GIR - Giralia Resources

[prawn_86]

Gee, thanks for reminding me Kennas. If you were worried about a pull-back you could take your initial capital out now and free-hold the rest, its doubled since i looked at it

 

[stu_lee44]

Yeah,75c!

Ken,do you think whether it will go down from this level?

God bless I can get them back....

Or, maybe not. :

I hate it when a stock runs away and you don't get the chance to put grandmas kidney on it. LOL

I've seen this sort of thing too many times to get excited though. Stocks go up, they go sideways, they go down. Never just verticle up for ever. And the harder they go up, the harder they go down.

 

[Sean K]

Yeah,75c!

Ken,do you think whether it will go down from this level?

God bless I can get them back....

Stu, I reckon it'll go to .76 by 12 May. I got that off metric.

I'm not sure where it's going short term. If the general market falls over, there's some support at .60. To the upside, longer term resistance around $1.00. But, there's no technical 'targets' from here. I think for some sort of longer term price target you need to look at their current assets - give that a value, investments and cash on hand to get an approximate funnymental value to work towards. This is just too damn complicated for me to work out a funny value (while sitting on a beach). All I knew was that it was undervalued back at 30c, just on cash at hand. Now, I'm going with the momentum, and I'm close to taking my bat and ball at the moment.

More interesting news out.

ASX ANNOUNCEMENT
GIRALIA EXPANDS YERECOIN MAGNETITE PROJECT
• Giralia takes exclusive option over key tenement adjoining Yerecoin magnetite project.
• New acquisition triples interpreted strike length of prospective magnetite rich banded iron formation at Yerecoin (from 10 kilometres to 30 kilometres).
• Giralia’s March 2009 drilling at Yerecoin highlighted excellent magnetic separation results from sighter Davis Tube Testwork with exceptionally coarse grind size for magnetite liberation (> 100 microns).

Commenting on the acquisition, Giralia’s Chairman Graham Riley said;

“The acquisition of this tenement significantly expands the prospective area at the Company’s Yerecoin iron ore project. Exceptional results from beneficiation tests following the recent maiden drilling program at Yerecoin highlight the potential for a premium magnetite product, with high Fe and very low silica produced at grind sizes much coarser than most WA magnetite projects. Importantly the Yerecoin project is located only 1 kilometre from existing rail infrastructure.”

The Yerecoin project is located 10 kilometres east of New Norcia and 150 kilometres north of Perth, within 1 kilometre of existing rail access. An initial drilling program completed in March 2009 intersected moderately dipping (45 to 65 degrees) magnetite mineralisation, with better intersections of; 72 metres @ 32.4% Fe including 56 metres @ 35.7% Fe and 50 metres @ 30.3% Fe within 116.3 metres @ 21.7% Fe.

They are turning themselves into the 'New Force in Iron' at the moment. lol

 

[Sean K]

That 60 level being tested. I probably should have done a runner with my stumps back at 75, or at least taken one of them away, but eye's off the ball at the moment. A couple of positive days in my mind. Bought up during the day, finishing on highs, but tenuous... Hm, can I get another sport metaphor in.... I think if 60 doesn't hold, I'll be kicking this into touch. Done.

 

[Sean K]

Long tails on those candles at support around 60 which is comforting, but an absolutely disasterous looking H&S forming up, albeit, tenuous. Back to cash backing if that follows through.

 

[Sean K]

Long tails on those candles at support around 60 which is comforting, but an absolutely disasterous looking H&S forming up, albeit, tenuous. Back to cash backing if that follows through.

Support holding well, but not out of the woods yet. Looks very promising though. Not much resistance on the way back up till that choppy area around $1.00 back in Sep, if the uptrend continues. I've sold half to lock in some profits but if this trend continues and the markets don't fall over shortly as I expect, will have to reconsider. Another junior up 200-300% since the 'bottom'.

 

[Sean K]

Long tails on those candles at support around 60 which is comforting, but an absolutely disasterous looking H&S forming up, albeit, tenuous. Back to cash backing if that follows through.

Support holding well, but not out of the woods yet. Looks very promising though.

Held up really well, but broken that uptrend support and back to the 62 support area. Parachute donned, but ready to take a seat again.

 

[Sean K]

60 ish held up well twice now and approaching some sort of a break up point around 74. Hardly any volume to speak of...

Not sure what's next up as far as announcements, they've got so many irons in the fire.

