RDR - Reed Resources

[chicken]

Any one has any news on this company..read they are going to mine in western australia..90 km. from where XTRATA had their mine, found a huge deposit...check it out on www.pmal.com.au article re xtrata bad news for them as RDR are going to start production..I think its validum...to strengthen steel...could be a start of something big..just thought to post that have not bought any just in process making research...comments please....

[chicken]

the place of xtrata is WINDIMURRA.....and for Reed minig its VANADIUM sorry about chickens english...

[whisky6210]

Re your enquiry, I spend a lot of time in and around the W.A. goldfields and
talk to a lot of people (prospecting is my hobby).
Reedy has been a broker for many years in Kal. and highly respected.
As you can imagine he knows a lot of people in the "know" as is extremely well informed ( I'm not sure if he retired from broking ).
They have some "interesting tenements" but like all prospects there are 100 failures for every successful one (there is more gold in the minds of men than
has ever come out of the ground).
Having a tenement near a successful tenement doesn't mean a lot,Look at the Bronzewing/Audax saga ......they drilled 400 bloody holes(it looked like a pin cushion) for practically zilch.
Anyway, it's the old story, wer'e in it for for a bit of fun...win or lose !!!

P.S. It's my selection for the April comp.......

cheers & beers.

[RichKid]

Re your enquiry, I spend a lot of time in and around the W.A. goldfields and
talk to a lot of people (prospecting is my hobby).
Reedy has been a broker for many years in Kal. and highly respected.
As you can imagine he knows a lot of people in the "know" as is extremely well informed ( I'm not sure if he retired from broking ).
They have some "interesting tenements" but like all prospects there are 100 failures for every successful one (there is more gold in the minds of men than
has ever come out of the ground).
Having a tenement near a successful tenement doesn't mean a lot,Look at the Bronzewing/Audax saga ......they drilled 400 bloody holes(it looked like a pin cushion) for practically zilch.
Anyway, it's the old story, wer'e in it for for a bit of fun...win or lose !!!

P.S. It's my selection for the April comp.......

cheers & beers.

Nice post there Whisky, very evocative, I feel I'm in the goldfields already!!

[chicken]

We are not talking gold...but a hugh deposit of Vanadium....proven deposit which is going to be mined read the information...first this is a proven deposit which will be mined...I thought as much no one seem to have cought on as this is bad news for XTRATA who thought that they had the only mine and would control the world price...they know what they got....www.pmal.com.au it tells you all about it.....any comments... :2twocents

[whisky6210]

I get your drift CHICKEN but the point is it's still in the ground!!!!
Question: Why didn't Xstrata mine it and stockpile it whilst the multi million dollar plant was in place???
With regards to Windi. I don't know how far back you go, but look up Posiden ,the shares went from a $1 to $250 and back to a $1 (every one convinced each other it was the worlds
greatest ore body).....

[chicken]

This is not what I say but which is reported...Xtrata is NOT wellcome in western Australia..Also I understand that the western Australian Goverment are looking at the $30 million which was taxpayers money how they could get it back...there are some bad undercurrents..read the reports..yes it was reported that its in the ground..but from people with reputation..not my little self...so there must be something to it..also Xtrata could not mine this as it did not belong to them...so I am waiting for developments..I have at present NO shares in this company but posted the information...this board wants the information as we find it..dont you agree

[whisky6210]

I understand where your coming from,but I,m not interested in the politics of it ( I,m a rock kicker ).
If you really want to get into what's going on look up Marc Rich on Google...he is kingpin in glencore which influences Xstrata ....then read a book called METAL MEN it will really blow you away!!! Glencore run the Minara nickel project near Leonora (in the W.A. goldfields).
Back to basics.......Your statement of RDRs project being 90km away in prospecting terms is like saying Sydney and Perth are next door neighbours.

Happy researching.

[chicken]

this is like talking to a wall...check...www.pmal.com.au you find what I posted..end of story...... :2twocents

[chicken]

I saw the film..on xtrata..right..has anyone ever thought where the money the swiss are using originated from..all I say..go back to the 2nd world war...maybe this will give you a clue..and Italian money is involved..I am glad WMC..and the western Australian goverment saw through them..that swiss banker who now lives in USA..gave us the clue..its money dripping of blood..and to do business with them !!!!

