IMA - Image Resources

[Tukker]

I understand what you`re saying tukker.Iron ore makes steel, oil makes fuel and lubes, uranium makes power and gold ..... well it just sits there and is worth a lot per ounce.

But heavy metals ??? woss at?

Well i think to be fair, Heavy Minerals does have a significant place in the future. Its not that attractive right now compared to coal, oil, and gold , but as far as a takeover target I think it has potential. A company wanting to diversify into the next commodities cycle would be keen to what Image has found, and with the MD loosing most of his stake in the Opez fiasco It could be an easier target than others.

We saw Beemax bought up a few weeks ago by a foreign entity (too lazy to check who), Rio Tinto has shown interest in the sector. See what happens.

 

[grace]

Well i think to be fair, Heavy Minerals does have a significant place in the future. Its not that attractive right now compared to coal, oil, and gold , but as far as a takeover target I think it has potential. A company wanting to diversify into the next commodities cycle would be keen to what Image has found, and with the MD loosing most of his stake in the Opez fiasco It could be an easier target than others.

We saw Beemax bought up a few weeks ago by a foreign entity (too lazy to check who), Rio Tinto has shown interest in the sector. See what happens.

It has been a tough year for Image this year. Fundamentals remain the same, the SP didn't though. I still hold, very painfully. Thought $1 would see a bottem. Wasn't to be. They are the biggest mineral sands holder in Australia on acreage. The resource is only going up. If the Chinese keep building, the demand remains.

 

[ChomChom]

I think right now everyone is just not interested in mineral sands. Energy sector has taken most of the attention and while image is a good mineral sands explorer, mineral sands just arent on the menu right now. I think people are playing games with when to start buying the banks or when to switch from oil to uranium again or gold or silver or anything but mineral sands. A few brokers had this to be the year for Image, it was mentioned as a takeover target a few places including ASF as well. Fundamentals are there. Market cap less than 100 mil now, with a first resource worth 1.2bil. I'm a believer. But even a premium at 30 cents would suck hard, not to say i think it will get there; just abstract. My overall average buy price is 1.34 so I'm feeling the pain already.

With 40grand invested I am not selling until the fundamentals change.

30 cents doesn't look too far away now
Given there's no buyer the bottom could be anything... with four times less invested and a lower buy price, I'm feeling the pain already!
Even if there was a takeover, like for Beemax at a 30% premium, it would not be enough to recover...
Fortunately my other shares in my portfolio are doing well but this one is my dog of the year... still holding though

 

[grace]

30 cents doesn't look too far away now
Given there's no buyer the bottom could be anything... with four times less invested and a lower buy price, I'm feeling the pain already!
Even if there was a takeover, like for Beemax at a 30% premium, it would not be enough to recover...
Fortunately my other shares in my portfolio are doing well but this one is my dog of the year... still holding though

Perhaps it is just end of tax year selling? One would hope so anyway. At least Image have plenty of money in the bank to carry on for the year, and possibly into next year (+$6 million), as they wouldn't want to be raising money at these levels!

 

[Tukker]

Sadly thats as low as i can afford to go. Other opportunities screaming at me, i can't justify sitting in Image any longer. Maybe when things start to move again ill buy back, but for now i can't sit on my hands. Good luck to those still holding.

 

[ChomChom]

You've sold yesterday at 0.77 have you? I think I've seen your SELL order (more than 29000 shares)... I've sold mine too, hmmm not sure if I would buy back anyway...

 

[grace]

You've sold yesterday at 0.77 have you? I think I've seen your SELL order (more than 29000 shares)... I've sold mine too, hmmm not sure if I would buy back anyway...

Yes, one wonders why we didn't all sell close to $3! It certainly has been a herd mentality with this one.

News ahead though, scoping study due July, and Bidaminna drilling. Should be some good news just around the corner.

 

[Tukker]

Yes, one wonders why we didn't all sell close to $3! It certainly has been a herd mentality with this one.

News ahead though, scoping study due July, and Bidaminna drilling. Should be some good news just around the corner.

