UMC - United Minerals Corporation

[Pat]

UMC...

Volume up today, what’s with that? Market expecting some drilling soon?

Chart looks good too... on the presumption that it break's 43 cents and the bumps are smoothed out in a couple of years. Slow and steady with an abundance of bauxite

 

[Pat]

So unloved and it's testing old highs....

"They" say UMC to drill in mid April, well thats now and no news.

Anyone else here still on this roller coaster? Or too scary for ya's? :

 

[dj_420]

yeah im aboard this one, still patiently waiting. good to see UMC volume picking up of late and slight sp increase.

i think there are a lot of people waiting for an ann on this one, come on lets start drilling!

 

[robandcoll]

dj 420
Can u post one of your charts? Looking at topping again.

 

[dj_420]

ok from a short term chart i think UMC has broken through resistance at 40 cents. this time the sp actually closed above the resistance level, which is a good indicator, i want to see the sp hold this 40 cents mark and close above it for a few days to build a new base of support here.

last time it broke above 40 cents the trading range was a lot larger and more volatile, this time the sp increases have been with a much tighter trading range and we have seen some small increases each day.

i like what this chart is doing and it does not seem as volatile or rapid increases as we have seen in the past.

downside i see support around 35 cents and then 30 and 32 cents mark.

i think the increases of late have been on the back of anticipation of drilling to start for iron ore and also news on bauxite deposits.

 

[dj_420]

not a huge amount of interest in this one BUT i think it has huge potential.

qtrly released today stating UMC is now the largest bauxite tenement holder in kimberley region. BHP had done historical work there finding grades of around 39% which is great grades, bauxite can be financially viable down to 20% grades.

major development happening in that region soon with gas and oil fields of the kimberley to start been developed. so bauxite potential is huge, i think alan birchmore has thought long and hard into the future and has snapped up all these bauxite tenements very quickly.

drill rig has been secured for upcoming drilling on the iron ore tenements. pre jorc figures have estimates around 100 million tonnes of hematite here.

company is going from strength to strength and i believe can eventually develop into a great producer (couple of years down the track).

 

[dj_420]

UMC now trading at an alltime high, broken through resistance and is in blue sky.

recent trading has seen a tight pennant formation trending upwards, todays trade showed that sp has broken through previous resistance at 41.5 cents.

although on lower volume the sp has been steadily increasing each day 1-2 cents with no huge volatile movements. the MACD is looking good because of this slow uptrend and is in a good position (ie hasnt run away from itself and broken right out).

slow stochastic also indicated that although it looked recently overbought has come off a bit due to slow and steady increases.

not many sellers left at all on this one indicates to me that stock is been tightly held and day traders wont be entering in or out easily on this one.


todays increase has come off the back of a positive qtrly stating that UMC has secured a drill rig for iron ore tenements and that UMC has also secured a vast amount of bauxite tenements.

i think alan birchmore has been planning these bauxite acquisitions for quite some time as now UMC is the largest land holder in the kimberley region for bauxite. this coupled with the fact there are some major gas and oil fields of coast of kimberley could in the future see major development meaning that the bauxite would then become financially viable.

UMC have shown great focus the past few months and now sp is beginning to show it. UMC are focusing on two projects bauxite and iron ore. they have got rid of diamond exploration (great move) this IMO is a much better use of shareholders funds rather than putting drill holes over the whole country in the hope of hitting something big.

either one of these projects could be a company maker in its own right so exciting times ahead for this junior.

 

[JJP]

They look the real deal...its not complex for commodity investors to work out, what we may have here.

Previously the contract geologist had idientified three zones of outcropping high grade iron ore......one of these areas had previously been drilled with a reported 100mt of high grade iron ore, in that location. UMC also say that zones of iron-enrichment show a clear structural control. (structural control to what....BHP proven deposits of 900mt - thats what they are referring to)

Now we here today following some aerial electo survey...there are further anomalies that will be drilled next month.

UMC said today in the ASX release......."It is planned to drill as many targets as possible......."

Just how many targets do they have (next to BHP's Mining Area C)!!!!

 

[Pat]

i like what this chart is doing and it does not seem as volatile or rapid increases as we have seen in the past.

downside i see support around 35 cents and then 30 and 32 cents mark.

i think the increases of late have been on the back of anticipation of drilling to start for iron ore and also news on bauxite deposits.

