SDL - Sundance Resources

[The Muffin Man]

You would have to think that surely Talbot knows what is going on, and how close/far off both the Mbalam Convention and an offtake/strategic partner agreement possibly are. As stated earlier, I think the purpose of the latest small capital raising is to ensure there is sufficient operating funds to get the company through to either the signing of the Mbalam Convention, or further announcements on strategic parters / off-take agreements.

 

[big sal]

Up over 12% as at 12.25pm today on volume of 26M plus units and buyers now outnumber sellers (something we haven't seen for a while).

Mmmmn … any ideas or just a good day?!

 

[Sean K]

HMMMMM!!!

Point taken kennas

You think Talbot is a possible Pied Piper of Financial Death then?

Well, I'm definately not saying that death is on it's way, just that anything can happen, and big investors can get things wrong. Nothing's a certainty is my motto, and it can save your bacon. Let's hope Talbots deep pockets and influence keep SDL running to production.

 

[The Muffin Man]

Up over 12% as at 12.25pm today on volume of 26M plus units and buyers now outnumber sellers (something we haven't seen for a while).

Mmmmn … any ideas or just a good day?!

Just noticed the strange trading. Will be keeping an eye on the stock for any positive announcements in the following few weeks. SDL is quite leaky in that regard.

 

[jonojpsg]

Just noticed the strange trading. Will be keeping an eye on the stock for any positive announcements in the following few weeks. SDL is quite leaky in that regard.

Hey all,
May be time right now to jump on - every time there is good news coming the price and volume have done this, at least as far as I can recall. Am going to have a crack anyways and see what comes

 

[The Muffin Man]

The price is starting to move down a little now (8.2 from a high of 8.6), but someone definitely had a go at it today.

 

[CarbonSteel]

Up over 12% as at 12.25pm today on volume of 26M plus units and buyers now outnumber sellers (something we haven't seen for a while).

Mmmmn … any ideas or just a good day?!

I would be very, very surprised if this is not educated money.

I don't think it's just a "good day."

Turnover has gone from an average 3-4 million to 38 million and its not because of overkeen sellers, simply because the price improved!

I think that for a "speccie" to improve 12% in one day is extraordinary, given that "speccies" are the last tranch to improve coming out of a recession. (expert opinion, not mine!)

I think they can issue up to 30% of the number of existing shares as new shares. That's about 600M new shares, I think. 8 cents is the maximum price for existing SH's. I'll have to read the offer when it arrives in the post.

We could be looking at a total share issue of up to 2.4 billion shares. Obvious dilution implications, but will it matter?

Can't wait to see the news/rumour/announcement that's driving this!

:bowser:

 

[Doris]

The price is starting to move down a little now (8.2 from a high of 8.6), but someone definitely had a go at it today.

When you look at the intraday trading chart it sure seems that someone of means was getting on board or ramping it. At 10:15 just over 6 million drove it up from 7.5 to 7.7c... then seemed to watch it until about 11:20 when a batch of high volume until 11:45 drove it to 8.6c. Activity was steady after that. I was chicken and wondered whether the buyers at 7.5-7.7c were feeding back into the frenzy. Logic said to buy with it above 8c with high volume but I just watched - was not game to gamble. Who dares, wins? We'll see.

 

[CarbonSteel]

I would be very, very surprised if this is not educated money.

I don't think it's just a "good day."

Turnover has gone from an average 3-4 million to 38 million and its not because of overkeen sellers, simply because the price improved!

I think that for a "speccie" to improve 12% in one day is extraordinary, given that "speccies" are the last tranch to improve coming out of a recession. (expert opinion, not mine!)

I think they can issue up to 30% of the number of existing shares as new shares. That's about 600M new shares, I think. 8 cents is the maximum price for existing SH's. I'll have to read the offer when it arrives in the post.

We could be looking at a total share issue of up to 2.4 billion shares. Obvious dilution implications, but will it matter?

Can't wait to see the news/rumour/announcement that's driving this!

:bowser:

...and back down on the rollercoaster again today. Makes me dizzy trying to keep up with it.

Looks like a bit of profit-taking after yesterday?

Sellers ruled the roost.

Still would like to know the reasons for yesterdays "raid".

 

[onshow]

SDL is looking very good at present with the buys outweighing the sells and with the current market starting to slowly build a base to work on building the structure to creat a nice bull market which im guessing we all agree we can not wait for and i think sdl will be in the best position to take advantage of that with the great potentional this company has to become a leader in the commodity market. I think we will be seeing .09 by the end of the week. Just my thoughts what do others think ?

 

[prawn_86]

I think we will be seeing .09 by the end of the week.

Onshow,

If you are going to make statements like that you need to back it up with reasons why. Simply 'thinking' that is not enough? Why should it reach that price this week??

Future posts without analysis will be removed.

As you are a relatively new member i suggest you read the posting guidelines.

