank rolled for only a 12% stake..I dont think so. Only my opinion but I believe it will happen, sooner rather than later.

Stay tunned folks.


----------



## ideaforlife (4 February 2008)

Bear in mind that China (Chinese government) has made plenty of silly overseas investment! Certainly I'm not saying the move to hold Rio is one of them. But Chinnese government certainly lacks experience and knacks in financial markets.


----------



## agro (8 February 2008)

on the note of china its interesting to note a number of large trades (90k +) occurring after 11am today

is this when hang seng opens?? cause if so i believe its Chinese accumulation

very unusual- just thought id bring it to peoples awareness


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## hookon (9 February 2008)

agro said:


> thought i might contribute.
> 
> i am very optimistic about the long term potential of GBG which is in the same process as FMG (development of their port, rail network and not to mention scale of dso etc)..
> 
> ...




IMO - Anything not producing is a lot more suceptable to current market trends.

Will take time but once gets closer to production will increase. MMX/MIS/MGX all took off when approaching & starting production.


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## oldblue (9 February 2008)

I'm no expert in this field but it seems to me that the successful iron ore companies share several of the following criteria:

- currently producing ( or production imminent ) to cash in on present prices.

- well positioned to use existing infrastructure.

- produce a high proportion of the higher yielding hematite ore.

I'm a former holder of GBG but sold last year when I felt that SP was getting a little toppy. Still following progress.


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## agro (12 February 2008)

Subscription Agreement Signed with AnSteel announced today

I think market over-reacted a bit but thats my opinion.


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## TMC19 (12 February 2008)

My opinion is that I don't think it did over-react.  

The potential is certainly there with this stock and its taken a hammering recently, for no real apparent reason apart from the general downturn in the market.  Compared with other similar mining companies who are at a similar stage of production it looks relatively cheap.   

I believe there is a lot of people holding this stock and it would also be on a lot of watchlists, a couple of pieces of good news and I can see it moving upwards quite rapidly.

I hold.


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## reece55 (12 February 2008)

Slow and steady wins the race..... All that has happened with this stock is that it has become way way more attractive.

GBG is still my preferred entity in the Iron Ore sector. Consider this, FMG has 50x the market cap, but even if FMG can get up to the 200 Mil tonnes per annum (big ask), has only 25 times more ore mined per annum. Granted, GBG has a higher extraction cost, but it does put it in perspective....

Cheers


----------



## agro (12 February 2008)

reece55 said:


> Slow and steady wins the race..... All that has happened with this stock is that it has become way way more attractive.
> 
> GBG is still my preferred entity in the Iron Ore sector. Consider this, FMG has 50x the market cap, but even if FMG can get up to the 200 Mil tonnes per annum (big ask), has only 25 times more ore mined per annum. Granted, GBG has a higher extraction cost, but it does put it in perspective....
> 
> Cheers




yeh thing is GBG are to produce in 2011/2012 i think which is probably towards the end of the iron ore boom

u would want to be looking at companies currently producing in the midst of the boom

MGX / MMX / RIO / FMG / MMX? / MIS?

that's what i reckon,  GBG might be alright if u buy and put a lock and key and wait 3-4 years.. but if you want peak exposure go with the above.


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## TMC19 (12 February 2008)

agro said:


> yeh thing is GBG are to produce in 2011/2012 i think which is probably towards the end of the iron ore boom
> 
> u would want to be looking at companies currently producing in the midst of the boom
> 
> ...




Not true - read the report released today.

Karara Mining is aiming to commence exports of hematite ore through Geraldton in 2009 and deliver first magnetite concentrate ore from the Karara Magnetite Project by 2010.


----------



## agro (12 February 2008)

TMC19 said:


> Not true - read the report released today.
> 
> Karara Mining is aiming to commence exports of hematite ore through Geraldton in 2009 and deliver first magnetite concentrate ore from the Karara Magnetite Project by 2010.




Subject to the timely receipt of environmental approvals and financing, Karara Mining is aiming to commence exports of hematite ore through Geraldton in 2009 and deliver first magnetite concentrate ore from the Karara Magnetite Project by 2010.

*well done, i was going of the top of my head*


----------



## TMC19 (12 February 2008)

agro said:


> Subject to the timely receipt of environmental approvals and financing, Karara Mining is aiming to commence exports of hematite ore through Geraldton in 2009 and deliver first magnetite concentrate ore from the Karara Magnetite Project by 2010.
> 
> *well done, i was going of the top of my head*




Therefore when you consider the price of any of the stocks you quoted - the cheapest being MGX at about $3 a share with similar production timescales you can appreciate why GBG looks attractive to a lot of people.  

It a bit frustrating for holders as most of the other iron plays seem to have made a much stronger recovery, which is why I believe a couple of pieces of good news will have this one moving fairly rapidly.


----------



## agro (12 February 2008)

TMC19 said:


> Therefore when you consider the price of any of the stocks you quoted - the cheapest being MGX at about $3 a share with similar production timescales you can appreciate why GBG looks attractive to a lot of people.
> 
> It a bit frustrating for holders as most of the other iron plays seem to have made a much stronger recovery, which is why I believe a couple of pieces of good news will have this one moving fairly rapidly.




yeah GBG has good growth potential don't get me wrong, thats why i am holding longterm.. you are correct with what you said..i am expecting a dividend from MGX to be announced this year.. c what happens,


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## TMC19 (25 February 2008)

Bit of a movement in price today.

Heavy numbers coming in on the buy side of this as of 3.30 today

Also large volume traded to today for an unknown reason.  Anyone know why?


----------



## derty (25 February 2008)

Geoff Wedlock came onto the board today after resigning (getting rolled) from GWR as a result of the GWR-FAS debarcle.


----------



## TMC19 (25 February 2008)

derty said:


> Geoff Wedlock came onto the board today after resigning (getting rolled) from GWR as a result of the GWR-FAS debarcle.




Could be, but I think that news came out on Friday morning - GBG went 10% in approx the last hour of trade, with high volume traded and large numbers entering into the buying side of the market depth.  Something spooked it...


----------



## mayk (29 February 2008)

I am attaching a chart of GBG. It seems that higher highs and lower lows ; uptrend is established for this stock. Although not that important but indicates that in next 2-3 months this stock might reach its lost highs. Any techies  comments welcome.


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## mas888moe (1 March 2008)

Hi everyone,

I still don't understand why GBG's share price is so low. See the attached broker report (updated end of Feb 08) which values GBG at $1.67.


----------



## Uncle Festivus (1 March 2008)

mas888moe said:


> Hi everyone,
> 
> I still don't understand why GBG's share price is so low. See the attached broker report (updated end of Feb 08) which values GBG at $1.67.




Probably cause they are not makin bacon yet!


----------



## imaginator (3 March 2008)

Say no more!
This stock is going up! I just read a report on friday saying target $1.60 very soon.

Also the price has been steady at around 0.86 for more than 1 week.

I will find that report and paste it here.


----------



## Joe Blow (3 March 2008)

imaginator said:


> Say no more!
> This stock is going up! I just read a report on friday saying target $1.60 very soon.
> 
> Also the price has been steady at around 0.86 for more than 1 week.
> ...




Imaginator:

1. Just because you read a report saying the stock will be $1.60 soon, it doesn't necessarily mean the market will agree.

2. If you are going to refer to something (e.g. a report) it's probably a good idea to have the details ready before you do so.


----------



## hookon (4 March 2008)

I appreciate your contribution. 

Unfortunetaly Values vs Market sentiment can be different but i hope for all our sakes your right. Just needs a kick to get going again.

Would be interesting to know why they think it will be $1.60 Very soon. Thats a big jump .70c 

It is similar opinion though to someone elses recent broker report from BBY.

However Paterson's had it at only 98 cents but has upgraded to $1.25 on new est. iron ore prices. 

Lets hope for 1.60 very soon - i would be very pleased as like all of us I am absolutely kicking myself for being greedy & not taking anything over $1.50 before.

The best would be someone to take over so they have to pay $1.60 LOL



imaginator said:


> Say no more!
> This stock is going up! I just read a report on friday saying target $1.60 very soon.
> 
> Also the price has been steady at around 0.86 for more than 1 week.
> ...


----------



## onebytwo (21 March 2008)

Does anybody else feel the market undervalues this stock?

I bought in at $0.75 a few weeks back, purely on the basis of what the numbers were saying.

GBG's share of the Karara Project stands at about 50%, that is, 50% of a project with an NPV of $2.25bn using a very conservative (imo) 9% discount rate. So from a technical perspective, the PV of this project should be providing $1.13bn of shareholder wealth - RIGHT NOW. That's $2.20 a share. For Karara alone!

Then we have the Mundaga project - which should be adding $80m of shareholder value.

And let's not forget that we need to add some sort of speculative value on top for GBG's other explorations and ventures.

I mean, is the market really applying such a large risk factor for the projects because of environmental approval?

$0.70? 

Now, I'm fairly new to all this, so if anyone sees any dangerous misunderstandings in the above, feel free to criticise.

For those who haven't seen it, a GBG presentation:
http://www.gindalbie.com.au/Investor+Relations/Presentations/Downloads_GetFile.aspx?id=181


----------



## oldblue (21 March 2008)

My take on GBG is that its struggling to get much investor attention at a time when there's a lot of other beaten-down stocks out there.
Although they have a strong Chinese partner, there are other iron ore stocks which are either producing, or nearer to producing than GBG.
Ore prices are high now but there is no guarantee that they will be once production starts.
Although GBG have some hematite, my understanding is that a lot of their resource is the less-favoured magnetite.

I have them on my watchlist - another uptrend could get me interested!


----------



## oldblue (21 March 2008)

One other point.
I read a comment recently which referred to the "Gindalbie model." This, apparently, was to buy up "old tenements in which there were known resources and to shop them to Asian buyers."
Nothing wrong with that if that's the case but I had never heard/ thought of GBG in those terms before.


----------



## onebytwo (27 March 2008)

What do people make of the late run-up just prior to close today?

Also did anyone notice the massive sell orders that appeared at 80-82c, and then taken down a little while later? Cappers at work perhaps?


----------



## Bullion (31 March 2008)

GBG in a trading halt, or so it seems on Comsec? Anyone know the reason? I can't see the ann yet..........


----------



## hookon (31 March 2008)

Announcement - Halt related to Opes - Who are a major shareholder & have part of their stock in GBG Financed.

Opes are in voluntary liquidation & all activities & accounts including customers frozen.


----------



## bigdog (31 March 2008)

hookon said:


> Announcement - Halt related to Opes - Who are a major shareholder & have part of their stock in GBG Financed.
> 
> Opes are in voluntary liquidation & all activities & accounts including customers frozen.




This article would have been written prior to this mornings trading halt!

http://www.theaustralian.news.com.au/story/0,25197,23456730-20142,00.html

Opes Prime founders in whirlpoolBrought to you by
   Font Size: Decrease Increase Print Page: Print Adele Ferguson | March 31, 2008 
THE collapse of Opes Prime will wreak havoc on the small to mid-cap sector over the next couple of weeks as its main creditors, ANZ Bank and Merrill Lynch, retrieve their money by liquidating a $1.5 billion portfolio of Australian shares filled with stocks, including ABC Learning Centres, Allco, Clive Peeters, Hedley Group and Just Group.

Administrators were appointed to Opes Prime on Thursday night and, before the market opened on Friday, ANZ and Merrill Lynch had wasted no time dumping stocks at massive discounts. 

The result: at least four companies were placed in a trading halt as a result of the collapse. 

These include Admirality Resources, Hedley Leisure, manufacturer Austin Group and Reco Financial Services. 

Not surprisingly, Reco went into a trading halt. The Australian reported three weeks ago that Opes Prime was using Reco for a backdoor listing on to the ASX, which would have valued the company at $100 million. 

Others will follow. The reason is simple: Opes Prime specialised in small to mid-cap stocks so most of the securities lending it did was in the less liquid end of the sector, where most damage can be caused when hedge funds short the stock. 

Brokers who spoke to Opes Prime dealers on Friday were told there would be a lot of "bargains" in the small-cap sector in the next two weeks as ANZ and Merrill Lynch cut and run. 

This will add to the volatility in the stock market and no doubt trigger more margin calls on these types of stocks. 

There is also expected to be a lot of favouritism given to ANZ's clients, who will be given opportunities to buy shares at a discount in off-market transactions. 

For instance, on Friday more than 10 million Hedley Group shares were put through the market in a special sale at a 50 per cent discount to the trading price. 

Others who have accounts with ANZ will try and do deals to try and get their money back. 

A few Opes Prime clients with substantial sums of money are planning to see if they can pay ANZ money and get their securities lending accounts back. It will be interesting to see how the ANZ handles these calls. 

The ticking bomb for banks in all of this is that some of the loans they lend out are linked to a company's share price and so as shares fall more than 40 per cent loan covenants will be breached, leaving the banks exposed. 

It also heightens the need for regulators and superannuation funds to clamp down on share lending by improving transparency and pricing it properly. 

Right now share lending is adding to volatility in the market. It is quite an irony that one of the founders of Opes Prime, Julian Smith, put out a press release two weeks ago espousing the benefits of share lending. "The fact Australia has one of the deepest and most liquid stock lending markets in the world is one of the main reasons why the Australian share market is also one of the world's least volatile: there is a straight correlation between the two. Securities lending is like the oil in the engine. It does not make the market go, but without it the market seizes up," Smith said. 

What he failed to say was that the reason Australia had one of the deepest lending markets was that stock lending was so cheap. For a few basis points super funds lend their shares out to the likes of Opes Prime who then on-lend to the hedge funds, who use the borrowed stock to short it, and decimate the very funds that super funds are meant to manage for Australians. 

One broker said he recently borrowed 10,000 AMP shares on behalf of a client for four days. 

The cost? All up, $33. 

But this is no way properly recognises the risks involved in the exercise. Stock lenders usually don't even know the identity of the borrowers, let alone know what their credit rating might be -- if they had one, which they don't. 

In normal times counterparty risk in securities lending is not a big issue, but these are not normal times. 

Given the cheapness of borrowing stock, the fact that more than $200 billion of stock in Australia is available for lending at any one time, and hedge funds have never been more actively pursuing short selling strategies, it is no surprise that super funds are set to sink into the red for the fifth consecutive month in March, bringing total losses this financial year to 6.6 per cent. 

While it is well and good for super fund associations to stress that super funds are long-term propositions, it doesn't help when you are ready to retire and find your super fund worth a lot less than it was a few months ago. 

The collapse of Opes Prime and the huge amount of stock dumping expected to occur in the next few weeks, puts the spotlight on the lack of transparency in stock trading and throws into question whether a decision by the ASX in 2005 to remove broker identification numbers from trading screens has added to the mess. One of the ASX's central roles is to ensure the share market operates in a "fair, open and transparent" manner. 

But the ASX, which is run by Rob Elstone, continues to prove that transparency and fairness are two diametrically opposed concepts. Since November 28, 2005, when the ASX removed from trading screen broker numbers, it took away what many traders and investors considered an important piece of information in trying to predict where share prices might go. 

Put simply, each of the 92 market participants that make the "market" each and every day are assigned an identification number that tracks its trading in all listed companies. 

Until late 2005, that number allowed every trader with a so-called SEATS (Stock Exchange Automated Trading System) screen to tell which of their peer firms was trading which stock. 

This has been replaced by the release of market share information at the end of every trading day, and the full trading history with broker identifiers three days after the trade. 

But with the rise of hedge funds, which specialise in making short-term investments, and principal trading, where broking firms themselves trade in stocks, the factors that push shares up and down on a daily basis have become more subtle. There is growing concern that there is a privileged flow of information to the professionals at the expense of retail brokers and individual investors. 

Let's hope that out of the recent carnage sanity will prevail and regulators and the government will give investors back some transparency.


----------



## bigdog (31 March 2008)

Trading halt request
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00827460

Gindalbie Metals Ltd., an Australian iron ore company, halted its shares from trading pending clarification of an equity finance contract that its largest shareholder Melewar Steel Ventures Ltd. has with Opes Prime Stockbroking Ltd.

``A portion of its shareholding is subject to an equity finance contract with Opes Prime,'' Perth-based Gindalbie said today in a statement to the Australian Stock Exchange. ``Gindalbie is seeking clarification of Melewar's position.''

Melewar holds a 14.5 percent stake in Gindalbie, which today requested a trading halt until April 2.


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## agro (31 March 2008)

o thats excellent

does that mean this stock will get dumped now or just change of hands?


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## prawn_86 (31 March 2008)

agro said:


> o thats excellent
> 
> does that mean this stock will get dumped now or just change of hands?




I would say that if a cross trade is organised at a similar price (to current price) the stock will stay steady.

However, if it has to be dumped at market I dare say a significant fall would occur


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## powerkoala (31 March 2008)

prawn_86 said:


> I would say that if a cross trade is organised at a similar price (to current price) the stock will stay steady.
> 
> However, if it has to be dumped at market I dare say a significant fall would occur




well, if it happens just like ADY, this will surely go down a lot.
ADY was down from 24c to the lowest of 17c today due to this matters.
dunno how many shares will be sold though.
surely last friday, someone must know beforehand. 
a trade of 3M shares sold at market close.


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## bigdog (31 March 2008)

http://www.wabusinessnews.com.au/en-story.php?/1/61860/Opes-crash-hits-six-WA-miners

Opes crash hits seven WA miners
31-March-08 by Mark Pownall and Rebecca Lawson
Latest News

The collapse of stockbroker Opes Prime has ensnared shareholders in at least seven WA resources companies, including high profile mining identity Nathan MacMahon and the biggest stakeholder in Gindalbie Metals Ltd.

Gindalbie, Blackham Resources Ltd, Conquest Mining Ltd, Bannerman Resources Ltd, Catalyst Metals Ltd Red Fork Energy Ltd and Hodges Resources Ltd all called trading halts in relation to shareholders who had equity finance contracts with Opes Prime.

Gindalbie told the market it was attempting to clarify a situation where its biggest shareholder Malewar had a portion of its 14.5 per cent stake subject to an equity finance contract with Opens Prime Stockbroking Ltd.

It was understood that almost half of Malewar's 74 million share stake could be subject to the contract.

Gindalbie shares were steady at 71 cents before the trading halt was called. It was understood the company was seeking a buyer or buyers for the parcel of shares, thought to be around 35 million, rather than seeing the stock dumped on the market.

Melewar is part of the Melawar industrial group, a Malaysian steel tubing business.

Bannerman called a trading halt today, advising the market that director Nathan MacMahon and other shareholders had advised the company that a portion of their shareholdings are subject to an equity finance contract with Opes Prime Stockbroking Ltd.

Bannerman shares dropped 10 per cent to a $1.80 each before the half was called.

Blackham Resources Ltd also advised a director of company other shareholders had advised the company that a portion of their shareholdings are subject to an equity finance contract with Opes Prime Stockbroking Ltd.

Conquest Mining made a similar announcement.

Red Fork said one of its substantial shareholders holds its shares through an account with Opes.

Opes Prime went into receivership and administration on Thursday after trading "irregularities" were uncovered.

On Friday the Australian Securities and Investments Commission obtained orders placing travel restrictions on Opes chief Lirim Emini.