News hasn't seem to matter with Image, imo. The market is just preoccupied with coal and oil, not enough capital to spend on mineral sands when its really not time for them to shine. If things start moving again ill jump back in, but right now i need to make money, not sit and wait.

 

[grace]

Image seems to be moving up. Perhaps there was a lot of tax loss selling over the past few weeks. We were in the 70's, now in the 90's with the sell side drying up. Has been a long time coming though. Let's hope it continues upwards. I'm holding. Here is a chart. Next resistance looks to be $1.30, then $1.50.

 

[grace]

Here is a bit of talk from ANZ's barrister on the Opes Prime saga. Now, just perhaps ANZ will settle instead of leaving the class action hanging over their heads. Just how much will they settle for? George could get some money back. That would be nice, perhaps he might start buying on market again? Can only hope and speculate I guess.

The bank first indicated publicly that it wanted to reach a settlement deal when its barrister Philip Crutchfield said a class action would not be an "appropriate vehicle" to reach a conclusive deal.

A creditors meeting is scheduled on July 30, after which a clearer idea on ANZ's position is expected to be announced.

http://www.businessspectator.com.au/bs.nsf/Article/ANZ-eyes-Opes-Prime-settlement-G5LUR?OpenDocument

 

[grace]

I really am shaking my head about the slow sustained fall on this one. From $3 to 70 cents, yet the company only ever comes out with good drilling results.

I think the selling of late has been those shareholders who picked up some of the 6 million shares from ANZ (via Opus Prime). At the time the sp was $1.50 but the new investors got them for a discount at $1.15. I can only assume the sell off has been those shareholders who don't have any clue about the value of this company, and were in for a quick trade. As enough of them bailed out, and the company has always been illiquid, the share price has continued on a downward spiral.

However, one of those hammers (tech's can correct my naming of it) has formed, so hopefully it is the sign of a reversal.

The company has money in the bank for all drilling this year, scoping study due any day, etc. Very little of their ground has been drilled. They will be the biggest mineral sands miner in Australia one day.....just not sure who will be at the reigns though.

 

[Tukker]

Grace you still holding on? I am looking at the chart every day looking for any support, none to be seen. Would like to see some at 40 or 30 cents for those guys who may still be holding from 2004/5/6/, I may jump back in then. Nothing has changed with what Image has found except its alot cheaper now. Market cap of 39 mil, large amounts of drilling left to do. Modest initial JORC but barely scraping what they think they actually have. 6 mil in the bank, a nice chunk to continue drilling and studies for at least another year or 2. Not too sure what George is up to maybe there is some chance he will buy back in.

ILU is looking better, and this maybe the right timing for Image. Still a prospector with Iluka ambitions, Image could turn miner just in time to capitalize on a more market interested environment. Buy on the low, sell on the hype.

I still believe in the business model of image, I just need to make some cash while it takes a breather.

Challenges i see:

• Refinancing in a tough market
• George loosing his shares and some leverage in the company's corporate affairs
• Keeping takeovers at bay long enough to fully show their potential

On the watchlist for now.

 

[grace]

Grace you still holding on? I am looking at the chart every day looking for any support, none to be seen. Would like to see some at 40 or 30 cents for those guys who may still be holding from 2004/5/6/, I may jump back in then. Nothing has changed with what Image has found except its alot cheaper now. Market cap of 39 mil, large amounts of drilling left to do. Modest initial JORC but barely scraping what they think they actually have. 6 mil in the bank, a nice chunk to continue drilling and studies for at least another year or 2. Not too sure what George is up to maybe there is some chance he will buy back in.

ILU is looking better, and this maybe the right timing for Image. Still a prospector with Iluka ambitions, Image could turn miner just in time to capitalize on a more market interested environment. Buy on the low, sell on the hype.

I still believe in the business model of image, I just need to make some cash while it takes a breather.

Challenges i see:

• Refinancing in a tough market
• George loosing his shares and some leverage in the company's corporate affairs
• Keeping takeovers at bay long enough to fully show their potential

On the watchlist for now.

Hi Tukker, yes Image is the one that I can't stand looking at my screen to see how bad it has done for the day.

