# IRN - Indophil Resources



## Broadside (4 May 2006)

this one has slipped under the radar for many investors despite its stellar performance thus far...still plenty of gains to be made....reminds me of Oxiana in its early days....sovereign risk is an issue but looks very very tasty at these levels.

********************************************************

THE AGE

Indophil Resources puts its pedal to the metal
By Garimpeiro
By Barry FitzGerald
May 1, 2006

They are a happy bunch of shareholders at Indophil Resources. So much so that there was a round of applause for chairman Brian Phillips for the simple task of declaring the group's annual meeting on Friday closed.

Shareholders have good reason to be pleased, with the stock more than doubling in the past eight months to the 80 ¢ a share level that it commanded on Friday.

The strong performance has been a response to the group's ever-expanding Tampakan copper/gold project in the wilds of Mindanao at a time when prices for both metals have boomed.

Already a monster, Tampakan has just increased again. Its resource estimate now stands at a whopping 11.6 million tonnes of copper (up from 8.9 million tonnes) and 14.6 million ounces of gold (previously 11.6 million). : 

Results from a frenetic drilling program are being fed into a pre-feasibility study (PFS) scheduled for completion in September. And unlike some other foreign operators in the Philippines, Indophil can lay claim to good support from government and the local communities.

Shortly after it lobs the PFS, Indophil will learn if Xstrata will be taking up its option to acquire a 62.5 per cent stake in the deposit for about $50 million. Given that it must be the cheapest option in history   on what is now clearly a world-class ore body, there is little doubt that Xstrata will be taking it up, or at least assuming sole-funding obligations for an exercise decision that must be made no later than December 2007.

The presence of Xstrata's copper boss, Charlie Sartain, at Indophil's AGM and his attendance at two days of Tampakan "steering committee" meetings tells you how significant the Tampakan opportunity is being taken by one of the world's biggest miners.

Once Xstrata takes up the option, Indophil will hold 32.5 per cent of the project, with Filipino group Alson holding the remaining 5 per cent. That assumes Xstrata doesn't take all of the foreign equity by bidding for Indophil, or at least for its remaining equity interest in what is shaping up as a $US1 billion-plus ($A1.3 billion) development.

First production at Tampakan is aimed for 2010. Ambitious perhaps, but a year here or a year there hardly matters when a 50-year mine life is on the cards.

At Friday's closing price, the Melbourne-based Indophil had a market capitalisation of $240 million. That buys no more than 34,000 tonnes of copper at the moment, giving you an idea of just what leverage to the red metal Indophil has on offer ”” even at a reduced one-third stake in Tampakan (3.82 million tonnes of copper).   : 

Then there is the gold.


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## ALFguy (4 May 2006)

With Tony Robbins on board, this has to be a winner


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## Sean K (8 May 2006)

Any guesses on the trading halt?


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## Broadside (9 May 2006)

maybe a placement?


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## Sean K (9 May 2006)

Hopefully increase in resource estimate.


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## Sean K (9 May 2006)

You're probably right. Wouldn't be a trading halt for just an increase in resource estimate. Or maybe Xstrata making a move?


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## Sean K (16 May 2006)

IRN recently conducted capital raising at .85c to institiutions which was heavily oversubscribed (apparantly).

Off 10% at .75c sitting on massive resource with Xstrata 65% owner.

If you were considering, might be worth looking at now. The institutions who missed out at .85c will be snapping this up.


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## Broadside (16 May 2006)

yes kennas and despite the sell off the resource is no smaller today than it was this time last week   :   it is a couple of years from mining so no point stressing short term volatility in commodity prices.


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## Sean K (19 May 2006)

*Massive increase in mine resource estimate*

Australia's Indophil Resources NL expects its Tampakan copper and gold project in the southern Philippines to yield about 31 per cent more than previously thought, a senior executive says.

Tony Robbins, managing director of Indophil, told reporters initial findings of the firm's study showed an estimate of 12 to 14 million tonnes of copper and 15 million ounces of gold.

"It could be the next big thing in the mining industry in the Philippines and it could be a good economic driver," Robbins said.

Tampakan, believed to hold one of the largest copper and gold deposits in Southeast Asia, could produce 250,000 tonnes of copper and 150,000 ounces of gold per year during a 50-year life, Robbins said.

He said the $US21 million ($A27.74 million) pre-feasibility study would be finished in September, while the final one for $US30 million ($A39.64 million) would start next year.

In 2008, the group plans to begin the $US1 billion ($A1.32 billion) construction and development of the mine on Mindanao island, to be funded by debt and equity. Operations are expected to start in 2010.

Indophil holds a 95 per cent stake in the project, while the Philippine group Alsons has 5 per cent.

Mining heavyweight Xstrata, which is 40 per cent-owned by private commodities trader Glencore, holds the right to take a 62.5 per cent stake in the Tampakan project.

Under the option agreement, Xstrata must decide by September whether to take up its interest.


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## Sean K (12 July 2006)

I'm surprised that there is no thread for this company.

IRN's Tampakan copper and gold project in the southern Philippines has a current JORC estimate of 11.6 million tonnes of copper and 14.6 million ounces of gold.

Tampakan is believed to hold one of the largest copper and gold deposits in Southeast Asia.

In 2008, the group plans to begin the $US1 billion ($A1.32 billion) construction and development of the mine on Mindanao island, to be funded by debt and equity. Operations are expected to start in 2010.

Indophil holds a 95 per cent stake in the project, while the Philippine group Alsons has 5 per cent.

Xstrata, which is 40 per cent-owned by private commodities trader Glencore, holds the right to take a 62.5 per cent stake in the Tampakan project. Under the option agreement, Xstrata must decide by September whether to take up its interest.

IRN's sp had a great run from .65 to $1.00 in April but was then pulled into line with the correction. It's since recovered OK but hitting resistance at .75. 

It's coming up to the time that Xstrata wil need to make a decision on taking up it's option. Xstrata have also stated recently that they are on the lookout for acquisitions. 

One to keep an eye on.

I am holding and was put onto it by Fat Prophets who have it in their portfolio.


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## Sean K (12 July 2006)

Holy Cow!

Obviously St Henri has taken its toll on my memory.  :bier:


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## Sean K (7 August 2006)

IRN once again knocking on .75c. Upcomming ann about the Xstrata deal will give it the drive it needs to head back to recent highs with not too much resistance. I can not see why Xstrata would not take up the 62% option on this massive project which could be further upgraded.


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## Sean K (21 August 2006)

Seems I'm one of the few on this, which I find a little strange.

It's getting close to Xstrata having to make a call on Tampakan. Sept some time is the deadline but not sure of the date. 

I've added some more this morning at $0.73. Just another 2K which brings me up to a 20K holding. 

I can not see how Xstrata will not take a position on a project destined to be the largest copper/gold project in SE Asia with a 2 billion ton resource containing 12m tons copper and 15m oz gold with potential for further upgrades. 

The next stage after Xstrata decision is the BFS to be delivered to the board by the end of Sep. 

ABN Amro have a $1 price target and Fat Prophets rate it. Worth checking out their web site to get a better look at it and read ABNs report. 

http://www.indophil.com/


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## radio-active man (22 August 2006)

I'm with you kennas on this one.    

Long term this is a no brainer.....


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## Sean K (29 August 2006)

Not a bad ann out this am, not really met with great enthusiasm except for pushing it through the dreaded $0.75 level again, probably to be met with much resistance. 

Ann this am regarding drilling program east of Tampakan which produced some significant intersections, including one of 12m at 2.1% copper, indicating that the Tampakan region has the potential to host numerous ore bodies, expanding the total reserve once again.

It already sits at 11.6m tns copper and 14.6m oz gold. At todays prices that's $9,052,000,000 gold in the ground and at $3.40 lb for copper, that's $$$$ loads.

One thing I think many investors would be worried about with this project is country risk, however, IRN have a Financial or Technical Assistance Agreement which enables foreign entities to hold 100% rights to a mining project in the Phillipines. It also seems to have the full support of the local community. With LAFs recent news, it pretty much provides greater assurances for IRN as well. 

At $0.77 as I speak which is promising. Lows are getting higher, on the way back to $1.00.


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## Sean K (30 August 2006)

Confirmed breakout. Traded as high as $0.86 this am. Probably pull in a little later.

Fat Profits put out a bullish review on it last night, written before it had broken out. Claimed a sustanied break above $0.785 would see it push back to highs.

Also interesting they say that the Xstrata CFO is now on the board of IRN (didn't know this!), so would seem all systems go for Xstrata to buy into the project in Sep, probably announced the same time as the BFS is ann.


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## Sean K (18 September 2006)

I'm predicting another break up on this. There seems to be a little bit of a pattern here, generally going up. News of Xstrata decision and BFS must be imminent.


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## GreatPig (18 September 2006)

Another interpretation.

GP


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## Sean K (19 September 2006)

Looks like it is happening. Curious pattern on this stock over the past few months which looks to be repeating once again. Attack on $0.85 and beyond looms, pending commodity stability, blah, blah. 

Would have been good to be trading this recently.

Holding.


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## chris1983 (19 September 2006)

Hey Kennes,

I used to really like this stock.  Been following it since it was 35 cents and never bought in.  I bought LAF instead and got them awhile back but luckily got out at 16 cents. I realized the problems of investing in the philippines.  Are you confident with the stability of mining there?  Indophil have a great resource its just I think they will always have troubles with the politics of the land.

I also feel if Lafayette shut down or continue to have problems investors will run away from all up and coming mining stocks in the philippines.  Thats what bothers me.

Other than that Indophil have performed well.  If they can get things off the ground and dont get as much hassles as lafayette has they look to be a good investment


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## Sean K (19 September 2006)

chris1983 said:
			
		

> Hey Kennes,
> 
> I used to really like this stock.  Been following it since it was 35 cents and never bought in.  I bought LAF instead and got them awhile back but luckily got out at 16 cents. I realized the problems of investing in the philippines.  Are you confident with the stability of mining there?  Indophil have a great resource its just I think they will always have troubles with the politics of the land.
> 
> ...




Yep, it worries me too Chris. 

The company is always keen to stress its relationship with the local comminuty and ongoing support they maintain. It sounds good on the surface, but who knows down the track. There hasn't been anything to suggest that this wont get off the ground to date with all the relevant agreements with the Phillipines Gov in place. Still, a risk, but with such a resource in the ground and potential upgrades still, I'm taking the punt.

My ave entry is around $0.50.


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## chris1983 (19 September 2006)

kennas said:
			
		

> Yep, it worries me too Chris.
> 
> The company is always keen to stress its relationship with the local comminuty and ongoing support they maintain. It sounds good on the surface, but who knows down the track. There hasn't been anything to suggest that this wont get off the ground to date with all the relevant agreements with the Phillipines Gov in place. Still, a risk, but with such a resource in the ground and potential upgrades still, I'm taking the punt.
> 
> My ave entry is around $0.50.




Well good luck with it.  They allready have a huge resource even before the potential upgrade.  Funny thing is all other mining stocks looking to develop mines in the philippines have had positive sp movements such as CMX and IRN.  I just had to choose LAF


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## Sean K (25 September 2006)

I'm expecting this to be a very interesting week for IRN. The PFS is due to be delivered to the board by the end of the month (this week) and Xstrata are due to decide on their option to acquire a 62% stake in the Tampakan project by the end of the month (this week), paying IRN $50mil and leaving them with the remaining 38% of the project and with Xstrata then obviously using their considerable resources to get the project going forward. Big week for IRN I think. The company last stated that the PFS was on schedule so no reason to believe it won't be this week. Perhaps both events will be ann together? I have been holding for a while for this so hopefully it's all as expected........


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## GreatPig (26 September 2006)

Not too interesting so far... down 8.5% right now 

GP


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## Sean K (26 September 2006)

GreatPig said:
			
		

> Not too interesting so far... down 8.5% right now
> 
> GP




Biggest one day fall for some time. Strange. Not too much vol though...Broken through some support there. Could Xstrata be going to ditch it? Oh, I hope not.


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## Sean K (29 September 2006)

Been advised that the PFS will be delivered today, or tomorrow. Xstrata then have a month to consider the PFS before making a decion on the option, so won't happen till end of October. More waiting then.....PFS should interesting though.


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## Sean K (2 October 2006)

PFS delivered but sp just hanging there.....Common market! Get with the program!   

As expected, Xstrata decision by 31 Oct. 

As a reminder: 11.6m tn copper and 14.6m oz gold. With scope for resource upgrades.


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## deftfear (2 October 2006)

What do people think would happen to the SP if Xstrata takes/ doesn't take the option in the mine? Would it dive because the likelyhood of the mine not going ahead if Xstrata doesn't take the option?


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## Sean K (2 October 2006)

If they don't take the option, I think it's short term bad news. Xstrata taking a lead in the project will give it all the cash it needs to progress the mine without having to go to market. If they don't take it, IRN will have to find funding somewhere and the project could be put back a way. On the other hand it could make them an attractive takeover target to someone like OXR.


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## deftfear (2 October 2006)

Thanks Kennas   

Although it seems unlikely it's good to look at both sides


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## Sean K (3 October 2006)

In The Age this am:

*Study confirms Philippine copper deposit*

Australia's Indophil Resources said a study showed its Tampakan copper and gold project in the Philippines might be among the world's largest undeveloped lodes.

The company said in a statement that the study confirmed Tampakan as a world-class deposit, containing 11.6 million tonnes of copper and 14.6 million ounces of gold.

It also indicated s potential to increase the mineral resource within the project area, it said.

The $27 million study indicated the project was financially robust and potentially one of the world's best new large scale copper-gold mines, Indophil said.

It said the study was based on average production of 210,000 tonnes of copper and 218,000 ounces of gold a year in the first 10 years of operation.

Indophil said the study has been delivered to Xstrata , 40 per cent owned by private commodities trader Glencore, which holds the right to take a 62.5 per cent stake in the Tampakan project.

It said Xstrata had until October 31 to exercise or terminate its option.

It can also fund further work to enable it to decide whether to exercise its option no later than December 31 next year.

Indophil holds a 95 per cent stake in the project and the remaining 5 per cent is held by Philippines unlisted firm Alsons Corp.

In 2008, the group plans to begin the $1 billion construction and development of the mine on Mindanao island, in the Philippines, to be funded by debt and equity. Operations are expected to start in 2010.

The Tampakan project is one of 24 priority projects identified by the Philippine government to revive a near-dormant mining industry despite opposition from indigenous groups and powerful Catholic bishops.

The Philippine government, which says the country has $1 trillion of unexplored copper, gold and nickel deposits, is trying to lure foreign firms to invest $6.5 billion in the 24 priority projects.

Manila has said investors, mostly foreign firms, have so far poured about $500 million into the priority projects since last year.


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## Broadside (3 October 2006)

If XStrata doesn't exercise their option I think there will be no shortage of other suitors wanting to buy into this project.  I think Xstrata will exercise but if they don't there will be some short term jitters.


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## Sean K (11 October 2006)

Short term jitters atm. Coming into another buy opp for me. Still confident Xstrata will take the option, due end of month, which _should _ rocket sp. 

Trading generally down again atm. Ranging pretty nicely actually. Support at $0.70 which is where I'll probably pick some more up, pending market/gold/copper price crashes. Also hitting 200d ma which has been a buffer for the sp.


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## Freeballinginawetsuit (18 October 2006)

Nice day for IRN today, hopefully it pushes past .085 with some volume or gaps on tommorrows open, here's hoping!.


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## Sean K (24 October 2006)

IRN creaping to $0.85 again. Generally trending up. 

Xstrata decision to acquire 62% due end of month. This week, or next. Waiting very patiently....

