SDL - Sundance Resources

[grubadoo]

Not sure what really triggering the frenzy buy last 2 days... but I think the SP 300 listing and the merger news must have caught investors with big fat cheque attention.

Either that or somebody knows somebody who knows something.
Happy days for all those who are enjoying it.

 

[Miner]

I am speculating there would be some drilling results to be announced.
The people behind merger put a lot of efforts and they have to do something so that the merger gets through the share holder meeting in a happy and softy way.

What else will be there excepting to slowly release fertiliser or the drilling results to keep the tempo up.

Both GBG and SDL are actively recruiting senior staff and that shows they are serious.

Regards

 

[golfmos123]

You're right - there are some drilling results to come shortly for SDL. I would think that would put a fire back under the SP if they come back positive (hard to believe they wouldn't given what's happened in the last month or so).

I still think that both GBG and SDL have more rises in store before the end of the year. If you look at the previous postings on both forums, there has been talk of SDL being $1 before Xmas, and similarly, GBG being $2 by the same time.

There seems to be some thinking that the merger talks will actually be an anchor to both SPs and will prevent them from getting that far along. But, now that they're tied to the hip at 2:1, it's amazing how the predictions have fallen isn't it??????????

 

[Djayness]

When can we expect the merger to go through? At what point will my sdl become gbg and this whole 2:1 ratio thing disappear?

 

[AussiePaul72]

When can we expect the merger to go through? At what point will my sdl become gbg and this whole 2:1 ratio thing disappear?

Djayness, there are a number of processes that need to happen before the merger goes through.

Key target dates as listed in the Merger Presentation announcement by GBG (26 Sept) are:
* Merger announcement to ASX: 24 Sept 2007
* Scheme booklet: Dec 2007
* Court Meeting for Approval: Mid Feb 2008
* Implementation Date: Feb/Mar 2008

 

[AussiePaul72]

You're right - there are some drilling results to come shortly for SDL. I would think that would put a fire back under the SP if they come back positive (hard to believe they wouldn't given what's happened in the last month or so).

I still think that both GBG and SDL have more rises in store before the end of the year. If you look at the previous postings on both forums, there has been talk of SDL being $1 before Xmas, and similarly, GBG being $2 by the same time.

There seems to be some thinking that the merger talks will actually be an anchor to both SPs and will prevent them from getting that far along. But, now that they're tied to the hip at 2:1, it's amazing how the predictions have fallen isn't it??????????

Hey Golfmos, i think we saw a minor drawback in SP of GBG after the announcement as people got the head around and understood exactly what the terms were and what it meant for both GBG & SDL. In my opinion i think the dust is settling now and the respective SP are moving forward.
For a long time i thought it was pie in the sky type stuff that SDL would hit $1 by end of year, however, thought that is was quite possible GBG might get to the $2 level. IMHO, now i would not be surprised at all to see SDL hit $1 and GBG consequently $2 ...... further announcements, whether they relate to SDL or GBG, will benefit the SP of both entities. I agree that the drilling results for SDL for their potentially huge Mbalam project could be the trigger for rapid SP movement ........but then again what do i know?? My opinion only ....DYOR

 

[Peakey]

Hey Golfmos, i think we saw a minor drawback in SP of GBG after the announcement as people got the head around and understood exactly what the terms were and what it meant for both GBG & SDL. In my opinion i think the dust is settling now and the respective SP are moving forward.
For a long time i thought it was pie in the sky type stuff that SDL would hit $1 by end of year, however, thought that is was quite possible GBG might get to the $2 level. IMHO, now i would not be surprised at all to see SDL hit $1 and GBG consequently $2 ...... further announcements, whether they relate to SDL or GBG, will benefit the SP of both entities. I agree that the drilling results for SDL for their potentially huge Mbalam project could be the trigger for rapid SP movement ........but then again what do i know?? My opinion only ....DYOR

Hi AussiePaul,

I agree with everything you said.

I mean seriously, are GBG gonna buy into the SDL story, offer 2 for 1 shares without having done a bit of 'research' into the progress of drilling? I can't wait to see what these drill results look like. They must be sitting on an absolute truckload of IO for all these events to unfold....... however we'll have to wait and see what santa has in his sack when the results are published.

Look back to April/May through the SDL thread and you'll see my T/A comments and charts posts.

The way the past 6 months have unfolded reminds me of what Stan Weinstein highlights in his book 'Secrets for Profiting in Bull and Bear Markets', the fact that the evidence of something big was brewing earlier in the year.

Hope you're all enjoying the SDL ride so far and may the ride continue for a lot longer.

Cheers
Peakey

 

[vjindal]

Guys, any idea when are they going to announce the drilling results. Can anyone suggest price targets for next 1 year.

 

[Djayness]

Well I got pretty owned on the stockmarket today but I'm definitely going to be watching my sdl shares closely, its the only hope I've got, well that and bhp

 

[Risky Trader]

Regarding, when the drilling results due, your guess is as good as anyone else. BUT rest asure that it won't far away.. Few things to keep in mind for this month

The US subprime mortgage issues resurface again, market going through another adjustment (not as big as August) but nevertheless will effect the market somewhat.

Rugby World Cup, like it or not, there will be some big executives that hold the cheque book away at france so no big business deals...

May be SDL holding up the drilling results until the recent subprime mortgage storm eases. This way when the result is eventually released the impact will be significant.

OR finger cross NOT,, the result is not as spectacular as one hoped. Releasing the result now would mean SP will plunge so by releasing it later might soften the SP plunge.

BUT having said all that... I am betting it's good news .. based on last 6 months data and results.

 

[AussiePaul72]

Please correct me somebody if i am wrong but we have been waiting for quite a while for sample results ......