[el_ninj0]

I saw the film..on xtrata..right..has anyone ever thought where the money the swiss are using originated from..all I say..go back to the 2nd world war...maybe this will give you a clue..and Italian money is involved..I am glad WMC..and the western Australian goverment saw through them..that swiss banker who now lives in USA..gave us the clue..its money dripping of blood..and to do business with them !!!!

Disgusting isn't it... But look at what IBM did, they still get some significant backing.

[chicken]

Check www.pmal.com.au end of story...I am not invested in this stock but thought it worthwhile to post what I read..as its intresting..RDR are not involved with Xtrata...MR Reed...is running this show..anyway look and read if you are intrested.... :2twocents

[vince]

Along time since Reed Resourses has been posted on ASF but there is a clear indication of the companys direction, with executive chairman David Reed purchasing 700,000 shares over the last 2 weeks of August at a price of 0.44 and 0.45 cents It is Set to run again, has sound fundamentals good management and great potential for the longer term. please do your own research and Cheers Vince

[kennas]

I posted this as a potential breakout a few days ago and it now looks to have broken.

RDR is planning on being one of the world's lowest cost producers of vanadium pentoxide. It is currently carrying out a Bankable Feasibility Study into the production of 20Mlbs p.a. of vanadium from it's Barrambie Vanadium Project.

On 14 June they ann significant drilling results from the project. First infill drilling results (51 of 120 holes) confirm exceptional grades from both the Eastern Band and Central Bands.

Average grade of intercepts of targeted high-grade mineralisation is 0.89% V2O5 and 17.3 % TiO2, using 0.6 % V2O5 cut-off. I'm still getting my head around these figures as I'm new to vanadium.

Yesterday they ann'd further significant high grade vanadium intersetcions to be fed into a revised resource estimate and the BFS. Drilling has also intersected some low grade fe, which doesn't seem to be a priority but looks like it might improve the economics of the project.

All of the mineralisation is in strongly oxidised material, which would be amenable to low-cost open pit mining and beneficiation.

The strike length of the deposit is 11km. The current resource estimate is only based on a small section of the strike and it looks like the final JORC could be up to four times the initial, which could take it up to 100 Mt, perhaps. Any other plucks?

Iron Ore

They are also in a JV with Portman over Mt Finnerty, where Portman recently farmed in.

Portman has an eighty per cent interest to the iron within the EPLs and Reed can now either contribute or revert to a 10% interest free carried up to a decision to mine.

Portman has already identified a targeted resource of around 3.5 million tonnes grading around 60% Fe (as at May 2007). Portman are only targetting 5-10Mtn to be trucked to their nearby Koolyanobbing mine for processing, however the overall potential strike length where Portman has identified fe on the project is 35km. Portman and going to complete further drilling along strike which could see this project significantly expanded.

Nickel

Also at Mt Finnerty they have a Ni JV with Western Areas, which looks highly prospective. Western are spending $3m on exploration to earn 65%, but it doesn't look to be a priority for them. Need to look into this a bit more.

Gold

They are also producing gold at a couple of mines providing a steady stream of income. Need to see website for detail here, but I think their major plays are Vanadium, Iron and Nickel.


They have about 100m shares on issue @ 50 cents gives it a cap of about $50m.

Strachan values the company at $182m, so by this there seems to be a little bit of upside perhaps. :)

Peter Strachan Research Report (http://www.reedresources.com/reports/StrachanCorpRDR.pdf)

Reed website (http://www.reedresources.com/)

As I said earlier, looks to have broken out through 55 which should now be support.

(holding)

[kennas]

Had a nice little run nice breaking through a couple of days ago. Released ann on some upgraded gold estimates yesterday, but real minior fry compared to the Vanadium Project which I think is driving this at the moment. Still lots of upside if you believe the Strachan report mentioned above.

I'm hoping for some specie blue sky from Mt Finnerty Iron JV with Portman who are currently drilling it out. I'd expect any good results from that to give this another boost, even though the're only earning a small % of the result.

(holding)

[kennas]

Consolidating a bit today, but I like their quarterly and specifically comments about the Portmans JV. Such a shame they sold out for so little. I suppose having such a big player doing all the work is a good thing for them.

[greenfs]

Kennas interest in RDR seems well justified.

In recent times we have had quite a nice increase in the sp from $0.52 to >$0.70.

Now we find the stock has gone into a trading halt. I suspect that the news can only be good as my broker has indicated a sp of $1.30 by Xmas. Maybe Santa has come early this year


13959

[kennas]

Kennas interest in RDR seems well justified.
Sold out on the dead cat :banghead: after the Aug correction.