Only a little more volume over the past few weeks so perhaps the lack of action surrounding this means that the decision is already factored in? As I've said before seems like a no brainer for Xstrata really, so perhaps that is the case and the market will take the eventual ann in it's stride. 

Or, perhaps no one cares?


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## Agentm (24 October 2006)

a bit of a waiting game really..

you have to factor in politics... there are a whole bunch of environmentalists out there who simply dont want any further massive mines on poorer economies.. plus the country itself is a time bomb... so to invest the capital these guys want to and to have 2 potential road blocks, political and environmental,, then you have to be very confident of making a monumental decision that may be either an absolute winner or stop you from ever being welcomed on any further boards in your industry in the future..

So to say its a no brainer is a touch simpler than the reality of such a venture..

I know a few of the guys on board on IRN's side,, they are very experienced and capable,, but this is not as simple as you may think..  i would treat it as a small investment and not get in too deep, its certainly exciting to think about but the reality of its location is a major hinderance to everyone concerned..


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## PorscheACE (25 October 2006)

I agree that there are issues in Phillipines but these guys have it all under control. Too much at stake to make any major mistakes. Some good news is just around the corner! I can feel it...   But then again...thats what I always say!


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## Sean K (25 October 2006)

PorscheACE said:
			
		

> I agree that there are issues in Phillipines but these guys have it all under control. Too much at stake to make any major mistakes. Some good news is just around the corner! I can feel it...   But then again...thats what I always say!




I wish I could feel it Porche. I have been watching this like a hawke the past 2 months in the lead up to PFS and the decision by Xstrata to take up their 62%, but there has been hardly any change in volume. As soon as I see an unusual amount of volume, I'm topping up again. The decision is very soon though....and no vol.


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## chris1983 (25 October 2006)

I wouldnt trust the government or the environmentalists.  Its also the arch bishops etc who are a major problem.  Religion runs the country..and they dont want any new mines.  

They have the resource..just not the right country.  I hope Xstrata joins the party..you'll be winners.  Good luck guys.


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## Sean K (30 October 2006)

Xstrata to make decision on option to acquire 62% NLT 31 Oct 06. Tomorrow.


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## chris1983 (30 October 2006)

What do you think Kennes?  I think they would be silly to let a resource like that slip under their fingers?  Even when you compare it to the stability of the country..hmm


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## Sean K (30 October 2006)

chris1983 said:
			
		

> What do you think Kennes?  I think they would be silly to let a resource like that slip under their fingers?  Even when you compare it to the stability of the country..hmm




I can't work out if a 'yes' decision is already factored into the price. Not much unusual volume atm.   

And what if they do say 'no'. Does the sp tank?   

But why would Xstrata, who are very well cashed up and looking for acquisitions,  not take up a resource with 11.6m tns copper and 14.6 m oz gold, even if it is Phillipines?


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## chris1983 (30 October 2006)

There are mines running in the phillipines..IMO they would have to take it up.  Its a hard one...Do you think the SP would tank if they dont take it up?  Maybe IRN's sp would go up..they would have a 100% holding


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## Sean K (30 October 2006)

If they owned 100%, 375m shares x $0.85 = about $320 m market cap.

11.6m tns copper @ $7,470 tn = $8..with lots of zeros.  
14.6 m oz gold @ $600 = $87.6 b 

The numbers are staggering really. Can that be right?


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## Broadside (30 October 2006)

chris1983 said:
			
		

> There are mines running in the phillipines..IMO they would have to take it up.  Its a hard one...Do you think the SP would tank if they dont take it up?  Maybe IRN's sp would go up..they would have a 100% holding




it's a funny one...I think it would tank short term and people would be wondering why Xstrata turned its back on it...but as per the very first post on this stock, it may well be the cheapest option of all time and if IRN had 100% control it would long term be positive, because sooner or later this monster resource will be developed.

I think XStrata will go ahead.


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## Sean K (30 October 2006)

Why would ANYONE be selling IRN when Xstrata are due to make their decision before end of play TOMORROW? Just bizaar.


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## Sean K (31 October 2006)

Expecting a trading halt on this this afternoon, for the Xstrata decision. Waiting, waiting. Nervous, nervous.....


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## chris1983 (31 October 2006)

still no message Kennas..


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## radio-active man (31 October 2006)

Must beworking on US of European time. Details of deal or non deal can come anytime. I too expected a trading halt... will wait and see    

I'm expecting tha latter. fingers x'ed


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## alankew (31 October 2006)

I emailed the company this afternoon and their reply was "It is fair to say we expect to have something to announce before market opens tomorrow, Wednesday"Here to help


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## PorscheACE (31 October 2006)

Still no news...hmmm

When do you think we will find out the companies decision? Do you think the decision will be announced before the market opens...and if so, is it possible to announce the decision whilst the market is closed???

Interesting...im holding...and will be praying all night for good news!!!...Mysterious times


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## Sean K (31 October 2006)

Looking forward to tomorrow morning. Just so I am out of my misery!


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## Sean K (1 November 2006)

Ann out and Xstrata have taken the decision to sole fund the project study process and delay their decision possibly out to at the latest Dec 07, but asap. 

I'm not sure what this actually entails. A BFS? 

This was not the decision I was hoping for. Have no idea how it will effect the sp short term   , but perhaps seems likely to delay any 'excitement' about the stock and potential big short term gains, which was what I was looking for.


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## deftfear (1 November 2006)

I don't think it would be good, why should investors put their money behind a project that one of the biggest miners in the world is unsure about? I hope it won't happen, but that's my feeling.


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## Sean K (1 November 2006)

Found it. 

Next is the 'definitive feasibility study', which is going to cost $30 m (Xstrata I assume now) and will further evaluate mining methods, plant design, engineering, infrastructure etc. It's going to take 18 months..... 

Well, time to put this back in the draw.


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## SBBH (1 November 2006)

Guys,
Cheer up! Not as bad as you think! : 


*Xstrata closer to Tampakan stake*

 November 1, 2006 - 12:09PM

Mining house Xstrata Copper has moved a step closer to securing an interest in the Tampakan copper and gold project in the Philippines held by Melbourne-based Indophil Resources NL.

Xstrata has elected to sole fund further work on the large Tampakan project to determine whether or not to exercise an option to acquire 62.5 per cent of the project.

Xstrata Copper executive general manager of project development Peter Forrestal said the company was required to fund further work after Indophil completed a $27 million pre-feasibility study.

*"Xstrata's decision to sole fund further work was a clear indication of our continuing interest in the Tampakan project," Mr Forrestal said.*

"Xstrata Copper is in the process of reviewing the results of the Indophil pre-feasibility study, which confirms Tampakan as a major undeveloped copper-gold deposit."

In March, Xstrata Copper chief financial officer Louis Irvine joined the Indophil board in a move seen by analysts as an indication by the company to exercise its option.

Xstrata has until the *end of December* to decide whether to exercise or terminate its option.

Tampakan is located on the Philippine island of Mindanao and hosts a resource of 11.6 million tonnes of copper and 14.6 million ounces of gold.

The pre-feasibility study showed that the Tampakan project is robust and is potentially one of the world's outstanding new large-scale copper-gold mines, Indophil said.

The study is based on a mining rate of 30 million tonnes per annum, producing an average of 210,000 tonnes of copper and 218,000 ounces of gold per annum in its first 10 years of operation.


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## Sean K (1 November 2006)

SBBH said:
			
		

> Guys,
> Cheer up! Not as bad as you think! :
> 
> 
> ...





Good to see this get some airplay.

I read that it was end December *07*, though. Another year....


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## SBBH (1 November 2006)

kennas  	

Just out of curiosity , where did you get the $30M for 'definitive feasibility study', from?  

Thanks


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## Sean K (2 November 2006)

SBBH said:
			
		

> kennas
> 
> Just out of curiosity , where did you get the $30M for 'definitive feasibility study', from?
> 
> Thanks




It's deap in the ann. Last paragraph I think.


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## Sean K (2 November 2006)

Definately for the bottom draw now. Upside would be from the drilling program around Tampakan indicating the area to have even more of the resource, and recovery of copper price (unlikely) and gold (likely). Seems clear Xstrata may be preoccupied with other projects and intigration to have the resources, time and available talent to bed this down as well. I'll look at it again next July...  

*Xstrata to fund Tampakan*

Barry Fitzgerald
November 2, 2006
Other related coverage

XSTRATA is to pick up the running on the Tampakan copper/gold project in the southern Philippines after the project emerged from a pre-feasibility study sporting world-class credentials, with a matching capital and infrastructure cost of $US1.9 billion ($A2.48 billion) to boot.

Under an option agreement covering a 62.5 per cent interest in Tampakan with Melbourne-based Indophil and Filipino interests, Xstrata has decided to sole fund ”” at more than $2 million a month ”” further work ahead of a final option exercise decision before December next year.

The decision to sole fund for an extension of the option period rather than an immediate exercise of the option at a bargain $50 million did not surprise the market as Xstrata is busy integrating the nickel and copper assets it acquired on its recent acquisition of Canada's Falconbridge.

Should Xstrata eventually exercise the option as expected, Indophil would be left with a 32.5 per cent interest and Alsons Corp with 5 per cent. Tampakan contains 11.6 million tonnes of copper and 14.6 million ounces of gold, plus molybdenum.

But developing Tampakan as an annual producer of more than 210,000 tonnes of copper and 218,000 ounces of gold will not come cheap, with initial capital cost estimates of more than $US800 million falling victim to the industry-wide surge in costs.

Tampakan's forecast cost is split into $US1.4 billion in direct capital costs and $US500 million in other infrastructure costs at the remote site, with the latter potentially to be undertaken by third parties.

Cash operating costs are estimated at less than US70 ¢ a pound of copper after gold credits. This compares with current spot prices for copper of $US3.30 a pound.

Indophil managing director Tony Robbins said that since completing the pre-feasibility study a month ago, the work program had continued unabated. "We remain on schedule," he said.

The capital cost increase spooked some in the market, with Indophil shares weakening 2 ¢ to 76.5 ¢.

Xstrata executive general manager of project development (copper) Peter Forrestal said the PFS confirmed Tampakan as a major undeveloped copper/gold deposit.


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## Beethoven (2 November 2006)

kennas said:
			
		

> Definately for the bottom draw now. Upside would be from the drilling program around Tampakan indicating the area to have even more of the resource, and recovery of copper price (unlikely) and gold (likely). Seems clear Xstrata may be preoccupied with other projects and intigration to have the resources, time and available talent to bed this down as well. I'll look at it again next July...
> 
> *Xstrata to fund Tampakan*
> 
> ...




ahhh too bad there was a wedge and pennant forming as well.  Good news would have increased the SP.


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## Sean K (2 November 2006)

I'm not happy with the way the market has reacted to the Xstrata decision. Technically broken through what should be very good support at $0.75, plus 200d ma, and recent support line. Not happy. I have been a long term supporter of this (still am) seeing the massive potential of Tampakan, but this spells short term pain to me. With copper prices wavering and the market possibly topping I think it might be time to sit on the side lines and watch for a while. Will see what happens tomorrow on the open.


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## Sean K (3 November 2006)

Opened up 6% back over $0.75 so safe for the moment.


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## Sean K (18 November 2006)

This is still a long term pick for me, but has performed rather poorly sisnce the Xstrata decision to take the worst option of it's 3 (IMO) and simply fund the further feasibility work to get the project to the BFS stage. This, combined with copper being smashed has taken the sp out of what I see as the medium term upward trend, to a sideways and potentially downward move. If I was a short/medium term holder I would have sold with the break through the 200d ma which was around $0.75 and a good support area. Bit of downside to go IMO. $0.60 is a clear possibility if copper keeps sliding.   

I am still holding long term for this as the 11 m tn copper and 14 m oz au has not moved. Copper may come down a little, but I think gold is going to all time highs in the not too distant future. Just on the gold value, this stock is - GOLD! Long term!!   

Thought I should put this up to show I'm not just a fair weather poster.


----------



## deftfear (18 November 2006)

The long term prospects of this company are fantastic, but for now I am sitting out, if it gets down to the 50-60 mark I'd say I will be back in, I can't see it doing much in the near future, mining won't end up happening till 2010 or later, so I feel it's better to have money in other stocks and shift it into IRN at a later stage, just my opinion though.


----------



## Sean K (18 November 2006)

deftfear said:
			
		

> The long term prospects of this company are fantastic, but for now I am sitting out, if it gets down to the 50-60 mark I'd say I will be back in, I can't see it doing much in the near future, mining won't end up happening till 2010 or later, so I feel it's better to have money in other stocks and shift it into IRN at a later stage, just my opinion though.



Yeah, I'm almost with you there. I am going to wait for a takeover from Xstrata maybe. Might see what Fat Profits recommend as well. They have this in their magic hyperthetical portfolio of just 10 stocks.


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## Sean K (21 December 2006)

Xstrata have decided to take 62% of Tampakan just ann, but the sp hasn't moved.   

This is awesome news, surely!


----------



## Sean K (21 December 2006)

kennas said:
			
		

> Xstrata have decided to take 62% of Tampakan just ann, but the sp hasn't moved.
> 
> This is awesome news, surely!



Picked up a few more, this has got to be good.


----------



## Freeballinginawetsuit (21 December 2006)

Bingo  , Xstrata jumped the gun!, better than good I'd say.


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## Freeballinginawetsuit (21 December 2006)

Gee, its been slow out of the gates considering this was the news we were all punting on!.

Volume confirmation and momentum needs to continue, a sustained break through .85c and  , alls looking good


----------



## Sean K (21 December 2006)

Freeballinginawetsuit said:
			
		

> Gee, its been slow out of the gates considering this was the news we were all punting on!.
> 
> Volume confirmation and momentum needs to continue, a sustained break through .85c and  , alls looking good



Yeah, a bit weird. Perhaps it was just taken off peoples radars because the last ann said that theu had until Dec 07.....

This should be in the news in the morning so people should take notice. This will be one of the biggest projects in SE Asia in the next few years, if not the biggest development. 

$0.85 has some previous resistance there. I'd like to see this fly though in the morning. Might be a little subject to cu and au prices though...Copper is comming off a bit.

*ABN Amro rates the stock as Buy * 
Broker Call - December 14 2006
Target $0.99 (was $1.01). The broker has made a minor adjustment to its target price following the company's completion of a preliminary feasibility study into production at the Tampakan mine in the Philippines. It notes the project will be very leveraged to the copper price.


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## Agentm (21 December 2006)

i'll take the gain.. this one completely blindsided the market.. maybe as the news spreads the market will notice,, probably be in the fin review tomorrow and get a nice boost.. long wait is over, i thought the political difficulties may have scared them off for a while, now its all systems go..


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## Freeballinginawetsuit (21 December 2006)

kennas said:
			
		

> Yeah, a bit weird. Perhaps it was just taken off peoples radars because the last ann said that theu had until Dec 07.....]
> 
> 
> 
> ...


----------



## PorscheACE (21 December 2006)

GREAT NEWS!!!

Xstrata jumped the gun! Now lets watch this baby skyrocket!

Has to break $1 within a week...like everyone has said...we've (including me) have been waiting for this news for a while...and to jump the gun is a nice XMAS present! Fingers crossed things go well...Good luck everyone and hopefully so great news for the New Year!