Fundamentally, they are so undervalued.

My take on the share price.....well, George wants the SP to drop to levels so he can start buying back in. Soon, he may get a settlement from ANZ (opes prime) in relation to his 6 million shares. He has said on ABC TV that he will buy back, and build up his stake in Image, but not straight away. I think that George will get some sort of out of court settlement from ANZ. I hope that is soon. There are a few mentions here and there about that, as ANZ don't want the many year battle in relation to class actions sought, hanging around to depress their share price.

In the meantime, the investors who picked up George's shares at $1.15 have been selling them off, dribble by dribble, with a sustained but annoying downward trend.

Catalyst for reversal, well the dribble stopping, George obtaining a settlement, George starting to buy Image, the scoping study due on Cooljarloo/North....but please, no takeover, it is fundamentally undervalued at present.....please stay away.

 

[treefrog]

Grace you still holding on? I am looking at the chart every day looking for any support, none to be seen. Would like to see some at 40 or 30 cents for those guys who may still be holding from 2004/5/6/, I may jump back in then. Nothing has changed with what Image has found except its alot cheaper now. Market cap of 39 mil, large amounts of drilling left to do. Modest initial JORC but barely scraping what they think they actually have. 6 mil in the bank, a nice chunk to continue drilling and studies for at least another year or 2. Not too sure what George is up to maybe there is some chance he will buy back in.

ILU is looking better, and this maybe the right timing for Image. Still a prospector with Iluka ambitions, Image could turn miner just in time to capitalize on a more market interested environment. Buy on the low, sell on the hype.

I still believe in the business model of image, I just need to make some cash while it takes a breather.

Challenges i see:

• Refinancing in a tough market
• George loosing his shares and some leverage in the company's corporate affairs
• Keeping takeovers at bay long enough to fully show their potential

On the watchlist for now.

generally agree tuk; notice strong S/R line at 40c; not much below that; no noticeable support at current 50c

 

[grace]

Media reports of opus clients to receive 70cents in the $. Personally don't think it will be that high, but it will be very interesting...even if George were to get 30c in the $, at a sp of 50c, he could buy back without losing too much, (after all, he was constantly buying over the $2 mark in recent times). Not sure how you would get 6 mill shares on market, but, I think it would put a stop to this downward pressure.

Settlement could be close to several weeks away per media report. We might just see some positive light on the sp of Image then me thinks.

http://www.businessspectator.com.au...nt-reached-on-Opes-yet-ANZ-HEBVK?OpenDocument

 

[grace]

Drilling in the Eucla Basin starts end of Aug 08, on the 'mother' of all deposits which measures 28km x 9km. Diatreme (who have a small holding next door) have drilled up nice grades high in zircon. Image has 99% of the mineral though next door, as you can see by the image below.

Whilst mineral sands remains the unloved mineral, perhaps more from Iluka's reputation over the past few years, I'm still optimistic about the future demand for mineral sands, given the Chinese like using white tiles in nearlly everything they build. I'll keep holding Image, with a longer term view of what may come.

Diatreme Resources (DRX) has announced an Inferred Resource estimate for Cyclone of 1.8million tonnes of heavy minerals containing 740,000 tonnes of zircon (DRX ASX release 15 February 2008). Mineralised drillholes along Image’s tenement boundary and the strike of the strandline strongly indicate that the resource extends into Image’s tenements. Much of the drilling is aimed at delineating these extensions.

 

[grace]

Thought I would post up a three year chart. Looking close to a technical bottom to me. Come on George, show us your money...please....

 

[grace]

Good to hear some farm-ins on some of the gold blocks with some money.

The Image tenements occur on the 300km-long Tropicana-Beachcomber trend, where AngloGold Ashanti Australia Ltd (AGA) and Independence Group NL (IGO), have identified an initial 4 million ounce gold resource at Tropicana (IGO ASX release 3 December 2007). In addition to Tropicana, AGA and IGO have identified numerous other gold prospects as shown on the attached map. The Tropicana-Beachcomber trend is interpreted to be located on the collision zone between the Yilgarn Craton and the Fraser Range Mobile Belt and is considered to have potential to be a new Australian gold province.