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## agro (1 April 2008)

there's speculation that seeing though SinoSteel did not get approval from Midwest takeover that they may take the 7% stake in GBG that the maylasian steel company want to sell. 

see today's AFR theres about 3 articles alteast


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## agro (1 April 2008)

Merryil Lynch bought a 5.35% stake in GBG today becoming a substantial holder


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## oldblue (1 April 2008)

agro said:


> Merryil Lynch bought a 5.35% stake in GBG today becoming a substantial holder




ie, warehousing the shares until the market's in a mood to pay them a better price ? Same situation applies at AOE ( and possibly others).


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## agro (1 April 2008)

oldblue said:


> ie, warehousing the shares until the market's in a mood to pay them a better price ? Same situation applies at AOE ( and possibly others).




can you explain what you mean? i don't understand?

thanks       - this 100 word thing gives me the ......................................


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## Bullion (1 April 2008)

agro said:


> Merryil Lynch bought a 5.35% stake in GBG today becoming a substantial holder




Is this a 5.3% stake from nothing? Or did they have a smaller piece of the pie to begin with? ....................


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## agro (1 April 2008)

Bullion said:


> Is this a 5.3% stake from nothing? Or did they have a smaller piece of the pie to begin with? ....................




oh i see they became a holder on the 28th / 2 / 2008

beats me why the offer that kind of outdated info now 

lets hope sinosteel buys up the opes stake or the Malaysians don't sell  

i am positive !


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## BigJohnny (1 April 2008)

agro said:


> oh i see they became a holder on the 28th / 2 / 2008
> 
> beats me why the offer that kind of outdated info now
> 
> ...




Hi Agro,

I believe the last "collateral receive" +15.346 million shs was reposessed from Opes prime clients on 28Mar08. This has sent their ADY holdings over 5% substantial reporting requirement.


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## agro (8 April 2008)

announcment out today: Gindalbie Targets Major Expansion of Karara Project

can't access it from the computer i am at though


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## bigdog (8 April 2008)

todays ANN has been reported below on papers

http://www.wabusinessnews.com.au/en...ts-major-expansion-of-Karara-iron-ore-project

*Gindalbie targets major expansion of Karara iron ore project*
8-April-08 

Perth-based Iron ore developer Gindalbie Metals Ltd has moved to substantially expand the scope of its iron ore business in Western Australia with the commencement of a feasibility study on increasing the start-up production rate of the Karara Magnetite Project from 8mt/annum to 12mt/annum of magnetite concentrate.

The expansion plans are based on the substantial scale and exploration potential of the world-class Karara Magnetite deposit, where an aggressive A$7 million exploration program is currently underway to almost double the total Karara magnetite resource base to a targeted 2.5 billion tonnes. 

The expansion feasibility study will not impact on the delivery of the fully-funded 8mt/annum Karara Magnetite Project, where detailed design work is well advanced.

In addition, Gindalbie and its 50% joint venture partner, China's Anshan Iron & Steel Group Corporation (Ansteel), will review the economics of further staged expansions of the Project.

Gindalbie has already completed a Bankable Feasibility Study for the Karara Magnetite Project (published September 2007) which showed a A$1.6 billion project development with initial output of 8mt/annum of magnetite concentrate delivered a robust financial return based on 2007 iron ore prices, before the recent 65% price increase.

The 8mt/annum production rate was based on an initial Ore Reserve of 497 million tonnes at 36.3% Fe, which was calculated on only a portion of the Indicated and Inferred Resource of 1.43 billion tonnes at 36.3% Fe, to underpin a 25-year mine-life for the purposes of the Bankable Feasibility Study. 

However, the BFS also indicated that the current resource would be capable of sustaining a long-life operation at a much higher production rate.

With this in mind, the Karara Joint Venture commenced an aggressive A$7 million drilling program last year targeting extensions to the current resource inventory and to convert current resources to additional reserves. 

The current Ore Resource is contained within a pit design 2km in length, 700 metres wide and 300 metres deep. However, results from the current drilling program demonstrate the strike and depth extension of the Karara orebody. 

Gindalbie is on schedule to complete the current drilling program by 30 June 2008, with the objective of increasing the resource inventory to 2.5 billion tonnes. 

A resource of that size would allow Gindalbie to produce 1 billion tonnes of premium quality magnetite concentrate grading 68-69%Fe.

A 2.5 billion tonne resource will be sufficient to underpin an increased start-up production rate from 2010 of 12mt/annum of magnetite concentrate - a 50% increase on the 8mt/annum base case in the Bankable Feasibility Study. 

The Feasibility Study will also assess the viability of further increases to the magnetite concentrate production rate.

The Study, which will take approximately six months to complete but will not impinge on the current progress of the Karara development, will examine the capital, equipment and logistical requirements for this increased production rate from the base case presented in the September 2007 Bankable Feasibility Study.

As reported in November last year, extensive high-grade magnetite mineralization has been identified at depth below the Blue Hills North (BH2) hematite deposit, which is located on the Karara tenements 5km along strike from the Karara magnetite deposit. 

Gindalbie is pleased to advise that subsequent drilling has resulted in the definition of an Indicated and Inferred JORC Code compliant resource for the magnetite deposit at BH2 comprising 112 million tonnes at an average grade of 41.1% Fe (See Table 1).

Recent Davis Tube Recovery (DTR) test work on drill core from this deposit has confirmed the potential to produce a high-grade Direct Reduction (DR) quality magnetite concentrate grading 71% Fe and 1.9% SiO2 at 43% weight recovery (See Table 2). 

Because of its relatively higher grade compared with the Karara magnetite deposit and ability to produce a high-quality DR concentrate with low contaminants, the BH2 magnetite deposit represents a significant strategic opportunity for the Karara Joint Venture. 

The Expansion Feasibility Study will review the opportunity to deliver initial feed to the Karara Magnetite Project from BH2 to generate strong early cash flow for the Joint Venture. 

This would have the additional benefit of providing an early source of high-grade hematite ore from the pre-strip of the BH2 magnetite deposit, which lies directly beneath the hematite deposit. 

The Karara Joint Venture is also conducting an aggressive regional exploration program with a view to developing other potential hematite and magnetite resources at Karara. 

Commenting on the announcement, Gindalbie's Managing Director, Mr Garret Dixon, said: "The commencement of the Expansion Feasibility Study represents the latest in a series of positive milestones for the Karara Project, following the recent finalization of the Subscription Agreement with Ansteel for the A$534 million equity funding component of the Project. 

"We have always emphasized the substantial opportunities to expand the Project from the base case production levels defined in the September 2007 Bankable Feasibility Study," Mr Dixon said.

"Importantly, Ansteel have agreed to take all of the additional production being considered by the new Feasibility Study, and they are strongly supportive of this initiative to aggressively expand the initial scope of the Project to 12mt/annum."

Subject to the timely receipt of environmental approvals and financing, Karara Mining is aiming to commence exports of hematite ore through Geraldton Port in 2009 and deliver first magnetite concentrate ore from the Karara Magnetite Project by 2010.


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## agro (8 April 2008)

Gindalbie hopes to boost Karara iron production by 50% 


Tuesday, 8 April 2008

EMERGING iron producer Gindalbie Metals has launched a six-month feasibility study into a 50% production increase at its flagship Karara magnetite project.

A bankable feasibility study, completed in September last year, outlined a resource of 1.43 billion tonnes at 36.3% magnetite to be mined via openpit.

The BFS projected an annual production rate of 8 million tonnes of magnetite concentrate over 25 years, which is expected to begin in early 2010.

The new feasibility study aims to expand annual production to 12Mtpa of magnetite concentrate.

Development at Karara, in Western Australia’s Mid-West region, is expected to cost about $A1.8 billion and will be conducted with Chinese joint venture partner Anshan Iron & Steel Group (Ansteel).

Ansteel is earning 50% by funding $105 million plus 50% of the total project costs.

Gindalbie shares jumped 8.78% or 6.5c to 80.5c in late morning trade.


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## oldblue (8 April 2008)

Good news but I'd like to see some progress on the environmental approvals before getting too enthusiastic about another feasibility study.


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## agro (10 April 2008)

2 million cross trader earlier this morning does that mean OPES r completely gone now?

i noticed a big price movement just now


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## DarkyII (10 April 2008)

Opes is not completely gone. The court injunction over Melewars share's has been lifted as of 4pm today so their 18m to 24m odd shares remaining can be sold tomorrow.

I assume ANZ still holds a few million as GBG is trading on significantly high volumes but only moving a few cents either way. Previous days would have seen GBG move over 15c on a 5 milllion volume.

GBG's share price cannot move past the low 80cent wall until all Opes shares are cleared. Its not just Melewar who were affected. The large lined up buyers would prefer to pay 70ish cents for a 3 million parcel instead of $1+.

However a positive note to this Opes mess is that Melewars 32 million shares under Opes can NO LONGER be shorted! The charts and level of buying indicate GBG is ready to explode to over $1 in the short term.

Any day or week in April Ansteel will be paying another $55 m in instalments to GBG. Hopefully this announcement comes after the final Opes shares are sold ,and we can enjoy a well deserved run to recover lost capital.

I'll be buying more GBG tomorrow if Melewars remaining shares are either sold or brought back via another financing arrangement.


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## DarkyII (10 April 2008)

oldblue said:


> Good news but I'd like to see some progress on the environmental approvals before getting too enthusiastic about another feasibility study.




Oldblue read GBGs update announcement from Garrett. EPA approvals were mentioned. Karara looks like its in the bag, but Mungada will probably have a "compromise". 

Another point to note is that Ansteel has paid a $50 million instalment to GBG for part of the JV of Karara. Another $55million is to be paid this month, and $120 million to be paid in July, and a final $160m+ in October. EPA approvals are due in June I beleive. So Ansteel would have paid $105 million for the Karara JV before the final verdict of the EPA. I beleive this in itself shows Karara is fine. Why would Ansteel throw away $105 million for Karara when it can never be mined? However its understandable that the large $120 and $160+ payments are after EPA.

Also consider these announcements due in June/July this year:
- Karara being upgraded to 2.5 billion tonnes
- Lodestone results/and or JORC
- Warrider results/ and or JORC
- Increases to Blue Hills JORC
- Bank finance for Karara obtained (around $640 million for GBG, and $640  million for Ansteel with Ansteel backing the loan).
- Updated BFS on 12mtpa magnetite (50% inc) 3mtpa hematite, recognising iron ore price increases.

June/July looking good guys. I believe EPA approvals for Mungada is the only hurdle.

DYOR.


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## reece55 (10 April 2008)

DarkyII said:


> However a positive note to this Opes mess is that Melewars 32 million shares under Opes can NO LONGER be shorted! The charts and level of buying indicate GBG is ready to explode to over $1 in the short term.




I have been a big supporter of the potential in this stock for ages, but Darkyl if you are going to make assertions like this, we at least need a chart mate....

Can we please have a chart and some T/A that points to why they (GBG) are going to "explode to over $1" in the short term???

Cheers


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## agro (16 April 2008)

looks like its moving on the SDL news

always good to see that happen.

iron ore will always be in flavor and who knows - merger talks always re-occur


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## serendip (16 April 2008)

If GBG was moving on the SDL news, then the price should be dropping, not rising.  The SDL report is anything but good news for holders.  The deposit is now estimated to be 90% low-grade hematite (only 39% Fe, compared to 60%+ in the case of most of the Pilbara direct-shipping ore).  Beneficiation of hematite to a good shipping grade of 65% or so is by no means as simple as the convenient magnetic process which can be used for magnetite ore.

This report means that all GBG holders should be breathing an even bigger sigh of relief that the merger did not go ahead.

Cheers,  Serendip


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## oldblue (16 April 2008)

The NSW Supreme Court has refused to extend the injunction on ANZ selling the 32m " Melewar" GBG shares.
Injunction expires 1400 AEST today.


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## oldblue (16 April 2008)

oldblue said:


> The NSW Supreme Court has refused to extend the injunction on ANZ selling the 32m " Melewar" GBG shares.
> Injunction expires 1400 AEST today.




It has now been reported that an extension of the injunction has been granted, on appeal, until 18 April.


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## agro (16 April 2008)

oldblue said:


> It has now been reported that an extension of the injunction has been granted, on appeal, until 18 April.




thats excellent news

it would be a devastation not only for the investors of GBG but also Melway for them to see their shares sold.


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## MR. (16 April 2008)

http://business.smh.com.au/melewar-wins-anz-injunction-on-appeal/20080416-26h6.html
Some extracts from that article:

At the centre of the dispute is a parcel of 32 million shares Melewar holds in Perth-based iron ore producer Gindalbie,

Melewar's parcel of shares were held across Opes Prime's financiers - ANZ, Merrill Lynch and Dresdner - with ANZ holding 8.5 million of the shares.
------------------

ANZ hold 8.5 million shares! As it appears not 32 million. I guess that is why they can't find the rest!

On the 2/4/08 three major transactions took place on market they were:

6,000,000
7,110,187
9,246,749
===========
22,356,936 sold shares 

+ (8,500,000 ANZ held shares)

= 30,856,936    It is very close to 32 million shares!


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## MR. (17 April 2008)

Correction to the above. The 3 transactions were sold off market....

Lateline last night: 17/4/08
http://www.abc.net.au/lateline/business/


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## agro (17 April 2008)

its interesting to note a volume increase as it has built momentum.

90cents is the psychological barrier in my opinion - has not breached that since its down turn in january


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## Bosco (18 April 2008)

Sorry to ask such a lame question. When does Gindalbie actually start producing stuff that they can sell?


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## lowscheong (19 April 2008)

Is there any other way to find out the 3 transactions were sold off market?  

I couldn't find any information on the link http://www.abc.net.au/lateline/business 

I guess it is good news that there are investors interested in buying GBG as Melewar offers to buy out the loan from ANZ (or buy back GBG at the collaterral price of 0.68 each share)


Correction to the above. The 3 transactions were sold off market....

Lateline last night: 17/4/08
http://www.abc.net.au/lateline/business/


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## oldblue (19 April 2008)

Bosco said:


> Sorry to ask such a lame question. When does Gindalbie actually start producing stuff that they can sell?




Have a look at the March Quarterly report which came out yesterday.
" The company's aim is to be a substantial iron ore producer within the next two years."

Here's hoping!


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## agro (19 April 2008)

oldblue said:


> Have a look at the March Quarterly report which came out yesterday.
> " The company's aim is to be a substantial iron ore producer within the next two years."
> 
> Here's hoping!




EPA approval got delayed until September i herd 

also i think ANZ won as far as selling the shares of Meelway steel


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## oldblue (19 April 2008)

Hi agro
I take it you think the company's timetable is a bit optimistic?
I'm inclined to that view. There seem to be too many ducks to get in line - Environment approvals, infrastructure ( rail, port ),equipment, facilities, staffing etc for this to happen within 2 years. The good news though is that the JV and the financing seems to be firm.
Let's hope I'm wrong ( not for the first time!)


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## agro (19 April 2008)

oldblue said:


> Hi agro
> I take it you think the company's timetable is a bit optimistic?
> I'm inclined to that view. There seem to be too many ducks to get in line - Environment approvals, infrastructure ( rail, port ),equipment, facilities, staffing etc for this to happen within 2 years. The good news though is that the JV and the financing seems to be firm.
> Let's hope I'm wrong ( not for the first time!)




optimistic is always good 

well unlike many other iron ores, this one is funded well and truly 

if you want to compare to fortescue, they were well funded early in the process too.. and had many barriers to come across - but they did it ! skepticism kept quiet for the time being until it ships mid may  

having watched FMG progress over time, no doubt will it be a good opportunity to see how GBG goes from explorer to producer
come 2009/2010

in 5-10 years, i would not be least surprised if the monopoloy on iron ore was run by three companies alone - BHP, RIO, FMG and that the smaller ones will get chomped up 

exciting times


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## oldblue (19 April 2008)

Yes, except you would think that a player like GBG, with its big Ansteel partner, would survive against the big boys?
Provided, that is, that all the other factors we've mentioned work out right!


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## MR. (22 April 2008)

lowscheong said:


> Is there any other way to find out the 3 transactions were sold off market?
> 
> I couldn't find any information on the link http://www.abc.net.au/lateline/business




Just read your post. The link has nothing to do with the 3 transactions. I was just correcting the error before moving on. The link was just of interest.

I watched the 3 transactions go through on the 2/4/08. All three were organized off market. They did not appear as a seller on market and then suddenly appeared as sold. The three single transactions were for the three quantities as I posted above. The prices sold were $0.71 at 10:14, $0.64 at 11:07 and $0.73 at 12:00. The first and last went through at current market prices. But the middle went through at $0.64 when the market was at $0.74 (perhaps an error?) Anyway it was/is a very good signal. Along with GJ's 1.2 million buys at around $0.81.

My guess is most of the 32 million have already been sold in those "3 transactions." .... 8.5 million to go. ANZ have claimed they only have about 8.5 million.

Yesterdays sell down after the Melewar ann' I think was just panickers or someone tring to trigger the panickers. Eg: that 200 thousand sell at the announcement. Anyway prices go up and down. But it is value for money at these levels imo when you take a look at those transactions, resource and price of BF Pellets.


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## lowscheong (24 April 2008)

Mr.

I use the following website
http://investing.businessweek.com/businessweek/research/stocks/charts/charts.asp?symbol=GBG.AX

and found the transaction you mentioned.  

If you don't mind reveal your source(s), actually where did you watch the transactions?  on your screen as they happened??  how to tell if it is on market or off market transaction?

I guess Melewar bought back what they "lose" in the Opes thingy but should they disclose it? 

Good thing if more than one party wants it 

MR.'s response:

Just read your post. The link has nothing to do with the 3 transactions. I was just correcting the error before moving on. The link was just of interest.

I watched the 3 transactions go through on the 2/4/08. All three were organized off market. They did not appear as a seller on market and then suddenly appeared as sold. The three single transactions were for the three quantities as I posted above. The prices sold were $0.71 at 10:14, $0.64 at 11:07 and $0.73 at 12:00. The first and last went through at current market prices. But the middle went through at $0.64 when the market was at $0.74 (perhaps an error?) Anyway it was/is a very good signal. Along with GJ's 1.2 million buys at around $0.81.

My guess is most of the 32 million have already been sold in those "3 transactions." .... 8.5 million to go. ANZ have claimed they only have about 8.5 million.


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## MR. (24 April 2008)

lowscheong said:


> Mr.
> 
> I use the following website
> http://investing.businessweek.com/businessweek/research/stocks/charts/charts.asp?symbol=GBG.AX
> ...




The link (of yours) sent me to a chart and you can see the spike in the volumes. I'm not sure if there is more? But, try the following link it could be of more help. It doesn't show each transaction but it does show more information, high / low / open / close and volume.

http://www.tradingroom.com.au/apps/qt/quote.ac?code=gbg&section=pricehist

Interesting the low for the 2/4/08 was $0.70 according to my link.   Perhaps there was an error with the second transaction and it was $0.74 not $0.64. (another reason why sold off market and incorrectly entered in)   I have a copy of all the transactions on the 2/4/08 which I took a copy of on the day. I have tried a couple of times to cut a section of text and post it here but it will not let me. All the transactions are too long to post here. However I will send a private message to you and hopefully you can read the file. (top right hand side of screen "messages")

On market / Off market
I watched via commsec. My point is they were "organized" off market. The volumes for sale did not appear for sale on the screen in front of me. (If they did it was bloody quick and "could be the case") Then they were sold. So for example, if I wanted to buy some of these shares I couldn't. I was not given the chance.  If they were sold on market (As I call it) "I'd have a chance to buy" I would see all 6 million of the first transaction. For sale to go through as one transaction (one sale). However if this happened and I/we saw 6 million for sale at $0.71, I might not buy and sell with everyone else who just got spooked.