----------



## Broadside (21 December 2006)

Agentm said:
			
		

> i'll take the gain.. this one completely blindsided the market.. maybe as the news spreads the market will notice,, probably be in the fin review tomorrow and get a nice boost.. long wait is over, i thought the political difficulties may have scared them off for a while, now its all systems go..




bugger I sold out of this when it looked like it would take a year, well done to the patient, still plenty to go, might buy in again


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## Sean K (22 December 2006)

Broadside said:
			
		

> bugger I sold out of this when it looked like it would take a year, well done to the patient, still plenty to go, might buy in again



I almost thought about jumping as well as I thought there might have been some more downside with the long wait required. Lucky I held on, and lucky I saw the ann early yesterday to pick up a few more. Copper's off over night and gold relatively steady so might not push as hard as some think straight away. Might still be a chance to get some on a pullback. There's still a long long way to go for the true value of Tampakan to be realised. The Tampakan area has produced other good drilling results so there's even more scope to increase the resource. This could be a very very long term hold for me. 

IRN have stated they have some other project plans in the region, will be interesting to see what else they come up with.


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## PorscheACE (26 December 2006)

Exactly...fruit on a tree doesnt grow in a day...over time the fruit will be ripe ready for the picking


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## kerosam (15 January 2007)

back to the low 70s... u guys reckon the small fishes have taken profits and went nibbling elsewhere? waiting for any major news?


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## Sean K (15 January 2007)

I'm not sure where I'm at with this stock. I have been taking profits everywhere, but for some reason I just think I have to hold this. Perhaps it's because of the significance of the resource and the Xstrata link.... I bought in at an ave price of about $0.50 I think, so it's still looking ok for me, but if your're after short term gains, only perhaps considerable appreciation in POG and POC is going to lift this short term. Tampakan is a long term project...


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## reece55 (15 January 2007)

I think the decline is all about the copper price and some short termers taking profits. Silly though, because even at $1.50 POC this is still an extremely prospective project - the lead time however my be making some impatient holders here want to close out. Most days that any large volume has been on offer, someone has taken it off the board fairly quickly. Technically, strong support at .69, which we are getting close to testing. Todays test at 0.72 was on very low volume, so i'm not sure you would consider it a terrible day. Still, since the Xstrata announcement, the thing has hardly taken off - one to keep on the watchlist however IMO.

Cheers


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## Freeballinginawetsuit (28 February 2007)

IRN has done absolutly nothing the past couple of months but test support on the odd occasion and get wiped at any upward momentum.

Posted a bid in the depth this morning prior to the panic on the hope it would have a significant spike below support.......got taken up and happy with the follow through support. 

Any chance I can I am going to accumalate IRN on weakness, at some point in time fundamentals will catch up with this one, just biding my time till then.


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## Sean K (28 February 2007)

I'm still with you FB. Tampakan is going to get up, and they have free carriage. Long term prospect now. Will be interesting to see what they do with the money from Xstrata in further exploration and/or acquisition. Bottom draw for me.


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## Freeballinginawetsuit (1 March 2007)

Closing on highs for the day and through the old support at 68 ish.

Nice support shown Tues and Today.........STILL HOLDING


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## reece55 (1 March 2007)

Freeballinginawetsuit said:
			
		

> Closing on highs for the day and through the old support at 68 ish.
> 
> Nice support shown Tues and Today.........STILL HOLDING




Great trade Freeballing - you picked up in excess of 10% here in a day......

This one is worth far more than most give it credit for - it's actually got a BFS and the worlds biggest copper miner actually building the mine.... A pateient man here could make a ton!

Cheers


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## Sean K (1 March 2007)

reece55 said:
			
		

> Great trade Freeballing - you picked up in excess of 10% here in a day......
> 
> This one is worth far more than most give it credit for - it's actually got a BFS and the worlds biggest copper miner actually building the mine.... A pateient man here could make a ton!
> 
> Cheers



I've been holding for about 2 years and it has been worthwhile, although you are right about patience. It's gone sideways for a year. With such an incredible resource, and eventually steady income from Tampakan it will be interesting to see where it goes. Wouldn't discount Xstrata taking them over either. Risks are POG and POC of course, and country. Let's hope Phillipines sorts out those pesky Muslim extremists down south. Not sure why this performed so well today? Odd.


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## Freeballinginawetsuit (1 March 2007)

Agree with you both, on all points

After accumalating this one for a while the last two days have indeed been odd.

Volumes have been large and I'm not the only one that didn't like it falling through support....this one has been accumalated by others for some time they just got caught on the hop yesterday in my opinion.

Its been a while since I read the Xstrata deal but I'm pretty sure they hand over the money soon and take up their stake........March rings a bell but could be wrong


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## CanOz (1 March 2007)

kennas said:
			
		

> Not sure why this performed so well today? Odd.




Price and volume, yesterday the sellers were nearly completely soaked up by allot of buyers. This is the selling climax. If those that hold the stock now are longer term holders, then there is less of the floating supply to be sold off, the price must rise right?

There are a few of these candles and volume spikes around atm.

Cheers,


----------



## cicak_kupang (26 March 2007)

I came across IRN a while ago but never gave it my time, am now though....! Up 2day in grand style, but i might just wait till the next metal price shake up and jump in them when SP is down a bit. Suer has some potential here.


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## Freeballinginawetsuit (4 May 2007)

IRN's recent price action over the last week indicates strong accumalation. Volume's are impressive and upward momentum strong. 

IRN is not far off a gap day, if youre holding long or short..............now is not the time too exit


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## uptrend (10 May 2007)

Looking at the many identical (783) orders gone through so far on IRN in the last few day, does this suggest some big buyer is using computer program on their behalf to buy in?


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## Freeballinginawetsuit (13 June 2007)

Setting aside IRN's substantial holders, a bit more momentum and volume would catch those trading IRN on the hop.

Not complaining though, IRN seems to have found a new support around 90c and the longer its accumalated at its current SP, the stronger its next run will be


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## So_Cynical (2 January 2008)

Looks like IRN mite be good buying tomorrow

As the news is, well not so good...but not really that bad.

http://www.abc.net.au/news/stories/2008/01/01/2130004.htm

*QUOTE LINK*
Communist rebels in the southern Philippines have attacked a mine majority owned by Xstrata 
and partly owned by Australia's _Indophil Resources_ NL.

The rebels may have attacked the facility for the non-payment of a "revolutionary tax".

He said New People's Army rebels raided the mine early on New Year's morning local time, firing with 
grenade launchers and automatic weapons.

Before retreating, they set two buildings on fire and strafed a nearby army detachment.

Police said there were no casualties.


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## 56gsa (21 March 2008)

any IRN holders with thoughts on the bid for LST ... sounds like it will stock up the cash coffers of IRN ...


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## Sean K (22 March 2008)

56gsa said:


> any IRN holders with thoughts on the bid for LST ... sounds like it will stock up the cash coffers of IRN ...



I'm out, but am a little confused. I thought IRN wanted to be a miner. Now they're turning back into an investment company.


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## So_Cynical (22 March 2008)

Seems to be a strange direction to be going in....for IRN

maybe they want to "transform" the company.


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## prawn_86 (22 March 2008)

LST have 30% of the Carcrow gold mine, and the first rights to buy the other 70% off of Newcrest.

Im not too sure the other terms though...


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## Freeballinginawetsuit (23 March 2008)

I got out of IRN just prior to Xmas, no particular reason though and still a fan. 

Why they would bother about LST I'm not sure, they should just bide there time with Tampakan and sit on there cash IMO


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## 56gsa (21 May 2008)

Any views on the Xstrata bid @ $1??  Obviously mr market thinks there'll be further action on this - one buyer is busy buying millions at $1.10...

ABN have valued IRN at ~$1.90 ...  Xstrata getting another bargain it seems?


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## Sean K (21 May 2008)

56gsa said:


> Any views on the Xstrata bid @ $1??  Obviously mr market thinks there'll be further action on this - one buyer is busy buying millions at $1.10...
> 
> ABN have valued IRN at ~$1.90 ...  Xstrata getting another bargain it seems?



Interesting. Perhaps LST are in there with a counter bid? LOL  

I actaully thought that's the way it would be yonks ago ....


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## refined silver (21 May 2008)

kennas said:


> Interesting. Perhaps LST are in there with a counter bid? LOL
> 
> I actaully thought that's the way it would be yonks ago ....




It is!

IRN want to buy LST as it means buying further into their own project cos LST have a lot of IRN shares. LST also have cash and Cracow, and don't want IRN to buy them out. 

The Xstrata bid is because they want to buy out IRNs share of their project which is one of the biggest Au/Cu projects in the world.

LST support the Xstrata bid for IRN because it negates IRNs hostile bid for them, and gives them good quick cash for their IRN shares, which you would have thought they'd use for Cracow, but they've just announced they want to sell that too.

IRN have absolutely no intention of selling to Xstrata as they know how valuable the project is and so do Xstrata. 

The end result? Can't see any of the bids succeeding, although I think LST would do better with IRN shares than with cash. I hope there's not too many dopey IRN shareholders who would sell to Xstrata. If no bid succeeds, the end result might just be bidding up of IRN and LST shares, as their vlaue is brought to light.

My 2c worth.


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## 56gsa (20 June 2008)

can someone explain to me why there are still sells on this at 1.18/1.20 when a new offer @ 1.28 cash has been announced this morning??



> Mr Richard Laufmann, Managing Director & CEO of Indophil Resources NL
> (Indophil), the Alsons Group (Alsons) and Hong Kong-based investment
> banking group Crosby Capital Partners (Crosby) have agreed to make a
> conditional cash takeover offer of A$1.28 (Offer Price) a share for the entire
> issued share capital of Indophil (Offer).


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## 56gsa (20 June 2008)

very strange - not sure what happened there but there was no trading halt, the news was out and still lots of sells there for under $1.28 - couldn't believe that such an opportunity would exist and therefore didn't buy in but first sale wasn't until 11am @ $1.39

did anyone else see this or was i dreaming?

actually LST was still selling at $1.84 until 10.30am so does loook like mr market was caught napping!!  would have been a very handy trade ...

Obviously everyone thinks Xstrata will eat this new bid up with another offer - I'm sure they're prepared to go to $2 or more given the significance of Tampakan - MD of IRN obviously keen to bid up his own worth....


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## AnDy62 (20 June 2008)

Up 20% today . Glad to be holding this, I saw it as a bit of a no-brainer. Interesting to see if Xstrata will come back with a new offer... It's been a nice ride so far.


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## AnDy62 (19 August 2008)

Anyone on IRN at the moment? I think that there will be some more corporate activity in the next couple of weeks, well there has to be given the deadlines, whether it is good or not is another q.


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## kenny (25 August 2008)

Old news but useful to know. 

XStrata pulling out of the Indophil bidding has benefited Lion Selection as well as itself with a revaluation by the market of its Tampakan copper/gold prospect in the Philippines.

http://www.businessspectator.com.au/bs.nsf/article/xstrata-pulls-out-hr287?opendocument&src=wdb

Cheers,

Kenny


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## kirtdog (16 January 2009)

lots of cash, no debt, very experienced heirarchy, possible takeover, low SP hovering around 0.3 for a few about a month now, a few big buyers recently, copper and gold prices an uncertainty :/, will be watching this one closely..


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## Uncle Festivus (20 February 2009)

Current price = 0.285c

As at 31 December 2008, Indophil held $76.5 million in cash 
balances. The Company’s use of funds has been primarily to meet 
Tampakan project study commitments. Further, in the current  
global fnancial environment in which we all fnd ourselves,  
Indophil is acutely mindful of the need to conserve cash to meet  
its commitments to advancing the Tampakan project study process. 
In this context, Indophil remains confdent of its cash position. 
*The current cash balance of $76.5m represents cash backing  
of almost 20 cents per Indophil share.
*



> It was a pity INDOPHIL's (ASX:IRN) announcement that the  Tampakan copper-gold project in the Philippines was a world-class  project coincided with another sharp fall in world copper price.         But, then again, it also coincided with another rise in world  gold price.         Either way the market was not impressed and Indophil shares  slipped 1c to 28.5c.         The company announced that the preliminary findings of a near  two-year Extended Pre-Feasibility Study (XPFS) into the viability of the  Tampakan had confirmed it was a world-class, large-scale project.         It was a 2.2 billion-tonne mineral resource base containing an  estimated initial 1.4 billion tonnes of mill feed for life-of-mine  average production of 325,000 tonnes a year of copper (contained in  concentrate) peaking at more than 400,000; 310,000 ozs a year of gold;  and still undefined, but significant production of molybdenum.          *****          Indophil CEO and MD Richard Laufmann explained why the stock was  under-appreciated.         "These indicative findings confirm the world-class, long-life  attributes of the Tampakan deposit.         "In our view, Tampakan is one of the most attractive near-term  new copper developments in the world," he said.         "At Indophil's current share price, this values our stake in the  project at around 0.4 of one US cent per pound of copper in the ground.         "This is a fraction of the value historically ascribed to major  copper deposit transactions, and is reinforced by the range of US5.5c to  US6.0c per pound of copper placed on Indophil's stake in Tampakan by the  independent expert in Indophil's 21 July 2008 Target's Statement.         "The current valuation in relation to Indophil's share price is,  by any measure, an extremely low figure," he said.


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## Amor_Fati (7 April 2009)

Big jump yesterday, more than 20%. Held on to most of it today, too. Response to ASX price query was merely to point out some fundamental strengths but these have been known for months, so what happened yesterday?

And well picked up Uncle Festivus, I saw that in the Annual Report too, I had to check my sums a couple of times because it seemed too good to be true!

I hold IRN.


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## Sean K (15 April 2009)

Amor_Fati said:


> Big jump yesterday, more than 20%. Held on to most of it today, too. Response to ASX price query was merely to point out some fundamental strengths but these have been known for months, so what happened yesterday?
> 
> And well picked up Uncle Festivus, I saw that in the Annual Report too, I had to check my sums a couple of times because it seemed too good to be true!
> 
> I hold IRN.



Yes, wish I had have been watching more closely. Classic breakout and has followed through.

What's the latest with all the takeover and reverse takeover action?


----------



## Amor_Fati (22 April 2009)

kennas said:


> Yes, wish I had have been watching more closely. Classic breakout and has followed through.
> 
> What's the latest with all the takeover and reverse takeover action?




I think the latest is that they are trying to sell their stake in Tampakan (which is 99% of the value of IRN) rather than be taken over as Lion Selection sold a large chunk (20% I think) of IRN to Xstrata, the larger partner in Tampakan, which destroyed that round of take-over speculation.

They come out of their trading halt tomorrow (Wed) to announce something about the extended pre feasability report which essentially means the auction is on in my understanding. The Chairman's address (only a week old) includes this:

"We are in a sound position to meet our Tampakan study commitments through to 
finalisation of the Final Feasibility Study. With the completed XPFS we will be able to advise 
potential buyers of the project scope, scale and economics. It is a requirement that Indophil, 
Xstrata, Alsons and the original owners, the Tampakan Group of Companies, jointly sign 
any confidentiality agreement that gives a third party access to any information relating to 
Tampakan. _We anticipate that we will be in a position to provide information by way of 
access to a “data room” to a number of interested parties, and we are in the process of 
completing confidentiality terms. It is not appropriate to name potentially interested parties, 
or to forecast possible commercial terms or timing. _" Italics added

So in summary I can't wait to see what unfolds over the next few months! It is hard to imagine matching the 1.28 that LST denied us; given the collapse of copper prices; but it could still be a good result.


----------



## Sean K (22 April 2009)

Amor_Fati said:


> I think the latest is that they are trying to sell their stake in Tampakan (which is 99% of the value of IRN) rather than be taken over as Lion Selection sold a large chunk (20% I think) of IRN to Xstrata, the larger partner in Tampakan, which destroyed that round of take-over speculation.



