BDG - Bendigo Mining

Just announced that JP Morgan have increased their substanial shareholding. :

International




Friday November 11, 9:43 AM
INTERVIEW:Australia's Bendigo Woos Global Gold Investors

By James Attwood
Of DOW JONES NEWSWIRES

SYDNEY (Dow Jones)--Australia's Bendigo Mining Ltd. (BDG.AU) appears to have finally found its way onto the radar screens of global gold investors.

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Last week Bendigo closed an equity issue that swelled its bank balance by A$133 million to around A$200 million and sets up the company to deliver on its six-year goal of reaching annual gold output of 600,000 ounces.

London-based Merrill Lynch Investments raised its holding in the prospective miner to 10.5% in the issue, while Singapore-based APS Asset Management's participation kept its stake at 12.6%.

The transaction also attracted "one or two" new institutions, reflecting easing concerns over the project's technical risks, said Managing Director Doug Buerger.

"We've got some real heavyweights on the register now so quite clearly the eyes of the gold investors are firmly fixed on Bendigo," Buerger told Dow Jones Newswires.

Until now the market has been wary of Bendigo's bold plan of tapping into an estimated 11 million ounces left underneath the most prolific field in Victoria state's gold rush of the mid-1800s.

A major concern has been the project's "nuggety" and therefore fluctuating grades and the logistics of working a massive ore-body spanning 17 kilometers by four kilometers, much of which lies under populated areas.

Those inherent challenges, sagging gold prices, the dilutionary impact of previous share issues and the exit of major shareholder Harmony Gold Mining Co. (HARJ.J) saw Bendigo's share price sink from A$2.80 in mid-2002 to below A$1 in September this year.

But after spending A$100 million-plus over seven years to "normalize" the project's technical risks, Buerger said the company's fortunes are turning around.

The share price has crept back to around A$1.10 in recent months in line with rising gold prices and is expected gain momentum once the explorer and developer officially becomes a producer. At current market prices the company is valued at A$333 million.

That's scheduled to happen in June when Bendigo fires up a A$54 million processing plant, part of a A$128 million first phase designed to produce an average of 140,000 ounces a year, ramping up to 200,000 ounces over 25 years.

The real pot of gold, however, is in the shape of a A$247 million second mine and plant expected to take output up to 600,000 ounces from 2010-2011.

That would lift Bendigo into mid-tier status and put the company on par with current output levels of Australia's second largest producer Lihir Gold Ltd (LHG.AU).

After a series of cost estimate upgrades, Buerger said the first plant and underground development are on budget and schedule. "Everything points to getting into production by June," he said.

Up 3.20% today. Looking good especialy after the issue of new capital.

Yes lift off.

Its breaking out. Anyone take up the share placement and as happy as I am?

I took up the offer with hope that price collapse is not going to wipe out the difference before I dump my parcel.

My initial stop was $0.95 , now parcel will be sold $1.03 with target $1.45 to $1.60

I am surprised, as usually with such a discount price takes quite a dive, well never assume anything.

Isn't gold stocks the darling of the asx this year?

Personally I think BDG is a good investment, maybe it doesn't have the upside of a year ago.

Family member purchased shares in BDG a few years ago, I bet they are happy now

PS - I don't own or ever have owned any BDG.

*EDIT* Haha or not! The SP use to be over two dollars a few years ago! They are probably wishing that it will recover to that sort of level again!

Serp,
Possibly, if they bought 1998 or 1999, probably break even if bought on the dip 2000 or 2001, and not yet if bought between 2002 and 2004

Takeover target?

Gold boom boosts interest in miners
Wednesday, 23 November 2005

BENDIGO'S two major miners are cashing in on the booming price of gold.
Bendigo Mining's share price has soared in recent weeks, on the back of an 18-year high in the price of gold.

Yesterday, the company's share price closed at $1.315, after dipping below $1 in May.

There is increasing industry interest as the company remains on track to begin gold production in June, with recent media speculation of a possible takeover bid.

Perseverance Corporation has also benefited as the gold price nears US$500 an ounce, with its share price rising in recent weeks.

Bendigo Mining managing director Doug Buerger said because the company was not yet producing gold, the booming price was not having a major impact.

"We've got the capital we needed to build the mine and the present price is not affecting us, but what is affecting us is the sentiment in gold companies," he said.

"There is a more positive sentiment in wanting to invest in gold companies, and Bendigo Mining is seen as a good alternative for investment, so we are seeing a lot more interest in buying Bendigo Mining shares."

