SDL - Sundance Resources

[LRG]

a bit like trand trading on a massive scale maybe?

are they smart enough to trade the channel on such a massive scale?

any way as i said before I love this one as a long term hold and am building my holdings when i can on the dips.

good luck to all!!

 

[sowhat61]

mmmmm Looks like it could b having another dip....
Mayb a good time to increase my holdings.

Any1 have any opinions about SDL long term.. where its goin etc
and the stability of cameroon....

What do they have goin for them so far?????

Holing and increasing my stake.

 

[mayk]

A progress report is due this week. Will give a rough furture direction plus progress to date.

SDL is a volatile stock to say the least, but over long term 5-10 years will reward its current shareholders.

 

[Jewels]

Good evening fellow Sundance resources shareholders. Kicking myself that I didn't pick up any stock yesterday at 21.5 cents, had the order in just didnt stay there long enough. Once again Sundance is holding up well to the turmoil of international markets. As I told you earlier the Berlin conference is coming up at the end of the month. But for those who don't already know, you may find the following article very interesting.


Listed for Investment

Cameroon Tribune (Yaoundé)

15 September 2008
Posted to the web 16 September 2008

Lukong Pius Nyuylime


The steering committee met in its second session in Yaounde last Thursday.

The Director of construction at the Kribi Deep Sea Port, Louis Nlend Banack, last Thursday announced the short listing of 16 enterprises for the construction, financing and exploitation of the port. Meeting in their second session in Yaounde, members of the Kribi Deep Sea Port Steering Committee made an assessment of the milestone covered in the implementation of the project and the way forward.


Steering committee members had as task to make a selection of investors, enterprises and operators that have shown interest in participating in the development of the port. "Our objective was to choose private partners who have to work in association with the public partners", Nlend Banack told pressmen at the end of the meeting. The process, he said, is made up of several stages, call for the expression of interest launched in July, short listing of partners and signing of agreement with them. "In August we received 24 applications from enterprises, some of which include very renowned international investors in the port sector and following the analyses so far made, the committee has short listed 16 enterprises for the continuation of the process", he said.

The Director of construction said the main task now will be to proceed with the selection of partners. This, he said, will be followed by the competitive dialogue phase and it is after this phase that agreements will be signed with the partners that have been finally retained. "All these should be completed by December this year", he stated.

At the time of the meeting, eight bureaux had been short listed in the process to recruit an adviser in engineering. A restricted call for tender was launched to that effect on 29 August. The results are awaited on 30 September. As far as the final selection of enterprises concerned with construction, financing and exploitation is concerned, a restricted call for tender will be launched on 19 September.

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The good news about the project is that most of the companies wishing to participate in its development are willing to finance their activities. "The applications we have received show that the applicants are ready to finance the project", Nlend Banack said, underscoring the fact that it is a project that has to be executed within the framework of the private-public finance partnership under the Build-Operate-Transfer (BOT) system. Effective construction of the port, he said, is expected to begin in September/October, 2009. "All is being done to ensure that the population to be displaced by the port is compensated on time before work begins", he concluded.

Note the 30th of September the announcement of Engineers, same day as the Iron ore conference presentation in Berlin.
All the best folks

 

[golfmos123]

A progress report is due this week. Will give a rough furture direction plus progress to date.

No sign of report. Given that SDL leaks a lot usually, no sign of a run leading to a good report either. Are you sure that there is something due?????

 

[mayk]

No sign of report. Given that SDL leaks a lot usually, no sign of a run leading to a good report either. Are you sure that there is something due?????

I am sorry, the report is already published. here is a link
http://www.sundanceresources.com.au/media/14541/quarterly report - final.pdf

Although it does not contain the two latest announcements of increase in DSO resources.


Also some good news on the port progress front. good to see a big player name like RIO in there....
http://www.reuters.com/article/rbssIndustryMaterialsUtilitiesNews/idUSLI61284320080918

 

[Jewels]

Good afternoon fellow Sundance resources shareholders. For all those who are interested Sundance have released their 2008 financial report. All 71 pages of it. I've had a quick glance, certainly nothing to get excited about. Operating loss for the year of $8.8 million (what do you expect it's an explorer), and about 125 million shares issued to "sophisticated investors" at 40 cps through out the year. Report available on the ASX website yet to be downloaded on Sundances website.
Presentation in Germany tomorrow (give or take a few hours for time/date lines) Lets hope they sock it to them.
Also big buying opportunity for SDL tomorrow, as I purchased more shares today!