OK, lets try and work out how much these might be worth ballpark. Or at least see how undervalued they might be. Lets accept that they are going to sell their stake in Tampakan. Need to know what they could be worth....


Shares on issue 400m x 35c = $140m mc, all on Tampakan.

Cash on hand about $70m, so their stake in Tampakan is valued at $70m.

Tampakan Resource contains 12.8Mt Cu, and 15.2Moz Au. 

IRN have 34% of this, so:

4.35Mt of Cu
5.1m oz au


So, what are they going to get for this you reckon??

Is it going to be more than the $70m that we've identified as its current value?

Probably. 

Guestimates?


----------



## Sean K (4 May 2009)

IRN looks like it broke that sidways move in early April on volume and has been consolidating for a few weeks. Looks to be coiling here, formed a nice triangle, and there's a pretty good chance for a break up you'd reckon.


----------



## Sean K (4 May 2009)

Just intraday but seems to breaking to the upside. Gives some credence to taking a position in these set ups early and then manage the trade closely with a stop to the downside and ride the break.  Will probably die in the @rse now.


----------



## Sean K (7 May 2009)

Potential for another break up here for those with time on their hands and nothing better to do. Been a great performer since the break through 30c, but there's been a few!!


----------



## Sean K (11 May 2009)

Target reached from the initial triangle set up.

Some pretty text book TA examples here to watch for next time.


----------



## banska bystrica (13 May 2009)

The Chinese are looking for copper assets. This is one of the biggest (maybe the biggest) undeveloped copper/gold mines in the world. I bought 150K at 48.5c today. Fundamentally cheap, takeover offers last year at $1+. A put in the drawer job and wait for corporate activity.


----------



## romeo (14 May 2009)

thanks kennas for the simple and easy to read charts. As usual. I too wish I was watching this more closely.


----------



## Sean K (1 June 2009)

Seems to be breaking up again.

But,

50 firmed as significant resistance.

No brainer a few weeks ago.



Looking Cup and Handelish too.


----------



## banska bystrica (5 June 2009)

From ABN Amro:

_"Tampakan . an undisputed Tier-1 project
Sagittarius Mines holds the FTAA covering Tampakan . a resource of 12.8Mt of copper and
15.2Moz of gold . on Mindanao, the Philippines. Xstrata plc, a major diversified mining
group, holds a 62.5% interest in Sagittarius. Indophil holds 34.23% and is acquiring the
balance of 3.27% from the Alsons Group, an affiliate of the Alcantara and Dominguez
families, both with strong commercial interests in Mindanao, and an IRN shareholder.

Valuing Tampakan in late 2008 . A$1.41 per share
The independent expert appointed by IRN evaluated 44Mtpa mine producing on average
300kt of copper and 320koz gold per year over a 25-year life, with a capital cost of US$3.9bn
and lowest-quartile cash costs. It generated a value of A$1.41-1.56 per IRN share, valuing
the measured and indicated resources between US5.5c and US6.0c/lb of copper equivalent
(at AUD/USD 0.9560). Xstrata.s subsequently released study incorporated an expansion to
66Mtpa with a final capital cost of US$5.2bn and a cash cost of US46c/lb Cu.

Stalemate or check mate, but not fool.s mate?
Xstrata offered A$1.00/IRN share in May 2008. In June a competing offer of A$1.28 was
made by a consortium including the Alsons Group. Subsequently Xstrata raised its bid to
A$1.28, but this bid lapsed. Soon after Xstrata moved to a 19.9% holding, which prevented
the competing bid reaching its minimum acceptance level (90%). In November, shareholders
voted overwhelmingly to give the IRN board the right to sell its interest in Sagittarius. Xstrata
claims to hold the marketing rights for Tampakan.s output, while IRN claims the right to
market its share of concentrate. This is a critical value point for any potential acquirer of IRN,
or its holding in Sagittarius. It remains untested in the courts.



The independent expert appointed by the IRN board in mid-2008 determined a mean
value of A$1.41 per IRN share, which we regard as the preferred valuation. Two
competing takeover bids were launched at A$1.28 per share. Subsequent to the
defeat of its bid for Indophil, Xstrata acquired a holding at A$1.17 per share to take
its holding to 19.9% and block the other bid. Given the opacity of the corporate
situation, we ceased coverage of IRN with a target price of A$1.00, given the overall
market sentiment, coupled with the increased difficulty in securing both debt and
equity finance for major resource-project developments, and in light of the changed
corporate situation for Indophil.
We retain our sum-of-the-parts valuation of A$1.41, in line with the independents
expert.s valuation, and our A$1.00 target price.
The risk of realising value for IRN shareholders lies with Indophil being able to either
finance or sell its interest in Sagittarius and the Tampakan development. The
development will be funded through Sagittarius. Assuming a 60/40 debt/equity ratio
. generous in this market . would require a capital commitment of US$2.1bn from
Sagittarius . US$1.4bn from Xstrata and US$700m from IRN. This would require a
highly dilutionary issue of capital by IRN to fund its obligation.
The board of IRN has the ability to sell the asset to any party at any price without the
approval of a further shareholders. meeting. The exception to this is a sale to Xstrata,
which would require shareholder approval on the basis of a related-party transaction.
Indophil has also received a preliminary tax ruling from the Filipino authorities
confirming that the sale could be taxed at lower than previously assumed rates."_


----------



## banska bystrica (12 June 2009)

IRN is really start to firm up with sellers thinning out. It's having its second crack at 52c and if it breaks out above 52c, the stock will be off and running.
Bids last year at $1.28. Cheap as chips and the market is waking up from its slumber....finally.


----------



## banska bystrica (16 June 2009)

Smashed through 52c to 56c with solid buying on the close. Smart astute buying on a day when there was a sea of red elsewhere.


----------



## banska bystrica (17 June 2009)

There is nothing more to be said. The general market is looking sick again yet IRN keeps climbing. Those who are not already set probably don't want to be. Those that are: Enjoy the ride. What do they say? _*"Where there's smoke there's fire".*_


----------



## treeman (18 June 2009)

Looks like a good opportunity, bit of a fall today from yeasterday's high, might be a good time so im stocking up on IRN while there is some panic around.


----------



## Sean K (29 June 2009)

22 Apr SP 35c ish.



kennas said:


> OK, lets try and work out how much these might be worth ballpark. Or at least see how undervalued they might be. Lets accept that they are going to sell their stake in Tampakan. Need to know what they could be worth....
> 
> Shares on issue 400m x 35c = $140m mc, all on Tampakan.
> 
> ...




We might find out soon enough how much IRN will get for their stake.

I crunched some numbers a little while ago, but no one's been able to guestimate a value per pound and ounce to IRN, and I haven't tried hard enough. Hope my laziness isn't going to bite me. 


*Numerous parties interested in Indophil Tampakan stake*
Elisabeth Behrmann | June 29, 2009 

Article from:  Dow Jones Newswires 

A NUMBER of parties are interested in the sale by Indophil Resources of 34.23 per cent of its stake in the copper-gold Tampakan project in The Philippines, according to Indophil.

A company spokesman said the interested parties were "at the big end of town". 

Analysts have tentatively pegged the development cost for Tampakan at $US3 billion ($3.7bn). 

Indophil gave the sale update after Tampakan's joint-venture partners announced they had given the go-ahead for a final feasibility study of the project. 

"The decision to develop a major copper mine at Tampakan will depend on the outcomes of the feasibility study," Sagittarius Mines president Peter Forrestal said. 

Diversified miner Xstrata holds a 62.5 per cent stake in Tampakan through subsidiary Sagittarius Mines.


----------



## persistentone (6 July 2009)

kennas said:


> 22 Apr SP 35c ish.
> 
> 
> 
> ...




One of the earlier posts here quotes an assessment of the value:
"The independent expert appointed by IRN evaluated 44Mtpa mine producing on average 300kt of copper and 320koz gold per year over a 25-year life, with a capital cost of US$3.9bn and lowest-quartile cash costs. It generated a value of A$1.41-1.56 per IRN share, valuing the measured and indicated resources between US5.5c and US6.0c/lb of copper equivalent (at AUD/USD 0.9560). Xstrata.s subsequently released study incorporated an expansion to 66Mtpa with a final capital cost of US$5.2bn and a cash cost of US46c/lb Cu."

You can't help but notice that they leave out the actual details that lead from a $4B+ capital investment to a value for the enterprise.   So it's hard to really evaluate such a release.  Given that the evaluation is paid for by the companies that own the asset, you have to think it is a high end of the range for real value.


----------



## banska bystrica (16 September 2009)

IRN continues to climb. Hope forum members are still holding from the 45c levels a couple of months back when I alerted they were on a breakout.
IRN's copper in the ground is valued at 3c per pound at a share price of 84c. The cheapest global copper deal of recent times was 7c per pound so even at $2.00, IRN is cheap.
I'm still accumulating almost on a daily basis when the stock weakens in intra day trading.
Expecting a bid for IRN's Tampakan stake at circa $1.50. Happy to hold long term if no bid eventuates. Seems outstanding value with copper outlook very bullish.

From ABN Amro:

_"*Copper market fundamentals supportive of higher prices*
Long-term copper mine supply appears constrained due to the lack of new projects and
declining production from existing operations. The financial crisis has led to further project
delays (eg, RIO’s La Granja), which supports our view that the current pipeline of projects will
fall short of demand requirements. While the outlook for near-term demand growth remains
uncertain, recent stabilisation of the global economy should lead to restocking, and the
industrialisation of developing economies supports longer term demand growth. We forecast
a deficit market from 2011, with copper prices rising to US$3.20/lb by 2H12"._

_"According to the International Copper Study Group (ICSG), the refined copper market balance for
May 2009 indicated a deficit of around 95kt, mainly due to continued high net Chinese imports.
China is structurally short of copper and is naturally a net importer. However, the surge in 1H09
imports has been largely driven by stockpile buying. The SRB has reportedly purchased 235kt of
copper but appears to have now stopped. A decline in Chinese commodity imports in the coming
months appears to be market consensus, and is therefore unlikely on its own to trigger a price
correction. We expect a strong rebound in consumption in 2010 as the business cycle picks up
and consumers restock, lending support to further price gains."_

_"Longer term projections for copper demand tend to be in the order of 3% annual growth. The chart
below illustrates that even at a moderate 3% annual growth, the world may need to mine as much
copper over the next 25 years as throughout history to satisfy demand. Significant mine additions
will be required to meet these projections."_


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## Sean K (16 September 2009)

banska bystrica said:


> IRN continues to climb. Hope forum members are still holding from the 45c levels a couple of months back when I alerted they were on a breakout.



Do you mean this alert banksta:



kennas said:


> Classic breakout and has followed through.




Well picked up!

The breakout was actually at 30c. 



Yes, it's had a good run, like most of the resources sector from the bottom.


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## treeman (18 September 2009)

Wish I held longer when I picked some up after seeing your post Bystrica. I Went in the high 50s and let go in mid 60s  

Quiet high number of trades today giving me the confidence to go back in and hopefully see the 1.00 resistance reached soon, altho I plan on holding longer this time.


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## Ajax (14 October 2009)

Closed at 92.5c today (14/10/09) up from 87c close day before.

This is what may be driving the price rise:-

http://online.wsj.com/article/SB10001424052748704429304574468430840455864.html?mod=googlenews_wsj

"Xstrata PLC's Chilean subsidiary has sold its 70% stake in the El Morro copper project to Barrick Gold Corp. for $465 million in cash"

...

Xstrata Copper Chief Executive Charlie Sartain said the deal benefits both companies. It benfits Xstrata with "Xstrata Copper's significant pipeline of organic growth projects in a number of countries"

Does this mean some of the proceeds will be used for Xstrata to finally take over Indophil to accees Indophil's interest in the Tampakan project (currently approx. 34.5% which increases to 37.5% on commencement of production)?

This may also help:-

http://www.iii.co.uk/articles/articledisplay.jsp?section=Markets&article_id=10056350

"With just eight days left for Xstrata (XTA) to make a formal takeover bid for Anglo American (AAL) speculation is rife that Xstrata will walk away from the deal."...


----------



## Ajax (15 October 2009)

In what may be indicative of the future for Indophil shareholders, RIO have recently moved to acquire a larger stake in another large undeveloped Asian  copper and gold mine, Ivanhoes Mines Limited's Oyu Tolgoi mine in Mongoloia 

http://www.bloomberg.com/apps/news?pid=20601081&sid=a94EwPyXax5U

"Rio Tinto Group will pay $388 million to double its stake in Ivanhoe Mines Ltd. as part of a 2006 agreement to give Rio a share of a Mongolian copper and gold mine near China’s border. 

Rio will increase its holding to 19.7 percent from 9.9 percent, Vancouver-based Ivanhoe said today in a statement. The proceeds will help Ivanhoe develop its Oyu Tolgoi mine, which was approved by the Mongolian government on Oct. 6. 

Ivanhoe Chairman Robert Friedland has staked prospects for Oyu Tolgoi, which means “turquoise hill” in Mongolian, on demand for copper in China, where imports tripled in three years. The project lies about 80 kilometers (50 miles) north of Mongolia’s Chinese border."


----------



## Boggo (15 October 2009)

From a chart perspective IRN looks pretty good, last few run ups have been good.

Came up in my scan last night.

(click to expand)


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## banska bystrica (15 October 2009)

There has been consistent instituitional buying through Deutsche for the last few weeks. Retail investors have been selling into what appears to be weakness on the buy side. Trouble is the instos are buying from off screen. The stock can look as though it's got no support, then all of a sudden you see 1M traded in a day and wonder where all the buying came from.

The data room has been open since June. One would think a bid is close. There were reports of several Tier 1 corporates and at least one soveriegn wealth fund in the room and all were serious players.

No doubt since the news was released about Xstrata selling their El Morro stake for circa AUD$520M, interest in IRN has ignited once again.

At a price of $1.50 for IRN, the copper in the ground is valued at 4.3c per pound. If a deal goes ahead at that sort of price, it will still be the bargain of the decade for the buyer. El Morro was done at circa 10c per pound and the economics of Tampakan are far more compelling than El Morro. The grades are better and there is a minimum of three times as much copper at Tampakan and they really haven't drilled extensively outside the main area. They have a guaranteed 20 years mine life and probably closer to 50 years. El Morro has more percentage gold which Xstrata is not really into. Copper and other base metals are their go.

Whether we get $1.50 or more or less is anyone's guess but we know they knocked back $1.28 last year. At 90c, it appears to have another 50%+ upside from here. I hold.


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## Ajax (15 October 2009)

You might find that if Xstrata withdraws from bidding for Anglo (and it must make its final decision by Tuesday 20th November) the market will then look at the significant pipeline of copper projects Xstrata has and in the case of Tampakan that Xstrata is even more likely to try to acquire Indophil. 

Xstrata's formal withdrawal from the Anglo takeover/merger could provide the catalyst for a market re-rating of Indophil's share-price.


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## Ajax (15 October 2009)

Going through ASX news from 2008 Deutsche Bank appears to have been Xstrata Copper's adviser on their acquistion of Indophil shares from Lion Selection.

http://www.stocknessmonster.com/news-item?S=IRN&E=ASX&N=304861


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## Ajax (15 October 2009)

*Xstrata Drops Anglo Merger Plan*

Here's the news I wanted to see.

Xstrata Drops Anglo Merger Plan. This will mean Xstrata won't be constrained by any cash requirements which could have arisen from Anglo merger. 

http://www.nytimes.com/reuters/2009/10/15/business/business-uk-anglo-xstrata.html


----------



## Ajax (16 October 2009)

*Manila says China's Zijin eyeing $1 bn in au & cu investments*

http://af.reuters.com/article/metalsNews/idAFMAN43183720091015

"China's Zijin Mining Group is eyeing up to $1 billion in investments in gold and copper projects in the Philippines within five years, the Philippine environment secretary said on Thursday."