Looks like might be:

Beebyn upgrade.
currently
7.2 million tonnes @ 57.2%Fe
‘Exploration Target’ 10-20Mtonnes

Beebynganna initial resource.
late 2008 drilling 3 of 7 hematite zones;
10m @ 57.7%Fe, 6m @ 61%Fe
‘Exploration Target’ 30-50Mtonnes

Daltons initial resource.
Mt Webber hematite discovery
from helicopter sampling;
650m by 400m @ 63.5% Fe
< 40km to rail, road construction
in progress, Atlas Iron (AGO)
drilling to south

This was from their last presentation:

Iron ore
Daltons; 42 hole first pass drilling program permitted for May ‘09.
Beebyn; permitting 83 hole drilling program for May-June ‘09.
Earaheedy; permitting 128 hole follow up drilling program July ‘09.
Western Ck; detailed aeromag survey May, drilling July ‘09.
Mc Phee Ck; access track to main range, drilling August ‘09.
Yerecoin; follow up drilling, metallurgy July- Sept ‘09.
Anthiby Well; screening testwork for CID upgrade May-June ‘09
Other Projects
Snake Well gold project; development studies and regional drilling.
Partner funded uranium, copper, gold, nickel exploration at Lake
Frome, Blue Rose, Cookes Creek, Yuinmery, Kathleen Valley JVs.


So depending on those results could be some nice additions to the total resource inventory.

 

[stu_lee44]

Kennas,did you see 500k sold at 4pm?Obviously there is a big holder who wants out. But the chart looks good.

 

[shag]

no thats just kennas selling a few to pay off his visa after his month long holiday or the south american 'pharmacutical' bill has come early.

 

[Sean K]

no thats just kennas selling a few to pay off his visa after his month long holiday or the south american 'pharmacutical' bill has come early.

LOL shag.

I didn't see that trade in question, but I am actually looking to pick up some more, not sell any. Could be a host of reasons for someone selling some shares.

We must expect this run on IO companies to stall at some point. I've a feeling we're starting to extend ourselves a bit much in general. Need a decent pullback for this to stay healthy, or we may find ourselves falling off another cliff down the track.

 

[grace]

LOL shag.

I didn't see that trade in question, but I am actually looking to pick up some more, not sell any. Could be a host of reasons for someone selling some shares.

We must expect this run on IO companies to stall at some point. I've a feeling we're starting to extend ourselves a bit much in general. Need a decent pullback for this to stay healthy, or we may find ourselves falling off another cliff down the track.

You can be sure it will keep running because I said goodbye to my Giralia shares. I will be back though - there is just so much to love about this stock. If our govt lets the Asians (japanese/chinese) have the mid-west iron ore region (which is what I think will happen), it does bode well for this little gem. They have at least 50 years worth of mining there in the mid-west (okay - not entirely drilled up, but eventually they will drill it to bits). Earaheedy I'm speaking of.

And as for that overall market pullback, my powder is still waiting for that.

 

[Sean K]

Any idea what's going on with the release today.

Haoma Mining (25%) and Giralia Resources (75%) Significant Iron
Ore Drilling Results at Mt Webber

Area adjoins Atlas Iron Ltd Mt Webber Iron Ore Discovery (See Atlas, June 15/19 ASX Reports)

http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=00960474
http://www.asx.com.au/asxpdf/20090619/pdf/31j4gky2fg1jq1.pdf

Dear Sir,
• Results from initial iron ore drilling of smaller northern hill at Mt Webber, Daltons JV (Haoma Mining - 25%, and Giralia Resources - 75%) include;
16m @ 58.5% Fe, 34m @ 55.2% Fe and 16m @ 56.1% Fe
• Hematite mineralisation intersected from surface.
• Main southern hill (650 metres by 400 metres hematite zone) to be drilled in the next few weeks on completion of access track.

Looks like this will add even more DSO to the inventory and make them more cheap. Or, is that cheaper?

AGO 300@ 60% on the same strike?

 

[stu_lee44]

Not quite sure,but I'm glad I didn't rush in when the announcement out.I guess 75c has heavy sold pressure and iron ore price will go further down because of stupid RIO.From the chart,it's still over 61c,but maybe it will go to test 50c support if there's any bad news tonight.

Ken,are you still holding?

 

[Sean K]

What it means to me is that this JV could host some nice DSO tonnage.

AGOs Mt Webber is a nice resource that they plan PFS by Jul 2010 and mining 3Mt in late 2011. Why not just add on GIRs extention to the inventory? Surely a deal would be looked at.

The GIR target is 650 metres by 400 metres. Lets give it an average depth of 30m.