 

[jonojpsg]

SDL is looking very good at present with the buys outweighing the sells and with the current market starting to slowly build a base to work on building the structure to creat a nice bull market which im guessing we all agree we can not wait for and i think sdl will be in the best position to take advantage of that with the great potentional this company has to become a leader in the commodity market. I think we will be seeing .09 by the end of the week. Just my thoughts what do others think ?

To help a new guy (or gal) out, there are some signs that point to a rally for SDL, with the previous few posts holding one of these. The big surge last week up to 8.6c with high volume was typical of a pre announcement buy up, and even though it dropped back again, buying has picked up again a bit today. Also nearing end of March which people may be thinking will herald news re discussions with potential partners??

9c by end of week - who knows??

 

[onshow]

To help a new guy (or gal) out, there are some signs that point to a rally for SDL, with the previous few posts holding one of these. The big surge last week up to 8.6c with high volume was typical of a pre announcement buy up, and even though it dropped back again, buying has picked up again a bit today. Also nearing end of March which people may be thinking will herald news re discussions with potential partners??

9c by end of week - who knows??

Thankyou all for you comments i will take them into consideration with my futurue posts! Just to shed some light on why i think we will see .09 by weeks end, I think and by seeing whats happening in overseas markets tonight, that we are in for a great week with some good news coming out of the us tommorrow with there revised stimulus plan and in more detail they will share with us will help drive the world markets up as confidents grow that we have seen the bottom, which inturn will help sdl gain in price as we seen last week how it reached .086 so .09 in a good week of market is not unreasonable at all and as for the large numbers to buy my gut tells me there is something lurking in the waters that will be of advantage to sdl, im suspecting it will be a finacial announcement possibly to do with another company. Please dont quote me on this as its only my thoughts on what is going to happen not cold hrad facts but i guess we are all intitled to our thoughts. These comments are based on some facts and reasearch but as we all know anything can happen.

 

[zmalecki]

9c by end of week - who knows??

Shouldn't be a big deal.
Why ?
Look for today TSX +5%, NYSE S&P 500 +7%
Fed will buy bonds for 700 Billion USD,
"rescue plan" for US economy presented,
China is running with stimulation program,
USD/AUD is targeting 1.40 (month ago(?) it was > 1.6)
copper is reaching 4 month higher...
I know that it is not related directly to SDL, but something changed.

and .... on the north from equator is already spring.....

 

[Pythagerous]

Interesting read on Cameroon

http://www.reuters.com/article/rbssIndustryMaterialsUtilitiesNews/idUSLN6438820090323

March 23 (Reuters) - Uncertainties over national politics and the global economic crisis are restricting investment in Cameroon's wealth of natural resources.

Here are details about the country and investment projects.



POPULATION - 19.5 million people.

LANGUAGE - French and English are the two official languages. About 200 African languages are also spoken.

GEOGRAPHY - Cameroon covers 465,400 sq km (179,700 sq miles) and stretches from mangrove swamps on the Atlantic Coast through dense rainforests to the more arid north by Lake Chad. It borders Nigeria, Chad, Central African Republic, Congo Republic, Equatorial Guinea and Gabon. It is a bit smaller than Spain.

HISTORY - French Cameroon became independent in 1960. In 1961, the British Southern Cameroons voted to join the new republic. However, Anglophone separatists complain of marginalisation by Cameroon's mainly francophone authorities.

-- President Paul Biya, 75, came to power in 1982 as the hand-picked successor of independence President Ahmadou Ahidjo. Biya took more than 75 percent of the vote in the last presidential poll in late 2004 and in April 2008 signed into law a bill removing a two-term presidential limit allowing him to extend his 25-year rule by standing for re-election in 2011.

ECONOMY -- Cameroon is the biggest economy in the six-nation central African CFA zone. It produces some 90,000 barrels of oil per day, half its peak in the 1980s. Forecast 2009 growth has been cut to around 4 percent, from over 6 percent, as a result of the collapse in commodity prices and the global slowdown.

-- Cameroon also exports bananas, cocoa, cotton and coffee.

-- Neighbour Nigeria and Cameroon have increased cooperation through various projects along their 1,700 km (1,062 mile) shared border including hydropower, since the 2008 resolution of a protracted dispute over the oil-rich Bakassi peninsula.

ALUMINIUM, BAUXITE - Rio Tinto Alcan is a partner with Cameroon's government in Alucam, a bauxite mining operation scheduled to include a 1 million tonne aluminium smelter at Kribi. Rio has said the projects remain on track and the company still aims to build a 1,000 megawatt hydroelectric dam to power the smelter despite project cutbacks elsewhere.

-- U.S. firm Hydromines, the United Arab Emirates's Dubai Aluminium (DUBAL) and India's Hindalco Industries have formed Cameroon Alumina Limited (CAL), which aims to exploit 1.2 billion tonnes of bauxite from Cameroon. The project is due to start production in 2013. The consortium plans to invest $5-6 billion in a bauxite mining and refinery project near Ngaoundere, around 400 km (250 miles) north of the capital Yaounde, and a railway linking the project to the port of Douala, 600 km away.

