SDL - Sundance Resources

[Pythagerous]

Yeah I do know how to use Google, altough Country Fire Authority was ranked at the top, and didnt quite make any sense. Apart from the fact that I couldnt be bothered looking at the second ranked result and below, I decided to ask the question here in order to stimulate discussion.

 

[jonojpsg]

Yeah I do know how to use Google, altough Country Fire Authority was ranked at the top, and didnt quite make any sense. Apart from the fact that I couldnt be bothered looking at the second ranked result and below, I decided to ask the question here in order to stimulate discussion.

You live in Australia and you didn't catch on the moment you thought to put CFA into Google that you would get Country Fire Authority as your first result, given the past few weeks??!!!??!! CFA currency gets you what you want.

While we're discussing CFA 282 billion though, if the total port costs are going to be that, I would have thought that SDL will get away with about a quarter of that (given there are four main users) or about A$220m. What was the estimated cost that SDL had in for the port? More than that methinks.

 

[Pythagerous]

US$529 Million, according to the presentation on their website.

You probably could have googled that, or visited the site yourself.

 

[jonojpsg]

US$529 Million, according to the presentation on their website.

You probably could have googled that, or visited the site yourself.

How did I know you were going to say that I figured you would have all the info on hand with your newly acquired Google search skills

 

[quinn123]

You live in Australia and you didn't catch on the moment you thought to put CFA into Google that you would get Country Fire Authority as your first result, given the past few weeks??!!!??!! CFA currency gets you what you want.

While we're discussing CFA 282 billion though, if the total port costs are going to be that, I would have thought that SDL will get away with about a quarter of that (given there are four main users) or about A$220m. What was the estimated cost that SDL had in for the port? More than that methinks.

SDL's part of the terminal may be more costly, so we will have to wait and see.

Why wasn't this news released by SDL on ASX?

 

[quinn123]

Mining News
http://www.miningnews.net/storyview.asp?storyid=1024350&sectionsource=s0

You have to be a member to view the article.


African iron for sale

Tuesday, 3 March 2009

THE iron ore market has gone from boom to gloom in the space of just a few months. But that is not stopping Sphere Investments and Sundance Resources. By Stephen Bell

Sphere, in Mauritania, and Sundance, in Cameroon, last year held separate auctions for stakes in their respective ventures. After receiving strong interest from global steel mills and miners, both were confident of finalising deals in the first half of 2009.

If concluded, the asset sales will enhance west Africa’s chances of becoming a major iron ore supplier next decade. That is in spite of sovereign risk concerns and a chronic lack of infrastructure.

The interest in Sundance and Sphere shows that steel mills are prepared to venture further afield for new sources of feed, beyond the big three global exporters: Brazil’s Vale, BHP Billiton and Rio Tinto.

Until recently, Western investors assumed Rio would lead the west African charge next decade, via its giant Simandou project in Guinea.

However, Rio has scaled back the venture as part of a series of cost-saving measures.

The project has already been hit by a prolonged dispute between Rio and the Guinean government over fiscal terms. Most recently the government announced that Rio could have only half its concession.

Rio’s frustrating dealings in Guinea show that frontier Africa is not for the faint-hearted. Negotiating a rock-solid royalty arrangement is just one hurdle to be crossed, as is the lack of roads, rail and political stability. Mauritania, for instance, has a track record of military coups, although it does boast a working iron ore port.

Despite the region’s shortcomings, Sphere and Sundance believe west Africa’s large, untapped resources will feature prominently in the next iron ore boom.

The Chinese recognised this a few years ago when they agreed to spend up to $US3 billion developing an iron ore project in Gabon (which shares a border with Cameroon). Steel giant ArcelorMittal, meanwhile, has invested $US1.5 billion in Liberia, with the first iron ore production due in 2009.

There is no doubt China Inc. and the big steel mills are serious about the region. However, the market downturn and frozen credit markets has made it hard for the juniors.

Particularly so in the case of Sphere and Sundance, which are trying to regain traction after previous deals fell over during the recent boom. Sundance scrapped a merger with Gindalbie Metals in October 2007. Sphere confirmed in August that Qatar Steel had pulled out of a proposed part-purchase of Guelb el Aouj.

Despite the downturn, several Chinese steel mills struck deals in late 2008 to buy significant stakes in Australian iron ore miners, namely Mount Gibson Iron, Grange Resources and Gindalbie.

In December Sundance was also in deal-making mode, holding talks with a “number of major industry groups” interested in joining its Mbalam project in Cameroon. Sundance chief executive officer Don Lewis said the spread included major mining houses, steel mills and trading companies.