I disagree DJ, looks to have run pretty hard here since hang seng dropped, the majority are updays, this mean anything?

PS. Dont know what it is with my laptop, But charts upload as Jpg's not gif's

 

[dj_420]

I disagree DJ, looks to have run pretty hard here since hang seng dropped, the majority are updays, this mean anything?

PS. Dont know what it is with my laptop, But charts upload as Jpg's not gif's

i think it looks that way on your yearly chart, take a look on a 6 monthly or 3 monthly does not look quite as steep. lol.

i think a lot of this was when it dropped to a low of 23 cents then recovered very quickly.

 

[Pat]

Yes I see what you mean.

Though if it closes up near 50 cents Monday then i'd say its running away. I may get my re-entery.

 

[dj_420]

UMC chartwise looks great. i believe it closed at its highest closing price today.

chart wise the last time i posted we wanted to see UMC hold the 40 cents mark. it has done that well and has now closed over 40 cents for over a week. great to see new support building around this new base.

downside i would put short term support at 44 cents and some more support at 40 cents.

UMC has been trading in a channel and has had several false breakouts of this channel formation. it however has held in this channel and continued the uptrend.

MACD is looking good, its not breaking away at all, stochastics pointing that it is coming off from slightly oversold from the break of 40 cents a couple of weeks ago and sp has still held its position. so the increase is actually looking very steady and without huge volatile sp movements.

all of this i believe are on the back of upcoming drill program to prove up a historical 120 mt iron ore resource estimate (pre JORC), as well as the fact that UMC are now the biggest bauxite tenement land holder in kimberley.

what i also like is that major oil and gas fields off coast of kimberley are soon to be developed which would mean bauxite production could become feasible when energy becomes available.

 

[dj_420]

this one is breaking out very nicely. not many sellers plenty of buyers, news is starting to get around about the potential in the iron ore tenements that are due to start drilling later this month.

also will point out the relevance in the bauxite tenements and major development plans going ahead for the area.

 

[dj_420]

UMC hit 60 cents on close today all time high. gapped up last couple days from last weeks run.

very tightly held still hardly any sellers. drilling is supposed to start within two weeks. looking great for longs.

 

[dj_420]

new iron ore discovery on UMC tenements, this one is turning into a monster!

http://imagesignal.comsec.com.au/asxdata/20070509/pdf/00719514.pdf


this one looks great with great grab surface samples 60% plus fe, this one is shaping up to be a real winner, drilling these new discovered targets and others at the end of this month.

only wish i bought more a week ago!

40 odd cents last week now over 70 cents. am very surprised not many people actually on this one. have been raving about it for a few months now and only a couple people from this forum are on board.

oh well each to his own. i think im talking to myself but oh well. this one will be in the spotlight soon.

 

[Simmo]

I have some, picked up some couple of months ago in the high 30's only to see them fall on lack of news. Held on as like the potential, so set loose stop.

The rise from the lows of March has been pretty spectacular.

Picked up UMC as wanted exposore to an Iron Ore junior and like the location and historical resources on their tenements.

Happy with that decision now...

 

[dj_420]

I have some, picked up some couple of months ago in the high 30's only to see them fall on lack of news. Held on as like the potential, so set loose stop.

The rise from the lows of March has been pretty spectacular.

Picked up UMC as wanted exposore to an Iron Ore junior and like the location and historical resources on their tenements.

Happy with that decision now...

i agree with that. UMC also are going to have huge exposure to bauxite in the future, now biggest bauxite tenement holder in kimberley region.

all we need for bauxite development is major infrastructure and energy development which will come from oil and gas been developed in region.

 

[robandcoll]

DJ.
Hang on to them long term. Was talking to a State Manager in the infrastrucutre industry today and Broome is expecting up to 10,000 workers over the next five years as part of the Gas complex of the coast up there. A bit of panic is starting already as WA is in a massive skills shortage as project after project hits the ground running.

 

[dj_420]

dont worry i wont sell them for about another 5 years! maybe longer if they start producing iron ore and bauxite

 

[kransky]

Bought in at 28.5c a few months ago... the iron ore tenements alone look fantastic. I too wish i had bought a few more at the time