However if I really wanted to buy some of these shares I'm sure if I rang Merrill Lynch, the broker handling the sale I might be able to buy a couple of million at the right price lol. 

Perhaps Melewar bought them back as you suggested. I also have thought this. We have not received a notice of substancial shareholder change from Melewar. ??  (if you sold and bought the same volume, why would you need to inform the market?) However Melewar did lose ownership of the shares to Merrill Lynch and ANZ. ANZ owns 8.5m and is not a substancial holder but Merrill Lynch became a substancial holder as per asx 1/4/08. Each of the transactions on the 2/4/08 was about 2% of the company. So to be a substancial holder you need more than 5%, don't need to inform the market if thats all the new owner own. 
Perhaps Melewar does not inform the market because they are confirming that they are no longer the owners!


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## MR. (24 April 2008)

lowscheong,
Above is a picture of a few transactions around the "2nd large transaction" on the 2/4/08.

Time is out by one hour because of daylight savings.

time  /   price  /  no shares  /  total transaction $


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## lowscheong (25 April 2008)

Mr.

The reasons I suspected Melewar still owns those shares because they didn't disclose it in Bursa Malaysia (I would imagine if Melewar realize their investment, they would need to disclose it, even they didn't technically sell those shares).  Anyway, all these just speculation.

I appreciate your input and response, Mr.


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## MR. (28 April 2008)

lowscheong said:


> Mr.
> 
> The reasons I suspected Melewar still owns those shares because they didn't disclose it in Bursa Malaysia (I would imagine if Melewar realize their investment, they would need to disclose it, even they didn't technically sell those shares).




Following is a link today from Conquest Mining. This is how John Terpu has informed the market with regards to his shares taken by Opes Prime.
An extract: "This release is for the purpose of disclosures and no way acknowledges any disposal or change of interest."
http://www.asx.com.au/asxpdf/20080424/pdf/318rn90pq2jh2y.pdf


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## DarkyII (29 April 2008)

Check out AGO today its up over 30% today on a broker report. BBY broker report valued GBG at $1.67 in Feb 2008, however this was prior to the 2.5 billion tonne resource target at Karara and 50% increase in initial production in FY2010. We also received another 55million today which the market hasn't reacted to at all.

Will be interesting to see the next broker valuation of GBG, hopefully our share price will follow. I'm shocked we are still below $1.


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## TMC19 (1 May 2008)

GBG has moved 10% today so far, anyone know why ??

No news that I can find.  Speculation on something ??


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## DarkyII (1 May 2008)

GBG has moved 13%+ so far due, might hit $1.

4 million shares were traded at open at 82 cents. I assume this was the last of the ANZ shares to be sold. Thus investors are now confident that no more large selling will occur. Also speculation increases on MMX that they are a takeover target by Sino, this could lead to speculation on GBG as they have the most significant resources. Although GBG would be difficult to overtake with management, Ansteel, and Melewar owning a significant proportion.

We have had significant announcements, imo this share price is a joke.

Fly boy fly!


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## jonojpsg (1 May 2008)

Yeeeeeeehaaaaaaaaaa!!!  

Finally GBG has started to move in the way I expected to when I took a CFD on it at $1.67    STupid me without any stop loss has been sitting on a $6000 loss waiting for the SP to move back up again.

Still a ways to go though, but I might have enough capital regained now to take out another position in them as they run back to what they are REALLY worth.


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## DarkyII (1 May 2008)

Try sitting on a 50k odd loss for the last few months  I guess I should have diversified but GBG looks way to promising IMO.

I never sold because I know GBG will be a brilliant long term hold and is significantly undervalued. I've recovered a lot of lost capital in the last 2 weeks. The financial stress levels are very low for me despise still sitting on a heavy loss. I guess I was use to seeing ($50,000) red for a few months.


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## TMC19 (1 May 2008)

DarkyII said:


> Try sitting on a 50k odd loss for the last few months  I guess I should have diversified but GBG looks way to promising IMO.
> 
> I never sold because I know GBG will be a brilliant long term hold and is significantly undervalued. I've recovered a lot of lost capital in the last 2 weeks. The financial stress levels are very low for me despise still sitting on a heavy loss. I guess I was use to seeing ($50,000) red for a few months.




I had a feeling a lot of other people were in the same boat as me...

I was sitting on a loss of about 18k with these and never even thought of selling.   As stated before and IMO there is significant undervaluation in the market price of this stock.  I'm not going to state my reason why I believe that as they are all detailed in the history of this thread but I really hope this one starts to get some life back.

I believe a lot of people are watching this one, if it manages to hold the current price and maybe even poke its head above the $1 mark it will attract serious interest.

However I  have seen this before where it has gone a large % in one day to slowly fall off.  Lets hope that there is some substance behind the reason why it has rose so much today and that it can a least maintain this current level.

I wish I had some spare cash as I would be picking up more of these.  Long term it will reap rewards.


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## DarkyII (2 May 2008)

GBG is a risker option over the other hopefuls, however with risk comes rewards. EPA approvals and the 1.2 billion finance secured will see this stock rocket to new levels. If you beleive they can pull it off then hold and buy buy buy. 

No one comes close to GBG with resource size or potential, except of course FMG, RIO, CVRD, and BHP but they are in a different league. Goodluck to all true believers our red pain shall be over soon enough.


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## TMC19 (2 May 2008)

Now we're moving, this is more like it.  Another 15% today and its managed to get over that critical $1 mark.

Anyone know whats going on ??


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## trillionaire#1 (3 May 2008)

20.8% gain today finally this stock is heading north:alcohol:
4400000buys/250000sells,its not just us who thinks its worth owning this stock,go my little beauty:bowser:


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## Bosco (3 May 2008)

trillionaire#1 said:


> 20.8% gain today finally this stock is heading north:alcohol:
> 4400000buys/250000sells,its not just us who thinks its worth owning this stock,go my little beauty:bowser:




 Yes I have moved from cask wine to bottled wine to celebrate. I have broken even having bought in a range from 75c-1.40c. I defer to smarter peolple than me. Given that that predictions are fine so long as they are not about the future-does anyone have any current thoughts as to how long this rally may hold? I am not a trader but have been following GBG for around 18 months and hold a reasonable lump of them.
PS. Thanks to those who have provided information on GBG since I have been reading column. I probably would have sold when it fell below $1 if not for the comments from you guys. Much appreciated. Lets hope GBG makes a substantial break away from $1.00 and in the right direction.


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## hangseng (3 May 2008)

Yes we oficially have a breakout, which seemigly has been building since the fall of Jan 22 but definately Apr 1. Next stop $1.25 - $1.35 then little stopping a run upward to $1.80+. I have always loved this stock and even got a slap on the wrist for what was deemed a light ramp, which was fair enough. I really do see the strong possibility of GBG heading over $2 short term, especially after seeing the article on the Chinese value indicator.

Chart says it all.


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## arminius (3 May 2008)

gday bosco. it might pay to step back a little and survey the surrounds. the entire global stockmarket has had a bad run of late, not just gbg, and the sdl thing. this company for me however is like a coiled spring, and its been wound up soooo tight over the last 6 months or so. has it been released? perhaps. perhaps not. but in a year or two the sp could be such that you will tell your friends, 'eh, see that gindalbie, i bought shares in that company when they were a dollar!'
relax mate. its all good.


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## MR. (4 May 2008)

hangseng said:


> Yes we oficially have a breakout, which seemigly has been building since the fall of Jan 22 but definately Apr 1. Next stop $1.25 - $1.35 then little stopping a run upward to $1.80+. I have always loved this stock and even got a slap on the wrist for what was deemed a light ramp, which was fair enough. I really do see the strong possibility of GBG heading over $2 short term, especially after seeing the article on the Chinese value indicator.
> 
> Chart says it all.




Nobody wants to miss out!!!!!!
The buyer/s of some 24,000,000 shares just a few weeks ago (if they choose)can now sell for a 50% profit.  Hmmm

Can you explain!
On the 26/12/07 Hangseng wrote:
The only challenge at present is the sp. looking at multiple moving averages in 3x5 bands (ranging from 7-250 days) I foresee GBG consolidating around $1.10 to $1.30 until production commences. If $1.10 doesn't hold could go back to long term support at .90-.95c


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## jonojpsg (4 May 2008)

MR. said:


> Nobody wants to miss out!!!!!!
> The buyer/s of some 24,000,000 shares just a few weeks ago (if they choose)can now sell for a 50% profit.  Hmmm




Ya reckon - I think if you tried to unload 24m shares on market you would find the average price you got was significantly less than 50% profit!!  I don't reckon either that you would find someone willing to take 24m shares at 1.10 - although maybe you would  

In fact if I had a spare $25m I would probably pick them up 

Let's hope we see the value we all know is there reflected in the SP over the next 3 months.  

I mean if they get close to 2bn tonnes of magnetite at 35% we should be looking at what - equivalent to 1bn tonnes of haematite at 65% - although 50% JV so 500m tonnes

MC of $10 per tonne as per others valuations

Total of 5bn market cap 

Makes for wonderful daydreaming anyway - that's about $9 per share!!!!


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## Djayness (5 May 2008)

Not that this post adds much to the thread, but im dancing in my chair atm.


SP makes me wanna dance


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## anindya_becit (5 May 2008)

Hi ... just a newbie in iron ore stocks and overall share market. Did bit of research about the iron ore stocks .... have got a little capital .... is it a good time to shell that off for GBG?

Probably missed the boat for AGO and FMG ... considering my capital ...

Cheers!


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## oldblue (5 May 2008)

Hi a-b

Have a read of the conditions of posting.
It's not permitted to give specific buy/sell advice.
The idea is to read others' opinions, do your own research, and make your own decisions.

Happy investing.


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## anindya_becit (5 May 2008)

sorry for creating any inconvenience ... yup just realized that  ... thanks ...

Still researching ...


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## Djayness (6 May 2008)

Looks like the markets consolidating at 1.27 -1.28. Alot of profit takers judging from the last ten sells. 

Im in for the long run though.


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## onebytwo (6 May 2008)

Strong resistance at $1.36 it would seem. Big sell order.

Was expecting re-tracement to mid $1.10s - strong bounce from $1.21 and very strong close.

I still hold.


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## Djayness (7 May 2008)

Well looks like it hit above to 1.395. Looking at the chart, it would appear we are inevitably moving towards the right of a parabolic curve. The share price has slowed but i dont expect it to drop though. 

GBG is by no means overvalued at present.


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## onebytwo (15 May 2008)

Two new broker reports with significant short-medium term price targets.

See gindalbie.com.au homepage


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## Golf 16 (21 May 2008)

Hey, thanks 'one by two! I looked up the GBG site and read most of the brokers reports. Just for everyone's information, The Australian featured the report below in "What the Brokers Say" on Monday, may 19.

_Gindalbie Metals (GBG); BBY Limited;  Buy recommendation; Share price target of $2.02; Last traded at $1.215 

BBY analyst John Veldhuizen is one of the few analysts in the country who can claim to have correctly predicted the rising star of Fortescue from almost the beginning. As for Gindalbie (another WA iron ore with big dreams) Veldhuizen has lifted the share price valuation from $1.65 to $2.02 because of an increase in the house view of long-term iron ore prices beyond 2015. BBY also believes there is "considerable scope" for Gindalbie to expand production from its Karara project beyond that of just 8 million tonnes per annum as the miner adds more inventory. "At a production rate of 12mtpa our valuation rises to $3.12 a share." Karara output is not expected to begin until the last six months of 2010 and Gindablie should soon release an updated review on Karara which has a forecast capital cost of $1.8billion._

I thought the CCZ report was even better than the BBY report. Lots of comparisons with other Magnetite producers/ explorers including AX0.
I do not hold this stock. cheers....


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## oldblue (21 May 2008)

Yes, the CCZ was very impressive. Quite the most comprehensive broker's report I've read for a long time, it finally convinced me to take a small position in GBG.


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## onebytwo (21 May 2008)

Hi all,

Some interesting buying in the midst of a lagging market. It got rather strange towards the end of the session. Anyone want to take a guess at whats up?

I hold.


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## Djayness (21 May 2008)

Good call on the hold, went up by 9% today. The markets fell today but shares like gbg seem unaffected by what the big movers are doing which is positive. 

JP morgan reduced their holdings which slowed the share price early on this morning but there is a clear interest in these shares. The 8 million volume was above average certainly.

The markets been consolidating a bit, but the share price should move along now that its hit back upto 1.30.


DYOR


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## mfunksta (22 May 2008)

I have been in this for a while.  The largest movements are always reserved for the couple of days before big announcements (news leaks out like a seive).  With the upcoming releases, is it possible they're related?


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## richo78 (22 May 2008)

Hi all, new to this forum and first post so Hi.. If any1 can help me out with this chart it would be appreciated. Am i seeing a bullish engulfing pattern?? If so any idea how much it is expected to run? Have only just started looking at charts and am really interested to learn. It went up nearly 10% yest and another 5% today but also had a difference of over 10% today. After reading all the posts and doing research it looks like it could be a good stock.


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## Sean K (23 May 2008)

richo78 said:


> Hi all, new to this forum and first post so Hi.. If any1 can help me out with this chart it would be appreciated. Am i seeing a bullish engulfing pattern?? If so any idea how much it is expected to run? Have only just started looking at charts and am really interested to learn. It went up nearly 10% yest and another 5% today but also had a difference of over 10% today. After reading all the posts and doing research it looks like it could be a good stock.



I'd call it a pole and pennant/flag with a target of 1.70/80 ish, depending on where you think the break up is and the top of the pole.


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## richo78 (23 May 2008)

thanks kennas, can i ask how u got those 2 lines making the flag sign? r they closing prices? Also is it best to use closing prices or highs and lows 4 resistance/support lines and other trend lines? another good open this morn at $1.39, hopefully another good day. Happily holding gbg


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## Sean K (23 May 2008)

richo78 said:


> thanks kennas, can i ask how u got those 2 lines making the flag sign? r they closing prices? Also is it best to use closing prices or highs and lows 4 resistance/support lines and other trend lines? another good open this morn at $1.39, hopefully another good day. Happily holding gbg



Hi richo, closing prices are much more reliable IMO. In fact, the way a stock finishes on the day is generally a much better indicator of support from what I've seen. Even though we have to wait for all the overnight noise from OS...

The lines I've drawn in there are just a general indication of support and resistance within the pattern. It's probably more a flag than a symetrical pennant. I like to see an ascending triangle on a pole in a general upward trend and you can be pretty confident of a break up. Doesn't happen very often though. So, this formation looks good enough to me for a _likely_ break up. These things are only just probabilities based on market psychology though. If you're trading just on these patterns, then you need to be ready to jump ship without hesitation too. 

Notes on a pole and pennant/flag for info:



> *Sharp Move*: To be considered a continuation pattern, there should be evidence of a prior trend. Flags and pennants require evidence of a sharp advance or decline on heavy volume. These moves usually occur on heavy volume and can contain gaps. This move usually represents the first leg of a significant advance or decline and the flag/pennant is merely a pause.
> *Flagpole:* The flagpole is the distance from the first resistance or support break to the high or low of the flag/pennant. The sharp advance (or decline) that forms the flagpole should break a trend line or resistance/support level. A line extending up from this break to the high of the flag/pennant forms the flagpole.
> *Flag:* A flag is a small rectangle pattern that slopes against the previous trend. If the previous move was up, then the flag would slope down. If the move was down, then the flag would slope up. Because flags are usually too short in duration to actually have reaction highs and lows, the price action just needs to be contained within two parallel trend lines.
> *Pennant:* A pennant is a small symmetrical triangle that begins wide and converges as the pattern matures (like a cone). The slope is usually neutral. Sometimes there will not be specific reaction highs and lows from which to draw the trend lines and the price action should just be contained within the converging trend lines.
> ...


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## richo78 (23 May 2008)

cheers kennas thanks for the info. Either way it looks good tho. Any good websites u no of that can give me a heads up on reading charts and so forth?


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## Sean K (23 May 2008)

richo78 said:


> cheers kennas thanks for the info. Either way it looks good tho. Any good websites u no of that can give me a heads up on reading charts and so forth?



There's heaps if you google some key words like 'chart analysis' etc. I've found chart school to be good. Lots of info there when you file through. The glossary is a good place to start...


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## richo78 (23 May 2008)

Had a quick look at that site Kennas and i didnt realise there is so many lines and things u can do with charts.. So much to learn! But it will provide some good bedtime reading. I had a quick look at the ROY chart v.similar to GBG. Might b worth closer inspection. Thanks 4 ur help anyway.


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## Djayness (23 May 2008)

I take charts with a pinch of salt to be honest. They just follow trends through quantitative analysis and do not account for external factors such as current news/announcements, future earnings potential, price rises in that industry etc etc.


Not saying that they are flat out unreliable, but I wouldnt use charting information on its own to make buying and selling decisions.


As for GBG, bit disappointing today. It will be interesting to see what happens on monday, maybe today was just a day for the sp to consolidate before moving further.


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## Sean K (23 May 2008)

Djayness said:


> I take charts with a pinch of salt to be honest. They just follow trends through quantitative analysis and do not account for external factors such as current news/announcements, future earnings potential, price rises in that industry etc etc.
> 
> Not saying that they are flat out unreliable, but I wouldnt use charting information on its own to make buying and selling decisions.
> 
> As for GBG, bit disappointing today. It will be interesting to see what happens on monday, maybe today was just a day for the sp to consolidate before moving further.



Each to their own. Of course they're not totally reliable. As you indicate, they didn't account for 9/11 etc. They do however factor in all the _available _information the market has along with general market sentiment. It can be a difference between whether you are an _investor_, or a _trader_, also. There are many traders here, who soley trade off charts trading stocks and indicies who are doing just fine. Likewise, there are investors who do OK too. I use them in conjunction with fundamentals to pick entry and exit points, which allows me to pick up trends, and conserve capital. Using charts to pick exits has saved my bacon on several occasions. You never look at a stocks chart? Never look to see if somethings trending up, or down? Interesting.


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## hangseng (24 May 2008)

MR. said:


> Nobody wants to miss out!!!!!!
> The buyer/s of some 24,000,000 shares just a few weeks ago (if they choose)can now sell for a 50% profit.  Hmmm
> 
> Can you explain!
> ...





My concern at the time of posting 26/12/07 was that the shorter term moving averages (6-10days) had crossed over the longer term MA's (180-250) being a bearish sign. Looking now GBG had actually breached support on 13/11/07 but I wasn't so concerned at that point and continued to hold.