“These are not solely from China, though China is interested,” he said.

About 10 groups interested in offtake, equity and financing deals had visited the project data room. The company hoped to form a shortlist by Christmas and announce the successful partner in the new year.

Lewis conceded Sundance faced a much tougher market than 12 months ago, when people were not as concerned about high capital costs and infrastructure constraints.

“Everyone knows that 2009 is going to be tough,” he said.

“The majors are obviously cutting back and curtailing production. But for a project like ours, which won’t even go into construction until late 2009 or early 2010, they [potential partners] are looking five to 10 years down the track to secure opportunities.”

It also is no secret that prices of mines and projects have come down.

“It is evident that asset values in the resources sector are significantly less than they were a year ago, and that creates opportunities for deals,” Lewis said.

At the company’s annual meeting in November, Lewis and Sundance chairman George Jones flagged an increase in Mbalam’s proposed maximum production rate to 50 million tonnes per annum. That is up from 35Mtpa previously. The increase aims to best utilise Mbalam’s 2.45 billion tonne resource, mostly itabirite overlain by a higher-grade haematite cap.

“We’ve only drilled one deposit, which equates to 10 square kilometres out of a 3700 square kilometre land base,” Lewis said.

“Clearly there will be growth in resources and this project can operate for many years at large scale.”

The magnetite-grade ore – itabirite – is very similar to those mined extensively in Brazil.

“It is not direct shipping, but it has good feed grade and recovery characteristics,” Lewis said.


The previous cost estimate for Sundance’s 35Mpta project was $US3.3 billion, including a 485km rail network to the coast. Lewis does not expect a major increase by moving to the higher throughput.

Sundance, like every other mining company at present, is trying to husband its cash, which totalled $33 million at September 30. Just before Christmas, it announced the first stage of resource drilling at Mbalam had been completed.

In light of current market conditions, the company’s board scaled back drilling activities. “This will significantly reduce expenditure over coming months as the company moves to preserve cash during this current period of financial uncertainty,” Lewis said.

He said attention would focus on completing the project financing and marketing discussions with potential strategic partners.

 

[The Muffin Man]

Surely if you have "about 10" interested parties, at least a few of them would be seriously interested.

Those at Sundance come across as very confident that there is a large amount of genuine interest for this project to go ahead. I liked Lewis saying that there will clearly be upgrades in resources when exploration allows also. It gives prospective investors that extra enticement, knowing that there are more resources to be discovered.

I wonder how much cash is in the bank, and I wonder how far off any possible agreements with the Cameroon Government and strategic partners are. I'm looking forward to March 31 and the cash flow reports that will come.

 

[CarbonSteel]

Sundance, like every other mining company at present, is trying to husband its cash, which totalled $33 million at September 30. Just before Christmas, it announced the first stage of resource drilling at Mbalam had been completed.

How old is this article really? SDL announced cash reserves of $19M as at the end of December. The figure quoted here is last September???

Is this really an update, or is it just a cleverly disguised "backdate" that made a coupla bucks for the journo?

Doesn't seem to be anything new in this "paid for" info. No offence intended to the poster, just the website providing this so-called "news".

I would like to know alleged date that Lewis made the comments attributed to him in this article.

 

[quinn123]

How old is this article really? SDL announced cash reserves of $19M as at the end of December. The figure quoted here is last September???

Is this really an update, or is it just a cleverly disguised "backdate" that made a coupla bucks for the journo?

Doesn't seem to be anything new in this "paid for" info. No offence intended to the poster, just the website providing this so-called "news".

I would like to know alleged date that Lewis made the comments attributed to him in this article.

No offence taken, I just googled the article. It was dated Tuesday, 3 March '09, so I thought I would post it. But you are right, there is nothing new about Sundance in the article.

 

[Pythagerous]

This came out today. Not related directly to SDL, however may be of interest.

http://www.newswire.ca/en/releases/archive/March2009/09/c7130.html

African Aura to drill Nkout iron ore prospect in Cameroon


TORONTO, March 9 /CNW/ - African Aura Resources Ltd. ("African Aura" or
the "Company", TSX-V: AAZ) an exploration company with gold, iron ore and
uranium exploration activities in Cameroon and Liberia, announces plans to
undertake a reconnaissance diamond drilling programme on a 3km long section of
the 10km long Nkout iron ore prospect in Southern Cameroon.

