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CAG - Cape Range

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Re: CAG - Cape Range Wireless

the project being located in Indonesia they don't need to comply with the JORC code, apparently they have a resource defined by the USGS method, which is being checked now before being released in the near future, link below.

http://www.jorc.org/pdf/1980 usgs-usbm circular 831.pdf


the most important things to consider when looking at a coal project like CAG's are:

- location, which is in the heart of coal central in indonesia
- infrastructure, only 30km from port with ready made road links
- resource size, clearly large enough to support mining operation
- offtake agreement, CAG via the acquisition has ready made production sale agreement with PT PLN which is Indonesia's national electricity company
- exploration upside, access to adjacent 13250 hectares of exploration grounds
- time till production, as per announcement mining activities to commence by the 15 July 2008 with contractor selection
underway.


CAG seems to have most of the bases covered, but as usual in the spec end of things it will come down to the company executing their stratergy.

I'm with Young_Trader on this one, the recent announcement will lead to a fundamental re-rating of the shareprice on the back of CAG getting the indonesian coal project up and running.

And from a momentum point of view, it was a very bullish close this afternoon and if we break 3.6c tommorow it wouldn't surprise if the shareprice quickly broke through the 4c barrier on the back of a technical breakout and the red hot coal sector.
 
Re: CAG - Cape Range Wireless

mick2006 said:
the project being located in Indonesia they don't need to comply with the JORC code, apparently they have a resource defined by the USGS method, which is being checked now before being released in the near future, link below.

http://www.jorc.org/pdf/1980 usgs-usbm circular 831.pdf


the most important things to consider when looking at a coal project like CAG's are:

- location, which is in the heart of coal central in indonesia
- infrastructure, only 30km from port with ready made road links
- resource size, clearly large enough to support mining operation
- offtake agreement, CAG via the acquisition has ready made production sale agreement with PT PLN which is Indonesia's national electricity company
- exploration upside, access to adjacent 13250 hectares of exploration grounds
- time till production, as per announcement mining activities to commence by the 15 July 2008 with contractor selection
underway.


CAG seems to have most of the bases covered, but as usual in the spec end of things it will come down to the company executing their stratergy.

I'm with Young_Trader on this one, the recent announcement will lead to a fundamental re-rating of the shareprice on the back of CAG getting the indonesian coal project up and running.

And from a momentum point of view, it was a very bullish close this afternoon and if we break 3.6c tommorow it wouldn't surprise if the shareprice quickly broke through the 4c barrier on the back of a technical breakout and the red hot coal sector.
Click to expand...

What was the size of offtake agreement? Do they state a certain number of tonnes PA?

I mean production could be supported on a 5 million tonne deposit at 100 000 tonnes PA for 50 years. Just a little sceptical on what they actually have and intend to produce.

Dont get me wrong they look interesting but I would like to see some definite figures. But based on market cap, yeah any production numbers would pose an upside.
 
Re: CAG - Cape Range Wireless

agree with you dj_420 its the unknown's that is keeping the CAG shareprice where it is at the moment, but thats the beauty of the spec sector the exceptional possible returns, because once they get coal operations underway the shareprice is likely to be many multiples of what it is today.
 
Re: CAG - Cape Range Wireless

Look where Faldi has taken NSL? (and that's with no solid announcement)

I'm got in on due to his name and that they begin production in the next couple of weeks.

I'll average up once we get some solid figures.

This is another spec that you would rather be in than out atm.

;)
 
Re: CAG - Cape Range Wireless

Many multiples I like that!

But given that July is production the next 2 weeks are going to see this rise and rise I think, maybe up to 5c by end of July?
Im just thinking out aloud, you have the take into day traders as well, so 5c is what I think :)
 
Re: CAG - Cape Range Wireless

mick2006 said:
the project being located in Indonesia they don't need to comply with the JORC code, apparently they have a resource defined by the USGS method, which is being checked now before being released in the near future, link below.

http://www.jorc.org/pdf/1980 usgs-usbm circular 831.pdf


the most important things to consider when looking at a coal project like CAG's are:

- location, which is in the heart of coal central in indonesia
- infrastructure, only 30km from port with ready made road links
- resource size, clearly large enough to support mining operation
- offtake agreement, CAG via the acquisition has ready made production sale agreement with PT PLN which is Indonesia's national electricity company
- exploration upside, access to adjacent 13250 hectares of exploration grounds
- time till production, as per announcement mining activities to commence by the 15 July 2008 with contractor selection
underway.


CAG seems to have most of the bases covered, but as usual in the spec end of things it will come down to the company executing their stratergy.

I'm with Young_Trader on this one, the recent announcement will lead to a fundamental re-rating of the shareprice on the back of CAG getting the indonesian coal project up and running.

And from a momentum point of view, it was a very bullish close this afternoon and if we break 3.6c tommorow it wouldn't surprise if the shareprice quickly broke through the 4c barrier on the back of a technical breakout and the red hot coal sector.
Click to expand...

Hi mick thanks fo the info

Also how does CAG compare with CDS at current prices you reckon?

thx

MS
 
Re: CAG - Cape Range Wireless

hey michael, a lot of people have been comparing CAG with the early days of CDS.

they are both companies that have changed their focus to coal from the tech sector, so in that regards they have a similar beginning.

its hard to compare the two now given that CDS has now derisked by completing the SARB approval on their SA coal project and have attracted an extremely well regarded management and on the other hand CAG has only just signed off on the agreement and is in the process of establishing a coal mining operation so some risks still remain.

long term CDS is close to the best coal play on the ASX, with huge reserves and quality management (thats why I hold it), but needs to consolidate recent gains.

short term the momentum is certainly building for CAG and on the back of further coal related announcements wouldn't surprise if it outperformed a lot of the other coal plays that have already run hard.

for me there is certainly a place in the portfolio for both, CDS for the long haul and CAG to see how the coal project develop's in Indonesia.
 
