GCR - Golden Cross Resources

[YOUNG_TRADER]

So Legend has secured offtake agreements for the Mt Isa projects?

Well to all the nay sayers and doubters I wonder if this shows just how serious and advanced a player Legend really is?

Will be interesting to see how Legend ends up after the news and also what effect this has on GCR, I'm sure it will geet alot more attention now

 

[Erzberg]

Hallo Young_Trader...

interesting days ahead... Legend in the USA today after 1 hour of trading already 25 % up... = USD 4.90... I also would like to join all the other people already expressed their thanks for your more than excellent research... whenever you come to Vienna, a nice cup of coffee will be yours...

Erzberg

 

[Pat]

Check out the jousting in the depth this morning. I was lucky enough to get some at 0.041 yesterday morn for a quick trade but now I wish I held. The buyers are incredibly strong at this stage.

 

[Uncle Festivus]

Check out the jousting in the depth this morning. I was lucky enough to get some at 0.041 yesterday morn for a quick trade but now I wish I held. The buyers are incredibly strong at this stage.

A bird in the hand is worth 10 in the bush. Think BIG .

 

[YOUNG_TRADER]

22% this morning or almost 100% from when I first posted and was buying

I have alot of faith now that this will make a charge towards 10c, if for no other reason than the fact that traders and the general mkt will vecome obssessed with it, watching and waiting

 

[goldmandane]

Well done YT, I think on the back of your comments, you have single handedly pushed this stock up in value, great market manipulation!!!

Just kidding mate,

Wish I got in, but don't think I will now that its in the 6ers!

 

[YOUNG_TRADER]

Goldman, all I did was present my argument as to why when GCR was in the low 3's it was undervalued, some(including yourself) just brushed it off, however I was confident in the research I had done and the facts I had assembled, the results of ACS and IRC re-assured me

Now for better or worse the mkt is saying I was right

I can't believe the company is yet to make an ann about this, obviously alot of people know but if they made an ann that would make sure the mkt was fully informed, I bet they'll get a speeding ticket and will just mention it in there

 

[goldmandane]

Goldman, all I did was present my argument as to why when GCR was in the low 3's it was undervalued, some(including yourself) just brushed it off, however I was confident in the research I had done and the facts I had assembled, the results of ACS and IRC re-assured me

Now for better or worse the mkt is saying I was right

I can't believe the company is yet to make an ann about this, obviously alot of people know but if they made an ann that would make sure the mkt was fully informed, I bet they'll get a speeding ticket and will just mention it in there

Please dont think I brushed it off mate, as I said previously its great research. I was just presenting arguments to the contrary to try and help us seee the risks involved, but what you presented is overwhelmingly positive for this stock, so well done.

Its amazing how big the volumes are getting on this stockl from what it previously was. The market has awoken!!

 

[Whiskers]

I can't believe the company is yet to make an ann about this, obviously alot of people know but if they made an ann that would make sure the mkt was fully informed, I bet they'll get a speeding ticket and will just mention it in there

From my experience, Kim Stanton-Cook is pretty conservative and loathe to push out too many progress reports, unless he has substantial good news to report and I have also found that some of the JV partners are a bit slow in passing on information to him.

As you suggest he will probably say something in reply to a speeding ticket... otherwise he will probably mention something in a progress report when the Broken Hill results come in. Also they have always maintained a good cash position with royalties and JV partners paying a lot of exploration costs in their prospects, so they don't often need to go to the market for cash.

I reckon it's certainly cheap alright YT. Also, after allowing for estimated current qtr outlays, ($1.4m) just their estimated CASH at end of June ($3.2m) is worth 1/2 cent per share.

GCR has added a lot of very valuable strings to it's bow in the last year.

Just looking at the news desk, they have a lot going on at the moment with a lot of surveys and drilling getting underway.

Probably the next news in soon will be these grass root assay results as reported abt 21 April.

Broken Hill (western NSW, 393 sq km, GCR 100%, platinum group metals, gold and base metals)
Vale Inco Limited remains active in its joint venture over the southern part of the licence having completed over 3,000m of RAB and aircore drilling for which assays are awaited. Vale Inco also completed an airborne magnetic and radiometric survey.

 

[Uncle Festivus]

As a long term holder this recent action is a bit deja vu. Unless & until the co put's out some substantive evidence to back the sp the day traders will have had their fill and moved on. All good to see none the less and makin some serious bacon here, but we need some well timed hard facts now......

 

[Whiskers]

Probably worth a look at a chart here now.

This is the weekly over 5 years. For me this move is just beginning.

 

[refined silver]

As a long term holder this recent action is a bit deja vu. Unless & until the co put's out some substantive evidence to back the sp the day traders will have had their fill and moved on. All good to see none the less and makin some serious bacon here, but we need some well timed hard facts now......

I agree, that a lot of the action is manic day traders.

I think the difference now though is with the Legend valuation and JV for the first time, potential is actually starting to be realised. Before it had great potential, and the price rose and fell as people got excited or otherwise.

A company 20 times the size, brings firstly the development of the project, second a more stable valuation for people to work out GCRs value. Being one of 4 ASX companies in a sector as basic as the world's food supply also helps.