From my quick research i've gone back to the 'Chairman Site Visit Updates' announcement on July 20 where the following information was revealed by Don Lewis (Managing Director):

"......have completed initial surface mapping of hematite mineralisation and received first assay results from this sampling. These surface sample results are very encouraging and will be reported to the market shortly"

"Wallis Drilling have mobilised the first two drilling rigs to site and drilling has commenced near the southern extent of the visible surface mineralisation. First core samples have been prepared and despatched to SGS laboritories in South Africa for analysis"

I think i am right in saying that none of the above has been reported to the ASX yet! (please correct me if i'm wrong)

I'm sure the SDL board have had quite a lot on their plate leading up to the merger announcement and also a lot of behind the scenes processes in preparation for meeting key dates leading up to the actual merge of SDL/GBG.

Anybody know how long it typically takes to get results back from labs such as SGS Laboratories in South Africa?? Surely these results will be reported VERY soon ....... what do others think??

ps. It is like watching two synchronised swimmers performing in harmony ......lol ...... the GBG/SDL share price!!

pps. I'm holding both and am looking forward to the future

 

[nikki]

we are expecting an end of quarter report in october.

the surface sampling data were published in the last quarter results rather than as a separate annoucement to the ASX. the report did nothing for the sp.

i doubt that the drilling results will do much for sp. i think the holes they have been working on are guaranteed to be good with high fe. i.e. any result would not do much for me in terms of becoming more bullish.

i would like to see drilling and results from other holes in areas that would give us a better size of the resource.

the geologists who visited cameroon must have been very pleased with what they saw. also, i doubt that the gbg board would have agreed to the merger without a good sense of what was available in sdl - however, the break fee of $15 million might be there to deal with this issue.

i think the drop in sp in the past few days is profit taking ahead of a possible down-turn in the resources sector and xao index.

 

[AussiePaul72]

we are expecting an end of quarter report in october.

the surface sampling data were published in the last quarter results rather than as a separate annoucement to the ASX. the report did nothing for the sp.

i doubt that the drilling results will do much for sp. i think the holes they have been working on are guaranteed to be good with high fe. i.e. any result would not do much for me in terms of becoming more bullish.

i would like to see drilling and results from other holes in areas that would give us a better size of the resource.

the geologists who visited cameroon must have been very pleased with what they saw. also, i doubt that the gbg board would have agreed to the merger without a good sense of what was available in sdl - however, the break fee of $15 million might be there to deal with this issue.

i think the drop in sp in the past few days is profit taking ahead of a possible down-turn in the resources sector and xao index.

Nikki, thanks for the heads up on the surface sampling data.

By the way, what is your reasoning behind thinking there will be a possible down-turn in the resources sector and xao in general?

 

[Miner]

I hope to be wrong what I am saying in next paragraph. I am counting on chickens when my small investment on SDL eggs are getting hatched.

The substantial price fall in SDL from the top 85 cents in last two days probably indicating the drilling result albeit not so good. The support level does not appear to be good. Of course the market in general has taken down turn. In spite of DJ index rose high on Friday evening probably on MOnday ASX index will sag a bit leading by BHP due to its defeat in Federal Court on the railway issue.

The effect of merger SDL/GBG will be about four months away and until then there will be more speculation with little trigger effect on drillng results.
Proably the resistance level will be at 72 cents. chartists please share your observation as you always do with plus and minus sides of SDL / GBG saga.


Let us hope for the best

Regards

 

[nikki]

By the way, what is your reasoning behind thinking there will be a possible down-turn in the resources sector and xao in general?

Elliot wave theorists were predicting a major correction last friday - i.e. completion of a correction that started earlier this year. the significant upward move by the DJIA and XAO must have impacted their currently held views???

The DJIA appears to have resumed its upward trend - confirmed for instance by the DJ transportation average that gained a massive 3.27% confirming the DJIA's strong upward move. so, we need something really big to happen (e.g. a lot of the interest rates on the defunct mortgages will finish their honeymoon periods soon). I assume the 20th anniversary of 1987 will weigh heavily in the minds of traders in the next couple of weeks.

Having said all that the S&P has gained the most in this quarter in the past 12 out of 13 years so there are lots of positives if you want to draw from history.

see the attachment from BCA re the resources sector.

 

[nikki]

chartists please share your observation as you always do with plus and minus sides of SDL / GBG saga.

I am not a chartist but GBG resistance appear to be around 1.5. I would work with that in preference to the SDL chart.

I would not be surprised if the timing of the announcement was to ensure that SDL's SP would stay above .7 by tagging GBG.

 

[nikki]

sorry about the wrong chart above re the potential move of the resources sector in the short term - i cannot find the one i was looking for!!

 

[nikki]

The substantial price fall in SDL from the top 85 cents in last two days probably indicating the drilling result albeit not so good. The support level does not appear to be good. Of course the market in general has taken down turn. In spite of DJ index rose high on Friday evening probably on MOnday ASX index will sag a bit leading by BHP due to its defeat in Federal Court on the railway issue.

look at mgx over the past week - huge drops driven obviously by profit taking. meryll lynch was bullish on mgx as one of the iron ore's to look at. it continues to consolidate even today.

i think the SDL price action is normal consolidation - testing the resolve of buyers and sellers and setting new resistance and support levels. this kind of action is good for medium term holders of the stock. look at its past charts and one sees this kind of natural consolidation in the SP.

 

[Risky Trader]

Anyone knows what is the story with the 4 cents rise today? Did some information leak out?

Cheers

 

[Djayness]

I was just wondering the same thing, it seems that the US market is having an affect on us again, i cant really think of too many other reasons since everything seems to be going up in addition to all the special attention SDL has been getting with this merger.