Recovered nicely. :banghead: :banghead:


Reed Resources - Creating a steel minerals business (http://www.egoli.com.au/egoli/egoliStoryPage.asp?PageID={185C0501-71E9-4DBB-9EEB-2A121E01DD6B}&Section=StockIdeas)
5/10/2007 By: egoli

Perth-based Reed Resources Limited (RDR) has quietly been going about its business over the last 5 years, and has made substantial progress. RDR is looking to commence a BFS into the Barrambie Vanadium project later in 2007, where a resource of 24mt@0.82% V205 has been established.

[kennas]

Breakout looks like it's been supported pretty well.

:banghead:

Anyone gone with this?

Damn it!!!!!!!!!!!!!!!!!!!!

LOL

[greenfs]

Yes. I am on board but a little late as my broker was recommending this one from $0.52 only a litle while ago. He has told me to wait for a little while (3 Mos) and I should achieve a substantial gain via a re-rating of the stock by the market based upon existing, known data.

[kennas]

Yes. I am on board but a little late as my broker was recommending this one from $0.52 only a litle while ago. He has told me to wait for a little while (3 Mos) and I should achieve a substantial gain via a re-rating of the stock by the market based upon existing, known data.Good work GF, looks to be breaking further up.

Nice break/consolidation/break since breakout around 50.

Currently at 98.

[greenfs]

It seems like this stock is being re-rated by the market without ann. Very strong break through $1 to $1.11 in a bearish market these past two days.

The action on this sp would seem to indicate that either a very big ann is coming or someone is accumulating for a takeover play. It is a wonder there has not been a speeding ticket from ASX

Updated graph provided. Boy it looks good to me..


15067

[drillinto]

June 12, 2008

Time Moves Slowly Along The Rabbit Proof Fence, But After Forty Years The Barrambie Vanadium Project Is Finally Coming Good

By Our Man in Oz
www.minesite.com

THIS IS A HEALTH WARNING! Older investors taking heart medication should read no further. The names in this story from Australia could lead to palpitations. Vanadium is the first that will get Alzheimer patients in Bournemouth nursing homes scratching their thinning hair. Ferrovanadium is the second, and may cause rheumy eyes to flutter. Barrambie is the third, and that one might even cause a few geriatrics to fire up their motorised wheelchairs and start the long drive up the M3 to see their London brokers. Put all those together, and 30 years after everyone thought it was dead, with a silver stake through its heart, the infamous Barrambie vanadium project in Western Australia is breathing again. And this time it might actually move off the drawing board and into production.
Reed Resources, one of Australia’s better connected explorers, is the latest owner of Barrambie, a remote resource that claimed its first headlines in the early 1970s, for all the wrong reasons. Back then Barrambie was the key asset inside a company called Ferrovanadium which was run by a delightful but somewhat bent chap by the name of Peter Briggs. As part of his fundraising efforts, Briggs, who famously brushed up his tennis while serving time as a guest of Her Majesty at a low security prison, invited American investors into Ferrovanadium. It was an Aussie first, but it ran off the rails when the Yanks claimed there were discrepancies in the reports on the resource at Barrambie. Heavens above! What will they expect next from Aussie miners?

Roll forward in time, through the 1980s and 1990s. Booms came and went. Briggs faded from view, but remained as lively as ever in the Perth social scene (we have a soft spot for chaps who simply forget to pay their tax). But, of Barrambie there was not a word spoken, even when the price of vanadium, a steel hardening metal, rocketed up at the start of the China-led 21st century resources boom. Other Australian vanadium projects had come and gone. Agnew Clough built the Wundowie project (and closed it). Precious Metals Australia developed the Windimurra project (and closed it, and is now re-opening again). Australia and vanadium always seem to struggle together, if not for technical reasons then because the price moves up and down faster than a Brett Lee bouncer.

David Reed, once one of Australia’s best known stockbrokers, reckons that this time the much maligned Barrambie is ready to achieve its long dormant potential. During a pleasant chat with David, and his son Chris, in their West Perth office, Reed senior reminisces about the discovery of Barrambie by another old-timer. “It was Hector Ward who found it,” Reed says. “Every time I walk into the Albion Hotel [in the seaside suburb of Cottesloe] old Ron Sheen reminds me about what a great discovery it was and how it will be developed, one day.”