 

[YOUNG_TRADER]

Guys the important thing to remember is that now the stock will get the attention it deserves

Good or bad the volume going through today is another real flush out,

As Refined has said the mkt will now start to take GCR seriously as an exposure to the Agri sector

 

[Uncle Festivus]

Yes, it's on the radar now, just need a bit of help to keep momentum going with an update or 2

 

[sydneysider]

Yes, it's on the radar now, just need a bit of help to keep momentum going with an update or 2

After studying this thread and reading YT's comments I did some homework on Legend. I am a little put off by the fact that Gutnick is behind Legend but then he had a very substantial following amongst the Hassidic community in the U.S. when Great Central went thru the roof (over a decade ago) because of their buying power. He has spent a considerable amount of money promoting Legend in the States and I suspect that some of this will also rub off on GCR. I bought this morning when the stock sold off into the mid 5's. Good luck to all longs.

 

[goldmandane]

After studying this thread and reading YT's comments I did some homework on Legend. I am a little put off by the fact that Gutnick is behind Legend but then he had a very substantial following amongst the Hassidic community in the U.S. when Great Central went thru the roof (over a decade ago) because of their buying power. He has spent a considerable amount of money promoting Legend in the States and I suspect that some of this will also rub off on GCR. I bought this morning when the stock sold off into the mid 5's. Good luck to all longs.

Look, I can understand the gutnik concerns, he is a bit of a controversial character. But that doesn't mean he isnt a good businessman, i mean look where he is today. The fact is he has a long mining experience history, as do his colleague and team, so he will have a decent idea what he's doing. The only hope is that he isnt too old school and knows how to operate in this daty and age.

 

[solomon]

I have been watching the Indian stock market a bit lately and following the Hindi News.

I just noticed this news item which is of great value to understanding the valuation of legend and by implication GCR.

http://www.hindu.com/2008/05/06/stories/2008050655491600.htm

"NEW DELHI: Indian Farmers Fertiliser Cooperative Limited (IFCO) on Monday entered into a long-term off-take and supply agreement with Australia’s Legend International Holdings Inc. for about three million tonnes annually of concentrate rock phosphate from the Lady Annie project in Queensland, Australia.

IFFCO and Legend have decided to pursue the project in joint venture with an investment of about $800 million. IFFCO Managing Director U. S. Awasthi said, “India is now facing shortage of phosphate fertilizers which is causing concern to the farmers. The prices of phosphate fertilizers, including their raw material, have also increased many folds in the last one year due to supply constraints and other factors like increased use of bio fuels in different countries.”

 

[Miner]

Hello

Could any one please advise if CII has some shadow similar synergy w]like GCR being a high investor in phosphate rocks and recently acquired a major phosphate resource in CHina
This one has been recommended to be a future blue chip in Wise Owl.

Regards

 

[crisstoff]

Hi Miner,

I hold both GCR and CII, but apart from the fact they both have Phosphate, there is not much else that is similar. I like GCR, but I see it as more a short-term play, whereas CII has is long-term potential IMO.

I think YT has summed up GCR very well. However CII holds a 38% interest in a producing Phosphate Resources and has various JV in China -of which the latest looks the most promising.

Phosphate Resources produces 700,000tpa of Phosphate. I would recommend that you work out what the potential earnings are - even with only a 38% interest.

Phosphate Resources only has a limited lifetime of 5-7 years at this stage, but it is appealing to extend this.

If you have a link or can summarise the Wise Owl recommendation that would be great

 

[Uncle Festivus]

Speeding ticket -

Response to ASX Price Query
On 6 May 2008 the Company (GCR) received a price query from ASX due to the recent
increase in the price and volume of trading in GCR’s securities, the share price having risen
from 4.1c on 2 May 2008 to a high of 6.4c on 6 May 2008. A copy of ASX’s letter is attached.

In answer to the specific questions asked by ASX, GCR states as follows:
1. GCR is not aware of any information concerning it that has not been announced which,
if known, could explain the recent trading in the securities of GCR; GCR released its
March Quarterly Report on 21 April 2008. The Report included details of the recent
farmout to Legend International Holdings Inc (OTCBB:LGDI) of an 80% interest in the
phosphate minerals on GCR’s Mt Isa properties, which the Queensland DME estimates
contain 480 million tonnes of rock phosphate at 15% P2O5. GCR retains a 20% interest
in the phosphate resources, free carried to a decision to mine.
LGDI is a Melbourne-based company, whose Chief Executive Officer is Mr Joseph
Gutnick. Legend’s share price has risen recently from US$2.55 closing on 30 April
2008 to US$4.46 closing on 5 May 2008. At the 5 May price, LGDI had a market
capitalisation of approximately US$800 million.

2. See above.

3. A possible reason for the increase in GCR’s share price is that LGDI recently published,
at www.ldgi.net, its May 2008 presentation, which at page 3 lists the phosphate
resources at the Lily Creek, Quita Creek, Sherrin Creek and Highland Plains prospects,
all located on GCR’s 100%-owned Mt Isa properties farmed-out to LGDI. The
resources on the GCR properties equate to approximately 30% of the total contained
P2O5 in LGDI’s published resources.
Rock phosphate prices have risen exponentially over the past year, due to
unprecedented global demand for fertilisers; for example, Moroccan rock phosphate
prices have risen from around US$50/t to US$350/t over this period.
On 5 May 2006 LGDI announced a long term offtake agreement with Indian Farmers
Fertiliser Cooperative Limited for LGDI’s 100%-owned Lady Annie project, scheduled to
be in production by mid 2010 – see www.ldgi.net

4. GCR confirms that it is in compliance with the listing rules, and in particular, listing rule
3.1.