Wow, big move based on getting some drill rigs..... Guess I'm just jealous I still don't hold.
Well, so far MAK has been a great pick for the Stock Picking competition this month, hopefully the good news keeps on coming...I'm very surprised with the strength of this in this market. Maybe it's just ramping on other forums but seems to have been re-rated perhaps after the Wonarah FS was published. With Rock Phos showing little signs of any dramatic sell off back to the sub $100 level, Wonarah looks to be a goer.
Plenty of news to come this quarter, which will hopefully surprise to the upside. Anything negative in these conditions and it'll be punished.
Hope some ASF'ers have been on this too. Hopefully it continues....
0857 [Dow Jones] STOCK CALL: Credit Suisse raises Incitec (IPL.AU) 12-month target price to A$155.00 from A$109.50 to reflect rising fertilizer prices. "We believe in stronger for longer (phosphate) fertilizer prices," CS says in client note. "This is driven by no new material capacity coming online until CY11/CY12, increased capital construction costs (and therefore higher prices to justify new investment), increased global demand and material increases to the marginal cost of production for nonintegrated players (phosphate rock in particular)." Keeps outperform. "We believe IPL's share price still does not capture 'stronger-for-longer' fertilizer prices or the option value with regards to future growth initiatives." Last trade A$131.00. (ABH)
I'm not sure what Yogi saw,
But heres what I see,
MAK
Mkt Structure
Shares
50m + 10m 30c 31/12/08 options
So 50m fully diluted UNTIL 30c
Mkt Cap @ 20c = $10m
Mkt Cap @ 40c = $24m
Mkt Cap @ 60c = $36m
Cash
$2.75m + $3m from opies = $2.75m - $5.75m
Projects
Fraser Iron Project Magenite Iron, 100%, W.A.
5km's to the East Grange (Mkt cap $150m+) has outlined JORC of 458Mt@37% Magenite Fe over 6km's
MAK has 2x4km + 1x1km targets that appear to mirror Grange's and will be drill tested soon.
Tasmanian Tin and Tungsten Tin and Tungsten, 100%, Tasmania
Calims to have the 2nd Largest Tin Inventory of any ASX Listed Stock (See ann's)
Drilling very soon
Summary
Enough cash to see it through this round of exploration,
A similar Magenite Discovery next door to Grange would be huge and almost guarantee a take over from Grange,
The Tin Tunsten looks interseting, needs JORC to back up the claim of 2nd Largest Tin Inventory of any ASX Listed Stock.
Very Spec but highly leveraged to success
Listening to ABC Country hour just then - graingrowers rep saying that he estimates 1/3 of farmers in Australia won't get finance to grow a crop this year because of rising seed, fertilizer and fuel prices. Some farmers (including us) will just not pay for fertilizer at current prices. It is just not worth putting it on. Just some feedback from the farmers' perspective. I hope MAK makes it though. We will invest when the price is right perhaps as a hedge. The graph looks a bit steep at the moment.
Just like fuel prices won't be coming down due to rising production costs to get oil out of the ground i don't see how fertilizer is going to get any cheaper as well. The farmers simply have to up the price of the crops/food that they are selling to the retailers.
They have to buy or simply go out of business, it's as simple as that. How much people will pay for food remains to be seen. Farmers will pay and they will also hedge against rising prices by investing into companies like MAK. I know that some farmers are already are doing this.
Yes, we should be careful about the introduction of fertilisers. Perhaps we have some guidelines about their use somewhere?Don't underestimate the value of sustainability and permaculture.
http://www.attra.org/attra-pub/trans.html#composts
http://www.attra.org/attra-pub/perma.html
Chemical fertilisers used in bulk form are known destructers of the environment. Short term thinking.
I add they have destroyed major reef systems worldwide.
Significant additions of lime, rock phosphate, and other fertilizers should be guided by soil testing to avoid soil imbalances and unnecessary expenditure on inputs.
Target hit at 98 cents. Nearing, or at, overbought signals everywhere. More consolidation well due. I'm not concerned about the sell off yesterday at the peak, it still finished well up on the day. A gravestone doji would have been more of a concern. Just traders taking profits IMO and not a reversal.Target from that pennant is about $1.00, but depends on where the top of the pole is. Around the top of the blue line and around the green circle I guestimate.
Yeah, although the reason I first bought into this was for Story's Creek and West Southdown/Franklin not Wonarah or Moina - the reasons why it's actually run. Must thank Yogi and YT for pointing it out 12 months ago, although even YT admits we were looking at it from a different angle back then. Still a long way to go for this to be a long term winner though, IMO. Still an explorer and speculative. Anything can happen, and probably will.It's nice to see a plan come together though I must say
Yeah, although the reason I first bought into this was for Story's Creek and West Southdown/Franklin
Yes, we should be careful about the introduction of fertilisers. Perhaps we have some guidelines about their use somewhere?
The only reference to Rock Phosphate I could find in these documents was this:
And there was no reference to "they have destroyed major reef systems worldwide." Got an independant reference for that?
You got shares in permaculture hangseng.
HS, I look forward to a reference for where Fertilisers have "destroyed major reef systems worldwide". I'm truly interested if this is the case, cheers.As for reef systems you need to do more research
ASX ANNOUNCEMENT
WONARAH STUDY MANAGERS APPOINTED
14 February 2008
SUMMARY
Lycopodium Engineering Queensland Pty Ltd and Coffey Mining Pty Ltd have been appointed to manage the studies which will enable Minemakers to progress to feasibility on its phosphate project at Wonarah in the Northern Territory.
Minemakers is pleased to announce that it has appointed independent consultants to undertake the various studies required at Wonarah. Assuming on-going success in these efforts, it is planned that the studies will progress to definitive feasibility status.
Lycopodium Engineering Queensland Pty Ltd will oversee and co-ordinate the studies from its Brisbane office, with specific responsibility for metallurgical and plant design areas.
Coffey Mining Pty Ltd will principally be involved in resource estimation, geology and mine design and planning.
With input from Coffey Mining Pty Ltd on drill and sample planning, Minemakers will be responsible for the drilling and assaying programmes.
To be honest Chops, I reckon all the big gains have been made on this. 20c to almost $1 in 6 weeks...Hmmm...
Am looking at this seriously because of the phosphate leverage. The chart reminds me very much of CNM's.
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