- 10km long magnetic dipole at Nkout coincides with topographic high
- Drilling to test initial 3km long zone grading up to 65% Fe at
surface
- Up to ten reconnaissance holes planned to commence in May 2009
- In house drilling equipment and drill team to be mobilised to site
>>

The Company is mobilising one of its two in-country diamond drilling rigs
to the Nkout prospect to commence reconnaissance diamond drilling in May with
an initial programme of up to ten holes, each drilled to 100m depth. Collars
will be located approximately 250m apart along a 3km long section of the Nkout
prospect where a previous programme of grab sampling at surface yielded an
average grade of 54% Fe.

John Gray, President & CEO commented:

"The results from geological mapping and initial surface sampling of a
3km long section of the 10km long Nkout iron ore prospect were highly
encouraging, with grades up to 65% iron and an average of 54% iron. African
Aura has the flexibility and opportunity to accelerate its iron exploration
programme with reconnaissance drill testing using its in-house diamond drills.
The Nkout prospect is strategically located between the Mbalam iron deposit
located 150km to the south east, and the site of a proposed deep water port at
Kribi on the Atlantic coast, and situated close to existing infrastructure in
a significant iron ore province. We look forward to updating shareholders with
the results from this programme in due course"

About the Nkout iron prospect, Southern Cameroon

The Nkout iron prospect is located on the 1,000km(2) Djoum licence which
is held by the Company's 100% owned subsidiary Caminex SARL. The prospect was
identified by interpretation of historic airborne magnetic and remote sensing
data and is defined by a 10km long discontinuous ridge, coincident with a
magnetic dipole hosted by Archaean-age rocks. The Company considers that the
dimensions of Nkout and surrounding hills represent a potentially economic
iron deposit. Nkout is also strategically well located in the sub-region which
hosts a number of significant iron deposits. Of those that are under
exploration and development, the closest is the Mbalam deposit being developed
by Sundance Resources Limited, located approximately 150km to the south east.
As previously announced, in 2008 the Company collected 44 reconnaissance
samples from a 3km by 3.75km area on the eastern section of the Nkout ridge,
which returned a maximum grade of 65% iron, and an average grade of 54% iron.
X-ray diffraction and optical microscopy show that the samples comprise mainly
high grade haematite along with magnetite and goethite.

About African Aura
African Aura has a 'first-mover' exploration strategy, focused on the
discovery of economic gold, iron and uranium deposits in sub-Saharan Africa.
The Company has a Joint Venture with Severstal Resources for the exploration
and development of Iron Ore in Cameroon and has established a significant
portfolio of gold properties within Archaean greenstone and Proterozoic
volcano-sedimentary belts, including its flagship Batouri gold project in
Cameroon, where a maiden gold resource is anticipated in 2009. African Aura
trades on the TSX-V under the symbol AAZ. More information can be found on
line at www.african-aura.com or by email at: info@african-aura.com

Oversight
The exploration results announced in this release have been reviewed and
approved by Mark Biddulph. He holds a BSc Hons in Geology, and GIS from Rhodes
University, and a GDE in Mining Engineering (Mineral Economics) from the
University of Witwatersrand in South Africa. Mark is a Professional Natural
Scientist under the South African Council for Natural Scientific Professions
(SACNASP) and a Qualified Person under National Instrument 43-101.

Forward-Looking Statements
This press release includes certain Forward-Looking Statements. All
statements, other than statements of historical fact, included herein,
including without limitation, statements regarding potential mineralisation
and reserves, exploration results and future plans and objectives of African
Aura, are forward-looking statements that involve various known and unknown
risks and uncertainties as well as other factors. There can be no assurance
that such statements will prove to be accurate and actual results and future
events could differ materially from those anticipated in such statements. The
Company has no obligation to update or modify such forward-looking statements,
either as a result of new information, future events or for any other reason,
and we expressly deny any such obligation in relation thereto. Important
factors that could cause actual results to differ materially from African
Aura's expectations are disclosed under the heading "Risk Factors" and
elsewhere in African Aura's reports and other documents filed from
time-to-time with the TSX Venture Exchange and other regulatory authorities in
Canada.
The securities described herein have not been and will not be registered
under the United States Securities Act of 1933, as amended, or the securities
laws of any state and may not be offered or sold in the United States absent
an exemption from registration.
For more information concerning the reports, or to obtain additional
information on the Company, please visit our website at: www.african-aura.com
and SEDAR's website at: www.sedar.com or contact the Company directly.

 

[The Muffin Man]

Ok, a Share Placement and Share Purchase Plan have just been announced on the ASX.

The Share Placement is to the Talbot Group for $5m, and the Share Purchase Plan will be open to the public and is aiming to raise $5m. The price is 8c per share.

The aim is to secure cash reserves. Thoughts?