Blowing the dust off Barrambie will not be as easy as blowing the froth off a beer in the Albion. But it will be being aided by vanadium prices that have been driven higher by Chinese buying, and by renewed investor interest in the project. Last week a syndicate of professionals pumped A$12 million of fresh capital into Reed Resources to “advance” Barrambie. That support has help the company maintain a track record as one of the better performing mining stocks on the ASX over the past few months. While other companies have been falling, and floats have been postponed, Reed Resources has steamed on up from a price as low as A64 cents early in April to recent trades at around A$1.10. That 72 per cent rise in 10 weeks speaks loudly about the level of confidence in this latest attempt to resurrect Barrambie, located, according to Chris Reed, “119 kilometres down the rabbit-proof fence from Windimurra”, a measuring tool remarkably similar to that other well-known Australian distance-measuring device: “as the crow flies”.

Adding to interest in Reed Resources is an assortment of other assets, including the small but profitable Sand Queen gold mine, the Mt Finnerty iron ore project which is being explored in joint venture with Portman, and a potentially very interesting nickel project in the re-awakening Wingellina area of central Australia, close to where BHP Billiton is continuing the work of WMC at the Nebo/Babel nickel-platinum project. Those other assets, however, pale alongside Barrambie, currently taking up 50 per cent of management time at Reed Resources, and 80 per cent of the quarterly cash burn. That’s largely down to a fierce drilling programme aimed at obtaining fresh resource data because none of the original assay results from the 1970s can be used for modern resource calculations.

The great revival plan for Barrambie is essentially a variation of the plan proposed in 1974 by the American engineering firm, Ralph M. Parsons: drill up sufficient ore, crush it, grind it, and produce a variety of products, with the focus being ferrovanadium. Back then, the estimated cost of developing Barrambie was A$225 million, but that included a slurry pipeline to transport product to the coast for export. Today, Barrambie’s estimated capital development cost, subject to the completion of feasibility studies, is around A$256 million. That money will pay for a project producing 20 million pounds of vanadium pentoxide at a forecast cost of A$2.67 a pound, a country mile below the ruling world price of around US$16 a pound. For this exercise an Aussie dollar is roughly the same as a US dollar, which is another “back to the future” experience, because that’s what the exchange rate was like in the 1970s.

David Reed says that a major advantage Barrambie has over its near rival, Windimurra, is the ore grade. “Grade is always king in these exercises,” he says. “Our material averages around 0.82 per cent vanadium. Windimurra is much lower.” He says the next moves for Barrambie will be to finalise studies into the capital and operating costs of the proposed project in mid-August. This will be followed by “optimised” estimates in January next year, and followed up quickly by a final investment decision. If all goes well, first production could be as early as 2011 – perhaps even with Peter Briggs in attendance to see the first ferrovanadium roll out of the plant, 37 years after that original study found that Barrambie was ready for development. Time moves slowly along the rabbit-proof fence!

[CapnBirdseye]

A nice bit of movement over the last two days. I have no idea why. Any thoughts?

No results pending that I know of.

[geea]

There were rumors that something would be anounced yesterday. Not sure if the Dubai situation changed this or if it was announced at the AGM.If so it didn't lift the pirce. Maybe was a typical "buy the rumor sell the fact".

[CapnBirdseye]

Was going pretty strong on friday for a while, then dropped off. Have you heard rumours of rumours, of do you know what it might be. Please tell.

[geea]

I heard 3rd hand that there was going to be an announcement on Friday. I also heard it was put off until the Dubai stuff settlesdown. Whether the announcement happens or not or what it contains i don't know. Like i said it was 3rd hand.

[kgee]

Is anyone following RDR ?

They came up on my radar the other day - having 2 JORC announcements due over the next 6 weeks

1. Comet Vale
Current JORC 661000t @ 8.6 g/t for 182600 oz
In production,cash margin $550-600 /oz (JV with KRM ending 31/5/10. RDR resuming 100% equity on 1 June 2010)
Recently purchased Nimbus process plant ( 250000 tpa )
JORC due 2nd week April

2. There best project (IMO) Mt Marion lithium project
Resource estimate early May 2010
Targeting 7-8 MT at 1.3-2.0% Li2O, (6.5-7.0% conc).
60/40 J.V with Mineral Resources Limited (MIN)

