DMM - DMC Mining

[shag]

mr market seems to think its good anyway.
its bloody hard to get these stocks when u want too.
from what im reading fe is going to be ok. like i say, who cares if they wear a 40pc cut.
what does worry me is the chinese gaining too much market share at the source.
plus this saga is sort of leading to what bhp-the man with the balls, wants, no old fashioned contract price, but spot prices.
if it was me, i'd say bugger the poms(like its anzac day soon, read gallipoli so very timely), and put so many conditions on the rio deal its not worth it.
i'm digressing sorry.

 

[YOUNG_TRADER]

hmmmm yeah saw the ann then saw the price creeping up on low volume,

Wonder who this new secretary is and more importantly if there are any links to Cape Pure speculation but can't think of any other reason for DMM to move up (thin volume or not) maybe its just sentiment seems to be happening alot so probably just that

 

[d_crome]

Well - whatever - the SP is rising.

Maybe if the rest of the board continues to leave the SP will get back to somewhere in the range that most of us would only be sitting on a 50% loss rather than a 90%...LOL

 

[YOUNG_TRADER]

Well I just had a very interesting conversation with a broker mate,

Turns out the company that advanced the conv note to us
Dempsey Resources Pty Ltd (“Dempsey”) see ann http://imagesignal.comsec.com.au/asxdata/20081211/pdf/00912627.pdf

Is a subsidiary of Cape Lambert

See the ann's where Dempsey Resources Pty Ltd (“Dempsey”), a wholly
owned subsidiary of Cape Lambert Iron Ore provided funding to LAT Ltd.http://www.latinresources.com.au/Investors/Announcements/Latin%20Resources%20secures%20$2.2m%20funding%20facility.pdf

Now the note converts at the lesser of 10c of 5 day VWAP, so lets assume 10c = 20m shares, given DMM currently only have 45m shares that would be 30% of the issued capital to CFE for a measely $2m

Looks like DMM have made it clear to the market that the funding that came from Dempsey is infact actually CFE once the mask is removed

Interesting read of the qtrly, I wonder if they can sign off on a JV before the opies expire to get some cash in the bank???




Corporate
Strategic Partnerships and Funding Negotiations
DMC has conducted several negotiations with interested parties in relation to potential Joint Venture, strategic funding and/or off-take partnerships with DMC in relation to the Mayoko Iron Ore Project.
Over fifteen Confidentiality Agreements have been signed, many with the world’s leading steel industry groups. Due diligence has commenced by a number of the interested parties, with site visits having been completed by some of these groups.
The Company believes that with the presence of existing port and rail
infrastructure, the initial Inferred Mineral Resource, and continued exploration the Mayoko Iron Ore Project is particularly attractive to potential strategic and funding partners.


In December 2008, DMC issued a Convertible Note to Dempsey Resources. Dempsey Resources is a 100% owned entity of Cape Lambert Iron Ore Limited (ASXCode:CFE). In the future Cape Lambert could possibly be a source of funding to DMC, or assist with the securing of a long term strategic partner to advance the Mayoko Iron Ore Project.

 

[quarky]

Well - whatever - the SP is rising.

Maybe if the rest of the board continues to leave the SP will get back to somewhere in the range that most of us would only be sitting on a 50% loss rather than a 90%...LOL

i'd say i was losing 90% of it.

bought it last year at $0.75
saw it rise to $1.10 (and didn't sell! )
then, saw the stock price plummet to around $0.01


then again, if i was brave and courageous, i would have bought some then...because since then it's been over a 100% rise.


DMC still represents good value if i can overlook the sovereign risk and no JV, i'd buy some now....but i'm holding onto my Rudd-dollars.

 

[JTLP]

Something fishy going on here...

All this talk about the Convertible note and now the company is just fully out with fact that Dempsey is basically CFE. There has been consistent volume for a little bit of time now as well.

Interesting point in the ann today as well:

Cape Lambert's objective is to use its cash reserves to invest in a portfolio of early definition resources assets, principally iron ore and related steel making assets and to add value to those assets to position them for either development and/or sale

I get the feeling (amongst others on here who probably do)...that when it comes time for Converting the note (or maybe before) CFE are just going to takeover DMM and for probably a pretty cheap price.

Thoughts?

 

[Largesse]

anyone considering averaging down on this?

i know many suggest its a bad idea, but DMM starting to slowly tick up?
might be an opportunity to get some green back in the folio?