650*400*30*2.5 = 19.5Mt @ around 55%

Will be pretty handy to add on to the rest of their inventory.

God knows if they'll ever mine any of their projects. More likely to sell them to neighbours for a royalty perhaps.

I sold half at 62 a couple of weeks ago to lock in profits.

 

[stu_lee44]

Kennas,don't be sad.Now it's under 62c,you get a chance to sell high and buy low

As you said,it's only target of GIR.I remembered AGO's price was even 45c low last November.It bounced back only after get rid of uncertainties.The same story will be here.I've been expecting it's back for a while.Obviously some big shareholder is selling.Let's guess what's the next support?

BTW:650*400*30*2.5 = 19.5Mt What does 2.5 mean?

What it means to me is that this JV could host some nice DSO tonnage.

AGOs Mt Webber is a nice resource that they plan PFS by Jul 2010 and mining 3Mt in late 2011. Why not just add on GIRs extention to the inventory? Surely a deal would be looked at.

The GIR target is 650 metres by 400 metres. Lets give it an average depth of 30m.

650*400*30*2.5 = 19.5Mt @ around 55%

Will be pretty handy to add on to the rest of their inventory.

God knows if they'll ever mine any of their projects. More likely to sell them to neighbours for a royalty perhaps.

I sold half at 62 a couple of weeks ago to lock in profits.

 

[Sean K]

BTW:650*400*30*2.5 = 19.5Mt What does 2.5 mean?

It's an average density factor you use for the weight of the material. The same space filled up with cork, will weigh less than the same space filled with water for example. It's just for guestimate purposes.

 

[shag]

its called the specific gravity of the material to be technical and pedantic. weight over volume.
every material has pore spaces in it plus all the rest that affects it.
they will likely heat/dry a set volume, then weigh it.
rocks and concrete has a specific gravity of around 2.5 from memory, water 1.

 

[Sean K]

And then then Yerecoin Mag deposit ann on 21 April

EXCELLENT RESULTS FROM INITIAL DRILLING AT YERECOIN MAGNETITE PROJECT
• Initial wide spaced drilling at Yerecoin magnetite project returns positive results;
o Intersections include;
72 metres @ 32.4% Fe including 56 metres @ 35.7% Fe
50 metres @ 30.3% Fe within 116.3 metres @ 21.7% Fe
• Excellent magnetic separation results from sighter Davis Tube Testwork
Typical DTR concentrate grades > 70% Fe, < 2% SiO2
Typical DTR weight recoveries > 40%
• Exceptionally coarse grind size for magnetite liberation
• Key is existing railway within 1 kilometre

Pretty decent exploration target for this project.

Just one of the many.


ASX ANNOUNCEMENT

EXPLORATION TARGET OF 200 -250 MILLION TONNES FOR EXPANDED YERECOIN MAGNETITE PROJECT

• Initial Exploration Target of 200 million to 250 million tonnes of magnetite mineralisation outlined at Giralia’s 100% owned Yerecoin project.
• Giralia’s March 2009 drilling at Yerecoin highlighted excellent magnetic separation results from sighter Davis Tube Testwork with concentrate grades >71%Fe, < 1%Si02, with exceptionally coarse grind size for magnetite liberation.
• Key is location with existing rail within 1 kilometre.
• Scoping Study commissioned to review development options.

The Directors of Giralia Resources NL ("Giralia" ASX-GIR) are pleased to report an initial Exploration Target* at the Company’s 100% owned Yerecoin magnetite iron ore project. The Yerecoin project is located less than 150 kilometres north of Perth, and within 1 kilometre of existing rail access. An initial drilling program completed in March 2009 intersected moderately dipping magnetite mineralisation, with better intersections of 72 metres @ 32.4% Fe including 56 metres @ 35.7% Fe, and 50 metres @ 30.3% Fe. In May 2009 the Company significantly expanded the Yerecoin project with the acquisition of key adjoining ground from Polaris Metals NL (“Polaris”).


60 c is obviously important here technically. Not buying watching.

 

[Sean K]

Quite an incredible fall from grace from the $2.75 peak which was a bit irrational imo. Nice to say that in retrospect, but geesh.

Could have bottomed, has a number of good IO projects developing and the market has stabilised for the moment. Could be a cup and handle there, but maybe not.

I wonder what's next for these guys? They are pretty much an IO exploration company now, they can't spin off all their assets. Or could they?

I don't think they have any plans to actually mine anything, they're just an investment vehicle really.

Would be a miracle if it broke that resistance.