CUL - Cullen Resources

[YOUNG_TRADER]

Guys your welcome,

I copped alot of flak for my intial research on this, then it rose and the attackers went quiet,

Then I copped a bit of flak for taking some profits at just under 10c, ie I was selling at the peak etc etc

Just feel vindicated today by the strong move is all

 

[motion]

Guys your welcome,

I copped alot of flak for my intial research on this, then it rose and the attackers went quiet,

Then I copped a bit of flak for taking some profits at just under 10c, ie I was selling at the peak etc etc

Just feel vindicated today by the strong move is all

Yep and so u should.. You have done great work here with your information YT, and as for the people who giving you flak... I bet they did not jump on so they have lost out, they was I see it is you are in the win win position =

 

[ned1]

Hi Young Trader

Just want to say a big thank you for your great resarch. My portfolio was just going sideways until I started to read some of your well researched posts. I bought in at 6.6c on CUL and at 3.5c FWL. Since then I have had the wonderful dilemna of deciding when to take my profit.

I bought CUL just after my son was born (1 July), he's our fifth, so I need every bit of profit I can get.

Cheers YT.

 

[SevenFX]

YT.

If this was your find, well done.

Looks like she's really stretching her legs....

Very Nice... :

SevenFX

 

[juw177]

Nice announcement and very large gain. Good researching! But surely, a dump will happen by the end of the day as day traders do on announcements. The market depth just looks too suspiciously thick on the buy side and thin on the sell side. It's a good ann but not THAT good.

 

[woksta]

Wow...up to 15c. Thanks YT, got in at 6.8c so up a lazy 120% or so. Your analysis right on the money again so to speak....

 

[KIWIKARLOS]

Am I missing something the only ann I can see is the one at 10 am this morning, is there another?

The climbs huge still expecting news on the IRon ore JV soon too?

 

[YOUNG_TRADER]

Amazing,

CUL has hit my valuation range today,
I must admit that it did it alot sooner than I thought it would,

It has put on 300% in less than 1 month,

Its obvious there's alot of traders on board, so I'd advise some caution, but my oh my, was this not a great play

Regardless of what the chart says and technicals (sorry techies

Here's my fundamental view, so if your in it for the medium term this should unfold

BTW RHI now $3 = $120m Current EV = $7.60/t Fe!

CUL​

Mkt Structure

Shares
475m
Mkt Cap @ 5c = $25m Current
Mkt Cap @ 10c = $50m Target 1
Mkt Cap @ 15c = $75m Target 2
Mkt Cap @ 20c = $100m Upside


Cash
$2m not alot, but nearly all of its projects are funded by JV's so it doesn't need cash



Projects



Catho Well Iron Ore, 30% Carried, West Pilbara
JORC 68Mt@55.4%Fe
Now CUL's main project is joint ventured to Australian Premium Iron which is jointly owned by AQA and Multi Billion dollar steel mills, they are firming up a large porject in the West Pilbara and are currently doing feasibility studies and although CUL's project is smallish it still represents 1/4th of the total project and as such will get into production, importantly CUL's deposit contains lower impurities and thus is required to blend with the other deposits
AQA/API have very very deep pockets and backed by the US steel Mills, funding and offtake will not be a problem,

Valuation
RHI 40m shares @ $2.50 = $100m, its asset 20% of 135Mt@58.5%Fe = Net 15.795Mt Fe, at $100m = EV of $6.33/ Fe t

So if we give CUL the same $6.33/ Fe t = 30% 68Mt@55.4%Fe = 11.3Mt's Fe = $71.5m = 15c CUL

Now the mian points are
1. This was a first pass JORC from 1 of 4 target areas, a look at CUL's ground position suggests some of RHI's Cardo Bore deposit extends into CUL's ground

2. API is backed by AQA and Multi Billion Dollar US Steel Mills who will provide funding and offtake

3. A feasibilty study is underway

4. A comparison to RHI suggest CUl is worth 15c on this asset alone!


Wyloo Dome Iron Ore, 20% Free Carried, West Pilbara
This project is in a JV with FMG, thats right Fortescue Metals Group, they are beginning exploration for Iron ore this qtr! The project is adjacent to Hamersley's 225Mt@62.1%Fe Metawandy Deposit
HUGE SPEC Appeal!


