SBM - St Barbara Limited

Yippyio · 15 September 2005

Re: SBM....St. Barbara Mines

FYI - Revised announcement regarding share buy back. Maximum price limit now 0.236. Still more then 53 million shares to go.

el_ninj0 · 18 September 2005

Re: SBM....St. Barbara Mines

Any ideas when this is going to stop? Its like a juggernaut, just keep on going.
Also, im sick of chicken winning the stock tipping with it,

.

twids · 19 September 2005

Re: SBM....St. Barbara Mines

Hi guys, this is my first post here.

Wow, SBM just hit 33c!! Huge volumes. Anyone have any insight as to why this is occuring?

I'm expecting ASX will be asking for a 'please explain' from SBM soon!

:

Yippyio · 19 September 2005

Re: SBM....St. Barbara Mines

Try this scenario;

1. Current assets 300 million and increasing with the price of gold.

2. Current market cap based on share price as at 16th Sept 153 million 0.27

3. 50 million share buy back on market.

Based on the value of their assets the sp should be closer to 0.55 - 0.60 Then if they make any money this year you will have to factor in a PE valution, something like 14.03 for this industrial sector.

I think all of this "should" add up to :2twocents

In the words of the mighty chicken "Make your own Research"

sam76 · 22 September 2005

Re: SBM....St. Barbara Mines

Hey Chicken, It's been a while since I could get back to ASF.

Just wanted to say you're a bloody legend!!

been on this baby since 9cents

and it's due to you pointing it out!

If you get to melbourne, send us a PM I owe you a beer or 3! :bier:

mime · 22 September 2005

Re: SBM....St. Barbara Mines

Last time I checked the PE was around 200 +. How high till the stock is over valued?

Yippyio · 27 September 2005

Re: SBM....St. Barbara Mines

FYI - Recent Article in Mining News

St Barbara leads gold charge

Monday, September 19, 2005
WHILE Newcrest Mining shares closed in on the $20 level, it was Ed Eshuys' St Barbara Mines that was leading the charge of the Australian 'golds' today, with its rise of nearly 26% also giving its shareholders plenty to cheer about after years in the market wilderness.

St Barbara shares had risen just under 26% by midday to 34c, someway north of the 4c or so the stock was languishing at just 12 months ago. Shares have doubled inside the last month.

The strong upward trend follows the restructure of the company last year at the behest of major shareholder Resource Capital Fund, with Eshuys taking the reins from Stephen Miller.

St Barbara is targeting gold production for the 2005-06 fiscal year of 150,000oz at $415/oz. – primarily from the Marvel Loch/Southern Cross operations.

Medium term, the Sons of Gwalia gold assets (acquired by St Barbara earlier this year for $2.3 million cash and $35.7 million in environmental bonds) plus the idle Meekatharra operation, are being eyed as capable of 550,000ozpa at cash costs of $380-400/oz – possibly from September 2007.

Meantime Newcrest reached as high as $19.95 this morning, before retreating slightly to $19.75 in midday trade.

Other risers included Bendigo Gold (up 5.2% to $1.10), Croesus Mining (up 4.3% to 36.5c), Perseverance Corp (up 6% to 35.5c) and Resolute Mining (up 6% to $1.17).

sam76 · 5 October 2005

Re: SBM....St. Barbara Mines

Nasty little correction this morning.

Should be a good test for the recent gains.

Hopefully gold goes for a bit of a run soon...

sam76 · 5 October 2005

Re: SBM....St. Barbara Mines

Found this on another site. Very cool...

WHAT'S DRIVING GOLD ?

Most important, a new investment era began in 1999 and this will be the key to successful investing in the years ahead. This new era is being fueled by massive government spending, the largest debts and deficits the world has ever known, the war on terror, record high oil prices, a 25-year high in commodity prices, growing uncertainty, and the booming growth and demand out of China, as well as other emerging countries.

These factors provide a positive backdrop for gold and so does the weak U.S. dollar, which is poised to head even lower over time. The dollar, for instance, has already lost over 90% of its purchasing power since 1913 and it's dropped 70% since the early 1970s when it stopped having a link to gold, becoming instead a floating paper currency. Throughout history, whenever a currency stopped having a link to gold it dropped, and the dollar has not been an exception.

On the other hand, gold is the ultimate currency and it always has been. From the Greeks to the Romans, currencies have come and gone and historically, not one paper currency has survived. But gold is real money and it's maintained its value over the centuries. In fact, it has a 5000 year track record and no other investment can make that claim.

GOLD'S LOOKING GOOD

Looking at gold's technical big picture on Chart 1, you can see it's in a strong 35 year uptrend. A couple of years ago it broke above its downtrend since 1980, it's now at a 17 year high and its next resistance is at $500. Once gold is able to rise above that level, it's off to the races as there will be no further resistance until gold reaches the 1980 top area. And if this seems extreme, a look at the Dow Industrials compared to gold reinforces this outlook.

Chart 2 goes back to 1919. When this ratio rises, the Dow is stronger than gold and when it declines gold is stronger than stocks. Note that a mega shift occurred in 1999 from financial assets to tangible assets. This was a big deal marking the new era that's been underway since then.

As you can see, these shifts don't happen often. This is only the third time this has happened since 1919 but when these shifts take place, the trend tends to last for years. That was certainly the case in the 1980s and 1990s when the Dow Industrials was stronger than gold, but that's now changed.

Gold has been stronger than stocks since 1999 and it still is. That is, the percentage gains have been greater in gold than in stocks. And since the ratio tends to swing to extremes once a shift occurs and it's still far from the lows, gold will likely continue to outperform stocks for years to come. This tells us the gold universe is where your primary investment focus should be in the years ahead.

WHAT TO DO

If you're heavily invested in common stocks, we'd lighten up and at least balance it out with some gold investments. If you don't have any gold investments, we'd buy. And if you do have some gold, then hold onto it.

Gold is stable and it's an investment you'll want to hold for the long-term. Gold shares are more volatile than gold and while you can make a greater profit in them when gold is rising, they also tend to decline strongly during normal downward price corrections in gold. This makes gold shares more of a trader's market unless you're prepared to hold for the long-term and ride through steep corrections.

We like gold coins which can be purchased through reputable coin dealers. But for those who want a gold surrogate, there's always streetTracks Gold (GLD) and iSharesComex Gold (IAU), which are Exchange Traded funds (ETFs) and they move closely with the gold price. These can be purchased on the NYSE and AMEX just like any other stock.

As this new era unfolds and becomes more obvious, gold is going to become more attractive and, unfortunately, stocks will be less attractive. So make some strategy changes now while it's still early and we don't think you'll regret it.

http://www.gold-eagle.com/editorials_05/aden100405.html

sam76 · 5 October 2005

Re: SBM....St. Barbara Mines

Charts didn't post.

Sorry all.

el_ninj0 · 10 October 2005

Re: SBM....St. Barbara Mines

Anyone notice how similar SBM's chart is to BMX?
Just thought it was worth mentioning...

sam76 · 10 October 2005

Re: SBM....St. Barbara Mines

spot gold's up US $4.30
18 year high achieved

$478.00

here comes $500

raider · 28 October 2005

Re: SBM....St. Barbara Mines

You can see why the sell off is happening if SBM performs according to its
own forecast their loss for the next quarter will be in the vicinity of 10 million
not counting any money that they will spend on share buy back ( maybe up to a million ). So even with the sale of South Laverton for (4 million cash ) their loss could still be up to 7 million and that is if their forecast is right.

chicken · 28 October 2005