WME - West Australian Metals

[mick2006]

Certainly crazy that it is still trading at only 20c, there is no exploration upside counted in the shareprice at the moment I know that the average grade so far is only 200ppm, but the latest assay results pointed to higher grades that a heading towards a previoiusly undrilled section of the tennement.
On that basis alone it may be worth taking a punt in the hope the higher grades continue into the unexplored areas, also the historical drilling only covered around 30% of their tennements.

What we do know is:

1. They have found uranium
2. They are in a location close to 2 operating uranium mines with another undergoing a feasability study.
3. Unlike Australia when they prove up their initial JORC resource they can proceed to development with the assistance of the Namibian Government.
4. The more Uranium they uncover they will quickly become a target for some of the bigger boys.

I don't know about the rest of you guys but it is very hard to find an undervalued Uranium explorer so with the August 08 options trading at 15c it may be worth a punt in the hope of some good exploration results.

 

[mmmmining]

The chart is looking excellent. It has formed a double bottoms recently. And cleared the 18c and 19c resistence levels, and next major is 22c, and 25c.

Technical speaking, it is very strong.

 

[sleeper88]

Exited EVE and into this one..hopefully this is the next U stock to run.

 

[mick2006]

Nice little lunchtime run, blew through a couple of previous stumbling blocks, hopefully it can consolidate around 21c and push higher when the next drilling results are due in about 2-3 weeks time.
Interesting there is no time premium for the august 08 options considering the amount of time and the fact they will have a JORC uranium resource well before august 08.

 

[mick2006]

Good to see that wme is finally being recognised by the market, has seen an increase in volume of the last week and some nice steady gains. Sellers are dissapearing fast with over 2.5 million on the sell side wiped out in the last two trading days.

Remember the latest drilling results are due in the next couple of weeks so it looks like people are buying up in anticipation of some good results!!

They have already go a substantial low grade resource, but some recent exploration results show some good higher grade uranium hits which is open to the northwest and southwest. These areas are the focus of the recently completed drilling campaign and if it shows the existance of a high grade area outside the current resource it will put a rocket under the stock.

Currently up 10% with sellers thinning out!

A good time to be a WME shareholder

 

[imajica]

just found this one today - U prospects look excellent

could someone please post a chart and provide some sort of technical analysis?

thanks in advance

 

[imajica]

nice steady rise each day - the market is beginning to comprehend the scope of WME - 18 million pounds of U (non-jorc estimate from 30% of the tenement) - drilling is in progress to not only gain JORC status but to expand the resource and increase the grades - this one could follow in the steps of BMN - as always DYOR

 

[imajica]

a nice looking chart!

 

[dj_420]

well im going to be in on this one as of open this morning. cant believe i overlooked this little gem, luckily for me it hasnt moved much since overlooking!

volume been picking up, i think market is beginning to realise what a measured resource means even if it is pre-jorc.

any indication of a 10 000 tonne uranium deposit (almost 10 000 tonnes here)has run to the moon recently and WME has only increased slightly.

looking forward to holding this one and getting some further drill results back to confirm and expand on resource.

are others holding this one for long term potential? or at least until they define the resource?

 

[sleeper88]

http://www.wametals.com.au/files/K6TY3W29DS/WMEsxann070330_Resource Capital Research.pdf

Latest research report on their website.

 

[mick2006]

The fact that it was one of the few uranium stocks that hasn't had a major run was why I bought into it in the first place, and then after a couple of days more intense research I realised the full potential of WME. Many people have been saying that the average grade of 200ppm is too low and to a degree they are right, but with the price of uranium now $113 usd a pound and the fact they seem to have found a higher grade zone which is open to the northwest and southwest of their tennements certainly gives it some major potential upside from the current share price.

A couple of major strengths for WME is the location of the deposit near two major uranium producing mines in Rossing and Langer Heinrich.

The willingness of the Namibian Government to help overseas companies start mining projects in their country (particularly uranium).

Only 30% of their tennements have been drilled, with a highly encouraging 25km channel that still needs to be explored.

As with any investment in a uranium explorer it all comes down to actual uranium in the ground they have a pre JORC resource of 18 million pounds of uranium and when this is verified it could become a springboard for better things ahead.

They still have 70% of a very prospective tennement to explore, very interesting times ahead.

