MOL - Moly Mines

[imajica]

a very impressive resource update!!!!

these guys now have JORC compliant resources worth billions!!

market cap: 48 million (what the?????????????)


Moly Mines Limited (ASX code: "MOL") is pleased to announce a further major upgrade to the resource at the
Spinifex Ridge Molybdenum/Copper Project, located in the Pilbara region of Western Australia. The Company's
recently completed, 15 month drilling campaign has now converted a significant portion of the resource into the
Measured category under the JORC Code, sufficient for the Company to consider the resource to be at a bankable
level.

The Measured resource has increased from 61 million tonnes to 187 million tonnes, a 200% increase as detailed
below.

The new JORC compliant resource using a 0.03% Mo cut-off is 500 million tonnes @ 0.06% Mo and 0.09% Cu.

This represents a near doubling of the resource of 281 million tonnes as it stood prior to the commencement Moly
Mines' drilling program in April 2005. The deposit remains open at depth.

A breakdown of the new resource is as follows:

o Measured - 187 million tonnes @ 0.07% Mo and 0.10% Cu;
o Indicated - 282 million tonnes @ 0.05% Mo and 0.08% Cu; and
o Inferred - 31 million tonnes @ 0.05% Mo and 0.07% Cu.

The upgraded resource confirms the project's status as an advanced world class molybdenum project and is a
significant milestone in the Bankable Feasibility Study ("BFS"). The completion of resource drilling allows the
Company to commence detailed mine planning with optimised pit designs.

This new resource has been independently calculated by engineering and mining consultants Steffen Robertson &
Kirsten (Australasia) Pty Ltd ("SRK") using a database containing 137 holes for 44,718 metres, including the 99
holes drilled by Moly Mines. Data has been verified and twin holes were used to confirm the compatibility of historical
data with holes undertaken by Moly Mines.

Spinifex Ridge now has a significant resource inventory of:

o Molybdenum - 280,000+ tonnes (~620 million pounds)
o Copper - 430,000 tonnes (~950 million pounds)
o Silver - 850 tonnes (~29 million ounces)

 

[ALFguy]

Yeah, very nice, I got in on this following the announcement.
Not much volume, but certainly worth holding some.

 

[mmmmining]

Anyone still follow MOL? Recently several MOL stocks in TSX went up a lot, but this one is still going nowhere in a hurry. Since it listed on TSX, I hope it will take some leads from there. So far there is no relationship. MOL.TO is worth CAN$1.2. In AUS$, it should be about AUS$1.36.

 

[VENMan]

I bought in at $1.20 on TSX,
After a positive BFS what do any of you think the odds of financing are?
100% or much less?

Best of luck to all

p.s I'm new to this site so i may take a while to respond. Thanks

 

[mmmmining]

I bought in at $1.20 on TSX,
After a positive BFS what do any of you think the odds of financing are?
100% or much less?

Best of luck to all

p.s I'm new to this site so i may take a while to respond. Thanks

I wish I can trade stock in TSX easily. There are a lot of good stocks I want to own, such as LAM, SXR, MGA, UUU, FRG...

For MOL, there is almost zero interest in Australian. It is a good thing before everyone love it.

I don't think financing is a problem. Only the term and condition to be worried. In worse case, they can sell stocks to shareholders.

 

[VENMan]

In Canada most recently, there is a company Blue Pearl (BLE) which went from about 60 cents to $9.80 cdn. They had about the same amount of moly as MOL but the grade was 11% per tonne (MOL 6%, i'm not sure what difference this makes perhaps you would know?) anyways, BLE bought a Canadian producer Thompson Creek in BC. You can see some of this information in Moly Mines presentation under comparisons.
Both the pres of Moly Mines and Blue Pearl were on a popular TV show in Canada at the same time ROB TV (Report on Business). After that program many investors myself included bought into Moly Mines.

This is why i like moly mines. In many reports they keep saying that Moly Mines is one of the top 3 largest moly mining projects in the world. The first is Idaho General Mines (GMO, AMEX) 15.4 tpy, the second Moly Mines (MOL, ASX,TSX), 11.41tpy and the third InteMoly Greenland, 10.2. I can't buy the other two so i bought Moly Mines. Plus Worley Parsons is doing the BFS. WOR is a $4 billion dollar company and a ASX100 company with over 14,000 employees in over 30 countries so if they say Moly Mines is good i think more than a few Bankers will listen. Also, i have read that High Demand and limited roasting capacity is the reason for higher molybdenum prices. Apparently in 2005 some 24 moly producing wanna bees, with a combined capacity of 105tpy was projected (this includeds the top three) but only six roasters projected with a combined capacity of only 42 tpy.
Now when Moly Mines came out and announced Worley Parsons was appointed to manage the BFS they also said the scope of the BFS has been broadened to include a seperate but concurrent feasibility study on the merits of constructing a Roaster/Converter facility. So that's why i also like this stock.
It made me start to think about other companies in Australia that might want to send their moly to Moly Mines roasting facility and the following potential companies i found: Havilah Resources, Thor Mining and Queensland.

i don't know if i'm off in my way of thinking. Perhaps you could call Moly Mines and ask them a few questions and reply back. Although they have an office in Toronto i don't think it's set up yet but when it is i'll call them.
This new director they got seems top notch as well. He looked after investment relations at Normandy from 1997 until 2002 when Newmount bought them out. I had a look and Newmount paid $2 Billion for Normandy. Also he is currently Investment Relations VP for a TSX company FNX mining which closed on Friday at over $18 CND. I had a look and back in December of 2000 someone could of bought that stock for 25cents CDN.
So that's why i like this new director for Moly Mines.