On the 27/12/07 GBG increased to 125.5 on very low volume to the 15 day MA. On the 28/12/07 the 15 day MA confirmed resistance and the sp dropped back to 1.20 and began to look weak again. By the 3/1/08 it was now clear GBG was heading lower as the 250 day MA was breached, this confirmed my thoughts on the 26/12/07. GBG did not go to 90c as predicted it went to 60c on the 22/1/08 and I was completely out of the market long before.

By the 4/12/08 I had sold all of my stocks to lock in profits, as it was also clear this was not just about GBG. I also noticed BHP was quite weak and had crossed the 150day MA and of concern was the ASX had is largest one day drop in over 2 months by volume. The ASX declined thereafter and remains in decline.

Back to GBG. It has now reversed the decline significantly. On 1/5/08 GBG breached all MA's up to 130 days, I bought back in at 91c. On 2/5/08 GBG had breached all long term MA's convincingly displayed by the bullish harami candle and had broken resistance at the 38.2% Fibonacci retracement (FIB). GBG was going much higher, and did just that. GBG has now broken resistance at 50% Fib and closed at the 68.8% Fib at $1.36.

I have now changed my view in that GBG will continue to rise on the back of confirmation of the following in this order.


[1.]Commencement of new rail line to Geraldton
[2.]EPA approvals
[3.]Confirmation of tie in to the Oakajee rail
[4.]Shipment of first ore
[5.]Commencement of full production

The latest broker report I have read indicates GBG at >$2.50 and a short term target of $2.00. A view I tend to agree with.


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## MR. (25 May 2008)

hangseng said:


> I foresee GBG consolidating around $1.10 to $1.30 until production commences.




"until production commences"

The statement was very bold. How easily ones outlook changes once the price increases. 

Thanks for explaining the circumstances.


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## hangseng (25 May 2008)

MR. said:


> "until production commences"
> 
> The statement was very bold. How easily ones outlook changes once the price increases.
> 
> Thanks for explaining the circumstances.




Also your response is quite selective in regard to analysis Mr.  In my original post I stated quite clearly my technical concerns, which as it turned out were conservative as GBG went well below the 90c I indicated. With the benefit of hindsight it was rather an accurate call I would say. Anyone trading and heeding that call would have saved a considerable sum especially if there were close to margin calls. They would have also been able to buy back in cheaper than they sold at, as I have done.

If we could predict sentiment I probably would not have made the production comment, however that is near on impossible to foresee what is going to occur 5 months following a call being made. That call was more based on my overall market sentiment and GBG' historical movement seemingly aligned. As it turns out GBG has very strong early support and yes I saw that coming technically and it was supported with the obvious impending notices regarding rail access, ore demand/prices etc.

My call was correct based on the information I had on hand at the time. As it turned out my overall market call was even better.


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## chimp (25 May 2008)

Dear MR.,

I think the movement of stock market is beyond anyone's expectations. Hence I believe a trader has to constantly adjust its decision making based on immediate perception of where the market is heading. There are simply too many factors impacting share markets for people to grasp for any prediction over than a couple of months, especially in the current volatile market, both technical factors and foundamental factors. 

As a matter of fact, GBG did decline to even lower than $.90. Thanks to the post, I sold my positions and cut loss. 


The only thing that doesn't change in stock market is change itself. That's what I have learnt over my short trading history.

Regards


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## richo78 (26 May 2008)

Hey hangseng, just wondering if u could explain the Fibonacci retracement (FIB) percentages and how u come up with them please? I'm starting to get right into charting and am keen to learn as much as i can. Another awesome day for GBG


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## hangseng (26 May 2008)

richo78 said:


> Hey hangseng, just wondering if u could explain the Fibonacci retracement (FIB) percentages and how u come up with them please? I'm starting to get right into charting and am keen to learn as much as i can. Another awesome day for GBG




I would love to say something to make me sound really clever but no chance 

I use http://www.incrediblecharts.com/help/fibonacci_retracement.php

There is a complex mathmatical method to it, however IC make it easy. I must say it is amasing how accurate it can be at times. Used along with price, volume and RSI I am getting better results every day.

MACD and DMI can be used as well as a multitude of other indicators but I prefer to use the KISS method. I don't mind a bit of cuddling at times either 

I am far from an expert chartist (as the better ones on ASF would know) but I am getting better.


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## richo78 (26 May 2008)

Cheers 4 that.. So much info going in and so many lines on my charts i think im getting confused!!


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## hangseng (26 May 2008)

richo78 said:


> Cheers 4 that.. So much info going in and so many lines on my charts i think im getting confused!!




richo78, the best thing I was taught when I first started charting was to keep it very simple and start slowly with as few indicators as possible.

All I ever used intially (and still find it the best) was simply price and volume. I slowly introduced Bollinger Bands and RSI.

Now I use a mixed version of Multiple Mean Averages (MMA). If you want to learn about them read a a marvellous entertaining book by Daryl Guppy "13 strategies of the Chinese for Financial Traders". You may even find this on ASF Shop bookstore (support this website wherever you can, see link at the top of the page). I just found it for you in the ASF Shop: http://www.moneybags.com.au/default.asp?d=0&t=1&id=5096&c=0&a=74

Tech/A and others on ASF would be of more technical assistance than me. I have only been doing this for just over 3 years and still have a lot to learn.

Best advice, keep it simple start slowly, look what the likes of Tech/a and others post up on charting and read all you can on the subject. Most of all practice and don't be afraid to ask.


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## Sean K (27 May 2008)

With all the M&A, placements, strategic stakes taking place in the sector, I would not be surprised to see this as one of the next to be put under the ruler. Is going to be in production in short time and has some great exploration potential. The Opes thing has put a question mark over some of their shares, but Ansteels strategic stake is of interest. Will they maintain the major holding to ensure offtake, or will they want more? With such a massive resource, and potential for major upgrades in both Mag and DSO, why would they be happy with the 50:50 JV, all the debt, major financing, and offtake? Why not take the whole company and long term control the entire asset? Is this possible? Perhaps there's some ownership rules there. I've only just started looking at the facts here, so happy to be educated. I've just bought some on the likely breakup.


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## Sean K (27 May 2008)

kennas said:


> I'd call it a pole and pennant/flag with a target of 1.70/80 ish, depending on where you think the break up is and the top of the pole.



Seems to be following though, and I do hope that target is made. Just intraday, but looks to be breaking up.....I hate calling things antraday!!  

I am only in for a chart trade at this point as it's not part of my general investment philosophy in the short term. I'll be happy to make a few cents on it. Looks to be pretty positive right now, subject ot general market mahem!


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## the barry (27 May 2008)

kennas said:


> With all the M&A, placements, strategic stakes taking place in the sector, I would not be surprised to see this as one of the next to be put under the ruler. Is going to be in production in short time and has some great exploration potential. The Opes thing has put a question mark over some of their shares, but Ansteels strategic stake is of interest. Will they maintain the major holding to ensure offtake, or will they want more? With such a massive resource, and potential for major upgrades in both Mag and DSO, why would they be happy with the 50:50 JV, all the debt, major financing, and offtake? Why not take the whole company and long term control the entire asset? Is this possible? Perhaps there's some ownership rules there. I've only just started looking at the facts here, so happy to be educated. I've just bought some on the likely breakup.




Mate, go to the website and read the report from ccz, gives a good write up on the company and compares to other iron ore hopefuls in the region. With the size of its resource (is going to double in the next month or so) and where it is at compared to the other companies, in terms of market cap this company looks very cheap. 

http://gindalbie.com.au/


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## jonojpsg (27 May 2008)

kennas said:


> Seems to be following though, and I do hope that target is made. Just intraday, but looks to be breaking up.....I hate calling things antraday!!
> 
> I am only in for a chart trade at this point as it's not part of my general investment philosophy in the short term. I'll be happy to make a few cents on it. Looks to be pretty positive right now, subject ot general market mahem!




Hey kennas,
Looks like your intraday call has been born out - almost at close and heading strongly for your target 

I am on the side of thinking that this will get to around your target and then pause until EPA comes through with the all clear then head upwards again.  Really with their resource and certainty of funding etc, they should be valued at least at $3-$4 (see my earlier post that could put them at $9).  Even then they are only a $2bn company with a 1bn+ tonne resource - $2 a tonne in ground value even for magnetite is pretty LOW.

I'm sticking with them


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## the barry (27 May 2008)

jonojpsg said:


> Hey kennas,
> Looks like your intraday call has been born out - almost at close and heading strongly for your target
> 
> I am on the side of thinking that this will get to around your target and then pause until EPA comes through with the all clear then head upwards again.  Really with their resource and certainty of funding etc, they should be valued at least at $3-$4 (see my earlier post that could put them at $9).  Even then they are only a $2bn company with a 1bn+ tonne resource - $2 a tonne in ground value even for magnetite is pretty LOW.
> ...




Have to remember though that they only own 50 percent of the karara project and 100 percent of all other targets. Looking very bullish to me, but what do i know


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## DarkyII (27 May 2008)

Correct they only own 50% of Karara, however it looks like this will be proved to 2.2 - 2.8 billion tonnes. Hence they own 1.1 to 1.4 tonnes themselves.

New DSO targets are mostly owned by GBG 100% which could add on 80 to 100mt of high grade DSO (assuming targets are met).

Lodestone is 100% GBG, and is said to be a 1 billion tonne magnetite resource.

Not sure on Blue Hills North but its 41% grade magnetite with around 111 mt.

Very cheap considering MMX and MIS comparisons. They haven't even done a BFS nor anywhere near the closeness to GBG's production of Karara.

Bring on $2 in the short term.


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## richo78 (27 May 2008)

Ah.. accidentally sold my shares. Thought i could put a sell offer in at a lower price but couldn't so my shares got sold!  Oh well made a nice profit and just hope it goes down a bit so i can by some more. Another awesome day tho with vol up 45%.


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## the barry (27 May 2008)

richo78 said:


> Ah.. accidentally sold my shares. Thought i could put a sell offer in at a lower price but couldn't so my shares got sold!  Oh well made a nice profit and just hope it goes down a bit so i can by some more. Another awesome day tho with vol up 45%.




Huh?  I have nooooooooooooo idea what this post means? Put a sell order in at a lower price? Lower price than what?


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## Djayness (28 May 2008)

the barry said:


> Huh?  I have nooooooooooooo idea what this post means? Put a sell order in at a lower price? Lower price than what?




He probably means that he wanted to sell if the sp fell substantially. Someone found his order though. If thats the case, he should have used a trailing sell order.


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## the barry (28 May 2008)

Wow, this thing is flying. No sellers and loads of buyers. Happy to be on this train. Question is, is this a re-rating or speculation of coming announcments?


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## Surly (28 May 2008)

What needs to happen for GBG to become part of the ASX200 and what implications does this have?

cheers
Surly


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## oldblue (28 May 2008)

Here's a stab at answering that. 
It's largely a matter of market capitalisation so GBG's market cap would need to increase to the point where it displaces some other company, assuming that yet another company doesn't increase even more! I understand that "balance" comes into the equation to some degree, ie not too many iron ore companies and not enough IT stocks, for example, but I doubt whether this would be an issue with a company that had  clearly "earned" a place by virtue of its m/cap.
The big implication is that it would gain wider appeal and would become a "must hold" for a lot of funds, not only those which advertise themselves as index funds.
Index re-balancing is done quarterly and must be due shortly.


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## richo78 (28 May 2008)

I thought i could put a sell order in at lower than market value (like a stop loss) and when it went down that far it would sell but it sold them at current value.


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## sino2au (28 May 2008)

Gbg is soaring again today. Too good to be true or is this just a beginning for a good run? I am lost now. any advice would be appreciated


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## oldblue (28 May 2008)

Sorry, sino
Asking for or giving advice on ASF is not permitted - see Conditions of use.
I hold GBG and am hanging on to mine for the present for the following reasons
- Large deposits.
- Strong investor/JV partner in Ansteel.
-Strong demand and price for iron ore.
- Company well advanced compared to other  mid-West companies.
- Positive broker reports, not that I place a lot of faith in such things but worth a read. ( Can be found on company's website.)

But whatever, DYOR.


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## sino2au (28 May 2008)

oldblue said:


> Sorry, sino
> Asking for or giving advice on ASF is not permitted - see Conditions of use.
> I hold GBG and am hanging on to mine for the present for the following reasons
> - Large deposits.
> ...





Thanks a lot mate!
I am still holding GBG up to today and I will keep on holding to it. I think one day it will pay off.


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## plowking (29 May 2008)

Hi all,

New to the boards. Just wondering what was with the dip in price today after 5 or so days of good gains. I've always heard this company has big potential, and is one of the reasons I got on board, though it's yet to really fufill it. Does anyone see some major gains in the near future, or will it be battling at the $1.70 mark until production.


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## oldblue (29 May 2008)

plowking said:


> Hi all,
> 
> New to the boards. Just wondering what was with the dip in price today after 5 or so days of good gains. I've always heard this company has big potential, and is one of the reasons I got on board, though it's yet to really fufill it. Does anyone see some major gains in the near future, or will it be battling at the $1.70 mark until production.





Who knows?
It's quite normal to see a retracement after a sustained increase in SP - profit-taking and all that!
I guess a trader might want to do just that ( ie, take profits ) but I'm holding on for a while yet. Don't think it's useful or realistic to try to guess the course of prices out to actual production. Too much can/could happen between now and then!


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## DarkyII (29 May 2008)

DYOR, you shouldn't be investing into investments of this nature if you can't draw simple conclusions. We arn't allowed to provide you with investment advice here, nor should we. Try a bank I hear they go up 6.5% pa.


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## MR. (29 May 2008)

plowking said:


> Hi all,
> 
> New to the boards. Just wondering what was with the dip in price today after 5 or so days of good gains. I've always heard this company has big potential, and is one of the reasons I got on board, though it's yet to really fufill it. Does anyone see some major gains in the near future, or will it be battling at the $1.70 mark until production.




Didn't GBG just have a major gain?   What $0.70 to $1.80 in what, one month!

It is a pitty, but most of the time it is everyone for themselves. Treads run wild when the price is rising just adding fuel to the fire. Sucks a few extras in to buy some more shares. While some run out the back door. I liked GBG at $0.73 when I bought. And I explained why. At $1.80 it is a different story.

Although I will say that Ansteel has FIRB approval for their 50% chunk of the mine. They have had it since last September from memory. Ansteel has just under 15% in GBG shares as well from memory. Ansteel I read has had a application in at the FIRB recently. (read it about 5 weeks ago) As they already had FIRB for the 50% their application must be to increase their stake from their 15% or they are investing in another project in Australia. I wondered if the recent share price has anything to do with this.


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## Bosco (31 May 2008)

If you subscribe to the Eureka report there is a long article on GBG this week by Charlie Aikens brother.


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## Djayness (3 June 2008)

New announcement is up on ASX



Date of lodgement: 02-Jun-2008
Title: Open Briefing ®. CEO Outlines Expansion Plans & Opportunities
Record of interview:
corporatefile.com.au
Gindalbie Metals Limited (ASX Code: GBG) have commenced a Feasibility Study
on increasing the magnetite start-up production rate of the Karara Iron Ore Project
from 8 Mtpa (4 Mtpa concentrate and 4 Mtpa pellets) to 12Mtpa of magnetite
concentrate. The Feasibility Study will also assess the viability of further
increases to the magnetite concentrate production rate. How long will this take?
Would any additional capital be required above your original BFS estimate? What
would the likely product mix (concentrate vs. pellets) be under an expanded
production scenario?
CEO Garret Dixon
You have to think about where Gindalbie came from. When we started with our
equal joint venture partner Ansteel we thought we had a 400 million tonne
Exploration Target at Karara and we looked at a potential mining rate of 20 Mtpa
to provide our estimated concentrate production rate of 8 Mtpa.
However, Karara has proven to be a much richer orebody than first anticipated
with drilling to date defining a 497 million tonne Reserve plus a 929 million tonne
Resource of available magnetite iron ore. We are currently drilling to define our
magnetite Exploration Target of 2.2-2.8 billion tonnes, which would equate to 0.9-
1.1 billion tonnes of concentrate grading 68-69% - or 1 billion tonnes of a high
grade Direct Shipping Ore equivalent, if you like.
As a result, our production rate could comfortably be three times the level of our
Bankable Feasibility Study and possibly more. As a first stage, we’ve started to
look at increasing the start-up rate to 12 Mtpa. We know that Ansteel are also
very keen to get more ore for their own expansion plans, which involve lifting
their finished steel production from 24 Mtpa to more than 50 Mtpa by 2011.


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## Bosco (12 June 2008)

Everyone seems to have gone quiet. I may only be one small bear but it is hard to see that the fundementals on GBG have changed that greatly in the last two weeks to cause the share price to give up around 20 per cent. Am I watching the GBG baby get thrown out with the bathwater after taking a bath the last week. Perhaps I should just go back to the cave and hibernate for a while. My gut instinct is that emotion is driving the market and some nasty technical end of FY stuff. Maybe I am just hopeful.


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## U38 (18 June 2008)

CCZ Equities Research out on the GBG web site.
Any opinions ?
http://www.gindalbie.com.au/Investor+Relations/ASX+Announcement/default.aspx


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## Sean K (18 June 2008)

Bosco said:


> Everyone seems to have gone quiet. I may only be one small bear but it is hard to see that the fundementals on GBG have changed that greatly in the last two weeks to cause the share price to give up around 20 per cent. Am I watching the GBG baby get thrown out with the bathwater after taking a bath the last week. Perhaps I should just go back to the cave and hibernate for a while. My gut instinct is that emotion is driving the market and some nasty technical end of FY stuff. Maybe I am just hopeful.



Natural correction after doubling in a month. I was just in for a chart trade on what looked to be some good tech indicators and market sentiment. Not sure about FY loss selling, it's up where it was aroundabout last year...


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## oldblue (18 June 2008)

U38 said:


> CCZ Equities Research out on the GBG web site.
> Any opinions ?
> http://www.gindalbie.com.au/Investor+Relations/ASX+Announcement/default.aspx





CCZ's updated estimates assume that GBG will opt for 50% increase in start up volumes to 12 mtpa for Karara and 3 mtpa for the Mungada DSO. Announcement on the decision is expected by October, 2008.
All looks pretty logical to me that the JV would go for the bigger volumes, given the state of the iron ore market. Environmental approvals are still the vital issue, IMO.
As for CCZ's numbers, let's hope they know what they're doing!


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## Bosco (29 June 2008)

Came out of my cave yesterday. The SMH had an article by Marcus Padley 28 June in the business section. He talked about 600 brokers attending a lunch to give out awards. A Calcutta was held as to what will be the share that does the best in FY 2008-9. Someone (broking house) paid $36000 for was GBG. This was the top price with Karoon gas behind. Last years was won by the Southern Cross  boys who picked Fortescue.  I hpoe they are right.


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## Frankhalo (29 June 2008)

Spot on Bear, we may have to roll up to next years awards too to collect our prize.


Charities in luck as brokers go for broke at casino
Padley 
June 28, 2008 

15th annual Australian Stockbrokers Foundation Awards night last week. A charitable affair. Into the valley of the shadow of the Star City casino rode the 600 (stockbrokers). A lethal combination of bull, bear, Crown Lager, De Bortoli wines and a dance floor.