----------



## banska bystrica (16 October 2009)

All good news on the fringes re: Xstrata pulling out of the merger with Anglo and copper forming a base at $2.80 per pound but I can't help but think the data room is hotting up and this is causing sellers to back off. This is a mega project and it will be a mega company or soveriegn wealth fund that buys out IRN's stake in Tampakan. We are going to get a reasonable price in the end and I think Christmas will be early. Just my opinion.

They knocked back $1.28 last year so one would think the figure will be at least 10% above that. That equates to $1.40 minimum. Still very nice upside from the current price of 94c especially when it's a short term play now.


----------



## Ajax (20 October 2009)

Good announcement today regarding increase of mineral resource at Tampakan, including

"In summary (see following for detail), today’s mineral resource upgrade announcement estimates:
• An 8% increase in the mineral resource, up from 2.2 billion tonnes (Bt) to 2.4Bt.
• A 25% increase in Measured tonnes, up from 620 million tonnes (Mt) to 780Mt, thereby improving confidence levels.
• Contained copper up from 12.8Mt to 13.5Mt, and contained gold up from 15.2 million ounces (Moz) to 15.8Moz.
• Significant upside for growth and new discovery in the project area.
The previous mineral resource estimate was issued in December 2007. This new estimate, calculated under the 2004 JORC Code guidelines, has been delivered as part of the US$74m Final Feasibility Study (FFS) which is due for completion in the second quarter of 2010."

http://www.stocknessmonster.com/news-item?S=IRN&E=ASX&N=326275

But this is the interesting part imo...

"The Company continues to hold asset sale discussions with a range of
parties. Following site visits, these discussions have progressed well, and they are now at an advanced stage. Indophil will update the market on any material developments as they occur."


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## Ajax (20 October 2009)

Some news articles here:-

(video report)

http://www.finnewsnetwork.com/archives/finance_news_network12766.html

http://www.reuters.com/article/rbssIndustryMaterialsUtilitiesNews/idUSMAN48683120091020


----------



## Ajax (21 October 2009)

More articles today in the Australian and The Age:-

http://www.theaustralian.news.com.au/business/story/0,28124,26238229-5005200,00.html

http://www.theage.com.au/business/indophil-to-sell-philippine-project-stake-20091020-h70e.html

http://www.bworldonline.com/BW102109/content.php?id=041


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## Ajax (26 October 2009)

*Offer for IRN's 37.5% interest in Tampakan coming soon.*

Indophil curently hold 34.23% of Sagittarius Mining Inc. with the right to acquire Alson's 3.27% stake in stages. 

The announcement today means the shareholding is tidied up...Indophil can offer the entire 37.5% stake for sale with the acceleration of purchase from Alsons. The new purchaser will be acquiring a 37.5% stake in SMI and Xstrata will hold the remaining 62.5% stake. I wonder what Xstrata's view is on this?

IMO this indicates an offer for the 37.5% stake in Tampakan is very close at hand.   

http://www.stocknessmonster.com/news-item?S=IRN&E=ASX&N=326639

"Indophil and Alsons amend acceleration terms under MOA
Indophil Resources (ASX:IRN) and its Tampakan Copper-Gold Project partner Alsons Corporation have reached agreement on the terms by which Indophil may accelerate the pace at which it acquires a further 3.27% interest in the world-class project.
Indophil already holds a 34.23% interest in the Tampakan project, with global mining house Xstrata holding a 62.5% interest. Once these exclusive arrangements with Philippine-based Alsons Corporation are finalised and with Alsons approval, Indophil would be in a position to move to a
37.5% interest in the project.
In March 2007, Indophil and Alsons detailed an agreement whereby Indophil could – on completion of agreed milestones – move to a 37.5% interest in the Tampakan project. That agreement has now been formally amended to allow Indophil to accelerate the acquisition process.
Commenting on the revised agreement, Indophil’s CEO Richard Laufmann said: “Indophil is pursuing a range of strategies to maximise the value of its stake in the Tampakan project and is in discussion with a number of parties. There is considerable global interest in acquiring copper projects and there
is considerable interest in Tampakan, a world-class copper-gold deposit. While there has been no formal purchase agreement at this time, indications are that most buyers would prefer to acquire the combined 37.5%.”
Key terms of the revised agreement include:
• A trigger for Indophil and Alsons to accelerate the acquisition of Alsons remaining 3.27% interest in Tampakan, should Indophil receive an acceptable third party proposal to purchase its Tampakan interest; and
• On this basis, Indophil waivers the remaining two Tampakan milestones (the completion of the Bankable Feasibility Study and completion of plant commissioning) to allow the granting of Indophil shares to Alsons. This new agreement now includes a waiver by Alsons of milestonerelated cash considerations, and in return Indophil will continue to fund Alsons share of project cost commitments.
"


----------



## Ajax (26 October 2009)

http://www.theaustralian.news.com.au/business/story/0,28124,26260131-5005200,00.html

.......................................................................................................


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## Ajax (6 November 2009)

Indophil traded from open until 3.55pm between 92.5c and 94c with just over 300,000 traded in this period.

Then...from 3.55pm till the 4.10pm close of after-market traded up to $1.03 with a volume of about 700,000 shares and is now $1.00 bid/$1.05 offer.

Suggests to me that someone has knowledge of sale of Indophil's interests in Sagittarius Mines Inc (Tampakan) and that an ASX announcement on the sale will happen very soon.


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## GREENS (6 November 2009)

Wow. I look at the market around mid day and wonder why IRN is lagging the market as the XAO continues to trend higher into the early afternoon. I look back tonight and wooshka, some strong volume to end the day and the result a nice long white candle that looks to have broken through resistance around that $1 mark. However the overall volume for the day is nothing unusual so maybe not as convincing as the candle suggest? Or has news leaked, late in the day, in regards to a pending announcement on the acquisition of the Tampakan Copper Project. Or is the market just finally starting to wake up to the fact that this company has been significantly undervalued for a while now and has really been a laggard in the copper sector compared to a lot of other  copper plays. It is now just moving closer to fair value around the $1.25-$1.75 assuming a copper price of $0.05-$0.07/lb of payable in ground copper for their Tampakan Project. Assumptions: 13,500,000t contained copper, FX rate of $0.90, IRN’s interest remains at 34.23%, copper recovery rates of 87%, No. shares outstanding – 393.13m. 


A good indication may be Tecks acquisition of the Relincho Copper Project in Chile in early 2008 for $425m. At the time no feasibility work had been undertaken and the project was still very much still in the exploration phase at the time. At the time of acquisition the project had an inferred and indicated resource of 9.62 billion lbs of copper. Hence Tech paid around $0.045 per lb of payable copper. If you assume an 87% recovery rate this figures pushes up to just over $0.05/lb. Cu at this time was trading around $4/lb and global markets were only just starting their first leg down in recent the bear market. Anyone got some other more recent copper transactions for comparisons?


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## banska bystrica (7 November 2009)

I have been telling those who care to listen over the road that I was loading the truck up on IRN and bought my last lot at 88c after initially buying in the 40's. I will be buying again on opening Monday and just hope there is no trading halt before the market opens. We know that they thought $1.28 was too low last year. The Tampakan resource has increased and copper will be in short supply for years to come. On that basis, I would expect nothing less than $560M cash for their Tampakan share. That would equate to around $1.40 per IRN share. For me, that's the minimum which still provides 40% upside from here and breaking news is obviously imminent. The data room has been open since June and field trips for the potential buyers were conducted very recently. It all adds up to a strong bid for IRN's stake.


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## GREENS (8 November 2009)

Don’t worry Banska you’re not alone. I was fortunate to have picked some up on the cheap towards the start of the year and have held since based on the fact it has been grossly undervalued. So I think we are on the same page. I am definitely considering topping up on Monday too after what looks to be a break of that $1 mark, however there are so many opportunities at the moment it’s hard to know whether to diversify or focus the portfolio on a few particular stocks. Dam I wish I had unlimited funds. 

My prediction is around $0.06 per payable lb of in ground copper (assuming no recovery factor and leaving the in ground resource as it stands), which equates to around $1.73/share or $680m. I base this assumption of 6c on the fact the Relincho was at around $0.045/lb, but this was slightly less advanced and did not have the gold credits associated with Tampkan. Then there is El Morro which you have stated previously and I had a geeze at. Barrick bought a 70% stake in El Morro for $465m which equated to 10c per payable lb of in ground copper. However I don’t think Indophil will receive this type of price as the gold credits associated with El Morro were much more significant for each payable pound of in ground copper than for Tampkan. Hence the economics would likely stack up slightly better than Tampkan given the current gold price. But just a figure to mull over if Tampkan did go for 10c/lb then this would equate to just over $1b or approx $2.88/share. I’ll be licking my lips then!!!! Not going to ramp and say there is plenty of upside still to come, but I’m quietly confident. Where to though for the company once it has sold its stake? Liquidation or put the funds into exploration and M&A?


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## Ajax (8 November 2009)

I wouldn't be surprised if a trading halt is announced before the market opens on Monday morning.

Exciting times for Indophil shareholders!


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## Ajax (10 November 2009)

Here's a link to boardroom radio video of Gavan Collery, Indophil's VP Corporate Affairs when he presented at an ASX conference in Hong Kong on 29/10/09 (video released on boardroom radio today 10/11)

http://www.brr.com.au/event/62419/partner/theaustralian

and here's a link to the supporting documents/graphs (provided in ASX announcement on 29/10) 

http://www.stocknessmonster.com/news-item?S=IRN&E=ASX&N=327056

On sale of Indophil's interest in Tampakan, Collery says...

Discussions well advanced, 

"would be dissappointed if shareholders didn't have a clear view of where we are going by Christmas"


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## Ajax (11 November 2009)

I seem to be incurring the wrath of the moderators for only posting links to newspaper articles with no comment by me.

The reason I post like this is that sometimes I have nothing further to contribute and am mindful of copyright issues. Why read what I have to say when a journalist for a large circulation news group has the attention of a far wider audience.

Even a chartist would acknowledge that newspaper articles can drive a share price and it is worthwhile being informed of recent articles.

This article appeared today in the Age:-

http://www.theage.com.au/business/tampakan-deal-could-be-wrapped-up-for-christmas-20091111-i836.html


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## GREENS (27 November 2009)

Trading halt in regards to a corporate transaction (i.e. sale of Tampkan or the entire company). Barry Fitzgerald wrote an article earlier in the day stating it was a Chinese buyer with a likely purchase price of $A550m for the entire company. However I think he has just pulled this figure from the top of his head without any substantial evidence to back it up. He said this figure was based on an average takeover premium of 30% based on Indophil’s last trading price. This equates to around $1.41 which is what I would expect to be a low to mid range figure given it prices the project at just <$US0.05/lb of in ground copper. I was hoping for a value of around $US0.06/lb of in ground copper valuing the company at around $A670m or $1.70/share. However this would equate to a 57% premium to the companies last traded price which is quite substantial. Hopefully there will be some more information regarding the transaction in one of the morning papers.  I would be content with anything over $1.55 as I believe the project demands a value of something north of $US0.05/lb of in ground copper.


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## Ajax (27 November 2009)

Hi Greens,

here's a link to the article you refer to by Barry Fitzgerald:-

http://www.smh.com.au/business/indophil-negotiates-sale-to-chinese-20091127-jvy1.html

When I do a google search on recent news for Indophil this is the only article so far that refers to trading halt today.

I also suspect the $550m amount (30% premium on market capitaisation to yesterday's close) was plucked out of the air. The journalist says a sale to Chinese interests. Not sure where he got that information from.

Its been a long ride for me in Indophil (in and out of it from 27c). Also lost $ on it last year when the $1.28 takeover bid by Stanhill was current and Lion Selection sold most of their stake to Xstrata at  $1.17 effectively torpedoeing the bid.


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## GREENS (27 November 2009)

Yeh his article seems to be based purely on logical application of his thoughts and past events. I think his assumption of a Chinese buyer seems very logical given that the project is pretty much on their doorstep. I’m just not totally convinced on the price he suggested. You’d think given recent transactions in the industry that the price would be slightly higher. We’ll just have to wait and see. If you come across anymore articles regarding the transaction post them up. Hopefully the ride will be well worth it in the long run Ajax.


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## Ajax (1 December 2009)

*Sydney Morning Herald says approx $1.40 takeover bid*

To be announced early this morning-1st December

http://www.smh.com.au/business/chinese-raiders-target-another-local-player-20091130-k1bj.html

"CHINA'S raid on the Australian resources sector continues this morning with a $550 million takeover bid for the Melbourne-based Indophil Resources to be announced nice and early."

Given there are approx 393m shares on issue this equates to about $1.40/share


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## Solitus (1 December 2009)

*Re: Sydney Morning Herald says approx $1.40 takeover bid*

Announcement half an hour ago of change in substantial holding - looks like Xstrata are selling their 19.99% to the chinese for $1.28 per share, subject to terms of the takeover bid.

The PDF is a scan of a fax, so can't cut and paste





Ajax said:


> To be announced early this morning-1st December
> 
> "CHINA'S raid on the Australian resources sector continues this morning with a $550 million takeover bid for the Melbourne-based Indophil Resources to be announced nice and early."
> 
> Given there are approx 393m shares on issue this equates to about $1.40/share


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## Ajax (1 December 2009)

Full takeover bid by Zijin Mining at $1.28/share...takeover bid of $545m

Whilst Indophil's web-site says 

Shares on issue: 393.13 million 

Unlisted options: 5.35 million 

Indophil willl be issuing 29.5(?)million shares to acquire Alsons' interest (3.27% of Tampakan)...this will reduce the bid per share to $1.28


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## Ajax (4 December 2009)

From the combined announcement from Indophil and Zijin, Zijin intends to lodge its bidder’s statement by no later than Friday 18 December.

From the Pre Bid Acceptance Deed between Xstrata and Zijin, the bidder (Zijin) needs to hold acceptances of at least 30.2% of the shares for acceptance notice to be given in relation to Xstrata’s 19.99% shareholding.

The bidder also needs to have declared the bid free from all other defeating conditions.

At this point Zijin would be entitled to 50.19% of Indophil. (Did a lawyer got their maths wrong by stating 30.2% instead of 30.02% in the Pre Bid Acceptance Deed?)

What is interesting is that with the Alson's stake of approximately 3.45%, Lion Selection Group's 5.94% stake and those shares held by Indophil directors and related entitles the acceptances by other shareholders could quickly reach 30.2% and the bid by Zijin then be made unconditional (if they want to do this). 

This may mean shareholders accepting the bid at $1.28 could be paid quite quickly once Zijin's shareholding in Indophil exceeds 50.19%.

There may then be an arbitrage opportunity to accept the Zijin bid and be paid within, say, 5 days (but only at the point where the bid is unconditional) then buy the shares on market again with the funds received and repeat the exercise. 

As it’s an off market bid and Zijin already has a 19.99% shareholding it’s my understanding that they can't buy anymore shares on market (however I stand to be corrected). 

I've undertaken a similar exercise a few years back. Can't remember the stock but it was money for jam with quite a few traders making repeat purchases of stock on market and then acceptng the bid (at a slightly higher price). The exercise required substantial funds however could be done using margin loan. 

