BRM - Brockman Resources

[Sean K]

Update to 3 yr chart posted above and it's not a whole lot different.

Trading between the $1.25 and $1.50 significant resistance (imo), and bound to be short term range bound until $1.50 is broken, then need to review. Still overall upward trend though which looks good. Certainly good from 50c!

UBS are obviously earning their money. Lots of deals going on, they are moving and shaking, and all seems great! argghhhhh!!

Come on FMG, just get it over and done with and buy these suckers. You could do with the cash.

 

[Sean K]

BRM is being left out in the cold as far as Chifa deals go.

But, hopefully one will come.

In the news:

DJ Pilbara Iron Ore Juniors Move Forward With Own Port Plan
07/09/2009 10:37AM AEST

SYDNEY (Dow Jones)--A group of junior iron ore miners in Australia's Pilbara region said Monday they have appointed engineering company Sinclair Knight Merz to undertake a pre-feasibility study into a 50 million metric ton export port in Port Hedland.

The project comprises two berths, developed by the North West Iron Ore Alliance, "integral to the evolution of the next tier of iron ore miner," the alliance said in a statement.

The alliance has four members: Atlas Iron Ltd. (AGO.AU) Brockman Resources Ltd. (BRM.AU), BC Iron Ltd. (BCI.AU) and FerrAus Ltd. (FRS.AU).

The cost and availability of ship-loading facilities has always been a major hurdle for smaller iron ore miners, which has now become feasible as a "result of joining forces," it said.

The port project was well on track and "the onus was on the owners of railway lines in the Pilbara to provide third-party haulage on their networks."

"It is time for the iron ore majors to cooperate with the emerging iron ore producers because it is in the best interests of the state to maximize utilization of the existing rail networks on a fair, transparent and commercial basis, Alliance Chief Executive Justin Walawski said.

 

[Amor_Fati]

It is up to $1.60, do you think resistance is broken?

Big jump today, the news that they started a PFS on the port operation is not that surprising/positive is it? AGO an BCI have done almost nothing (up 1%, down 1%) and FRS is in a trading halt pending an announcement. Why did BRM jump? Is it purely technical?

Also from the announcement over Wayne Richards signature

Brockman, which is one of four founding member companies of the NWIOA, recently completed the pre‐
feasibility study on its 100% owned Marillana Iron Ore Project in the Pilbara. The study found Marillana was technically and financially robust at a nominal production rate of 17 million tonnes a year of final product over
an initial mine life of 20 years.

(Emphasis added) Confirming that ramp-up they predicted is off the agenda

Disc: Still holding

 

[Sean K]

It is up to $1.60, do you think resistance is broken?

A tentative yes. Finished close to high well above $1.50, volume OK but not spectacular.

News today that AGO and WRK are going to merge should provide more support to the break.

There will be more consolidation and BRM would probably be part of that. I just hope they're the target.

 

[Sean K]

A few here will remember back to the discussions around Nov/Dec last year. Still disappointed I didn't back up my opinion with more action, but still happy with the result nevertheless.

I'm almost free carried after taking profits recently, but wondering what value to place on this. It's really hard to say. We can't class it as DSO, nor Mag, so where's the benchmark?

I have a suspiscion that the recent run is due to the BHP/UMC chat, and with BHP having a line running through their deposit, it seems to be a no brainer. IF BHP was this type of ore with the beneficiation associated.

 

[Ruincity]

Hi Kennas,

I think the recent surge in BRM has a lot more to do with this speculation:

http://www.theage.com.au/business/tracks-of-their-tears-20091011-gsgg.html

Maybe UMC to a lesser degree.

 

[MOSSuMS]

Out of FMS and in to BRM yesterday on hopes of more Fe consolidation in the area. Great resource size and price, but is the quality too low (compared to UMC next door that BHP is said to be looking at)? Both looking a bit toppy, just waiting for more news flow...

 

[MOSSuMS]

Out of FMS and in to BRM yesterday on hopes of more Fe consolidation in the area. Great resource size and price, but is the quality too low (compared to UMC next door that BHP is said to be looking at)? Both looking a bit toppy, just waiting for more news flow...

Out of BRM as well now at 2.21 for a quick 8% rise. Not usually a trader like this, but Fe and energy just seemed too good today. Will get back into the sector once I can decide which junior I like most. FMS and BRM still 'feel' the best based on price, resource and location (missed the UMC play completely though).

Any technical experts see a retracement so I can get back into BRM soon?

 

[kpas]

Still in BRM and will hold them until production.