 

[mayk]

Also big buying opportunity for SDL tomorrow, as I purchased more shares today!

Me too! SDL and GBG ironically withstood todays fall. I guess they have found their bottom, and have shook the weak investors.

Anyway the presentation in Germany is something to look forward. Hopefully tomorrow will be an up day

 

[Jewels]

:

Also big buying opportunity for SDL tomorrow, as I purchased more shares today!

:
If only I could get it this right all the time, still picked up a few more, I believe in dollar cost averaging.
Now seriously folks, with the crisis in world credit markets at the moment, does anybody have any informed opinions on how this is likely to impact on Sundance? Is it possible that the whole project could be delayed or even shelved?
Any one heard how the presentation in Berlin was received?
Ciao

 

[Jewels]

Sorry don't want to hog the blogg so to speak, but thought fellow Sundance resources shareholders would be interested in the following article out of Hong Kong by Reuters, I can feel an annoucement of some substance coming on, how about you guys?


UPDATE 1-Asian steel giants eye Sundance Cameroon unit-source
Tue Sep 30, 2008 7:05am EDT
By Tom Miles and Michael Flaherty

HONG KONG, Sept 30 (Reuters) - Australia's Sundance Resources (SDL.AX: Quote, Profile, Research, Stock Buzz) is seeking a strategic partner for its more than $3 billion Cameroon iron ore project, sources familiar with the matter said on Tuesday.

One source familiar with the Mbalam project said the world's top steel company ArcelorMittal (ISPA.AS: Quote, Profile, Research, Stock Buzz) and South Korea's POSCO (005490.KS: Quote, Profile, Research, Stock Buzz) had both shown interest.

"I think they're being quite smart about showing everyone the project and getting everyone a good understanding of the project," the source said. "The Indians have been to have a look. Arcelor and Posco have done site visits."

A source close to the company confirmed it was looking for a strategic partner.

"We're anticipating that groups wanting to participate would want a stake in the project to support the delivery of the product," the source said.

A spokesman for Sundance declined to comment. Nobody at POSCO was immediately available to comment. Arcelor spokesman Jean Lasar also declined to comment.

"The official position is that we have a growth strategy based on product, geography and value chain," Lasar said. Continued...

The project has potential production of 35 million tonnes a year but is likely to need $3.3 billion of capital investment, UBS mining analyst Jo Battershill said in a report on Sept 23.

Sundance announced a 50 percent increase in the size of the Mbalam resource earlier this month, taking it to 1.75 billion tonnes at a cut-off of 40 percent iron content.

"Mbalam is clearly a very large deposit (and we believe further drilling will result in it becoming bigger) with the potential to be a significant iron ore operation, and we believe this would be attractive from a corporate perspective," Goldman Sachs JBWere analyst Stephen Gorenstein said in a note to clients on Monday.

"However, we note there remain risks in terms of financing, infrastructure and country risk that need to be addressed before it can reach its potential," he added.

Sundance's top shareholder, with a 19.74 percent stake, is Australian mining entrepreneur Ken Talbot, who earlier this year sold out of another of his projects, Macarthur Coal (MCC.AX: Quote, Profile, Research, Stock Buzz).

That project now has three large investors - Arcelor, POSCO and Citic Resources (1205.HK: Quote, Profile, Research, Stock Buzz), a Chinese state-controlled firm that has invested in several projects alongside Talbot. (Editing by Sue Thomas

Also I can highly recomend an interview given By Don Lewis to Corporatefile.com.au published on the 28th of May 2008, a bit old now I know, but it explains pretty much everything you need to know to make informed decisions.
http://www.corporatefile.com.au/default.asp?Mode=Report&DocID=13999
Hope this info helps guys!

 

[mayk]

Just want to play devil's advocate... (I hold this stock in between).

This stock is not going anywhere in the short term, it always starts a half hearted run, and then goes back to sleep. But the good news is this can be a sleeping giant.

As you have mentioned Talbot and now reported Mittel connections seem to suggest that the financing can be arranged, although not easily in the current crisis driven market.

Medium term I do not see this stock going anywhere until late 2009 when some solid information about financing and a complete layout design of the project will be visible.

Today was a day which gave me other opportunities (read BHP ), so I did not pick this baby up.

But important thing is now that resources have been proven, this time SDL is not hit like the last time when it went to around 19c and stayed there for sometime.

Sadly SDL feels at home in the 20-30cent range, and I am just happy to trade this range.