COBALT - Toronto-listed Geovic owns 60 percent of the a nickel-cobalt-manganese project in Nkamouna, in eastern Cameroon. Geovic expects to produce 4,200 tonnes of cobalt per year, making it the world's second largest producer of the metal, and 2,100 tonnes of nickel a year for 21 years. But Geovic said last week the project, where construction was due to start this month, would be delayed by about a year, and costs cut to $250 million from $370 million.

IRON ORE - Australia's Sundance Resources has an exploration permit for the Mbalam deposits. Sundance is scheduled to begin exporting iron ore from its $2.46 billion project by 2011 but the firm is currently involved in tax wrangles with the government and is seeking financial partners.

URANIUM - Nu Energy Corporation, a subsidiary of Canada's Mega Uranium Ltd is exploring for uranium in two sites in the north and the south of the country.

PORTS - Douala, Cameroon's commercial capital, is the country's main port and handles 95 percent of the import and export traffic from Cameroon, as well land-locked neighbours Chad and Central African Republic. Capacity is constrained, and a new port is planned at Kribi to accommodate larger ships. A pre-selection tender process has been completed, with Rio Tinto, Sundance, China Harbour Engineering Corporation and Maersk amongst those on the shortlist.

 

[CarbonSteel]

To help a new guy (or gal) out, there are some signs that point to a rally for SDL, with the previous few posts holding one of these. The big surge last week up to 8.6c with high volume was typical of a pre announcement buy up, and even though it dropped back again, buying has picked up again a bit today. Also nearing end of March which people may be thinking will herald news re discussions with potential partners??

9c by end of week - who knows??

Down 2.5% today.

Is it true that "speccies" are the last to benefit in a bull market?

From the Share Purchase Plan Offer.....

The proposed placement and Share Purchase Plan Offer will supplement our existing cash reserves to ensure that the Company has funding in place to continue its current activities on the Mbalam Project through to 2010. This will allow us time to develop arrangements with potential strategic partners and ensure that we are best positioned to advance the project as and when global financial conditions improve.”

To me, this reads like there are no partners even close to signing. Lewis wants to sign an interested party (if one can be located!) towards 2010.
To me, this means we will not see any great improvement in price for several months, possibly a couple of years, save some possible manipulation of the price to increase interest in the Share Purchase Plan Offer in the near term. If this is the case, the price may subsequently fall again as there will still be no positive news forthcoming.

Neither the pessimist nor the optimist, I remain the realist. Prepare for the worst, hope for the best, and accept reality. As an intended long term SDL holder, I do not see any real profit till they have offtake agreements and construction is at least 50% complete (to give investors some real confidence).

But don't take my word for it, DYOR.

Comments are solicited and appreciated.

 

[jman2007]

To me, this reads like there are no partners even close to signing. Lewis wants to sign an interested party (if one can be located!) towards 2010.
To me, this means we will not see any great improvement in price for several months, possibly a couple of years, save some possible manipulation of the price to increase interest in the Share Purchase Plan Offer in the near term. If this is the case, the price may subsequently fall again as there will still be no positive news forthcoming.

I more or less agree with your long-term view,

Traders may be able to make a buck here and there, but if you're a long-term investor then you'll need plenty of that other commodity which is quite often in short supply - patience.

People need to consider that the beauracracy in developing countries is also very considerable, in part because their mining/environmental laws are not as advanced or well-developed as our's.

If you're a believer in the SDL story, then best to find yourself a good hobby, put your shares in the bottom drawer for safe keeping, and ween yourself of checking the sp every day.

jman

 

[CarbonSteel]

I more or less agree with your long-term view,
Traders may be able to make a buck here and there,.....
jman

I still can't understand how traders can profit from the ups and downs of this stock. Where do they get any information that might give them some clue about future direction?

Any trader that can make money out of this unpredictable stock deserves every cent of profit he/she makes!

We have suggestions of 9 cents by the end of the week. As if to punish the "suggestee", the stock falls 2.5% the same day, within hours in fact. I mention this solely to illustrate the unpredictability.

Good luck to you traders! You have more guts than me!

 

[CarbonSteel]

http://www.bloomberg.com/apps/news?pid=20601081&sid=aQvo9XB4pspY&refer=australia

Cause for concern?
Might explain why the BDI is storming south again.

 

[Sean K]

http://www.bloomberg.com/apps/news?pid=20601081&sid=aQvo9XB4pspY&refer=australia

Cause for concern?
Might explain why the BDI is storming south again.

LOL. You're taking notice of a 'Citigroup says' article.

Good contra-indicator maybe.

As soon as there's a down day the bear articles surface.

The next 7% rally and the bulls will be front page.