He said the company was not soliciting interest for any takeover bid.

"What we've got to do is focus on building the mine and getting on with that."

Perseverance Corporation managing director Graeme Sloan said the Fosterville mine was expected to produce between 25,000 and 30,000 ounces of gold in the December quarter.

The company is hoping to start its underground operations in late December or early January.

Mr Sloan said the gold price was helping to offset increased production costs.

In the past 12 months, costs had increased between 25 and 35 per cent, he said.

"There are extreme pressures on materials and skilled people, just to name a couple," he said.

"Some companies in the more remote sites of Australia are offering enormous differences in salaries and wages just to attract people, and that's putting lots of cost pressures on everyone else."

Seems to be breaking out today. Yes.

Lift off again today. Is anyone on this enjoying the ride?

Miner prepares for gold production
Wednesday, 11 January 2006. 10:00 (AEDT)Wednesday, 11 January 2006. 09:00 (ACST)Wednesday, 11 January 2006. 09:00 (AEST)Wednesday, 11 January 2006. 10:00 (ACDT)Wednesday, 11 January 2006. 07:00 (AWST)
Bendigo Mining has started stockpiling rock containing gold in preparation for commercial production at its Kangaroo Flat mine in June.

The company plans to boost its permanent work force from 180 to 220 in the next six months for the expansion.

Managing director Doug Buerger says another 100 construction workers are half way through building a $50 million processing plant.

"It's a fairly big processing plant and it's all being housed in a building so we can contain the noise because we are fairly close to residences, so at the moment it's one budget and at the moment it's also on time," he said.

This is going to the moon!

It is looking particularly fabulous! Big volume, and no production yet. And it was only last Novermber that the SPP was issuing shares for what - 80cents! Glad I bought that lot! It is becoming one of my best performing shares at the moment!

Word of caution is needed too.

Current BDG trend is unsustainable and sooner or later it will be good idea to lock in some profits.

Could be next step for a surge in the share price.


Equity Strategy: Changes to S&P Aussie Indices to be Announced on Friday!

Standard & Poors (S&P) is due to announce the results of their Annual Index review pre-market this Friday. The changes have important implications for stocks as they affect whether an index tracking fund is required to alter their holdings in order to ensure their performance matches that of the index. The changes to the index will take effect as at close of trading on Friday the 17th of March. In the following note the Macquarie Securities Index team postulates which stocks will be affected by the changes.

S&P/ASX 100: The only standout here is the removal of the Ten Network (TEN) to be replaced by Goodman Fielder (GFF). The strong run by Worley (WOR) leading into its result may also result in it replacing Pacific Brands (PBG), although this is more likely to occur at the next review.

S&P/ASX 200: Whilst there are eight stocks currently above the inclusion buffer, the Index team don’t believe S&P will reflect the full number of changes. GFF, SP Ausnet (SPN), Spark Infrastructure (SKICA), Bendigo Mining (BDG) & Babcock & Brown Wind (BBW) are the standout adds, while Alinta Infrastructure Holdings (AIHCA) and Macquarie Media (MMGCA) are likely to be kept in reserve for takeover replacements throughout the quarter. Expected deletions include Ventracor (VCR), Thakral Holdings (THG), Peptech (PTD), Fleetwood (FWD) and MYOB (MYO).

JP is buying the crap out of this stock lol love it

Hi all - my first posting. Live in BGO and have invested heavily in BDG.

As a kid I grew up right in the centre of the richest gold field on earth and saw the decline of mining. Mine after mine shut but it wasn't because the gold had run out. Mines closed because of two factors: 1> The water problem 2> The fact that the price of gold was fixed at 16 pounds and Oz.

Now we have modern pumps (in the old days they lifted the water out in buckets) and a floating gold price.

The old miners (my grandfather amongst them) maintained that there was 3 times as much gold left under the city as what came out. The equation: 22000000 x 3 works out to $US39600000000 :bricks1: (!) (they are really gold ingots) at current prices.

This will mitigate the fact that I missed out on ever enjoying the company of my grandfather who died at the age of 42 (1926) -from miners disease.

Modern understanding of the perils of quartz dust and OH&S will ensure that BDG gives an extraordinary return with safety for all.

Just ask me if I am in for a happy retirement

Could be a very good buying opportunity today considering the market conditions and the announcement out this morning.

I was expecting a bounce by now. Thought the reaction was a bit severe but it hasn't recovered. The question that i am asking myself now is do I buy more or reduce my current position.