Re: CAG - Cape Range Wireless

Great post Mick. I hold CDS and CAG for the same reasons outlined above.

CDS is also a coking play opposed to CAG which is a pure thermal I believe.
 
Re: CAG - Cape Range Wireless

thanks Caliente, its clear that coal is one of the only sectors continuing to move higher, infact the coal stocks in the US continued to surge higher again last night.

I see huge short term potential in CAG on the back of positive news out of Indonesia, like all spec stocks once some of the risks are removed the shareholders will be rewarded.

In terms of CDS, I fully expect it to be one of the star performers on the ASX over the coming 2-3 years as they tick off the boxes towards large scale coal production in South Africa.
 
Re: CAG - Cape Range Wireless

mick2006 said:
thanks Caliente, its clear that coal is one of the only sectors continuing to move higher, infact the coal stocks in the US continued to surge higher again last night.

I see huge short term potential in CAG on the back of positive news out of Indonesia, like all spec stocks once some of the risks are removed the shareholders will be rewarded.

In terms of CDS, I fully expect it to be one of the star performers on the ASX over the coming 2-3 years as they tick off the boxes towards large scale coal production in South Africa.
Click to expand...

Hey Mick

Yeah bulk commodities are the place to be especially Coal, but did you catch the Fe increase by RIO wooowzer!

Anyway only 20days to go till production commences or should I say is meant to commence ( tick tock )

Either way CAG's mkt cap is around $15m at current levels so still very undemanding when compared to the other $50m+ - $100m+ mkt cap companies
 
Re: CAG - Cape Range Wireless

agree there YT the bulk commodities are certainly the place to be especially coal, CAG is certainly at the right place at the right time.

CAG is extremely cheap for a company with near term coal production, and once that 1 order at 3.5c is cleared it wouldn't surprise to see it head very quickly towards 4c.
 
Re: CAG - Cape Range Wireless

some nice consistant off screen buying going on in CAG this afternoon, once again banging up against resistance at 3.5c.

its not surprising to see the coal sector outperforming today with companies such as RIV,CEY,GCL,CDS,FSE,BWN all moving higher.

its just a matter of time before CAG breaks to the upside, looks like a few big buy orders are starting to pile up.
 
Re: CAG - Cape Range Wireless

mick2006 said:
some nice consistant off screen buying going on in CAG this afternoon, once again banging up against resistance at 3.5c.

its not surprising to see the coal sector outperforming today with companies such as RIV,CEY,GCL,CDS,FSE,BWN all moving higher.

its just a matter of time before CAG breaks to the upside, looks like a few big buy orders are starting to pile up.
Click to expand...

Hey Mick after some more analysis I got on board today at the low of 3.2, lucky buy. Also holding CEY and RIV so am having a nice coal day.

Support is building for CAG, good spec on the coal sector with production coming up.
 
Re: CAG - Cape Range Wireless

looks like the late afternoon buying managed to soak up most of the old stale holders, there is currently no sell orders below the 3.5c level.

with plenty of buyers lined up and further coal news out of Indonesia expected in the next 2-3 weeks, CAG will be one to watch in the coming weeks.
 
Re: CAG - Cape Range Wireless

I noticed that all of today that 3.1c was the lowest you could get in, so in that sense maybe this is a support.

Good to see CAG hold up above the 3c mark after a down day.

Interesting to see whether this will hit the 4-5c mark around production
 
Re: CAG - Cape Range Wireless

sam76 said:
Look where Faldi has taken NSL? (and that's with no solid announcement)

;)
Click to expand...

mick2006 said:
with plenty of buyers lined up and further coal news out of Indonesia expected in the next 2-3 weeks, CAG will be one to watch in the coming weeks.
Click to expand...

G'day just a few questions.

How is Faldi linked to CAG?

What does Faldi do?

And how much of Coal mine does CAG own in Indonesia?

cheers

Pan
 
Re: CAG - Cape Range Wireless

I can answer the first part of your question:

Mr Faldi Ismail (Chairman, Director)

Not all Muslims are terrorists as the world thinks :rolleyes:
 
Re: CAG - Cape Range Wireless

ans25 said:
I can answer the first part of your question:

Mr Faldi Ismail (Chairman, Director)

Not all Muslims are terrorists as the world thinks :rolleyes:
Click to expand...

Cheers,

Yeah i worked it out after a bit of google searching. Still don't know how much they own?
 
Re: CAG - Cape Range Wireless

pan said:
G'day just a few questions.

How is Faldi linked to CAG?

What does Faldi do?

And how much of Coal mine does CAG own in Indonesia?

cheers

Pan
Click to expand...

What does Faldi do?

From another site:

http://www.hotcopper.com.au/post_single.asp?fid=1&tid=699800&msgno=3040056#3040056

# He has extensive interests within Indonesias mineral sector and currently is a director of Kalimantan Investment Corporation Limited (the major shareholder of a dual listed Canadian/AIM public company, Kalimantan Gold Corporation Limited, which is exploring in Kalimantan, Indonesia for copper, gold and now coal).

Kalimantan Investment Corporation

http://kalimantaninvestment.com/index-2.html
 

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