Top Twenty Shareholders (as of 13 September 2009) 

Name Number of Holders 						   % 

Xstrata Queensland Limited 78,594,711 					19.99 

National Nominees Limited 43,314,875 					11.02 

HSBC Custody Nominees (Australia) Limited - A/C 2 38,764,419   	 9.86 

Lion Selection Group Limited 23,353,206 				 5.94 

ANZ Nominees Limited (Cash Income A/C) 19,361,712 		 	 4.93 

J P Morgan Nominees Australia Limited 15,825,050 			 4.03 

Zero Nominees Pty Ltd 14,205,000 				 	 3.61

Alsons Corporation 11,100,000 					 	 2.82 

Citicorp Nominees Pty Limited 9,253,972 			 	 2.35

HSBC Custody Nominees (Australia) Limited - GSCO ECA 7,779,025 	 1.98 

HSBC Custody Nominees (Australia) Limited 7,022,701 			 1.79

Southcot Mining Corporation 4,279,630 					 1.09 

Citicorp Nominees Pty Ltd (Cwlth Bank Off Super A/C) 3,938,489 	 1.00 

Indophil Employee Share Plan Pty Ltd 3,114,780 			 0.79 

Khalon Pty Limited 2,593,205 						 0.66

Alsons Development & Investment Corporation 2,476,900 		 0.63 

Escor Investments Pty Ltd 2,200,000 					 0.56 

CS Fourth Nominees Pty Ltd 2,130,415 					 0.54 

Haustella Pty Ltd 2,012,	105 				 		 0.51 

Ardrilt Investments Pty Ltd 1,847,317 					 0.47


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## GREENS (9 January 2010)

Zijin Mining received the green light from the FIRB late yesterday to proceed with the takeover of Indophil Resources. Looks like its pretty much a done deal at this stage, not sure whether there is much chance of a late rival bid. I still feel the bid slightly undervalues the asset. The only catalyst I can see for a rival bid is the fact coppers has continued to strongly rise since the bid was announced on the 1st of December. I think this is wishful thinking on my part.


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## Amor_Fati (19 March 2010)

Did anyone else notice that Zijin's % of acceptances actually went backwards in the last update, due to a significant fall in institutional acceptances. 

Total acceptances fell from 43.63% to 42.57%. It's pretty unconvincing given they started with Xstrata's stake of just under 20%. 

I was hoping Zijin would increase the bid when they extended, because obviously many shareholders are not convinced by $1.28. I know I'm not 100% sure I want to sell at 1.28 I think 1.40 would be much more tempting. I think it's still a real possibility.


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## GREENS (5 April 2010)

Amor I totally agree with you on this one. I was going to post this a while back but because my email address became invalid it wouldn’t let me post it up. Was going to forget about it but seeing your post, thought I’d chuck it up.  

Seems to me that given the slow rate of take up by Indophil shareholders of Zijin’s $1.28/share offer that many institutional and retail investors believe (as do I) that it undervalues the intrinsic value of the company. My personal belief is that Zijin’s price could be comfortably 20-50% higher than the current offer price based on valuations of both currently listed global copper plays and recent corporate acquisitions.  For example if you take into account the cost of development of Tampakan to be approx $US6b ($AU6.67b) implying Indophil’s share of the cost would be $US2.25B ($AU2.5b). This essentially values 37.5% of Tampakan at $AU3.05b or approximately values the 11.16B pounds of in ground copper at $AU0.27/lb ($US0.24/lb) once the project is developed. As an example this figure is well below what value the market ascribes to OZ Minerals PH project which is valued at approximately $AU0.48/lb ($US0.44/lb). Another example is the sale of the Lady Annie mine by Cape Lambert for around $135m (assuming to be in USD). If we ascribe a value of say $US25m of development expenditure required to get the project up and running again, the price paid would be approximately $US0.21/lb of payable in ground copper. For me neither of these projects even come close to matching the quality of Tampakan. 

However one thing that does need to be taken into account is the political and sovereign risk involved with operating in the Philippines. Obviously this requires that some discount should be ascribed to the value that Zijin pays for Tampakan, however in my eyes the current price seems to be well off the mark. Funny how no independent valuation was conducted?? 

Zijin already got an easy 20% of Indophil from Xstrata and Alsons accepting their holdings. Xstrata selling into the offer should not be surprising given the fact that Zijin not only has the capability of funding their share of the development costs but can also provide highly attractive financing to Xstrata itself. Hence why would they worry about few million here or there? 

I would be interested to hear other Indophil shareholders view on the takeover and whether they are still holding or have sold into the Zijin offer. For me it is a wait and see approach at this stage, as I have clearly stated I still feel there is more value left in this one. However with Zijin slowly but surely gaining control I may be left with no option soon.


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## Sean K (14 July 2010)

I wonder who knew that the new government would put in alaw saying you can't open cut mine in the provence Tampakan is in? I wonder? Hmmmmm.

How about that for a black swan. Take the little swanny right up the hole IRN!



> *Indophil shares drop more than 40%*
> July 14, 2010 - 5:09PM
> .AAP
> 
> ...




Surely logic and common sence will come to the fore and Tampakan will eventually be mined?

Maybe that was a good knife catch by someone?


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## skc (14 July 2010)

kennas said:


> I wonder who knew that the new government would put in alaw saying you can't open cut mine in the provence Tampakan is in? I wonder? Hmmmmm.
> 
> How about that for a black swan. Take the little swanny right up the hole IRN!
> 
> ...




I tend to agree with you. In fact today would have been a good catch already. 

Perhaps a Chinese buyer can take it up and use political influence to change the law re open cut mining...

Do bribes still work in the Phillipines?


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## Ajax (1 September 2010)

Good shareprice rise today...up 6c to 90c on high volume.

There was a news article in the Philippines on 29 August suggesting that Philex Mining Corporation may be about to bid for Indophil.

"...The buzz is that Philex may be interested in buying the 37.5-percent stake held by Australian firm Indophil Resources NL, which is scouting for a new buyer for the block after talks with Chinese miner Zijin Mining Group bogged down..."

http://business.inquirer.net/money/topstories/view/20100829-289438/MVPs-golden-touch

And Philex's reply today to Philippines Stock Exchange query about this statement does not deny the possibility:-

http://philexmining.com.ph/images/stories/Philex/documents/News/dc2010-5908_px.pdf

More information about Philex Mining Corporation:-

http://philexmining.com.ph//index.php?option=com_content&task=view&id=14&Itemid=28


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## Ajax (3 September 2010)

Now the local press is picking up on the story.

Indophil becomes a takeover target again-Sydney Morning Herald

http://www.smh.com.au/business/indophil-becomes-a-takeover-target-again-20100902-14rsi.html

"A $550 million takeover of the Melbourne-based Philippine copper-gold group Indophil Resources is back on the cards after the July withdrawal by Chinese group Zijin with its $1.28-a-share offer."

Also in the Business Spectator this morning:-

http://www.businessspectator.com.au...o-fling-pd20100903-8WSL4?opendocument&src=rss

"The Philippines' biggest mining company Philex Mining Corp says it is mulling an investment into the $US5 billion-plus Tampakan project in the Philippines, in which Indophil owns a 37.5 per cent stake, alongside one-time suitor Xstrata."


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## Ajax (4 September 2010)

Have a look at comparisons of various copper projects on page 14 of this document:-

http://www.stocknessmonster.com/news-item?S=DML&E=ASX&N=223539

Shows estimated cash cost ($US/lb copper) on the vertical axis and estimated annual copper production in tonnes on the horizontal axis.

Indophil (IRN) is the clear winner when a combination of both variables is taken into account. Approx. 120,000 tonnes per annum estimated copper production at a cash cost of about US43c/lb.


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## Ajax (8 September 2010)

Indophil closed at 90c last week (Friday 3 September).

After the first 3 days trading this week it closed on Wednesday 8 September at 98c.

No news out this week.

Philex Mining Corporation (PX.PS) continues to have good announcements about its operations in the Philippines.

http://www.abs-cbnnews.com/business/09/06/10/philex-output-20-jan-aug

"MANILA, Philippines - The estimated value of minerals produced by Philex Mining Corp. rose 20% during the first 8 months of 2010.

Based on the firm’s disclosures to the Philippine Stock Exchange, production from January to August amounted to P7.42 billion compared to P6.2 billion in the same period last year, owing to increased tonnage, better ore grades and higher metal prices.

Philex produced 6.01 million dry metric tons, up 11% from last year's 5.43 million DMT."

I suspect  a takeover bid from Philex at is just around the corner.


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## Ajax (10 September 2010)

Indophil closed at 99c today (Friday 10 September 2010) up 10% this week

Indophil has a 37.5% in Sagittarius Mining which in turn has a resource (Tampakan) containing:-

13.5 million tons of copper 

(with spot copper prices near $US3.40/lb) and forecasts of copper at $US4.00/lb


and 

15.8 million ounces of gold

(with spot gold price near record highs at $US1250/ounce)


The next bid for Indophil should be higher than the last bid of $1.28/share (given the increase in commodity prices and outlook for future commodity prices particularly copper)

However I fear I am talking to myself again (I suppose that's ok if I make the same $ this time around on a takeover for Indophil as I did in  late 2009 when Zijin bid $1.28/share).

Am currently holding 380,000 Indophil shares.


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## mr. jeff (10 September 2010)

Ajax said:


> Indophil closed at 99c today (Friday 10 September 2010) up 10% this week
> 
> Indophil has a 37.5% in Sagittarius Mining which in turn has a resource (Tampakan) containing:-
> 
> ...




Gee AJAX,
I'm surprised you aren't holding more. (!) my God are you just hoping someone is watching this space? I' watching, but not that familiar with the IRN story, will work on this over the w/e; seems you have a good line on it.

Keep it on the radar I guess, sometimes its funny that there might be 2 people on a thread making 30% in  a week and others scattered throughout losing money... communication is a trick!


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## Sean K (11 September 2010)

Ajax,

What's the latest on the local government there not allowing open cut mining? I haven't seen any recent news on that, or even if it's official. Surely the national government would be trying to get such a large project off the ground. Maybe the local environment is going to be smashed by such a hole in the ground...

They'll probably come around one day, but while you have such a hurdle to jump why put so much into one basket? Maybe that's not much for you...


----------



## Ajax (11 September 2010)

Hi Kennas,

it is a lot for me.

Agree the open cut mining ban is an issue. I believe it will be rescinded as the Tampakan project will generate a huge amount of tax revenue for the   Philippines economy 

http://www.bworldonline.com/main/content.php?id=16451

http://business.inquirer.net/money/topstories/view/20100829-289438/MVPs-golden-touch

http://www.manilastandardtoday.com/...0/august/20/peterwallace.isx&d=2010/august/20

"For example I’m worried about some of the reported statements of Secretary Ramon Paje in relation to Tampakan. Anyone who truly cares to do something about the appalling level of poverty must come out forthrightly in support of the biggest investment this country has ever had. Yes, it will have some impact on the environment, but this can be controlled by the Secretary with his other hat on? And a bond placed, which the law requires, to put the land back into the same or better shape than it is now when the mine is finished. So I hope he agrees and works for a solution that is best for all.

The President needs to step in here now because if he doesn’t, not only will a US$5 billion investment be lost, but other mining companies will re-think their interest and look for other countries with more predictable policies. One where bans on their business don’t suddenly appear. Foreign investment generally will also be deterred: If it can happen in mining, it can happen in other sectors too. 

Foreign Direct Investments dried up under Mrs. Arroyo’s term (a miserable US$1.9 billion last year) because of the capricious policy-making of her government. P-Noy, on the edge of a trip to the United States to attract investment can’t go with this hanging over his head."


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## Ajax (13 September 2010)

kennas said:


> Ajax,
> 
> What's the latest on the local government there not allowing open cut mining? I haven't seen any recent news on that, or even if it's official. Surely the national government would be trying to get such a large project off the ground. Maybe the local environment is going to be smashed by such a hole in the ground...
> 
> They'll probably come around one day, but while you have such a hurdle to jump why put so much into one basket? Maybe that's not much for you...




Kennas,

there is some information in Indophil's interim financial report released today
(13 September 2010) which partially answers your question

"On 11 June 2010, the Company requested a trading halt on the ASX in order to seek clarity on Philippine media reports that the South Cotabato provincial council (jurisdiction in which the Tampakan mine site is located) may pass a new Environment Code that includes a ban on open pit mining. The outgoing provincial governor approved the code on 29 June 2010. The Company
resumed trading on 14 July 2010. The Company has been advised that the code has not yet been formally gazetted and therefore has not taken effect.

At a national level in the Philippines, there has been strong public support from the President, Benigno Aquino III, to resolve the issue of a proposed open pit ban in South Cotabato. At the provincial level, the relevant local government unit that formed after the May 2010 elections has recently expressed a willingness to review the Environment Code and, in particular, section 22 of that code in which the proposed open pit ban gains are mentioned. Indophil remains confident that this issue will be resolved, although at this stage, the position remains unresolved. In the meantime, field and study work continues unabated on the Tampakan project. "

and with respect to a potential takeover bid for Indophil

"Process relating to Potential Sale of Indophil’s Tampakan Interest

On 25 June 2010, the Company and Zijin Mining mutually agreed to terminate the Takeover Implementation Agreement in respect of Zijin Mining’s takeover bid for Indophil, due to continued delays in relation to fulfilment of Bid Conditions. Following the mutual termination of the Takeover Implementation Agreement with Zijin Mining, Indophil advised that it is continuing to seek to maximise shareholder value and is in dialogue with a range of interested parties in relation to a potential corporate transaction.

The Company remains confident that it will secure, in a reasonable timeframe, an acceptable corporate transaction, and will keep shareholders informed of developments."


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## Ajax (15 September 2010)

*Philex CEO: In Talks To Raise Tampakan Stake*

Just out on Dow Jones news wires

"Philex Mining Corp. (PX.PH) said Wednesday that it is in discussions with Indophil Resources NL (IRN.AU) to possibly raise to raise its stake in the Tampakan copper-and-gold project in the southern Philippines. "

Whole report here:-

http://www.tradingmarkets.com/news/...mpakan-copper-gold-project-stake-1169210.html


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## Ajax (15 September 2010)

*HK based First Pacific Co may bid for Indophil*

This is the majority shareholder in Philex Mining Corp (whose discussions with Indophil have been previously reported)

http://www.manilastandardtoday.com/...eptember/15/business1.isx&d=2010/september/15

"...Hong Kong-based conglomerate First Pacific Co. Ltd., meanwhile, is considering the possibility of investing in the Tampakan project through Indophil Resources NL, which holds a 37.5-percent stake in the largest untapped gold and copper deposit in Southeast Asia.

First Pacific chief executive Manuel Pangilinan in a separate interview said talks of a possible investment in Tampakan would be done through First Pacific, which is also the majority shareholder of Philex Mining Corp., the countrys most profitable and biggest mining company.

We are considering investing in Tampakan through Indophil, Pangilinan said.

When asked if First Pacific was interested in Indophils entire 37.5- percent interest in Tampakan, Pangilinan said it depends."


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## Ajax (21 September 2010)

Copper is currently trading at $7,700/tonne. 

Forecasts are for a copper price up to $US10,000/tonne by 2013. 

With Tampakan having 13.5 million tonnes of copper, that's the equivalent of gross sale proceeds of $US135,000 million from Tampakan (and Indophil's 37.5% share equal to gross sale proceeds of just over $US 50,000 million). 

With approx. 426 million shares on issue (on a fully diluted basis) this equates to gross sale proceeds per Indophil share of approximately $US117. 

This calculation leaves out proceeds from the sale of 15.8 million ounces of gold from Tamapakan.

From Minesite article on copper (password required)

http://www.minesite.com/

"If copper hits $US10,000/tonne it would be a mixed blessing for investors"

...