Gun Barrel Nickel, 25% Free Carried, W.A.
BHP is drilling 7 diamond holes in search of Nickel, the mkt will love the BHP link


Iriwn Bore and Mt Tate Nickel, 30%-35% Free Carried, W.A.
IGO one of the most famous mid cap Nickel players is exploring here for Nickel in a JV, again the mkt will love the IGO link


Forrestania Nickel, 20% Free Carried, W.A.
HNR most who like nickel will be familiar with the HNR story, their directors are famous for discoveries and its very good to see their main project is with CUL,


Gunbarrel Gold, 30%-35% Free Carried, W.A.
Newmount is exploring for Gold here


Duchess IOCGU, 30% Free Carried, Mt Isa Qld
MEP Minatatour are exploring for Cu-Au U and IOCGU type structures here although they are mainly working on Tunkilia with HLX



Uranium Projects Uranium, Some 30% JV's most 100% owned, W.A. S.A. and N.T.
Has about 40 liceneces in W.A. S.A. and N.T., could easily spin these off into a new IPO, I'd say they're worth 2c-4c to the company alone.



Summary

- The main Iron Ore porject worth 15c
- FMG JV adds 1c spec appeal
- BHP JV adds 2c spec appeal
- Lots of other JV's working hard to make a discovery, adds another 1c appeal
- The Uranium projects are worth 2c-4c in a spin off form

Total Value I see = 15c - 25c

 

[spottygoose]

Way to go YT - CUL - what a tip! Thanks heaps for your invaluable research, RMI going great guns too! Looks like traders are hopping off one and then on to the other!

 

[insidertrading]

Taking profit today after bought in 3 weeks ago at 6.9c
Thank you very much for the research YT
Will re-enter ASAP

 

[wllmtrish]

I'm smiling.
I have been accumulating, buying on dips and now have 300,000 CUL shares at av. 8.1c
These will go into the bottom drawer with my 157,200 shares in AGS.
imho both have a great future as they have joint ventures with Major mining companies.
Lots of blue sky with both of these stocks with company making jv's.
dyor and good luck all holders

 

[greenfs]

Congratulations to those that got on board early.

I would be betting we will see a big drop (3c+) in the sp tomorrow as traders take profits; hopefully for the sake of all investors/ traders I will be proven wrong.

I am not a holder of this stock and have no interest one way or the other.

 

[viccam]

Hi all, I must admit that I got on @ 3.2 (Late last year) and wow what a ride of late.
Good on you YT you gave me confidence to hold on. I think they have some good dirt and good JV's.

 

[doctorj]

Any thoughts about CUL being up something like 35% on a day where it released an announcement about a uranium JV with THX, but THX was flat/slightly down. Volume is also interesting - turnover of CUL was $8m give or take, THX about $200k.

Which leads me to think one of the following:
1) This announcement wasn't driving the volume - today was a continuation of the movement over the last couple of weeks. One of their other projects is the main driver, or just the whole package.
2) Traders are working CUL and will go where ever the volume is. THX isn't as attractive.
3) People were watching CUL, saw "Uranium" and clicked buy.
4) People haven't cottoned on to THX yet, but they will shortly.

Broadly put in order of likelihood based on the fact that volume has been, historically, astronomically high for a while now. In reality, it was probably a combination of 1 & 2 (IMHO atleast).

 

[Pommiegranite]

Doc, I personally believe its point 2.

Traders are alll over this. The buy side is us stacked all the way down i.e traders waiting to get their fill at a lower price to sell higher.

 

[SevenFX]

YT.

If this was your find, well done.

Looks like she's really stretching her legs....

Very Nice... :

SevenFX

YT I actually thought you started this thread with CUL find, but it seems like it was "Chris1983" that credit should go to.

Where are you Chris, WELL DONE on your find below.

Anyone watching this one? Cullen have a 50:50 Joint venture with HNR and HNR's market cap is 28 million whereas Cullens is just under 19 million. Cullen also have some other good projects on the cards.

 

[YOUNG_TRADER]

Tekman I didn't start the thread, never claimed I did,

I pm'd everyone to buy it at 5c with a 15c target, it broker out that day on record volume and well the rest is history

Same with RMI, you can pick from the chart the day I pm'd people

 

[SevenFX]

Cool...

Well done anyway for all your Fundermentals n Research....

Just wanted to Praise Chris for starting thread as well.

Cheers
SevenFX

 

[KIWIKARLOS]

Its holding up alright today considering the big drop. Question is will it continue its upwards trend now that its hit this level considering we may not get news for a while now.

I think if we get back to back drops in the US people will start getting real nervous.

Not much volume today either. Still trying to decide if ill jump ship or stay on for the ride

 

[resourcesman]

You are a genius, YT! Thanks for your research

I bought in a few weeks ago, and topped up on Friday. This has been my best trade so far!