Well that's about all i got, that's my 2cents!
Remember to always do your own homework and this is only what one guy thinks.

Best of look to all! Kind regards

 

[mmmmining]

i don't know if i'm off in my way of thinking. Perhaps you could call Moly Mines and ask them a few questions and reply back. Although they have an office in Toronto i don't think it's set up yet but when it is i'll call them.

Obviously you did a lot of research. Good on you. At this moment, I am pro-occupied by uranium stocks. I own some MOL just to get moly covered, and like the story of booming oil/natural gas pipeline business, which will lead to increasing consumption of moly.

I will call the company to get your questions answered in a week or two. Good luck with MOL.

 

[VENMan]

Hello everybody,
This guy should of bought yesterday;
---------------------------------

Anybody know anything about this new director. Mr Peter Thomas. I guess he works at FGM and he helped get them A$3billion in financing.
Could this be the only reason this stock took such a big jump?
or Could there be something else in the works?

I'll check back in a hour for any comments!

Best of luck to all

 

[VENMan]

Could SOmeone please give me some information regarding the Distance from Fortescue's Christmas Creek Deposit to Moly MInes Spinifex Ridge Deposit and then the distance from Spinifex Ridge to Port Hedland?

Does anyone also know the distance from Spinifex Ridge and the new Railway being built by Fortescue?

Thank You so much!

 

[Kauri]

Could SOmeone please give me some information regarding the Distance from Fortescue's Christmas Creek Deposit to Moly MInes Spinifex Ridge Deposit and then the distance from Spinifex Ridge to Port Hedland?

Does anyone also know the distance from Spinifex Ridge and the new Railway being built by Fortescue?

Thank You so much!

VenMan
Try this map...the proposed MOL mine is..from memory... between Yarrie and Marble bar..proposed FMG rail is the blue corridor..
Cheers

http://www.ncc.gov.au/pdf/DeRaFoFR-003.pdf

 

[mmmmining]

It will be a hard work to connect dots between FMG and MOL. Hope you can find the answer. I just hold some to have some moly exposure although it is not fashionable here in Aussie land. It may have its day someday.

Take the rare earth metal for example. A company called LYC has been up for more than 50% within 30 days. I used to trade LYC a bit. My last out is $0.40. I still have the order to buy back @0.375. (actually it just missed by 0.5 cents ) No chance in a short time frame.

 

[VENMan]

kauri, thank you for the map, it's a great help
mmmmining, best of luck in your trades.

 

[Kauri]

kauri, thank you for the map, it's a great help
mmmmining, best of luck in your trades.

Mr Tapp also confirmed Fortescue may launch a fresh application to the National Competition Council to have BHP Billiton’s Goldsworthy railway “declared” a service under the Trade Practices Act and opened to other users.

Last month the Federal Court ruled that neither BHP Billiton’s Goldsworthy nor Newman railways should be exempt from national competition laws, while the Australian Competition Tribunal is expected to hear Fortescue’s appeal against the Federal Government’s refusal to declare the Newman railway before the middle of the year.

The Goldsworthy line goes from Port Hedland through to Yarrie. Its the old GML line for Goldsworthy and Shay Gap. Not too far from MOL..

 

[VENMan]

As we all know, Mr. Thomas from FMG became a new director in Moly Mines.
Moybdenum is used in the making of stainless steel and FMG from my understand makes steel. I'm speculating but I think Moly Mines and FMG could do business together. I think Mr. Thomas could go to his contacts in China and get sign contracts for the molybdenum Moly Mines is going to produce which would help secure financing for Moly Mines. The railway from Yarrie to Port Hedland is a very good point. Please post back what the tribunial has to say. I think many Canadian investors see Moly Mines as a $3 dollar stock in 12months.

What do you guys think?

20million pounds of moly at $25 a pound is $500 million in annual sales.

If Moly Mines needs $400 million, do any of you think Moly Mines would have any problems getting the loan?
I think a bank will use $12.50 a moly pound. So would a company be able to get a $400 million dollar loan if they could get $250 million in sign contracts in China for their product?

Does anybody have a bankers point of view? Thanks

 

[YOUNG_TRADER]

Big spike today on no ann

I hope its a T/O and while I'm not a holder of MOl, I am in CYL a very early stage Moly Player, its where Moly was 12-18months ago, with MOL gone CYL will be the only pure Moly play left I think

 

[nizar]

Big spike today on no ann

I hope its a T/O and while I'm not a holder of MOl,

LOL good, i was gonna kill you if you held it!
Its not fair for one person to get all the breakouts!!!

LOL joke...

 

[nogutsnoglory1]

I have posted a video of Mr.Fisher at the 2007 PDAC in Toronto from Tuesday.
http://www.istrikeinvestments.com/index.php?option=com_frontpage&Itemid=1
enjoy, the interview was great.

Landon

 

[bvbfan]

This has gone parabolic here and not one post...
Oh well

Had a few good trades from 1.40 to 1.60's now wishing I hadn't sold at 1.60's last time

 

[YOUNG_TRADER]

Finally getting the attention it deserves, their Moly project is worth heaps!

If you wish you'd be on the MOL train then CYL is worth a look, its where MOL was 18months ago in terms of its Moly project

 

[bvbfan]

Already in on CYL (O)

Wish they would concentrate on Moly instead of trying to put their finger in the Uranium pie

Few of the other Moly plays in Canada, ROK, AUA getting support from the Sprott Moly fund that's planned

There are a few others with moly exposure I came across just can't remember who (THR as a secondary to the tungsten)