MGX - Mount Gibson Iron

[YELNATS]

There was a rumour that the quality of MGX's product was not in spec with their offtake agreement.

Hence their customers were not honouring the Letters of Credit they entered into with MGX.

Does anyone have an angle on this one?

Where did you hear or see this? If it's true it could be a crucial development and radically effect its' share price.

 

[peteai]

I would suggest that their buyers were trying to get out of their contracts & have found this to be their best tactic - The Chinese find these 'sort' of tactics quite useful at times.

 

[sean2008]

I also noticed the news "Ceasing to be a substantial holder from PPT". If I am not wrong, PPT was holding 19% of MGX's share. This guy kept on selling MGX. This might be the reason why MGX never had a chance to bounce.

 

[kray192]

The product cannot be guarranteed to be to the letter everything, thats why they have penalty rates and bonus rates, i dont think the quality of the product is in question here.

 

[YELNATS]

I also noticed the news "Ceasing to be a substantial holder from PPT". If I am not wrong, PPT was holding 19% of MGX's share. This guy kept on selling MGX. This might be the reason why MGX never had a chance to bounce.

It's rarely a good thing if a well-known insto is selling down/selling out of a stock. On the other hand if they have ended their selling now, it could relieve some of the downward pressure on price.

 

[nunthewiser]

anyone consider the fact that maybe PPT need to hustle up a bit of cash seeing as ppl withdrawing there cash because of govvy deposit guarntee ?

 

[nunthewiser]

Perpetual Ltd has suspended redemptions for its monthly income and mortgage funds after a federal government guarantee on bank deposits prompted a exodus of funds across the wealth management industry.

Perpetual said effective today it will only allow quarterly redemptions to investors, based on the level of funds available as securities mature in the portfolios.

"Regrettably, the recent introduction of the guarantee on bank deposits and subsequent actions by other parties has incited uncertainty in the market and created a sudden spike in redemptions in the past few days," Perpetual group executive of income and multi-sector funds Richard Brandweiner said.

"In this context, we must act prudently to protect the interests of all investors in the funds."

Mr Brandweiner said Perpetual's action was the most fair and equitable approach given many investors were retirees with modest balances.

The funds affected by the change have approximately $2 billion under management.

They include the Wholesale Monthly Income Fund, Monthly Income Fund, WealthFocus Super and Pension Funds Mortgage Option, WealthFocus Investments Mortgage Fund, Perpetual's Term Fund and Private Investor Mortgage Fund.

Mr Brandweiner said the issue was evolving issue and Perpetual would continue to monitor the situation.

 

[lsj84]

chinese will get so many bargains if other keep on selling. mgx mmx atlas, etc u name it. they got a sovereign wealth fund that is big enough to buy multiple of BHPs.

 

[chansw]

I also noticed the news "Ceasing to be a substantial holder from PPT". If I am not wrong, PPT was holding 19% of MGX's share. This guy kept on selling MGX. This might be the reason why MGX never had a chance to bounce.

The change in substantial holding from PPT lodged to ASX on 25 Sep 2008 indicated PPT had 6.1% only (not 19%).

 

[Agent 86]

Where did you hear or see this? If it's true it could be a crucial development and radically effect its' share price.

I read this on page 24 AFR 21/10/08 - right hand column. It specifically names MGX as being in trouble with shipments.

 

[gav]

I posted this in the FMG thread, but thought it would be relevant here too.

% fall of Iron Ore stocks...

BCI - Down 85%
AGO - Down 84%
CFE - Down 56%
MGX - Down 89%
FMG - Down 78%

 

[Mofra]

Suspension from official quotation pending discussion re: offtake agreements.

Guess we'll be waiting longer for some clarity.

 

[sean2008]

Suspension from official quotation pending discussion re: offtake agreements.

Guess we'll be waiting longer for some clarity.

I think this is good. Today, the market does not look good. If it is a good news today, I doubt it can bounce to a good level.

 

[treefrog]

Suspension from official quotation pending discussion re: offtake agreements.

Guess we'll be waiting longer for some clarity.

nun
what is the local buzz up there - you out and about getting the inside stuff?
if you are in negotiations to pick up a controlling interest at these levels, I'll understand any delay in replying.
cheerz
da frog

 

[nunthewiser]

nun
what is the local buzz up there - you out and about getting the inside stuff?
if you are in negotiations to pick up a controlling interest at these levels, I'll understand any delay in replying.
cheerz
da frog

hahahahahahahah


the best move they could do in my view actually .........still digging it up , still loading a ship actually at berth 5 .........i have stated my average hold in another thread .

nothin wrong with there operations still working , still making a quid .......

anyhoo

 

[chops_a_must]

nun
what is the local buzz up there - you out and about getting the inside stuff?
if you are in negotiations to pick up a controlling interest at these levels, I'll understand any delay in replying.
cheerz
da frog

I hear from someone doing audits up there that there were a few big $$ contracts canned last week.

Central Earthmoving had a $60 million contract torn up last week, which is one I know of specifically.

Cheers.

 

[nunthewiser]

I hear from someone doing audits up there that there were a few big $$ contracts canned last week.

Central Earthmoving had a $60 million contract torn up last week, which is one I know of specifically.

Cheers.

as far as i know central earth not involved in mgx operation . central earth involved at golden grove / oxiana and other local midwest infastructure in cluding main roads .. i could be wrong things may have changed but last time i heard it was Giacci / patience lookin after MGX ....... anyways what would i know in tassie and hopeless with speakin on the phone

 

[chops_a_must]

as far as i know central earth not involved in mgx operation . central earth involved at golden grove / oxiana and other local midwest infastructure in cluding main roads .. i could be wrong things may have changed but last time i heard it was Giacci / patience lookin after MGX ....... anyways what would i know in tassie and hopeless with speakin on the phone

Yus, central do do Golden Grove, and they are being wound down there too.

But could swear they were doing MGX as well. Could well be wrong on that though.

Anyway, the $60 million contract was definitely a MGX bust though, and they definitely had been destroying contracts through last week.

 

[nunthewiser]

Anyway, the $60 million contract was definitely a MGX bust though, and they definitely had been destroying contracts through last week.

you might want to check your source and get that reconfirmed to make sure they are not confused with MIS/MMX and there patience haulage contracts ,

i could be wrong , often am but do tend to hear a lil bit around them parts .

 

[nunthewiser]

more heresay as seems to be the go on these threads but a read of A.F.R dated 15/10 .page 25 might be worth a squiz too