Under the terms of the agreement AGA and IGO may earn a combined 72% interest in two contiguous exploration licences by sole funding $2million of expenditure within four years. Subject to completion of the necessary permitting, it is anticipated that AGA and IGO will commence follow-up sampling and drilling during the next three months. Image is encouraged by the results of its sampling at Bronco Plains and by the opportunity to participate in exploration of this emerging gold province.

Now George needs to get on with proving up more of those mineral sands.

 

[Tukker]

Cristal Global Announces TiO2 Price Increase
Thursday September 4 6:49 AM
Cristal Global (Cristal) announced today price increases applicable to all of its titanium dioxide (TiO2) products sold in the Asia Pacific region. Effective 1st October, 2008, or as permitted by contract, prices for all rutile and anatase Tiona(R) and Cristal titanium dioxide (TiO2) products sold to all end-use markets in Asia Pacific will increase by US $300 per metric ton........

These increases are urgently required to partially offset the unprecedented rise in raw material, energy and transportation costs which have severely impacted the sustainability of the TiO2 business.

Source: http://au.biz.yahoo.com/080305/43/1mzb8.html

Rising Rutile prices you say?. hmmmmm now where was that company with a decent JORC compliant resource like that?

 

[grace]

Mineral sands getting a bit of coverage in the China Economic Observer...

Based in Perth, Western Australia, Image Resources is an inventive, high-tech mineral exploration company with assets in gold, nickel and mineral sands. With their industry-leading extensive aeromagnetic database and expertise in magnetic mapping, Image has a strong advantage in locating valuable resources. Their successful exploration methods have led to the establishment of 3 additional companies; Magnetic Minerals, Meteoric Minerals and Emu Nickel which recently listed on the Australian Stock Exchange (ASX) and is working on a potentially high-grade nickel deposit, near Kalgoorlie, Western Australia.

Image has the most dominant presence in the North Perth basin with 2,050 square kilometers, making them the largest tenement holder in the area with a specific focus on mineral sands resource development.

In May of 2008 Image announced a maiden resource of 6.4Mt of Heavy Mineral(HM) in the North Perth Basin of Western Australia. This was made up of 28.7Mt averaging 5.5% HM in four separate shallow strands suitable for Dry Mining and 232.7Mt averaging 2.1% HM in three separate deposits suitable for Dredge Mining. The in ground value is nearly US 1.2 billion and contains 4,500,000 tonnes of ilmenite, 545,000 tonnes of zircon, 340,000 tonnes of rutile and zircon plus 390,000 tonnes of garnet.The ilmenite from this resource is suitable for processing to synthetic rutile and also sulphate ilmenite. Due to increasing demand from China, the sulphate ilmenite price has risen from US 85/ton to more than US 100/ton.

Image utilizes aeromagnetic data, a specialized guiding tool to support their mineral exploration. Sometimes depending on the type of resource, this tool can impressively locate direct detection of mineralization. George Sakalidis, Managing Director notes, "There's a direct relationship between mineral sands and the magnetics. If you're looking for mineral sands you may be able to see them directly from the magnetics but for other minerals, such as nickel, gold and other commodities there's no direct relationship. So then you're looking for a fault sign or some complex structural zone, and you have to be able to recognize that, some people may not know what to look for."

But this is an area which Image has the expertise in locating these prospective locations. Sakalidis is a highly experienced geophysicist, a great asset for the company's productivity and effective approach to exploration.

Sakalidis is looking forward to business opportunities with China, "We see that China has very strong interest in one of the ilmenite products, as well as zircon. We think we can supply their sulphate ilmenite, which is what the Chinese have strong demand for. There are three mines near our resource but two of these mines are huge, they are world class mines and 20% of the world's zircon comes from just north of Perth where these are located. We expect the resource base to increase as only 60km of magnetic HM targets have been tested to date of a total of 300km. We think we have enough resources to supply China for their needs. We think potentially we'll have a world class mine big enough to supply 10-15 years."

Sellers have been drying up lately. Have we turned the corner, with drilling near Diatreme results imminent?