 

[spottygoose]

Shows Talbot still has the faith... I think it is a positive thing better than a straight SPP in the 7c's. Hopefully we will get some more news to ensure it is a success.

 

[Pythagerous]

http://www.thewest.com.au/default.aspx?MenuID=3&ContentID=129262

Talbot to up stake in Sundance through placement

10th March 2009, 13:00 WST


West Africa focused iron ore explorer Sundance Resources says it plans to raise $10 million in a placement to its biggest shareholder Talbot Group and a further $10 million in a share purchase plan to shareholders.

Talbot, a Queensland-based resource investment company owned by businessman Ken Talbot, is already the company’s biggest shareholder with Mr Talbot filling a position on the Sundance’s board as a non executive director.

Sundance will seek shareholder approval for the placement, which will take Mr Talbot’s stake in the company to 22.14 per cent.

The company said it would also offer shareholders the chance to buy $5000 worth of new shares at eight cents a share to raise an expected $10 million.

BBY will underwrite the capital raising to the value of $5 million.

The company said the funds raised would strengthen its financial position and underpin continued development at its Mbalam iron ore project in Cameroon to 2010.

Sundance needs about $5 billion to finance the development of Mbalam.

Sundance chief executive Don Lewis said the funding would allow the company time to develop arrangements with potential partners and ensure it was positioned to advance the project when global financial conditions improved.

Sundance shares were down 0.1 cents to 7.9 cents at 12.45pm.

The company’s shares traded higher than 50 cents less than a year ago when iron ore prices were soaring.

 

[snopandsnap]

Hey Carbon,

Still holding the bag mate?
The market up today and SDL down another 7%. Great stock this one. So,
how much are you down. 70 or 80%, maybe even more?
Mate, you need a new day job. McDonalds are starting to hire junior burger flippers.
What a joke! 10 million capital raising at 8 cents. SDL will have about 5 billion shares outstanding in the next few months. 10 million may be enough for a few lunches for the board. Bag me all you like but you only have to look at my posts to see that you are a fool and i am correct.
As for my 1st June prediction. I think you will see around 5.5 cents by then.
Blind freedy can see that this mine will never go ahead. Not in our life time anyway.
Keep up the good work.

 

[snopandsnap]

"The company said it would also offer shareholders the chance to buy $5000 worth of new shares at eight cents a share to raise an expected $10 million.

BBY will underwrite the capital raising to the value of $5 million.

The company said the funds raised would strengthen its financial position and underpin continued development at its Mbalam iron ore project in Cameroon to 2010.

Sundance needs about $5 billion to finance the development of Mbalam"

.....The company will offer shareholders the chance to buy $5000 worth of shares. That makes me crack up big time. How many fools would by 5k worth of this rubbish at 8 cents. You can pick them up tomorrow for 7 cents.
Carbon, you buying 5k mate?
....."Sundance needs $5 billion to finance the development".
They would be lucky to raise $10 million. $5 BILLIONNNNNNNN makes me laugh. RIO would have a hard to raising this amount, let alone a micro cap that paid 240K for the land. You must be a dreamer dude. Let me know what you are smoking because i want some.

Why would a steel mills put up 3 to 5 billion to develop this when they can do it in Australia for one tenth of the price.

 

[hangseng]

"Blind freedy can see that this mine will never go ahead. Not in our life time anyway."

How many times have we heard that over the years. FMG was one that people said would "never go ahead", PDN was another.

I have followed this mans interests for a while and in particular his interest in SDL http://www.talbotgh.com.au/

I will make a prediction that you can hold me to anytime you like. This mine WILL go ahead and it will be a world class Fe asset. Without drilling the other locations it is already shaping up to be just that. SDL has more going on as well of that I am now sure and Talbot alludes to it on his website as does SDL. I am sure we will here of this in good time. I am a very patient man and it will be required for SDL, but I am confident this will not only go ahead it will be an excellent long term investment for me.

Never say never and 5.5 cents you say? I really hope you are right.

Now go for it, I have my armour on and in any case I feel no pain after this last year

 

[springhill]

Hey Carbon,

Still holding the bag mate?
The market up today and SDL down another 7%. Great stock this one. So,
how much are you down. 70 or 80%, maybe even more?
Mate, you need a new day job. McDonalds are starting to hire junior burger flippers.
What a joke! 10 million capital raising at 8 cents. SDL will have about 5 billion shares outstanding in the next few months. 10 million may be enough for a few lunches for the board. Bag me all you like but you only have to look at my posts to see that you are a fool and i am correct.
As for my 1st June prediction. I think you will see around 5.5 cents by then.
Blind freedy can see that this mine will never go ahead. Not in our life time anyway.
Keep up the good work.