 

[dj_420]

The fact that it was one of the few uranium stocks that hasn't had a major run was why I bought into it in the first place, and then after a couple of days more intense research I realised the full potential of WME. Many people have been saying that the average grade of 200ppm is too low and to a degree they are right, but with the price of uranium now $113 usd a pound and the fact they seem to have found a higher grade zone which is open to the northwest and southwest of their tennements certainly gives it some major potential upside from the current share price.

A couple of major strengths for WME is the location of the deposit near two major uranium producing mines in Rossing and Langer Heinrich.

The willingness of the Namibian Government to help overseas companies start mining projects in their country (particularly uranium).

Only 30% of their tennements have been drilled, with a highly encouraging 25km channel that still needs to be explored.

As with any investment in a uranium explorer it all comes down to actual uranium in the ground they have a pre JORC resource of 18 million pounds of uranium and when this is verified it could become a springboard for better things ahead.

They still have 70% of a very prospective tennement to explore, very interesting times ahead.

yes agreed thats why i bought in this morning huge potential with this stock

 

[imajica]

the current drilling program at Marenica has been underway for months to confirm previous results and to exponentially expand the U resource - encouraging intersections such as:

9.7m @ 0.098%

60m @ 0.05%

3m @ 0.075%

these preliminary results are extremely encouraging and point to an increased level of mineralistion acrosss the remainder of their tenement

note: WME usually report to the market once a month - hopefully we should have some further results releasedin the next few weeks (this is speculation based on announcement history)

 

[mick2006]

Good to see 23.5c cents just taken out and that there is some good support at 22.5 and 23c. Also there is now 1.86 million above 20c.

Although it has only been six weeks since drilling recommenced on their uranium tennements, sampling programs have been ongoing for quite a while. It wouldn't surprise if we got some news in regards to the sampling program before or included in the quarterly report which is due at the end of next week.

So there could be a bit of newsflow over the course of next week, would certainly be worth holding going into the next couple of weeks because any good news could push it over the resistance at 24.5c. And then who knows where it could end up.

Also very impressed by the way it held up yesterday afternoon when everything else was getting smashed, very positive signs!!!

 

[dj_420]

well WME might finally be getting some sort of re-rating!

after one of the last uranium stocks on the ASX to run its little wonder we are seeing some action:

1 - pre JORC 18 million pounds
2 - meaty hits on further drilling of resource and at higher grade
3 - small market cap compared to peers
4 - great location
5 - only 30% of resource actually explored so far

 

[mick2006]

Wow large buy orders, smashed straight through alot of resistance around 25c.
About 3.5m shares traded in the last 45 minutes, some parties certainly want a piece of the action. Not sure why the sudden interest could be many factors, maybe the market is finally re-rating this little gem!!

 

[imajica]

people are finally starting to realise the potential of this stock

 

[mick2006]

For all those technical and chart analysts out there would it be possible for you guys to give you opinion on WME it has certainly been strong over the last couple of weeks, closing at a new record high today. Seems to be undervalued compared to some of its Namibian peers in PDN,ERN,BMN and it seems like it is in the process of going through a market re-rating. Would be interested in any chart or technical analysis you guys come up with.

Cheers in advance

 

[chris1983]

well WME might finally be getting some sort of re-rating!

after one of the last uranium stocks on the ASX to run its little wonder we are seeing some action:

1 - pre JORC 18 million pounds
2 - meaty hits on further drilling of resource and at higher grade
3 - small market cap compared to peers
4 - great location
5 - only 30% of resource actually explored so far

Agree with this. My Dad has a holding in WME. Glad they are starting to move. They have a low grade resource but if the spot price continues to rise it doesnt mean much. They have a good location. In their last report they only had 2 million cash on hand..but they wont have any troubles raising more. They dont have too many shares on issue. Not too bad.

"Historic resource (non-JORC) estimated by Gold Fields – potential
for +8,000 tonnes U3O8 (approximately 18 million lbs)"

I wanted in on these at 16 cents..but never hand the funds. Currently all my money is in ERN and BMN. I still think you cant go wrong with explorers that have historic resources. Good luck ppl.

 

[Halba]

My historical research did not indicate anything positive, too low grade and the resources were quite scattered. Probably leave this one. Needs fresh drilling results, otherwise rises are pointless.