Australian (ASX) Stock Market Forum

GBG - Gindalbie Metals

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oldblue said:
What is there to chat about?

GBG closed at $1.33.5 on Friday, just a 120% increase over the last 12 months!

Good progress being made but production is still some way off so expect hiccups in the SP as interest waxes and wanes. I'm happy to hold.

;)
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GBG will just tread water until production starts and it announces it's maiden profit. Until then it is just hold and wait. Meantime any announcements regarding resource upgrades, construction milestones and fe prices will push the sp upwards little by little. Good things will come to all those who wait.

Ansteel is the second biggest steel mill in China and it is GIGANTIC they will buy all of GBG's output and even with all of GBG's output it is still not even for Ansteel.

I used to be in the steel making industry and I have been to Ansteel in Anshan numerous times and I can assure everybody here, it is BIG and has a HUGE appetite for fe and coal, even if their production falls 20% (heavens forbid) GBG will have NO PROBLEMS selling ALL it's production. The only variable that I can see is the price of fe and shipping costs and shipping & port capacity when full production starts.

The only other reason that GBG's sp has not reach the dizzy heights of other up & coming fe junior producers is the bulk of it's ore is not DSO quality BUT it is of high enough quality and reasonably free of impurities that makes benefication economical even at USD80 a tonne fob.
 
chart looks bearish ....it seems the price will drop to 1.20lish or lower ...

March activity statement will be released next week.
 
Been slammed like many similar stocks but now gone into a trading halt pending an announcement about project update.

Anyone know any more ?.
 
Pager said:
Been slammed like many similar stocks but now gone into a trading halt pending an announcement about project update.

Anyone know any more ?.
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Maybe they will announce they have two big holes available to push those two silly buggers in.

Let's hope it is good news, I have enough of bad news for the rest of the year.

Cheers
 
vincent191 said:
Maybe they will announce they have two big holes available to push those two silly buggers in.

Let's hope it is good news, I have enough of bad news for the rest of the year.

Cheers
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Now that would be good news!

I know nothing but my gut feel is it's just a routine, feel-good update on progress to settle a few nerves in these troubled times.

:cool:
 
Technical indicators like this ought to be a no-brainer, but as we know, volatile times. But I figure if last week's near panic selling couldn't push it under the 350 day EMA (50 week EMA), then what will.

'..keep buggering on..' Winston Churchill said last night in the ABC TV drama (The Gathering Storm). That's what GBG seems to do to perfection. Solid, unspectacular, but inspiring confidence in this (new) holder. The price targets I've seen aren't bad either.
 

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Sadly, its been reported that GBG Chairman Geoff Wedlock is among those missing on the Sundance aircraft.
 
21/06/2010 9:43:00 AM Trading Halt Request
http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01072858

TRADING HALT
Gindalbie Metals Limited ("Gindalbie") [ASX Code: GBG] requests a trading halt be put on its securities immediately. Gindalbie proposes to shortly make an announcement to the market updating on further progress regarding Karara’s senior debt financing arrangements.

Gindalbie will request that the trading halt be lifted upon making an announcement regarding the senior debt financing arrangements, which it expects will be prior to the end of trading on Monday 21 June 2010.

Gindalbie can see no reason why a trading halt should not be put on its securities.
 
Sweet. An opportunity sub-one dollar, and I took it.
That deal with AnSteel is awesome, a reliable and loyal equity partner, and a buyer for our product into the future. And on top of all that - hopefully, if the press reports are to be believed - a good announcement to come next week from the Australian Govt on a better deal for miners on the proposed super profits tax.
Losing no sleep over this one.
 

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http://au.finance.yahoo.com/news/Gindalbie-produce-iron-ore-aap-3566555532.html?x=0

Gindalbie may produce iron ore early

On Wednesday 10 November 2010, 12:55

Gindalbie Metals Ltd says it may produce its first iron ore earlier than its targeted date of mid-2011 and is set to reap strong margins for the bulk commodity.

Gindalbie chairman George Jones says first production of hematite iron ore from its $2 billion Karara project in Western Australia's midwest region is on track to start mid next year.

"If we can make that happen sooner than mid-year, we will," he told the company's annual general meeting in Perth on Wednesday.

Magnetite iron ore production would start by the end of 2011, he said.

"Based on current spot prices, our high-grade magnetite concentrate would fetch more than $150 a tonne.

"With cash costs, before royalties, of around $42 a tonne, that is an operating cash margin of more than $100 a tonne or more than $800 million a year - and Gindalbie owns half of Karara."