" This year the countries covered by the OECD are expected to grow by 2.7 per cent and then to grow by another 2.8 per cent in 2011. And remember that China and other fast growing emerging economies are not in the OECD, so are not included in these data. 

So if inventories are this low before growth really gets going, what might happen to them if global growth is maintained and supply does not keep pace? In such a scenario there would be a price response similar to that which drove nickel to US$50,000 a tonne at the peak of the last boom in 2007. And on that basis it is quite conceivable that copper could reach US$10,000 a tonne. "

...

"The research also carries a forecast that by 2013 the price of copper will average US$9,500 a tonne, so a spike above US$10,000 is entirely feasible"


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## Ajax (23 September 2010)

*Street Talk page 22 AFR today*

"The latest word is that the sales process, led by Gresham Partners, has drawn six parties in due diligence."

"...its nearing the pointy end"

Contenders suggested are:

Philex Mining (has admitted its interest), MMG (Philippines division of Minmetals), possibly BHP, Antofagasta, Barrick Gold or Newmont Mining.

Article suggests that some gold majors are increasingly eyeing large copper-gold deposits (and Tampakan has 15.2 million ounces of gold).


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## Ajax (23 September 2010)

The two interested parties from Philippines are Philex Mining Corp (via its 46% major shareholder Hong Kong listed First Pacific co) and possibly MMG (which is the Philippine's subsidiary of Minmetals, run by Andrew Michelmore).

I have heard that Xstrata would prefer a Philippines based partner for  Tampakan. This makes sense given the politics and various interest parties. Local knowledge would surely be preferable.  

To what extent Xstrata may need to go to ensure a local partner for Tampakan (Sagittarius Mines Inc)  is yet to be seen.


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## Ajax (26 September 2010)

With copper spot price now $US7,876/tonne and gold spot price now $US1298/ounce the gross value of Indophil's 37.5% interest in Tampakan is as follows:-

Copper

15.8 million tonnes x $US7,876/tonne x 37.5%

= $US124,440.8 million x 37.5% 

= $US46,665.3 million

Gold

13.2 million ounces x $US1,298/ounce x 37.5%

= $US17,133.6 million x 37.5%

= $US6,425.1 million

Total gross value of Indophil's copper and gold at current spot prices

= $US46,665.3 million + $US6,425.1 million 

= $US53,090.4 million


Converting to AUD at current exchange rate of 0.9554

= $US 53,090.4 million/.9554

= AUD 55,568.76 million

With 426.028 million Indophil shares on issue (on a fully diluted basis) this equates to a gross resource value per share of

AUD 55,568.76 million/426.028 million shares

= AUD 130.43/share

Even in the toughest of financial exercises if this gross resource value is reduced by a factor of 100 taking into consideration production costs/political risk/uncertainty etc this still leaves a value of AUD1.3043 per Indophil share (well above the 97c/share close last Friday). The calculation does not yet factor in proceeds from sale of molybdenum byproduct or the considerable exploration upside with Tampakan.


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## Ajax (28 September 2010)

Philippines lised Philex Mining "has tapped" its listed subsidiary company, Philex Petroleum Corp, in an asset reorganisation.

You need to ask yourself why does Philex Mining need to "tap" the cash balances of other listed companies in the Philex Group?

Particularly in the light of earlier reports mentioning Philex Mining Corp and Indophil-

"Philex Mining Corp. (PX.PH) said Wednesday that it is in discussions with Indophil Resources NL (IRN.AU) to possibly raise to raise its stake in the Tampakan copper-and-gold project in the southern Philippines. "

http://www.tradingmarkets.com/news/...mpakan-copper-gold-project-stake-1169210.html

The more recent report here:- 


http://www.philstar.com/Article.aspx?articleId=615872&publicationSubCategoryId=66

"MANILA, Philippines - Publicly-listed Philex Mining Corp. has tapped its wholly-owned subsidiary Philex Petroleum Corp. to handle all the groups energy assets.

In a disclosure to the Philippine Stock Exchange (PSE), Philex president and COO Jose Ernesto Villaluna Jr. said the transfer of the assets is consistent with reorganization of the company.

This is pursuant to an internal reorganization whereby all of the companys energy assets are to be held through Philex Petroleum, he pointed out."

"Philex said the assets that would be included in the transfer are the company?s shares of stock, representing 15.75 percent of Pitkin Petroleum Corp., a public limited company organized under the laws of the United Kingdom. Pitkin is involved in oil and gas exploration and production and has interests in Vietnam, Peru, Philippines and the US.

The company said shares of stock, representing 51.24 pecent of FEC Resources Inc., a Canadian corporation which holds 25.63 percent of Forum Energy Plc, a UK company listed on the Alternative Investment Market of the London Stock Exchange, will also be covered in the transfer.

This is in addition to the 38.82 percent that Philex Petroleum directly holds in FEP (Forum Energy), which has a 70 percent interest in Service Contract 72 covering the Sampaguita gas fields in northwest Palawan,? Villaluna said.

Aside from these shares, Philex will also transfer 100 percent of Brixton Energy & Mining Corp., a local coal mining company that holds Coal Operating Contract 130 covering areas located in Diplahan and Buug in the province of Zamboanga Sibugay.

Philex said it has also been given approval by the Department of Energy (DOE) to transfer the company?s interests in SC 41 (South Sulu Sea), 2.264 percent; SC 6 (Cadlao block), 1.65 percent and SC 6 A (Octon block), 5.6 percent to Philex Petroleum."


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## Ajax (29 September 2010)

*Gold and Copper price rising strongly*

Another reason for Philex Mining Corp and others to bid soon.

Copper September 28,14:47 
Bid/Ask 3.6030 - 3.6075 
Change +0.0140 +0.39% 
Low/High 3.5890 - 3.6075 


GOLD SPOT MARKET IS OPEN
closes in 22 hrs. 54 mins. 
Sep 28, 2010 18:21 NY Time 
Bid/Ask 1308.50 - 1310.30 
Low/High 1278.60 - 1311.20 
Change -0.50 -0.04% 
30daychg +70.40 +5.69% 
1yearchg +318.00 +32.10%


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## Ajax (30 September 2010)

*Brazil's Vale joins Indophil suitors*

Page 28 Fin Review Street Talk today

Article is headed-Indophil counts the hours as Vale joins suitors.


"It's understood that Brazilian miner Vale is a potential suitor for exploration group Indophil, which is racing against the clock to find an investor.

Vale is thought to be among a group of six parties in due diligence over Indophil, which has attracted the interest of the largest mining company in the Philippines, Philex Mining." 

From Vale's web-site:-

Mining is Vale’s core business. To sustain our growth strategy, we are actively engaged in mineral exploration in 21 countries.

Vale’s operations are presently divided as follows:

Iron ore and pellets: 59.2%*
Nickel: 13,6%*
Coal: 2.1 %*
Aluminum: 8,6%*
Manganese and ferro-alloys: 2,2%*
Copper: 4,7%*
Other: 1,2%
* Figures from the first quarter of 2010 referring to operating revenue per product


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## Ajax (2 October 2010)

*Indicators that the Tampakan mine will be a reality*

Recent job advertisements for Tampakan:-

Tenements Officer

http://xstratajobs.nga.net.au/cp/in...&persistVariables=JobListID,jobsListKey,JobID

Geotechnical Aide at Kiblawan And Tampakan

http://www.jobopenings.ph/page_job_details.php?jobid=42955&companyid=3115

Leadmen - Drilling And Logistics at Tampakan/ Kiblawan

http://www.jobopenings.ph/page_job_details.php?jobid=42802&companyid=3115&noupdate=1

Security supervisor-east

http://xstratajobs.nga.net.au/cp/in...1269F43&jobsListKey=c5dd34f9-6f09-486f-834a-f

Project Scheduler

http://xstratajobs.nga.net.au/cp/in...obs.listJobs&ApplicationID=&audienceTypeCode= 

and comments made by the Aquino administration in US on Tampakan:-

http://www.abs-cbnnews.com/nation/10/02/10/pnoy-eyes-450000-more-jobs-passage-us-trade-bill

"WASHINGTON D.C. - A week after President Aquino?s visit to the United States, Philippine trade consul Romulo Manlapig says he still couldn?t shake off the words that rang like a persistent echo in his ears ? ?jobs, jobs, jobs?.

The President told a global town hall meeting in San Francisco ? aired over ABS-CBN?s The Filipino Channel ? other officials are coming to America to follow-through on business opportunities that caught his attention.

He may have been talking about Trade Undersecretary and Board of Investment chief Cris Panlilio, who started working the Washington DC circuit shortly after the President flew for home. 

The President, Panlilio averred, seems obsessed by the need to generate jobs in the Philippines. He corroborated Manlapig?s half-humorous tale about how President Aquino drove home his message of ?jobs, jobs, jobs? to Philippine officials here"

...

"Panlilio said the Aquino administration is pursuing three major economic initiatives-  minerals (e.g. $6 billion Tampakan gold and copper mine in South Cotabato and the $2.5 billion Oceana gold mine in Nueva Vizcaya); resurrecting the car making and automotive components export sector; and passage of the Save Our Industries Act in the US Congress"


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## Ajax (8 October 2010)

*San Miguel in exclusive due diligence with Indophil*

Big announcement released after market close.

Indophil makes a US$40m share placement to San Miguel at AUD0.86/share (issuing approx. 48m shares-about 10.1% of issued capital on a fully diluted basis).

This removes concerns that Indophil was fast burning through cash reserves (which were $16.8m at end of June 2010 and being spent at a rate of about $4.8m/month). Now Indophil can continue to meet its commitments with respect to Sagittarius Mines/Tampakan development in the short to mid term. 

Also Indophil has entered into a binding exclusivity period with San Miguel Corporation until 10 January 2011 during which time San Miguel will complete its due diligence and decide whether to submit a "control proposal" to Indophil. 

No assurances as to the price that may be offered if a proposal is put forward by San Miguel.

Indophil will immediately cease discussions with other interested parties in relation to possible corporate actions. No more data room access to be provided to these parties.


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## Ajax (9 October 2010)

"The deal is expected to heat up once more the business rivalry between San Miguel, headed by its president Ramon S. Ang, and businessman Manuel V. Pangilinan, who chairs Philex Mining Corp"

"Philex earlier acquired 3 percent of the project from Indophil."

http://business.inquirer.net/money/topstories/view/20101008-296717/SMC-buys-into-Indophil

"?Engaging the support of San Miguel?a diversified, global corporation based in the Philippines- is a strategically important and positive outcome for the continued successful development of its mining interests. San Miguel brings significant financial strength and regional relationships, underpinned by 120 years of operational experience in the Philippines,? Richard Lauf-mann, Indophil chief executive officer, said."

...

"SMC has been diversifying into heavy industries, including mining. 

It earlier acquired two coal concessions in Mindanao in line with its plan to put up a mammoth coal-fired power plant in the region.

Part of the Daguma coal reserves is also located in South Cotabato."


http://www.manilatimes.net/index.ph...erator-of-stalled-mine-enlists-san-miguel-aid

There is a history between Philex Mining Corp, San Miguel and First Pacific Co. See this blog from August 2009

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aR3RMTAUKOL0

"Aug. 7  2009 (Bloomberg) -- Philex Mining Corp. rose to a 19-year high on speculation the largest Philippine metals producer may become the target of a bidding war between San Miguel Corp. President Ramon Ang and First Pacific Co. "

and November 2009

http://www.pmea.com.ph/blog/index.php/2009/11/23/manilas-philex-mining-jumps-early-on-buy-in-talks/

MANILA, Nov 20 (Reuters) - Philex Mining Corp jumped as much as 9 percent in early trade on Friday following a newspaper report saying the president of San Miguel Corp was in talks to buy 22 percent of the Philippines’ top miner.


----------



## banska bystrica (9 October 2010)

Unfortunately for holders, this now limits the upside. Hard to see much more than $1 given they have just placed circa 10% at 86c.


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## Ajax (11 October 2010)

Short article in Aust Fin Review today (also picked up by Bloomberg)-

"(Sam Miguel)...was the first to respond to a demand for an equity injection..."  

"Indophil Resources...is hoping for a pre-Xmas resolution"

"...the expectation is a takeover bid at anything less than $1.28/share will be tough to get past shareholders"

Philex already has 3% of Indophil.

Xstrata holds 19.9% of Indophil and could possibly side with a hostile bidder.

This capital raising-10.1% shareholding to San Miguel-should force the hand of any potential bidder. 

If I was a potentail hostile bidder I'd be buying now, as quietly as I could. The after-market auction might give a few clues here. 

Spot copper price could be clsoe to $US4/lb by Xmas-it's at $3.80/lb today( $US4/lb is a full 33% higher than when last takeover bid made). This should have the investment community focused on companies with large scale copper deposits. 

Robin Bromby p.26 The Australian Pure Speculation today had a bit to say about the copper price-article headed "Copper is Good News".


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## Ajax (11 October 2010)

*Indophil Resources-Sydney Morning Herald article*

Good article by Barry Fitzgerald in Sydney Morning Herald today here:-

http://www.smh.com.au/business/laufmann-orchestrates-san-miguel-partnership-20101010-16e23.html


----------



## Ajax (12 October 2010)

*San Miguel mulls tender offer for Indophil Resources*

http://www.theaustralian.com.au/bus...dophil-resources/story-e6frg9df-1225937752887


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## Ajax (14 October 2010)

*Indophil Resources seeks higher offer from San Miguel*

http://www.bworldonline.com/main/content.php?id=19439

"Australian miner seeks higher offer from San Miguel
DESPITE AN agreement that may lead to a takeover by San Miguel Corp., Australian miner Indophil Resources NL, part owner of the $5.2-billion Tampakan copper-gold project in Mindanao, is still open to offers from other investors. 

San Miguel may also hike its exposure to the massive Tampakan project by buying shares from the majority owner, Swiss mining giant Xstrata Copper."


----------



## Ajax (20 October 2010)

San Miguel may build a $900m dedicated coal-fired power plant for Tampakan.

This is another indication of San Miguel's commitment to the success of the Tampakan project.

http://www.malaya.com.ph/10182010/busi5.html

"San Miguel also appears interested in putting up a $900 million power plant to provide energy for the operations of its partly owned Tampakan project in South Cotabato.

"A revised development cost of $5.9 billion (compared with a previous estimate of $5.55 billion for a two stage development of 66 million tons per annum throughput capacity) includes the provision of $900 million for a dedicated power station," Indophil Resources Inc. told the Australian Stock Exchange. 

The development was announced after the SMC completed its acquisition of a 10.1-percent stake in the Australian mining firm, which owns a 37.5-percent stake in Sagittarius Mines Inc. (SMI), owner and operator of the Tampakan gold and copper mine in South Cotabato."

http://www.manilatimes.net/index.ph...erator-of-stalled-mine-enlists-san-miguel-aid

"SMC has been diversifying into heavy industries, including mining. 

It earlier acquired two coal concessions in Mindanao in line with its plan to put up a mammoth coal-fired power plant in the region.

Part of the Daguma coal reserves is also located in South Cotabato."


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## mr. jeff (4 November 2010)

sorry for the quick pathetic note but I see that IRN is moving above the $1 mark and may be starting a push back towards the 1.28 that is thrown around in the media a bit.
just want to bring this to attention of anyone that is interested, perhaps better placed in the breakout potential thread. is there something in the wings ? ?


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## Ajax (4 November 2010)

mr. jeff,

read my posts above about San Miguel.

