BRM - Brockman Resources

[kpas]

DFS for Marillana is due sometime in the next 2-4 weeks - BRR alluded to it being released by end of September.

After that the major stepping stone will be a rail haulage agreement which is scheduled/anticipated to be finalised by December 2010.

So all things considered, the next 3 months will be a major turning point for BRM.

Anyone else still watching this thread or am I all alone?

 

[YELNATS]

Anyone else still watching this thread or am I all alone?

Still vitally interested in BRM and hoping for more good tidings. Have been a major holder since the YML days - well "major" in terms of my own portfolio anyway.

 

[Boggo]

My weekly scan has picked it up as a potential candidate.

(click to expand)

 

[kpas]

Some good gains in the last 2 weeks - good to see for a change.

2 weeks left until DFS is due

 

[shinobi346]

Feasibility study is out. Covers how much it will cost, possible transports routes and rough timeline of when they can get everything going. As a consequence of this the price goes south??? I hope this is because the study was already priced in.

 

[Sean K]

Feasibility study is out. Covers how much it will cost, possible transports routes and rough timeline of when they can get everything going. As a consequence of this the price goes south??? I hope this is because the study was already priced in.

Maybe the numbers were bad? I can't access info at the moment so can't comment. Or, yes, buy the rumour sell the fact perhaps.

 

[sammy84]

My :

BRM can't be read of the daily charts alone. You need to pay close attention to it's intraday price action and associated volume. For me today was a bullish day.

Today we hit a low of $3.53 but the volume taken to hit that low was nothing and we stayed sub $3.70 for very little time. I can recall at 5c drop happening on <$500 sell off. Price quickly shot back up and some big buyers entered in around the $1.70 mark. Have a look at the course of sales or the intraday chart and see where the associated volumes are:

http://www.google.com/finance?chdnp...2&chddi=300&chls=CandleStick&q=ASX:BRM&ntsp=0

The last two month there has not been a great deal of selling conviction but some big buyers (refer to my early posts). I like BRM, just enforce your stop manually on this as people as playing silly buggers with BRM's price

 

[JTLP]

My :

BRM can't be read of the daily charts alone. You need to pay close attention to it's intraday price action and associated volume. For me today was a bullish day.

Today we hit a low of $3.53 but the volume taken to hit that low was nothing and we stayed sub $3.70 for very little time. I can recall at 5c drop happening on <$500 sell off. Price quickly shot back up and some big buyers entered in around the $1.70 mark. Have a look at the course of sales or the intraday chart and see where the associated volumes are:

http://www.google.com/finance?chdnp...2&chddi=300&chls=CandleStick&q=ASX:BRM&ntsp=0

The last two month there has not been a great deal of selling conviction but some big buyers (refer to my early posts). I like BRM, just enforce your stop manually on this as people as playing silly buggers with BRM's price

BRM still have the greatest hurdle of all...a rail deal. Without this they are useless. There seems to have been timeline blowouts and cost/transport changes...BRM better come clean and get a wriggle on.

 

[kpas]

BRM still have the greatest hurdle of all...a rail deal. Without this they are useless. There seems to have been timeline blowouts and cost/transport changes...BRM better come clean and get a wriggle on.

Agree. Although the DFS increased the NPV a considerable amount, I think that was already factored into the SP.

It shouldn't be discounted though, the DFS is a major step forward for BRM and is definitely the result of a lot of progress. It's just a little disappointing that the market still values BRM's deposit as dirt until it has a rail agreement in place.

It has to be finalised before they complete the BFS which is sometime in the 1st half of 2011 - so I guess anywhere from 6 to 9 months away.

Another long wait for shareholders.

 

[kpas]

Good to see that the MRRT has not dampened Wah Nam's buying spirit as they just took a massive slice and pushed past their previous 19.9% holding to 21%

Definitely a good sign for Brockman - means that we may be closer to a rail agreement then previously thought.

This could well provide the catalyst needed for BRM to become a takeover target.

Anyone else remember what happened last year when the Chinese attempted to takeover UMC?

 

[sammy84]

Good to see that the MRRT has not dampened Wah Nam's buying spirit as they just took a massive slice and pushed past their previous 19.9% holding to 21%

Definitely a good sign for Brockman - means that we may be closer to a rail agreement then previously thought.

This could well provide the catalyst needed for BRM to become a takeover target.

Anyone else remember what happened last year when the Chinese attempted to takeover UMC?

The news that Wah Nam is still buying has seems to have gone under the radar. Looks like a creeping acquisition could be in play.
A quick google of Wah nam also shows that they purchased a pretty big chuck of FerrAus, another Pilbara miner.

 

[kpas]

The news that Wah Nam is still buying has seems to have gone under the radar. Looks like a creeping acquisition could be in play.
A quick google of Wah nam also shows that they purchased a pretty big chuck of FerrAus, another Pilbara miner.

http://www.nwioa.com.au/

And of no real coincidence, they are both members of the NWIOA and have access to ~50mtpa of port berth

Definitely looks like they are setting themselves up for a takeover with access to port; there is potential there to build their own rail network and be completely separated from the rest of the market.

 

[sammy84]

$1.2 mil buy today at $4. Could be Wah Nam topping up under the creep provisions?

 

[sammy84]

$1.2 mil buy today at $4. Could be Wah Nam topping up under the creep provisions?

Turns out I was right:
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01111960

Does anyone know the rules for topping up after 19.9% ownership is reached?

 

[derty]

Turns out I was right:
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01111960

Does anyone know the rules for topping up after 19.9% ownership is reached?

I'm pretty sure if an entity wants to take a 20% or greater stake in a company they need to make an official takeover bid.

 

[grace]

I'm pretty sure if an entity wants to take a 20% or greater stake in a company they need to make an official takeover bid.

There are creeping provisions as well. Can't find a link at present sorry.

 

[noie]

In Aus, is it not

10% declare your holdings,
20% declare your interest

3% creep allowed each year.


ill find it now

 

[noie]

See the definition of "relevant interest" in sections 608 and 671B(7) of the Corporations Act 2001.

well that was harder than i thought....

http://www.asic.gov.au/asic/pdflib.nsf/LookupByFileName/rg159.pdf/$file/rg159.pdf

and

http://www.asic.gov.au/asic/pdflib.nsf/LookupByFileName/ps171.pdf/$file/ps171.pdf

 

[shinobi346]

They must think $4 is cheap to be buying so many at that price. Its good to see such confidence in BRM.

 

[Sean K]

They must think $4 is cheap to be buying so many at that price. Its good to see such confidence in BRM.

Plenty of companies have bought assets with a very long term plan, so keep that in mind. They may be thinking 10-15 years out, which normal investors do not. Hence the premiums often paid. This was an amazing investment 2 years ago, but now, I don't see too much upside for a few years until they get past construction and into development. I'm searching for the next BRM, sold off on panic with a great long term asset that will deliver a 500%+ gain.