The other half is owned by Gindalbie's largest shareholder, China's Angang Steel Company Ltd (Ansteel).

It has agreed to buy 30 million tonnes (Mt) of iron ore from the project each year over a mine life estimated at 30 years.

By the end of 2011, Karara's output rate will be 10 Mt per annum.

"Our growth plan is to potentially double magnetite production to 16 million tonnes and then double it again to more than 30 million tonnes per annum," Mr Jones said.

"The project site at Karara is a hive of activity."

Gindalbie was pursuing its plan announced in February to acquire and develop other major resource projects after Karara, he added.

"Ansteel has given us its full support to look for and acquire other projects and opportunities, together with development opportunities within Gindalbie's own mid-west tenement position," he said.

"Preference will be given to those projects and acquisitions which involve a steel feedstock such as iron ore, coking coal, manganese, chromite and nickel."

He said he had recently spent a great deal of time in China and it was clear the economy was very strong, with several significant new developments boding well for the future of iron ore demand.

Shares in Gindalbie were up four cents, or 3.64 per cent, at $1.14 at 1253 AEDT.
 
bigdog;Magnetite iron ore production would start by the end of 2011 said:
"With cash costs, before royalties, of around $42 a tonne, that is an operating cash margin of more than $100 a tonne or more than $800 million a year - and Gindalbie owns half of Karara."[/B]

The other half is owned by Gindalbie's largest shareholder, China's Angang Steel Company Ltd (Ansteel).

It has agreed to buy 30 million tonnes (Mt) of iron ore from the project each year over a mine life estimated at 30 years.

By the end of 2011, Karara's output rate will be 10 Mt per annum."

Our growth plan is to potentially double magnetite production to 16 million tonnes and then double it again to more than 30 million tonnes per annum," Mr Jones said.


He said he had recently spent a great deal of time in China and it was clear the economy was very strong, with several significant new developments boding well for the future of iron ore demand.

Shares in Gindalbie were up four cents, or 3.64 per cent, at $1.14 at 1253 AEDT.
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Have been looking at GBG thinking they are way under valued given their position of having construction funded, well underway, all product sold, and with those cash costs, they are looking at 500m a year incl 2MTpa haematite from the end of next year. Assume a nice conservative PE of 5 and even allowing $200m pa for debt payback, should give them a MC of $1.5bn as compared to current $1bn or 50% undervalued. Might be time to buy in?
 
I bought into these last week after reading this thread. Fair bit of activity today on the back of an announcement. Looking good going forward.
 
http://www.wabusinessnews.com.au/en-story/1/85657/Gindalbie-upgrades-Karara-resource

Gindalbie upgrades Karara resource
10-December-10 by Staff Reporters

Gindalbie Metals has announced a resource upgrade for its Karara iron ore project, in the Mid West, of 87 per cent to 977.5 million tonnes.

Gindalbie's managing director Garret Dixon, said the substantial increase in Ore Reserves highlighted the strength and quality of the Karara project.

"The expanded Ore Reserve supports the move to reach higher levels of production with significant potential to increase the Ore Reserves further from the remaining resource once mining and production are underway," Mr Dixon said.

"The additional infill drilling conducted at Karara has significantly confirmed confidence in the deposit and in particular its ability to support continued upgrades in production capacity of magnetite concentrate up to the planned optimum of at least 30 million tonnes per annum," Gindalbie Metals said in a statement to the Australian Securities Exchange.

"The main Karara orebody remains open at depth and along strike to the north-west along the Karara Ridge, offering excellent potential for further additions to the Resource and Ore Reserve inventory as mining progresses," the statement said.

Gindalbie said construction of the Karara Project is well underway.

The company said first hematite production is scheduled for the first half of 2011, with magnetite production from the concentrator to commence by December 2011.
 

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Sp shaping nicely for GBG. Perhaps via the AGO - GIR M&A activity?

The resource UG must have helped though. GBG will be the next to get production happening with a decent size resource so irrespective of whether it is production or M&A, GBG will be a market mover 1st half next year IMO.

Chart does look nice short term and even better longer term when it gets over $1.43 on a close.
 

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Is there much blue sky left for Gindalbie after construction cost blowout and subsequent dilution via share/rights issue? Thought it had potential along with Moly Mines over there in W.A. but gee their share prices have taken a persistent grind down.
 
29c
any sign of improvement with first ships due to go out with
IO loaded any day now?

Why is the SP still so low!!
:confused:
 

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