 

[The Muffin Man]

After reading the above news from Hong Kong, I decided to have a browse of the Arcelormittal website, just to see what that company was all about. Their website makes for interesting reading.

In particular, I read their mining section with much interest. I'll post what I found interesting;

................................................................................................

"ArcelorMittal is focusing on its mining activities, in accordance with its integrated business model. This is part of a strategy to actively develop the raw material base, thereby raising the level of iron ore self-sufficiency to 75%.

The Group is today one of the largest producers of iron ore worldwide, for capture consumption, with mining activities in Algeria, Bosnia, Canada, Kazakhstan, Mexico, Ukraine and the United States.

In 2007, approximately 46% of the Group's iron-ore requirements and 13% of its coal requirements were supplied from its own mines or via long-term contracts.

Its access to high-quality, low-cost raw materials gives the Group a valuable hedge against rising input prices. ArcelorMittal is actively developing its raw material base to raise self-sufficiency levels."

.................................................................................................

So the company is looking to go from 46% iron ore self sufficiency to 75%. The 2012 target is around 65%, that's a pretty big jump. I also looked through one of their presentations with a lot of interest, under the investment day and conference section, it was called;

September 2008 - Credit Suisse - Global Steel and Mining Conference

Very interesting reading I would have thought. The company seems happy to invest in Western Africa with regards to Iron Ore opportunities. There are definite possibilities here I would have thought. Much would depend on what other opportunities Arcelormittal has in the West African area, but slides from their presentations clearly show they are interested there, and that going forward they expect to have quite strong production figures from the area. There seems to be a logical strategic partner here if it were attractive enough for Arcelormittal.

 

[Miner]

After reading the above news from Hong Kong, I decided to have a browse of the Arcelormittal website, just to see what that company was all about. Their website makes for interesting reading.

In particular, I read their mining section with much interest. I'll post what I found interesting;

................................................................................................

"ArcelorMittal is focusing on its mining activities, in accordance with its integrated business model. This is part of a strategy to actively develop the raw material base, thereby raising the level of iron ore self-sufficiency to 75%.

The Group is today one of the largest producers of iron ore worldwide, for capture consumption, with mining activities in Algeria, Bosnia, Canada, Kazakhstan, Mexico, Ukraine and the United States.

In 2007, approximately 46% of the Group's iron-ore requirements and 13% of its coal requirements were supplied from its own mines or via long-term contracts.

Its access to high-quality, low-cost raw materials gives the Group a valuable hedge against rising input prices. ArcelorMittal is actively developing its raw material base to raise self-sufficiency levels."

.................................................................................................

So the company is looking to go from 46% iron ore self sufficiency to 75%. The 2012 target is around 65%, that's a pretty big jump. I also looked through one of their presentations with a lot of interest, under the investment day and conference section, it was called;

September 2008 - Credit Suisse - Global Steel and Mining Conference

Very interesting reading I would have thought. The company seems happy to invest in Western Africa with regards to Iron Ore opportunities. There are definite possibilities here I would have thought. Much would depend on what other opportunities Arcelormittal has in the West African area, but slides from their presentations clearly show they are interested there, and that going forward they expect to have quite strong production figures from the area. There seems to be a logical strategic partner here if it were attractive enough for Arcelormittal.

Hi Muffin Man

Thanks for your enlightening news about Mittal - who is a famous Indo British business magnet taking all iron and steel projects per se

But I am sorry probably your post had shown no direct relationship with SDL excepting West Africa

Suggest consider post such items in iron ore thread

 

[The Muffin Man]

Considering Arcelormittal is looking to boost its Iron Ore self sufficiency considerably over the next 5 years, that they have visited the Sundance site, along with the fact that Sundance will need strategic partners to get Mbalam off the ground, and I would think the post does belong in here. That's just me though.

 

[Pythagerous]

Thanks for that information Muffin Man, much appreciated.

Anyone heard how the presentation went in Berlin?

 

[ocelot]

Anybody else pick them up yesterday for .19c not a bad buy I think. I'm slowly building this stock up.

This stock gets traded alot!

 

[The Muffin Man]

Picked up another small lot yesterday at 0.19 also. Good buying if you are prepared to hold for a few years in my opinion.