Mixed in with the awards were some notable displays of charity and a Calcutta stock auction. This involved auctioning eight stocks. The idea was to buy the stock that would perform the best in the next 12 months. Fortescue won last year's Calcutta and Southern Cross Equities promptly re-donated its winnings. The most sought after of the eight was Gindalbie Metals, which fetched a hard-fought $36,000, closely followed by Karoon Gas ($35,000), Sunshine Gas, Nexus, Equinox, Pan Australian, Aquarius Platinum and, bargain of the night, Paladin at $10,000. Total raised $145,000. It seems the broking community has spoken. Resources are the only game in town, with iron ore the obvious play and coal bed methane close behind.


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## Bosco (29 June 2008)

Good to see someone is responding to GBG news. I find it amazing that if GBG is what the 600 brokers put at the top of their list, or at least those willing to stump up $35000 that we do not hear more about GBG. I hope Charlie Aiken from Southern Cross chose the Bosco Bear retirement fund as his chosen charity. After the Goldilocks fiaso a litlle porridge in the bowl would be nice.


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## Frankhalo (29 June 2008)

We have a lot to look forward to little bear. Two EPA approvals in the next 12 months, resource upgrades to our region of holdings late July, early August and continuous funds from our joint venture partners. You should look into legal action against Goldilocks and her well publicise home invasion too...


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## chimp (9 July 2008)

Hengseng, 

are you still around. more than six months ago, you said GBG is likely to maintain at about $1.3 level before real production. it seems.......you're right..... unfortunately.


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## MR. (9 July 2008)

chimp said:


> Hengseng,
> 
> are you still around. more than six months ago, you said GBG is likely to maintain at about $1.3 level before real production. it seems.......you're right..... unfortunately.




Or was that $1.10 - $    ????

I believe BBY dropped their Strong Buy, when that was I don't know.... 
Must have been sometime ago....


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## hangseng (10 July 2008)

chimp said:


> Hengseng,
> 
> are you still around. more than six months ago, you said GBG is likely to maintain at about $1.3 level before real production. it seems.......you're right..... unfortunately.




Yes I am still here and I still have my GBG. One of the few stocks still in good profit with the latest downturn.

BBY have not changed their view of GBG and I believe GBG is about to be rewarded. Still not yet confirmed however it is no accident that the MMX share price is suffering greatly, speculation is rife in Perth that MMX will not achieve it's rail option. 

I am firmly of the opinion that GBG will be a major beneficiary of the new Oakajee rail line option. What I do know as fact, is that no matter what the WA govt considers GBG as critical to the long term viability of the port and rail.

Time once again will be my judge.

ps. Miner, how is the paragraphs?


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## Miner (10 July 2008)

hangseng said:


> Yes I am still here and I still have my GBG. One of the few stocks still in good profit with the latest downturn.
> 
> BBY have not changed their view of GBG and I believe GBG is about to be rewarded. Still not yet confirmed however it is no accident that the MMX share price is suffering greatly, speculation is rife in Perth that MMX will not achieve it's rail option.
> 
> ...





Hi Hangseng

Thanks

Paragraph and content both are excellent. 

Please keep it up and it seems you might have sacked your secretary or make him or her redundant having his or her job in your hand 

Now please lift the share market up too - I need to see my  reds to be green.


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## MR. (11 July 2008)

hangseng said:


> BBY have not changed their view of GBG




This is nice to know then.  I am sure on commsec GBG / RESEARCH / FORCASTS...... BBY used to be there with a strong buy. It is not now. 

However on the 27/6/08 BBY released another report.  Perhaps you are right there and they might be just recommending to their clients. Fair enough if this is the case and so I understand the drop off Commsec.  The report title on the 27/6 does sound positive.  No down ramp intended here.


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## hangseng (16 July 2008)

DYOR but I can do nothing but buy again with GBG at current prices. The best thing about this market is that it provides excellent opportunities not often seen.

With just so much about to occur such as the rail, port upgrade and enviro approval and extending the lodestone resource GBG will only get much bigger and better. 

I note with interest a passing comment from Allanah McTiernan yesterday, 'hinting' of the 20Mt upgrade of Geraldton Port to stave off any delay with Oakajee. Strange that, about the same capacity that Gindalbie has indicated.

You should see the excellent engineering and enviro people leaving Rio projects in Perth to join Gindalbie. I see this as a major positive to be able to attract people of this calibre and expertise. 

I do know the review of rail proposals is well underway, no hint of a winner yet but no guessing what my money is on. The best thing is that GBG wins either way on rail, the WA Govt has made it clear that the rail is reliant on Karara/Gindalbie. As it is to the long term benefit and viability to the rail operation.

SCE report extract below.

*WHAT THE BROKERS SAY: Sarah-Jane Tasker | July 14, 2008 *
_source: http://www.theaustralian.news.com.au/story/0,,24013400-643,00.html_

Gindalbie Metals (GBG) 

Southern Cross Equities. Buy recommendation . 12-month share price target of $2.35 . Last traded at $1.17 

_"GINDALBIE is an emerging mid-cap iron ore producer, well placed to benefit from the new prices being secured by the big miners. Its Karara project in the Mid West region of WA is capable of generating substantial production and earnings for Gindalbie. In the first year of full production, likely to be in 2012, Southern Cross Equities estimates NPAT of more than $600 million on rising iron ore prices. The magnetite project should be a major contributor to earnings. "Management has a vision, which is founded in the size of the Karara resource, of attaining a production rate of more than 30 million tonnes per annum once a new port and infrastructure are in place," Southern Cross Equities told its clients. Driven by the new pricing paradigm in iron ore, as encapsulated in the appended Metalytics' analysis and forecasts, the economics of the Karara Project are extremely robust. "However, in the new world that brings higher prices, there are also enhanced risks in the areas of capital and operating costs, offtake over the long term and infrastructure competition," Southern Cross said as a risk warning. It said one of the greatest risks in magnetite concentration is the cost of energy, relating to the need for fine grinding. Mitigating this energy risk is a 15-year supply contract already signed with Verve Energy for enough power to support 12 million tonnes of concentrate a year."_


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## Sean K (17 July 2008)

hangseng said:


> DYOR but I can do nothing but buy again with GBG at current prices. The best thing about this market is that it provides excellent opportunities not often seen.



I agree, looks well oversold to where it sits. On my close watch list for the possibility of a nice bear rally after the relentless selling of the past 2 months. Hitting support around the .90 area as well. 

Probably put it's JV partner ROY in the same boat, but more spec of course.


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## big sal (18 July 2008)

i am also looking to buy in hopefully if/when the price drops to the .80 level, but it seems to be holding up around the .90 mark. will wait and see what happens early next week. GBG anor of the IO hopefuls which had a big kick up in may but now dropping fast again.


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## Sean K (21 July 2008)

Potential bottom here, pending general market implosion.....

It's hit the target from the H&S too....


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## hangseng (26 July 2008)

Oakajee Port and rail decision by WA govt next week. See todays West Australian.

Agreed Kennas, GBG has encountered very strong support in the 90's I can't see this going any lower now. I just wish I had some free funds.


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## lucifuge (26 July 2008)

I'm not so sure about the potential bottom at current level suggested Kennas; the money flow is quite negative and seems to be accelerating if anything. I would expect it more likely that the price to keep falling and breach this level , but the general market direction will dictate more than anything.



kennas said:


> Potential bottom here, pending general market implosion.....
> 
> It's hit the target from the H&S too....


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## jonojpsg (4 August 2008)

Resource Upgrade out!  Surprised noone has mentioned it yet as it's HUGE!

1.85 billion tonnes of 35.5% Fe magnetite or equivalent to about 900 Mt of premium grade haematite!  Should give them a MC of way above where they are at when you crunch the numbers.

Have to wait until people realise this I guess


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## poretti (4 August 2008)

yes i saw this ann this morning, 10 hours later i check forums tonight and no one is interested!  whats the deal jonojpsg?


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## gfresh (16 August 2008)

Anybody else thinking that this is bargain territory at the moment for a longer-term hold? I know commodities are not so hot anymore, but this has predated this significantly, so may not fall too much further.  

Still consolidating around Kenna's 90c mark at the moment a month on. 

RSI hovering on oversold 30's, MACD consolidating

Could go one of two ways at the moment 1.  60-70c, which would make it even more attractive 2. continued consolidation 3. even a bit of a pickup to $1.00 mark. 

Funding is assured from Ansteel, no nasty surprises so far, management seems to be meeting or exceeding stated objectives. Resource upgrade of 1.85bn tonnes has been ignored, but is very significant. Very long mine life and high quality product will be in demand once production occurs (as stated in diggers & dealers presentation)


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## trillionaire#1 (25 August 2008)

well i dont know if were at bottom but i reckon gindalbie looks close to a buy price for me.....all aboard:bowser:


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## Sean K (26 August 2008)

trillionaire#1 said:


> well i dont know if were at bottom but i reckon gindalbie looks close to a buy price for me.....all aboard:bowser:



trillionaire, why is it close to a buy price for you?

FA?
TA?

I'm not sure if we should all get on board because it's at your buy price either.  

Anything else to add?


As mentioned by others above there's some long term support between 70 and 90c, which I called as a potential bottom, but support lines in commods across the board haven't meant a real lot recently. 

Wonder if we'll look back at this period and realise it was a great opportunity to pick up some resource stocks at a good price, or the boom ended in June 08.


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## MR. (26 August 2008)

656,000 on close at $0.81

645,467 of those were from (2) sellers at close.

Not sure about the up bit. But the price is better than $1.80 if you want to buy. Also buy side seems stacked at $0.80


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## trillionaire#1 (27 August 2008)

kennas,as you mention i see a price range of about 70 - 80 cents as a support level . 
a few professional recommendations for this stock lately also.
i bought some Gindalbie shares earlier this year and made a quickfire 100%+ profit,so im going to cast a few dollars in, should lightning strikes twice.


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## MR. (27 August 2008)

GJ bought what 1-1.5 million at about these prices 4 months ago. 
The OP broker sell off in April had pushed the price down to 70. When the market knew (assumed) the sell off was over with the last millions changing hands up she went trading near t/o of 12 million for 3 days from 1.5 million the day before.  The buy side (before take off) was very heavy for many days and perhaps weeks.

Traded near t/o 4 million today.  After a disappointing morning rally, pumped no doubt by the staked buy side up she went some.  And at close, did not have any large sellers appearing.  Some of the other Iron Ores had a similar and better bursts today.  (which happened back in May)

Is it value?  Perhaps, but I have been waiting for the mid to low 70's.  
I'm just too picky and so miss out.


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## Out Too Soon (8 September 2008)

Seems to have found support at abt .81c which I'm thinking is a good level to get back in. 
Haven't held this one for quite a while- since before it got way ahead of itself. Wasn't I kicking myself when I took a small profit only to see it double.

Hopefully when I reinvest this time I will hold on & not get 'out too soon'.
	

	
	
		
		

		
			




every 6 mths or so I spend over an hour looking up how to insert a chart in this. grrr there's nothing in the FAQ & try doing a search for charts in the forum.


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## Pat (8 September 2008)

Out Too Soon said:


> every 6 mths or so I spend over an hour looking up how to insert a chart in this. grrr there's nothing in the FAQ & try doing a search for charts in the forum.



Hey Out too soon.

Cut n paste a chart in windows paint, draw some nice lines then save it to my docs or something (save it as a GIF file in the from the drop down menu on the save screen)

the clieck on "manage attachments" in the 'post a reply screen', the click browse, find your chart and then click ok, when you finissh post your post it'll show under your writings.


----------



## Out Too Soon (8 September 2008)

Thanks Pat, heres that chart. ( I hope)


Seems to have found support at abt .81c which I'm thinking is a good level to get back in. 
I like those two little gaps down too, the one from a dollar down to .98c hasn't been covered yet either.


----------



## Pat (8 September 2008)

Out Too Soon said:


> Thanks Pat, heres that chart. ( I hope)
> View attachment 23797
> 
> Seems to have found support at abt .81c which I'm thinking is a good level to get back in.
> I like those two little gaps down too, the one from a dollar down to .98c hasn't been covered yet either.



I think a thread with some screen dumps would help with charting/posting pics, or screen dumps in the FAQ. I'll do some tonight and post it in the beginners forum. Maybe a Mod can add it to the FAQ...

I like 80 cent level too, I like 55-60 cents better. Although I think iron ore is a little unloved ATM.


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## Datsun Disguise (23 September 2008)

MR. said:


> Is it value?  Perhaps, but I have been waiting for the mid to low 70's.
> I'm just too picky and so miss out.




So MR - how are you feeling about it now that we are in the mid to low 70's. Looking back to '05, the chart seems to have broken out of the channel on the low side - perhaps just an overcorrection due to some big channel breaks on the upside.

What is it about projects that are approaching production - interest seems to dry up. Is making money that boring?


----------



## oldblue (24 September 2008)

I'm afraid that new projects don't look so appealing in these uncertain times and in GBG's case there's still a fair bit of i's to dot and t's to cross!
I'm holding but don't expect a quick SP recovery.


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## Bosco (6 October 2008)

GBG at 57 cents. Would someone please come and get me when it is safe to come out of the cave. Much appreciated.


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## fairdinkum (26 October 2008)

hi everybody!

any comments on the September quarterly report? it says:

"The Public Environmental Review process for the hematite phase of Karara has now been completed and the Joint Venture has responded to all of the public submissions. The Joint Venture has been in discussions with Western Australia’s Environmental Protection Authority (EPA) regarding approvals for the hematite phase of Karara and is awaiting the final EPA assessment, which is expected in the December Quarter.
The hematite start-up phase of Karara is made up of iron ore deposits which occur on both the Karara and nearby Mungada tenements. Last year, the WA Government handed down its Strategic Review of the Banded Iron Formation Ranges of the Mid West and Goldfields, which outlined areas where the Government favours mining development and preferred sites for conservation in the region, as well as highlighting further areas for investigation. The report highlighted the Mungada Ridge tenements, which contain part of the Company’s hematite resource inventory, as having significant biodiversity value and therefore presenting some environmental challenges. The Karara area, however, was recognised as an area on which the Government would support mining development.
After lengthy discussions and negotiations the Joint Venture has made the decision to withdraw the resources contained on the Mungada Ridge from its current project assessment until such time as it has a more comprehensive understanding of the conservation and mineralogical value of the area. Assessment is continuing on the hematite resources contained on the Karara tenements.
Even with the removal of the Mungada Ridge tenements from the current assessment Gindalbie expects to still be able to proceed with development of a Direct Shipping Ore operation in 2009 at an initial start-up rate of
1.5Mtpa, increasing to 2Mtpa, based on existing resources. In addition, the Company remains confident of being able to expand the Project’s hematite resources by continuing exploration of a number of as yet untested DSO grade outcrops across the tenement area."

how does the news affect your mid-term valuation of GBG?

it's been a steep downhill ride during the last few weeks. the market is obviously pretty rough atm.

still think the odds for GBG are not too bad long-term, once general market sentiment gets a little better (back to normal?). not the best timing for the company, though.

p.s. great forum, good to be on board now.


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## Lachlan6 (26 October 2008)

I have been watching GBG for a while yet it has not given any sign that an entry is forthcoming. The stock looks to be in the larger corrective wave (C). Within this, I have placed the stock in the wave 4 of the larger wave (5). This would suggest we should have some more consolidation before the stock makes new lows into the wave 5. From there, the big question is can it impulse higher or will it chop and grind its way higher. This will be important as it will tell us if the stock is ready to start a major trend higher or not.


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## oldblue (26 October 2008)

Hi fairdinkum

I think the company has previously signalled some environmental doubt over the Mungada ridge so withdrawal of this relatively minor area shouldn't be a surprise nor have a major impact.
The big issue is still the demand for and price of iron ore and how China's growth stands up. We might have to accept some delay here but eventually the investment made in GBG by the Chinese will result in action.
I'm holding but won't be buying more until current trends ( Price of Iron Ore and SP ) reverse.


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## fairdinkum (26 October 2008)

oldblue said:


> I think the company has previously signalled some environmental doubt over the Mungada ridge so withdrawal of this relatively minor area shouldn't be a surprise nor have a major impact.




agreed. (just needed a peg on which to hang on my post; wanted to bring the thread and the company back to everybody's attention)

still wondering if the Chines backing  (Ansteel, CDB) is a huge competitive advantage. on the one hand founding is easier, even more so in these troubled times.

on the other the dependence on Ansteel actually requiring (and buying) the ore seems as a kind of disadvantage to me.
how do you estimate the ratio between Karara and the non-jv projects?

furthermore there's not so much fantasy involved when it comes to market consolidation / take-over bids, cf. what happened in the past to Midwest, Murchinson.
Lest we forget the SDL episode!!


----------



## oldblue (27 October 2008)

fairdinkum said:


> agreed. (just needed a peg on which to hang on my post; wanted to bring the thread and the company back to everybody's attention)
> 
> still wondering if the Chines backing  (Ansteel, CDB) is a huge competitive advantage. on the one hand founding is easier, even more so in these troubled times.
> 
> ...




I would say "assurance" on funding is not only important but essential the way the markets for commodities are shaping up. I don't expect any quick miracles - GBG will be delayed along with everyone else but when things pick up they should be one of the first to get underway. I suspect a lot of the other "emerging " producers without strong shareholders/customers will just be quietly forgotten about for some time.
As for ratio of the value of JV to non-JV projects, I wouldn't know where to start to estimate this. I don't think it's very important just now - any action is bound to be JV in the next year or so.
Similarly, I think we are well placed not to be a takeover target at this time. Any bids are going to be at bargain prices and not attractive to shareholders.


----------



## mayk (3 November 2008)

I think Ansteel is sneaking and launching a takeover war with this lucrative financial offer in these perilous times.

What do people think of this offer from Ansteel?



> SECURITIES EXCHANGE ANNOUNCEMENT & MEDIA RELEASE
> 
> 3 November 2008
> 
> ...


----------



## oldblue (4 November 2008)

I doubt whether it's a prelude to takeover but more a case of AnSteel taking advantage of the situation to secure a shareholding - to supplement its position as a party to the joint venture. Bear in mind that AnSteel are obliged to facilitate a loan to GBG to enable the latter to pay its share of the JV. The terms of such loan may be such that GBG would prefer instead to have AnSteel as a shareholder but it seems to me that GBG could insist on the original arrangement if it takes a mind to do so.

A lot will depend on the price at which AnSteel is to/would buy in. If it's high enough the " comfort" of securing the project will outweigh the dilution of existing shareholders.


----------



## Frankhalo (4 November 2008)

“These equity funding discussions confirm AnSteel’s commitment to the project and highlight the strength of the long-
term relationship Gindalbie has with its joint venture partner. In the current market this is a very positive alternative as
it would leave Gindalbie itself debt-free,” said Gindalbie’s Chairman, Mr George Jones.

This speaks volumes, GBG is debt free bloody brilliant, all earnings down the track in the lap of share holders and JV partner.


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## oldblue (4 November 2008)

Let's wait and see to what degree this arrangement will dilute existing shareholders. There will be a point at which debt facilitated by AnSteel - " on acceptable terms" I think the agreement stipulates - will be more favourable than selling down too large a chunk of the "farm".