Which compares to GXY who have
jorc 11.4 million tonne @1.05 % Li2O
MC @ $1.20 sp. = 179 million

Not much of a chartist but looks like it has support around 0.66/0.65
Any comments appreciated ...
(haven't looked at their other projects, as I've never being a fan of Vanadium after watching Winndimurra struggle for years)

[kgee]

Todays Announcement
Resource at Mt Marion Lithium Project in WA increases 220% to 128,000 tonnes of Li2O
So now the market is valuing GXY and RDR at about the same

GXY 11.4 million tonnes @ 1.05% Li2O = 119,700t

RDR 8.9 Million tonnes @ 1.4% Li2O =128,000t

GXY MC $207million

RDR MC $121million

So if GXY were in the 60/40 jv their MC would be approx 124 million
Considering RDR has another 4 projects in its bag I still think theres room for the share price to rise
NB: RDR is futher behind in project development than GXY

[noco]

Todays Announcement
Resource at Mt Marion Lithium Project in WA increases 220% to 128,000 tonnes of Li2O
So now the market is valuing GXY and RDR at about the same

GXY 11.4 million tonnes @ 1.05% Li2O = 119,700t

RDR 8.9 Million tonnes @ 1.4% Li2O =128,000t

GXY MC $207million

RDR MC $121million

So if GXY were in the 60/40 jv their MC would be approx 124 million
Considering RDR has another 4 projects in its bag I still think theres room for the share price to rise
NB: RDR is futher behind in project development than GXY

More good news this week with the announcement of a further 18% increase in reserves.
Mt. Marion is reportedly now the second largest lithium mine in the world and could become the largest world producer.
Would be nice to see some improvement in the SP!

[Emjai]

Hi chicken,

I have been reading and I just wanted to let you know that I have found finviz.com a great site that has some great information and up to date new on all companies.

Go check it out its a great service that you might find helpful.

NOTE- I'm not affiliated with the website in the post.

I hope this has helped.

[noco]

Hi chicken,

I have been reading and I just wanted to let you know that I have found finviz.com a great site that has some great information and up to date new on all companies.

Go check it out its a great service that you might find helpful.

NOTE- I'm not affiliated with the website in the post.

I hope this has helped.

Thanks Emjai for that inoformation. I did check it out and found it most interesting. Much appreciated.

[inq]

I'm suprised that more people aren't jumping onto this stock.

Am I missing something here? From what I can see potential issues which could arise would be through the vanadium plant pricing, other than that looks extremely viable.

[wtang89]

A nice bit of movement in this stock over the last few days. Looks like the market is finally reacting to this stock. Happy to hold.

[xenith69]

I bought last week at .57
sold today at .67
However im bullish on the whole Li thing!
Looking for a re entry into GXY for the LT

[wtang89]

Nice Play. I bought in at 58c and still holding. I see that you also bought into HGO. HGO has lost favour of late..but i expect a rebound in the upcoming month once the equity raising is completed and we get some drilling happening!!.

[xenith69]

Gday
I bought into HGO at the wrong time tho
ive held for some time, avg buy price of.............wait for it,
.41c not concerned tho as only have small parcel.
Im leaving these in bottom drawer for now,as 2012/13 i dont think ill be too concerned about my buy in price.
Market depth looks ok at present tho.
Good luck
(sorry mods ill save HGO chat for HGO thread)
cheers
Xen

[pixel]

I bought last week at .57
sold today at .67
However im bullish on the whole Li thing!
Looking for a re entry into GXY for the LT

I too bought the break (last Thursday), doubled up on Friday, and waited for Monday's gap to close. Remained mindful of that gap, took part profit early today, and sold the rest at Close.
While I'm also Bullish this stock, I believe there's a strong chance of 59/60c being revisited; that's where I intend to buy back in, provided support holds there. (If not, I'll keep the loot and look elsewhere.)

40041

[xenith69]

I too bought the break (last Thursday), doubled up on Friday, and waited for Monday's gap to close. Remained mindful of that gap, took part profit early today, and sold the rest at Close.
While I'm also Bullish this stock, I believe there's a strong chance of 59/60c being revisited; that's where I intend to buy back in, provided support holds there. (If not, I'll keep the loot and look elsewhere.)

40041

Nice work! They remain on my watch list and may re enter again!.............

[inq]

Bought in at .51, riding the wave. Hoping for a high 50's revision for more buying.

I warned y'all! ;)