Things looking much better then the last time I posted (price has doubled).

2010 will be the defining year for this company - everything looks like it's going to fall into place and it really is looking positive.

Wayne Richards is already discussing the commencement of developing their other non-Marillana projects within the next 12 months.

It is an exciting time to be a holder anyway.

 

[Sean K]

Had been curling sideways the past 3 months and looks to have finally broke up. May have been some positive sentiment to Directors cashing in options to buy shares. Around $2.20 still a hurdle, so might pause there before pushing on. Not much volume support.

 

[Go Nuke]

Its still looking good Kennas.

I decided to buy some more. Very few sellers and news of securing rail access would be great.
Been some bigish buy orders going through over the last couple of days.

It was also good to see the I/O prices in the paper the other day. Might put the spotlight back on I/O for a little bit.

 

[Mid-Trader]

Hi Kennas,

I've been a holder of BRM for 3 yrs now so have experienced some high's and lows!
Do you have a view or know of any research that shows where fair value is for this stock over the next 12 months?

Thx

 

[Go Nuke]

Share price looking a little overcooked right now?

Everything in my mind is telling me so but I don't want to be out of the stock if the ann regarding a rail agreement comes.

And with the port feasibility study due "early next month" I want to be in for that too.

Short term...I think sell (for a trade) perhaps buy in again about $2.60.

We;ll see

 

[Go Nuke]

Well, even though I'm talking to myself I bailed out today.

Someone is keen to buy BRM though with alot of shares going through at the close on Friday and a few more dumped just now (70K shares).

Longer term I think we are looking at the next big O/I producer in the Pilbara so still hold some shares that I bought for over $3 quite some time ago

All good longer term.

 

[jonojpsg]

Current MC of $388m seems to me a bargain given their resource base, cash reserves, stage of development and potential income. I guess the second last word in that sentence is the issue, however with IO prices looking pretty well supported through 2010 at least (see Weekend Australian article 9/1/09) and into 2011, I think BRM is likely to continue heading up.

Compare with SDL which is valued around $400m as well but a bit further back in progress and has a lot further to go with infrastructure.

 

[Sean K]

Hi Kennas,

I've been a holder of BRM for 3 yrs now so have experienced some high's and lows!
Do you have a view or know of any research that shows where fair value is for this stock over the next 12 months?

Thx

Check the broker reports on their web site:

http://www.brockman.com.au/bro_rep.html


Gee, really taken off since that break up. Almost at all time highs around $3.00, expect a rest again there perhaps.

On my IO comparison spreadsheet they have the 6th highest market cap now.

In retrospect, it's very easy to say this was a no brainer under $1.00 after the panick sell off last year.

 

[justiceotp]

Hey Kennas interesting that you post that link to the broker reports I was reading them all again last night trying to work out where BRM is going to settle at, everyone in it or interested in it probably is reworking the figures. I have been in this stock for quite some time and averaged down during the crash. I have left this one go and haven't taken any profit yet as I feel it still has a long way to go over the next couple of years. Most well run I/O companies are doing well at the moment I also hold AGO, FMG and IOH and they have done well with this renewed interest in I/O. Could I ask in your MC list what you have at 4 and 5?

 

[Sean K]

Could I ask in your MC list what you have at 4 and 5?

Here is the spreadsheet.

I haven't updated the tons IO column in a while so any recent updates may not be included.

 

[TheAbyss]

Here is the spreadsheet.

I haven't updated the tons IO column in a while so any recent updates may not be included.

Hi Sean. Hows life in the tropics?
I do have a question re your Io sheet. There is a reference for the stock quote price to MSN. What do i need to do so i can access that?

The reference in the cell is

"=MSNStockQuote.Functions.MSNStockQuote($B7,"Last price","AU")"

I need to install something or maybe create a watchlist and download as a csv and import prices?

Also do you format the sp as 4.12 or 412 cents for $4.12?

Thanks mate

 

[Sean K]

Hi Sean. Hows life in the tropics?
I do have a question re your Io sheet. There is a reference for the stock quote price to MSN. What do i need to do so i can access that?

The reference in the cell is

"=MSNStockQuote.Functions.MSNStockQuote($B7,"Last price","AU")"

I need to install something or maybe create a watchlist and download as a csv and import prices?

Also do you format the sp as 4.12 or 412 cents for $4.12?

Thanks mate

Howdy, Back in Lima, weather is crap. :-(

Wrong'Un provided the detail here:

https://www.aussiestockforums.com/forums/showpost.php?p=454810&postcount=47

Use 4.12.

Cheers,