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## onebytwo (7 November 2008)

Gindalbie and Ansteel agree on new share issue to fund GBG's portion of equity contributions. Ansteel receives 190m shares at 85c a piece. Proposal still awaits shareholder and regulatory approvals. See announcement at asx.com.au


----------



## MR. (7 November 2008)

onebytwo said:


> Gindalbie and Ansteel agree on new share issue to fund GBG's portion of equity contributions. Ansteel receives 190m shares at 85c a piece. Proposal still awaits shareholder and regulatory approvals. See announcement at asx.com.au




Not a bad outcome.

105% permium to current share price.  Thought it may have taken longer for the outcome news.  
---------------------
http://www.asx.com.au/asxpdf/20081107/pdf/31dgzm5hvpm060.pdf

● Proposed share placement to AnSteel comprising 190.7 million shares at A$0.85 per share.
● Issue price represents a 105% premium to the closing price of Gindalbie shares on 31 October 2008.
● AnSteel poised to make final equity contribution of A$143.68 million to Karara.
● Reduces funding risk and leaves Gindalbie debt-free in the current credit market environment.


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## oldblue (7 November 2008)

Yes, a good outcome for GBG shareholders in the circumstances of the iron ore and share markets.
Not too drastic a dilution and should ensure that the Karara project proceeds as scheduled.


----------



## golfmos123 (8 November 2008)

I think it is better than a good outcome.  I was worried that the share placement was going to take place at a discount to the market not at a premium.  But dilution isn't that bad, and the price premium settled on must have some sort of reflection on future predictions of performance.

I guess it is almost like Ansteel taking out options......


----------



## jonojpsg (9 November 2008)

Yeehaa!!

I took GBG for November Stock Tip  Finally I might get a win!!  

Oh well, better wait and see what Mr Market has to say before I count my chickens


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## MR. (12 November 2008)

and George Jones continues to show his support in GBG.  Where are the buyers?  Ansteel is buying more @ $0.85
I guess we have locked ourselves in a cupboard somewhere.   

http://www.asx.com.au/asxpdf/20081112/pdf/31djt9gk1q6dd7.pdf

Yesterday GJ bought 1,000,000 more shares at (average) $0.4163
I feel some confidence here!


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## fairdinkum (17 November 2008)

The company seems quite confident about the good outcome of their flagship project, just check the vacancies section on their website:


http://gindalbie.com.au/Careers/Vacancies+-+Karara+Iron+Ore+Project/default.aspx

 surely not a bad sign...


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## oldblue (18 November 2008)

Having got AnSteel further committed to the project it's hardly the time to go slow on development..
Let's hope that by the time the first ore is dug the demand has improved and the price stabilised.


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## onebytwo (5 December 2008)

S&P has rebalanced its index and included GBG in the ASX200.

See announcement.

Hopefully this can put a more positive spotlight on GBG and encourage more retail and intso investors.


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## Surly (19 December 2008)

Opened Monday 15th Dec at 42 cents
Closed Friday 19th Dec at 64 cents so up over 50% for the week.

Volume Monday to Thursday 5,322,890 and Friday 13,759,662 with a huge proportion of this on close and some very large orders at close.

Could this simply be inclusion in ASX200 or is there a larger announcement pending?

cheers
Surly


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## onebytwo (23 December 2008)

Gindalbie Metals Chairman George Jones has purchased another 500,000 GBG shares.

See announcement at asx.com.au


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## eladamrine (7 January 2009)

GBG shares went from 62 cents to 67/68....i've searched and theres no new announcements. Whats with this?


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## oldblue (7 January 2009)

eladamrine said:


> GBG shares went from 62 cents to 67/68....i've searched and theres no new announcements. Whats with this?




With a bit of luck it might mean that a (favourable) Environmental Review decision is expected soon.

Here's hoping!


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## fairdinkum (10 March 2009)

oldblue said:


> With a bit of luck it might mean that a (favourable) Environmental Review decision is expected soon.
> 
> Here's hoping!




.... still hoping

found an interesting article on the net.

http://www.bloomberg.com/apps/news?pid=20601081&sid=ay1fZgzzmAtg&refer=australia


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## bigdog (19 March 2009)

GBG SP today up 1 cent to close at 57.5 cents

http://www.theaustralian.news.com.au/story/0,,25210702-36418,00.html?from=public_rss

*AnSteel faces delay on Gindalbie deal approval*

Stephen Bell | March 19, 2009
Article from:  Dow Jones Newswires

CHINA'S Anshan Iron & Steel Group Corp has been asked to re-submit its application to Australia's foreign investment review board to buy a $162 million stake in Gindalbie Metals.

The move, which could delay a go-ahead for the $1.8 billion Karara iron ore project, may increase worries among cash-strapped miners that the Australian Government is delaying decisions on a host of Chinese investment applications.

“In recent days AnSteel was asked to re-submit its application,” a person familiar with the situation has told Dow Jones Newswires.

“The 30-day limit was coming up and a decision wasn’t going to be made in time, so they were asked to withdraw it and re-submit.”

A spokesman for Treasurer Wayne Swan, who will make the final decision on the application, wouldn’t comment.

An AnSteel spokesman wasn’t immediately available for comment. But earlier this month AnSteel chairman Zhang Xiaogang said he was confident the Chinese company would receive approval from the Australian Government.

The Gindalbie investment is also subject to approval from China’s Ministry Of Commerce, Mr Zhang said at that time.

AnSteel is applying to increase its Gindalbie stake to 36.3 per cent from 12.6 per cent, via a placement of new shares.

Gindalbie shareholders approved the deal early last month and AnSteel lodged its FIRB application in mid-to-late February, the person said.

FIRB usually commits to making a decision on an investment in 30 days of receiving an application. It can extend that decision by a further 90 days.

By asking AnSteel to re-submit, FIRB will have another 30 days to consider the deal with the option of further extensions to the process.

Gindalbie and AnSteel are joint owners of Karara, a Western Australian iron ore development that would employ around 1200 people during construction.

The delay comes as Australia’s Government considers a raft of Chinese mining investment proposals, including the $US19.5 billion investment by Chinalco in Rio Tinto .

FIRB is also probing a $2.6 billion takeover offer for OZ Minerals by China’s Minmetals.

FIRB considers whether the individual deals are in Australia’s national interest before making recommendations to Treasurer Swan.

There has been growing opposition this week to the Chinalco deal, and Rio shares fell 8.7 per cent on Wednesday as investors speculated that the Australian government may reject the deal.

FIRB this week extended its examination into the Chinalco deal by as long as 90 days.

Perth-based Gindalbie has already experienced significant delays on Karara, where it has spent $200 million to date on exploration and feasibility studies.

AnSteel bought into the venture in 2006 and it was initially due to start exports in mid-2008.

However the partners have been held back by a lengthy environmental approvals process, and are still waiting on final Western Australian state government go-aheads.

Last month Gindalbie chairman George Jones said that he was “concerned” about political delays in sanctioning the AnSteel deal.


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## Out Too Soon (16 April 2009)

Should I put this in potential breakouts?
 I think it depends on the rest of the mkt, if the bull is back for real, or are us optimists abt to get burnt. (again)


----------



## oldblue (16 April 2009)

Well, I'm a charting illiterate but this prompts the thought that the FIRB must be due to either:

- announce its decision, or

- extend it's 30 day review period another 30 days, or

- announce a 90 day period.


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## fairdinkum (28 April 2009)

finally some good news:

"The Environmental Protection Authority has given long-awaited conditional approval for plans by Gindalbie Metals to mine iron ore at its Karara magnetite project east of Geraldton.

The $1.8 billion project is expected to create more than650 new jobs in the State’s Mid-West, more than 1500 jobs during the construction phase and generate annual export revenue of about $1 billion.

The EPA said with the protection of a portion of Mungada Ridge in Class A nature reserve and with the implementation of ministerial conditions, development of the Karara proposal could go ahead.

The authority also gave conditional approval for the development of the neighbouring Blue Hills North deposit, part of the Mungana project, which is to be developed in conjunction with Karara.

Gindalbie has welcomed the long-awaited approval, saying it expected on-site construction to begin in the second half of the year.

However it said it would consider appealing a condition that recommended the Terapod deposit be included in the Government’s conservation area.

Gindalbie said it had agreed to relinquish the Mungada Ridge tenement provided it secured approval for mining the Karara, Blue Hills North and Terapod deposits as well as being able to establish associated infrastructure.

“The joint venture partners are currently reviewing this issue, the findings of the EPA and the conditions attached to the report to determine whether they will appeal any conditions,” Gindalbie said in a statement.

Premier Colin Barnett said if approved by the Liberal-National government, the project would generate about 2000 jobs and help to secure the State’s economic position during the global financial crisis.

“The EPA’s view that mining in this area would not increase the threat status of species and communities with the establishment of a Class A nature reserve and the implementation of the recommended Ministerial Conditions in relation to vegetation, fauna and rehabilitation, is good news for the State,” Mr Barnett said.

“We are a Government which makes decisions in the best interests of the State. We are showing through our actions that development can be done while ensuring high environmental standards are met.

“This project and others that are likely to follow, highlight the importance of the Oakajee Port development as a world-class facility that will result in economic growth and provide jobs within Western Australia and nationally.”

A two-week public appeal period on the EPA report will close on May 12.

Environment Minister Donna Faragher will then make a final decision.

Gindalbie is developing Karara through a joint venture with Chinese steel producer, AnSteel.

However the company is still waiting on Federal Treasurer Wayne Swan to approve a plan under which AnSteel will invest $162.1 million to boost its stake in Gindalbie from 12.6 per cent to 36.3 per cent.

Gindalbie plans to deliver 10 million tonnes of iron products from Karara from 2010, comprising 8 million tonnes of high grade magnetite concentrate and blast furnace quality pellets a year as well as2 million tonnes of direct shipping hematite ore a year.

Gindalbie shares closed up 3 cents, or 4.65 per cent, at 67.5 cents after hitting an intraday peak of 70.5 cents."

from the West Australian


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## oldblue (9 May 2009)

FIRB approval received after market close.

Somebody guessed it was coming. Yeah, right.


http://www.theaustralian.news.com.au/business/story/0,28124,25448790-5005200,00.html


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## Frankhalo (10 May 2009)

The FIRB ann is very good news along with the recent EPA tick. Good to finally see the ball rolling, troops on the ground now does not seem that far away and all this in the middle of the GFC, speaks volumes on the quality of the GBG team and Karara project. Look forward to the Lodestone project details now being released.


----------



## vincent191 (8 June 2009)

Now that the Chinese had lost RIO and Pilbara maybe they will go for the second rank players? Maybe GBG may come into play? 

Maybe to get back into the Chinese good books BHP and RIO may allow GBG to use their rail and Port facilities (for a fee of course). 

If this comes about GBG can start shipping their high quality DSO stuff in 6 months. The high quality ore is basically dig and ship with very little value added. Perhaps it need to be grinded down to fines but this is not rocket science and I think GBG has got some of these mills already on order. The all important ingredient that is needed is the infrastructure to get the ore to China.

 The lower quality ore needs more processing to strip off the ore. Special pellet plants need to be built and may take about 2 years. They can most probably reach 30 mtpa within 3 years.

I had a dream that the Chinese will now turn their attention to Companies like FMG & GBG.


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## oldblue (9 June 2009)

Well, Ansteel already have a 36% interest in GBG. I'm not sure that they want more at this stage.
As for infrastructure, port and rail facilities are either secured or in hand. The plant is being built or is on order. The biggest outstanding issue, IMO, is final environmental approval but the company appears to be confident that this will be obtained in due course.
Every reason to be positive about GBG's prospects but good things take time.


----------



## bigdog (23 June 2009)

http://www.thebull.com.au/articles_detail.php?id=4155

*Gindalbie secures $162m Ansteel approval*
23.06.2009 08:38 AM 

Gindalbie secures $162m Ansteel approval Iron ore miner Gindalbie Metals Ltd says it has secured Chinese government approval for a $162.06 million share placement to its joint venture partner, Ansteel.

Iron ore miner Gindalbie Metals Ltd says it has secured Chinese government approval for a $162.06 million share placement to its joint venture partner, Ansteel.

Gindalbie said in a statement that the Chinese approval was the final condition required to complete the placement of 190,658,824 shares with Angang Group Hong Kong (Holdings) Limited at $0.85 per share.

Gindalbie shares closed in Australia on Monday at 80.5 cents.

The company received approval for the transaction from the Foreign Investment Review Board (FIRB) in May.

Gindalbie said that the completion of the share placement would allow it and AnSteel to make final equity contributions of $143.68 million each to complete the entire $534 million equity component of the funding package for Gindalbie's Karara Iron Ore Project near Geraldton, in Western Australia.

Gindalbie has said the balance of the capital for the Karara Project will come through a Project Loan Facility of up to US$1.2 billion from the China Development Bank (CDB).

Following the share placement, Gindalbie says Ansteel will hold 36 per cent of Gindalbie.

"It's all systems go for Karara and we are continuing to work very hard to achieve final Ministerial approvals to enable us to be on the ground during the December Quarter of this year to begin construction," Gindalbie Managing Director, Garret Dixon, said in the statement.


----------



## bigdog (24 July 2009)

http://www.egoli.com.au/news/post/Minister-upholds-Karara-project-appeals.aspx

by Ben Larsen 24 July 2009 14:54 
*Minister upholds Karara project appeals*

Gindalbie Metals Limited (GBG) said all of the key appeals lodged by the Karara Joint Venture against the Environmental Protection Authority’s recommendations and conditions for the Karara Iron Ore Project have been upheld. Western Australian Environment Minister, Donna Faragher, upheld the appeal on the Terapod hematite deposit, clearing the way for it to be mined, together with the Blue Hills North hematite deposit as part of the 2.0Mtpa hematite phase of the Karara Project.

The iron ore producer said the Minister indicated that she would now consult with other relevant Ministers to obtain agreement on the final conditions for the approval of the Karara Project.

Managing director, Garret Dixon said the announcement was an encouraging step for forward for Karara and the company was looking forward to working with the Minister to agree on the conditions required to secure final approval to enable the project to proceed.

“We are confident that this can be achieved during the current Quarter, enabling us to be on site in the December Quarter, 2009, to commence construction and development activities,” Mr Dixon said.

Chairman George Jones said the successful development of Oakajee and China’s potential involvement would underpin the long term future of the Mid West iron ore industry, and in particular the expansion of the Karara Project to over 30Mtpa.

“With these approvals Gindalbie and AnSteel can now get on with the job of building the project and start to realise the potential that this Project has to add serious value to the Joint Venture partners and to Western Australia,” Mr Jones said. 

At 1457 AEST, Gindalbie shares were up 6.5c to 83.5c.

At 1600 AEST close was 83.0 cents


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## camel63 (25 July 2009)

does any one have any idea on what gbg share price would be worth down the tack once they get going.last year i went to rising stars seminar and ask george jones 5 to 6 dollars was his comment.hope he is right .i am a holder an looking to buy more.


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## Sean K (25 July 2009)

camel63 said:


> does any one have any idea on what gbg share price would be worth down the tack once they get going.last year i went to rising stars seminar and ask george jones 5 to 6 dollars was his comment.hope he is right .i am a holder an looking to buy more.



You're holding and you have no idea what the price might be once they get going? I assume you think that they will go up? The answer must be yes since you hold it. Why will it go up?


----------



## camel63 (25 July 2009)

kennas said:


> You're holding and you have no idea what the price might be once they get going? I assume you think that they will go up? The answer must be yes since you hold it. Why will it go up?




why won`t it. everything is in place to grow and expand and most of all this will pay a dividend down the track


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## Sean K (25 July 2009)

camel63 said:


> why won`t it. everything is in place to grow and expand and most of all this will pay a dividend down the track



OK, so you assume it will go up because everything's in place, it will expand, and it will pay a dividend down the track. So, what's in place, what's expanding, and when will they eventually pay a dividend? I'm raising these simple aspects of a fundamental analysis question to 'what price will this be?' because without understanding capex, opex, debt, refinancing, interest rates, contracts for sale, etc, then the question is impossible to answer. Do you have those answers? You should since you're holding it. 

Have you visited their web site?

http://www.gindalbie.com.au/

You'll find lots of info here.

They even have broker reports there that will give you their evaluation and justification. 

The latest one by Patersons gives a 98c valuation. 



> *Investment Highlights*
> 
> • GBG is developing the Karara Iron Project (KIP) in JV with one of
> China oldest steel companies, Angang Iron and Steel Corporation
> ...





Maybe have a read of the others and tell us what you think?


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## camel63 (25 July 2009)

hey kennas. i understand where your coming from but it means nothing to me charts and analiss .i only hold 2 shares gbg and kar in abig way if i used all that rubish would never of bought kar at 2 dollars.would like bigben101 on sdl to value gbg


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## camel63 (25 July 2009)

hey there kenmas i am just wondering how u picked your tip for the stock  tipping competition .all that tecnical darter lol. hope u make millions.69 out of 75 wow. gee wiz mate i only want a guess of what someone thinks its worth. like bigben101 on sdl . is it really to much to ask .


----------



## prawn_86 (25 July 2009)

camel63 said:


> hey there kenmas i am just wondering how u picked your tip for the stock  tipping competition .all that tecnical darter lol. hope u make millions.69 out of 75 wow. gee wiz mate i only want a guess of what someone thinks its worth. like bigben101 on sdl . is it really to much to ask .




Why dont you tell us what you think it is worth (and provide some analysis)? If you cant do that then its obvious your gambling and just want some positive reinforcement.

How much will they be earning 'when they get going'? What if the price of IO falls? What costs will they have? etc etc

ASF is about logical discussion and debate, not randomly plucked price targets.


----------



## Sean K (26 July 2009)

camel63 said:


> hey there kenmas i am just wondering how u picked your tip for the stock  tipping competition .all that tecnical darter lol. hope u make millions.69 out of 75 wow. gee wiz mate i only want a guess of what someone thinks its worth. like bigben101 on sdl . is it really to much to ask .



LOL. I can't believe you actually went back to edit that post and left it looking like that. No wonder you can't even attempt to do your own evaluation. I started to try and help you but when you start abusing people (especially mods) for doing it, your lifespan becomes short. You should just stick to taxi driving I think.


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## bigdog (4 August 2009)

*SP currently up 3 cents at 93 cents at 11:00 AM*

*ASX ANN yesterday*
03/08/2009   Gindalbie Welcomes Government Power Decision  
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00974514

WA PREMIER’S ANNOUNCEMENT UNDERPINS KARARA’S LONG-TERM GROWTH POTENTIAL
Gindalbie Metals Limited (ASX: GBG – “Gindalbie”) welcomes today’s announcement by the WA Government that it has committed to building a major power line in the Mid West region that will help underpin the planned significant expansion of the Karara Iron Ore Project.

WA Premier Colin Barnett and Energy Minister Peter Collier announced today the State Government would build a 330kV power line from Pinjar, north of Perth, to Eneabba.

Gindalbie was pleased to note Mr Collier’s comments today that following a recent review: “…there are a number of major Mid-West projects that are well under way and will require access to substantial electricity supply. As a result, the review team proposed that the 330kV line initially extends from Pinjar to Eneabba to encourage progress of Gindalbie’s Karara mine, six prospective wind farms and a major new power station.”

