Australian (ASX) Stock Market Forum

SDL - Sundance Resources

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stockmaster said:
Can someone give some opinion of the future of this share. Greatly appreciated.
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I'm pretty sure SDL'S only assest is CAM Iron in SA. They only paid 250k for this, and in shares I think. Infrastructure costs for CAM are high and its probable it will never get off the ground. In fact, considering this is their only real asset, and SDL'S market cap, its a bit of a joke that SDL are a listed company and how their market cap is justified..

Apart from the aforementioned, SDL are sparse on announcements except for Appendix 3B'S in which they issue themselves/directors bulk shares regularily, and have a heap on issue.

Fundamentally, SDL seem a bit of a Donkey. :rolleyes:


As far as a tradeable stock, they are sometimes. On no news whatsover they basically go from negligable volume to 20mil plus. A few big traders are onto this one (check their substantial holders announcements), and if you are in at the right time you can ride a bit of the momentum.
 
The market cap is $86mil, $98mil fully diluted & as at 30/6/06 they had around $4mil in cash.

When SDL acquired Cam Iron in March this year, it paid $400,000 in cash & issued 295mil shares @ 2.5c ($7.4mil) plus opies.

A scoping study has been completed and a prefeasability study has commenced which is expected to be complete in 10 months.
The scoping study estimated an initial Inferred Resource of 570mil tonnes of Iron Ore grading above 60% Fe.
The study also found a potentialy feasable project producing 35mil tonnes p.a. (70% fines & 30% lump) with production costs of US$14.50/tonne. Current prices are US$47/t for fines & US$59/t for lump.

Capital costs are estimated at US$2.46bil (including mine, crushing plant, railway system, port & a contingency of US$450mil). However, the project could be eligible for funding from the World Bank, International Monetary Fund & the African Development Bank. In addition the Cameroon Government has confirmed its willingness to assist with the development & is considering a second major port which SDC could potentially use & which may reduce the capital costs.
(see ann of 12/7/06 which includes scoping study)

In Oct 05 SDL paid US$1.2 mil cash for the Mantos Grandes copper/gold project in Chile.
(see ann of 7/10/05)

Other project of SDL is the Chacarilla Copper Project in Bolivia. They commenced exploration there with a 50% interest in 1997 & in April this year paid US$1mil for the remaining 50%. The project is currently on care & maintenance & the resource is not currently JORC certified & will require further drilling. (see ann of 20/4/06)

I don't hold but have added it to my watchlist.
 
i was just looking at this one and trying to figure it out. Daily turnover is approx 2-3mil shares but today it is up to 13+mil already?!!
 
maverick11 said:
i was just looking at this one and trying to figure it out. Daily turnover is approx 2-3mil shares but today it is up to 13+mil already?!!
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It threw a few indicators last week that a break might happen. On the materials section indicators and SDL's comparisson to these it seems to regularily spike above the chart roughly on one occasion a month. Some times a decent spike, sometimes only 10 percent.

The key point is price action, picking a low point after a consolidation and taking a punt on a future spike. Believe it or not it seems to regularily happen shortly after.

I like SDL cause it always breaks with volume and with a decnt depth that gives you the opportunity to dump on a buyer on the boards.

Fundamentaly Ive taken the time to research them and I don't like them long, so I just take the quick profits (if the oportunity presents).
 
SDL looks to be starting another wave higher on the weekly chart. Curious about todays increase without announcment though...interesting.
 
Freeballinginawetsuit said:
Any one else been riding SDL today?, might actually hold up through 10c this time around.
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Yes its good to see it move out of last weeks range. Hope this is a breakout higher that we've been looking for. I nearly got stopped out last week.

Cheers,
 
look out for a share restructure in the next couple of months. possibly a 5 for 1. i think things will start to get very interesting after that....

seems as though mother country is keen to get this on the way. finance likely id say.

all we need is for a sustained period of demand
 
SDL just announced a 12.4 million capital raising after market close.
I bet the price will go up tomorrow.
Anyone have any comment about this?

$12.4 MILLION RAISED FOLLOWING ALLOTMENT OF FIRST PLACEMENT TRANCHE
Sundance Resources Ltd (ASX: SDL) is pleased to announce the completion of the first tranche of the $30 million capital raising announced on 15 November 2006, with the allotment of 155,187,500 ordinary shares at 8 cents each to raise $12.4 million.
Attached is an ASX Appendix 3B in relation to the issue of the placement
 
SDL broke yesterday with volume, should follow through today or could be just another one of those 10 percent pump and dumps that it does every month!.

I'm not complaining though :D
 
A few months ago I bought this at 9c and sold it when it nearly hit 11c. It was my first trade. I figured I was lucky.

However, I had another look at it today and it seems to be forming a rising triangle. Could this signal the possibility of a breakout in the near future?

Are there more experienced people out there who could verify my observation on this?
 
According to RM Research Pty Ltd Report - 25 August 2006 in one year this one will run to 20cents. This mean another 7 month remaining :)
According to schedule they will completed feasibility study in April.
After that if good news arrived will be a good fun for all the holder.
 
Worth a look ATM, sitting at long term support and certainly is a volume tradeable stock. I also would hazard an opinion that it is worked regularily between traders and offloaded on the mugs above 9c

Shoddy fundamentals IMO though, not that it really effects this one as it systematically has pushes at 10c with the only attributable reason.....as above.
 
Hi All

I noticed today in Tim Boreham's column in The Australian, he has written up Sundance as a Speculative Buy at 7.2c.......comparing to......of all things Fortescue Metals (albeit a few years behind in development). Shares up 12% today so far.

Any comments
Duckman
 
Yesterday's trading.... gave today's effort away, another pump and dump for SDL.
You gotta be quick though and have youre sell from accumalation already in the depth......the regulars do!.
If a bit of volume comes back this arvo, SDL may yet have another run at 10c over coming days...........don't like its chances in the current market ATM though.
 
Freeballinginawetsuit said:
Worth a look ATM, sitting at long term support and certainly is a volume tradeable stock. I also would hazard an opinion that it is worked regularily between traders and offloaded on the mugs above 9c

Shoddy fundamentals IMO though, not that it really effects this one as it systematically has pushes at 10c with the only attributable reason.....as above.
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Guess it's headed into mugs territory again then Freeball, Tim Borehams column "The Criterion" in The Australian used to have some good tips but he's had some shockers over the last few months. I don't think they did much research on this one before they compared it to FMG either. :eek: I think Tims away tho so can't blame him for this one. Still might be good for a quick trade when it drops back to 7.? c. :)
 
Freeballinginawetsuit said:
Worth a look ATM, sitting at long term support and certainly is a volume tradeable stock. I also would hazard an opinion that it is worked regularily between traders and offloaded on the mugs above 9c

Shoddy fundamentals IMO though, not that it really effects this one as it systematically has pushes at 10c with the only attributable reason.....as above.
Click to expand...

Well its through mugs territory and facing the usual resistance at 11c, if SDL goes through 12c with volume its one to watch............

And yep I bailed at 9.6c yesterday, trade the plan...... but I could be the mug this time around :) .
 

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