Mate why dont you do us all a favour and put up or shutup and p!ss off. You could start by disclosing what you're holding and how much you are up/down on each.... then we will all see what an "oracle" you really are. This is a supportive forum designed to help and inform, not for nameless tossers like you to snipe from a distance. If Carbon is down 80%, big deal, its his hard earned
Looking forward to hearing from you or seeing the back of you

 

[Piggy Bank]

Mate why dont you do us all a favour and put up or shutup and p!ss off. You could start by disclosing what you're holding and how much you are up/down on each.... then we will all see what an "oracle" you really are. This is a supportive forum designed to help and inform, not for nameless tossers like you to snipe from a distance. If Carbon is down 80%, big deal, its his hard earned
Looking forward to hearing from you or seeing the back of you

Hey springhill! You must be able to read my mind??? Scary! It was exactly what I'm thinking! C'mon, tell me...what am I thinking now? :

snopandsnap - please start your own thread that other's can join if they wish to bag stocks and attempt to rubbish fellow forum members. The SDL thread does not serve your daily purpose.

 

[CarbonSteel]

Hey Carbon,

Still holding the bag mate?
The market up today and SDL down another 7%. Great stock this one. So,
how much are you down. 70 or 80%, maybe even more?
Mate, you need a new day job. McDonalds are starting to hire junior burger flippers.
What a joke! 10 million capital raising at 8 cents. SDL will have about 5 billion shares outstanding in the next few months. 10 million may be enough for a few lunches for the board. Bag me all you like but you only have to look at my posts to see that you are a fool and i am correct.
As for my 1st June prediction. I think you will see around 5.5 cents by then.
Blind freedy can see that this mine will never go ahead. Not in our life time anyway.
Keep up the good work.

Hey Snoppo my friend. I am prepared to wager $AUD1000 that SDL shares will be trading at $AUD0.060 or better on June 1st, 2009. As your well researched prediction is $AUD0.055, you are probably quite safe and have nothing to lose. Certainly, your rhetoric gives me that impression. Got guts Snoppo? I am also prepared to wager $AUD10,000 that there will be no more than 3 billion SDL shares issued one year from now, being 11 March 2010. Again, put your money where your mouth is old boy. Obviously I am a fool and will soon be parted from my money by you, because you are super confident about your own advice as an investment banker, so don't delay old boy. Got balls Snoppo?:kiffer:
Almost forgot! Don't forget to use the spellcheck, and try to post sober! - it will save you some embarrasment. People are beginning to think you were flipping burgers (your favourite - MacDonalds - of course) instead of going to Uni.
Lets see here now....... 50 Mtpa x $44/tonne = $2,200,000,000........wait a minute...... isn't that $2.2 BILLION pa?

 

[snopandsnap]

Springhill... see my last post on 24th February below.
I am happy to tell you my holdings. I am in the green on every single one of them.

Piggy... unlike some, i only check the boards every couple of weeks and i do not bag people. Carbon has been bagging me since my first post because i said SDL will be going to 7 cents which is exactly what happened. Since then, i have made over a 100% gain in FMG, steady with BRM (with very little risk) and have made trading profits on AGO as well. All the IO plays are going very well, only SDL going to all time lows as i predicted. If you only want to have posters that pump up the stock then fine, good luck to you.

I am just trying to tell new investors that all is not rosey with SDL and the chances of this stock going to Zero are huge.

24th February 2009..Carbon Steel and othe Bag Holders,

You can bag me all you like but the stock is down 30% (40% now) in the last couple of weeks. FMG up around 80% and BRM up over 10% from my first post.

CUS up over 30% as well as AGO. All of my stocks are up including CBA at 25,
BHP and RIO.

My first post, i said that you will be able to buy at 7 cents in a couple of weeks, but i suppose that i am the idiot????

You will see 7 by the end of the week, maybe tomorrow.

Carbon, if you try and compare SDL to BRM, you are just mad. BRM has 102 million dollars in cash, ZERO debt, existing rail network a few kms away and a new port facility. More than 1.3 billion tonnes of quality iron ore and a market cap of just 135 million.

SDL has a 400K piece of land, no rail, no port and hundreds of kms from the ocean. Not to mention Africia, no funding and no chance of funding. Stock at 8cents and only going lower.

If you think that this mine is going ahead, you need to pull your head out of your butttt. I would calculate that you have more chance winning the lotto.

I was just trying to warn you inexperienced investors about getting into this stock and holding the bag. See you at 7cents this week, maybe even .6.5cents. Good luck all!