While the existing 132kV power network is suitable for Karara’s start-up capacity of 10Mtpa, the increase in transmission capacity is required for the planned expansion of the project to a production rate of more than 30Mtpa.
Gindalbie and its joint venture partner, Ansteel, are building a 330kV power line from Karara to Eneabba as part of the Project infrastructure which will connect into the State grid.

The project will draw power under a 15-year supply deal with the State Government’s power generation arm, Verve Energy. Until the new Pinjar-Eneabba line is built, Karara will tap into the existing 132kV network at Eneabba and be able to draw sufficient power for the Project’s start-up.

“The Government has shown tremendous leadership and support for the development of the resources sector in the Mid West region,” Gindalbie’s Managing Director Garret Dixon said. “The Premier has shown his commitment to Mid-West iron ore and infrastructure development, and particularly has demonstrated strong support for Karara and its long-term potential. This latest decision to ensure the region has sufficient power infrastructure, is testament to the Government’s belief that the Mid West is set to becom the next resources growth centre in WA.”
462


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## plowking (6 August 2009)

Hi guys, this is kind of off track, but I bought these shares a while ago through commbank, and have never recieved any notification or written proof of purchase, such as a letter or what not from the company. Am I the only one here or what?

Furthermore, are there half yearly dividends handed out, or not?


----------



## oldblue (6 August 2009)

plowking said:


> Hi guys, this is kind of off track, but I bought these shares a while ago through commbank, and have never recieved any notification or written proof of purchase, such as a letter or what not from the company. Am I the only one here or what?
> 
> Furthermore, are there half yearly dividends handed out, or not?




Better get in touch with Commbank - you should receive a statement within about a month of purchase. Presumably you have a contract note from them?

GBG don't pay dividends yet. They havn't actually mined anything yet!
I suggest you have a look at their website for a rundown on progress and prospects.

Disc: Holding GBG.


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## LeeTV (12 August 2009)

*11 iron ore "winners*"
_Robin Bromby | August 12, 2009 
Article from:  The Australian _
http://www.theaustralian.news.com.au/business/story/0,28124,25918554-36418,00.html

TAKE the possible 21 iron ore stocks - outside the two Pilbara majors, of course - and Petra Capita of Sydney has found 11 they can recommend as value buys.

The broker tried to make it a level playing field - comparing apples with apples, if you like - by converting magnetite resources to their haematite equivalent; they did the sums on the amount of beneficiation required to produce a concentrate. Current benchmark iron ore prices were used to calculate enterprise value and that was all mixed up with expected EDITDA for the companies concerned. 

Then they were handicapped into three divisions by market cap - one above and two below the $500 million threshold. 

Four got the big tick in the heavyweight category: Murchison Metals with its Jack Hills project in the Mid West region of Western Australia; Gindalbie Metals which is also in that region with its Mungada and Karara projects; Fortescue Metals Group, the “new force” in the Pilbara; and Mount Gibson Iron which has Tallering Peak, Koolan Island and Extension Hill. 

Middleweight contenders that got the nod from Petra Capital were Brockman Resources with its Pilbara iron ore deposit, Sundance Resources toiling away in tropical Cameroon, Northern Iron   - a surprise winner - with the Sydvaranger deposit in Norway and - back to the Pilbara - United Minerals Corp. 

In the lightweight division, there’s Western Plains Resources drilling away in the South Australia at Peculiar Knob and Buzzard, Strike Resources over there in Peru, BC Iron which has kneeled at the foot of FMG in return for access to the latter’s Pilbara railway and as a consdequence will be in production next year, and Flinders Mines and its Hamersley project. In regard the last mentioned, FMS yesterday received a speeding ticket from the ASX, the company responding that the price and volume surge may have been due to a new broker’s report. 

It was interesting to see which companies got taken out in the cull. Notably there was Atlas Iron which is one of the great Pilbara junior success stories - but remember, this was all about finding stocks that are still value buys, not ones whose achievements and prospects have already been factored into their price. 


_The writer implies no investment recommendation and this report contains material that is speculative in nature. Investors should seek professional investment advice._


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## oldblue (9 September 2009)

An important milestone today. The W A government has given final environmental approval to the Karara project!

http://asx.com.au/asxpdf/20090909/pdf/31km91wzp7hr3t.pdf


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## springhill (9 September 2009)

oldblue said:


> An important milestone today. The W A government has given final environmental approval to the Karara project!
> 
> http://asx.com.au/asxpdf/20090909/pdf/31km91wzp7hr3t.pdf




Good news day indeed! Terapod, and to a lesser extent Blue Hills, were a crucial piece of the puzzle to get cash flow going.


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## Out Too Soon (9 September 2009)

oldblue said:


> An important milestone today. The W A government has given final environmental approval to the Karara project!
> 
> http://asx.com.au/asxpdf/20090909/pdf/31km91wzp7hr3t.pdf




& that's why my profit trigger tripped & I'm a happy chappy 
Big gap up, it's sure to retrace & I'll be back on but finally looks like the stock market is a place to make money again  Happy, happy happy


----------



## skc (9 September 2009)

Out Too Soon said:


> & that's why my profit trigger tripped & I'm a happy chappy
> Big gap up, it's sure to retrace & I'll be back on but finally looks like the stock market is a place to make money again  Happy, happy happy




Are you sure you are not out too soon? hang on... you are.

On the charts quite a neat little coiling 5-wave traingle. If broken on the upside then a target of $1.3 based on height of triangle. But quite possibly a gap close before shooting up?

Of course it pretty much all depends on the Chinese had for dinner last night.


----------



## Boggo (9 September 2009)

I have been following GBG for a while now as it seems to re-appear with the same (decreasing in magnitude) pattern every few months.

(click to expand)


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## bigdog (10 September 2009)

http://www.news.com.au/perthnow/story/0,21498,26052876-951,00.html?from=public_rss

*Metals full-year profit falls to $26.22m*
September 10, 2009 07:23am

GINDALBIE Metals' profit for financial year 2008/09 almost halved as the company continues to develop its key Karara iron ore mine.

Net profit ending June 30, 2009 for the consolidated entity was $26.22 million compared to $44.52 million in the previous year, Perth-based Gindalbie Metals said in a statement today. 

Gindalbie is working to start production at its Karara iron ore project after the Western Australian Government yesterday gave final State environmental approval for development of the mine. 

That just leaves Federal Environment Minister Peter Garret to give federal environmental approval for the project. 

The WA decision clears the way for on-site construction and development of the large-scale Karara project to proceed during the fourth quarter of 2009, the company said. 

The Karara project is a joint venture with AnSteel, China's second-largest steel maker. 

AnSteel was given Federal Government approval earlier this year to take a substantial stake in Gindalbie, increasing its stake from 12.6 per cent to 36.28 per cent. 

Most of Gindalbie's income of $33.45 million during the year came from the cash paid by AnSteel for its stake in Karara and Gindalbie. 

Total income was $57.68 million in 2007/08. 

There was no dividend paid.


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## Out Too Soon (10 September 2009)

skc said:


> Are you sure you are not out too soon? hang on... you are.
> 
> On the charts quite a neat little coiling 5-wave traingle. If broken on the upside then a target of $1.3 based on height of triangle. But quite possibly a gap close before shooting up?
> 
> Of course it pretty much all depends on the Chinese had for dinner last night.




That's a neat charting program, I need one that can see the future too :
  Of cause you're right & if you were a fish I'd be having you for dinner  LOL
Gindalbie has peaked @ .95c today so far, I always expect to lose a few percent in "what if" to be safe. As I said yesty it has gapped up, even tho the fundamentals (govt approval) say it should keep going up we know the market doesn't work like that. GBG will dip & cover the gap up at some stage, the ASX may just be taking a breather at the same time, & I'll happily be back in
  If you don't take profits at some stage ( 13% in 15 days ) you eventually lose them. 
  Letting your "winners run" can be very painfully frustrating when you live by that mantra especially with the current market 

PS Someone tell Joe that in all the million extra smileys there isn't a fisherman ala "gotcha hook line & sinker"


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## oldblue (10 September 2009)

More good news for GBG. WA state government to push for early completion of the Oakajee rail and port project.

http://au.news.yahoo.com/thewest/a/-/mp/6002149/push-for-earlier-oakajee-start-up/


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## skyQuake (10 September 2009)

and now we have a nice triangle brkout. 

Also, ydays gap was a brkaway gap on the volume. It should have made a lower low today but instead makes Higher highs.


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## Out Too Soon (11 September 2009)

Never doubt there is a reason for my name  One day I will learn to use a stop loss to tie in profits & be damned with the extra charge.
 Yes Skyquake " It should have made a lower low today " 
It didn't, = that's called the OTS SELL effect 
:bricks1:

PS for example of OTS BUY effect see BOL thread


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## Boggo (11 September 2009)

It hit the typical Wave C target today as we were hoping for here https://www.aussiestockforums.com/forums/showpost.php?p=486066&postcount=778

I don't like that gap that it has left though, my stop is just below the gap now.

(click to expand)


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## skc (11 September 2009)

Out Too Soon said:


> Never doubt there is a reason for my name  One day I will learn to use a stop loss to tie in profits & be damned with the extra charge.
> Yes Skyquake " It should have made a lower low today "
> It didn't, = that's called the OTS SELL effect
> :bricks1:
> ...




It's ok mate. Change your name to Let profit run and see if that improve your results.

Like Boggo says the bottom of the gap offers a cheap entry should you feel like going into it again, although whether the gap closes is not guaranteed.

BTW what does OTS stand for?


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## bigdog (5 October 2009)

http://news.theage.com.au/breaking-...oject-to-start-in-december-20091005-gjac.html

*Gindalbie project to start in December*
REBECCA LE MAY
October 5, 2009 - 7:54PM 
Gindalbie Metals Ltd says it is poised to commence construction of its $1.8 billion Karara iron ore project in Western Australia's midwest region before the end of the year.

"With the final state environmental approvals signed off during September, we will be well and truly on track to start construction at Karara early in the December 2009 quarter," incoming chairman Geoff Wedlock said in the company's annual report on Monday.

Outgoing chairman George Jones said in the report that a new steel mill owned by the company's joint venture partner and largest shareholder, Angang Group Hong Kong (Ansteel), "awaits the arrival of our first shipment of magnetite concentrate from Karara".

Chief executive Garret Dixon said the company aimed to commence hematite production by early 2011 and magnetite production by mid-2011.

Initial production totalling 10 million tonnes per annum will be exported through Geraldton Port.

The company expects to become a foundation customer of the planned new deepwater port at Oakajee, north of Geraldton, for expanded output thereafter.

Mr Jones has led a chorus of complaints from WA's mining sector about lengthy delays experienced with the state's approvals processes.

"The Karara project took the best part of three years for approval," he said.

"There is no doubt that the approvals process in WA remains unacceptably slow, over-complicated and in need of a major overhaul, and I am pleased to see the government is addressing this as a major issue."

Gindalbie was recently successful in appealing against key conditions and recommendations by the WA Environmental Protection Authority regarding the Karara project.


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## Out Too Soon (6 October 2009)

skc said:


> It's ok mate. Change your name to Let profit run and see if that improve your results.
> 
> Like Boggo says the bottom of the gap offers a cheap entry should you feel like going into it again, although whether the gap closes is not guaranteed.
> 
> BTW what does OTS stand for?




Well I could change my name but that would upset the moderators apart from that I formed the habit of being Out Too Soon & it works alright for me when things are volatile. 

Back in friday, maybe I'll hold on a little longer this time,
	

		
			
		

		
	




chart's saying at least 1.05 plus?


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## skc (6 October 2009)

Out Too Soon said:


> Well I could change my name but that would upset the moderators apart from that I formed the habit of being Out Too Soon & it works alright for me when things are volatile.
> 
> Back in friday, maybe I'll hold on a little longer this time,
> 
> ...




Nice re-entry. The coiling triangle has a height of ~32c, so a textbook target of $1.2 seems right. As to a real target.. who knows.


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## Out Too Soon (8 October 2009)

skc said:


> Nice re-entry. The coiling triangle has a height of ~32c, so a textbook target of $1.2 seems right. As to a real target.. who knows.




32c might be a bit of a stretch but I've proven over & again that I under-estimate the high to my dis-advantage. 
 Let's see where this gos, it'll be educational at least for those not on it & profitable for us. The real conundrum is  happily where the peak will be this time   I think I'll use a stoploss & manually trail it up this time 

( PS; OTS stands for Out Too Soon, it threw me when ppl started calling me that too - i.e no it's not a technical term!  LOL  )


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## Dreadweave (9 October 2009)

I jumped in on Thursday at .925 Should have waited till today like i was planning but i got a bit anxious. 

down 3.2% at lunch time.


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## Out Too Soon (9 October 2009)

Dreadweave said:


> I jumped in on Thursday at .925 Should have waited till today like i was planning but i got a bit anxious.
> 
> down 3.2% at lunch time.




Never mind, that's share trading  you're still in at the right end of the breakout (I hope).  

I'll shut up now before I jinx us all


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## chrism0014 (1 November 2009)

Good news for Gindalbie this month. Keeping an eye on this one. Do not hold any shares. Does anyone have any broker reports on this one.


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## Dreadweave (1 November 2009)

chrism0014 said:


> Good news for Gindalbie this month. Keeping an eye on this one. Do not hold any shares. Does anyone have any broker reports on this one.





Im really getting excited about this stock. of course there is the recent government environmental approval for the development of their new mine.

http://www.wabusinessnews.com.au/en-story/1/76324/Gindalbie-gets-fed-govt-Karara-go-ahead

Also my charting shows some good future for the stock. In my books its all looking good.


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## bigdog (9 November 2009)

*The article below includes following paragraph:*

The boys at Southern Cross Equities are even more bullish, setting a 12-month target for Gindalbie of $1.64 a share, with further upside to $2.02 a share should magnetite production be increased from the initial rate of 8 million tonnes a year to an annual rate of 12 million tonnes a year.

http://www.businessday.com.au/business/green-light-for-gindalbie-to-crack-karara-20091108-i3jl.html

*Green light for Gindalbie to crack Karara*
BARRY FITZGERALD
November 9, 2009 

THE $2 billion Karara joint venture between Gindalbie Metals and China's AnSteel in Western Australia's mid-west region has hit the ground running since receiving the final environmental clearance for the project late last month.

The joint venture is already knocking down trees in early earthworks for the project, and by June next year there will be 1000 workers on site to make certain the project hits its first production target of 2010 for hematite, followed by first production of high-grade magnetite in 2011.

Before any greenies out there fret about the trees, it's worth noting that the 30-year-plus project will occupy an area of less than 100 hectares.

That's a fraction of the size of the mid-west's average-sized pastoral property (2500 hectares), none of which are known for their green canopies or their ability to generate the sort of returns to the nation that Karara will.

Receipt of the last of the environmental approvals means that it has taken about 3 ½ years for the Karara joint venture to get to the starting line. In China, they do things a bit differently.

In the same period, AnSteel has designed and built a $US5 billion steel mill in north-eastern China. That mill is now being fed by iron ore from Brazil, pending the completion of Karara.

But enough of the ridiculous amount of time it takes to get things done in Australia.

The point today is that the market's frustration with the delays in Karara getting started have now passed, forcing a re-rating of Gindalbie in the process.

Unlike a host of other iron-ore hopefuls in the mid-west, and the Pilbara for that matter, Gindalbie has a real project on its hands, one that is plugged into China's ongoing urbanisation and industrialisation boom more than most, thanks to AnSteel's 50 per cent stake in the project and its 36 per cent stake in Gindalbie.

Gindalbie closed 3.5 ¢ higher at 85.5 ¢ on Friday. The question now is, where to from here?

Back on October 30, when the final environmental clearance came through, Gindalbie was trading a bit higher than Friday's close at 89 ¢ a share. UBS said at the time that the stock was trading at a 32 per cent discount to a (base case) net present value of $1.30 a share.

The base case reflected the Karara joint venture's initial plan to start out with annual production of 3 million tonnes of direct-shipping (hematite) iron ore and 8 million tonnes of magnetite.

''We also highlight the potential for significant value from expansion, with the joint venture holding aspirations to get to 30 million tonnes a year [once the Oakajee Port is built by others, with the help of contributions from the West Australian and Federal governments],'' UBS said.

It noted that if an 8-million-tonne-a-year expansion was locked in by the joint venture, it would be worth another 50 ¢ a share to its Gindalbie valuation.

The boys at Southern Cross Equities are even more bullish, setting a 12-month target for Gindalbie of $1.64 a share, with further upside to $2.02 a share should magnetite production be increased from the initial rate of 8 million tonnes a year to an annual rate of 12 million tonnes a year.

''All of this is to be shipped through Geraldton Port. Longer term, the Oakajee Port and Rail Project provides the opportunity to further double production … with even greater potential share-price upside,'' Southern Cross said.

There are still a couple of loose ends for Gindalbie and the joint venture to tie up before the market re-rating of Gindalbie can get into full swing.

First, there is finalisation of the $US1.2 billion ($A1.3 billion) in Chinese project financing for the project. Then there is completion of the pricing mechanism for sales to AnSteel or, more to the point, the size of the premium to Pilbara iron blends that it will pay for Karara's magnetite concentrates (lower-grade magnetite gets upgraded to a higher-grade product with less of the nasty impurities in direct-shipping ore).

Both are tipped to be wrapped up early in the New Year. And, depending on who you talk to, contract iron-ore prices by then could be 10-per-cent-plus higher than last year's settlement.


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## Dreadweave (10 November 2009)

Heres a slightly different analysis Iv done of the 1 year chart. Still looks good.


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## calais (15 November 2009)

In regards to the 1.3 billion loan, what percentage of the loan will Gindalbie owe? Sent email to the company without a reply.


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## oldblue (15 November 2009)

calais said:


> In regards to the 1.3 billion loan, what percentage of the loan will Gindalbie owe? Sent email to the company without a reply.




Yes, it would be interesting to know if the loan to Karara Mining Ltd is project finance and non recourse against the JV partners or whether GBG is up for its 50% of the liability.


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## bigdog (1 December 2009)

http://www.proactiveinvestors.com.a...ny-marks-start-of-new-iron-ore-mine-3550.html

Tuesday, December 01, 2009

*Gindalbie Metals Karara ground breaking ceremony marks start of new iron ore mine*
by Ross Louthean, Mineweb.net


The Karara iron ore project, 225 kilometres east of the port of Geraldton is Western Australia's latest iron ore mine as a result of the new wave of companies that have broken the total dominance of BHP Billiton and Rio Tinto in the Western Australian iron ore business. The first to break the padlock was Fortescue Metals Group in the Pilbara two years ago.

Karara is a joint venture between Gindalbie Metals Ltd (ASX: GBG) and major Chinese steel and iron ore company Ansteel.

Gindalbie's managing director Garret Dixon said Karara was the first major mine development in the Mid West and also one of only a handful of new magnetite projects to be developed in Australia. These magnetite projects herald a new era of downstream processing for the industry in the emerging Mid West iron ore province.

Initial site clearing activities and preliminary earthworks started early in November following receipt of final Commonwealth environmental approval and State Government environmental approval.

