“With a resource of 1.6 billion tonnes, operations at Marillana now look set to span a very long life in the Pilbara, targeting a long-term production level of 15 to 25 million tonnes per annum or greater,” he said.
As part of the recent drilling, a significant new zone of direct shipping CID mineralisation was intersected on five consecutive drill lines over a strike length of more than 2km at Abalone, with best intercepts including 10m @ 55.8% Fe, 10m @ 57.3% Fe, 9m @ 56.3% Fe and 5m @ 58.5% Fe. This mineralisation has not yet been separately modelled in this resource estimate as the hole spacing is too broad.
The revised estimate represents a 40% increase over the previously announced figure of 1.1 billion tonnes reported on 5 March 2008, and has the potential to increase the Marillana Project’s total estimated shipping inventory (Direct Shipping Ore plus beneficiated ore) to 952 million tonnes of marketable product grading 57.4-60.0% Fe. This represents an increase of 40% over the previously announced estimate of 680 million tonnes reported on 1 July 2008.
When BRM announced the Total Mineral Resource estimate for Marillana as 1.1billion tonnes of iron ore on March 5th, the share price jumped a massive 203% from $1.06 the day before the trading halt to $3.21 the day trading resumed.
Now we have a significant 40% upgrade and the market hadly batted an eyelid.
Makes me think that today's closing price of $1.43 represents very good buying indeed, particularly when the value of today's ann sinks in.
unless BRM can get into production and catch the tail wind of the current IO prices I think it missed the boat by 2 years.....
benwex
That is one view....
Mine is somewhat more sceptical and see the dramatic difference expereinced in the sp from a good announcement is a keen measure of how this market has turned "big time".....
No daytraders on this announcement to me is the final indicator that the easy days are well and truelly over.
As a sentiment indicator this great news was unable to turn the tide on a strong bearish trend and unless BRM can get into production and catch the tail wind of the current IO prices I think it missed the boat by 2 years.....
benwex
US-based Ospraie Fund has been a major investor in Australian resources stocks in recent years. The failed hedge fund is believed to have held stakes in companies such as Iluka Resources, Consolidated Rutile, Murchison Metals and Brockman Resources at various times
Well, it seems the US collapsed hedge fund held shares in Brockman. Could it be that they are liquidating?
Well me thinks this is big news, and I'm amused at sp and lack of talk about this.
With BHPB tracks running right through Marillana, quality/quantity IO at high prices and $100 million in the bank, $1.10 is a steal.
However fundamentals seem to be out the window on this one.
this bastards' also got a long way to recover like other specs
youve got to remember victory over BHP will affect their major project, Marillana with an awesome 950 mT DSO (roughly the same as FMGs christmas creek + cloud break)
with their NW Port Alliance, close proximity to rail and insane JORC figures it would seem they are moving along nicely but in the current climate it seems good news only lasts a single trading day then its forgotten in a cloud of sellers
Fortescue wins court case against BHP, Rio
The High Court has ruled mining giants BHP Billiton and Rio Tinto must share their Australian iron ore rail networks with other miners.
Nice jump today, on very positive news. Me thinks it should run alot higher.
New announcement which confirms the $110m in the bank.
Nothing else really that interesting other then that they are confirming they will push forth.
Maybe this announcement will put
a) market cap at close to cash backing
b) massive resource
c) close to securing infrastructure
out to some investors who didn't already know about BRM and the SP will move up.
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