 

[Pimping]

Largesse, don't know about the averaging down bit, we all know the pros and cons for that method, however I like what I am seeing from this stock at the moment, seems that someone is nibbling at the market price and wants a piece of this company, could it be that this one is starting to wake up?

 

[d_crome]

Ouch - averaging down - famous last words.

I'd do it if you strongly felt the project was a winner - I've done this with a few other stocks I hold.

Is DMM one I strongly believe in?

Unfortunately no.

Risk is yours though - no guts, no glory... LOL

 

[JTLP]

My sentiments with DMM have changed dramatically in the last few weeks...especially the latest ann.

Some things to remember with DMM when comparing to other Iron Ore juniors:

- DMM has access to infrastructure

- DMM is in negotiations with poential JV's, offtake's or strategic funding for the Mayoko project

- DMM has 15 confidentiality agreements signed, and they make a big note that some of them are with leading steel mills. This is quite an achievement for an IO hopeful/junior to be potentially dealing with these majors. They must see some massive potential in this little co to even wave a stick over them.

- Interestingly enough the price has hit 20 cents today...I don't know the options conversion rate but believe it is around this mark. DMM may soon be able to reach this figure and get some cash in the bank to further drill their massive prospect and build up a decent resource and/or pay down the note from CFE.

 

[rhyslivs]

I think the oppies are looking like they might be worth a punt.

Surely the company would be very interested in getting them converted.

19,154,726 options @ $0.20 = $3,830,945. Would be nice to have to fund their further drilling and pay down the note as JTLP mentioned.

Rhys

 

[Largesse]

I think the oppies are looking like they might be worth a punt.

Surely the company would be very interested in getting them converted.

19,154,726 options @ $0.20 = $3,830,945. Would be nice to have to fund their further drilling and pay down the note as JTLP mentioned.

Rhys

If the company can't fast track any work they are engaged in at the moment to a point where they can release news/announcement that will put the options in the money, then management are seriously stupid.

simple fact. SP > $0.20 = VERY EASY CAP RAISING

 

[rhyslivs]

There is an announcement on Google Finance from Reuters that I cant seem to access regarding:

DMC Mining Limited Announces Substantial Interest Of Project ...

Has anyone got access to this and if so could you inform as to its contents?

Regards,

Rhys

 

[rhyslivs]

From old announcement:

"The bulk samples were dispatched from the Republic of Congo on 26th March and arrived in Australia on 8th April.

Results are expected to be available in May 2009."

Its the last week of may, heres to hoping we see some sort of announcement regarding the results.

 

[Largesse]

option expiry drawing closer.

DMM up to 18.5c :O

feels very engineered, but... i dunno


anyone else care to comment?

 

[happytown]

dmm currently in a trading halt pending the release of an ann regarding details of an infrastructure access agreement

it could be in relation to the ongoing discussions being held with the port authority of pointe noire re exporting fe through the existing port

cheers

 

[rhyslivs]

I hope its more exciting than the last announcement they called a trading halt for.

While the rail access agreement was a very positive announcement, i dont know if it needed a trading halt.

Hopefully this rallies some interest and gets the options closer to in the money.

 

[d_crome]

Oh it's completely engineered.

20 cent options expiring - they'll be doing whatever they can in a hope to get across the finish line.

Unfortunately I'm holding - not particularly happy about that but I am...

Still no word on the important issues at hand, the revised JORC, the results of the samples due in May 2009 etc....no REAL progress unfortunately.

 

[Sean K]

Huh?

A trading halt for an MOU to 'cooperate' on something.

WTF?

DMC Completes MOU with Port Authority of Pointe Noire

DMC Mining Limited (“DMC” or the “Company”) is pleased to announce that a Memorandum of Understanding (“MOU”) has been formalised between DMC’s subsidiary (DMC Iron Congo SARL), and the Port Authority of Pointe Noire (“PAPN”), whereby DMC and PAPN have undertaken to cooperate in investigating the potential export of iron ore from the Mayoko Iron Ore Project through the existing Pointe Noire port facility.

 

[Datsun Disguise]

20 cent options expiring - they'll be doing whatever they can in a hope to get across the finish line.

Unfortunately I'm holding - not particularly happy about that but I am...

Spot on. But it looks a little silly doesn't it? If mgmt aren't bright enough to push for material announcements and to schedule some importnant milestones in the lead up to options expiry then what are they good for. I am amazed at the lack of foresight of some of these guys (not just DMM) - I reckon a mgmt team made up of some prominent ASFers would do a lot better than one might at first think....