 

[Lucky_Country]

Asian steel giants eye Sundance Cameroon unit-sourceReuters, Tuesday September 30 2008 (Adds detail, quote, background)
By Tom Miles and Michael Flaherty
HONG KONG, Sept 30 (Reuters) - Australia's Sundance Resources is seeking a strategic partner for its more than $3 billion Cameroon iron ore project, sources familiar with the matter said on Tuesday.
One source familiar with the Mbalam project said the world's top steel company ArcelorMittal and South Korea's POSCO had both shown interest.
"I think they're being quite smart about showing everyone the project and getting everyone a good understanding of the project," the source said. "The Indians have been to have a look. Arcelor and Posco have done site visits."
A source close to the company confirmed it was looking for a strategic partner.
"We're anticipating that groups wanting to participate would want a stake in the project to support the delivery of the product," the source said.
A spokesman for Sundance declined to comment. Nobody at POSCO was immediately available to comment. Arcelor spokesman Jean Lasar also declined to comment.
"The official position is that we have a growth strategy based on product, geography and value chain," Lasar said.
The project has potential production of 35 million tonnes a year but is likely to need $3.3 billion of capital investment, UBS mining analyst Jo Battershill said in a report on Sept 23.
Sundance announced a 50 percent increase in the size of the Mbalam resource earlier this month, taking it to 1.75 billion tonnes at a cut-off of 40 percent iron content.
"Mbalam is clearly a very large deposit (and we believe further drilling will result in it becoming bigger) with the potential to be a significant iron ore operation, and we believe this would be attractive from a corporate perspective," Goldman Sachs JBWere analyst Stephen Gorenstein said in a note to clients on Monday.
"However, we note there remain risks in terms of financing, infrastructure and country risk that need to be addressed before it can reach its potential," he added.
Sundance's top shareholder, with a 19.74 percent stake, is Australian mining entrepreneur Ken Talbot, who earlier this year sold out of another of his projects, Macarthur Coal.
That project now has three large investors - Arcelor, POSCO and Citic Resources, a Chinese state-controlled firm that has invested in several projects alongside Talbot. (Editing by Sue Thomas)

 

[Jewels]

Hi IJH,
Thanks for the posting, but it was posted on this site on the 30th. Keep up the good work though and please keep us informed.
all the best.
J

 

[Lucky_Country]

India's steel imports jump 50 per cent in April-September news

04 October 2008

Mumbai: Steel imports into the country has shot up 50 per cent to about 3 million tonnes during the first six months of the current financial year (2008-09), as compared to the corresponding period in the last fiscal, Steel Secretary Pawan Kumar Rastogi has said.

Addressing a meeting of steel consumers in the capital, minister for steel Ram Vilas Paswan also said India was expected to continue to be a net importer of steel in the current fiscal following the huge demand supply mismatch.

''Whereas the demand for steel continues to be at around 11.2 per cent, the production growth in the first half of the year has been only 5.2 per cent,'' Rastogi said.

Steel imports into the country totaled 6 million tonnes in 2007-08 amidst a growing demand for alloy steels, he said.

Growth of steel consumption in the country is outstripping production, and even at full capacity production, the country will still be importing an increasing quantity of steel, he said.

India's current steel production of 58.64 million tonnes is expected to rise 6 per cent in fiscal 2008-09 while demand will grow at around 12 per cent.

The country's steel demand is expected to reach 109 million tonnes by 2012-13 and the government has envisaged a total production of 124 million tonnes, excluding the proposed greenfield projects of Posco and ArcelorMittal, he said.

''We should be able to achieve the production target. SAIL has placed work orders worth Rs30,000 crore for its proposed augmentation of capacity to 26 million tonnes,'' he said.

While global demand for steel has gone down, India's steel consumption and demand is expected to grow as its infrastructure sector is booming, he said, adding that global steel prices have softened by about $350 a tonne.

Rastogi, however, said the amount of steel imports for the whole of fiscal 2009 would depend on prices and demand.

He also pointed to a likelihood of demand coming down as the real estate sector slows amidst high interest rates and a slowing economy.

Major steel companies like South Korea's Posco and Arcelor Mittal are planning to set up steel plants in India attracted by the ample reserves of iron ore. State-run Steel Authority of India Ltd and National Mineral Development Corp are also investing in steel mills.

Four Chinese steel firms - Shougang Steel, Angang Steel, Shandong Iron and Steel and Hebei Iron and Steel - on the other hand, are planning production cutbacks of up to 20 per cent or up to 20 million tonnes, in a bid to cut iron ore imports and support prices, the official Xinhua agency said. The four have a combined capacity of 100 million tonnes of crude steel.