The project will initially produce 10 million tpa of iron products in 2011, comprising 8 Mtpa of high-grade magnetite concentrate, a value-added product, and 2 Mtpa of direct shipping ore (DSO). Karara was said to have potential to produce more than 30 Mtpa over a mine life of more than 30 years.

Karara will initially generate around A$1 billion (US$907 million) in annual export revenues, building to A$3 billion (US$2.72 billion) annually as the project grows.

Iron products will initially be exported through Geraldton Port, with Karara also able to commit foundation tonnages to underpin the development of the new multi-billion dollar Oakajee Port in the region.


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## Bosco (11 April 2010)

Happy new year. Just climed out of my cave. Not much chat lately about GBG. Given it is now around $1.30 and $2b of funding secured, higher ore prices but still growth uncertainty (fewer growth probs for China)
will we see it hitting the Southern Cross $1.65 in the near future? I am always perplexed by GBG every time I think it is a no brainer it goes down. Perhaps little fury bears should not buy shares.


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## oldblue (11 April 2010)

Bosco said:


> Happy new year. Just climed out of my cave. Not much chat lately about GBG. Given it is now around $1.30 and $2b of funding secured, higher ore prices but still growth uncertainty (fewer growth probs for China)
> will we see it hitting the Southern Cross $1.65 in the near future? I am always perplexed by GBG every time I think it is a no brainer it goes down. Perhaps little fury bears should not buy shares.




What is there to chat about?

GBG closed at $1.33.5 on Friday, just a 120% increase over the last 12 months!

Good progress being made but production is still some way off so expect hiccups in the SP as interest waxes and wanes. I'm happy to hold.


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## vincent191 (11 April 2010)

oldblue said:


> What is there to chat about?
> 
> GBG closed at $1.33.5 on Friday, just a 120% increase over the last 12 months!
> 
> Good progress being made but production is still some way off so expect hiccups in the SP as interest waxes and wanes. I'm happy to hold.




GBG will just tread water  until production starts and it announces it's maiden profit. Until then it is just hold and wait. Meantime any announcements regarding resource upgrades, construction milestones and fe prices will push the sp upwards little by little. Good things will come to all those who wait. 

Ansteel is the second biggest steel mill in China and it is GIGANTIC they will buy all of GBG's output and even with all of GBG's output it is still not even for Ansteel.

I used to be in the steel making industry and I have been to Ansteel in Anshan numerous times and I can assure everybody here, it is BIG and has a HUGE appetite for fe and coal, even if their production falls 20% (heavens forbid) GBG will have NO PROBLEMS selling ALL it's production. The only variable that I can see is the price of fe and shipping costs and shipping & port capacity when full production starts.

The only other reason that GBG's sp has not reach the dizzy heights of other up & coming fe junior producers is the bulk of it's ore is not DSO quality BUT it is of high enough quality and reasonably free of impurities that makes benefication economical even at USD80 a tonne fob.


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## bleach8 (14 April 2010)

chart looks bearish ....it seems the price will drop to 1.20lish or lower ...

March activity statement will be released next week.


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## Dracuu (30 April 2010)

bleach8 said:


> chart looks bearish ....it seems the price will drop to 1.20lish or lower ...




Good call mate! You could not have been more right. I am looking to buy GBG at 1.2 - 1.21 this morning.


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## Pager (5 May 2010)

Been slammed like many similar stocks but now gone into a trading halt pending an announcement about project update.

Anyone know any more ?.


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## vincent191 (5 May 2010)

Pager said:


> Been slammed like many similar stocks but now gone into a trading halt pending an announcement about project update.
> 
> Anyone know any more ?.




Maybe they will announce they have two big holes available to push those two silly buggers in. 

Let's hope it is good news, I have enough of bad news for the rest of the year.

Cheers


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## oldblue (5 May 2010)

vincent191 said:


> Maybe they will announce they have two big holes available to push those two silly buggers in.
> 
> Let's hope it is good news, I have enough of bad news for the rest of the year.
> 
> Cheers




Now that *would *be good news!

I know nothing but my gut feel is it's just a routine, feel-good update on progress to settle a few nerves in these troubled times.


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## Logique (31 May 2010)

Technical indicators like this ought to be a no-brainer, but as we know, volatile times. But I figure if last week's near panic selling couldn't push it under the 350 day EMA (50 week EMA), then what will. 

'..keep buggering on..' Winston Churchill said last night in the ABC TV drama (_The Gathering Storm_). That's what GBG seems to do to perfection. Solid, unspectacular, but inspiring confidence in this (new) holder. The price targets I've seen aren't bad either.


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## oldblue (21 June 2010)

Sadly, its been reported that GBG Chairman Geoff Wedlock is among those missing on the Sundance aircraft.


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## bigdog (21 June 2010)

21/06/2010  9:43:00 AM     * Trading Halt Request *
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01072858

*TRADING HALT*
Gindalbie Metals Limited ("Gindalbie") [ASX Code: GBG] requests a trading halt be put on its securities immediately. Gindalbie proposes to shortly make an announcement to the market updating on further progress regarding Karara’s senior debt financing arrangements.

Gindalbie will request that the trading halt be lifted upon making an announcement regarding the senior debt financing arrangements, which it expects will be prior to the end of trading on Monday 21 June 2010.

Gindalbie can see no reason why a trading halt should not be put on its securities.


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## Logique (1 July 2010)

Sweet. An opportunity sub-one dollar, and I took it.
That deal with AnSteel is awesome, a reliable and loyal equity partner, and a buyer for our product into the future. And on top of all that - hopefully, if the press reports are to be believed - a good announcement to come next week from the Australian Govt on a better deal for miners on the proposed super profits tax.
Losing no sleep over this one.


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## bigdog (10 November 2010)

http://au.finance.yahoo.com/news/Gindalbie-produce-iron-ore-aap-3566555532.html?x=0

*Gindalbie may produce iron ore early*

On Wednesday 10 November 2010, 12:55 

Gindalbie Metals Ltd says it may produce its first iron ore earlier than its targeted date of mid-2011 and is set to reap strong margins for the bulk commodity.

Gindalbie chairman George Jones says first production of hematite iron ore from its $2 billion Karara project in Western Australia's midwest region is on track to start mid next year.

"If we can make that happen sooner than mid-year, we will," he told the company's annual general meeting in Perth on Wednesday.

Magnetite iron ore production would start by the end of 2011, he said.

"Based on current spot prices, our high-grade magnetite concentrate would fetch more than $150 a tonne.

"With cash costs, before royalties, of around $42 a tonne, that is an operating cash margin of more than $100 a tonne or more than $800 million a year - and Gindalbie owns half of Karara."

The other half is owned by Gindalbie's largest shareholder, China's Angang Steel Company Ltd (Ansteel).

It has agreed to buy 30 million tonnes (Mt) of iron ore from the project each year over a mine life estimated at 30 years.

By the end of 2011, Karara's output rate will be 10 Mt per annum.

"Our growth plan is to potentially double magnetite production to 16 million tonnes and then double it again to more than 30 million tonnes per annum," Mr Jones said.

"The project site at Karara is a hive of activity."

Gindalbie was pursuing its plan announced in February to acquire and develop other major resource projects after Karara, he added.

"Ansteel has given us its full support to look for and acquire other projects and opportunities, together with development opportunities within Gindalbie's own mid-west tenement position," he said.

"Preference will be given to those projects and acquisitions which involve a steel feedstock such as iron ore, coking coal, manganese, chromite and nickel."

He said he had recently spent a great deal of time in China and it was clear the economy was very strong, with several significant new developments boding well for the future of iron ore demand.

Shares in Gindalbie were up four cents, or 3.64 per cent, at $1.14 at 1253 AEDT.


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## jonojpsg (14 November 2010)

bigdog;Magnetite iron ore production would start by the end of 2011 said:
			
		

> "With cash costs, before royalties, of around $42 a tonne, that is an operating cash margin of more than $100 a tonne or more than $800 million a year - and Gindalbie owns half of Karara."[/B]
> 
> The other half is owned by Gindalbie's largest shareholder, China's Angang Steel Company Ltd (Ansteel).
> 
> ...




Have been looking at GBG thinking they are way under valued given their position of having construction funded, well underway, all product sold, and with those cash costs, they are looking at 500m a year incl 2MTpa haematite from the end of next year.  Assume a nice conservative PE of 5 and even allowing $200m pa for debt payback, should give them a MC of $1.5bn as compared to current $1bn or 50% undervalued.  Might be time to buy in?


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## Biggy (23 November 2010)

I bought into these last week after reading this thread. Fair bit of activity today on the back of an announcement. Looking good going forward.


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## TheAbyss (10 December 2010)

87% increase in reserves should help keep things ticking for GBG.

Almost a billion tonnes now.

http://www.asx.com.au/asxpdf/20101210/pdf/31vj7334vwf5rx.pdf


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## bigdog (11 December 2010)

http://www.wabusinessnews.com.au/en-story/1/85657/Gindalbie-upgrades-Karara-resource

*Gindalbie upgrades Karara resource*
10-December-10 by Staff Reporters

Gindalbie Metals has announced a resource upgrade for its Karara iron ore project, in the Mid West, of 87 per cent to 977.5 million tonnes.

Gindalbie's managing director Garret Dixon, said the substantial increase in Ore Reserves highlighted the strength and quality of the Karara project.

"The expanded Ore Reserve supports the move to reach higher levels of production with significant potential to increase the Ore Reserves further from the remaining resource once mining and production are underway," Mr Dixon said.

"The additional infill drilling conducted at Karara has significantly confirmed confidence in the deposit and in particular its ability to support continued upgrades in production capacity of magnetite concentrate up to the planned optimum of at least 30 million tonnes per annum," Gindalbie Metals said in a statement to the Australian Securities Exchange.

"The main Karara orebody remains open at depth and along strike to the north-west along the Karara Ridge, offering excellent potential for further additions to the Resource and Ore Reserve inventory as mining progresses," the statement said.

Gindalbie said construction of the Karara Project is well underway.

The company said first hematite production is scheduled for the first half of 2011, with magnetite production from the concentrator to commence by December 2011.


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## TheAbyss (23 December 2010)

Sp shaping nicely for GBG. Perhaps via the AGO - GIR M&A activity?

The resource UG must have helped though. GBG will be the next to get production happening with a decent size resource so irrespective of whether it is production or M&A, GBG will be a market mover 1st half next year IMO.

Chart does look nice short term and even better longer term when it gets over $1.43 on a close.


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## Surly (31 March 2011)

First DSO ore on ship today

http://www.gindalbie.com.au/Investor+Relations/ASX+Announcement/Downloads_GetFile.aspx?id=587&skin=empty

It will be interesting to see how the market reacts to this.

cheers
Surly


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## Wysiwyg (13 October 2011)

Is there much blue sky left for Gindalbie after construction cost blowout and subsequent dilution via share/rights issue? Thought it had potential along with Moly Mines over there in W.A. but gee their share prices have taken a persistent grind down.


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## mr. jeff (7 February 2012)

Long term downtrend broken




Moving nicely up on a change of sentiment.
Might be worth watching.


----------



## LRG (16 October 2012)

29c
any sign of improvement with first ships due to go out with
IO loaded any day now?

Why is the SP still so low!!


----------



## SenTineL (24 October 2012)

2 DSO shipments this week with another 2 coming later this week.
Production to ramp up in a few weeks.
Price up 9.23% today.
Not much analysis recently on this stock anywhere - anyone have any views?
I can see some potential here from the announcements, reserves and production starting to happen but I haven't had an in-depth look


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## Russtafaerian (18 November 2012)

I have taken a beating with this stock - bought in at .87 and is now hanging around the .30 mark for months.... However, all the ore miners have suffered over the P12M and GBG is no exception to the rule - the company still looks sound.

I just checked the housing prices in Shanghai and they just keep going up- highest in 5 years which must indicate demand and construction growth is still strong in China.

I guess it's not a time to cut losses but to wait and see what happens - need some good news to get this stock rolling again...


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## notting (7 December 2012)

Why these utter halfwitts do capital raisings when the prices are probably at lowest levels possible and the short term cycle is likely bottomed along with it, is just beyond me.
Clearly there are no qualifications for someone to run a mining company and be on it's board.
They have just cemented all their share holders in hell.
The capital raising should be rejected by share holders.
I feel for anyone in this stock.  Sorry!

View attachment 49858


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## Out Too Soon (10 December 2012)

notting said:


> Why these utter halfwitts do capital raisings when the prices are probably at lowest levels possible and the short term cycle is likely bottomed along with it, is just beyond me.
> Clearly there are no qualifications for someone to run a mining company and be on it's board.
> They have just cemented all their share holders in hell.
> The capital raising should be rejected by share holders.
> ...




I haven't held GBG for years but your sentiments are so spot on Notting. I unfortunately hold many other similar stocks to this where the incompetent board keeps throwing out a shrinking lifeline just to keep their cushy salaries going for just a little bit longer. All at the expense of the poor shareholders while everyone knows it's just another nail in the coffin :frown: Maybe you'd like to swap some GBG for CVN or UNX ?


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## barney (10 December 2012)

notting said:


> Why these utter halfwitts do capital raisings when the prices are probably at lowest levels possible and the short term cycle is likely bottomed along with it, is just beyond me.
> 
> View attachment 49858




+1 from me




Out Too Soon said:


> I haven't held GBG for years but your sentiments are so spot on Notting. I unfortunately hold many other similar stocks to this where the incompetent board keeps throwing out a shrinking lifeline just to keep their cushy salaries going for just a little bit longer.




+1 (X2)

Some of these so called "managers" would not hold a job at the local MacDonalds!!  ....... Quality management are like good surgeons  .... expensive, and worth every cent!


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## notting (10 December 2012)

Out Too Soon said:


> Maybe you'd like to swap some GBG for CVN or UNX :




I don't actually hold any, I just whatch it along with the others to keep tabs on sentiment.
It's a canary like RED for Gold.
It's a joke. 

It's a pathetic joke and I feel for those that do.


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## notting (13 December 2012)

> Ansteel, Gindalbie's major shareholder wishes to maintain its approximate 36% interest in Gindalbie. Therefore, in addition to the Institutional Placement, Gindalbie proposes to conduct an additional conditional placement of
> approximately A$22 million to Ansteel at the Institutional Placement Price, to enable Ansteel to regain its
> approximate 36% equity interest it held in Gindalbie prior to settlement of the Institutional Placement ("Ansteel Placement") (
> see ASX Announcement - 30 November, 2012). The Ansteel Placement is conditional on Gindalbie
> ...




Share holders should be up in arms about this.
Tell Ansteel to make a bid for the company. 
Stop using Ausi Share holders to fund China's ore supply by doing capital raisings at the worst possible times for Ausi share holders.
No honest management would do a raising at this point!!
Vote against this sabotage!!!


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## notting (19 December 2012)

> The structure of the capital raising a fully underwritten share placement to institutional investors *
> provided the Company with the greatest degree of certainty in relation to the amount of capital to be raised. The Board has been giving consideration to a Share Purchase Plan to enable retail shareholders to buy shares at the same price as those offered in the Institutional Placement. Unfortunately, given the shares recently have traded below the share placement issue price an SPP would be unlikely to be successful.




Outright theft.

Now Ansteel have made themselves the only recipient of equity in the so called equity raising.
Which they  have deliberatly conducted at the worst possible time for share holders.

Normally companies offer the retail share holders the shares at a discount to the institutions if the share price falls below the institutional placement.  

*Not the Chinese - Ansteel
*
They have just stopped the majority of share holders being able to get anything like their fair share.  Using the fact that shares have fallen below the institutional placement price as an excuse.
Retailers cannot get their fair share on the market because the huge volume required on market would of course take the price way over the offer price.
*The Chinese Ansteel are fully aware of this.*

This should be stopped by the Australian authorities. 

Australians are idiots if they don't stop this.


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## Surly (20 December 2012)

Notting,

I am a long suffering holder of this stock.

If I wanted to increase my equity I could do it right now at 24 cents.

Why would I, or any other retail investor, accept an offer at 25.5 cents just to maintain a percentage?

If, as you say retail investors wanted to participate, wouldn't the share price already be hovering around 25.5 cents?

cheers,
Surly


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## notting (20 December 2012)

As stated:


> Normally companies offer the retail share holders the shares at a discount to the institutions if the share price falls below the institutional placement.




If you still don't understand the way companies who are genuinly working for their share operate then have a look at WAN which became SWM had a hell of time due to being old media empire.  About 18 months ago   you will see how when they raised capital and the price fell below the completed institutional transaction they offered their non institutional share holders who are the Majority owners the same deal at a discount to the market price which was well below the institutional placement price.
This is normal practice.  It is also the only fair way manage a sincere raising.

Companies will often discount.

I repeat the timing of this deal is outrageous.  

Look at what the Chinese market has done whilst these Ausi idiots and cheating Chinese on the board stopped GBG from trading at it's absolute bottom.  Then handed a massive amount of shares to the Chinese.
FMG AGO GRR and related service companies like ASL, NWH, have risen about 25% during this process.
The Communists manipulate their own share market, and try to manipulate, and often succeed in manipulating sentiment in global markets including the recent strike on buyng Iron Ore, Coal and selling rare earths, dumping solar panels into US markets, manipulating their currency it goes on and on.
They know when their market is going to run because the corrupt leadership have huge supplies of the countries wealth and are the ones who go in a buy their own market just before market moving stratigic changes, stimulus announcements and so on as I have illistrated above with the pictures of the Chinese market charts.
The Chinese dictatorship know exactly what they are doing and none of their larger companies like Ansteel and Hanlon are genuinly independent though they constantly try to appear to be, just like the Chinese courts, so they know when best to sabotage etc.
This is so obvious it's rediculous that our authorities are not stepping in and when our stupid authorities do they convict a Hanlon executive our idiot authorities then let him fly out of the fricken country, with the promise that he will return.  

Does he return?  

Of course not!

Our authorities also say nothing when it is clear that Chinese media are manipulating entire comunities in places like Malaysia to interfere with companies like Lynus, by telling blatant lies in the media about the dangers  and laws surrounding the production of rare earths and pay people to protest in the streets.
This all occurs after the processing plant has been in construction for years with no protests, then a Chinese bid is blocked by the Ausi Gov, one good move, but then all the lying and Chinese language media of Malaysia starts.

How dumb are we?


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## notting (13 May 2014)

> Gindalbie Metals Limited “
> KML US$300M Loan Facility Secured KML has executed a binding Facility Agreement
> with China Merchants Bank (CMB) for a new US$300 million Fixed Term Loan Facility to meet
> the previously outlined funding short fall for the Karara Project
> ...




It's all one big happy family, well, apart form the Ausi share holders of course, who are now at about 5c.


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## trainspotter (13 May 2014)

8.16% CHANGE and 17 & 1/2 million shares later - How does the Coles jingle go ?? Down, down prices are down.


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## System (26 July 2019)

On July 24th, 2019, Gindalbie Metals Limited (GBG) was removed from the ASX's Official List in accordance with Listing Rule 17.11, following implementation of the scheme of arrangement
between GBG and its shareholders in connection with the acquisition of all the issued capital in GBG by Angang Group Hong Kong (Holdings) Limited.


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