Also there was an article on Indophil in Australian Fin Review (Street Talk) on Wednesday 3rd November containing the following comments:-

"The aim is to strike a deal before Christmas and Xstrata, which controls the $5 billion Tampakan copper-gold project,...is said to be on board".

...

""Indophil remains confident about the project and expects to secure a deal with San Miguel well before the January 10 expiry of their exclusivity agreement"


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## Ajax (25 November 2010)

Things are hotting up for Indophil. Shareprice closed at $1.07 which is the highest it has been since 10 June this year. 

News reports that San Miguel president Ramon Ang said on Wednesday that "“If everything turns out well, we’ll have to do a tender offer to buy 100 percent of Indophil”.

The conglomerate was now undertaking due diligence audit of Indophil.  

http://business.inquirer.net/money/...02/San-Miguel-eyes-full-ownership-of-Indophil

Also other news articles that San Miguel had risen to 20 year highs on the Philippines stock exchange and was selling a gin distiller and expanding its energy and mining assets. San Miguel already holds 10.1% of Indophil.

http://www.bloomberg.com/news/2010-...-on-sale-of-gin-distiller-expansion-plan.html


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## Ajax (22 February 2011)

May have hit a low a few days back of 76c. Looking like it is recovering now. Closed at 77.5c yesterday after trading as high as 78.5c.

San Miguel still interested. Philippines news mentions San Miguel is in a large capital raising. These funds could be used in part to acquire the balance of Indophil shares (San Miguel already hold 10%). San Miguel is looking at a few acquisitions outside its core business of food.

Once more news of San miguel's intentions is out this should be trading in the 90's again


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## Ajax (22 February 2011)

http://www.mb.com.ph/articles/305106/ang-confident-planned-57b-share-sale-san-miguel

"Ang confident on planned $5.7-B share sale by San MiguelBy Rosemarie FranciscoFebruary 19, 2011, 2:27amMANILA, Philippines – Philippine conglomerate San Miguel Corp. will use proceeds from what could be the country's biggest share sale to fund acquisitions aimed at deepening its exposure in high growth power and infrastructure sectors, its president said....
Ramon Ang told Reuters the group expects to launch a follow-on share offer in April or May. The share sale could raise more than $5 billion based on prices indicated previously by Ang."


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## Ajax (16 August 2011)

This stock has taken a hammering in last few months...with a one for one rights issue at 35c/share and insistence on local govt open cut mining ban.

Hit a low of 24.5c on Tuesday 9th August 2011.

Now trading around 35c (Tuesday 16 August 2011). 

Points to consider:-

(1) Zijin Mining has indicated it has not lost interest in acquiring Indophil

(2) Local govt has said decision on review of open cut minig ban this year.

(3) Independent environmental experts from UK to fly to Philippines late Augsust/early September to advise on the Environmetal Impact study lodged for Tampakan-if their advice is positive this could be the catalyst for local government to lift the open cut mining ban

(4) There have been 3 prior takeover bids for Indophil at up to $1.28/share. However there is now twice as much issued capital -almost 1 billion shares on issue (but substantial cash as well from the capital raising).

(5) At time of previous bids gold price was aaround $1150-$1250/ounce now $1765/ounce. Copper price was ranging from $2.00-$2.50/lb and is now over $4.00/lb

(6)Zijin have stated they wish to expand their gold asset base from deposits outside China.

If a takeover bid is forthcoming, it could be at around $0.75/share. With a subsequent bidding war (possibly involvingn Xstrata) shareholders could see $1/share.

(7) The value of metal in ground at Tamapakan per Indophil share exceeds $62. This does not include molybdenum (just gold and copper)


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## Ajax (17 August 2011)

Indophil was the best performing stock in the S & P/ASX300 resources yesterday 
(16/8/2011) with a 4.62% increase. 

A very rough back of envelope calculation shows the in-ground value of Indophil’s 37.5%interest in the Tampakan deposit:-.

From Indophil’s latest quarterly report, Tampakan has 15.8 million tonnes of copper and 16.2 million ounces of gold. No account is taken of molybdenum which is also present at Tampakan (and increases the in-ground value of the deposit even more)

Assuming $US9,000/tonne for copper and $US1750/ounce for gold 

Overall value of copper in ground:-

15.8 million x $US9,000/tonne = $US142,200 million

Overall value of gold in ground:-

16.2 million ounces x $US1,750/ounce = $US28,350 million

Total value of copper and gold in ground= $US170,550 million

Indophil's share 37.5% x $170,550 million = $US63,956 million

With just under 1,000 million IRN shares on issue 

Indophil’s share of in ground value of metal at Tampakan=$US63.956/share 

Of course there is no calculation of costs of developing the mine, hedging, further dilution of Indophil shareholdings, taxes, royalties, interest, wages, infrastructure costs, mine development costs etc.


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## Gringotts Bank (31 August 2011)

Inverted head and shoulders, sitting on resistance at 36.5c

Low risk entry here with good upside to 40/43c.


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## Ajax (31 August 2011)

From Xstrata Jobs List 30 August 2011
Job Name Closing Date Time Remaining Action 

Stakeholder and Engagement Partnership Officer - Sarangani Sagittarius Mines, Inc. 
General Santos City, Philippines 
To support the Sarangani cluster in stakeholder engagement and partnership activities with all key stakeholders. 
31-Aug-2011
05:30 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Executive Secretary - Makati 
Sagittarius Mines, Inc. 
Makati City Based 
To provide a high level of secretarial and administrative support. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Community Sustainability Officer (2) 
Sagittarius Mines, Inc. 
Tampakan, South Cotabato, Philippines 
3-year project role; handle effective implementation of institutional and community development programs. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Civil Works Supervisor 
Sagittarius Mines Inc. 
General Santos City, Philippines 
Senior supervisory role; to oversee planned activities to construct roads, drainage, slope protections, and other related civil road works and maintenance projects. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Field Assistants (2) 
Sagittarius Mines, Inc 
Tampakan, South Cotabato, Philippines 
A 3-year project role; to validate ownership claims and to support land management and acquisition. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Senior Geologist / Project Geologist 
Sagittarius Mines, Inc. 
Tampakan, South Cotabato, Philippines 
Senior supervisory role; responsible for geological exploration and drill core logging. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

On-site Land Acquisition and Management Officer (6) 
Sagittarius Mines, Inc. 
General Santos City, Philippines 
Oversee and implement land acquisition strategy. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Project Approvals Advisor Sagittarius Mines, Inc. 
Makati, Philippines 
Senior supervisory role; to manage the national-level approval and permitting processes for the regulatory licenses for the mine / on-site and off-site projects. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Quantity Engineer / Cost Estimator 
Sagittarius Mines, Inc. 
Tampakan, South Cotabato, Philippines 
To develop cost information of buildings/civil, structural, architectural, electromechanical and power plant construction. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Stakeholder Engagement and Partnership Supervisor - SARGEN 
Sagittarius Mines, Inc. 
General Santos City, Philippines 
Senior supervisory role; to lead and supervise stakeholder engagement and partnership activities with all key stakeholders. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Shift Security Officer - Pioneering Camp 
Sagittarius Mines, Inc. 
General Santos City, Philippines 
Supervisory role; to oversee daily operational security tasks. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Tenements Advisor Sagittarius Mines, Inc. 
General Santos City, Philippines 
Senior supervisory role; responsible for all tenement applications and associated statutory compliance. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Supply Supervisor 
Sagittarius Mines, Inc. 
General Santos City, Philippines 
Senior supervisory role; to handle supply chain management. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Community Sustainability Specialist - Enterprise Development Downstream and Offsite Sagittarius Mines, Inc. 
Tampakan, South Cotabato, Philippines 
A 3-years project role; to execute established procedures and guidelines in project implementation. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Cultural Sustainability Superintendent 
Sagittarius Mines, Inc. 
Tampakan, South Cotabato, Philippines 
High level role, lead the planning, development and implementation of strategies to preserve, promote and protect cultural practices of the Indigenous Peoples. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Ambulance Driver 
Sagittarius Mines, Inc. 
Tampakan, South Cotabato, Philippines 
Responsible to transport patients, operate and maintain company's ambulance in compliance with the prescribed standards. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Stakeholder and Engagement Partnership Officer - KITACO / MEDCO 
Sagittarius Mines, Inc 
General Santos City, Philippines 
To assist the implementation of projects engaged with all key stakeholders. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Stakeholder Engagement and Partnership Officer- Social License 
Sagittarius Mines, Inc 
General Santos City, Philippines 
Oversee and maintain social contracts and agreements with external partners. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Training Officer Sagittarius Mines, Inc. 
General Santos City, Philippines 
To undertake/facilitate delivery of training and other functional services. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Research Analyst (2) 
Sagittarius Mines, Inc. 
General Santos City, Philippines 
A two-year project role to conduct research and data analysis for valuation of land and crops. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Community Sustainability Specialist ? Infrastructure Projects 
Sagittarius Mines, Inc. 
Tampakan, South Cotabato, Philippines 
Handle community engineering and infrastructure projects and resources. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Recruitment Officer 
Sagittarius Mines, Inc. 
General Santos City, Philippines 
An HR professional with at least 4 years work experience, 2 years of which have been spent conducting recruitment 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Environment Specialist ? Buffer Zone Development 
Sagittarius Mines Inc. 
Tampakan, South Cotabato 
This is a 3-year project role tasked to undertake research and provide technical support to the implementation of SMI?s reforestation and buffer zone development programs. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Environment Supervisor ? Buffer Zone Development 
Sagittarius MInes Inc. 
Tampakan, South Cotabato 
This is a 3-year project role responsible for the implementation of SMI?s reforestation program and to provide technical support to various forestry-based livelihood projects as component of the buffer zone development program. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Environment Supervisor ? Field Trial and Research Station 
Sagittarius Mines Inc. 
Tampakan, South Cotabato 
This role is responsible for the effective operation of SMI?s field trial and research stations to support biodiversity management programs. 
31-Aug-2011
06:00 PM (AEST) 1 day Start New Application 
Access Existing Application 
Preview Application Form 

Construction Engineer (2) 
Sagittarius Mines Inc 
Tampakan, South Cotabato 
These are project roles for a 2-year engagement required to facilitate preparatory works and construction activities and liaise closely with contractors, line agencies, and government units to support the sustainable resettlement program of the Tampakan Copper-Gold Project.


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## Ajax (31 August 2011)

http://www.indophil.com/shareholder_info.asp

Top Twenty Shareholders (as of 22 August 2011) 
Name %Shareholding 

Xstrata Queensland Limited 15.79% 

National Nominees Limited 14.37% 

HSBC Custody Nominees (Australia) Limited 8.47%

J P Morgan Nominees Australia Limited 8.44%

Morgan Stanley Australia Securities (Nominee) P/L 6.75% 

Citicorp Nominees Pty Limited 5.34%

Coastal View Exploration Corporation 4.82%

Zero Nominees Pty Ltd 3.42%

Cogent Nominees Pty Limited 3.25%

Alsons Consolidated Resources Inc 2.93%

J P Morgan Nominees Australia Ltd-Cash Income A/C 2.35%

Philex Mining Corporation 1.57%

UBS Nominees Pty Ltd 1.43%

HSBC Custody Nominees (Australia) Limited - A/C 3 1.23%

Merrill Lynch (Australia) Nominees Limited 1.18% 

HSBC Custody Nominees (Australia) Limited - A/C 2 1.09%

William Taylor Nominees Pty Ltd 0.96%

Citicorp Nominees Pty Limited 0.83%

ABN AMRO Clearing Sydney Nominees Pty Ltd 0.64%

Indago Resources Ltd 0.57%

Top 20 hold 85.43% of issued capital


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## boff (12 September 2011)

Sure feels like something is brewing with these guys. I know that an environmental report is due any minute. They got issued a speeding ticket today.

Personally I can't see how the Philippines government  is going to leave SE Asia's largest gold deposit in the ground for much longer. The price of gold is sky rocketing and the world's economy is in the pan. They have bills to pay!


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## boff (7 December 2011)

Anyone think they might know what's happening? Up 20% in a week on no news. Fair bit of hopium emanating from Europe but I don't think that's it.

Government should be making an announcement soon r.e. the EIA and future of the mine. Maybe that is it.


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## Ajax (12 December 2011)

boff said:


> Anyone think they might know what's happening? Up 20% in a week on no news. Fair bit of hopium emanating from Europe but I don't think that's it.
> 
> Government should be making an announcement soon r.e. the EIA and future of the mine. Maybe that is it.




"Alsons Power increases stake in firm that partly owns Tampakan gold mine
By: Amy R. Remo
Philippine Daily Inquirer 12:11 pm | Monday, December 12th, 2011 

MANILA, Philippines ”” The Alcantara-led Alsons Power Holdings Corp. has increased to 19.99 percent its stake in mining firm Indophil Resources NL, which currently owns part of the $5.9-billion Tampakan gold copper project.

In a regulatory filing, Indophil said this transaction, which was done by way of a US$99.4-million placement agreement, would allow the mining firm to strengthen its local alliance focused on supporting the Tampakan project.

Alsons Power’s investment in Indophil is being undertaken with financial support arranged by BDO Unibank. As part of the placement, Alsons Power will also have the right to nominate two representatives to the Indophil Board.

“As a first step, Indophil will welcome Alsons’ Nicasio Alcantara to the board. Indophil has sought for some considerable time to bolster its local representation, and we are very pleased to confirm that Alcantara, a highly respected Philippine business leader, will fulfill that role and add a new dimension to board representation,” said Indophil CEO Richard Laufmann.

Indophil explained that the placement would consist of two tranches, the completion of which would allow the Alsons Group to control 19.99 percent of Indophil’s revised shares on issue, which would be 1.2 billion ordinary shares. There are 995 million shares currently on issue.

Laufmann added that the completion of the new placement, before costs, would give Indophil a cash position of approximately A$264.1 million, which he described as “a firm foundation upon which Indophil can build its continued participation in securing approvals and proceeding to construction of the world-class Tampakan copper and gold deposit.”

He further disclosed that as part of the longer-term commitment by Indophil to its Philippine investors and the Tampakan project, Indophil is likewise considering seeking an additional listing on the Philippine Stock Exchange in 2012.

Indophil Resources NL holds a 37.5-percent stake in the Tampakan Copper Gold project in South Cotabato, which is now being developed by XStrata Plc, through its local subsidiary Sagittarius Mines Inc.

The Tampakan Copper-Gold Project has been touted to be among the most attractive undeveloped long-life, large-scale and low-cost copper deposits in the world. It was discovered, and is being developed, under formal agreement (known as the Columbio FTAA) with the Philippine government.

The $5.9 billion project is expected to start production by 2016, with an expected mine life of 17 years.

The Tampakan deposit contains a 2.4-billion tonne mineral resource with an estimated 13.9 million tonnes of copper and 16.2 million ounces of gold. Production of copper and gold is estimated at 375,000 tonnes and 360,000 ounces of gold per year, respectively.

To date, more than A$300 million has been spent on exploration and development at Tampakan. Its direct contribution to the Philippine economy over the known mine-life is estimated at US$37 billion, with an estimated US$8 billion being paid in Philippine taxes and royalties. Estimated direct employment during construction is 10,000 people, with a workforce of 2,000 during the operational period."


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## boff (12 December 2011)

Thanks Ajax, I saw something similar on their ASX page this morning. Very nice to see that the placement was at a _premium_, not a discount. It looks like that is sending a very positive signal to the market (even though my stake in the company has just been diluted....).


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## System (2 February 2015)

On January 30th, 2015, Indophil Resources Limited (IRN) was removed from the ASX's official list following  implementation of the trust scheme of arrangement with Alsons Prime Investments Corporation.


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