AGM - Allegiance Mining
- Thread starter newbee
- Start date
-
- Tags
- agm allegiance mining
So do I and so did I. This one will parallel SMy and is not hedged as far as I know.May take a few months to peak.chicken said:I do..why...see the volume everyday..up to 5 million shares everyday..me thinks north we will go..bought more today at 33.5cents....
From todays Australian:
While talks continue between AGM and Bluestone Tin overAGM using the latter's mothballed plant to get nickel production going early in Tasmania, attendants at a mining conference in Sydney this week pricked up their ears when Allegiance indicated it could be paying dividends within 18 months of start up.No debt,production costing $US5000/ton and nickel now $US32,000/ton seems to suggest strong cash flow.
While talks continue between AGM and Bluestone Tin overAGM using the latter's mothballed plant to get nickel production going early in Tasmania, attendants at a mining conference in Sydney this week pricked up their ears when Allegiance indicated it could be paying dividends within 18 months of start up.No debt,production costing $US5000/ton and nickel now $US32,000/ton seems to suggest strong cash flow.
- Joined
- 15 October 2006
- Posts
- 117
- Reactions
- 0
Someone told me to have a look at this stock, so Ive done a bit of research and that bought me to this forum. It looks to me that this stock is priced about right in the 30-35c range, after all production is 12 months off unless the Bluestone deal happens.
Even then it wont be real production, its only for 3 months and the capacity of Bluestones plant is half what is being built and really its only an opportunity to test out some different techniques to get the recovery of nickel as high as possible. With the extra costs involved etc it wont be much better than break even Id think, but they may be a few steps ahead in knowing how to set up the new plant so it runs effectively.
Nickel prices are high now but who is willing to bet they be this high in 12 months time?
I can see moderate returns in the long term, steady growth to about 50c over the next three years. Doubling and tripleing of the price is a big ask- its already ten times the price it was a few years ago.
Even then it wont be real production, its only for 3 months and the capacity of Bluestones plant is half what is being built and really its only an opportunity to test out some different techniques to get the recovery of nickel as high as possible. With the extra costs involved etc it wont be much better than break even Id think, but they may be a few steps ahead in knowing how to set up the new plant so it runs effectively.
Nickel prices are high now but who is willing to bet they be this high in 12 months time?
I can see moderate returns in the long term, steady growth to about 50c over the next three years. Doubling and tripleing of the price is a big ask- its already ten times the price it was a few years ago.
- Joined
- 15 October 2006
- Posts
- 117
- Reactions
- 0
Too many ifs for my liking. One drillhole and we have the new Saxon mine. Need to be a bit objective here...too many people with "gold fever" (actually Nickel Fever).
- Joined
- 24 August 2005
- Posts
- 465
- Reactions
- 0
more like 'chicken fever', good to see some sense coming in about AGM,
porkpie
porkpie
Porkpie...dont you just hate this..puts an end at you buying at 30cents...darn that chicken fever....and as far as Ghost is concerned..there was not only one hole drilled but many at SAXON...this one will be producing VERY soon..not only that but the contract in place tells the story....as far as the price is concerned...THAT IS A BONUS..as their study was at much lower prices...and taking 3 years to get to 50cents...Ghosts do your research before posting such C/R/A/P...this one will have a much higher upside because their %% grades of Nickel are fantastic....but dont buy it because the smart money from a couple bigbuyers are BUYING..see the volume going through....should see 40cents+ by Xmas...maybe even higher with earlier production...but we can wait..as it will climb reasonable fast on first production...after all was I not right with ZFX,SBM and a few others..I hold as I feel this one will take off...make your researchnioka said:
- Joined
- 15 October 2006
- Posts
- 117
- Reactions
- 0
Dont get me wrong Im not saying its a bad stock to buy. If there is any weakness over the next few weeks as people trade their new issue shares which presently are at a 7% premium, ill buy in, but I doubt this will happen as all these shareholder already hold shares and most will look to hang on for a bit. But if the anticipated Bluestone deal doensnt happen, (reading between the lines it looks a little shaky) there could be another buy opportunity.
If it does go ahead, even though the fundamentals havent changed hardly at all, its likely there will be a sell opportunity for those that have shares- a few bucks to be made if they go to say 45c, and buy back in after Christmas at 30-35c as the market realises its all hype.
In the longer term I cant see them dropping below 30c again, but the modest growth I can see makes it look a pretty safe bet, after all if they do reach 50c in 3 years thats still 20% per year, and perhaps a dividend as well. If nickel stays high, like above $20000US per tonnne, even better.
If it does go ahead, even though the fundamentals havent changed hardly at all, its likely there will be a sell opportunity for those that have shares- a few bucks to be made if they go to say 45c, and buy back in after Christmas at 30-35c as the market realises its all hype.
In the longer term I cant see them dropping below 30c again, but the modest growth I can see makes it look a pretty safe bet, after all if they do reach 50c in 3 years thats still 20% per year, and perhaps a dividend as well. If nickel stays high, like above $20000US per tonnne, even better.
- Joined
- 15 October 2006
- Posts
- 117
- Reactions
- 0
Just another point that this "Chicken" missed- there has only been one drill hole into Saxon- see announcement 25th Sept. It could be a huge deposit and it may not. Further drilling planned this summer when they put in a new access road.
Ghosta..you said modest growth...make your research before making such statements...their production as soon as they are starting are far from being modest in fact their growth will be imense and as far as their mine life its also more than 10years....at present check volume...at 4 to 5 million shares traded every day..means that we have some big buyers into this stock...and dropping below 30cents keep dreaming..because that is free...and you said not earlier production through Bluestone..how do you know...as assuming that they wont...dont because you got no clue..like Porkpie you want to buy cheap...LOLOLOLO....thats what I say..you dont know..end of storyghosta said:
- Joined
- 15 October 2006
- Posts
- 117
- Reactions
- 0
Chicken could be right, but if hes wrong he'll have to "eat crow". Now that would be funny- its usually the other way round!
But im only saying it as I see it.
But im only saying it as I see it.
- Joined
- 24 August 2005
- Posts
- 465
- Reactions
- 0
just a comment chicken, last weeks volume was not overly high, AGMs average vol is 3.7 mil daily , so at the mo I'l stick with my .30 limit order I can always up it if support holds. porkpie
Porkpie...whatever...and who cares where or how many stops you have got..I see it differently because my research is deeper...and as far as volume tell me if you want to know how many are traded go to tradingroom...and your 3.8 million was the lowest for the week...friday was just under 5 million shares and you call that low volume...as I said before....you hate what the Australian paper said and these are people in the know...you 2 are just downrampers wanting to buy stock CHEAP//...looks like if you want in you have to pay the price....after all BIG BUYERS are BUYING....they know the situation...porkpie324 said:
- Joined
- 24 August 2005
- Posts
- 465
- Reactions
- 0
You bet your sweet little ol chicken heart I want to buy AGM as cheapie cheep as I can, as for the austalian its not for sale in auckland. porkpie
Similar threads
